Kentucky Administrative Regulations › Title 405 - ENERGY AND ENVIRONMENT CABINET - DEPARTMENT FOR NATURAL RESOURCES › Chapter 10 - Bond and Insurance Requirements › Section 405 KAR 10:040 - Procedures, criteria and schedule for release of performance bond

Current through Register Vol. 51, No. 1, July 1, 2024
RELATES TO:
				KRS
				350.060,
				350.064,
				350.093,
				350.113,
				350.151,
				350.465,
				30 C.F.R. Parts 730-733, 735,
				800.40,
				917,
				30 U.S.C. 1253,
				1255,
				1269
NECESSITY, FUNCTION, AND CONFORMITY: KRS Chapter 350 in
				pertinent part requires the cabinet to set out by regulation procedures and
				criteria for the release of performance bond. This administrative regulation
				specifies the procedures, criteria, and schedule, including reclamation phases,
				for the release and partial release of liability under performance bonds. This
				administrative regulation also sets forth certain notice and hearing
				requirements pertinent to bond release.
Section
			 1. Procedures for Release of Performance Bond.
(1) Application for bond release. The
			 permittee or any person authorized to act on his or her behalf may or the
			 cabinet shall, initiate an application for release of all or part of the
			 performance bond liability applicable to a particular permit or increment after
			 all reclamation, restoration and abatement work in a reclamation phase as
			 defined in Section 2(4) of this administrative regulation has been completed on
			 the entire permit area or increment.
(a) Bond
			 release applications may only be filed at times or seasons that allow the
			 cabinet to evaluate properly the reclamation operations alleged to have been
			 completed.
(b) Within thirty (30)
			 days of the initiation of any bond release request, the permittee shall submit
			 copies of letters which it has sent to adjoining property owners, surface
			 owners (their agents and lessees), local governmental bodies, planning
			 agencies, sewage and water treatment authorities, and water companies in the
			 locality in which the surface coal mining and reclamation operation took place,
			 notifying them of the intention to seek release from the bond. For bond
			 releases initiated by the cabinet, the cabinet shall undertake the notification
			 requirements set forth in this subsection. The notices shall also state that
			 these individuals and their representatives may participate in a bond release
			 inspection by contacting the cabinet. These notices shall be sent at the time
			 the permittee initiates the application for release.
(c) Upon the filing of an application for
			 bond release by a permittee, or the initiation of such release by the cabinet,
			 the cabinet shall notify, by certified mail, within thirty (30) days of such
			 filing or initiation, the municipality or county judge-executive where the
			 surface coal mining operation is located.
(d) Within thirty (30) days after advertising
			 an application for bond release as per the requirements of subsection (2) of
			 this section, the permittee, or the cabinet if it elected to advertise as per
			 subsection (2) of this section, shall submit proof of said publication. Proof
			 of publication shall be placed, by the cabinet, with the bond release
			 application. Such proof of publication shall be considered part of the bond
			 release application.