HF 2636

as introduced - 92nd Legislature (2021 - 2022) Posted on 04/19/2022 11:25am

A bill for an act
relating to natural resources; modifying financial assurance requirements for
nonferrous permit to mine; amending Minnesota Statutes 2020, sections 93.481,
subdivision 1; 93.49.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2020, section 93.481, subdivision 1, is amended to read:

Subdivision 1.

Prohibition against mining without permit; application for
permit.

Except as provided in this subdivision, after June 30, 1975, no person shall engage
in or carry out a mining operation for metallic minerals within the state unless the person
has first obtained a permit to mine from the commissioner. Any person engaging in or
carrying out a mining operation as of the effective date of the rules adopted under section
93.47 shall apply for a permit to mine within 180 days after the effective date of such rules.
Any such existing mining operation may continue during the pendency of the application
for the permit to mine. The person applying for a permit shall apply on forms prescribed
by the commissioner and shall submit such information as the commissioner may require,
including but not limited to the following:

(1) a proposed plan for the reclamation or restoration, or both, of any mining area affected
by mining operations to be conducted on and after the date on which permits are required
for mining under this section;

(2) a certificate issued by an insurance company authorized to do business in the United
States that the applicant has a public liability insurance policy in force for the mining
operation for which the permit is sought, or evidence that the applicant has satisfied other
state or federal self-insurance requirements, to provide personal injury and property damage
protection in an amount adequate to compensate any persons who might be damaged as a
result of the mining operation or any reclamation or restoration operations connected with
the mining operation;

new text begin (3) for a permit to mine nonferrous metallic minerals, a certificate issued by an insurance
company authorized to do business in the United States that the applicant has an
environmental impairment liability policy in force for the mining operation for which the
permit is sought that provides coverage for all loss, liability, and cleanup costs resulting
from the release of pollutants during the course of mining operations or any reclamation or
restoration operations connected with the mining operation, in an amount to be determined
by the commissioner;
new text end

deleted text begin (3) deleted text end new text begin (4) new text end an application fee of:

(i) $25,000 for a permit to mine for a taconite mining operation;

(ii) $50,000 for a permit to mine for a nonferrous metallic minerals operation;

(iii) $10,000 for a permit to mine for a scram mining operation; or

(iv) $5,000 for a permit to mine for a peat operation;

deleted text begin (4) a deleted text end new text begin (5) the deposit or new text end bond deleted text begin which may be deleted text end required deleted text begin pursuant to deleted text end new text begin under new text end section 93.49;
and

deleted text begin (5) deleted text end new text begin (6) new text end a copy of the applicant's advertisement of the ownership, location, and boundaries
of the proposed mining area and reclamation or restoration operations, which advertisement
shall be published in a legal newspaper in the locality of the proposed site at least once a
week for four successive weeks before the application is filed, except that if the application
is for a permit to conduct lean ore stockpile removal the advertisement need be published
only once.

Sec. 2.

Minnesota Statutes 2020, section 93.49, is amended to read:

93.49 FINANCIAL ASSURANCE OF OPERATOR.

new text begin (a) new text end The commissioner shall require a bond or other security or other financial assurance
satisfactory to the commissioner from an operator. The commissioner shall review annually
the extent of each operator's financial assurance under this section.

new text begin (b) Before issuing a permit to mine or amending a permit to mine, the commissioner
must require an operator of a nonferrous mining operation to submit financial assurance,
in the form of a cash bond or cash deposit, sufficient to cover the costs of:
new text end

new text begin (1) reclamation activities, including closure and postclosure maintenance; and
new text end

new text begin (2) corrective actions if noncompliance with design and operating criteria in the permit
to mine occurs.
new text end

new text begin (c) The commissioner must periodically review the amount of financial assurance to
ensure the amount equals outstanding reclamation costs.
new text end