In Tennessee, if a company wants to get a license to process radio active waste, the company is required to post a surety bond before it can get the license. The license bond is in place to protect the taxpayers and the State should something go terribly wrong with licensed company.
As reported in knoxnews.com , something did go terribly wrong when IMPACT Services filed for Bankruptcy and closed its doors. Without the surety bond, the taxpayers of the State of Tennessee would be saddled with he expense of removing 1.6 million pounds of radioactive waste. Because the State had the foresight to require a license bond, the clean up was completed by the State of Tennessee at no additional cost to the taxpayers.
Surety Bonds are a great tool to protect the taxpayers. It is surprising that there are not more surety bond requirements to obtain professional licenses.