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Tennessee bonds

Tennessee — Union City Energy Authority Utility Deposit Bond

Apply for a Union City Energy Authority utility deposit bond for your commercial or industrial electric account. UCEA lists a utility surety bond among its security options; use the amount and business name in your account request.

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Recorded state
Tennessee
Category
Utilities

What this bond does

The bond secures the commercial customer's payment obligation to UCEA under the accepted form. Issuance of a bond and UCEA's approval of the service account are separate steps.

Who needs it
Commercial and industrial customers of the Union City Energy Authority who are required by the utility to post a security deposit to initiate or maintain electric service.
Who it protects
UCEA is the utility recipient of the payment security. The issued bond defines the covered obligations and claim conditions. You remain responsible for paying the electric bills.

Your bond option

This is the option on record for this bond.

The bond amount describes the limit of the bond obligation, not the price. A listed amount does not establish what the requesting party requires. The premium is what you pay and must be confirmed for the actual option. An E&O limit, where listed, is separate errors and omissions insurance.

Use UCEA's amount for the premises

UCEA mandates that all commercial and industrial accounts provide a security deposit equivalent to two months of peak consumption. If there is no historical usage data for a specific location, the utility will estimate the peak consumption amount.

The authority reserves the right to adjust the deposit requirement if the actual consumption at the commercial location exceeds the initial estimate. Business applicants should review their estimated load requirements with UCEA to determine the exact bond value needed for their specific account.

Match the security option to your account

UCEA's commercial sign-up information lists a utility surety bond, cash or a certificate of deposit titled jointly with the authority as security alternatives. Confirm the form UCEA wants for your account before applying for the bond.

There is one bond application option on this page. It has no preset amount or term selections. Enter UCEA's required security amount and requested effective date in the application.

Apply, then deliver the issued bond

Purchase Now opens Propeller's application in a new tab. Provide your legal business name, UCEA service address and required amount. Starting this application does not issue the bond.

After issuance, check the business and recipient names, then deliver the bond using UCEA's instructions. Confirm acceptance and service activation with UCEA. If your business moves, ask how to update or replace the security before relying on the old document.

Sources

Have these ready

  1. Confirm the exact bond amount required with the Union City Energy Authority based on your location's peak consumption estimate.
  2. Match your legal business name and service address to UCEA's customer record.
  3. Have the lease or rent receipt and identification requested for UCEA's commercial service sign-up ready; these are service-account documents.
  4. Keep UCEA's requested form, effective date and delivery instructions available for the bond application.

Questions about this bond

Which business name belongs on the bond?

Use the business entity responsible for the UCEA account. Match its legal name and service address to the commercial sign-up paperwork so the utility can connect the bond to the right customer.

What happens if my consumption exceeds the bond amount?

UCEA reserves the right to adjust deposit requirements if your actual consumption exceeds the estimate, which may require you to increase your bond coverage.

Is the surety bond the only way to satisfy the deposit requirement?

No. UCEA also accepts cash or a certificate of deposit titled jointly with the authority as valid forms of security.

Can I start service before the bond is filed?

You must coordinate with UCEA regarding their specific commercial sign-up procedures to ensure all security requirements, including the bond or deposit, are met before service activation.

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