RELATES TO:
KRS 350.020,
350.060,
350.062,
350.064,
350.093,
350.095,
350.100,
350.110,
350.151,
350.465,
350.515(5)
NECESSITY, FUNCTION, AND CONFORMITY: KRS Chapter 350 authorizes
the cabinet to promulgate administrative regulations to ensure bonds are
adequate to perform reclamation in the event of forfeiture.
KRS 350.515(5) authorizes
members to provide full-cost bonds in lieu of maintaining membership in the
fund. This administrative regulation establishes information for members that
elect to provide full-cost bonds rather than remain in the Kentucky Reclamation
Guaranty Fund.
Section 1.
Applicability. This administrative regulation applies to permittees electing to
provide full-cost bonds to the cabinet in lieu of participation in the Kentucky
Reclamation Guaranty Fund.
Section
2. Decision to Opt-out.
(1)
Pursuant to
KRS 350.515(5), a member may
elect to opt-out of the Kentucky Reclamation Guaranty Fund and provide a full
cost bond.
(2) A member joining the
KRGF after July 1, 2013, shall declare the decision to opt-out on the Technical
Information for a Mining Permit, Form MPA-03, incorporated by reference in
405 KAR 8:010, Section 26. This subsection shall not apply to
those permits issued pursuant to
405 KAR 8:010, Section 22.
Section 3. Full-Cost Reclamation Bonding
Estimate.
(2) Full-cost reclamation bonding estimates
shall be calculated pursuant to the Kentucky Department for Natural Resources
Full-cost Reclamation Bond Calculation Manual.
(3) The calculations shall be submitted on
one (1) of the following forms, incorporated by reference in
405 KAR
8:010:
(a) Technical
Information for a Mining Permit, Form MPA-03;
(b) Application to Transfer a Mining Permit,
MPA-07; or
(c) Application for a
Coal Marketing Deferment, MPA-10.
(4) The reclamation bonding estimate shall be
certified by a registered professional engineer, as defined in
KRS 322.010, in good standing.
(5) A member shall provide the full-cost
reclamation bond upon notification that the full-cost reclamation estimate has
been accepted by the department.
(6) A member with permits issued prior to
July 1, 2013 shall post full cost reclamation bonds with the department before
April 30, 2014 on all permits held by the member.
Section 4. Incorporation by Reference.
(1) "Kentucky Department for Natural
Resources Full-cost Reclamation Bond Calculation Manual", August 2013, is
incorporated by reference.
(2) This
material may be inspected, copied, or obtained, subject to applicable copyright
law, at the Kentucky Department for Natural Resources, 300 Sower Boulevard,
Frankfort, KY 40601, Monday through Friday, 8 a.m. to 4:30 p.m.
