§ 800.30 - Replacement of bonds.

§ 800.30 When may I replace a performance bond or financial assurance and when must I do so?

(a)

Replacement

upon request

of

permittee

bonds.

(

1

a) The regulatory authority may allow

you, the

a permittee

,

to replace existing

performance

bonds

and financial assurances

with other

performance

bonds

and financial assurances

that provide equivalent coverage.

(

2

b) The regulatory authority

may

shall not release

any

existing performance

bond or financial assurance until you have

bonds until the permittee has submitted, and the regulatory authority has approved,

an

acceptable replacement performance bonds. (b) Replacement by order of the regulatory authority.

(1) Upon the incapacity of a bank, surety, or other responsible financial entity by reason of bankruptcy, insolvency, or suspension or revocation of a charter or license, you will be deemed to be without bond coverage and you must promptly notify the regulatory authority.

(2) Upon receipt of notification from a bank, surety, or other responsible financial entity under § 800.16(e) of this part or from you under paragraph (b)(1) of this section, the regulatory authority must issue an order requiring that you submit replacement bond or financial assurance coverage within a reasonable time, not to exceed 90 days.

(3) If you do not post adequate bond or financial assurance by the end of the time allowed under paragraph (b)(2) of this section, the regulatory authority must issue a notice of violation requiring that you cease surface coal mining operations immediately. The notice of violation also must require that you either -

(i) Post adequate bond or financial assurance coverage before you may resume surface coal mining operations; or

(ii) Reclaim the site in accordance with the provisions of § 816.132 or § 817.132 of this chapter.

a performance bond pursuant to this section shall not constitute a release of bond under § 800.40.

[48 FR 32959, July 19, 1983, as amended at 81 FR 93381, Dec. 20, 2016; 82 FR 54972, Nov. 17, 2017]