North Carolina Reclamation Bond

North Carolina Reclamation Bond

Under the Mining Act of 1971, businesses wishing to extract minerals, ores, or other solid matter through mining practices must first be approved for a permit by the North Carolina Department of Environmental Quality (NCDEQ). The custom North Carolina Reclamation Bond (occasionally referred to as the Land Quality Section Reclamation Bond) is required in order for the permit to officially be granted. Jet provides this bond as a financial guarantee in cases of the permittee violating regulations or not fulfilling contractual obligations with the NCDEQ. 

PURCHASE RECLAMATION BOND

If you are looking to apply for a mining permit, the Jet team can help you acquire the North Carolina Reclamation Bond through a quick and simple application process. 

What Is the Limit and Price for the North Carolina Reclamation Bond?

The North Carolina Reclamation Bond has a custom bond limit that is decided by the NCDEQ,  based upon the area of affected land that will be grounds for the permitted reclamation plan. 

When filling out the application, put in the NCDEQ required bond limit and we can get started on the underwriting process.

At Jet, surety bond prices are based on a small percentage of the bond limit and the applicants credit score. Due to the relatively high limit of Reclamation Bonds, Jet will require an evaluation of additional information such as the permittees business reputation, details pertaining to the reclamation plan, and other financials before the bond can be secured. The Jet team makes this process quick, and once provided with an approved rate you are able to purchase the bond directly online.

How Is the Reclamation Bond Filed in North Carolina?

Jet can file the bond for you! A signed and sealed Reclamation Bond must be filed with the Land Quality Section of the NCDEQ. The bond is to remain on file throughout the permitted reclamation plan schedule. Failure to do so will halt the operation and threaten the permit’s active status. 

For those initially applying for a mining permit, the NCDEQ provides an online checklist as well as all of the required forms. If you would prefer to file the bond with your mining permit application, Jet’s bond application allows you to select that option. Otherwise, our team will file the bond for you and email you a copy for your personal records.

The original bond form and all other required paperwork should be sent by certified mail to the following address:

NC Department of Environmental Quality
Land Quality Section
1612 Mail Service Center
Raleigh, NC 27699

What Is the Purpose of the North Carolina Reclamation Bond?

The State of North Carolina has made the protection of its landscape and environment a priority for each of its government run departments and even created the Department of Environmental Quality for the sole purpose of protecting the North Carolina habitat. Because of this, the NCDEQ regulates companies that impact the environment, such as mining companies, by requiring strict permits. Therefore, any kind of business wishing to extract minerals, ores, or other solid matter through mining practices is legally required to obtain a mining permit. The permit and accompanying required bond are enforced to ensure that permitted reclamation work is upheld to the NCDEQ’s standards of environmental safety and sustainability. The Reclamation Bond acts as an extra level of financial protection should the permittee fail to comply with regulations or not fulfill their obligations of the agreed upon reclamation plan with the NCDEQ.

How May Claims Arise on the North Carolina Reclamation Bond?

Businesses, companies, or individuals who have been granted a mining permit are obligated to follow all permit laws in accordance with NCAC Title 15A, Chapter 5 and North Carolina General Statutes Article 7, Chapter 74, otherwise known as the Mining Act of 1971. Additionally, the permittee needs to follow the reclamation plan that was approved by the NCDEQ. 

The Reclamation Bond is specifically required to ensure that the operation mining permit and reclamation plan will be upheld. This includes working to maintain and protect the surrounding land to the site, rehabilitation of the mined area, protection from drainage and pollution problems, proper discharge of contaminants, paying all proper fees, meeting local land requirements, and fulfillment of the reclamation plan.

The NCDEQ will perform regular inspections on the job site to make sure that all mining tasks are being conducted properly and up to the department’s quality standards. Should there be a violation of safety standards or the reclamation plan, a written hearing notice will be issued to the permittee. The hearing will be scheduled no less than 30 days from the notice date as well as no more than 60 days after such notice date. The hearing will be held to discuss the specifics on which problems need to be resolved and the exact timeline that such tasks need to be completed. Failure to comply can result in the suspension or revocation of the individuals permit, large fees, further disciplinary action, and a bond claim. It is in the best interest of the permittee to resolve any problems with the NCDEQ before serious penalties occur.

