Louisiana Administrative Code › Title 33 - ENVIRONMENTAL QUALITY › Part VII - Solid Waste › Subpart 2 - Recycling › Chapter 111 - Appendices › Section VII-11103 - Financial Assurance Documents-Appendix B

Current through Register Vol. 50, No. 6, June 20, 2024
A. Appendix B
Louisiana Department of Environmental
					 Quality
Financial Assurance Documents For
Waste Tire Facilities
The following documents are to be used to demonstrate
					 financial responsibility for the closure of waste tire facilities. The wording
					 of the documents shall be identical to the wording that follows, except that
					 the instructions in brackets are to be replaced with the relevant information
					 and the brackets deleted.
SAMPLE DOCUMENT 1:
WASTE TIRE FACILITY
FINANCIAL GUARANTEE BOND
Date bond was executed: [Date bond executed]
Effective date: [Effective date of bond]
Principal: [legal name and business address of
					 permit
holder or applicant]
Type of organization: [insert "individual," "joint
					 venture," " partnership," or "corporation"]
State of incorporation:
Surety: [name and business address]
[site identification number, site name, facility name, and
					 current closure amount for each facility guaranteed by this bond]
Total penal sum of bond: $
Surety's bond number:
Know All Persons By These Presents, That we, the Principal
					 and Surety hereto, are firmly bound to the Louisiana Department of
					 Environmental Quality Waste Tire Management Fund 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 Sureties
					 are corporations acting as cosureties, 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 or
					 liability is indicated, the limit of liability shall be the full amount of the
					 penal sum.
WHEREAS, said Principal is required, under the Louisiana
					 Environmental Quality Act,
					 R.S.
					 30:2001 et seq., to have a permit in order to
					 own or operate the waste tire facility identified above; and
WHEREAS, the Principal is required by law to provide
					 financial assurance for closure care, as a condition of the permit;
NOW THEREFORE, if the Principal shall provide alternate
					 financial assurance as specified in LAC 33:VII.10525.G.15 and 16 and obtain
					 written approval from the Office of Management and Finance, Financial Services
					 Division of such assurance, within 90 days after the date of notice of
					 cancellation is received by both the Principal and the administrative authority
					 from the Surety, then this obligation shall be null and void; otherwise it is
					 to remain in full force and effect.
The Surety shall become liable on this bond obligation only
					 when the Principal has failed to fulfill the conditions described above. Upon
					 notification by the administrative authority that the Principal has failed to
					 perform closure in accordance with the closure plan and permit requirements as
					 guaranteed by this bond, the Surety shall place funds in the amount guaranteed
					 for the facility into the standby trust as directed by the administrative
					 authority.
The Surety hereby waives notification of amendments to
					 closure plans, permits, applicable laws, statutes, rules, and regulations, and
					 agrees that no such amendment shall in any way alleviate its obligation on this
					 bond.
The liability of the Surety 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 hereunder exceed the amount of the
					 penal sum.
The Surety may cancel the bond by sending notice of
					 cancellation by certified mail to the Principal and to the Office of Management
					 and Finance, Financial Services Division. Cancellation shall not occur before
					 120 days have elapsed beginning on the date that both the Principal and the
					 administrative authority received the notice of cancellation, as evidenced by
					 the return receipts.
The Principal may terminate this bond by sending written
					 notice to the Surety and to the Office of Management and Finance, Financial
					 Services Division, provided, however, that no such notice shall become
					 effective until the Surety receives written authorization for termination of
					 the bond by the administrative authority.
The Principal and Surety hereby agree that no portion of
					 the penal sum may be expended without prior written approval of the
					 administrative authority.
IN WITNESS WHEREOF, the Principal and the Surety have
					 executed this FINANCIAL GUARANTEE BOND and have affixed their seals on the date
					 set forth above.
Those persons whose signatures appear below hereby certify
					 that they are authorized to execute this FINANCIAL GUARANTEE BOND on behalf of
					 the Principal and Surety, that each Surety hereto is authorized to do business
					 in the state of Louisiana and that the wording of this surety bond is identical
					 to the wording specified in the Louisiana Department of Environmental Quality's
					 Waste Tire Regulations, LAC 33:VII.11103. Appendix B effective on the date this
					 bond was executed.
PRINCIPAL
[Signature(s)]
[Name(s)]
[Title(s)]
[Corporate Seal]
CORPORATE SURETIES
[Name and Address]
State of incorporation:
Liability limit:
[Signature(s)]
[Name(s) and title(s)]
[Corporate seal]
[This information must be provided for each
					 cosurety]
Bond Premium: $
SAMPLE DOCUMENT 2:
WASTE TIRE FACILITY
PERFORMANCE BOND
Date bond was executed: [date bond executed]
Effective date: [effective date of bond]
Principal: [legal name and business address of permit
					 holder or applicant]
Type of organization: [insert "individual," "joint
					 venture," " partnership," or "corporation"]
State of incorporation:
Surety: [name(s) and business address(es)]
[Site identification number, site name, facility name,
					 facility address, and closure amount(s) for each facility guaranteed by this
					 bond]
Total penal sum of bond: $
Surety's bond number:
Know All Persons By These Presents, That we, the Principal
					 and Surety hereto, are firmly bound to the Louisiana Department of
					 Environmental Quality, Waste Tire Management Fund, 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 Sureties
					 are corporations acting as cosureties, 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 Louisiana
					 Environmental Quality Act,
					 R.S.
