KENTUCKY REGULATORY PROGRAM KENTUCKY REVISED STATUTES (KRS) TITLE XXVIII MINES AND MINERALS CHAPTER 350 SURFACE COAL MINING (Current through 2003 Regular Session) BOND POOL FUND KRS 350.700 Bond pool fund established. KRS 350.705 Bond Pool Commission. KRS 350.710 Powers of commission. KRS 350.715 Pool administrator. KRS 350.720 Bond pool -- Criteria -- Compliance records. KRS 350.725 Membership fee -- Tonnage fee. KRS 350.730 Tonnage fee suspension or reinstatement. KRS 350.735 Permit-specific penal bond. KRS 350.740 Permit issuance. KRS 350.745 Payments from fund for reclamation. KRS 350.750 Revocation of membership in bond pool. KRS 350.755 Grounds for refusal of permit. NOTE: Cross references to OSM's federal regulations and SMCRA appear in double braces to the right of the Rule or Section number, e.g., "KRS Sec. 350.068 CANCELLATION OF SURETY {{ SMCRA Sec. 509 }}". The cross references were compiled using the preambles to OSM's approval of amendments to the Kentucky Regulatory Program published in the Federal Register and from the file of Kentucky regulatory material in the COALEX Library in LexisNexis. KRS Sec. 350.700 BOND POOL FUND ESTABLISHED {{ SMCRA Sec. 509(c); 30 CFR 800.11 }} (1) There is established a special fund to be known as the "bond pool fund" which shall be administratively assigned to the cabinet and which shall be administered in accordance with the terms of KRS 350.700 to 350.755. (2) The fund shall consist of all moneys collected pursuant to KRS 350.725 and 350.990(1), and all interest earned thereon. (3) Moneys in the fund shall be held in an interest-bearing account, and shall be used as follows, and for no other purpose: (a) To reclaim, in the event of forfeiture, permit areas covered by the bond pool fund; (b) To compensate the cabinet for costs of administering the bond pool fund; (c) To fund audits and actuarial studies required under the provisions of KRS 350.710; (d) To cover all operating expenses and any necessary legal expenses of the bond pool commission; and (e) To cover the requirements of KRS 350.595. (4) Moneys contained in the bond pool fund shall be deemed a trust and agency account and shall not lapse. (5) The bond pool fund shall be exempt from the requirements applicable to insurers under KRS Chapter 304. Effective: July 15, 1988 History: Amended 1988 Ky. Acts ch. 397, sec. 2, effective July 15, 1988. -- Created 1986 Ky. Acts ch. 137, sec. 1, effective July 15, 1986. 2002-2004 Budget Reference. See State/Executive Branch Budget, 2003 Ky. Acts ch. 549, pt. V, item 2(J)(5), at 1856; and State/Executive Branch Budget Memorandum, 2000 Ky. Acts ch. 143, at 440 (Final Budget Memorandum, at 7). KRS Sec. 350.705 BOND POOL COMMISSION {{ SMCRA Sec. 509(c) }} (1) There is hereby created a Bond Pool Commission which shall consist of seven (7) members. One (1) member shall be the chairman of the Small Coal Operators Advisory Council as established pursuant to KRS 350.260. The other six (6) members of the commission shall be appointed by the Governor as follows: (a) One (1) member of the commission shall be a member, other than chairman, of the Small Coal Operators Advisory Council; (b) Two (2) of the members shall be operators of surface coal mining operations producing three hundred thousand (300,000) or fewer tons of coal per year; (c) One (1) member shall be an operator of surface coal mining operations producing more than three hundred thousand (300,000) tons of coal per year; (d) One (1) member shall be a certified public accountant; and (e) One (1) member shall be the secretary of the cabinet or his designee. (2) (a) The chairman of the Small Coal Operators Advisory Council shall serve on the commission for so long as he is chairman of the council. The Governor shall initially appoint the other six (6) members as follows: two (2) members for a term of two (2) years; two (2) members for a term of three (3) years; and two (2) members for a term of four (4) years, beginning September 1, 1986. Subsequent appointments shall be made by the Governor for terms of four (4) years. Members may serve successive terms if reappointed; and (b) Any vacancy in an unexpired term shall be filled for the unexpired portion of the term by the Governor. (3) The commission shall adopt bylaws by which it shall elect a chairman and vice chairman and establish procedures for conduct of meetings. (4) The official domicile of the commission shall be Franklin County. All actions of the commission shall be considered to occur in Franklin County. (5) The commission shall meet no less than once a month during the first year beginning September 1, 1986. Commencing with the second year, the commission shall meet no less than once every three (3) months. Four (4) members of the commission shall constitute a quorum at any meeting. (6) Each commission member, except the cabinet representative, shall receive fifty