§ 23-2715. Financial security for reclamation.

1. Before the department may issue a permit, the applicant, unless
exempt, shall furnish financial security to ensure the performance of
reclamation as provided in the approved mined land-use plan and naming
the state as beneficiary. Financial security shall be in the form of a
bond from a corporate surety licensed to do business as such in the
state or any other form the department may deem acceptable. Any interest
accruing as a result of such security shall be the exclusive property of
the permittee.

2. The department shall determine the amount, condition, and terms of
the financial security. The amount shall be based upon the estimated
cost of reclaiming the affected land, which shall be based on
information contained in the permit application and upon such
information as an investigation by the department may disclose.

3. The financial security shall remain in full force and effect until
the department has approved the reclamation. At the discretion of the
department, the permittee may secure the release of that portion of the
financial security for affected land on which reclamation has been
completed and approved by the department.

4. If the financial security shall for any reason be cancelled, within
thirty days after receiving notice thereof, the permittee shall provide
a valid replacement under the same conditions as described in this
section. Failure to provide a replacement bond within such period may,
at the discretion of the commissioner, result in the immediate
suspension of the mining permit by the department.

5. If a permit is suspended or revoked, the department may require the
permittee to commence reclamation upon thirty days notice.

6. If the permittee fails to commence or to complete the reclamation
as required, the department may attach the financial security furnished
by the permittee. In any event, the full cost of completing reclamation
shall be the personal liability of the permittee and/or the person
engaged in mining and the department, acting by the attorney general,
may bring suit to recover all costs to secure the reclamation not
covered by the financial security. The materials, machinery, implements
and tools of every description which may be found at the mine, or other
assets of the permittee and/or the person engaged in mining shall be
subject to a lien of the department for the amount expended for
reclamation of affected lands and shall not be removed without the
written consent of the department. Such lien may be foreclosed by the
attorney general in the same manner as a mechanic's lien. Any and all
moneys recovered shall be deposited in the environmental regulatory
account pursuant to section 72-1009 of this chapter.

7. Political subdivisions, municipalities, the United States and any
of its agencies and agencies of the state shall be exempt from the
requirements of this section.