Have a question? 
+1 815-826-6324 (815-8-BondAI) 
phil@AmericasSuretyBonds.com
Army Veteran Owned | Expert Surety Bonds Since 2004
Have a question? +1 815-826-6324 (815-8-BondAI) phil@AmericasSuretyBonds.com
Army Veteran Owned | Expert Surety Bonds Since 2004
The $15,000 bond is the smallest piece of a Basic Installer application and the easiest to finish. The surety writes it on the Board's own form AOWB-002, you pay a modest annual premium instead of setting aside $15,000, and the executed form is the evidence of bond the Board's rules require in every new license packet and every renewal.
Alabama requires a $15,000 surety bond from every holder of a Basic Level Installer's License issued by the Alabama Onsite Wastewater Board. Code of Alabama 34-21A-16 sets $15,000 for a basic level license, with the amount doubling to $30,000 once an installer moves up to Advanced Level I or II. The bond is written on Board form AOWB-002, names the Board as obligee, and must stay current for the license to remain active.
We can help with all Alabama bonds!
Code of Alabama 34-21A-16 requires every licensee, without exception, to be bonded for work performed under the license. It sets $15,000 as the amount for a basic level license, a pumper license, a portable toilet license or a manufacturer's license, and $30,000 for an advanced level license. A Basic Installer posts $15,000. There is no tier inside the basic class and no exemption for an installer who has worked under someone else's license for years. The thing to plan for is the step up: when you qualify for Advanced Level I, the bond becomes $30,000 on the Board's other form.
Ala. Admin. Code 628-X-3-.01 limits a Basic Level Installer's License to the installation, servicing, lid replacement, repair or maintenance of small flow conventional onsite wastewater systems and shallow placement systems, including basic on demand pumps. Mound systems, timed dosing, duplex pumps, engineered systems and anything with secondary treatment belong to the advanced licenses. The Board's eligibility form asks for 12 months of work experience installing septic tanks or working with a basic installer within the last five years, work on at least five basic onsite systems, and an employer's signature. Once eligible you attend Board required initial training and then sit for the exam.
The Board publishes the bond as form AOWB-002, titled Alabama Onsite Wastewater Board Bond, with a penal sum of $15,000 and the Board as obligee. The same form serves basic installers, manufacturers, pumpers and portable restroom licensees at the $15,000 level. The condition is that the principal faithfully observes the laws, rules, regulations, conditions, criteria and orders governing onsite sewage disposal systems in Alabama. The surety may cancel on 45 days written notice to the Board, and the form states that the bond expires automatically if the licensee's employment with the employer named on the bond ends.
A license is good only for the calendar year in which it is issued and expires December 31 unless renewed. Rule 628-X-3-.05 requires the renewal application, with evidence of the required bond, at least 30 days before expiration, so December 1 is the working deadline. The bond continues year to year by continuation certificate. If the Board has no valid bond on file, 34-21A-16 allows the executive director to suspend the license until the bond is reactivated or replaced and a reinstatement fee is paid, with a hearing available within 10 business days on request.
Ala. Admin. Code 628-X-4-.02 sets a $100 application fee for any license, a $200 examination fee for the basic installer exam, and a $300 annual license fee for the basic level. The late renewal penalty is $100 per license. These are Board fees and are separate from the bond premium paid to the surety.
No. Code of Ala. 34-21A-16 says all licensees, without exception, must be bonded. Experience helps you meet the Board's eligibility test for the license, but every basic installer posts the $15,000 bond before the license is issued.
No. The statute requires $30,000 for any advanced level license, and the Board uses a separate $30,000 form, AOWB-003, for Advanced Level I and II installers. Plan on replacing the bond when you upgrade.
That you will faithfully observe the laws, rules, regulations, conditions, criteria and orders governing onsite sewage disposal systems in Alabama. If you violate them and a loss results, a claim can be made against the bond up to $15,000, and the surety will look to you to repay what it pays out.
The surety can cancel on 45 days written notice to the Board. Once no valid bond is on file, 34-21A-16 lets the executive director suspend your license until the bond is reactivated or replaced and the reinstatement fee is paid. You can request a hearing within 10 business days.
The surety charges a percentage of the $15,000 penal sum based mainly on the owner's personal credit. Good credit earns the lowest rate. The premium is paid each year the license stays active.
The license expires December 31 of the year it was issued. Rule 628-X-3-.05 requires the renewal application, with evidence of bond, at least 30 days before expiration, so file by December 1. Late renewal costs $100 per license, and a license expired more than one year must be reapplied for as new.
This website is a referral and marketing platform that connects users with licensed insurance agents. We do not issue surety bonds directly except in states where we are licensed. All bond applications are processed and fulfilled by licensed agents. By using this site, you agree to our Terms & Conditions, Privacy Policy, and the use of cookies. If you do not agree, please exit the site.
