DEP Applies Conventional Coal Bonding Rates to Non-Coal Mining Operations

DEP has begun applying the conventional coal bonding rates to non-coal quarry operations. Despite the fact that the statutory and regulatory authority for DEP’s conventional coal bonding rates are different from the statutory and regulatory authority for the non-coal program, DEP is using the bonding rates published in the Pennsylvania Bulletin for coal mining operations.

DEP has indicated that its policy at this point is to require conventional bonding rates be applied to all new non-coal permit applications as well as any revisions or amendments to existing permits. The previous bond rate of $1,000 per acre has been utilized by DEP since the enactment of the Non-coal Mining Act. Under the new conventional bonding rates, the amount of bond required per acre is many times higher, DEP has requested more than $8,000 per acre on one permit I recently reviewed. The depth of the pit and distance of the spoil necessary for reclamation can substantially increase the required bond.

DEP has also indicated that operators with compliance issues may also be identified for increased bonding, even in the absence of a pending permit application or permit revision, in the DEP’s discretion.

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