New Mexico Administrative Code › Title 21 - AGRICULTURE AND RANCHING › Chapter 16 - AGRICULTURAL WEIGHTS AND MEASURES › Part 9 - WEIGHMASTER BONDING REQUIREMENTS › Section 21.16.9.9 - BONDING REQUIREMENTS

Current through Register Vol. 35, No. 13, July 16, 2024
It is the responsibility of the director to determine, in his
				  sole discretion, whether each applicant for a weighmaster license has met the
				  bonding requirements, as well as the other licensing requirements, set forth in
				  the Weighmaster Act. The director may provide applicants the opportunity to
				  meet the bonding requirements by one of the following alternatives.
A. Corporate surety bond: The applicant shall
				execute and deliver to the director a surety bond in the sum of one thousand
				dollars ($1,000). The bond shall be executed by the applicant as principal and
				by a corporate surety company qualified and authorized to do business in New
				Mexico as a surety. The bond shall be on a form furnished by the department.
				The bond may be for a term of one (1) or more years. Each renewal will be by
				means of a continuation certificate or a new bond.
B. Personal bond: The applicant may, if
				approved by the department, act as his own surety, or may have such other
				persons, partnership, joint ventures and corporations as may be approved by the
				department act as surety. Prior to any review of the personal bond by the
				department, the surety must furnish the department, at the time of the
				application for registration or renewal of registration, a current financial
				statement in form satisfactory to the department showing that the surety has
				liquid assets of at least five thousand dollars ($5,000), with which to meet
				the bond application. What constitutes "liquid assets" shall be subject to the
				sole discretion of the department. The financial statement must be audited and
				certified by a certified public accountant licensed to do business in the state
				of New Mexico, or in the state in which the surety has his principal place of
				business.
C. Certificate of
				deposit: Applicant may deposit one thousand dollars ($1,000) in a savings and
				loan association, bank, or trust company located within the state of New
				Mexico. The savings and loan, bank or trust company must be insured by an
				agency of the federal government and must be approved by the department. The
				certificate of deposit must be on a form approved from time to time by the
				department at its sole discretion. The certificate shall specifically include a
				provision that the deposit may not be withdrawn, pledged or assigned by the
				applicant to others during the applicant's registration term, and for a period
				of one year after the expiration of the term of registration. However, the
				certificate may contain a provision that all interest may be paid directly to
				the applicant as the interest accrues. During the term of the certificate, the
				certificate shall be under subconditions that the state of New Mexico or the
				department may order the deposit to be paid to the state or the department. In
				the event that all or part of the deposit is executed upon by a court of
				competent jurisdiction, or applied to the department during the term of the
				applicant's registration, the applicant shall forthwith deposit an additional
				sum sufficient to maintain the one thousand dollars ($1,000) minimum under the
				same conditions for the remainder of the applicant's term of registration and
				for the period of one year thereafter. The certificate of deposit shall be held
				by the department and the institution issuing the certificate shall be so
				advised.
D. Irrevocable letter of
				credit: The applicant may submit an irrevocable letter of credit in the sum of
				one thousand dollars ($1,000) established in favor of the state or the
				department at a bank located within the state of New Mexico. The bank must be
				insured by an agency of the federal government and must be approved by the
				department. The irrevocable letter of credit shall be available to be drawn on
				by the state or the department during the applicant' s registration term and
				for a period of one year after the expiration of the term of registration.
				Should the state or department exercise their rights to collect upon the
				irrevocable letter of credit, these monies shall be immediately delivered to
				the state or department.
E.
				Cash/certified check: For interim bonding the applicant may deposit with the
				department one thousand dollars ($1,000) in the form of cash or certified
				check. A certified check shall be drawn on a bank located within the state of
				New Mexico and made payable to the department. The bank must be insured by an
				agency of the federal government and must be approved by the department. The
				certified check must on its face indicate it is valid, and cannot be canceled
				for a period of eighteen (18) months after the date of issue. The cash or
				certified check will be held by the department during the interim period until
				the bonding requirements set by this rule are met.