Amended in Senate March 16, 2016

Amended in Senate September 1, 2015

Amended in Senate August 18, 2015

Amended in Senate July 1, 2015

Amended in Assembly June 3, 2015

Amended in Assembly May 5, 2015

Amended in Assembly April 6, 2015

California Legislature—2015–16 Regular Session

Assembly BillNo. 1142


Introduced by Assembly Member Gray

February 27, 2015


An act to amend Sectionsbegin delete 2207,end delete 2715.5, 2733, 2770, 2772, 2773.1, 2774, 2774.1, 2774.2, and 2774.4 of, to add Sections 2736, 2772.1, and 2773.4 to, and to add and repeal Section 2207.2 of, the Public Resources Code, relating to mining and geology.

LEGISLATIVE COUNSEL’S DIGEST

AB 1142, as amended, Gray. Mining and geology: surface mining.

(1) The Surface Mining and Reclamation Act of 1975 prohibits a person, with exceptions, from conducting surface mining operations unless, among other things, a permit is obtained from, a specified reclamation plan is submitted to and approved by, and financial assurances for reclamation have been approved by the lead agency for the operation of the surface mining operation.

This bill would revise and recast provisions of the act related to the approval of reclamation plans and, among other things, would require a reclamation plan filed by an operator of a surface mining operation with a lead agency to include specified reclamation maps; require a lead agency, when submitting a proposed reclamation plan to the Director of Conservation, to incorporate specified items of information and documents in the submitted reclamation plan within certain timeframes; and require the director to take certain actions upon receiving a proposed reclamation plan. By adding to the duties of a local government acting as a lead agency under the act, this bill would impose a state-mandated local program.

This bill would revise and recast provisions of the act related to financial assurances and, among other things, would require an operator to replace an approved financial assurance only if the financial assurance cost estimate identifies a need to increase the amount of the financial assurance; require a lead agency to submit a surface mining operation’s proposed financial assurance cost estimate to the director for review, as specified; and require the director to take certain actions upon receiving a financial assurance cost estimate from a lead agency. By adding to the duties of a local government acting as a lead agency under the act, this bill would impose a state-mandated local program.

This bill also would require a lead agency or the State Mining and Geology Board to conduct a specified public hearing if the lead agency has evidence that an operator may be financially incapable of performing reclamation in accordance with its approved reclamation plan or that the operator has abandoned a surface mining operation without completing reclamation and to take appropriate actions to forfeit the operator’s financial assurances if warranted following that hearing.

This bill would require the director, no later than December 31, 2021, to submit a specified report to the Legislature on the expenditure of moneys in the Mine Reclamation Account.

(2) The act requires the owner or operator of a mining operation to forward annually to the director and the lead agency a report that provides, among other things, proof of annual inspection by the lead agency. The act also requires every lead agency to adopt ordinances that establish procedures for the review and approval of reclamation plans, and, before approving a reclamation plan, to submit the plan to the director. The act requires a lead agency to inspect a surface mining operation within 6 months of receiving a specified report and to conduct an inspection no less than once every calendar year. The act authorizes a lead agency to cause an inspection to be conducted by a state-licensed geologist, state-licensed civil engineer, state-licensed landscape architect, or state-licensed forester, as specified.

This bill would revise and recast those provisions and, among other things, wouldbegin delete require the owner or operator to provide a copy of the previously completed annual inspection form and a requested date within 12 months of the prior inspection date for the next annual inspection by the lead agency;end delete authorize a lead agency to cause an inspection to be conducted bybegin delete an unlicensedend deletebegin insert a qualifiedend insert employee of the lead agency who meets specified criteria and who, after January 1,begin delete 2019,end deletebegin insert 2020,end insert has completed an inspection workshop, as provided; impose new requirements on the lead agency related to the timing of inspections;begin delete impose timelines on a lead agency related to the submission of an application for a permit to conduct a surface mining operation;end delete and require thebegin delete directorend deletebegin insert departmentend insert tobegin delete provideend deletebegin insert establishend insert a training program for lead agency employees who inspect surface mining operationsbegin delete after January 1, 2019.end deletebegin insert no later than December 31, 2017.end insert By adding to the duties of a local government acting as a lead agency, this bill would impose a state-mandated local program.

(3) The act requires that the lead agency have primary responsibility in enforcing the act. The act authorizes, in cases where the board is not the lead agency, the director to initiate enforcement actions if the lead agency has been notified by the director, for at least 30 days, of a violation and has not taken appropriate enforcement action, or the director determines there is a violation that presents an imminent and substantial endangerment to the public health or safety or the environment. The act establishes procedures and timelines for an operator to have an order setting administrative penalties reviewed by a legislative body of a lead agency, the board, or a superior court.

This bill would revise and recast those provisions and, among other things, would revise the timelines and actions related to the issuance of an order to comply and, after the expiration of a specified review period, authorize the director or the board when it acts as a lead agency to apply to the small claims court or the superior court, as appropriate, for a judgment to collect an unpaid administrative penalty.

(4) The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.

(5) This bill would make its operation contingent on the enactment and operation of Senate Bill 209 of the 2015-16 Regular Session.

Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: yes.

The people of the State of California do enact as follows:

begin delete
P4    1

SECTION 1.  

Section 2207 of the Public Resources Code is
2amended to read:

3

2207.  

(a) The owner or the operator of a mining operation
4within the state shall forward to the director annually, not later
5than a date established by the director, upon forms approved by
6the board from time to time, a report that identifies and contains
7all of the following:

8(1) The name, address, and telephone number of the person,
9company, or other owner of the mining operation.

10(2) The name, address, and telephone number of a designated
11agent who resides in this state, and who will receive and accept
12service of all orders, notices, and processes of the lead agency,
13board, director, or court.

14(3) The location of the mining operation, its name, its mine
15number as issued by the Office of Mine Reclamation or the
16director, its section, township, range, latitude, longitude, and
17approximate boundaries of the mining operation marked on a
18United States Geological Survey 712-minute or 15-minute
19quadrangle map.

20(4) The lead agency.

21(5) The approval date of the mining operation’s reclamation
22plan.

23(6) The mining operation’s status as active, idle, reclaimed, or
24in the process of being reclaimed.

25(7) The commodities produced by the mine and the type of
26mining operation.

27(8) A copy of the previously completed annual inspection form
28and a requested date, within 12 months of the prior inspection date,
29for the next annual inspection by the lead agency.

30(9) Proof of financial assurances.

31(10) Ownership of the property, including government agencies,
32if applicable, by the assessor’s parcel number, and total assessed
33value of the mining operation.

P5    1(11) The approximate permitted size of the mining operation
2subject to Chapter 9 (commencing with Section 2710), in acres.

3(12) The approximate total acreage of land newly disturbed by
4the mining operation during the previous calendar year.

5(13) The approximate total of disturbed acreage reclaimed during
6the previous calendar year.

7(14) The approximate total unreclaimed disturbed acreage
8remaining as of the end of the calendar year.

9(15) The total production for each mineral commodity produced
10during the previous year.

11(16) A copy of any approved reclamation plan and any
12amendments or conditions of approval to any existing reclamation
13plan approved by the lead agency.

14(b) (1) Every year, not later than the date established by the
15director, the person submitting the report pursuant to subdivision
16(a) shall forward to the lead agency, upon forms furnished by the
17board, a report that provides all of the information specified in
18 subdivision (a).

19(2) The owner or operator of a mining operation shall allow
20access to the property to any governmental agency or the agent of
21any company providing financial assurances in connection with
22the reclamation plan in order that the reclamation can be carried
23out by the entity or company, in accordance with the provisions
24of the reclamation plan.

25(c) Subsequent reports shall include only changes in the
26information submitted for the items described in subdivision (a),
27except that, instead of the approved reclamation plan, the reports
28shall include any reclamation plan amendments approved during
29the previous year. The reports shall state whether review of a
30reclamation plan, financial assurances, or an interim management
31plan is pending under subdivision (b) or (h) of Section 2770, or
32whether an appeal before the board or lead agency governing body
33is pending under subdivision (e) or (h) of Section 2770. The
34director shall notify the person submitting the report and the
35owner’s designated agent in writing that the report and the fee
36required pursuant to subdivision (d) have been received, specify
37the mining operation’s mine number if one has not been issued by
38the Office of Mine Reclamation, and notify the person and agent
39of any deficiencies in the report within 90 days of receipt. That
40person or agent shall have 30 days from receipt of the notification
P6    1to correct the noted deficiencies and forward the revised report to
2the director and the lead agency. Any person who fails to comply
3with this section, or knowingly provides incorrect or false
4information in reports required by this section, may be subject to
5an administrative penalty as provided in subdivision (c) of Section
62774.1.

7(d) (1) The board shall impose, by regulation, pursuant to
8paragraph (2), an annual reporting fee on, and method for collecting
9annual fees from, each active or idle mining operation. The
10maximum fee for any single mining operation may not exceed four
11thousand dollars ($4,000) annually and may not be less than one
12hundred dollars ($100) annually, as adjusted for the cost of living
13as measured by the California Consumer Price Index for all urban
14consumers, calendar year averages, using the percentage change
15in the previous year, beginning with the 2005-06 fiscal year and
16annually thereafter.

17(2) (A) The board shall adopt, by regulation, a schedule of fees
18authorized under paragraph (1) to cover the department’s cost in
19carrying out this section and Chapter 9 (commencing with Section
202710), as reflected in the Governor’s proposed Budget, and may
21adopt those regulations as emergency regulations. In establishing
22the schedule of fees to be paid by each active and idle mining
23operation, the fees shall be calculated on an equitable basis
24reflecting the size and type of operation. The board shall also
25consider the total assessed value of the mining operation, the
26acreage disturbed by mining activities, and the acreage subject to
27the reclamation plan.

28(B) Regulations adopted pursuant to this subdivision shall be
29adopted by the board in accordance with the Administrative
30Procedure Act (Chapter 3.5 (commencing with Section 11340) of
31Part 1 of Division 3 of Title 2 of the Government Code). The
32adoption of any emergency regulations pursuant to this subdivision
33shall be considered necessary to address an emergency and shall
34be considered by the Office of Administrative Law to be necessary
35for the immediate preservation of the public peace, health, safety,
36and general welfare.

