Section R. 29.2172 - Replenishment of guarantees, letters of credit, or surety bondsRule 72. Section 280.115 is amended to read as follows:
Section 280.115.
(a) If at any time after a standby trust is funded, on the instruction of the director of the implementing agency, with funds drawn from a guarantee, local government guarantee with standby trust, letter of credit, or surety bond, and if the amount in the standby trust is reduced below the full amount of coverage required, then the O/O shall, by the anniversary date of the financial mechanism from which the funds were drawn, do either of the following: (1) Replenish the value of financial assurance to equal the full amount of coverage required.(2) Acquire another financial assurance mechanism for the amount by which funds in the standby trust have been reduced.(b) For purposes of this section, the full amount of coverage required is the amount of coverage to be provided by section 280.93 of this subpart. If a combination of mechanisms was used to provide the assurance funds that were drawn upon, then replenishment must occur by the earliest anniversary date among the mechanisms.Mich. Admin. Code R. 29.2172
1998-2000 AACS; 2018 MR 21, Eff. 11/14/2018