dollars ($ 50) per diem for each meeting attended. Except for the cabinet representative, members of the commission shall also be reimbursed for actual and necessary expenses directly related to meetings of the commission. (7) If a member of the commission fails to attend four (4) consecutive meetings, the position shall be considered to be vacated, and the Governor, after receiving notice of the vacancy from the commission, shall immediately appoint a qualified person to serve the remainder of the term. (8) Any member of the commission having any direct or indirect financial interest or any other conflict of interest with respect to a permittee applying for membership in the bond pool, a bond pool member applying for a rating revision, or a bond pool member whose membership is being evaluated or revoked, shall not participate in any discussion or vote concerning membership or rating of that permittee or member. (9) There shall be no liability on the part of, and no cause of action of any nature shall arise against, the commission, the bond pool administrator, or their agents or employees for any action taken in the performance of their powers and duties under KRS 350.595 and 350.700 to 350.755. Effective: July 14, 1992 History: Amended 1992 Ky. Acts ch. 119, sec. 3, effective July 14, 1992. -- Amended 1988 Ky. Acts ch. 397, sec. 3, effective July 15, 1988. -- Created 1986 Ky. Acts ch. 137, sec. 2, effective July 15, 1986. KRS Sec. 350.710 POWERS OF COMMISSION {{ SMCRA Sec. 509(c) }} The Bond Pool Commission shall: (1) Review, in accordance with the applicable administrative regulations of the cabinet, all applications for membership in the bond pool and assign a rating to each applicant for membership. The commission shall deny membership to any applicant who fails to satisfy the eligibility criteria set forth in KRS 350.720; (2) Review all applications by bond pool members and recommendations by the bond pool administrator for revision of an assigned rating. The review shall include evaluation of the bond pool member's performance of reclamation requirements in this chapter and the administrative regulations promulgated pursuant thereto and consideration of the member's payment of fees and penalties assessed pursuant to KRS 350.725; (3) Notify bond pool members of suspension or reinstatement of the tonnage fee required by KRS 350.725(2); (4) Revoke or reinstate memberships in the bond pool and notify any member of the bond pool whose membership is revoked or reinstated; (5) Employ, in accordance with KRS 45A.690 et seq., a certified public accountant to perform an audit of the bond pool fund for each of the first two (2) years after July 15, 1986. After the initial two (2) years, an audit shall be made no less than biennially. Audit results shall be reported to the Bond Pool Commission and to the Governor; (6) Employ, in accordance with KRS 45A.690 et seq., a qualified actuary to perform an actuarial study no less than every three (3) years; (7) Authorize expenditures from the bond pool necessary to carry out the purposes of KRS 350.700 to 350.755, including the procurement of legal services for the commission; (8) Report to the Governor no later than December 31 of each year as to the financial status of the bond pool; and (9) Determine the amount of coverage provided for properties in the Abandoned Mine Land Enhancement Program under KRS 350.595. Effective: July 13, 1990 History: Amended 1990 Ky. Acts ch. 210, sec. 9, effective July 13, 1990; and ch. 496, sec. 65, effective July 13, 1990. -- Amended 1988 Ky. Acts ch. 397, sec. 4, effective July 15, 1988. -- Created 1986 Ky. Acts ch. 137, sec. 3, effective July 15, 1986. Legislative Research Commission Note (7/13/90) This section was amended by two 1990 Acts which do not appear to be in conflict and have been compiled together. KRS Sec. 350.715 POOL ADMINISTRATOR {{ SMCRA Sec. 509(c) }} (1) The secretary of the cabinet shall appoint a cabinet employee to serve as bond pool administrator. (2) The bond pool administrator shall: (a) Collect and deposit into the bond pool fund all membership fees and tonnage fees submitted by bond pool members; (b) Assess penalties against members for late payment of tonnage fees; (c) Compile information about applicants and members for use by the commission in assigning or revising ratings; (d) Monitor members' reporting and payment of tonnage fees and compliance with laws and administrative regulations of the cabinet and, where appropriate, recommend to the commission that it downgrade a member's rating or revoke a person's membership; (e) Pay moneys out of the bond pool fund as authorized by the bond pool commission; (f) At each meeting, report to the commission concerning the status of the bond pool and activities of the bond pool administrator; (g) Perform such other administrative functions as are necessary to carry out the