§ 13-109. Financial assurance.

(a)

The Board of Supervisors, when taking action pursuant to Section 13-110 of this article, and the Director of Development Services, when approving annual adjustments in the financial assurances amount pursuant to subsection (e) of this section, shall require financial assurances as necessary to conform to the provisions of this article and with Section 2773.1 of the Public Resources Code.

(b)

In projecting the costs of financial assurances, it shall be assumed without prejudice or insinuation that the surface mining operation could be abandoned by the operator and, consequently, the County or State Department of Conservation may need to contract with a third party commercial company for reclamation of the site.

(c)

The mine operator or applicant shall submit a good faith calculation estimating the Financial Assurance amount for reclamation, based on the requirements of Public Resources Code Section 2773.1, the State's Financial Assurance Guidelines, and State regulations 14 CCR Section 3804. Such estimates shall be prepared by a California registered Professional Engineer and/or other similarly licensed or qualified professionals retained by the operator. The estimated amount of the financial assurance shall be based on an analysis of the physical activities necessary to implement the approved reclamation plan including, but not limited to, the costs to a commercial operator other than the permittee of labor, equipment, mobilization of equipment, materials, any maintenance and/or monitoring of reclaimed areas as may be required, the reasonable profit and costs for administration by a commercial operator other than the permittee, and the administrative costs of the State or County to oversee implementation of the reclamation plan. If the mine operation is phased and the operator provides a phasing program, financial assurances can be based on each specific phase.

(d)

The financial assurances shall remain in effect for the duration of the surface mining operation and any additional period until reclamation is completed (including any maintenance and/or monitoring required).

(e)

The amount of financial assurances required of a surface mining operation for any one (1) year shall be adjusted annually prior to the anniversary date for approval of the financial assurances. The mine operator shall annually submit to the Planning Division a revision of the calculation estimating the financial assurance so that it may be determined what adjustment, if any, should be made by the Director of Development Services in the amount of the financial assurance. The annual financial assurance cost estimate shall account for the cost of reclamation of existing lands disturbed by and accessory to surface mining operations in accordance with the approved reclamation plan, and shall also account for inflation and anticipated activities during the upcoming year, excepting that the permittee may not claim credit for reclamation scheduled for completion during the coming year.

(f)

A County employed, State licensed civil engineer and/or other similarly licensed or qualified professional shall be responsible for verifying financial assurance cost estimates so as to guarantee reclamation in accordance with the approved reclamation plan.

(g)

The Planning Division shall forward a copy of the annual financial assurance estimate to the State Department of Conservation for review. If the State Department of Conservation does not comment within forty-five (45) days of receipt of the estimate, it shall be assumed that the estimate is adequate, unless the County has reason to determine that additional costs may be incurred.

(h)

Financial assurances shall be made payable to the County and the Department of Conservation.

(Ord. No. 4035, § 2, 10-11-2011)