37(3) The total revenue generated by the reporting fees may not
38exceed, and may be less than, the amount of three million five
39hundred thousand dollars ($3,500,000), as adjusted for the cost of
40living as measured by the California Consumer Price Index for all
P7    1urban consumers, calendar year averages, using the percentage
2change in the previous year, beginning with the 2005-06 fiscal
3year and annually thereafter. If the director determines that the
4revenue collected during the preceding fiscal year was greater or
5less than the cost to operate the program, the board shall adjust
6 the fees to compensate for the overcollection or undercollection
7of revenues.

8(4) (A) The reporting fees established pursuant to this
9subdivision shall be deposited in the Mine Reclamation Account,
10which is hereby created. Any fees, penalties, interest, fines, or
11charges collected by the director or board pursuant to this chapter
12or Chapter 9 (commencing with Section 2710) shall be deposited
13in the Mine Reclamation Account. The money in the account shall
14be available to the department and board, upon appropriation by
15the Legislature, for the purpose of carrying out this section and
16complying with Chapter 9 (commencing with Section 2710), which
17includes, but is not limited to, classification and designation of
18areas with mineral resources of statewide or regional significance,
19reclamation plan and financial assurance review, mine inspection,
20and enforcement.

21(B) (i) In addition to reporting fees, the board shall collect five
22dollars ($5) per ounce of gold and ten cents ($0.10) per ounce of
23silver mined within the state and shall deposit the fees collected
24in the Abandoned Mine Reclamation and Minerals Fund
25Subaccount, which is hereby created in the Mine Reclamation
26Account. The department may expend the moneys in the
27subaccount, upon appropriation by the Legislature, for only the
28purposes of Section 2796.5 and as authorized herein for the
29remediation of abandoned mines.

30(ii) Notwithstanding subdivision (j) of Section 2796.5, fees
31collected pursuant to clause (i) may also be used to remediate
32features of historic abandoned mines and lands that they impact.
33For the purposes of this section, historic abandoned mines are
34mines for which operations have been conducted before January
351, 1976, and include, but are not limited to, historic gold and silver
36mines.

37(5) In case of late payment of the reporting fee, a penalty of not
38less than one hundred dollars ($100) or 10 percent of the amount
39due, whichever is greater, plus interest at the rate of 112 percent
40per month, computed from the delinquent date of the assessment
P8    1until and including the date of payment, shall be assessed. New
2mining operations that have not submitted a report shall submit a
3report prior to commencement of operations. The new operation
4shall submit its fee according to the reasonable fee schedule
5adopted by the board, and the month that the report is received
6shall become that operation’s anniversary month.

7(e) The lead agency, or the board when acting as the lead agency,
8may impose a fee upon each mining operation to cover the
9reasonable costs incurred in implementing this chapter and Chapter
109 (commencing with Section 2710).

11(f) For purposes of this section, “mining operation” means a
12mining operation of any kind or character whatever in this state,
13including, but not limited to, a mining operation that is classified
14as a “surface mining operation” as defined in Section 2735, unless
15excepted by Section 2714. For the purposes of fee collections only,
16“mining operation” may include one or more mines operated by
17a single operator or mining company on one or more sites, if the
18total annual combined mineral production for all sites is less than
19100 troy ounces for precious metals, if precious metals are the
20primary mineral commodity produced, or less than 100,000 short
21tons if the primary mineral commodity produced is not precious
22metals.

23(g) Any information in reports submitted pursuant to subdivision
24(a) that includes or otherwise indicates the total mineral production,
25reserves, or rate of depletion of any mining operation may not be
26disclosed to any member of the public, as defined in subdivision
27(b) of Section 6252 of the Government Code. Other portions of
28the reports are public records unless excepted by statute. Statistical
29bulletins based on these reports and published under Section 2205
30shall be compiled to show, for the state as a whole and separately
31for each lead agency, the total of each mineral produced therein.
32In order not to disclose the production, reserves, or rate of depletion
33from any identifiable mining operation, no production figure shall
34be published or otherwise disclosed unless that figure is the
35aggregated production of not less than three mining operations. If
36the production figure for any lead agency would disclose the
37production, reserves, or rate of depletion of less than three mining
38operations or otherwise permit the reasonable inference of the
39production, reserves, or rate of depletion of any identifiable mining
40operation, that figure shall be combined with the same figure of
P9    1not less than two other lead agencies without regard to the location
2of the lead agencies. The bulletin shall be published annually by
3June 30 or as soon thereafter as practicable.

4(h) The approval of a form by the board pursuant to this section
5is not the adoption of a regulation for purposes of the
6Administrative Procedure Act (Chapter 3.5 (commencing with
7Section 11340) of Part 1 of Division 3 of Title 2 of the Government
8Code) and is not subject to that act.

end delete
9

begin deleteSEC. 2.end delete
10begin insertSECTION 1.end insert  

Section 2207.2 is added to the Public Resources
11Code
, to read:

12

2207.2.  

(a) No later than December 31, 2021, the director shall
13report to the Legislature on the expenditure of moneys in the Mine
14Reclamation Account, created pursuant to Section 2207. The report
15shall include all of the following:

16(1) An overview of how the moneys expended over the prior
17fivebegin insert fiscalend insert years have been allocated between classification and
18designation of areas with mineral resources of statewide or regional
19significance, reclamation plan and financial assurance review,
20begin delete mine inspection,end deletebegin insert lead agency support and assistance, annual report
21processing, support for the board,end insert
enforcement, and any other
22activities that constituted more than 5 percent of expenditures.

23(2) Information on the portion of the fees that have been
24collected from small construction aggregate providers with under
2550,000 tons of production.

26(3) Information on the percentage of the fees that have been
27paid by metallic mineral operations.

28(b) This section shall remain in effect only until January 1, 2026,
29and as of that date is repealed, unless a later enacted statute, that
30is enacted before January 1, 2026, deletes or extends that date.

31

begin deleteSEC. 3.end delete
32begin insertSEC. 2.end insert  

Section 2715.5 of the Public Resources Code is
33amended to read:

34

2715.5.  

(a) The Cache Creek Resource Management Plan, in
35conjunction with a site specific plan deemed consistent by the lead
36agency with the Cache Creek Resource Management Plan, until
37December 31, 2017, shall be considered to be a functional
38equivalent of a reclamation plan for the purposes of this chapter.
39No other reclamation plan shall be required to be reviewed and
40approved for any excavation project subject to the Cache Creek
P10   1Resource Management Plan that is conducted in conformance with
2an approved site specific plan that is consistent with the Cache
3Creek Resource Management Plan and the standards specified in
4that plan governing erosion control, channel stabilization, habitat
5restoration, flood control, or infrastructure maintenance, if that
6plan is reviewed and approved by a lead agency pursuant to this
7chapter.

8(b) For the purposes of this section, the board of supervisors of
9the county in which the Cache Creek Resource Management Plan
10is to be implemented shall prepare and file the annual report
11required to be prepared pursuant to Section 2207.

12(c) Nothing in this section precludes an enforcement action by
13the board or the department brought pursuant to this chapter or
14Section 2207 if the lead agency or the director determines that a
15surface mining operator, acting under the authority of the Cache
16Creek Resource Management Plan, is not in compliance with the
17requirements of this chapter or Section 2207.

18(d) For purposes of this section, “site specific plan” means an
19individual project plan approved by the lead agency that is
20consistent with the Cache Creek Resource Management Plan. Site
21specific plans prepared in conformance with the Cache Creek
22Resource Management Plan shall include, at a minimum, the
23information required pursuant to subdivision (c) of Section 2772,
24shall comply with the requirements of Article 9 (commencing with
25Section 3700) of Subchapter 1 of Chapter 8 of Division 2 of Title
2614 of the California Code of Regulations, and shall be provided
27along with a financial assurance estimate to the department for
28review and comment pursuant to Section 2772.1 or 2773.4, as
29applicable. Notwithstanding the number of days authorized by
30subdivision (b) of Section 2772.1 or subdivision (c) of Section
312773.4, the department shall review the site specific plan and the
32financial assurance estimate and prepare any written comments
33within 15 days from the date of receipt of the plan and the estimate.

34(e) Prior to engaging in an excavation activity in conformance
35with the Cache Creek Resource Management Plan, a surface mining
36operation shall be required to obtain financial assurances that meet
37the requirements of Section 2773.1.

38(f) This section shall remain in effect only until December 31,
392017, and as of that date is repealed, unless a later enacted statute
P11   1that is enacted before December 31, 2017, deletes or extends that
2date.

3

begin deleteSEC. 4.end delete
4begin insertSEC. 3.end insert  

Section 2733 of the Public Resources Code is amended
5to read:

6

2733.  

“Reclamation” means the combined process of land
7treatment that minimizes water degradation, air pollution, damage
8to aquatic or wildlife habitat, flooding, erosion, and other adverse
9effects from surface mining operations, including adverse surface
10effects incidental to underground mines, so that mined lands are
11reclaimed to a usable condition that is readily adaptable for
12alternate land uses and create no danger to public health or safety.
13The process may extend to affected lands surrounding mined lands,
14and may require backfilling, grading, resoiling, revegetation, soil
15compaction, slope stabilization, or other measures.

16

begin deleteSEC. 5.end delete
17begin insertSEC. 4.end insert  

Section 2736 is added to the Public Resources Code,
18to read:

19

2736.  

“Financial assurances” means a current approved
20financial assurance cost estimate and a financial assurance
21mechanism that is at least equal to the current approved financial
22assurance cost estimate.

23

begin deleteSEC. 6.end delete
24begin insertSEC. 5.end insert  

Section 2770 of the Public Resources Code is amended
25to read:

26

2770.  

(a) Except as provided in this section, a person shall not
27conduct surface mining operations unless a permit is obtained
28from, a reclamation plan has been submitted to and approved by,
29and financial assurances for reclamation have been approved by
30the lead agency for the operation pursuant to this article.

