A permitted scrap tire processor in Alabama posts financial assurance to the Department of Environmental Management (ADEM) to cover closure and remediation of the facility. A surety bond is one accepted form — the application collects no credit information, and the premium is 0.5% of the bond amount, $100 minimum. Enter the amount ADEM set and your exact price appears at the application.
















No underwriting queue for the standard scrap tire bond — enter your amount, pay, and file with ADEM. Here is the whole thing:
Your business details, the financial-assurance amount ADEM set, and the effective date — that is the entire application.
No waiting — the executed bond is generated as soon as you pay. Larger amounts may get a quick soft-pull review that never affects your credit score.
Submit the executed bond with your scrap tire processor permit application or renewal, with ADEM as the obligee. Wet-ink originals mailed on request.
Alabama regulates scrap tire processing under the Scrap Tire Environmental Quality Act (Code of Ala. § 22-40A) and ADEM Administrative Code Division 335-4. A permitted processor must provide financial assurance so the state is not left paying to clean up an abandoned or damaged facility.
The required amount is the sum of closure (safely shutting the facility down) and remediation (cleaning up after an incident such as a fire). ADEM sets minimums — generally $20,000 for closure and $20,000 for remediation — and the figure scales with the volume of tire material stored and processed, so a larger operation carries a larger bond.
A surety bond, with the processor as principal and ADEM as the obligee, is one of the accepted forms of financial assurance and must stay in effect for the life of the permit. If ADEM draws on the bond to fund closure or remediation, you repay the surety — it is not insurance for you. Enter the amount on your permit; the application collects no credit information, and premiums start from $100 with the exact price at the application.
Submit the application with the financial-assurance amount ADEM set — the executed bond is generated instantly, ready to file.
Start the application →Premiums from $100. Enter the amount ADEM set and file the same day.