(1) Bond: An applicant shall not disturb surface acreage or extend any underground shafts, tunnels or operations prior to issuance of a permit and approval of a performance bond covering areas to be affected by the new and/or continued operation of mining/quarrying.
After submission of an original permit application, permit reapplication, or permit renewal in order to conduct mining/quarrying operations has been approved, but before such a permit is issued, the applicant shall file a bond to the benefit of the LFUCG. The bond amount shall be equal of the estimated cost of reclamation. The reclamation costs shall be determined by the division of engineering based upon information submitted by the applicant and any other information available to the division. The bond shall be in a form approved by the division of engineering. Additional increases in the bond may be required annually upon permit renewal as described herein in section 8-4(5)(c). Bond previously posted shall be released for the areas disturbed in the last twelve (12) months if reclamation work has been completed.
The bond shall be conditioned upon the faithful performance of all the requirements and provisions of the reclamation plan and permit and shall cover all mining/quarrying and reclamation operations to be conducted within the permit area. The surety shall be in the form of cash, cashier's check, certified check, certificate of deposit, bank letter of credit or insurance surety bond.
(2) Bond Forfeiture: A bond for a permit area shall be forfeited if the division of engineering finds after notice that:
(a) The permittee has violated any of the terms, regulations or conditions of the bond and has failed to take corrective action;
(b) The permittee has failed to conduct the mining and reclamation operations in accordance with the regulations and/or conditions of the permit within the time required, and the division of engineering has determined that it is necessary, in order to fulfill the requirements of the permit, to have someone other than the permittee correct or complete reclamation;
(c) The permit for the area or increment under bond has been revoked or the operation terminated, unless the permittee or surety assumes liability to the satisfaction of the division of engineering for completion of the reclamation work and is, in the opinion of the division of engineering, diligently and satisfactorily performing such work;
(d) The permittee or surety has failed to comply with a compliance schedule issued pursuant to section 8-13(1); or
(e) The permittee has become insolvent, been adjudicated as bankrupt, filed a petition in bankruptcy or for a receiver, or had a receiver appointed by any court.
The permittee may appeal engineering's forfeiture of bond to the board as provided for in the zoning ordinance.
(3) Use of Forfeited Fund: The division of engineering shall utilize funds collected from bond forfeiture to complete the reclamation plan on the permit area on which bond coverage applied, and to cover associated administrative expenses. Such funds shall be deposited in an appropriate account for the payment of such costs. The owner/operator shall be responsible for any deficiencies in funds required for completion of the reclamation plan. Funds remaining after reclamation shall be returned to the person from whom the forfeiture proceeds were received.
(4) Bond Release: No portion of the guarantee contained in the release of bond required by these regulations will be released until after the final inspection and evaluation of vegetative cover. There shall be allowed a reduction in said bond amount for all reclamation completed at that time. An amount reasonably related to the cost of regrading and revegetation shall be retained for a period of up to eighteen (18) months following the final inspection and evaluation to ensure the completion of any regrading and/or revegetation that may become necessary during this period.
To release bond, the operator shall file with the division of engineering a written report stating under oath that reclamation has been completed on certain acreage and submit the following:
(a) Identification of the operation consisting of permit number and street address;
(b) A description of the area of land affected by the operation within the period of time covered by such report with sufficient certainty to enable it to be located and distinguished from other lands;
(c) A copy of the reclamation plan as required by section 8-4(3)(d) indicating the area that has been reclaimed and that is being submitted for bond release. The boundary shall be surveyed by a licensed surveyor or engineer.
(Ord. No. 252-91, § 1, 12-12-91; Ord. No. 127-2012, §§ 7—10, 10-11-12)