Surety Bond News

HB 765 is a newly enacted law in the state of Kentucky regarding methamphetamine lab contamination. The new law alters the financial assurance requirements for cleaning up a methamphetamine lab location. The previous law required the surety bond to be $500,000. HB 765 institutes tiers that are based on the sort of facility and chemicals found in the contaminated sections. The first three tiers require the bond or other assurance to be in the amount of $100,000. Tiers 1 and 2 are temporary labs with limited contamination. Tier 3 is an entrenched lab with higher levels of contaminants and damage. For the fourth tier, the surety bond must be in the amount of $250,000; this is for labs used in mass manufacturing with severe levels of contaminants found. The new law states that the quantities may be aggregated.