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26.20.14.00.htm 26.20.14.00. Title 26 DEPARTMENT OF THE ENVIRONMENT Subtitle 20 SURFACE COAL MINING AND RECLAMATION UNDER FEDERALLY APPROVED PROGRAM Chapter 14 Performance Bonds Authority: Environment Article, §15-503 and 15-603, Annotated Code of Maryland
26.20.14.01.htm 26.20.14.01. 01 Bond Requirements.. A. After an application for a new, revised, or renewed permit to conduct surface coal mining and reclamation operations has been approved, but before the permit is issued, the operator shall file a performance bond with the Bureau, as required by Environment Article, §15-507, Annotated Code of Maryland. The bond covers the entire approved area or an identified increment of land within the approved area upon which the operator shall initiate and c
26.20.14.02.htm 26.20.14.02. 02 Form of Performance Bonds.. In accordance with Environment Article, Title 15, Subtitle 5, Annotated Code of Maryland, the Bureau may accept either:A. A surety bond executed by the operator and a corporate surety licensed to do business in the State; orB. A collateral bond in one of the following forms:. 1) A deposit of cash or negotiable bonds of the U.S. Government having a market value equal to the required bond amount,2) A certificate of deposit equal to the required
26.20.14.03.htm 26.20.14.03. 03 Amount of Performance Bonds.. A. The amount of the performance bonds required for a surface coal mining and reclamation permit shall be the estimated cost to perform the reclamation and restoration work required to achieve compliance with the Regulatory Program, and requirements of the permit, if the work had to be contracted out by the Bureau in the event of forfeiture.B. This amount shall be based on, but not limited to:. 1) The estimated costs submitted by the permittee;.
26.20.14.04.htm 26.20.14.04. 04 Adjustment of Bond Amount.. A. The amount of the performance bond liability applicable to a permit shall be adjusted by the Bureau as acreage in the permit area is revised, or when the cost of future reclamation or restoration work changes. The Bureau shall notify the permittee, the surety, and any person with a property interest in collateral who has requested notification in accordance with Regulation .06D of this chapter of any proposed bond adjustment and provide the pe
26.20.14.05.htm 26.20.14.05. 05 Duration of Performance Bonds.. A. Liability under performance bonds applicable to a permit shall continue until all reclamation and restoration work required by the Regulatory Program and the provisions of the permit have been completed, and the permit terminated by the release of the permittee from any further liability.B. In addition, except on lands eligible for remining, the period of liability for a bond shall continue for a minimum period of not less than 5 years
26.20.14.06.htm 26.20.14.06. 06 Conditions of Bonds.. A. Surety bonds are subject to the following conditions:. 1) The Bureau may not accept the bond of a surety company unless the bond is totally noncancellable by the surety, regardless of time or reason, including but not limited to nonpayment of premium or bankruptcy of the permittee during the period of liability;2) The Bureau may provide in the bond that the amount shall be confessed to judgment upon forfeiture;
26.20.14.07.htm 26.20.14.07. 07 Replacement of Bonds.. A. The Bureau may allow permittees to replace existing surety or collateral bonds with other surety or collateral bonds, if the liability which has accrued against the permittee on the permit area is transferred to those replacement bonds.B. The Bureau may not release existing performance bonds until the permittee has submitted and the Bureau has approved acceptable replacement performance bonds.
26.20.14.08.htm 26.20.14.08. 08 Criteria and Schedule for Release of Performance Bond.. A. The Bureau may not release any liability under any performance bonds until it finds that the permittee has met the requirements of the applicable reclamation phase as defined in §E of this regulation. The Bureau may release portions of the liability under performance bonds applicable to a permit following completion of reclamation phases on portions of the permit.B. Acreage may be released from the permit area on
26.20.14.09.htm 26.20.14.09. 09 Procedures for Release of Bonds.. A. Application for Release.. 1) The permittee may file an application with the Bureau for release of all or part of the bond required under Regulation .01A of this chapter for a particular permit in accordance with Regulation .08D of this chapter. Applications may be filed only at times or seasons that allow the Bureau to evaluate properly the reclamation operations presented in the applications as having been completed. Thes
26.20.14.10.htm 26.20.14.10. 10 Repealed..
26.20.14.11.htm 26.20.14.11. 11 Adjudicatory Hearings on Bond Release.. A. Within 30 days of receipt of notice of a decision by the Bureau on a bond release application, the permittee or any person adversely affected by the decision may request an adjudicatory hearing.B. Adjudicatory hearings shall be held in accordance with the procedures contained in COMAR 26.20.34.C. The party seeking to reverse the decision of the Bureau shall have the burden of proof.. D. The Bureau shall render a final decision on bon
26.20.14.12.htm 26.20.14.12. 12 Bond Forfeiture.. A. Bonds may be forfeited if the Bureau finds any of the following:. 1) The permittee has violated any of the terms or conditions of the bond;. 2) The permittee has failed to conduct mining operations in accordance with the conditions of the permit and the Regulatory Program;3) The permit for the area under bond has been revoked, unless the operator assumes liability for completion of reclamation work;4) The permittee has become insolvent, failed in b
26.20.14.13.htm 26.20.14.13. 13 Deep Mine Bonding Requirements.. A. Deep mine operations in the State shall comply with all of the bonding provisions of this chapter unless specifically indicated otherwise in this regulation. This requirement is independent of and in addition to any bonding requirements for these operations under the deep mining provisions of Environment Article, Title 15, Subtitle 6, Annotated Code of Maryland.B. The amount of bond under this chapter shall be calculated with respect t
26.20.14.9999.htm 26.20.14.9999. Administrative History Effective date:. Regulations .01―13 were previously codified as COMAR 08.13.09.15A―M, respectively. Recodification occurred in April, 1993. For a history of these regulations before April, 1993, see "Administrative History of COMAR 08.13.09 before April, 1993" which follows COMAR 26.20.01. ―Regulation .01 amended effective August 15, 1994 (21:16 Md. R. 1382). Regulation .05B amended effective August 15, 1994 (21:16 Md. R. 1382).
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