					 30:2001 et seq., to have a permit in order to
					 own or operate the waste tire facility identified above; and
whereas, the Principal is required by law to provide
					 financial assurance for closure care, as a condition of the permit;
therefore, the conditions of this obligation are such that
					 if the Principal shall faithfully perform closure, whenever required to do so,
					 of the facility for which this bond guarantees closure, in accordance with the
					 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;
or, if the Principal shall provide financial assurance as
					 specified in LAC 33:VII.10525.G.14-16 and obtain written approval of the Office
					 of Management and Finance, Financial Services Division of such assurance,
					 within 90 days after the date of notice of cancellation is received by both the
					 Principal and the administrative authority, then this obligation shall be null
					 and void; otherwise it is to remain in full force and effect.
The Surety shall become liable on this bond obligation only
					 when the Principal has failed to fulfill the conditions described
					 hereinabove.
Upon notification by the administrative authority that the
					 Principal has been found in violation of the closure requirements of the
Louisiana Administrative Code
, Title 33, Part VII, or of its
					 permit, for the facility for which this bond guarantees performances of
					 closure, the Surety shall either perform closure, in accordance with the
					 closure plan and other permit requirements, or place the closure amount
					 guaranteed for the facility into the Waste Tire Management Fund as directed by
					 the administrative authority.
Upon notification by the administrative authority that the
					 Principal has failed to provide alternate financial assurance as specified in
					 LAC 33:VII.10525.G.15-16 and obtain written approval of such assurance from the
					 Office of Management and Finance, Financial Services Division during the 90
					 days following receipt by both the Principal and the administrative authority
					 of a notice of cancellation of the bond, the surety shall place funds in the
					 amount guaranteed for the facility into the standby trust as directed by the
					 administrative authority.
The Surety hereby waives notification of amendments to
					 closure plans, permits, applicable laws, statutes, rules, and regulations, and
					 agrees that no such amendment shall in any way alleviate its 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 hereunder exceed the amount of the
					 penal sum.
The Surety may cancel the bond by sending notice of
					 cancellation by certified mail to the Principal and to the Office of Management
					 and Finance, Financial Services Division. Cancellation shall not occur before
					 120 days have elapsed beginning on the date that both the Principal and the
					 administrative authority received the notice of cancellation, as evidenced by
					 the return receipts.
The Principal may terminate this bond by sending written
					 notice to the Surety and to the administrative authority, provided, however,
					 that no such notice shall become effective until the Surety receives written
					 authorization for termination of the bond by the administrative
					 authority.
The Principal and Surety hereby agree that no portion of
					 the penal sum may be expended without prior written approval of the
					 administrative authority. in witness whereof, the Principal and the Surety have
					 executed this performance bond and have affixed their seals on the date set
					 forth above.
Those persons whose signatures appear below hereby certify
					 that they are authorized to execute this surety bond on behalf of the Principal
					 and Surety, that each Surety hereto is authorized to do business in the state
					 of Louisiana and that the wording of this surety bond is identical to the
					 wording specified by the Louisiana Department of Environmental Quality's Waste
					 Tire Regulations, LAC 33:VII.11103. Appendix B effective on the date this bond
					 was executed.
PRINCIPAL
[Signature(s)]
[Name(s)]
[Title(s)]
[Corporate Seal]
CORPORATE SURETY
[Name and Address]
State of incorporation:
Liability limit:
[Signature(s)]
[Name(s) and title(s)]
[Corporate seal]
[For every cosurety, provide signature(s), corporate seal,
					 and other information in the same manner as for Surety above.]
Bond Premium: $
SAMPLE DOCUMENT 3:
WASTE TIRE FACILITY
IRREVOCABLE LETTER OF CREDIT
Secretary
Louisiana Department of Environmental Quality
Post Office Box 4303
Baton Rouge, Louisiana 70821-4303
Attention: Office of Management and Finance,
Financial Services Division
Dear Sir:
We hereby establish our Irrevocable Standby Letter of
					 Credit Number [number] in favor of the Department of Environmental Quality of
					 the State of Louisiana at the request and for the account of [permit holder's
					 or applicant's name and address] for the closure fund for its [list site
					 identification number, site name, and facility name] at [location], Louisiana
					 for any sum or sums up to the aggregate amount of U.S. dollars $ [number] upon
					 presentation of:
(1) A sight draft,
				  bearing reference to the Letter of Credit Number [number] drawn by the
				  administrative authority together with;
(2) A statement signed by the administrative
				  authority, declaring that the operator has failed to perform closure in
				  accordance with the closure plan and permit requirements and that the amount of
				  the draft is payable into the standby trust.
