Virginia Administrative Code › Title 4 - CONSERVATION AND NATURAL RESOURCES › Agency 25 - DEPARTMENT OF ENERGY › Chapter 31 - RECLAMATION REGULATIONS FOR MINERAL MINING › Part III - Bonding › Section 4VAC25-31-320 - Minerals Reclamation Fund (MRF)

Current through Register Vol. 40, No. 24, July 15, 2024
A. Each operator who has had five years of
				  satisfactory operation in the Commonwealth under Chapter 12 (§ 45.2-1200
				  et seq.) of Title 45.2 of the Code of Virginia shall become a member of the
				  fund by making an initial payment to the fund of $50 for each acre currently
				  disturbed and each acre estimated to be affected by mining operations during
				  the next year. Thereafter the member shall make an annual payment of $12.50 for
				  each acre currently disturbed plus each acre estimated to be affected during
				  the next ensuing year. No annual Minerals Reclamation Fund deposits will be
				  collected from members where the permit Minerals Reclamation Fund deposits
				  divided by the number of bonded acres in the next ensuing year is equal to or
				  greater than $500.
B. Entry into
				  the Minerals Reclamation Fund shall be mandatory for all eligible
				  permittees.
C. Operator deposits
				  into the Minerals Reclamation Fund shall be released or retained under the
				  following conditions:
1. When the operation
				  and reclamation are complete and the reclaimed area is suitable for bond
				  release, Minerals Reclamation Fund deposits for the reclaimed area shall be
				  returned to the operator.
2. When
				  the mining permit is transferred to another permittee and division approval is
				  granted, Minerals Reclamation Fund deposits for the permit may be returned to
				  the transferring permittee.
3. When
				  a mining permit is completely relinquished to another operator, other than in a
				  permit transfer, all of the Minerals Reclamation Fund deposits for the permit
				  shall be returned to the relinquishing operator upon division approval of the
				  relinquishment.
4. After bond
				  release applications are approved by the division, Minerals Reclamation Fund
				  deposits for the permit shall be held or retained according to the following
				  formulas:
a. If the permit Minerals
				  Reclamation Fund balance divided by the number of acres remaining under bond is
				  equal to or greater than $500, Minerals Reclamation Fund deposits for the
				  permit will be released so that the remaining deposits equal $500 per acre for
				  the acres remaining under bond.
Example: 50 acres permitted; 10 acres bonded; 2 acres
					 requested for release; Minerals Reclamation Fund deposits = $4,000;
Minerals Reclamation Fund balance ÷ remaining bonded
					 acres = $500;
$4,000 ÷ (10-2) acres = $500.
b. If the permit Minerals Reclamation Fund
				  balance divided by the number of acres remaining under bond is less than $500,
				  the bond release amount will be determined by dividing the permit Minerals
				  Reclamation Fund deposit by the number of bonded acres including the acres to
				  be released and then multiplying by the number of acres to be released.
Example: 50 acres permitted; 10 acres bonded; 2 acres
					 requested for release; Minerals Reclamation Fund deposits = $3,000;
Minerals Reclamation Fund balance ÷ total bonded
					 acres = Release amount $ per acre;
$3,000 ÷ 10 acres = $300 per acre;
Release amount = $300 per acre x 2 acres = $600.