Indiana Administrative Code › Title 329 - SOLID WASTE MANAGEMENT DIVISION › Article 3.1 - HAZARDOUS WASTE MANAGEMENT PERMIT PROGRAM AND RELATED HAZARDOUS WASTE MANAGEMENT › Rule 14 - Financial Requirements for Owners and Operators of Interim Status Hazardous Waste Treatment, Storage, and Disposal Facilities › Section 14-28 - Wording of performance bonds

Current through July 10, 2024
Authority: IC 13-14-8; IC 13-22-2; IC 13-22-8-1; IC
				  13-22-9-7
Affected: IC 13-22; IC 13-11-2-71
Sec. 28.
A surety bond guaranteeing performance of corrective action,
				  closure, or post-closure care, as specified in
				  329 IAC
				  3.1-15-4(d)  or
				  329 IAC
				  3.1-15-6(d),
				  329 IAC
				  3.1-15-10(c) ), must be worded as
				  follows except that the instructions in brackets are to be replaced with the
				  relevant information and the brackets deleted:
Performance Bond
Date bond executed:
				  ________________________________________
Effective date:
				  _____________________________________________
Principal: [legal name and business address of owner or
				  operator]
Type of organization: [insert "individual", "joint venture",
				  "partnership", or "corporation"]
State of incorporation:
				  _______________________________________
Surety(ies): [name(s) and business address(es)]:
				  ___________________________________
U.S. EPA identification number, name, address, and
				  corrective action, closure, and/or post-closure amount(s) for each facility
				  guaranteed by this bond [indicate corrective action, closure, and post-closure
				  amounts separately]: _____________
Total penal sum of bond:
				  _____________________________________
Surety's bond number:
				  _______________________________________
We, the Principal and Surety(ies) hereto are firmly bound to
				  the Department of Environmental Management of the State of Indiana (IDEM), in
				  the above penal sum for the payment of which we bind ourselves, our heirs,
				  executors, administrators, successors, and assigns jointly and severally;
				  provided that, where the Surety(ies) are corporations acting as co-sureties,
				  we, the Sureties, bind ourselves in such sum "jointly and severally" only for
				  the purpose of allowing a joint action or actions against any or all of us, and
				  for all other purposes each Surety binds itself jointly and severally with the
				  Principal, for the payment of such sum only as is set forth opposite the name
				  of such Surety, but if no limit of liability is indicated, the limit of
				  liability shall be the full amount of the penal sum.
Whereas said Principal is required, under the environmental
				  management laws as defined at IC 13-11-2-71, to have a permit in order to own
				  or operate each hazardous waste management facility identified above,
				  and
Whereas said Principal is required to provide financial
				  assurance for corrective action, closure, and/or post-closure care, as a
				  condition of the permit, and
Whereas said Principal shall establish a standby trust fund
				  as is required when a surety bond is used to provide such financial
				  assurance;
Now, Therefore, the conditions of this obligation are such
				  that if the Principal shall faithfully perform corrective action or closure,
				  whenever required to do so, of each facility for which this bond guarantees
				  corrective action or closure, in accordance with the corrective action or
				  closure plan and other requirements of the permit as such plan and permit may
				  be amended, pursuant to all applicable laws, statutes, rules, and regulations,
				  as such laws, statutes, rules, and regulations may be amended.
And, if the Principal shall faithfully perform post-closure
				  care of each facility for which this bond guarantees post-closure care, in
				  accordance with the post-closure care plan and other requirements of the
				  permit, as such plan and permit may be amended, pursuant to all applicable
				  laws, statutes, rules, and regulations, as such laws, statutes, rules, and
				  regulations may be amended,
Or, if the Principal shall provide alternate financial
				  assurance in accordance with
				  329
				  IAC 3.1-15, and obtain the IDEM commissioner's written
				  approval of such assurance, within ninety (90) days after the date notice of
				  cancellation is received by both the Principal and the IDEM commissioner from
				  the Surety(ies), then this obligation shall be null and void, otherwise it is
				  to remain in full force and effect.