31(b) A person with an existing surface mining operation who has
32vested rights pursuant to Section 2776 and who does not have an
33approved reclamation plan shall submit a reclamation plan to the
34lead agency not later than March 31, 1988. If a reclamation plan
35application is not on file by March 31, 1988, the continuation of
36the surface mining operation is prohibited until a reclamation plan
37is submitted to the lead agency. For the purposes of this
38subdivision, a reclamation plan existing prior to January 1,begin delete 2016,end delete
39begin insert 2017,end insert may consist of all or the appropriate sections of any plans
40or written agreements previously approved by the lead agency or
P12   1another agency, together with any additional documents needed
2to substantially meet the requirements of Sections 2772 and 2773
3and the lead agency surface mining ordinance adopted pursuant
4to subdivision (a) of Section 2774, provided that all documents,
5which together were proposed to serve as the reclamation plan,
6are submitted for approval to the lead agency in accordance with
7this chapter.

8(c) [Reserved]

9(d) [Reserved]

10(e) (1) A person who can substantiate, based on the evidence
11of the record, that a lead agency has either (1) failed to act
12according to due process or has relied on considerations not related
13to the specific applicable requirements of Sections 2772, 2772.1,
14 2773, 2773.1, 2773.3, and 2773.4 and the lead agency surface
15mining ordinance adopted pursuant to subdivision (a) of Section
162774 in reaching a decision to deny approval of a reclamation plan
17or financial assurances for reclamation, or (2) failed to act within
18a reasonable time of receipt of a completed application may appeal
19that action or inaction to the board.

20(2) The director may appeal a lead agency’s approval of a
21financial assurance cost estimate to the board if the director has
22commented pursuant to Section 2773.4 that the financial assurance
23cost estimate is inadequate based on consideration of the following:

24(A) Section 2773.1.

25(B) Article 11 (commencing with Section 3800)begin insert of Subchapter
261 of Chapter 8 of Division 2end insert
of Title 14 of the California Code of
27Regulations.

28(C) The board’s financial assurance guidelines adopted pursuant
29to subdivision (f) of Section 2773.1

30(3) If the approved financial assurance cost estimate applies to
31a reclamation plan approved for a new surface mining operation,
32an expanded surface mining operation, or an interim financial
33assurance due to an order to comply, stipulated or otherwise, the
34operator shall provide a financial assurance mechanism pursuant
35to subdivision (e) of Section 2773.4 in the amount of the approved
36financial assurance cost estimate, notwithstanding an appeal filed
37pursuant to this subdivision and subject to modification pending
38the outcome of the appeal.

39(4) If the approved financial assurance cost estimate is an update
40to an existing approved financial assurance cost estimate, the
P13   1existing financial assurance mechanism shall remain in place and
2shall not be adjusted until a final determination by the board on
3the appeal filed pursuant to this subdivision.

4(f) (1) The board may decline to hear an appeal if it determines
5that the appeal raises no substantial issues related to the lead
6agency’s decision to deny the approval of a reclamation plan or
7financial assurance,begin delete onend deletebegin insert orend insert the timeliness in reviewing a completed
8begin delete application, or on the approval of a financial assurance cost
9estimate that the director has commented is inadequate.end delete
begin insert application.
10Appeals filed by the director shall be heard by the board.end insert

11(2) If the board takes up an appeal, the appeal shall be scheduled
12and heard at a public hearing within 45 days of the filing of the
13begin delete appeal. Ifend deletebegin insert appeal, or a longer period as may be mutually agreed
14to by the board, the appellant, and the operator, or, ifend insert
the appeal
15is filed by the director,begin delete a longer period may be mutually agreed
16uponend delete
by the board,begin delete the appellant,end delete the director, and thebegin delete operator, as
17applicable.end delete
begin insert operator.end insert

18(g) (1) (A) When hearing an appeal filed pursuant tobegin insert paragraph
19(1) or (2) ofend insert
subdivision (e), the board shall determine whether the
20reclamation plan or the financial assurance cost estimate
21substantially meets the applicable requirements of Sections 2772,
222772.1, 2773, 2773.1, 2773.3, andbegin delete 2773.4end deletebegin insert 2773.4; Article 1
23(commencing with Section 3500), Article 9 (commencing with
24Section 3700), and Article 11 (commencing with Section 3800) of
25Subchapter 1 of Chapter 8 of Division 2 of Title 14 of the
26California Code of Regulations;end insert
and the lead agency’s surface
27mining ordinance adopted pursuant to subdivision (a) of Section
282774. The board shall approve or uphold a reclamation plan or
29financial assurance cost estimate determined to meet those
30applicable requirements.begin insert In any event, financial assurances for
31reclamation shall be sufficient to perform reclamation of lands
32remaining disturbed.end insert

33(B) For purposes of this subdivision, “substantially” means
34actual compliance in respect to the substance and form
35requirements essential to the objectives of this chapter.

36(2) (A) A reclamation plan determined not to meet the
37applicable requirements of Sections 2772, 2772.1, 2773, 2773.1,
382773.3, andbegin delete 2773.4end deletebegin insert 2773.4; Article 1 (commencing with Section
393500), Article 9 (commencing with Section 3700), and Article 11
40(commencing with Section 3800) of Subchapter 1 of Chapter 8 of
P14   1Division 2 of Title 14 of the California Code of Regulations;end insert
and
2the lead agency’s surface mining ordinance adopted pursuant to
3subdivision (a) of Section 2774 shall be returned to the operator
4with a notice of deficiencies. The operator shall be granted, once
5only, a period of 30 days or a longer period mutually agreed upon
6by the operator and the board to do both of the following:

7(i) Correct the noted deficiencies.

8(ii) Submit the revised reclamation plan to the lead agency for
9review and approval.

10(B) Within 10 days of the hearing, the board shall provide notice
11via certified mail to the lead agency, the operator, and the
12department of the board’s determination. The notice shall include
13instructions to the operator to submit to the lead agency for
14approval a revised reclamation plan consistent with the board’s
15determination.

16(3) (A) If the board determines the lead agency’s approved
17financial assurance cost estimate does not meet the requirements
18of Sectionsbegin delete 2773.1,end deletebegin insert 2773.1 andend insert 2773.4, Article 11 (commencing
19with Section 3800)begin insert of Subchapter 1end insert of Chapter 8 of Division 2 of
20Title 14 of the California Code of Regulations, and the board’s
21financial assurance guidelines adopted pursuant to subdivision (f)
22of Section 2773.1, the board shall note thebegin delete deficiencies, andend delete
23begin insert deficiencies and,end insert based on the record, include adequate cost
24estimates for each noted deficiency.

25(B) Within 10 days of the hearing, the board shall provide notice
26via certified mail to the lead agency, the operator, and the
27department of the board’s determination with instructions to the
28operator to submit to the lead agency for approval a revised
29financial assurance cost estimate consistent with the board’s
30determination.begin insert The instructions shall include a reasonable
31submission deadline of not less than 30 days.end insert

32(C) The lead agency shall approve the revised financial
33assurance cost estimate. That approval shall supersede and void
34the prior approved financial assurance cost estimate.

35(D) A financial assurance mechanism shall be established by
36the operator pursuant to subdivision (e) of Section 2773.4 following
37the approval of the financial assurance cost estimate.

begin insert

38(E) The failure of the operator to submit to the lead agency a
39revised financial assurance cost estimate consistent with the
40board’s determination and deadline may be grounds for the
P15   1issuance of an order to comply pursuant to subdivision (a) of
2Section 2774.1.

end insert

3(h) (1) Within 90 days of a surface mining operation becoming
4idle, as defined in Section 2727.1, the operator shall submit to the
5lead agency for review and approval an interim management plan.
6The review and approval of an interim management plan shall not
7be considered a project for purposes of the California
8Environmental Quality Act (Division 13 (commencing with Section
921000)). The approved interim management plan shall be
10considered an amendment to the surface mining operation’s
11approved reclamation plan for purposes of this chapter. The interim
12management plan shall provide measures the operator will
13implement to maintain the site in compliance with this chapter,
14including, but not limited to, all permit conditions.

15(2) The interim management plan may remain in effect for a
16period not to exceed five years, at which time the lead agency shall
17do one of the following:

18(A) Renew the interim management plan for an additional period
19not to exceed five years, which may be renewed for one additional
20five-year renewal period at the expiration of the first five-year
21renewal period, if the lead agency finds that the surface mining
22operator has complied fully with the interim management plan.

23(B) Require the operator to commence reclamation in accordance
24with its approved reclamation plan.

25(3) The financial assurances required by Section 2773.1 shall
26remain in effect during the period that the surface mining operation
27is idle. If the surface mining operation is still idle after the
28expiration of its interim management plan, the operator shall
29commence reclamation in accordance with its approved reclamation
30plan.

31(4) Within 60 days of the receipt of the interim management
32 plan or a longer period mutually agreed upon by the lead agency
33and the operator, the lead agency shall review and approve the
34plan in accordance with its ordinance adopted pursuant to
35subdivision (a) of Section 2774, so long as the plan satisfies the
36requirements of this subdivision, and so notify the operator in
37writing. Otherwise, the lead agency shall notify the operator in
38writing of any deficiencies in the plan. The operator shall have 30
39days, or a longer period mutually agreed upon by the operator and
40the lead agency, to submit a revised plan.

P16   1(5) The lead agency shall approve or deny approval of the
2revised interim management plan within 60 days of receipt. If the
3lead agency denies approval of the revised interim management
4plan, the operator may appeal that action to the lead agency’s
5governing body, which shall schedule a public hearing within 45
6days of the filing of the appeal or a longer period mutually agreed
7upon by the operator and the governing body.

8(6) Unless review of an interim management plan is pending
9before the lead agency or an appeal is pending before the lead
10agency’s governing body, a surface mining operation that remains
11idle for over one year after becoming idle, as defined in Section
122727.1, without obtaining approval of an interim management plan
13shall be considered abandoned and the operator shall commence
14and complete reclamation in accordance with the approved
15reclamation plan.