purposes of KRS 350.700 to 350.755; and (h) Account for the amount of coverage provided for properties in the Abandoned Mine Land Enhancement Program under KRS 350.595. Effective: July 15, 1988 History: Amended 1988 Ky. Acts ch. 397, sec. 5, effective July 15, 1988. -- Created 1986 Ky. Acts ch. 137, sec. 4, effective July 15, 1986. KRS Sec. 350.720 BOND POOL -- CRITERIA -- COMPLIANCE RECORDS {{ SMCRA Sec. 509(c)}} (1) An alternative bonding program to be known as the "bond pool" shall be established. Any permittee of a surface coal mining operation located in Kentucky who meets the criteria set forth in this section and in administrative regulations promulgated by the cabinet shall be eligible to participate in the bond pool. Participation in the pool shall be voluntary. (2) Except as provided in KRS 350.700 to 350.755, membership in the bond pool and compliance with the requirements of KRS 350.700 to 350.755 shall satisfy the requirement to post bond in accordance with KRS 350.060(11). (3) An application fee shall be charged not to exceed one hundred dollars ($ 100). The application fee may be applied to the membership fee set forth in KRS 350.725(1). (4) Except as provided in subsection (5) of this section, every permit held by a member of the bond pool shall be included in the pool, except for portions of permits disturbed prior to the member's admission into the pool, to which the provisions of KRS 350.735(4) shall apply. (5) No acreage on which is located a coal preparation plant, tipple, or loading facility shall be eligible for bond coverage by the bond pool fund. (6) The bond pool fund shall not assume any part of a member's responsibility for damage due to subsidence which occurs in connection with underground mining or auger mining. (7) An applicant shall be and a member shall remain eligible for membership in the bond pool only if the bond pool commission determines that the applicant or member is in good financial standing and fulfills the criteria of one (1) of the following ratings: (a) An "A" rating shall be assigned to any applicant or member who: 1. For a period of at least five (5) of the seven (7) years immediately preceding the application for membership in the pool, has held, under the same permittee name or other permittee name as provided in paragraph (d) of this subsection, a permit issued by the cabinet to conduct surface coal mining operations in Kentucky; and 2. Has exhibited an excellent compliance record as defined by the administrative regulations of the cabinet; (b) A "B" rating shall be assigned to any applicant or member who: 1. For a period of at least five (5) of the seven (7) years immediately preceding the application for membership in the pool, has held, under the same permittee name or other permittee name as provided in paragraph (d) of this subsection, a permit to conduct surface coal mining operations in Kentucky; and 2.Has exhibited an acceptable compliance record as defined by the administrative regulations of the cabinet; (c) A "C" rating shall be assigned to any applicant or member who: 1. For a period of at least three (3) of the five (5) years immediately preceding the application for membership in the pool, has held, under the same permittee name or other permittee name as provided in paragraph (d) of this subsection, a permit to conduct surface coal mining operations in Kentucky; and 2.Has exhibited an acceptable compliance record as defined by the administrative regulations of the cabinet. (d) When approved by the commission on a case-by-case basis, permits held by persons other than the applicant or member may be used to demonstrate the years of mining experience of the applicant or member as set forth in this paragraph: 1. A person who owns fifty percent (50%) or more of the applicant or member; 2. A person who is owned fifty percent (50%) or more by a person under subparagraph 1. of this paragraph; or 3.Persons whose combined ownership of the applicant or member is fifty percent (50%) or more, if each person meets the years of mining experience required under this subsection. (8) Upon request of any member, not to exceed once per year, the commission may upgrade the member's rating. The commission may downgrade the rating of any member at any time upon the recommendation of the bond pool administrator. Any revision shall be made in accordance with the criteria set forth in this section. When a member's rating is downgraded, the commission may increase the permit-specific bond already posted in accordance with KRS 350.735. (9) The cabinet shall promulgate administrative regulations establishing methods and criteria for determining if an applicant or member is in good financial standing. The cabinet shall also promulgate regulations for determining if an applicant or member has an excellent or acceptable compliance record, which may include, but shall not be limited to: (a) Number and seriousness of violations for which the applicant or member has been cited; (b) Whether the applicant or member has abated cited violations in a timely fashion; (c) Whether the applicant or member has timely paid any penalties assessed against it; (d) Whether a surety which posted bond to cover a permit area of the applicant or member has had to perform reclamation to avoid bond forfeiture; and (e) Whether the applicant or member has received timely bond releases. (10) For purposes of determining whether an applicant or member has an excellent or acceptable compliance record, the commission shall examine the compliance records of all persons who own or control, are owned or controlled by, or are under common ownership or control with the applicant or member. Where persons other than the applicant or member are considered under subsection (7)(d) of this section, each person's compliance record shall be considered. (11) An applicant or a member's experience pursuant to a two (2)-acre-or-less permit that was issued prior to June 6, 1987, shall not be considered in the ratings assignment, except as provided in subsection (12) of this section. (12) No application for membership in the bond pool shall be approved by the commission if it is determined that the applicant, or any person who owns or controls, is owned or controlled by, or is under common ownership or control with the applicant, is not eligible for a permit under the provisions of KRS 350.085, 350.093, or 350.130. (13) Memberships granted by the commission and ratings assigned by the commission shall not be transferable from one (1) permittee to another. (14) A person need not be a member of the bond pool in order to be provided coverage under the Abandoned Mine Land Enhancement Program pursuant to KRS 350.595. Effective: July 13, 1990 History: Amended 1990 Ky. Acts ch. 210, sec. 10, effective July 13, 1990; and ch. 389, sec. 1, effective July 13, 1990. -- Amended 1988 Ky. Acts ch. 397, sec. 6, effective July 15, 1988. -- Created 1986 Ky. Acts ch. 137, sec. 5, effective July 15, 1986. Legislative Research Commission Note (7/13/90) This section was amended by two 1990 Acts. Where these Acts are not in conflict, they have been compiled together. Where a conflict exists, the Act which was last enacted by the General Assembly prevails, pursuant to KRS 446.250. KRS Sec. 350.725 MEMBERSHIP FEE -- TONNAGE FEE {{ SMCRA Sec. 509(c) }} (1)(a) Each applicant, prior to admission into the bond pool, shall pay a membership fee as follows: 1. One thousand dollars ($ 1,000) for "A" rated members; 2. Two thousand dollars ($ 2,000) for "B" rated members; and 3. Two thousand five hundred dollars ($ 2,500) for "C" rated members. (b) Any applicant accepted for membership in the bond pool fund shall, within thirty (30) calendar days following written approval of the application by the bond pool commission, submit to the bond pool administrator the appropriate membership fee by cash or by cashier's check, money order, or certified check payable to the State Treasurer. If the applicant fails to submit the membership fee within this time, the membership approval shall be voided. (2) In addition to the membership fee assessed pursuant to subsection (1) of this section, each member shall pay to the fund a set fee for each ton of coal extracted by surface mining activities and a set fee for each ton of coal extracted by underground mining methods from the permit areas covered by the bond pool fund. The per ton fees shall be set by the commission based on the recommendations of the most recent actuarial study conducted in accordance with KRS 350.710(6) and shall be the same for each member regardless of rating. Reporting and payment of the tonnage fee shall be made in accordance with administrative regulations promulgated by the cabinet. Production records of members shall be made available to the commission upon request. The cabinet shall establish penalties for late payment, which shall be assessed by the bond pool administrator. If any payment is more than thirty (30) days late, the provisions of KRS 350.750 shall apply. Effective: July 13, 1990 History: Amended 1990 Ky. Acts ch. 389, sec. 2, effective July 13, 1990. -- Amended 1988 Ky. Acts ch. 397, sec. 7, effective July 15, 1988. -- Created 1986 Ky. Acts ch. 137, sec. 6, effective July 15, 1986. KRS Sec. 350.730 TONNAGE FEE SUSPENSION OR REINSTATEMENT {{ SMCRA Sec. 509(c) }} (1) When the fund reaches seven million dollars ($ 7,000,000) the commission shall notify in writing all bond pool members that the assessment of the tonnage fee shall be suspended for all bond pool members who have made thirty- six (36) or more monthly payments to the pool, until the fund decreases to five million dollars ($ 5,000,000). During such periods of suspension, members who have made less than thirty-six (36) monthly payments shall