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(b) Where actual plugging differed from the Plugging and Abandonment Plans, a statement specifying the different procedures followed. F. FINANCIAL RESPONSIBILITY 1. Demonstration of Financial Responsibility_ The Permittee is required to demonstrate and maintain financial responsibility and resources sufficient to close, plug, and abandon the underground injection operation as provided in the Plugging and Abandonment Plans and consistent with 40 CFR §144 Subpart D, which the Director has chosen to apply. (a) The Permittee shall post a financial instrument such as a surety bond with a standby trust agreement or arrange other financial assurance for each well constructed in the amount of $180,000, to guarantee closure. Authority to drill and construct any well will not be given until the financial instrument has been posted and approved by EPA. (b) The financial responsibility mechanism shall be reviewed and updated periodically, upon request of EPA. The permittee may be required to change to an alternate method of demonstrating financial responsibility which names EPA as the beneficiary. Any such change must be approved in writing by EPA prior to the change. 2. Insolvency of Financial Institution The Permittee must submit an alternate instrument of financial responsibility acceptable to EPA within sixty (60) days after either of the following events occurs: (a) The institution issuing the bond or financial instrument files for bankruptcy; or (b) The authority of the trustee institution to act as trustee, or the authority of the institution issuing the financial instrument, is suspended or revoked. Failure to submit an acceptable financial demonstration will result in the termination of this permit pursuant to 40 CFR§144.40(a)(1). 3. Insolvency of Owner or Operator An owner or operator must notify EPA by certified mail of the commencement of voluntary or involuntary proceedings under U.S. Code Title 11 (Bankruptcy), UIC Permit CA 10500002 Page 22 of 29