PRINTER'S NO. 894
No. 814 Session of 1989
INTRODUCED BY RHOADES, MUSTO, SALVATORE, SHUMAKER, REIBMAN,
PORTERFIELD, LEMMOND AND CORMAN, APRIL 10, 1989
REFERRED TO ENVIRONMENTAL RESOURCES AND ENERGY, APRIL 10, 1989
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," extending the
7 Emergency Bond Fund to anthracite surface mines; and making
8 an appropriation.
9 The General Assembly of the Commonwealth of Pennsylvania
10 hereby enacts as follows:
11 Section 1. The title and section 4.7 of the act of May 31,
12 1945 (P.L.1198, No.418), known as the Surface Mining
13 Conservation and Reclamation Act, amended or added December 12,
14 1986 (P.L.1570, No.171), are amended to read:
15 AN ACT
16 Providing for the conservation and improvement of land affected
17 in connection with surface mining; regulating such mining;
18 providing for the establishment of an Emergency Bond Fund for
19 anthracite deep mine operators and anthracite surface mine
20 operators; and providing penalties.
21 Section 4.7. Anthracite [Deep] Mine Operators Emergency Bond
1 Fund.--(a) Within thirty (30) days of the effective date of
2 this section, the department shall establish an Emergency Bond
3 Fund for the purpose of reclaiming any anthracite deep mined or
4 surface mined lands which may be abandoned after the effective
5 date of this section and on which the bond required by law and
6 established by regulation has not been posted due to
7 circumstances set forth in subsection (d).
8 (b) The department shall collect from the following classes
9 of licensed anthracite deep mine operators and anthracite
10 surface mine operators a fee of twenty-five cents (25¢) for each
11 ton of coal extracted from mining operations for which the
12 required bond has not been posted due to the circumstances set
13 forth in subsection (d):
14 (1) Licensed anthracite deep mine operators and anthracite
15 surface mine operators who submit to the department three
16 letters of rejection from three separate bonding companies
17 licensed to do business in this Commonwealth, stating that the
18 operator has been denied a bond and the grounds for rejection.
19 (2) Licensed anthracite deep mine operators and anthracite
20 surface mine operators whose bonds are canceled due to the
21 insolvency or bankruptcy of any insurance company or surety
22 company licensed to do business in this Commonwealth.
23 (c) The department shall deposit appropriations and the
24 moneys collected into the Emergency Bond Fund. The department
25 may establish such recordkeeping and reporting requirements as
26 may be necessary for the purpose of implementing this section.
27 Each operator affected by this section shall remit the fees to
28 the department within forty-five (45) days following the sale of
29 the tonnage on which the fee has been levied. The collection and
30 deposit of the fees shall continue until the fund has reached a
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1 level that equals the number of acres for which no bond has been
2 posted multiplied by the per-acre bonding requirement as
3 established by rules and regulations of the department.
4 (d) If the bonds of any anthracite deep mine operator or
5 anthracite surface mine operator are canceled due to the
6 insolvency or bankruptcy of any insurance company or surety
7 company authorized to do business in this Commonwealth, and if
8 replacement bonds from any other company are unavailable to the
9 operator, even though the operator possesses sufficient
10 financial resources to otherwise qualify for a bond, or if the
11 operator has received the letters of rejection provided for in
12 subsection (b), the operator shall so notify the department in
13 writing. Notice to the department in the case of an operator who
14 has received the letters of rejection provided for in subsection
15 (b) shall contain the letters of rejection and such other
16 information as the Environmental Quality Board may, by
17 regulation, prescribe. In lieu of a bond, the operator's
18 reclamation obligation for each site for which a permit has been
19 applied shall be secured by the Emergency Bond Fund provided for
20 in subsection (a) until such time as the site has been reclaimed
21 or until an original or replacement bond, as the case may be,
22 has been obtained by the operator: Provided, however, That no
23 permit shall be issued under this subsection unless the operator
24 has filed with the department a minimum payment of one thousand
25 dollars ($1,000) toward the bond obligation and borrowed the
26 remaining balances from the Emergency Bond Fund to cover the
27 bond amounts for the entire permit area, as required by law. At
28 such time as the operator has satisfied a reclamation obligation
29 secured by the fund provided for in section 1, the department
30 shall release to the operator the fees collected, in whole or in
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1 part, according to the bond release schedule provided for by
2 regulation. Any operator whose bond obligation is met by this
3 section and whose permit application has been approved shall,
4 throughout the term of the permit, undertake all reasonable
5 actions to obtain an original or replacement bond, as the case
6 may be, for said site.
7 (e) The Environmental Quality Board may adopt regulations
8 which require the operator to demonstrate, from time to time,
9 that he has made such reasonable attempts to obtain an original
10 or replacement bond.
11 (f) In collecting the fees provided for and in securing
12 reclamation obligations, the department shall maintain a
13 separate record for each operator. The fees paid by an operator
14 may be used only to secure the reclamation obligations of the
15 operator.
16 (g) The sum of fifty thousand dollars ($50,000) is hereby
17 appropriated to the department for immediate deposit into the
18 Emergency Bond Fund to provide the necessary funds for loans to
19 qualified anthracite deep mine operators and anthracite surface
20 mine operators to provide the required bonds to obtain mining
21 permits.
22 Section 2. (a) The sum of $50,000 is hereby appropriated to
23 the Department of Environmental Resources for immediate deposit
24 into the Emergency Bond Fund to provide additional funds for
25 loans to qualified anthracite deep mine operators for bonds
26 required to obtain mining permits.
27 (b) The sum of $100,000 is hereby appropriated to the
28 Department of Environmental Resources for immediate deposit into
29 the Emergency Bond Fund to provide additional funds for loans to
30 qualified anthracite surface mine operators for bonds required
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1 to obtain mining permits.
2 Section 3. This act shall take effect in 60 days.
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