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California Car Wash Surety Bonds to Increase to $150,000

In  not so subtle pro-union legislation, CA bill 1387 was signed into law on October 11, 2013 and became effective January 1, 2014. Registered car washes in California will be required to post a $150,000 surety bond, versus the former requirement of a $15,000 surety bond. This new requirement does not apply to car wash employers who are covered by a valid collective bargaining agreement.

What this means is that when you renew your car washing and polishing registration and you are not covered by a valid collective bargaining agreement,  you will be required to to provide one of the following:

  1. A bond rider increasing your existing Surety Bond amount to $150,000.00
  2. A new Surety Bond of $135,000, which combined with your existing $15,000 bond meets the new requirements
  3. A new Surety Bond in the amount of $150,000

Surety1 has several markets available to provide this bond at rates as low as 1%.

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