16(i) An enforcement action that may be brought against a surface
17mining operation for operating without an approved reclamation
18plan, financial assurance, or interim management plan shall be
19held in abeyance pending review pursuant to subdivision (b) or
20(h), or the resolution of an appeal filed with the board pursuant to
21subdivision (e), or with a lead agency governing body pursuant to
22subdivision (h).

23

begin deleteSEC. 7.end delete
24begin insertSEC. 6.end insert  

Section 2772 of the Public Resources Code is amended
25to read:

26

2772.  

(a) The reclamation plan shall be filed with the lead
27agency, on a form provided by the lead agency, by any person who
28owns, leases, or otherwise controls or operates on all or any portion
29of any mined lands and who plans to conduct surface mining
30operations on the lands.

31(b) The reclamation plan shall include a chart identifying the
32page number, chapter, appendix, or other specific location in the
33reclamation plan where content meeting the requirements, as
34applicable, of Sections 2772, 2773, and 2773.3 and Article 1
35(commencing with Section 3500) and Article 9 (commencing with
36 Section 3700)begin insert of Subchapter 1end insert of Chapter 8 of Division 2 of Title
3714 of the California Code of Regulations, is located.

38(c) The reclamation plan shall include all of the following
39information and documents:

P17   1(1) The name and address of the operator and the names and
2addresses of any persons designated by the operator as an agent
3for the service of process.

4(2) The anticipated quantity and type of minerals for which the
5surface mining operation is to be conducted.

6(3) The proposed dates for the initiation and termination of the
7surface mining operation.

8(4) The maximum anticipated depth of the surface mining
9operation.

10(5) A reclamation plan map or maps that shall include all of the
11following:

12(A) Size and legal description of the lands that will be affected
13by the surface mining operation and the names and addresses of
14the owners of all surface interests and mineral interests in the lands.

15(B) Clearly defined and accurately drawn property lines,
16setbacks, and the reclamation plan boundary.

17(C) Existing topography and final topography depicted with
18contour lines drawn at appropriate intervals for the site’s
19conditions.

20(D) Detailed geologic description of the area of the surface
21mining operation.

22(E) Location of railroads, utility facilities, access roads,
23temporary roads to be reclaimed, and any roads remaining for the
24 approved end use.

25(F) All maps, diagrams, or calculations that require preparation
26in accordance with the Professional Engineers Act (Chapter 7
27(commencing with Section 6700) of Division 3 of the Business
28and Professions Code), the Geologist and Geophysicist Act
29(Chapter 12.5 (commencing with Section 7800) of Division 3 of
30the Business and Professions Code), or the Professional Land
31Surveyors’ Act (Chapter 15 (commencing with Section 8700) of
32Division 3 of the Business and Professions Code) shall be prepared
33by a California-licensed professional, shall include his or her
34license number and name, and shall bear the signature and seal of
35the licensee.

36(6) A description of and a plan for the type of surface mining
37to be employed and a time schedule that will provide for the
38 completion of surface mining on each segment of the mined lands
39so that reclamation can be initiated at the earliest possible time on
P18   1those portions of the mined lands that will not be subject to further
2disturbance by the surface mining operation.

3(7) A description of the proposed use or potential uses of the
4mined lands after reclamation and evidence that all owners of a
5possessory interest in the land have been notified of the proposed
6use or potential uses.

7(8) A description of the manner in which reclamation, adequate
8for the proposed use or potential uses, will be accomplished,
9including both of the following:

10(A) A description of the manner in which known contaminants
11will be controlled and mining waste will be disposed.

12(B) A description of the manner in which affected streambed
13channels and streambanks will be rehabilitated to a condition that
14minimizes erosion and sedimentation.

15(9) An assessment of the effect of implementation of the
16reclamation plan on future mining in the area.

17(10) A statement that the person submitting the reclamation
18plan accepts responsibility for reclaiming the mined lands in
19accordance with the reclamation plan.

20(11) Any other information that the lead agency may require
21by ordinance.

22(d) An item of information or a document required pursuant to
23subdivision (c) that has already been prepared as part of a permit
24application for the surface miningbegin delete operation,end deletebegin insert operationend insert or as part
25of an environmental document prepared for the project pursuant
26to the California Environmental Quality Act (Division 13
27(commencing with Section 21000)) may be included in the
28reclamation plan by reference, if that item of information or that
29document is attached to the reclamation plan when the lead agency
30submits the reclamation plan to the director for review. To the
31extent the information, document, or component of a document
32referenced in the reclamation plan is used to meet the requirements
33of subdivision (c) or Section 2773 or 2773.3, the information,
34document, or component of a document shall become part of the
35reclamation plan and shall be subject to all other requirements of
36this article.

37(e) Nothing in this section is intended to limit or expand the
38department’s authority or responsibility to review a document in
39accordance with the California Environmental Quality Act
40(Division 13 (commencing with Section 21000)).

P19   1

begin deleteSEC. 8.end delete
2begin insertSEC. 7.end insert  

Section 2772.1 is added to the Public Resources Code,
3to read:

4

2772.1.  

(a) (1) Prior to approving a surface mining operation’s
5reclamation plan or plan amendment, the lead agency shall submit
6the reclamation plan or plan amendment to the director for review.
7The reclamation plan or plan amendment shall be submitted to the
8director as early as practicable in order to facilitate the lead
9agency’s review of the reclamation plan pursuant to the California
10Environmental Quality Act (Division 13 (commencing with Section
1121000)). All documentation for the submission shall be submitted
12to the director at one time.

13(2) An item of information, document, or component of a
14document that has been prepared as part of a permit application
15for the surface mining operation or as part of an environmental
16document prepared for the project pursuant to the California
17Environmental Quality Act (Division 13 (commencing with Section
1821000)) shall be incorporated into the reclamation plan or plan
19amendment if it is used to satisfy the requirements of subdivision
20(c) of Section 2772, Sections 2773 and 2773.3, and Article 1
21(commencing with Section 3500) and Article 9 (commencing with
22Section 3700)begin insert of Subchapter 1end insert of Chapter 8 of Division 2 of Title
2314 of the California Code of Regulations, as applicable. If an item
24of information, document, or component of a document is
25incorporated, reference to the item shall be added to the chart
26required pursuant to subdivision (b) of Section 2772 and shall be
27properly indexed with the corresponding appendix reference and
28page numbers, if applicable. The item shall be included in an
29appendix to and shall become part of the reclamation plan or plan
30amendment.

31(3) The lead agency shall certify to the director that the
32reclamation plan or plan amendment is a complete submission and
33is in compliance with all of the following:

34(A) The applicable requirements of this chapter.

35(B) Article 1 (commencing with Section 3500) and Article 9
36(commencing with Section 3700)begin insert of Subchapter 1end insert of Chapter 8 of
37Division 2 of Title 14 of the California Code of Regulations, as
38applicable.

P20   1(C) The lead agency’s surface mining ordinance in effect at the
2time that the reclamation plan or plan amendment is submitted to
3the director for review, except if the board is the lead agency.

4(b) (1) The director shall have 30 days from the receipt of a
5reclamation plan or plan amendment to notify the lead agency and
6operator if the submission is incomplete. An incomplete submission
7is one that does not meet the content requirements ofbegin delete subdivisions
8(c) and (d) of Section 2772,end delete
Sectionsbegin delete 2773end deletebegin insert 2772, 2773,end insert andbegin delete 2773.3,end delete
9begin insert 2773.3end insert and Article 1 (commencing with Section 3500) and Article
109 (commencing with Section 3700)begin insert of Subchapter 1end insert of Chapter 8
11of Division 2 of Title 14 of the California Code of Regulations, as
12applicable. The director’s notice shall specifically identify all
13aspects of the submission that are incomplete.

14(2) The director shall have 30 days after the date the director is
15required to notify the lead agency if the submission is incomplete
16to prepare written comments on the reclamation plan or plan
17amendment if the director chooses.

18(3) If the director has issued a notice of incomplete submission
19pursuant to paragraph (1), the director’s time to prepare written
20comments on the reclamation plan or plan amendment shall not
21commence until the director receives each item identified in the
22notice. The director’s time shall include any remaining time
23pursuant to paragraph (1) and the time allowed pursuant to
24paragraph (2).

25(4) The lead agency shall review and evaluate written comments
26received from the director relating to the reclamation plan or plan
27amendment within a reasonable amount of time.

28(5) (A) The lead agency shall prepare a written response to the
29director’s comments received pursuant to paragraph (2) describing
30the disposition of the major issues raised by the comments. The
31 lead agency shall submit its response to the director at least 30
32days prior to the intended approval of the reclamation plan or plan
33amendment. The lead agency’s response shall include either of the
34following:

35(i) A description of how the lead agency proposes to adopt the
36 director’s comments to the reclamation plan or plan amendment.

37(ii) A detailed description of the reasons why the lead agency
38proposes not to adopt the director’s comments.

P21   1(B) Copies of any written comments received and responses
2prepared by the lead agency pursuant to subparagraph (A) shall
3be forwarded to the operator.

4(6) (A) The lead agency shall give the director at least 30 days’
5notice of the time, place, and date of the hearing at which the
6reclamation plan or plan amendment is scheduled to be approved
7by the lead agency.

8(B) If no hearing is required by this chapter, the local ordinance,
9or other state law, the lead agency shall provide 30 days’ notice
10to the director that the lead agency intends to approve the
11 reclamation plan or plan amendment.

12(7) (A) Within 30 days following the approval of the
13reclamation plan or plan amendment, the lead agency shall provide
14the director notice of the approval. During that period, the
15department retains all powers, duties, and authorities of this
16chapter. The lead agency shall provide, as soon as practicable but
17no later than 60 days after approval of the reclamation plan or plan
18amendment, certified copies of all maps, diagrams, or calculations,
19signed and sealed.

