New Mexico Administrative Code
Title 19 - NATURAL RESOURCES AND WILDLIFE
Chapter 8 - COAL MINING
Part 14 - GENERAL REQUIREMENTS FOR BONDING OF SURFACE COAL MINING AND RECLAMATION OPERATIONS
Section 19.8.14.1412 - REQUIREMENT TO RELEASE PERFORMANCE BONDS

Universal Citation: 19 NM Admin Code 19.8.14.1412

Current through Register Vol. 35, No. 18, September 24, 2024

A. Bond release application.

(1) The permittee may file an application with the director for the release of all or part of a performance bond. Applications may be filed only at times or during seasons authorized by the director in order to properly evaluate the completed reclamation operations. The times or seasons appropriate for the evaluation of certain types of reclamation shall be established in the mining and reclamation plan approved by the director.

(2) An application for a bond release shall at a minimum contain the following information:
(a) the permittee's name, address and the appropriate permit number;

(b) an accurate legal description of the land sought for bond release (either metes and bounds or precise section, township and range designations);

(c) the location of the area proposed for bond release shown on a USGS 7.5' map, which should also show the permit boundaries;

(d) a brief narrative summarizing the past history of the mine, the type, amount and date of the current bonding instrument, the number of acres included in the bond release application and the portion it represents of the total permit area, a description of the type and dates of the reclamation performed with a summary of the results achieved as they relate to the approved reclamation plan, and any other pertinent information that the applicant or the director may consider appropriate;

(e) a table listing the names, addresses and number of acres held by each of the surface and mineral owners of record in the area proposed for bond release;

(f) copies of letters sent to adjoining landowners, local governmental bodies, tribal governments, planning agencies, sewage and water treatment authorities, and water companies in the locality of the reclamation operation, notifying them of the permittee's intention to seek bond release; and

(g) other maps or other information as may be appropriate or required by the director to locate or characterize the areas proposed for bond release, revegetation, hydrological or other reclamation issues;

(h) the permittee shall include in the application for bond release a notarized statement which certifies that all applicable reclamation activities have been accomplished in accordance with the requirements of SMCRA, the act, the regulatory program, and the approved reclamation plan; a certification shall be submitted for each application or phase of bond release.

(3) Within 30 days after an application for bond release has been filed with the director, the operator shall submit a copy of an advertisement placed at least once a week for four successive weeks in a newspaper of general circulation in the locality of the surface coal mining operation. The advertisement shall be considered part of any bond release application and shall contain the permittee's name, permit number and approval date, notification of the precise location of the land affected, the number of acres, the type and amount of the bond filed and the portion sought to be released, the type and appropriate dates of reclamation work performed, a description of the results achieved as they relate to the operator's approved reclamation plan, and the name and address of the director, to whom written comments, objections, or requests for public hearings and informal conferences on the specific bond release may be submitted pursuant to Subsections F and H of 19.8.14.1412 NMAC.

B. Inspection by director.

(1) Upon receipt of the bond release application, the director shall, within 30 days, or as soon thereafter as weather conditions permit, conduct an inspection and evaluation of the reclamation work involved. The evaluation shall consider, among other factors, the degree of difficulty to complete any remaining reclamation, whether pollution of surface and subsurface water is occurring, the probability of future occurrence of such pollution, and the estimated cost of abating such pollution. The surface owner, agent, or lessee shall be given notice of such inspection and may participate with the director in making the bond release inspection. The director may arrange with the permittee to allow access to the permit area, upon request by any person with an interest in bond release, for the purpose of gathering information relevant to the proceeding.

(2) Within 60 days from the filing of the bond release application, if no public hearing is held pursuant to Subsection F of 19.8.14.1412 NMAC, or, within 30 days after a public hearing has been held pursuant to Subsection F of 19.8.14.1412 NMAC, the director shall notify in writing the permittee, the surety or other persons with an interest in bond collateral who have requested notification under Subsection F of 19.8.14.1409 NMAC, and the persons who either filed objections in writing or objectors who were a party to the hearing proceedings, if any, of its decision to release or not to release all or part of the performance bond.

