PRINTER'S NO. 53
No. 50 Session of 1987
INTRODUCED BY PETRARCA, J. L. WRIGHT, SWEET, DISTLER, VAN HORNE, FARGO, HALUSKA, TRELLO, PRESTON, BELFANTI, STABACK, CAPPABIANCA, BURD, CARLSON AND BALDWIN, JANUARY 28, 1987
REFERRED TO COMMITTEE ON MINES AND ENERGY MANAGEMENT, JANUARY 28, 1987
AN ACT 1 Amending the act of May 31, 1945 (P.L.1198, No.418), entitled, 2 as amended, "An act providing for the conservation and 3 improvement of land affected in connection with surface 4 mining; regulating such mining; providing for the 5 establishment of an emergency bond fund for anthracite deep 6 mine operators; and providing penalties," providing for the 7 establishment of an emergency bond fund to reclaim certain 8 surface mined lands; and further providing for the 9 obligations of operators. 10 The General Assembly of the Commonwealth of Pennsylvania 11 hereby enacts as follows: 12 Section 1. Section 4 of the act of May 31, 1945 (P.L.1198, 13 No.418), known as the Surface Mining Conservation and 14 Reclamation Act, is amended by adding subsections to read: 15 Section 4. Mining Permit; Reclamation Plan; Bond.--* * * 16 (e.2) (1) Within thirty (30) days of the effective date of 17 this act, the department shall establish an emergency bond fund 18 for the purpose of reclaiming any surface mined lands which may 19 be abandoned after the effective date of this act and on which 20 the per-acre performance bond required by subsection (d) and
1 established by department regulations has not been posted due to 2 circumstances set forth in subsection (e.3). The department 3 shall collect from the following classes of licensed surface 4 mine operators a fee of one dollar ($1) for each ton of coal 5 extracted from surface mining operations for which the 6 department's per-acre bond has not been posted due to 7 circumstances set forth in subsection (e.3): 8 A. licensed surface mine operators who submit to the 9 department three letters of rejection from three separate 10 bonding companies licensed to do business in this Commonwealth, 11 stating that the operator has been denied a bond and the grounds 12 for rejection, and 13 B. licensed surface mine operators whose bonds are canceled 14 due to the insolvency or bankruptcy of any insurance company or 15 surety company licensed to do business in this Commonwealth. 16 (2) The department shall deposit such moneys into the 17 emergency bond fund. The department may establish such 18 recordkeeping and reporting requirements as may be necessary for 19 the purpose of implementing this subsection. Each operator 20 affected by this subsection shall remit such moneys to the 21 department within forty-five (45) days following the sale of the 22 tonnage on which the fee has been levied. The collection and 23 deposit of such moneys shall continue until the fund has reached 24 a level that equals the number of acres for which no per-acre 25 bond has been posted multiplied by the per-acre bonding 26 requirement as established by rules and regulations of the 27 department. 28 (e.3) If the bonds of any surface coal mine operator are 29 canceled due to the insolvency or bankruptcy of any insurance 30 company or surety company authorized to do business in this 19870H0050B0053 - 2 -
1 Commonwealth, and if replacement bonds from any other company 2 are unavailable to such operator, even though the operator 3 possesses sufficient financial resources to otherwise qualify 4 for a bond, or if the operator has received the letters of 5 rejection provided for in subsection (e.2), the operator shall 6 so notify the department in writing. Notice to the department in 7 the case of an operator who has received the letters of 8 rejection provided for in subsection (e.2) shall contain the 9 letters of rejection and such other information as the 10 Environmental Quality Board may, by regulation, prescribe. In 11 lieu of the per-acre bond required by this section, the 12 operator's reclamation obligation for each site for which a 13 permit has been applied shall be secured by the fund provided 14 for in subsection (e.2) until such time as said site has been 15 reclaimed or until an original or replacement bond, as the case 16 may be, has been obtained by the operator: Provided, however, 17 That no permit shall be issued under this subsection unless the 18 operator has filed with the department the minimum ten thousand 19 dollar ($10,000) bond for the entire permit area, as required by 20 subsection (d). At such time as the operator has satisfied a 21 reclamation obligation secured by the fund provided for in 22 subsection (e.2), the department shall release to the operator 23 the fees collected, in whole or in part, according to the bond 24 release schedule provided for in subsection (g). Any operator 25 whose bond obligation is met by this subsection and whose permit 26 application has been approved shall, throughout the term of the 27 permit, undertake all reasonable actions to obtain an original 28 or replacement bond, as the case may be, for said site. The 29 Environmental Quality Board may adopt regulations which require 30 the operator to demonstrate, from time to time, that he has made 19870H0050B0053 - 3 -
1 such reasonable attempts to obtain an original or replacement 2 bond. 3 (e.4) In collecting the fees provided for in subsection 4 (e.2) and in securing reclamation obligations pursuant to 5 subsection (e.3), the department shall maintain a separate 6 record for each operator. The fees paid by an operator may be 7 used only to secure the reclamation obligations of said 8 operator. 9 * * * 10 Section 2. This act shall take effect immediately. L30L52JLW/19870H0050B0053 - 4 -