What Happens if the Permittee Gets a Claim on the Reclamation Bond?

Immediately contact Jet upon receiving a bond claim notice from the NCDEQ. The Jet team will brief you on how our investigation and claim process works and then proceed with a thorough review of the claim details, any supporting documentation, and the NCDEQ’s investigation.

For valid claims, Jet will make payment up to the custom bond amount. Surety bonds are a form of credit, therefore the permittee will be responsible for reimbursing Jet for the paid out claim. Failure to do so will lead to future difficulties obtaining surety bonds, including permit bonds such as the North Carolina Reclamation Bond.

How Does the Application Process Work With Jet?

The Jet team takes great pride in making our online bond application simple! The North Carolina Reclamation Bond application will ask for general information such as details pertaining to the permittees business, details of the reclamation plan, and the permittees social security number. For an approved rate, a soft credit check will be conducted in addition to a review of information by a Jet underwriter. Once a rate is provided and you have completed payment, Jet will either file the original bond for you and send you a copy for you personal records or mail you the original bond for you to file with the NCDEQ yourself. The choice is up to you!

It is important to note that the name on the bond must be the same as the name of the company or individual that the application for a mining permit was filed under.

PURCHASE RECLAMATION BOND

Does the North Carolina Reclamation Bond Need to Be Renewed?

The Reclamation Bond is required to keep the mining permit active, so the bond will need to be renewed if the permitted work takes longer than the original agreed upon bond term. But don't worry, Jet makes this process easy!

We will send you an invoice prior to the bond’s expiration. No renewal fees or extra paperwork is needed, the annual payment is all that we ask for upon renewal.

Can the Reclamation Bond Be Cancelled and Partially Refunded?

Yes! With Jet, you can cancel your bond at any time. Just send our team a cancellation request, via email or mail, and we will proceed with mailing a written cancellation notice to the North Carolina Department of Environmental Quality. Liability will be released within 60 days of the notice date.

Regarding refunds, the Jet team will review your bond to see if there is any unused premium available and if so will reimburse you as soon as possible.

North Carolina Reclamation Bond Form

Notary Bond Application:

X

Business Information:

Indemnity Agreement:

I, the undersigned, hereby apply for a Dishonesty Bond also known as a Business Service Bond or Janitorial Service Bond (“bond”) to the Surety Company (“SURETY”) through Jet Insurance Company (“JET”), with whom I hereby grant the authority to act on my behalf with respect to the bond and assign as my Broker of Record, and declare that the statements herein are true and correct. In consideration of the SURETY issuing, renewing or substituting said bond(s), I, individually and as the owner or officer of the bonded entity, hereby understand and agree, as follows: (i) to reimburse, hold harmless, and indemnify SURETY upon demand for all loss, liability, claim, expense, including but not limited to attorneys’ fees, expert’s fees, investigative fees and claims handling fees, and any other cost which SURETY shall pay or incur in defense, adjustment, or settlement of such claims/suits by reason of such suretyship; (ii) that an itemized statement of loss and expenses by SURETY shall be indisputable proof of my liability to SURETY; (iii) coverage is subject to a $100 deductible; (iv) the employee must be convicted before coverage will apply (v) performance and any form of dispute resolution of this agreement shall take place in the county of SURETY's office of service; and (vi) a facsimile copy or electronically signed version of this agreement shall be binding as if it were an original. This agreement shall survive any changes in, substitute to or renewal of the bond(s).

