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Have a question? +1 815-826-6324 (815-8-BondAI) phil@AmericasSuretyBonds.com
Army Veteran Owned | Expert Surety Bonds Since 2004
A garbage hauler holding a Kern County franchise has to keep a performance bond on file for the whole life of the franchise. The amount depends on how many trucks you run, starting at $2,500 and topping out at $20,000 for eleven or more. Paying a premium for the bond keeps that money in the business instead of tied up with the county.
Kern County Code section 5.36.100 requires every holder of a county garbage collection franchise to keep a performance bond on file with the clerk of the Board of Supervisors, running to the County of Kern. The bond is $2,500, $10,000, $15,000 or $20,000 depending on the number of collection vehicles rated one ton or more, unless the franchise agreement provides otherwise.
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Most haulers get the amount wrong because it is set by fleet size, not by revenue. Kern County Code section 5.36.100 counts vehicles rated one ton or more in carrying capacity that are used to collect and transport discarded materials.
If you add trucks during the franchise term and cross into a higher bracket, the bond amount moves with you.
If the Public Works director finds that at least 75 percent of your service accounts are inside incorporated cities, the director can recommend that the Board of Supervisors cut the bond to 20 percent of your gross receipts from accounts in unincorporated Kern County. The bond can never drop below $2,000.
The code amounts apply unless your franchise agreement says otherwise. Each franchise is approved by the Board of Supervisors and spelled out in its own agreement, so check the bond clause in yours before ordering the bond.
The bond runs to the County of Kern and is conditioned on the grantee observing and performing every term and condition of the franchise. It must be in a form approved by County Counsel and stay on file with the clerk of the Board of Supervisors at all times while the franchise is in force.
Section 5.36.040 lets some haulers work without a franchise, and so without this bond. Examples include contractors hauling their own construction and demolition waste with their own equipment and crews, septic and grease trap pumpers, and haulers of abandoned vehicles, ashes or treated sewage sludge.
It is tiered by fleet size under Kern County Code 5.36.100. The bond is $2,500 for smaller operations, $10,000 for three to six vehicles rated one ton or more, $15,000 for seven to ten, and $20,000 for eleven or more.
Yes, in one case. If at least 75 percent of your accounts are in incorporated cities, the Public Works director can recommend the Board of Supervisors reduce it to 20 percent of your gross receipts from unincorporated accounts, with a $2,000 minimum.
With the clerk of the Kern County Board of Supervisors. It has to stay on file the whole time you hold the franchise.
Yes. The code amounts apply unless the franchise agreement provides otherwise, so read the bond terms in your agreement first and confirm the current form with the county before the bond is issued.
You pay a premium that is a fraction of the bond amount. The surety sets it after reviewing the owner's credit and the business, and many applicants are quoted the same day.
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