20(B) No later than 60 days after the approval of the reclamation
21plan or plan amendment, the lead agency shall provide to the
22director an official copy of the approved reclamation plan or plan
23amendment. The official copy shall incorporate all approved
24modifications to the reclamation plan or plan amendment and shall
25include an index showing any permit conditions of approval or
26binding mitigation measures adopted or certified pursuant to the
27California Environmental Quality Act (Division 13 (commencing
28with Section 21000)) that are necessary to meet the requirements
29of subdivision (c) of Section 2772, Sections 2773 and 2773.3, and
30Article 1 (commencing with Section 3500) and Article 9
31(commencing with Section 3700)begin insert of Subchapter 1end insert of Chapter 8 of
32Division 2 of Title 14 of the California Code of Regulations, as
33applicable. Those conditions of approval and mitigation measures
34shall be included in an appendix to the reclamation plan or plan
35amendment and shall be considered part of the reclamation
36compliance requirements and subject to the annual inspection
37 requirements.

38(c) To the extent there is a conflict between the comments of a
39trustee agency or a responsible agency that are based on that
40agency’s statutory or regulatory authority and the comments of
P22   1other commenting agencies that are received by the lead agency
2pursuant to the California Environmental Quality Act (Division
313 (commencing with Section 21000)) regarding a reclamation
4plan or plan amendments, the lead agency shall consider only the
5comments of the trustee agency or responsible agency.

6(d) Nothing in this section is intended to limit or expand the
7department’s authority or responsibility to review a document in
8accordance with the California Environmental Quality Act
9(Division 13 (commencing with Section 21000)).

10

begin deleteSEC. 9.end delete
11begin insertSEC. 8.end insert  

Section 2773.1 of the Public Resources Code is
12amended to read:

13

2773.1.  

(a) Lead agencies shall require financial assurances
14of each surface mining operation to ensure reclamation is
15performed in accordance with the surface mining operation’s
16approved reclamation plan, as follows:

17(1) A financial assurance mechanism may take the form of
18surety bonds executed by an admitted surety insurer, as defined
19in subdivision (a) of Section 995.120 of the Code of Civil
20Procedure, irrevocable letters of credit, trust funds, or other forms
21of financial assurances specified by the board pursuant to
22subdivision (e) that the lead agency reasonably determines are
23adequate to perform reclamation in accordance with the surface
24mining operation’s approved reclamation plan.

25(2) The financial assurances shall remain in effect for the
26duration of the surface mining operation and any additional period
27until reclamation is completed.

28(3) The amount of financial assurances required of a surface
29mining operation for any one year shall be reviewed and, if
30necessary, adjusted once each calendar year to account for new
31lands disturbed by surface mining operations, inflation, and
32reclamation of lands accomplished in accordance with the approved
33reclamation plan. An operator shall be required to replace an
34approved financial assurance mechanism to bond for the
35reclamation of the surface mining operation only if the financial
36assurance cost estimate identifies a need to increase the amount
37of the financial assurance mechanism.

begin insert

38(4) Financial assurance cost estimates shall be submitted to the
39lead agency for review on a form developed by the director and
40approved by the board. The form shall be subject to the
P23   1requirements of the Administrative Procedure Act (Chapter 3.5
2(commencing with Section 11340) of Part 1 of Division 3 of Title
32 of the Government Code).

end insert
begin delete

4(4)

end delete

5begin insert(5)end insert Each financial assurance mechanism shall be made payable
6to the lead agency and the department. A financial assurance
7mechanism shall not be released without the consent of the lead
8agency and the department. A financial assurance mechanism that
9was approved by the lead agency prior to January 1, 1993, and
10was made payable to the State Geologist shall be considered
11payable to the department for purposes of this chapter. However,
12if a surface mining operation has received approval of its financial
13assurances from a public agency other than the lead agency, the
14lead agency shall deem those financial assurances adequate for
15purposes of this section, or shall credit them toward fulfillment of
16the financial assurances required by this section, if they are made
17payable to the public agency, the lead agency, and the department
18and otherwise meet the requirements of this section. In any event,
19if a lead agency and one or more public agencies exercise
20jurisdiction over a surface mining operation, the total amount of
21financial assurances required by the lead agency and the public
22agencies for any one year shall not exceed that amount that is
23necessary to perform reclamation of lands remaining disturbed.
24For purposes of this paragraph, a “public agency” may include a
25federal agency.

26(b) (1) If the lead agency, or the board when acting as a lead
27agency, has evidence that an operator may be financially incapable
28of completing reclamation in accordance with its approved
29reclamation plan or that the operator may have abandoned the
30surface mining operation without completing reclamation, the lead
31agency or the board, when acting as a lead agency, shall conduct
32a public hearing to determine whether the operator is financially
33capable of completing reclamation in accordance with the approved
34reclamation plan or has abandoned the surface mining operation.
35 The hearing shall be noticed to the operator and the director at
36least 30 days prior to the hearing.

37(2) If the lead agency or the board, following the public hearing
38conducted pursuant to paragraph (1), determines that the operator
39is financially incapable of performing reclamation in accordance
40with its approved reclamation plan or has abandoned its surface
P24   1mining operation without completing reclamation, either the lead
2agency or the director shall do all of the following:

3(A) Notify the operator by personal service or certified mail
4that the lead agency or the director intends to take appropriate
5action to forfeit the financial assurances and specify the reasons
6for so doing.

7(B) Proceed to take appropriate action to require forfeiture of
8the financial assurances.

9(C) Use the proceeds from the forfeited financial assurances to
10conduct and complete reclamation in accordance with the approved
11reclamation plan. If the surface mining operation cannot be
12reclaimed in accordance with its approved reclamation plan, or
13the financial assurances are inadequate to reclaim in accordance
14with its approved reclamation plan, the lead agency or director
15may use forfeited financial assurances to reclaim or remediate
16mining disturbances as appropriate for the site conditions as
17determined by both the lead agency and the director. The financial
18 assurances shall not be used for any other purpose. The operator
19is responsible for the costs of conducting and completing
20reclamation in accordance with the approved reclamation plan or
21a remediation plan developed pursuant to this section as determined
22appropriate by both the lead agency and the director that are in
23excess of the proceeds from the forfeited financial assurances.

24(c) Financial assurances shall no longer be required of a surface
25mining operation, and shall be released, upon the written
26concurrence of the lead agency and the director, which shall be
27forwarded to the operator and the institutions providing or holding
28the financial assurance mechanism, that reclamation has been
29completed in accordance with the approved reclamation plan. If a
30surface mining operation is sold or ownership is transferred to
31another person, the existing financial assurances shall remain in
32force and shall not be released by the lead agency and the director
33until new financial assurances are secured from the new owner
34and have been approved by the lead agency in accordance with
35Sections 2770, 2773.1, and 2773.4. Within 90 days of the sale or
36transfer of a surface mining operation, the new operator shall
37 submit an appropriate financial assurance mechanism, which may
38be the existing mechanism if the existing mechanism is payable
39in the event of the new operator’sbegin delete default,end deletebegin insert financial incapability
40or abandonment of the surface mining operation,end insert
that is subject
P25   1to review by the lead agency and the director pursuant to
2subdivision (e) of Section 2773.4. Within 15 days of the sale or
3transfer of a surface mining operation, the new operator shall sign
4a new statement of reclamation responsibility in accordance with
5paragraph (10) of subdivision (c) of Section 2772.

6(d) The lead agency shall have primary responsibility to seek
7forfeiture of financial assurances and to reclaim mine sites pursuant
8to subdivision (b). However, if the board is not the lead agency
9pursuant to Section 2774.4, the director may act to seek forfeiture
10of financial assurances and reclaim mine sites pursuant to
11subdivision (b) only if both of the following occurs:

12(1) The financial incapability of the operator or the abandonment
13of the surface mining operation has come to the attention of the
14director.

15(2) The lead agency has been notified in writing by the director
16of the financial incapability of the operator or the abandonment
17of the surface mining operation for at least 15 days, the lead agency
18has not taken appropriate measures to seek forfeiture of the
19financial assurances and reclaim the mine site, and one of the
20following has occurred:

21(A) The lead agency has been notified in writing by the director
22that failure to take appropriate measures to seek forfeiture of the
23financial assurances or to reclaim the mine site shall result in
24actions being taken against the lead agency under Section 2774.4.

25(B) The director determines that there is a violation that amounts
26to an imminent and substantial endangerment to the public health,
27safety, or to the environment.

28(C) The lead agency notifies the director in writing that its good
29faith attempts to seek forfeiture of the financial assurances have
30not been successful.

31The director shall comply with subdivision (b) in seeking
32forfeiture of financial assurances and reclaiming mine sites.

33(e) The board may adopt regulations specifying financial
34assurance mechanisms other than surety bonds, irrevocable letters
35of credit, and trust funds, which the board determines are
36reasonably available and adequate to ensure reclamation pursuant
37to this chapter, but these mechanisms shall not include financial
38tests or surety bonds executed by one or more personal sureties.
39These mechanisms may include reclamation bond pool programs.

P26   1(f) The board shall adopt or revise guidelines to implement this
2section as necessary. The guidelines are exempt from the
3requirements of the Administrative Procedure Act (Chapter 3.5
4(commencing with Section 11340) of Part 1 of Division 3 of Title
52 of the Government Code), and are not subject to review by the
6Office of Administrative Law.

7

begin deleteSEC. 10.end delete
8begin insertSEC. 9.end insert  

Section 2773.4 is added to the Public Resources Code,
9to read:

10

2773.4.  

(a) (1) Prior to approving the financial assurances for
11a new reclamation plan or adjustments to financial assurances
12based on an amendment to a reclamation plan, the lead agency
13shall submit the financial assurance cost estimate to the director
14for review.

15(2) The lead agency shall provide the director with a
16determination that the financial assurance cost estimate submitted
17pursuant to paragraph (1) is adequate, complete, and consistent
18with Section 2773.1, Article 11 (commencing with Section 3800)
19begin insert of Subchapter 1end insert of Chapter 8 of Division 2 of Title 14 of the
20California Code of Regulations, and the board’s financial assurance
21guidelines adopted pursuant to subdivision (f) of Section 2773.1.

22(3) All documentation submitted to the director pursuant to this
23subdivision shall be submitted at one time.

