DEPARTMENT OF ENVIRONMENTAL QUALITY

OFFICE OF GEOLOGICAL SURVEY

NONFERROUS METALLIC MINERAL MINING

(By authority conferred on the director of the department of environmental quality by

section 63203(1) of 1994 PA 451, MCL 324.63203(1))

PART 1. GENERAL PROVISIONS

R 425.101 Purpose.

Rule 101. These rules implement the act, and regulate the construction, operation, closure,

postclosure monitoring, reclamation, and remediation of nonferrous metallic mineral mines

in the state of Michigan. These rules do not regulate the extraction of metallic minerals by

in situ leaching when regulated under part 625 of the act.

History: 2006 AACS.

R 425.102 Definitions; A to L.

Rule 102. (1) As used in these rules:

(a) "Accelerated soil erosion" means the increased loss of the land surface that occurs as

a result of human activities.

(b) "Act" means 1994 PA 451, MCL 324.101 et seq.

(c) "Aquifer" means a geological formation, group of formations, or part of a formation

capable of yielding significant quantities of groundwater to wells or springs.

(d) "Assurance instrument" means a financial instrument executed in favor of the

department on a form approved by the department, including the following:

(i) A surety bond executed by a surety company authorized to do business in the state of

Michigan.

(ii) A certificate of deposit or time deposit account held by a financial institution regulated

and examined by a state or federal agency, the value of which is insured by an agency of

the United States government.

(iii) A cash bond.

(iv) An irrevocable letter of credit issued by a financial institution which has the authority

to issue letters of credit and whose letter of credit operations are regulated and examined

by a federal or state agency.

(v) A trust fund managed by a financial institution which has the authority to act as a

trustee and whose trust operations are subject to federal or state oversight.

(vi) An escrow account managed by a bank or other financial institution whose account

operations are regulated and examined by a federal or state agency.

(e) "Beneficiation" means the primary treatment of ore to separate or remove a metallic

product or products from ore using a process including, but not limited to, any of the

following:

Page 1

(i) Crushing.

(ii) Grinding.

(iii) Washing.

(iv) Dissolution.

(v) Crystallization.

(vi) Filtration.

(vii) Sorting.

(viii) Sizing.

(ix) Drying.

(x) Sintering.

(xi) Pelletizing.

(xii) Briquetting.

(xiii) Calcining to remove water and/or carbon dioxide.

(xiv) Roasting, autoclaving, and/or chlorination in preparation for leaching (except where

this process produces a final or intermediate product that does not undergo further

beneficiation or processing).

(xv) Gravity concentration.

(xvi) Magnetic separation.

(xvii) Electrostatic separation.

(xviii) Flotation.

(xix) Ion exchange.

(xx) Ex situ solvent extraction.

(xxi) Electrowinning.

(xxii) Precipitation.

(xxiii) Amalgamation.

(xxiv) Heap, dump, vat, and tank leaching.

(f) "Contaminated" or "contamination" means having substances in concentrations that

are above natural background and that are, or may be, harmful to the environment or to

human health and safety as determined by the department under other applicable parts of

the act.

(g) "Cultural, historical, or archaeological resource" means a structure or site that meets

any of the following requirements:

(i) Is listed as a national historic landmark under the historic sites, buildings, and

antiquities act, chapter 593, 49 Stat. 666, 16 U.S.C.461 to 467 as of the effective date of

these rules.

(ii) Is listed on the national register of historic places pursuant to the national historic

preservation act of 1966, Public Law 89-665, 16 U.S.C.470 to 470a, 470b, and 470c to

470x-6 as of the effective date of these rules.

(iii) Is listed on the state register of historic sites pursuant to 1955 PA 10, MCL 399.151

to 399.152.

(iv) Is recognized under a locally established historic district created pursuant to the local

historic districts act, 1970 PA 169, MCL 399.201 to 399.215.

(h) "Cumulative impact" means the environmental impact that results from the proposed

mining activities when added to other past, present, and reasonably foreseeable future

activities.

Page 2

(i) "Designated wellhead protection area" means a specific geographic area which is

approved by the department as the surface and subsurface area surrounding a water well or

well field that supplies a public water system and through which contaminants are

reasonably likely to move toward and reach the water well or well field.

(j) "Detroit consumer price index" means the most comprehensive index of consumer

prices available for the Detroit area from the United States department of labor, bureau of

labor statistics.

(k) "Disposal facility" means a facility or a part of a facility where overburden, waste

rock, or tailings are intentionally placed into or on the land and at which the overburden,

waste rock, or tailings will remain after closure.

