ND HB1237

Changes professional employer organization bond requirement from the greater amount to the lesser amount of either $100,000 or 5% of quarterly wages reported to Job Service North Dakota, with a $500,000 maximum cap.

Professional employer organizations that have not filed an employer's quarterly contribution and wage report with Job Service North Dakota must submit a $100,000 bond.

Bond must be held by the secretary of state and secure payment of taxes, wages, benefits, or other entitlements owed to covered employees if the organization fails to pay when due.

Professional employer organizations must provide the secretary of state at least 45 days' notice before cancellation or nonrenewal of the surety bond.

Defines "bond" to include either a surety bond or an irrevocable letter of credit.