N.J. Admin. Code § 17:19-2.12

Current through Register Vol. 56, No. 11, June 3, 2024

Section 17:19-2.12 - Classification change

(a) A firm shall notify the DPMC in writing during a classification period, when the financial, bonding and/or corporate status of a firm changes substantially as to warrant a change of classification or rating. The firm shall provide said notice to the DPMC within 10 days of the change(s) and shall submit a revised DPMC-27, or applicable portions thereof, as required. Examples of substantial change include, but are not limited to, insolvency, decreases in bonding capacity, changes in ownership, or any of the factors affecting the firm's responsibility, as described in 17:19-2.4(b).

(b) A firm may request an increase in its aggregate rating for the remainder of the firm's existing classification period by submitting to the DPMC an updated financial statement for a period of at least six months from the ending date of the financial statement submitted with the prior DPMC-27 in conformance with the provisions found in 17:19-2.1(b), or, in the alternative, a firm may submit an updated surety affidavit showing an increase in bonding. The affidavit must be based on the same financial statement submitted with the application or request for an increase. However, a firm that has an aggregate rating of more than $ 15,000,000 may request an increase in its aggregate rating by submitting a CPA reviewed financial statement.

(c) The DPMC shall review all submissions in accordance with this section and issue a decision no later than eight business days from the date of the firm's submission. Any change of classification shall be effective only for the remainder of the original classification period.

(d) The DPMC, in its discretion, may reduce a firm's aggregate rating or revoke the firm's classification entirely based upon information not provided at the time that the firm's classification was originally granted and/or the firm's aggregate rating was originally set, as determined by the factors set forth in 17:19-2.4.

N.J. Admin. Code § 17:19-2.12

Amended by 48 N.J.R. 2830(a), effective 12/19/2016