(l) "Earth change" means a humanmade change in the natural cover or topography of land,

including cut and fill activities, which may result in or contribute to soil erosion or

sedimentation of the waters of the state.

(m) "Final reclamation" means reclamation performed after final cessation of mining with

the intent not to resume mining.

(n) "Financial assurance" means an assurance instrument or statement of financial

responsibility provided by an operator to ensure compliance with the act, these rules, permit

conditions, instructions, or orders of the department.

(o) "Floodplain" means an area of land adjoining a river or stream that will be inundated

by a flood with a magnitude that has a 1% chance of occurring or being exceeded in any

given year.

(p) "Groundwater" means water below the land surface in a zone of saturation.

(q) "Hazardous substance" means that term as defined in part 201 of the act.

(r) "Indian reservation" means any federally recognized reservation established by treaty,

agreement, executive order, or act of congress.

(s) "Indian governing body" means the governing body of any tribe, band, or group of

Indians subject to the jurisdiction of the United States and recognized by the United States

as possessing power of self-government.

(t) "Interim reclamation" means reclamation performed in connection with temporary

cessation of mining with the intent to resume mining.

(u) "Life of the mine" means the period from issuance of a mining permit through the

completion of reclamation.

(2) A term defined in the act has the same meaning when used in these rules.

History: 2006 AACS.

R 425.103 Definitions; M to Z.

Rule 103. (1) As used in these rules:

(a) "Mining activity" means any of the following activities for the purpose of, or

associated with, mining:

(i) Clearing of land.

(ii) Drilling and blasting.

(iii) Excavation of earth materials to access or remove ore.

(iv) Beneficiation.

(v) Reclamation.

(vi) Transportation of overburden, waste rock, ore, and tailings.

Page 3

(vii) Storage, relocation, and disposal of overburden, waste rock, ore, and tailings within

a mining area, including backfilling of mined areas.

(viii) Storage and transportation of chemical reagents.

(ix) Construction of water impoundment and drainage features.

(x) Construction of haul roads.

(xi) Construction of utilities or extension of existing utilities.

(xii) Withdrawal, transportation, and discharge of water.

(b) "Nonerosive velocity" means a speed of water movement that is not conducive to the

development of accelerated soil erosion.

(c) "Organization report" means a certified statement, on a form prescribed by the

department, giving the name, address, and plan of the business organization, and listing the

following:

(i) All corporate officers, directors, incorporators, and limited liability company

managers.

(ii) All other partners, shareholders, limited liability company members, or other persons

who have the authority to make, or are responsible for making, operational decisions,

including the construction, operation, closure, postclosure monitoring, reclamation, and

remediation of a mine.

(d) "Overburden" means unconsolidated earth material that overlies bedrock and that is

or will be excavated by open pit mining methods to access ore.

(e) "Percolation leaching" means a process for the primary purpose of the recovery of

metals in an outdoor environment from a stockpile of crushed or excavated ore by

percolating water or a solution through the ore and collecting the leachate, and includes the

processes known as "heap leaching" and "dump leaching."

(f) "Peripheral rock" means rock that is or will be left in place after the completion of

mining and within 3 feet of either of the following:

(i) The walls and floor of an open pit.

(ii) The walls, floor, and roof of adits, portals, and underground mine workings.

(g) "Permanent soil erosion and sedimentation control measures" means control measures

that are installed or constructed to control soil erosion and sedimentation and that are

designed to remain in place after final reclamation.

(h) "Postclosure" means the period following completion of final reclamation in

compliance with the approved reclamation plan.

(i) "Public water supply well" means a well that provides water for a "type I public water

supply," "type IIa public water supply," "type IIb public water supply," or "type III public

water supply" as those terms are defined in R 325.10502.

(j) "Reactive" means susceptible to reacting, dissolving, or otherwise forming a leachate

that is or may be harmful to the environment or to human health and safety as determined

by the department under conditions that exist, or may exist, at a mining operation.

(k) "Reclamation" means that reconditioning or rehabilitation of the mining area or

portions thereof for useful purposes and the protection of the natural resources, including

the control of erosion and the prevention of land or rock slides, collapses and subsidence,

and air and water pollution.

(l) "Remediation" means the taking of actions that are necessary to prevent, minimize, or

mitigate injury to the public health, safety, or welfare, or to the environment, including

cleanup, removal, containment, isolation, destruction, or treatment of a hazardous

Page 4

substance released or threatened to be released into the environment; and associated

monitoring and maintenance.

