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COMMONWEALTH OF PENNSYLVANIA

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25 Pa. Code § 271.331. Bond and trust amount determination.

BOND AND TRUST REQUIREMENTS—AMOUNT


§ 271.331. Bond and trust amount determination.

 (a)  The total corpus amount of the trust established for a municipally operated landfill under this subchapter shall be calculated in the same manner as a bond under this subchapter. A person or municipality shall calculate the proposed amount of total bond liability or the total corpus amount of the trust established for a municipality operated landfill based upon the total estimated cost to the Commonwealth for the following:

   (1)  To complete final closure of the facility under the act, the environmental protection acts, this title, the terms and conditions of the permit and orders issued by the Department.

   (2)  To take measures necessary to prevent adverse effects upon public health and safety, public welfare and the environment, during operation and after closure, until released as provided by this subchapter.

 (b)  A person or municipality required to file a bond or establish a trust under this subchapter, shall prepare a written estimate of the cost of closing the facility under this article, and other related costs necessary to comply with the requirements of this article, for the purpose of determining the bond or trust corpus amount required by this subchapter. The related costs shall include direct and indirect expenses for taking measures during the period preceding final closure to prevent and correct adverse environmental affects from the operation of the facility.

   (1)  The cost estimate shall incorporate the likely increase in cost in the future, including inflation, as required by the Department.

   (2)  The Department may require adjustments to the cost estimate to meet the requirements of this chapter.

   (3)  The operator shall revise the cost estimate when a change in the closure plan or in the measures necessary to prevent adverse environmental affects increase the prior cost estimate.

   (4)  The written cost estimate shall be submitted to the Department on a form prepared by the Department.

   (5)  Within 90 days after closure of the facility, the operator shall prepare an updated written cost estimate. A new bond shall be submitted to the Department within 90 days after closure if the updated cost estimate indicates an increase from the prior estimate required by the Department. The bond shall reflect the updated cost estimate.

 (c)  The bond and trust corpus amount shall be calculated using guidelines prepared by the Department and shall be based on factors which include, but are not limited to, the following:

   (1)  The costs to the Commonwealth to conduct closure and postclosure care activities at the point in the life of the facility when costs to the Commonwealth would be greatest, as determined by the cost estimate for closure and postclosure care under this section, as well as costs of monitoring, sampling and analysis, soil and leachate analysis, facility security measures, remedial abatement measures and postclosure restoration and maintenance measures.

   (2)  The nature and size of the facility and type of operation.

   (3)  The quantity, type and nature of the waste to be managed at the facility.

   (4)  The costs related to size of the surface area, the topography and geology of the area and the land uses around the facility.

   (5)  The additional estimated costs to the Department which may arise from applicable public contracting requirements or the need to bring personnel and equipment to the permit area after its abandonment by the operator to perform restoration and abatement work.

   (6)  The additional estimated costs incident to or necessary and proper for the satisfactory completion of the requirements of the act, the environmental protection acts, this title, the terms and conditions of the permit and orders of the Department.

   (7)  The additional estimated cost for at least the next 3 years which is anticipated to be caused by inflation, determined by averaging the annual Implicit Price Deflator for Gross National Product published by the United States Commerce Department, or a superseding standard, for at least the prior 3 years.

   (8)  The compliance history of the operator, applicant, permittee and related parties, in § §  271.124 and 271.125 (relating to identification of interests; and compliance information).

 (d)  The bond and trust corpus amount shall cover areas where municipal waste disposal or processing activities are to be conducted.

 (e)  The minimum bond or trust corpus amount is $10,000.

 (f)  The Department will review the bond and trust corpus amount calculated by the operator and will not issue a permit, approve a closure plan or otherwise authorize operation of municipal waste processing or disposal facilities under this article prior to approval of the bond or trust corpus amount.

Source

   The provisions of this §  271.331 adopted April 8, 1988, effective April 9, 1988, 18 Pa.B. 1681; amended September 13, 1991, effective September 14, 1991, 21 Pa.B. 4179. Immediately preceding text appears at serial pages (126148) to (126150).

Cross References

   This section cited in 25 Pa. Code §  271.311 (relating to new facilities); 25 Pa. Code §  271.312 (relating to existing facilities); 25 Pa. Code §  271.328 (relating to trust fund for municipally operated landfills); 25 Pa. Code §  271.332 (relating to bond and trust amount adjustments); 25 Pa. Code §  271.341 (relating to release of bonds); 25 Pa. Code §  271.343 (relating to withdrawals from municipal trust); 25 Pa. Code §  272.104 (relating to withdrawals from trust fund); 25 Pa. Code §  273.313 (relating to annual operation report); 25 Pa. Code §  275.222 (relating to annual operation report); 25 Pa. Code §  277.312 (relating to annual operation report); 25 Pa. Code §  279.252 (relating to annual operation report); 25 Pa. Code §  281.272 (relating to annual operation report); and 25 Pa. Code §  283.262 (relating to annual operation report).



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