Section 59-8-108 - Performance bonds(a) After a surface coal mining and reclamation permit application is approved, but prior to issuance of the permit, the applicant shall file with the commissioner, on a form prescribed and furnished by the commissioner, a bond for performance payable to this state and conditioned on the faithful performance of this part and the permit. The bond shall cover the area of land within the permit area upon which the operator will initiate and conduct surface coal mining and reclamation operations within the initial term of the permit. As succeeding increments of surface coal mining and reclamation operations are to be initiated and conducted within the permit area, the operator shall file with the commissioner an additional bond or bonds to cover those increments in accordance with this section. The commissioner shall determine the amount of the bond required for each bonded area based upon the reclamation requirements of the approved permit and the probable difficulty of reclamation giving consideration to such factors as topography, geology of the site, hydrology, and revegetation potential. The amount of the bond must be sufficient to assure the completion of the reclamation plan if the work had to be performed by the commissioner in the event of forfeiture and in no case shall the bond for the entire area under one (1) permit be less than seventy-five thousand dollars ($75,000).(b)(1) Liability under the bond shall be for the duration of the surface coal mining and reclamation operation and for a period coincident with operator's responsibility for revegetation requirements in § 59-8-110. The bond must be executed by the operator and a corporate surety licensed to do business in this state, except that, subject to the approval of the commissioner, the operator may elect to deposit cash, negotiable bonds of the federal government or this state, negotiable certificates of deposit of any bank organized or transacting business in the United States, or any other collateral bonding method authorized by regulations promulgated by the secretary under such conditions as prescribed by the secretary. The cash deposit or market value of such securities shall be equal to or greater than the amount of the bond required for the bonded area. Cash or securities so deposited shall be deposited upon the same terms as the terms upon which surety bonds may be deposited.(2) The commissioner may approve an alternative bonding system if the system will achieve the objectives and purposes of the bonding program pursuant to this section.(c) [Deleted by 2023 amendment.](d) The commissioner shall adjust the amount of the bond or deposit required and the terms of each acceptance of the operator's bond from time to time as affected land acreages are amended and increased or decreased, as plans are changed, or when the cost of future reclamation changes.Amended by 2023 Tenn. Acts, ch. 401, s 4, eff. 5/11/2023.Amended by 2023 Tenn. Acts, ch. 401, s 3, eff. 5/11/2023.Repealed and reenacted by 2021 Tenn. Acts, ch. 548, s 3, eff. 5/26/2021.Added by 2018 Tenn. Acts, ch. 839, s 1, eff. eight (8) months immediately following the receipt of notification from the secretary of the interior that this state has been approved to exercise primacy over the regulation of surface coal mining and reclamation operations within its territorial boundaries.