Source: https://suretyone.com/federal-closure-and-post-closure-bond-epa
Timestamp: 2018-11-19 11:43:12
Document Index: 160326022

Matched Legal Cases: ['arts 264', 'art 264', 'art 264', '§264', '§264', '§264', '§264', '§264']

Federal Closure & Post-Closure Bond (EPA) • Surety One, Inc.
Federal Closure & Post-Closure Bond (EPA)
Bond Penalty: Follows EPA formula for financial assurance instruments
Waste handling and landfill facilities may fall under state and federal regulatory frameworks. Federal regulations is obligatory for Subtitle C treatment, storage, and/or disposal facilities . The Resource Conservation and Recovery Act (RCRA) provides specific guidelines for closure and post-closure bonds filed to meet the financial assurance requirements of the Code of Federal Regulations. Operators must clearly understand Title 40 of the CFRs Parts 264 through 265, and more specifically Part 264, Standards For Owners And Operators Of Hazardous Waste Treatment, Storage, And Disposal Facilities. For referral the following links provide the pertinent statutes and related information:
Part 264 - Standards for Owners and Operators
Per the EPA, "The RCRA hazardous waste regulations allow for two types of surety bonds. The first type, performance bonds, is allowed only at permitted facilities. With performance bonds, the surety guarantees that if the operator fails to meet its obligations under the terms of the bond, that the surety will either: 1) perform the requisite closure/post-closure activity in accordance with the plan on behalf of the opeator; or 2) pay the amount of the current closure or post-closure cost estimate, into a standby trust fund. Performance bonds cannot be combined with other financial assurance mechanisms. The second type, a "payment bond" is allowed at permitted and interim status facilities. With payment bonds, the surety guarantees that it is liable for the face value of the bond, in the amount of the current closure or post-closure cost estimate, if the Company has failed to perform any of the obligations guaranteed by said surety bond, and that the surety will pay that amount into a standby trust fund when the regulator informs it that the operatory has failed to perform.
The RCRA regulations prescribe the requirements for the use of either a performance or payment bond by a and operator within §§264.143(b) and (c) and §§264.145(b) and (c), respectively.
The operator must submit to the Regional Administrator an original signed surety bond which matches the federal regulatory wording specified in §§264.151(b), and;
The operator must establish a standby trust fund and submit an original signed copy of the standby trust agreement, including all schedules and exhibits to the Regional Administrator (see §§264.143(b)(3) and (c)(3), and/or §§264.145(b)(3) and (c)(3)).
The penal sum of the surety bond must be at least equal to the current closure/post-closure cost estimate. Whenever the closure/post-closure cost estimate increases to an amount greater than the penal sum of the surety bond during the operating life of the facility, the Company must increase the penal sum of the bond to an amount at least equal to the current cost estimate.
The surety company issuing the bond must be listed by the U.S. Treasury in Circular 570.
Applying for a closure bond and/or post-closure bond should be accomplished through a surety underwriter with unique knowledge and experience with this sector. One does not go to a podiatrist for brain surgery so we do not expect you to obtaining post closure or closure bonds from your auto insurance agent. We are surety bond "specialists". We offer both surety and fidelity bonds needed by MSWLs and HAZ treatment operations in all fifty states, Puerto Rico and the U.S. Virgin Islands. Questions about a landfill bond? Call us at (800) 373-2804, email us at Underwriting@SuretyOne.com or click here for live chat.