(m) "Stabilization" means the establishment of vegetation or the proper placement,

grading, or covering of soil to ensure its resistance to soil erosion, sliding, or other earth

movement.

(n) "Storage facility" means a facility or a part of a facility where ore, waste rock,

overburden, or tailings is held for a temporary period, at the end of which the ore, waste

rock, overburden, or tailings is treated, disposed of, or stored elsewhere.

(o) "Surety bond" has the same meaning as "conformance bond" as used in part 632 of

the act.

(p) "Tailings" means material that is separated from the metallic product in the

beneficiation or treatment of minerals.

(q) "Temporary soil erosion and sedimentation control measures" means interim control

measures which are installed or constructed to control soil erosion and sedimentation and

which are not maintained after project completion.

(r) "Wetland" means that term as defined in part 303 of the act.

(2) A term defined in the act has the same meaning when used in these rules.

History: 2006 AACS.

PART 2. PERMITS

R 425.201 Permits.

Rule 201. (1) An operator shall not begin mining activities without first obtaining a

mining permit from the department. A person requesting a mining permit shall submit all

of the following to the department:

(a) A permit application on forms prescribed by the department, signed by the operator or

an authorized representative of the operator.

(b) A permit application fee as prescribed in part 632 of the act.

(c) An environmental impact assessment.

(d) A mining, reclamation, and environmental protection plan.

(e) A contingency plan.

(f) A description of the type or types and amount of financial assurance to be provided

that will satisfy the requirements of R 425.301.

(g) A list of all other applicable permits and licenses that are anticipated to be required.

(h) An organization report on a form prescribed by the department.

(2) Beneficiation activities shall require a separate mining permit under 1 or both of the

following conditions:

(a) The site of the proposed beneficiation activities is not within or adjacent to the site of

other associated mining activities, either existing or proposed, that are subject to a mining

permit.

(b) The operator of the proposed beneficiation activities is not the same person as the

operator of other associated mining activities, either existing or proposed, that are subject

to a mining permit.

Page 5

(3) An applicant shall submit to the department 10 paper copies of the documents required

under subrule (1), (a) and (c) to (h) of this rule, and shall also submit the documents in an

electronic format approved by the department.

(4) The department shall process an application for a mining permit according to the

requirements of section 63205 of the act, as follows:

(a) Effective 14 days after the department receives an application for a mining permit, the

application shall be considered to be administratively complete unless the department

proceeds as provided under subdivision (b) of this subrule.

(b) If, before the expiration of the 14-day period under subdivision (a) of this subrule, the

department notifies the applicant that the application is not administratively complete,

specifying the information necessary to make the application administratively complete, or

notifies the applicant that the fee required to accompany the application has not been paid,

specifying the amount due, the running of the 14-day period under subdivision (a) of this

subrule is tolled until the applicant submits to the department the specified information or

fee amount due. The notice shall be given in writing or electronically.

(c) Within 42 days after an application for a mining permit is determined to be

administratively complete, the department shall hold a public meeting on the application.

The department shall give notice of the public meeting not less than 14 or more than 28

days before the date of the public meeting. The notice shall specify the time and place of

the public meeting, which shall be held in the county where the proposed mining operation

is located, and shall include information on how to review or obtain a copy of the

application. The department shall make a printed and electronic copy of the application

available at a library or other public building in the county where the proposed mining

operation is located, and shall post a copy of the application on the department website.

The notice shall be given in writing to the city, village, or township and the county where

the proposed mining operation is to be located and to all affected federally recognized

Indian tribes in this state. The notice shall also be given by publication in a newspaper of

local distribution in the area where the proposed mining operation is to be located.

(d) The department shall accept written public comment on the permit application for 28

days following the public meeting under subdivision (c) of this subrule. Within 28 days

after the expiration of the public comment period, the department shall reach a proposed

decision to grant or deny a mining permit and shall prepare a document explaining the basis

for the decision. The decision shall be based upon the permit application and the statutory

requirements under part 632 of the act. The department shall establish a time and place for

a public hearing on the proposed decision, and shall give notice of the public hearing not

less than 14 or more than 28 days before the date of the public hearing. The notice shall be

given in writing to the city, village, or township and the county where the proposed mining

operation is to be located and to all affected federally recognized Indian tribes in this state.

The notice shall also be given by publication in a newspaper of local distribution in the

area where the proposed mining operation is to be located. The notice shall contain all of

the following:

(i) The time and place of the public hearing.

(ii) The name and address of the applicant, the type of mining proposed, and the location

and general areal extent of the mining area.

(iii) A statement of the department's proposed decision to issue or deny the permit.