24(b) No later than 15 days after receiving a financial assurance
25cost estimate, the director shall notify the lead agency and the
26operator if the submission is incomplete. An incomplete submission
27is one that does not meet the content requirements of Section
282773.1, Article 11 (commencing with Section 3800)begin insert of Subchapter
291end insert
of Chapter 8 of Division 2 of Title 14 of the California Code of
30Regulations, and the board’s financial assurance guidelines adopted
31pursuant to subdivision (f) of Section 2773.1. The director’s notice
32shall specifically identify all aspects of the submission that are
33incomplete. The director’s time to review the financial assurance
34cost estimate shall commence upon the receipt of a submission
35that contains the aspects identified in the director’s notice to the
36lead agency.

37(c) (1) The director shall have 45 days from the date of receipt
38of a complete financial assurance cost estimate to prepare written
39comments if the director chooses.

P27   1(2) The lead agency shall evaluate written comments received
2from the director relating to the financial assurance cost estimate
3within a reasonable amount of time. The lead agency shall prepare
4a written response to the director’s comments describing the
5disposition of the major issues raised by the director’s comments.

6(3) The lead agency shall submit its proposed response to the
7director at least 30 days prior to approval of the financial assurance
8cost estimate. The lead agency’s response shall include either of
9the following:

10(A) A description of how the lead agency proposes to adopt the
11director’s comments to the financial assurance cost estimate.

12(B) A detailed description of the reasons why the lead agency
13proposes to not adopt the director’s comments.

14(4) Copies of any written comments received and responses
15prepared by the lead agency shall be forwarded to the operator.

16(5) (A) If the lead agency, in its written response to the
17director’s comments, proposes to not adopt the director’s comments
18relating to the financial assurance cost estimate, the director, within
1915 days of receipt of the lead agency’s written response, may
20request in writing a consultation with the lead agency to discuss
21the director’s comments and the lead agency’s response. The
22request shall include an invitation to the operator to participate in
23the consultation. The consultation may be conducted in person,
24electronically, telephonically, or by any means convenient to the
25parties.

26(B) If the director requests a consultation pursuant to this
27subdivision, the lead agency shall not approve the financial
28assurance cost estimate until after consulting with the director.
29The consultation shall occur not later than 30 days after the
30director’s request unless an alternate timeframe is mutually agreed
31upon by the director, lead agency, and operator.

32(6) (A) The lead agency shall give the director at least 30 days’
33notice of the time, place, and date of the hearing at which the
34financial assurance cost estimate is scheduled to be approved by
35the lead agency. If no hearing is required by this chapter, local
36ordinance, or other state law, then the lead agency shall provide
3730 days’ notice to the director that it intends to approve the
38financial assurance cost estimate.

39(B) The lead agency shall send to the director its final response
40to the director’s comments within 30 days following its approval
P28   1of the financial assurance cost estimate, during which time the
2department retains all of its powers, duties, and authority pursuant
3to this chapter.

4(d) (1) (A) Within 30 days of an annual inspection being
5conducted pursuant to Section 2774, an operator shall provide an
6annual financial assurance cost estimate to the lead agency for
7review.

8(B) If the lead agency fails to cause the inspection of the surface
9mining operation on the date requested by the operator pursuant
10to Section 2207 or onbegin delete an alternateend deletebegin insert theend insert date set by the lead agency
11pursuant to subdivision (c) of Section 2774, the operator shall
12provide an annual financial assurance cost estimate to the lead
13agency for review within 30 days of thebegin delete missedend deletebegin insert applicableend insert
14 inspection date, unless the lead agency causes the inspection to
15occur within that time period, in which case the operator shall
16provide an annual financial assurance cost estimate to the lead
17agency within 30 days of the date of the inspection.

18(2) (A) Within 60 days of receiving an operator’s annual
19financial assurance cost estimate, the lead agency shall do one of
20the following:

21(i) Deny the financial assurance cost estimate pursuant to
22paragraph (6).

23(ii) Submit the financial assurance cost estimate to the director
24for review.

25(B) The lead agency shall provide the director with a
26determination that the annual financial assurance cost estimate
27submitted is adequate, complete, and consistent with Section
282773.1, Article 11 (commencing with Section 3800)begin insert of Subchapter
291end insert
of Chapter 8 of Division 2 of Title 14 of the California Code of
30Regulations, and the board’s financial assurance guidelines adopted
31pursuant to subdivision (f) of Section 2773.1.

32(3) All documentation submitted to the director pursuant to this
33subdivision shall be submitted at one time.

34(4) Within 15 days of receiving an annual financial assurance
35cost estimate, the director shall notify the lead agency and the
36operator if the submission is incomplete. An incomplete submission
37is one that does not meet the content requirements of Section
382773.1, Article 11 (commencing with Section 3800)begin insert of Subchapter
391end insert
of Chapter 8 of Division 2 of Title 14 of the California Code of
40Regulations, and the board’s financial assurance guidelines adopted
P29   1pursuant to subdivision (f) of Section 2773.1. The director’s notice
2shall specifically identify all aspects of the submission that are
3incomplete. The director’s time to review the annual financial
4assurance cost estimate shall commence upon the receipt of a
5submission that contains the aspects identified in the director’s
6notice to the lead agency.

7(5) (A) Within 45 days of receiving an operator’s complete
8annual financial assurance cost estimate from the lead agency, the
9director shall prepare written comments on the operator’s annual
10financial assurance cost estimate and provide the comments to the
11lead agency and the operator if the director so chooses.

12(B) (i) Within 30 days from receiving the director’s written
13comments pursuant to this subdivision, the lead agency shall
14evaluate the written comments and provide the director and
15operator its proposed response to the director.

16(ii) The lead agency shall submit its proposed response to the
17director at least 30 days prior to approving the annual financial
18assurance cost estimate. The lead agency’s response shall include
19either of the following:

20(I) A description of how the lead agency proposes to adopt the
21director’s comments to the annual financial assurance cost estimate.

22(II) A detailed description of the reasons why the lead agency
23proposes not to adopt the director’s comments.

24(iii) Copies of any written comments received and responses
25prepared by the lead agency pursuant to this subparagraph shall
26be provided to the operator.

27(C) (i) If the lead agency, in its written response to the director’s
28comments, proposes to not adopt the director’s comments
29concerning the annual financial assurance cost estimate, the
30director, within 15 days of receipt of the lead agency’s written
31response, may request in writing a consultation with the lead
32agency to discuss the director’s comments and the lead agency’s
33response. The request shall include an invitation to the operator
34to participate in the consultation. The consultation may be
35conducted in person, electronically, telephonically, or by any means
36convenient to the parties.

37(ii) If the director requests a consultation pursuant to this
38subparagraph, the lead agency shall not approve the annual
39financial assurance cost estimate until after consulting with the
40director. The consultation shall occur not later than 30 days after
P30   1the director’s request unless an alternate timeframe is mutually
2agreed upon by the director, lead agency, and operator.

3(D) (i) Within 60 days of receiving the director’s written
4comments, or of a consultation pursuant to this subdivision,
5whichever is later or the due date of the director’s written
6comments if none are received, the lead agency shall approve or
7deny an operator’s annual financial assurance cost estimate.

8(ii) The lead agency shall give the director at least 30 days’
9notice of the time, place, and date of the hearing at which the
10annual financial assurance cost estimate is scheduled to be
11approved by the lead agency.

12(iii) If no hearing is required by this chapter, local ordinance,
13or other state law, the lead agency shall provide 30 days’ notice
14to the director that it intends to approve the annual financial
15assurance cost estimate.

16(E) Within 30 days of the lead agency’s approval of the annual
17financial assurance cost estimate, the lead agency shall send the
18director its final response to the director’s comments.

19(6) If the lead agency determines an operator’s annual financial
20assurance cost estimate is inadequate, the lead agency shall specify
21the reasons for that determination. The operator shall have 30 days
22to appeal that denial pursuant to subdivision (e) of Section 2770
23or provide a revised financial assurance cost estimate incorporating
24the suggested changes to the lead agency for approval by the lead
25agency pursuant to this section.

26(e) (1) Within 30 days of the lead agency’s approval of a
27financial assurance cost estimate pursuant to this section, the
28operator shall provide the lead agency and the director an
29appropriate financial assurance mechanism.

30(2) (A) Within 15 days of receiving a financial assurance
31mechanism pursuant to this subdivision, or subdivision (c) of
32Section 2773.1 the lead agency and the director shall review the
33 financial assurance mechanism to determine if the type of
34mechanism, including the release instructions, meets the
35requirements of this chapter.

36(B) Financial assurance mechanisms determined to be
37noncompliant with this chapter shall be returned to the operator
38with instructions on how to correct the type or release instructions
39of the financial assurance mechanism.

P31   1(3) By July 1,begin delete 2017,end deletebegin insert 2018,end insert the board shall adopt forms to
2implement this subdivision as necessary. The forms shall be subject
3to the requirements of the Administrative Procedure Act (Chapter
43.5 (commencing with Section 11340) of Part 1 of Division 3 of
5Title 2 of the Government Code).

6(f) The review and approval of financial assurances pursuant to
7this chapter shall not be considered a project for the purposes of
8the California Environmental Quality Act (Division 13
9(commencing with Section 21000)).

10

begin deleteSEC. 11.end delete
11begin insertSEC. 10.end insert  

Section 2774 of the Public Resources Code is
12amended to read:

13

2774.  

(a) Every lead agency shall adopt ordinances in
14accordance with state policy that establish procedures for the
15review and approval of reclamation plans and financial assurances
16and the issuance of a permit to conduct surface mining operations,
17except that any lead agency without an active surface mining
18operation in its jurisdiction may defer adopting an implementing
19ordinance until the filing of a permit application. The ordinances
20shall establish procedures requiring at least one public hearing and
21shall be periodically reviewed by the lead agency and revised, as
22necessary, to ensure that the ordinances continue to be in
23accordance with state policy.

