KRS 350.135: Requirements for transfer of surface coal mining permit -- Release of bond

-- Regulations -- Approval by cabinet.

(1) No surface coal mining permit issued pursuant to this chapter shall be transferred by

sale, assignment, lease, or otherwise except upon the written approval by the cabinet

of a joint application submitted by both the transferor and the transferee. A basic fee

set by regulation, and bearing a reasonable relationship to the cost of processing the

transfer, but not to exceed seven hundred fifty dollars ($750) shall accompany the

application and no acreage fee will be assessed. The transferee shall file with the

application a bond satisfactory to the cabinet which shall ensure reclamation of the

entire area of land affected under the permit, including areas previously affected by

the transferor. All rights and liabilities under the permit shall pass to the transferee

upon written approval of the transfer by the cabinet, except that the transferor shall

remain liable for any civil penalties re sulting from violations occurring prior to the

date of approval of the transfer. The cabinet shall not approve transfer of a surface

coal mining permit to any person who would be ineligible to receive a new permit

under this chapter.

(2) After the cabinet has given its written approval to the transfer, the transferee may

conduct surface coal mining and reclamation operations according to the approved

mining and reclamation plan of the original permittee. Any transferee seeking to

change the conditions of mi ning or reclamation operations, or any of the terms or

conditions of the original permit, shall apply for a new or revised permit pursuant to

the requirements of the cabinet.

(3) The cabinet shall not release the first permittee from bond liability under t his

chapter as to that particular operation until the transferee, having filed a bond

satisfactory to the cabinet, receives written approval from the cabinet for the

transfer, and otherwise complies with the requirements of this chapter, and provided

further that the transferee shall assume as part of his obligation under this chapter,

all liability for the reclamation of the area of land affected by the former permittee.

(4) The cabinet may promulgate reasonable regulations and administrative procedures

to implement this section.

(5) The cabinet shall approve the transfer application if:

(a) A joint agreement or sale has been executed;

(b) The transferee has posted bond satisfactory to the cabinet which insures

reclamation of the entire area of land affected under the permit;

(c) The transferee has paid the fee pursuant to subsection (1) of this section;

(d) The transferee has agreed to operate under provisions of the approved permit

being transferred.