N.M. Admin. Code § 20.9.20.58

Current through Register Vol. 35, No. 23, December 10, 2024

Section 20.9.20.58 - FINANCIAL ASSURANCE FOR CLOSURES

A. The owner or operator of a tire recycling facility or civil engineering application that uses scrap tires for land reclamation that is required to provide financial assurance pursuant to Subsection B of 20.9.20.12 NMAC and Subsection C of 20.9.20.17 NMAC shall develop a detailed written estimate, in current dollars, of the cost of hiring a third party to close the facility. The owner or operator shall file a copy of the estimate with the department concurrently with any request for approval of a financial assurance mechanism, and shall place a copy of the estimate in the operating record, and notify the department that the estimate has been placed in the operating record.

B. During the active life of the facility, the owner or operator shall annually adjust the cost estimate for inflation and any other factors affecting closure costs. A copy of the adjusted closure cost estimate shall be filed with the department, and a copy shall be placed in the operating record.

C. The owner or operator shall increase the amount of financial assurance if changes to the closure or facility conditions increase the maximum cost of closure or abatement at any time during the remaining active life by over 3 percent of the current financial assurance amount.

D. The owner or operator may reduce the amount of financial assurance for closure if the cost estimate exceeds the maximum cost of closure at any time during the remaining life of the facility, upon specific approval by the secretary. To seek approval, the owner or operator shall provide the adjusted cost estimate and supporting documentation to the department. If approved, the owner or operator may revise any financial assurance documents to reflect the adjusted closure cost estimate, and shall file a duplicate original of each financial assurance document with the department within 15 days following approval, and shall place a copy of the estimate and approval in the operating record.

E. Cost estimates for all facilities shall include department contract management costs of at least 10 percent of the estimated closure costs.

F. The owner or operator shall provide continuous coverage for closure until released from financial assurance requirements by a written verification issued by the secretary pursuant to Subsection D of 20.9.20.52 NMAC.

N.M. Admin. Code § 20.9.20.58

20.9.20.58 NMAC - N, 8/2/2007