The Letter of Credit is effective as of [date] and will
					 expire on [date], but such expiration date will be automatically extended for a
					 period of at least one year on the above expiration date, and on each
					 successive expiration date thereof, unless, at least 120 days before the then
					 current expiration date, we notify both the Office of Management and Finance,
					 Financial Services Division and the [name of permit holder or applicant] by
					 certified mail that we have decided not to extend this Letter of Credit beyond
					 the then current expiration date. In the event we give such notification, any
					 unused portion of this Letter of Credit shall be available upon presentation of
					 your sight draft for 120 days after the date of receipt by both the Department
					 of Environmental Quality and [name of permit holder/applicant] as shown on the
					 signed return receipts.
Whenever this Letter of Credit is drawn under and in
					 compliance with the terms of this credit, we shall duly honor such draft upon
					 presentation to us, and we shall deposit the amount of the draft to the
					 Department of Environmental Quality for deposit into the Waste Tire Management
					 Fund in the name of [name of permit holder or applicant] in accordance with the
					 administrative authority's instructions.
Except as otherwise expressly agreed upon, this credit is
					 subject to the uniform Customs and Practice for Documentary Credits (1983
					 Revision), International Chamber of Commerce Publication Number 400, or any
					 revision thereof effective on the date of issue of this credit.
We certify that the wording of this Letter of Credit is
					 identical to the wording specified in the Louisiana Department of Environmental
					 Quality's Waste Tire Regulations, LAC 33:VII.11103. Appendix B effective on the
					 date shown immediately below.
[Signature(s) and Title(s) of Official(s) of Issuing
					 Institutions] [Date]
SAMPLE DOCUMENT 4:
WASTE TIRE TRANSPORTER
FINANCIAL GUARANTEE BOND
Date bond was executed: [Date bond executed]
Effective date: [Effective date of bond]
Principal: [legal name and business address of permit
					 holder or applicant]
Type of organization: [insert "individual," "joint
					 venture," " partnership," or "corporation"]
State of incorporation:
Surety: [name and business address]
[site identification number, site name, facility name, and
					 current closure amount for each facility guaranteed by this bond]
Total penal sum of bond: $
Surety's bond number:
Know All Persons By These Presents, That we, the Principal
					 and Surety hereto, are firmly bound to the Louisiana Department of
					 Environmental Quality Waste Tire Management Fund 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 Sureties
					 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 or
					 liability is indicated, the limit of liability shall be the full amount of the
					 penal sum.
WHEREAS, said Principal is required by La.
					 R.S.
					 30:2418 and LAC 33:10523 to obtain
					 authorization from the administrative authority in order to transport waste
					 tires; and WHEREAS, the Principal is required by law to provide a surety bond
					 to ensure proper management of waste tires in accordance with the Department of
					 Environmental Qualitys Waste Tire Regulations as a condition of the
					 authorization;
The Surety shall become liable on this bond obligation only
					 when the Principal has failed to fulfill the conditions described above. Upon
					 notification by the administrative authority that the Principal has failed to
					 properly manage waste tires in its possession as guaranteed by this bond, the
					 Surety shall place funds in the amount guaranteed for the facility into the
					 Waste Tire Management Fund as directed by the administrative authority.
The Surety hereby waives notification of amendments to
					 transporter authorizations, applicable laws, statutes, rules, and regulations,
					 and agrees that no such amendment shall in any way alleviate its obligation on
					 this bond.
The liability of the Surety 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 hereunder exceed the amount of the
					 penal sum.
The Surety may cancel the bond by sending notice of
					 cancellation by certified mail to the Principal and to the Office of
					 Environmental Compliance, Waste Permits Division. Cancellation shall not occur
					 before 120 days have elapsed beginning on the date that both the Principal and
					 the administrative authority received the notice of cancellation, as evidenced
					 by the return receipts.
The Principal may terminate this bond by sending written
					 notice to the Surety and to the Office of Environmental Compliance, Waste
					 Permits Division, provided; however, that no such notice shall become effective
					 until the Surety receives written authorization for termination of the bond by
					 the administrative authority.
The Principal and Surety hereby agree that no portion of
					 the penal sum may be expended without prior written approval of the
					 administrative authority.
IN WITNESS WHEREOF, the Principal and the Surety have
					 executed this FINANCIAL GUARANTEE BOND and have affixed their seals on the date
					 set forth above.
Those persons whose signatures appear below hereby certify
					 that they are authorized to execute this FINANCIAL GUARANTEE BOND on behalf of
					 the Principal and Surety, that each Surety hereto is authorized to do business
					 in the state of Louisiana and that the wording of this surety bond is identical
					 to the wording specified in the Louisiana Department of Environmental Quality's
					 Waste Tire Regulations, LAC 33:VII.11103. Appendix B.
PRINCIPAL
[Signature(s)]
[Name(s)]
[Title(s)]
[Corporate Seal]
CORPORATE SURETIES
[Name and Address]
State of incorporation:
Liability limit:
[Signature(s)]
[Name(s) and title(s)]
[Corporate seal]
[This information must be provided for each
					 cosurety]
Bond Premium: $