C. The director may release all or part of the bond for the entire permit area or incremental area if the director is satisfied that all the reclamation or a phase of the reclamation covered by the bond or portion thereof has been accomplished in accordance with the following schedules for reclamation of phases I, II, and III.

(1) At the completion of phase I, after the operator completes the backfilling, regrading (which may include the replacement of topsoil) and drainage control of a bonded area in accordance with the approved reclamation plan, 60 percent of the bond or collateral for the applicable area.

(2) At the completion of phase II, after revegetation has been established on the regraded mined lands in accordance with the approved reclamation plan, an additional amount of bond. When determining the amount of bond to be released after successful revegetation has been established, the director shall retain that amount of bond for the revegetated area which would be sufficient to cover the cost of reestablishing revegetation if completed by a third party and for the period specified for operator responsibility in Section 69-25A-19 NMSA 1978 of the act for reestablishing revegetation. No part of the bond or deposit shall be released under this paragraph so long as the lands to which the release would be applicable are contributing suspended solids to streamflow or runoff outside the permit area in excess of the requirements set by Paragraph (10) of Subsection B of Section 69-25A-19 NMSA 1978 of the act and by 19.8.19 NMAC through 19.8.28 NMAC or until soil productivity for prime farmlands has returned to the equivalent levels of yield as non-mined land of the same soil type in the surrounding area under equivalent management practices as determined from the soil survey performed pursuant to Paragraph (16) of Subsection B of Section 69-25A-10 NMSA 1978 of the act and 19.8.24 NMAC. Where a silt dam is to be retained as a permanent impoundment pursuant to 19.8.19 NMAC through 19.8.28 NMAC, the phase II portion of the bond may be released under this paragraph so long as provisions for sound future maintenance by the operator or the landowner have been made with the director.

(3) At the completion of phase III, after the operator has completed successfully all surface coal mining and reclamation activities, the release of the remaining portion of the bond, but not before the expiration of the period specified for operator responsibility in 19.8.20.2065 NMAC. However, no bond shall be fully released under provisions of this section until reclamation requirements of the act and the permit are fully met.

D. If the director disapproves the application for release of the bond or portion thereof, the director shall notify the permittee, the surety, and any person with an interest in collateral as provided for in Subsection F of 19.8.14.1409 NMAC, in writing, stating the reasons for disapproval and recommending corrective actions necessary to secure the release and allowing an opportunity for a public hearing.

E. When any application for total or partial bond release is filed with the director, the director shall notify the municipality in which the surface coal mining operation is located by certified mail at least 30 days prior to the release of all or a portion of the bond.

F. Any person with a valid legal interest which might be adversely affected by release of the bond, or the responsible officer or head of any federal, state, tribal or local governmental agency which has jurisdiction by law or special expertise with respect to any environmental, social, or economic impact involved in the operation or which is authorized to develop and enforce environmental standards with respect to such operations, shall have the right to file written objections to the proposed release from bond with the director within 30 days after the last publication of the notice required by Paragraph (3) of Subsection A of 19.8.14.1412 NMAC. If written objections are filed and a hearing is requested, the director shall inform all the interested parties of the time and place of the hearing, and shall hold a public hearing within 30 days after receipt of the request for the hearing. The date, time, and location of the public hearing shall be advertised by the director in a newspaper of general circulation in the locality for two consecutive weeks. The public hearing shall be held in the locality of the surface coal mining operation from which bond release is sought, or at the location of the director's office, at the option of the objector.

G. For the purpose of the hearing under Subsection F of 19.8.14.1412 NMAC, the director shall have the authority to administer oaths, subpoena witnesses or written or printed material, compel the attendance of witnesses or the production of materials, and take evidence including, but not limited to, inspection of the land affected and other surface coal mining operations carried on by the applicant in the general vicinity. A verbatim record of each public hearing shall be made, and a transcript shall be made available on the motion for any party or by order of the director.

H. Without prejudice to the right of an objector or the applicant, the director may hold an informal conference as provided in Subsection B of Section 69-25A-17 NMSA 1978 of the act to resolve such written objections. The director shall make a record of the informal conference unless waived by all parties, which shall be accessible to all parties. The director shall also furnish all parties of the informal conference with a written finding of the director based on the informal conference, and the reasons for said finding.

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