Virginia Administrative Code › Title 9 - ENVIRONMENT › Agency 25 - STATE WATER CONTROL BOARD › Chapter 770 - VIRGINIA FINANCIAL RESPONSIBILITY REQUIREMENTS FOR MITIGATION ASSOCIATED WITH TIDAL DREDGING PROJECTS › Part III - Compensatory Mitigation Plan And Financial Responsibility Criteria › Section 9VAC25-770-140 - Certificate of deposit

Current through Register Vol. 40, No. 24, July 15, 2024
A. A permittee
				  may satisfy the requirements of this chapter, wholly or in part, by obtaining a
				  certificate of deposit and assigning all rights, title and interest of the
				  certificate of deposit to the department, conditioned so that the permittee
				  shall comply with the approved compensatory mitigation plan filed for the
				  project. The issuing institution shall be an entity that has the authority to
				  issue certificates of deposit in the Commonwealth of Virginia and whose
				  operations are regulated and examined by a federal agency or the State
				  Corporation Commission (Commonwealth of Virginia). The permittee must submit
				  the originally signed assignment and the originally signed certificate of
				  deposit, if applicable, to the department.
B. The amount of the certificate of deposit
				  shall be at least equal to the current compensatory mitigation cost estimate
				  for the project for which the permit application has been filed or any part
				  thereof not covered by other financial responsibility mechanisms. The permittee
				  shall maintain the certificate of deposit and assignment until all activities
				  required by the approved compensatory mitigation plan have been
				  completed.
C. The permittee shall
				  be entitled to demand, receive and recover the interest and income from the
				  certificate of deposit as it becomes due and payable as long as the market
				  value of the certificate of deposit used continues to at least equal the amount
				  of the current cost estimate for compensatory mitigation activities.
D. The department shall cash the certificate
				  of deposit if the permittee has failed to implement compensatory mitigation in
				  accordance with the approved plan or other permit or special order
				  requirements.
E. In regards to
				  implementation of a compensatory mitigation plan either by the permittee or by
				  an authorized third party, proper implementation of a compensatory mitigation
				  plan shall be deemed to have occurred when the department determines that
				  compensatory mitigation has been completed. Such implementation shall be deemed
				  to have been completed when the provisions of the permittee's approved
				  compensatory mitigation plan have been executed and the provisions of any other
				  permit requirements or enforcement orders relative to the compensatory
				  mitigation plan have been complied with.
F. Whenever the approved compensatory
				  mitigation cost estimate increases to an amount greater than the amount of the
				  certificate of deposit, the permittee shall, within 60 days of the increase,
				  cause the amount of the certificate of deposit to be increased to an amount at
				  least equal to the new estimate or obtain another certificate of deposit to
				  cover the increase. Whenever the cost estimate decreases, the permittee may
				  reduce the amount of the certificate of deposit to the new estimate following
				  written approval by the department.
G. The department shall return the original
				  assignment and certificate of deposit, if applicable, to the issuing
				  institution for termination when:
1. The
				  permittee substitutes acceptable alternate evidence of financial responsibility
				  for implementation of the compensatory mitigation plan as specified in this
				  chapter; or
2. The department
				  notifies the permittee that he is no longer required by this chapter to
				  maintain evidence of financial responsibility for implementation of the
				  compensatory mitigation plan for the project.