Page 6

(iv) Information on how to review a complete copy of the application, the draft permit or

denial, and the basis for the proposed decision.

(v) A listing of other permits and hearings that are pending or anticipated under this act

with respect to the proposed mining operation.

(vi) The name, address, and telephone number of a representative of the department who

may be contacted to obtain more information on the application.

(vii) A description of the process for participating in the public hearing.

(e) The department shall accept written public comment on the proposed decision to grant

or deny a mining permit for 28 days following the public hearing. At the expiration of the

public comment period, the department shall issue a report summarizing all comments

received and providing the department's response to the comments.

(f) Within 28 days after the expiration of the public comment period under subdivision

(e) of this subrule, the department shall grant or deny the mining permit application in

writing. A determination that an application is administratively complete does not preclude

the department from requiring additional information from the applicant. The 28-day

period under this subdivision shall be tolled until the applicant submits the requested

information. If a mining permit is denied, the reasons shall be stated in a written report to

the applicant.

(5) The department may impose terms and conditions in a mining permit, in addition to

those specified in the application, that are necessary to implement these rules and part 632

of the act.

(6) The department shall not issue a mining permit authorizing percolation leaching unless

the applicant demonstrates that the proposed percolation leaching meets the requirements

of R 425.403.

(7) Subject to subrule (9) of this rule, the department shall approve a mining permit if it

determines both of the following:

(a) The permit application meets the requirements of part 632 of the act.

(b) The proposed mining operation will not pollute, impair, or destroy the air, water, or

other natural resources or the public trust in those resources, in accordance with part 17 of

the act. In making this determination, the department shall consider the extent to which

other permit determinations afford protection to natural resources. For this subdivision,

excavation and removal of nonferrous metallic minerals and of associated overburden and

waste rock, in and of itself, does not constitute pollution, impairment, or destruction of

those natural resources.

(8) The department shall deny a mining permit if it determines the requirements of subrule

(7) of this rule have not been met.

(9) The department shall not issue a mining permit, or approve a transfer of a mining

permit, to a person if the department has determined that person to be in violation of part

632 of the act, these rules, a mining permit, or an order of the department under part 632

of the act, unless the person has corrected the violation or the person has entered into a

written consent agreement to correct the violation pursuant to a compliance schedule

approved by the department. The department may require compliance with the consent

agreement as a condition of the mining permit.

History: 2006 AACS.

Page 7

R 425.202 Environmental impact assessment.

Rule 202. (1) The environmental impact assessment required under R 425.201(1)(c) shall

include, but is not limited to, the following:

(a) For each of the conditions and features listed in subrule (2) of this rule:

(i) An identification and description of the condition or feature as it currently exists within

the mining area and the affected area.

(ii) An identification of the proposed mining activities that may impact the condition or

feature, and the process or mechanism through which the impact may occur.

(iii) An analysis of the potential impacts of proposed mining activities on the condition

or feature and, where applicable, the effects of the condition or feature on the proposed

mining activities.

(iv) A reference to the measures proposed to be taken under the mining, reclamation, and

environmental protection plan to reduce or mitigate the potential impacts, and the predicted

effects of those measures. If the measures are not required under part 632 of the act, then

the environmental impact assessment shall identify other statutes or regulations, if any,

under which the measures are required.

(v) A map or maps and appropriate photographs, with any necessary explanatory

documents or notations, showing the affected area for the condition or feature, and a

description of the basis for determining the affected area.

(b) An analysis of the potential cumulative impacts on each of the conditions or features

listed in subrule (2) of this rule within the mining area and the affected area from all

proposed mining activities and through all processes or mechanisms. The analysis shall

consider additive effects, and the assessment of significant interactions between chemical

and physical properties of any discharges, with reference to the physical and chemical

characteristics of the environment into which the discharge may be released.

(c) An analysis of feasible and prudent alternatives for the mining activities consistent

with the reasonable requirements of the public health, safety, and welfare. The analysis

shall include all of the following:

(i) A description of feasible and prudent alternatives.

(ii) A description of alternatives considered but not carried forward for further evaluation.

(iii) A description of why the chosen alternatives are preferred.

(d) The name and qualifications of the person or persons who prepared the environmental

impact assessment.

(e) A description of the methodologies applied in preparing the environmental impact

assessment, including the following:

(i) Quality assurance and quality control as approved by the department.

(ii) Information that demonstrates that the methodologies are appropriate and effective,

or are widely used and generally accepted.

(f) The sources of information used in preparing the environmental impact assessment.

