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1. INTRODUCTION <br /> Appendices. The appendices are located at the back of the EIR and are referenced in the Table <br /> of Contents. <br /> 1.6 OTHER AGENCIES <br /> Other agencies may use some or all of the analysis presented in the EIR for purposes of project <br /> review and the issuance of permits. A discussion of permits and approvals follows in <br /> Chapter 3.0,Project Description, Section 3.7. <br /> 1.7 SMARA/FINANCIAL ASSURANCES <br /> The Surface Mining and Reclamation Act(SMARA) was enacted by the State Legislature in <br /> 1975,and is the State's response to the need for a continuing supply of mineral resources while <br /> preventing damage from mining activities to public health,property, and the environment. The <br /> Department of Conservation Office of Mine Reclamation(OMR)and the State Mining and <br /> Geology Board(SMGB)are jointly charged with ensuring proper administration of the SMARA <br /> requirements. The SMGB promulgates regulations to clarify and interpret the SMARA <br /> provisions, and also serves as a policy and appeals board. The OMR provides ongoing technical _ <br /> assistance for lead agencies and operators,maintains a database of mine locations and operational <br /> information statewide,and is responsible for compliance related matters. <br /> SMARA requires surface mining operations to obtain lead agency approved financial assurance <br /> for the reclamation of mined lands,so the public will not bear the cost of reclaiming abandoned <br /> operations. Financial assurances may take the form of surety bonds, irrevocable letters of credit <br /> or trust funds,and must be accessible by the lead agency or the State in cases of mine <br /> abandonment.In the event of financial incapability by the operator, the financial assurance funds <br /> would be used by the lead agency(or SMGB)to reclaim the mined site. <br /> The applicant will prepare a cost estimate covering the costs of reclaiming the site and will <br /> provide the County with a financial assurance mechanism such as a surety bond for the amount of <br /> the cost of reclamation. <br /> SMARA regulations require the following in the calculation of financial assurance: <br /> • An analysis of the activities necessary to implement the approved reclamation plan; <br /> • The unit costs for each activity; <br /> • The number of units; and <br /> • Contingency costs and administrative costs. <br /> Financial assurances are reviewed annually by the Lead Agency and adjusted, if necessary to <br /> reflect changes in the cost of reclamation activities,lands reclaimed the previous year,and the <br /> lands to be disturbed the next year. _ <br /> RMC Pacific Vernalis Quany Mining and Reclamation Project 1-6 ESA 1203015 <br /> Administrative Draft Ent March 2004 <br />