Required Effect Date of Bond Policy:

Contact Information:

Employee Dishonesty Bond Application:

Business Information:

Business Description:

Coverage Requirements:

Indemnity Agreement:

I, the undersigned, hereby apply for a Dishonesty Bond also known as a Business Service Bond or Janitorial Service Bond (“bond”) to the Surety Company (“SURETY”) through Jet Insurance Company (“JET”), with whom I hereby grant the authority to act on my behalf with respect to the bond and assign as my Broker of Record, and declare that the statements herein are true and correct. In consideration of the SURETY issuing, renewing or substituting said bond(s), I, individually and as the owner or officer of the bonded entity, hereby understand and agree, as follows: (i) to reimburse, hold harmless, and indemnify SURETY upon demand for all loss, liability, claim, expense, including but not limited to attorneys’ fees, expert’s fees, investigative fees and claims handling fees, and any other cost which SURETY shall pay or incur in defense, adjustment, or settlement of such claims/suits by reason of such suretyship; (ii) that an itemized statement of loss and expenses by SURETY shall be indisputable proof of my liability to SURETY; (iii) coverage is subject to a $100 deductible; (iv) the employee must be convicted before coverage will apply (v) performance and any form of dispute resolution of this agreement shall take place in the county of SURETY's office of service; and (vi) a facsimile copy or electronically signed version of this agreement shall be binding as if it were an original. This agreement shall survive any changes in, substitute to or renewal of the bond(s).

Required Effect Date of Bond Policy:

Contact Information:

Contract Bond Application:

X

Business Information:

Owner Information:

Job Details:

Indemnity Agreement:

I, the undersigned, hereby apply for a Dishonesty Bond also known as a Business Service Bond or Janitorial Service Bond (“bond”) to the Surety Company (“SURETY”) through Jet Insurance Company (“JET”), with whom I hereby grant the authority to act on my behalf with respect to the bond and assign as my Broker of Record, and declare that the statements herein are true and correct. In consideration of the SURETY issuing, renewing or substituting said bond(s), I, individually and as the owner or officer of the bonded entity, hereby understand and agree, as follows: (i) to reimburse, hold harmless, and indemnify SURETY upon demand for all loss, liability, claim, expense, including but not limited to attorneys’ fees, expert’s fees, investigative fees and claims handling fees, and any other cost which SURETY shall pay or incur in defense, adjustment, or settlement of such claims/suits by reason of such suretyship; (ii) that an itemized statement of loss and expenses by SURETY shall be indisputable proof of my liability to SURETY; (iii) coverage is subject to a $100 deductible; (iv) the employee must be convicted before coverage will apply (v) performance and any form of dispute resolution of this agreement shall take place in the county of SURETY's office of service; and (vi) a facsimile copy or electronically signed version of this agreement shall be binding as if it were an original. This agreement shall survive any changes in, substitute to or renewal of the bond(s).

Required Effect Date of Bond Policy:

Contact Information:

Worker's Compensation Application:

X

Business Information:

Business Description:

Coverage Requirements

Indemnity Agreement:

I, the undersigned, hereby apply for a Dishonesty Bond also known as a Business Service Bond or Janitorial Service Bond (“bond”) to the Surety Company (“SURETY”) through Jet Insurance Company (“JET”), with whom I hereby grant the authority to act on my behalf with respect to the bond and assign as my Broker of Record, and declare that the statements herein are true and correct. In consideration of the SURETY issuing, renewing or substituting said bond(s), I, individually and as the owner or officer of the bonded entity, hereby understand and agree, as follows: (i) to reimburse, hold harmless, and indemnify SURETY upon demand for all loss, liability, claim, expense, including but not limited to attorneys’ fees, expert’s fees, investigative fees and claims handling fees, and any other cost which SURETY shall pay or incur in defense, adjustment, or settlement of such claims/suits by reason of such suretyship; (ii) that an itemized statement of loss and expenses by SURETY shall be indisputable proof of my liability to SURETY; (iii) coverage is subject to a $100 deductible; (iv) the employee must be convicted before coverage will apply (v) performance and any form of dispute resolution of this agreement shall take place in the county of SURETY's office of service; and (vi) a facsimile copy or electronically signed version of this agreement shall be binding as if it were an original. This agreement shall survive any changes in, substitute to or renewal of the bond(s).

Required Effect Date of Bond Policy:

Contact Information: