Tenn. Comp. R. & Regs. 0400-52-01-.06 - FORFEITURE
(1) The Supervisor shall cause a notice of
noncompliance to be served upon the operator by certified mail, addressed to
the permanent address shown on the application for a permit:
(a) If the requirements with respect to
proper plugging upon abandonment of a well or wells and submission of all
required records and data have not been complied with within the time limits
set by the Board or Department, and/or,
(b) If the requirements with respect to
proper reclamation of the well site(s) and access roads have not been complied
with within the time limits set by the Board or Department.
(2) The notice shall specify in
what respects the operator has failed to comply with this chapter or the
regulations or orders of the Board or Department.
(3) If the operator has not reached an
agreement with the Supervisor, or has not complied with the requirements set
forth within 30 days after mailing the notice, the plugging bond shall then be
forfeited to the Department, and the money used by the Department to properly
plug the well(s), and/or the reclamation bond used to reclaim the well site(s)
and access roads..
(4) In the case
of the plugging bonds, such bonds are penal in nature, and the full amount of
the bond shall be forfeited.
(5) In
the case of reclamation bonds, such bonds are considered to be performance
bonds, and any portion of a reclamation bond not expended to perform the
reclamation work shall be refunded to the operator or his Bonding Agent if the
conditions of the bond are fully satisfied.
Notes
Authority: T.C.A ยงยง 60-1-201 et seq., and 4-5-201 et seq.
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