Indiana Administrative Code
Title 312 - NATURAL RESOURCES COMMISSION
Article 25 - COAL MINING AND RECLAMATION OPERATIONS
Rule 5 - Bonding Liability Insurance
Section 5-17 - Forfeiture of bonds
Current through March 20, 2024
Authority: IC 14-34-2-1
Affected: IC 4-21.5; IC 14-34-3; IC 14-34-6; IC 14-34-9; IC 14-34-10
Sec. 17.
(a) The director shall forfeit all or part of a bond for any permit area or an increment of a permit area if reclamation operations are not conducted in accordance with the reclamation plan or the operator defaults on the conditions under which the bond was posted.
(b) The director may withhold forfeiture if the permittee and surety, if any, agree to a compliance schedule to comply with the violations of the permit or bond conditions.
(c) The director may allow the surety to complete the reclamation plan if the surety can demonstrate the ability to complete the reclamation plan, including achievement of the capability to support the alternative postmining land use approved by the director. No bond shall be released, except for partial releases authorized under section 16 of this rule, until successful completion of all reclamation under the terms of the permit, including applicable liability periods of section 7 of this rule.
(d) In the event a determination to forfeit bond is made, the department shall do the following:
(e) The written determination to forfeit all or part of the bond, including the reasons for forfeiture and the amount to be forfeited, shall be a final decision by the director.
(f) Upon default, the director may forfeit any and all bonds deposited to complete those reclamation operations for which the bonds were posted.
(g) The director shall utilize funds collected from bond forfeiture to complete the reclamation plan on the permit area on which bond coverage applies and to cover associated administrative expenses.