Each regulatory authority must prescribe and furnish forms for filing reclamation bonds. These forms differ for each type of bond. Some bond instruments such as certificates of deposit are negotiable instruments that need to be secured. All bonding documents need to be systematically filed and protected. Therefore, OSM and State offices secure bond instruments in locked filing cabinets, vaults, or fireproof safes to protect them from loss, theft, or fire.
Regulatory authorities use computer databases to track the status of the bonds they are holding.
Reclamation performance bonds are posted to cover all operations during the term of the permit. The regulatory authority must approve cumulative and incremental bond schedules should the permittee select one of those options. Under either a cumulative or an incremental bond schedule, the permittee must post additional bond before affecting lands in succeeding increments or additional lands in accordance with the approved cumulative schedule. Reclamation bonds are financial instruments with unique attributes and requirements. All bonds must be payable to, or pledged to, the regulatory authority.