continue to pay the tonnage fee until they have paid for a full thirty-six (36) months. (2) When the fund decreases to five million dollars ($ 5,000,000), the bond pool commission shall notify in writing all bond pool members that the tonnage fee requirement is reinstated. Payments of the tonnage fee shall begin and continue in accordance with cabinet regulations until the fund reaches seven million dollars ($ 7,000,000). (3) If an actuarial study performed pursuant to KRS 350.710 indicates that the minimum amount necessary to operate the fund exceeds one hundred five percent (105%) of the minimum amount established in this section, then the minimum and maximum amounts of the fund shall automatically be increased to conform to the actuarial study. The commission shall notify all pool members of the new range and shall reinstate the tonnage fee requirement if appropriate. Effective: July 15, 1986 History: Created 1986 Ky. Acts ch. 137, sec. 7, effective July 15, 1986. KRS Sec. 350.735 PERMIT-SPECIFIC PENAL BOND {{ SMCRA Sec. 509(c) }} (1) In addition to the membership fee and tonnage fee paid pursuant to KRS 350.725, bond pool members shall submit, for each permit to be covered by the bond pool, a permit-specific penal bond computed at the following rates for each acre or fraction thereof included in the proposed permit area: (a) Five hundred dollars ($ 500) for "A" rated members; (b) One thousand five hundred dollars ($ 1,500) for "B" rated members; and (c) Two thousand dollars ($ 2,000) for "C" rated members. (2) The permit-specific bond shall be increased by one thousand five hundred dollars ($ 1,500) for each acre of prime farmland to be covered by the bond pool. (3) The permit-specific bond posted pursuant to this section shall be released in its entirety in accordance with cabinet procedures for bond release upon successful completion of that portion of reclamation set forth in KRS 350.093(4)(a) and administrative regulations promulgated pursuant thereto. (4) If, at the time of application to the bond pool, a permittee holds one (1) or more permits which have already been disturbed, the permits shall be transitioned into the bond pool in accordance with cabinet regulations. The area disturbed prior to admission to the bond pool shall not be covered by the pool, but shall be bonded in accordance with KRS 350.060(11). The undisturbed area shall be bonded in accordance with KRS 350.700 to 350.755. The cabinet may recognize exceptions when appropriate and necessary. Effective: July 13, 1990 History: Amended 1990 Ky. Acts ch. 210, sec. 11, effective July 13, 1990; and ch. 389, sec. 3, effective July 13, 1990. -- Amended 1988 Ky. Acts ch. 397, sec. 8, effective July 15, 1988. -- Created 1986 Ky. Acts ch. 137, sec. 8, effective July 15, 1986. Legislative Research Commission Note (7/13/90) This section was amended by identical amendments in two 1990 Acts which have been compiled together. KRS Sec. 350.740 PERMIT ISSUANCE {{ SMCRA Sec. 509(c) }} (1) If an applicant for a permit chooses to post bond in accordance with KRS 350.700 to 350.755 as an alternative to KRS 350.060(11), the permit shall not be issued until the applicant has been accepted as a member of the bond pool, has paid the applicable membership fee, and has submitted a permit-specific bond to cover the area which is the subject of the application. (2) The cabinet shall not approve a permit transfer pursuant to KRS 350.135 until the transferee has either become a member of the bond pool based upon the transferee's own qualifications or submitted adequate bond in accordance with KRS 350.060(11). (3) Membership in the bond pool shall not relieve the member of the obligation to comply with requirements of this chapter and regulations promulgated pursuant thereto, except those provisions relating to the method of posting bond. Effective: July 13, 1990 History: Amended 1990 Ky. Acts ch. 210, sec. 12, effective July 13, 1990; and ch. 389, sec. 4, effective July 13, 1990. -- Created 1986 Ky. Acts ch. 137, sec. 9, effective July 15, 1986. Legislative Research Commission Note (7/13/90) This section was amended by identical amendments in two 1990 Acts which have been compiled together. KRS Sec. 350.745 PAYMENTS FROM FUND FOR RECLAMATION {{ SMCRA Sec. 509(c); 30 CFR 800.11 }} (1) Bonds for permits covered by the bond pool shall be forfeited in accordance with KRS 350.130(1). The commission shall not be considered a party to any forfeiture action. (2) Whenever the bond for a permit covered by the bond pool fund is forfeited by the cabinet, the cabinet shall first use any outstanding permit-specific performance bond posted pursuant to KRS 350.735. Any additional moneys necessary to reclaim the permit area to the standards of this chapter shall be withdrawn from the bond pool fund to the extent that moneys exist in the fund; except that the sum of the amount paid from the