24(b) (1) The lead agency shall cause surface mining operations
25to be inspected in intervals of no more than 12 months, solely to
26determine whether the surface mining operation is in compliance
27with this chapter. The lead agency shall cause an inspection to be
28conducted by a state-licensed geologist, state-licensed civil
29engineer, state-licensed landscape architect, state-licensed forester,
30or abegin insert qualifiedend insert lead agency employee whobegin delete is qualified and
31experienced in land reclamation and whoend delete
has not been employed
32by the surface mining operation being inspected in any capacity
33during the previous 12 months, except that a qualified lead agency
34employee may inspect surface mining operations conducted by
35begin delete another department withinend delete the local agency. All inspections shall
36be conducted using a form developed by the department and
37approved by the board that includes the professional licensing and
38disciplinary information of the person who conducted the
39inspection. The operator shall be solely responsible for the
40reasonable cost of the inspection. The lead agency shall provide
P32   1a notice of completion of inspection to the director within 90 days
2of conducting the inspection. The notice shall contain a statement
3regarding the surface mining operation’s compliance with this
4chapter and a copy of the completed inspection form, and shall
5specify, as applicable, all of the following:

6(A) Aspects of the surface mining operation, if any, that were
7found to be inconsistent with this chapter but were corrected before
8the submission of the inspection form to the director.

9(B) Aspects of the surface mining operation, if any, that were
10found to be inconsistent with this chapter but were not corrected
11before the submission of the inspection form to the director.

12(C) A statement describing the lead agency’s intended response
13to any aspects of the surface mining operation found to be
14inconsistent with this chapter but were not corrected before the
15submission of the inspection form to the director.

16(2) If the surface mining operation has a review of its
17reclamation plan, financial assurances, or an interim management
18plan pending under subdivision (b) or (h) of Section 2770, or an
19appeal pending before the board or lead agency governing body
20under subdivision (e) or (h) of Section 2770, the notice shall so
21indicate. The lead agency shall forward to the operator a copy of
22the notice, a copy of the completed inspection form, and any
23supporting documentation, including, but not limited to, any
24inspection report prepared by the geologist, civil engineer,
25landscape architect, forester, or qualified lead agency employee
26who conducted the inspection.

27(c) If an operator does not request an inspection date on the
28annual report filed pursuant to Section 2207 or if the lead agency
29is unable to cause the inspection of a given surface mining
30operation on the date requested by the operator, the lead agency
31shall provide the operator with a minimum of five days’ written
32notice of a pending inspection or a lesser time period if agreed to
33by the operator.

34(d) No later than July 1 of each year, the lead agency shall
35submit to the director for each active or idle surface mining
36operation within the lead agency’s jurisdiction the following
37information:

38(1) A copy of any permit or reclamation plan amendments, as
39applicable.

P33   1(2) A statement that there have been no changes during the
2previous year, as applicable.

3(3) The date of each surface mining operation’s last inspection.

4(4) The date of each surface mining operation’s last financial
5assurance review pursuant to Section 2773.1 for each operation
6listed.

7(e) (1) No later than December 31,begin delete 2016,end deletebegin insert 2017,end insert the department
8shall establish a training program for all surface mine inspectors.
9The program shall be designed to include a guidance document,
10developed by the department, in consultation with the board and
11stakeholders, to provide instruction and recommendations to
12surface mine inspectors performing inspections pursuant to
13subdivision (b).

14(2) The training program shall includebegin delete inspectionsend deletebegin insert inspectionend insert
15 workshops offered by the department in different regions of the
16state to provide practical application of the guidance document
17material.

18(3) On and after July 1,begin delete 2019,end deletebegin insert 2020,end insert all inspectors shall have on
19file with the lead agency and the department a certificate of
20completion of an inspection workshop. An inspector shall attend
21a workshop no later than five years after the date of his or her most
22recent certificate.

23(4) The adoption of the guidance document by the department
24pursuant to this subdivision shall be subject to the requirements
25of the Administrative Procedure Act (Chapter 3.5 (commencing
26with Section 11340) of Part 1 of Division 3 of Title 2 of the
27Government Code).

28

begin deleteSEC. 12.end delete
29begin insertSEC. 11.end insert  

Section 2774.1 of the Public Resources Code is
30amended to read:

31

2774.1.  

(a) (1) Except as provided in subdivision (i) of Section
322770, if the lead agency or the director determines, based upon an
33annual inspection pursuant to Section 2774, or otherwise confirmed
34by an inspection of the surface mining operation, that a surface
35mining operation is not in compliance with this chapter, the lead
36agency or the director may issue a notice of that violation to the
37operator by personal service or certified mail. If the lead agency
38issues the notice, the lead agency shall send a copy of the notice
39to the director. The notice shall include both of the following:

40(A) A description of the violation.

P34   1(B) Actions the operator shall take to correct the violation.

2(2) (A) If a lead agency or the director determines that the time
3to correct the noticed violation will exceed 30 days, the lead agency
4and the operator may enter into a stipulated order to comply, with
5notice sent to the director. If the director initiated the enforcement
6action, the director, after consulting with the lead agency, may
7enter into a stipulated order to comply with the operator. The lead
8agency may, but need not, join the stipulated order with the
9director.

10(B) A stipulated order to comply shall include a schedule and
11time for compliance that the lead agency or the director, as
12applicable, determines is reasonable after taking into account the
13actions and legal processes required to correct the violation.

14(3) (A) If the operator does not comply with a notice issued
15pursuant to paragraph (1) within 30 days of being served the notice
16or commit to enter into a stipulated order to comply pursuant to
17paragraph (2) within 30 days of being served the notice, the lead
18agency or the director may issue an order to comply by personal
19service or certified mail requiring the operator to comply with this
20chapter or, if the operator does not have an approved reclamation
21plan or financial assurances, cease all further surface mining
22activities.

23(B) An order to comply issued pursuant to this paragraph shall
24take effect 30 days following the service of the order to comply
25unless within those 30 days the operator appeals the order to
26comply and requests a hearing before the leadbegin delete agencyend deletebegin insert agency, if
27the lead agency issued the order,end insert
or the board,begin delete depending on who
28issued the order to comply concerning the alleged violation.end delete
begin insert if the
29director issued the order.end insert
An order to comply issued pursuant to
30this paragraph shall specify all of the following:

31(i) Which aspects of the surface mining operation are
32inconsistent with this chapter.

33(ii) A time for compliance that the lead agency or director
34determines is reasonable, taking into account the seriousness of
35the alleged violation and any good faith efforts to comply with
36applicable requirements.

37(iii) The actions and legal processes required to correct the
38alleged violation.

39(C) An appeal filed pursuant to subparagraph (B) shall be
40noticed and heard at a public hearing within 45 days of the filing
P35   1of the appeal or a longer period as may be mutually agreed upon
2by the operator and the leadbegin delete agencyend deletebegin insert agency,end insertbegin insert if the lead agency
3issued the order,end insert
or the operator and the director,begin delete depending on
4who issued the order to comply.end delete
begin insert if the director issued the order.end insert

5(b) [Reserved]

6(c) An operator who violates or fails to comply with an order
7to comply issued under subdivision (a) after the order’s effective
8date or who fails to submit a report or pay annual fees to the
9director or lead agency as required by Section 2207, shall be subject
10to an order by the lead agency or the director imposing an
11administrative penalty of not more than five thousand dollars
12($5,000) per day, assessed from the original date of noncompliance
13with this chapter, including Section 2207, or from the date of the
14inspection when the violation was identified, at the discretion of
15the issuer of the notice of that violation. The penalty may be
16imposed administratively by the lead agency or the director. In
17determining the amount of the administrative penalty, the lead
18agency or the director shall take into consideration the nature,
19circumstances, extent, and gravity of the violation or violations,
20any prior history of violations, the degree of culpability, economic
21savings, if any, resulting from the violation, and any other matters
22justice may require. Orders setting administrative penalties shall
23become effective upon issuance of the assessment and payment
24shall be made to the lead agency or the director within 30 days,
25unless the operator petitions the legislative body of the lead agency,
26the board, or the superior court for review as provided in Section
272774.2. An order shall be served by personal service or by certified
28mail upon the operator. Penalties collected by the director shall
29not be used for purposes other than to cover the reasonable costs
30incurred by the director in implementing this chapter or Section
312207.

32(d) (1) An operator who violates or fails to comply with an
33order to comply issued pursuant to paragraph (3) of subdivision
34(a) or a stipulated order to comply entered into pursuant to
35paragraph (2) of subdivision (a) after the order’s effective date
36shall be removed from the list published by the department pursuant
37to subdivision (b) of Section 2717.

38(2) If after a public hearing the board or lead agency denies an
39appeal by the operator pursuant tobegin delete subdivision (b),end deletebegin insert subparagraph
40(C) of paragraph (3) of subdivision (a),end insert
the operator shall be
P36   1removed 10 working days following the denial of the appeal from
2the list published by the department pursuant to subdivision (b) of
3Section 2717.

4(3) If the operator enters into a stipulated order to comply
5between the operator and the leadbegin delete agencyend deletebegin insert agency, if the lead agency
6issued the order,end insert
or the operator and thebegin delete directorend deletebegin insert director, if the
7director issued the order,end insert
within 10 working days of the denial of
8the appeal and the stipulated order to comply is consistent with
9the order to comply upheld by the board or lead agency and
10includes a stipulated schedule for compliance, the operator shall
11remain on the list published by the department pursuant to
12subdivision (b) of Section 2717.

13(4) Issuance of a notice pursuant to paragraph (1) of subdivision
14(a) or an order to comply or stipulated order to comply pursuant
15to paragraph (2) or (3) of subdivision (a) shall not disqualify an
16operator from eligibility for placement on the list published by the
17department pursuant to subdivision (b) of Section 2717.

18(e) If the lead agency or the director determines that the surface
19mine is not in compliance with this chapter, so that the surface
20mine presents an imminent and substantial endangerment to the
21public health or the environment, the lead agency or the Attorney
22General, on behalf of the director, may seek an order from a court
23of competent jurisdiction enjoining that operation.

24(f) Upon a complaint by the director, the department, or the
25board, the Attorney General may bring an action to recover
26administrative penalties under this section, and penalties under
27Section 2207, in any court of competent jurisdiction in this state
28against any person violating any provision of this chapter or Section
292207, or any regulation adopted pursuant to this chapter or Section
302207. The Attorney General may bring this action on his or her
31own initiative if, after examining the complaint and the evidence,
32he or she believes a violation has occurred. The Attorney General
33may also seek an order from a court of competent jurisdiction
34compelling the operator to comply with this chapter and Section
352207.

36(g) (1) The lead agency has primary responsibility for enforcing
37this chapter and Section 2207. In cases where the board is not the
38lead agency pursuant to Section 2774.4, enforcement actions may
39be initiated by the director pursuant to this section only after the
P37   1violation has come to the attention of the director and either of the
2following occurs:

3(A) The lead agency has been notified by the director in writing
4of the violation for at least 30 days, and has not taken appropriate
5enforcement action, which may include failing to issue an order
6to comply within a reasonable time after issuing a notice of
7violation.

8(B) The director determines that there is a violation that amounts
9to an imminent and substantial endangerment to the public health
10or safety, or to the environment.

11(2) The director shall comply with this section in initiating
12enforcement actions.

13(h) Remedies under this section are in addition to, and do not
14supersede or limit, any and all other remedies, civil or criminal.

15

begin deleteSEC. 13.end delete
16begin insertSEC. 12.end insert  

Section 2774.2 of the Public Resources Code is
17amended to read:

18

2774.2.  

(a) Within 30 days of the issuance of an order setting
19administrative penalties under subdivision (c) of Section 2774.1,
20the operator may petition the legislative body of the lead agency,
21if the lead agency has issued the order, or the board for orders
22issued by the director, for review of the order. If the operator does
23not petition for review within the time limits set by this subdivision,
24the order setting administrative penalties shall not be subject to
25review by any court or agency.

26(b) The legislative body of the lead agency or the board shall
27notify the operator by personal service or certified mail whether
28it will review the order setting administrative penalties. In
29reviewing an order pursuant to this section, the record shall consist
30of the record before the lead agency or the director and any other
31relevant evidence which, in the judgment of the legislative body
32or the board, should be considered to effectuate and implement
33the policies of this chapter.

34(c) The legislative body or the board may affirm, modify, or set
35aside, in whole or in part, by its own order an order of the lead
36agency or the director setting administrative penalties reviewed
37by the legislative body or the board pursuant to this section.

38(d) An order of the legislative body or the board issued under
39subdivision (c) shall become effective upon its issuance unless the
40operator petitions the superior court for review as provided in
P38   1 subdivision (e). An order shall be served by personal service or
2by certified mail upon the operator. Payment of an administrative
3penalty that is specified in an order issued pursuant to subdivision
4(c) shall be made to the lead agency or the director within 30 days
5of service of the order. However, the payment shall be held in an
6interest bearing impound account pending the resolution of a
7petition for review filed pursuant to subdivision (e).

8(e) An operator aggrieved by an order of the legislative body
9or the board issued pursuant to subdivision (c) may obtain review
10of the order by filing in the superior court a petition for writ of
11mandate within 30 days following the issuance of the order. An
12operator aggrieved by an order of a lead agency or the director
13setting administrative penalties pursuant to subdivision (c) of
14Section 2774.1, for which the legislative body or board denies
15review, may obtain review of the order in the superior court by
16filing in the court a petition for writ of mandate within 30 days
17following the denial of review. The provisions of Section 1094.5
18of the Code of Civil Procedure shall govern judicial proceedings
19pursuant to this subdivision, except that in every case the court
20shall exercise its independent judgment. If the operator does not
21petition for a writ of mandate within the time limits set by this
22subdivision, an order of the board or the legislative body shall not
23be subject to review by any court or agency.

24(f) (1) After the expiration of the time to petition for review
25pursuant to subdivision (a) or (e), the director or the board acting
26as the lead agency may apply to the small claims court or the
27superior court, depending on the jurisdictional amount, in the
28county where the administrative penalty was imposed for a
29judgment to collect the unpaid administrative penalty imposed
30pursuant to subdivision (c) of Section 2774.1. The application shall
31include all of the following:

32(A) The order setting the administrative penalty pursuant to
33subdivision (c) of Section 2774.1.

34(B) A notice to the operator of the right to petition for review
35of the order.

36(C) Either of the following:

37(i) A declaration from the board that no petition was made or
38that the board declined to review the petition.

39(ii) A copy of the final order of the board.

P39   1(2) An application submitted pursuant to this subdivision shall
2constitute a sufficient showing to warrant the issuance of the
3judgment. The court clerk shall enter the judgment immediately
4in conformity with the application.

5(3) The judgment entered pursuant to this subdivision shall have
6the same force and effect as, and shall be subject to all the
7provisions of law relating to, a judgment in a civil action and may
8be enforced in the same manner as any other judgment of the court.
9The court shall make enforcement of the judgment a priority.

10

begin deleteSEC. 14.end delete
11begin insertSEC. 13.end insert  

Section 2774.4 of the Public Resources Code is
12amended to read:

13

2774.4.  

(a) The board shall exercise some or all of a lead
14agency’s powers under this chapter pursuant to subdivision (c),
15except for permitting authority and vested rights determinations,
16if the board finds that a lead agency has done any of the following:

17(1) Approved reclamation plans or financial assurances that are
18not consistent with this chapter.

19(2) Failed to inspect or cause the inspection of surface mining
20operations as required by this chapter.

21(3) Failed to seek forfeiture of financial assurances and to carry
22out reclamation of surface mining operations as required by this
23chapter.

24(4) Failed to take appropriate enforcement actions as required
25by this chapter.

26(5) Intentionally misrepresented the results of inspections
27required under this chapter.

28(6) Failed to submit information to the department as required
29by this chapter.

30(b) The board shall conduct a public hearing no sooner than
31three years after the board has taken action pursuant to subdivision
32(a) to determine if a lead agency has corrected its deficiencies in
33implementing and enforcing this chapter and the rules and
34regulations adopted pursuant to this chapter. If the board finds the
35lead agency has corrected some or all of its deficiencies in
36implementing and enforcing this chapter, the board shall restore
37to the lead agency some or all of the powers assumed by the board
38pursuant to subdivision (a).

39(c) (1) Before taking any action pursuant to subdivision (a),
40the board shall first notify the lead agency of the identified
P40   1deficiencies and allow the lead agency 45 days to provide a
2response to the board on the identified deficiencies. The board
3may review the lead agency’s response at a regularly scheduled
4meeting.

5(2) (A) If the board is not satisfied with the lead agency’s
6response, the board shall hold a public hearing within the lead
7agency’s area of jurisdiction, upon a 45-day written notice given
8to the public in at least one newspaper of general circulation within
9the city or county and directly mailed to the lead agency and to all
10operators within the lead agency’s jurisdiction who have submitted
11reports as required by Section 2207.

12(B) At the hearing, the board shall determine if the lead agency
13has engaged in the conduct described in subdivision (a). If the
14board finds that the lead agency has engaged in conduct described
15in subdivision (a), the board shall do either of the following:

16(i) Require the lead agency to develop a remedial plan to correct
17the noted deficiencies. The remedial plan shall describe specific
18objectives and corresponding processes designed to address, at a
19minimum, the noted deficiencies and a time that the remedial plan
20will be fully implemented. The board shall set a hearing to review
21the completion of the remedial plan consistent with paragraph (2)
22and subdivisions (d) and (e).

23(ii) Take immediate action pursuant to subdivision (a).

24(d) Affected operators and interested persons have the right at
25the public hearing to present oral and written evidence on the
26matter being considered. At the public hearing, the board may
27place reasonable limits on the right of affected operators and
28interested persons to question and solicit testimony.

29(e) (1) If the board decides to take action pursuant to subdivision
30(a) and exercise some or all of a lead agency’s powers under this
31chapter, except for permitting authority and vested rights
32determinations, the board, based on the record of the public
33hearing, shall adopt written findings that explain all of the
34following:

35(A) The action to be taken by the board.

36(B) Why the board decided to take the action.

37(C) Why the action is authorized by and meets the requirements
38of subdivision (a).

39(2) In addition, the board’s findings shall address the significant
40issues raised, or written evidence presented, by affected operators,
P41   1interested persons, the lead agency, or the department. The
2transcript of testimony and exhibits, together with all papers and
3requests filed in the proceedings, shall constitute the exclusive
4record for decision by the board.

5(f) If the board finds at the hearing held pursuant to paragraph
6(2) of subdivision (c) that the lead agency has not completed the
7remedial plan prepared pursuant to clause (i) of subparagraph (B)
8of paragraph (2) of subdivision (c) to the board’s satisfaction, the
9board shall follow the procedures set forth in paragraph (2) of
10subdivision (c) and subdivisions (d) and (e). If the board finds at
11the hearing held pursuant to paragraph (2) of subdivision (c) that
12the lead agency has completed the remedial plan prepared pursuant
13to clause (i) of subparagraph (B) of paragraph (2) of subdivision
14(c) to the board’s satisfaction, the board shall conclude the action
15it has taken pursuant to this section.

16(g) The lead agency, any affected operator, or any interested
17person who has presented oral or written evidence at the public
18hearing before the board pursuant to subdivision (d) may obtain
19review of the board’s action taken pursuant to subdivision (a) by
20filing in the superior court a petition for writ of mandate within
2130 days following the issuance of the board’s decision. Section
221094.5 of the Code of Civil Procedure governs judicial proceedings
23pursuant to this subdivision, except that in every case the court
24shall exercise its independent judgment. If a petition for a writ of
25mandate is not filed within the time limits set by this subdivision,
26the board’s action under subdivision (a) shall not be subject to
27review by any court or agency.

28

begin deleteSEC. 15.end delete
29begin insertSEC. 14.end insert  

No reimbursement is required by this act pursuant to
30Section 6 of Article XIII B of the California Constitution because
31a local agency or school district has the authority to levy service
32charges, fees, or assessments sufficient to pay for the program or
33level of service mandated by this act, within the meaning of Section
3417556 of the Government Code.

35

begin deleteSEC. 16.end delete
36begin insertSEC. 15.end insert  

This act shall become operative only if both this bill
37and Senate Bill 209 of the 2015-16 Regular Session are enacted
38and becomebegin delete operative.end deletebegin insert operative on or before January 1, 2017.end insert



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