NASBP Comments on DCTC’s Bond Forms

Mark and I appreciate your meeting with Wayne McOwen and us on June 2 to discuss the concerns of the National Association of Surety Bond Producers (NASBP) about the DC Taxicab Commission’s (DCTC) bond forms required pursuant to Subsection 1605.5(c) of Title 31 of the DCMR. We are pleased that the DCTC understands the value of surety bonds to reduce the possibility that the District will not receive payments of taxicab surcharges and one percent of gross receipts. As discussed during our June 2 meeting, we do, however, have some concerns about particular provisions of the bond forms. We respectfully set forth our concerns and suggestions for revisions below, which will continue to give the DCTC the security it desires and give sureties more certainty about the risk they are asked to undertake in issuing such bonds. Such changes will help ensure a robust market for these bonds.

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