bond pool fund and the amount of the forfeited permit-specific bond, if any, shall not exceed the bond amount under KRS 350.060 required to be in effect at the time of forfeiture. (3) Within seven (7) days following receipt of an official estimate of reclamation costs prepared by the cabinet, the bond pool administrator shall pay to the cabinet the estimated reclamation cost less the amount of the forfeited permit-specific bond, if any, subject to the limitations set forth in subsection (2) of this section. (4) If the cabinet forfeits the bond for a permit in the Abandoned Mine Land Enhancement Program, the cabinet shall first use other bonds posted under KRS 350.060. Any additional moneys necessary to reclaim the permit area shall be withdrawn from the bond pool fund to the extent coverage has been provided and to the extent moneys exist in the fund; except that the sum of the amount paid from the bond pool fund and the amount of the forfeited bond shall not exceed the bond amount under KRS 350.060 required to be in effect at the time of forfeiture. Within seven (7) days following receipt of an official estimate of reclamation costs prepared by the cabinet, the bond pool administrator shall pay to the cabinet the amount as determined under this subsection. Effective: July 15, 1988 History: Amended 1988 Ky. Acts ch. 397, sec. 9, effective July 15, 1988. -- Created 1986 Ky. Acts ch. 137, sec. 10, effective July 15, 1986. KRS Sec. 350.750 REVOCATION OF MEMBERSHIP IN BOND POOL {{ SMCRA Sec. 509(c) }} (1) Whenever a member of the bond pool becomes more than thirty (30) days in arrears with any tonnage fee payment, the bond pool administrator shall notify the member that he has thirty (30) days to become current on his payments. If the member fails to comply within the thirty (30) days, the bond pool administrator shall recommend to the commission that it revoke his membership. The commission shall revoke the membership unless the member has paid all tonnage fees due. (2) Whenever a member of the bond pool is issued an order for cessation and immediate compliance for failure to abate a violation of contemporaneous reclamation requirements, the bond pool administrator shall so inform the commission, which may revoke the membership in the bond pool. Whenever two (2) such orders are issued to a member of the bond pool, that membership shall be automatically revoked without further action on the part of the commission. Whenever the secretary has issued a final order finding that a member of the bond pool has committed a pattern of violations pursuant to KRS 350.028(4) or 350.465(3)(f), the bond pool administrator shall so inform the commission, and the commission may revoke the member's membership in the bond pool. (3) Whenever a member of the bond pool is issued an order for cessation and immediate compliance for failure to abate any violation, the bond pool administrator shall so inform the commission, and the commission may revoke the member's membership in the bond pool. (4) If a member of the bond pool transfers more than fifty percent (50%) of any class of stock or other ownership interest, whether by sale, gift, or otherwise, the member and the person to whom more than fifty percent (50%) of the interest is transferred shall notify the bond pool administrator, in writing, of the transfer within fifteen (15) days. The bond pool administrator shall review the eligibility of all persons who own or control, are owned or controlled by, or are under common ownership or control with the member after the transfer using criteria set forth in KRS 350.720, and shall report his findings to the commission. The commission shall revoke the membership if it determines that the member after the transfer does not meet the eligibility criteria. (5) Upon revocation of membership, the permittee shall be ordered by the cabinet to cease surface coal mining operations on all of his permits until he has obtained alternate bond coverage. In the meantime, the permittee shall comply with reclamation requirements established by cabinet regulations. (6) The bond pool fund shall remain liable for reclamation of the portions of permits disturbed prior to revocation of a membership. Effective: July 13, 1990 History: Amended 1990 Ky. Acts ch. 389, sec. 5, effective July 13, 1990. -- Amended 1988 Ky. Acts ch. 397, sec. 10, effective July 15, 1988. -- Created 1986 Ky. Acts ch. 137, sec. 11, effective July 15, 1986. KRS Sec. 350.755 GROUNDS FOR REFUSAL OF PERMIT {{ SMCRA Sec. 509(c) }} No person shall be eligible to receive another permit or to begin another operation if, as a result of bond forfeiture, moneys from the bond pool fund have been expended to reclaim such person's operation, unless the person has reimbursed the bond pool fund for moneys expended. Effective: July 15, 1986 History: Created 1986 Ky. Acts ch. 137, sec. 12, effective July 15, 1986.