The Surety(ies) shall become liable on this bond obligation
				  only when the Principal has failed to fulfill the conditions described
				  above.
Upon notification by the IDEM commissioner that the Principal
				  has been found in violation of the corrective action or closure requirements of
				  329
				  IAC 3.1-9, for a facility for which this bond
				  guarantees performance of corrective action or closure, Surety(ies) shall
				  either perform corrective action or closure in accordance with the corrective
				  action or closure plan and other permit requirements or place the corrective
				  action or closure amount guaranteed for the facility into the standby trust
				  fund as directed by the IDEM commissioner.
Upon notification by the IDEM commissioner that the Principal
				  has been found in violation of the post-closure requirements of
				  329
				  IAC 3.1-9 for a facility for which this bond
				  guarantees performance of post-closure care, the Surety(ies) shall either
				  perform post-closure care in accordance with the post-closure plan and other
				  permit requirements or place the post-closure amount guaranteed for the
				  facility into the standby trust fund as directed by the IDEM
				  commissioner.
Upon notification by the IDEM commissioner that the Principal
				  has failed to provide alternate financial assurance in accordance with
				  329
				  IAC 3.1-15, and obtain written approval of such
				  assurance from the IDEM commissioner during the ninety (90) days following
				  receipt by both the Principal and the IDEM commissioner of a notice of
				  cancellation of the bond, the Surety(ies) shall place funds in the amount
				  guaranteed for the facility(ies) into the standby trust fund as directed by the
				  IDEM commissioner.
The Surety(ies) hereby waive(s) notification of amendments to
				  corrective action or closure plans, permits, applicable laws, statutes, rules,
				  and regulations and agree(s) that no such amendment shall in any way alleviate
				  its (their) obligation on this bond.
The liability of the Surety(ies) shall not be discharged by
				  any payment or succession of payments hereunder, unless and until such payment
				  or payments shall amount in the aggregate to the penal sum of the bond, but in
				  no event shall the obligation of the Surety(ies) hereunder exceed the amount of
				  said penal sum.
The Surety(ies) may cancel the bond by sending notice of
				  cancellation by certified mail to the owner or operator and to the IDEM
				  commissioner, provided, however, that cancellation shall not occur during the
				  one hundred twenty (120) days beginning on the date of receipt of the notice of
				  cancellation by both the Principal and the IDEM commissioner, as evidenced by
				  the return receipts.
The Principal may terminate this bond by sending written
				  notice to the Surety(ies) provided, however, that no such notice shall become
				  effective until the Surety(ies) receive(s) written authorization for
				  termination of the bond by the IDEM commissioner.
[The following paragraph is an optional rider that may be
				  included but is not required.]
Principal and Surety(ies) hereby agree to adjust the penal
				  sum of the bond yearly so that it guarantees a new corrective action, closure,
				  and/or post-closure amount, provided that the penal sum does not increase by
				  more than twenty percent (20%) in any one (1) year, and no decrease in the
				  penal sum takes place without the written permission of the IDEM
				  commissioner.
In Witness Whereof, The Principal and Surety(ies) have
				  executed this Performance Bond and have affixed their seals on the date set
				  forth above.
The persons whose signatures appear below hereby certify that
				  they are authorized to execute this surety bond on behalf of the Principal and
				  Surety(ies) and that the wording of this surety bond is identical to the
				  wording specified in 329 IAC 3.1-14-28 as such rule was constituted on the date
				  this bond was executed.
Principal
[Signature(s)]
[Name(s)]
[Title(s)]
[Corporate seal]
Corporate Surety(ies)
[Name and address]
				  ____________________________________________
State of incorporation:
				  __________________________________________
Liability limit: $
				  _______________________________________________
[Signature(s)]
[Name(s) and title(s)]
				  ___________________________________________
[Corporate seal]:
[For every co-surety, provide signature(s), corporate seal,
				  and other information in the same manner as for surety above.]
Bond premium: $
				  _______________________________________________
(Note: The corporate seal is not required by Indiana
				  law.)