Surety Forms and Instructions

Introduction

Pursuant to Chapter 106 of the Acts of 2012, oversight of private occupational schools (also know known as "proprietary schools") will transfer from the Massachusetts Department of Elementary and Secondary Education (DESE) to the Division of Professional Licensure (DPL) effective August 1, 2012. As such, all bonds, certificates of deposit, and letters of credit being held as surety for the benefit of students of private occupational schools must be transferred to the new agency. These forms and procedures may be subject to change at any time. Schools should check the website frequently to ensure that they are following the current forms and procedures.

Currently Licensed Schools

If you are a currently licensed school, you must use the following forms and corresponding instructions.

Bonds

School Bonds:

If you currently hold a valid occupational school license and your surety is in the form of a bond, please use the Bond Form for M.G.L Chapter 112 § 263 Private Occupational Schools. Alternatively, the insurance company may provide a rider changing the obligee from DESE to the "Division of Professional Licensure or his/her designee" and striking the language "...shall satisfy all judgments rendered against (it) (him/her) (them) in actions by students..." and replacing it with "...shall satisfy all valid claims, as determined by the Division,..." Please be advised that all schools will be required to execute a new bond form at the time of their license renewal.

Sales Representative Bonds:

If you currently hold a blanket bond for licensed sales representatives, please use the Blanket Bond Form for Private Occupational Sales Representatives. Alternatively, the insurance company may issue a rider changing the obligee from DESE to the "Division of Professional Licensure or his/her designee."

Certifications for Blanket Bonds for individual sales representative licenses do not need to be updated at this time.

Certificates of Deposit

If your surety is in the form of a Certificate of Deposit (CD) you must change the signatory on the account from DESE to "the Director of the Division of Professional Licensure or his/her designee." No funds may be disbursed from this account without the signature of the Director or his/her designee. For further instructions see the Memorandum of Instruction for Certificates of Deposit.

Letters of Credit

If your surety is in the form of a Letter of Credit (LOC), you must have the LOC made payable to the "Commonwealth of Massachusetts, Division of Professional Licensure" with the Commonwealth of Massachusetts, Division of Professional Licensure designated as the beneficiary. For further instructions see the Memorandum of Instruction for Letters of Credit.

New Applicants

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