(2) The requirements of subrule (1)(a) and (b) of this rule apply to natural and humanmade

conditions and features including, but not limited to, the following:

(a) Topography.

(b) Soil series.

(c) Geology of the bedrock and unconsolidated materials overlying the bedrock, including

areal extent, thickness, lithology, and permeability.

Page 8

(d) Groundwater occurrence that may impact, or be impacted by, mining activities,

including the following:

(i) Thicknesses of aquifers, hydraulic conductivity, and interconnections between

multiple aquifers and between aquifers and surface water.

(ii) Depth to groundwater, groundwater recharge areas, groundwater flow direction,

hydraulic gradients, groundwater velocity, and 3-dimensional flow paths.

(iii) Seasonal variations of the items in paragraph (ii) of this subdivision.

(e) Natural or artificial lakes, ponds, impoundments, rivers, streams, creeks, drains, seeps,

and springs, including both of the following:

(i) Observed levels or discharge rates.

(ii) Predicted seasonal and long-term variations of levels or discharge rates.

(f) A complete water balance that accounts for precipitation, evapotranspiration,

infiltration, runoff, streamflows, and groundwater and surface water withdrawals and

discharges from mining activities.

(g) Groundwater and surface water quality, including all of the following:

(i) Specific conductance as an indication of dissolved solids.

(ii) Temperature.

(iii) The hydrogen ion concentration expressed as pH.

(iv) Dissolved oxygen.

(v) Concentrations of all of the following substances:

(A) Cations of calcium, sodium, magnesium, potassium, and iron.

(B) Anions of chloride, sulfate, and bicarbonate.

(C) Other total and dissolved elements and compounds that may be introduced or affected

by the mining activities.

(vi) Predicted seasonal variations of the parameters listed in paragraphs (i) to (v) of this

subdivision.

(h) Any known occurrence of groundwater that is contaminated so that a property is a

facility as defined by part 201 of the act.

(i) All documented private water supply wells.

(j) All public water supply wells.

(k) Irrigation and disposal wells.

(l) Designated wellhead protection areas.

(m) Floodplains, Great Lake shorelines, and wetlands.

(n) Natural rivers as defined in section 30501 of the act.

(o) Wild and scenic rivers as defined in 1968, Public Law 90-542, 82 Stat. 906.

(p) Residential dwellings, places of business, places of worship, schools, hospitals,

government buildings, or other buildings used for human occupancy all or part of the year.

(q) Existing and proposed infrastructure and utilities.

(r) Areas actively maintained for public recreation.

(s) Natural areas as defined in R 324.35101.

(t) State wilderness areas as defined in MCL 324.35101.

(u) Federal wilderness areas as defined in 78 Stat. 890, 16 U.S.C. 1131.

(v) Wild areas as defined in MCL 324.35101.

(w) Research natural areas as defined in CFR Title 36, Section 251.23.

(x) Land uses, land access, general size and shape of tracts of land, and current and historic

land use trends.

Page 9

(y) Species and abundance of aquatic and terrestrial flora and fauna, and predicted

variations in their occurrence based on at least 2 years of relevant information. Relevant

information may include records of pertinent data at other sites having documented similar

conditions or credible regional studies from acknowledged sources, but shall include at

least 1 year of site-specific data.

(z) Fish and wildlife habitats.

(aa) Threatened species or endangered species as defined in part 365 of the act or in the

endangered species act of 1973, Public Law 93-205, 87 Stat.884.

(bb) Species of special concern as designated by the US forest service region 9 regional

forester's list of species of special concern.

(cc) Non-native or invasive plant and animal species.

(dd) Ecological systems as identified in recognized published sources.

(ee) Cultural, historical, or archaeological resources.

(ff) Air quality.

(gg) Meteorology, and predicted seasonal and long-term variations of the meteorology.

(hh) Visual resources.

(ii) Noise.

(jj) Light.

(kk) Seismicity.

(3) For the conditions and features listed in subrule (2)(d), (e), (g), and (gg) of this rule,

the required characterization of seasonal or long-term variations in the condition or feature

shall be satisfied by a combination of documented observations of pertinent data over a

period of at least 2 years at the monitoring site and records of pertinent data at other sites

having documented similar conditions or credible regional studies from acknowledged

sources. Seasonal and long-term variations at the monitoring site shall be predicted, where

feasible, using statistical analysis demonstrating a confidence interval. The statistical

analysis shall include an explanation of how the use of any data from other sites affects the

confidence interval. Analysis of potential impacts shall incorporate credible extremes in

the condition or feature based on the statistical analysis.

(4) An applicant may describe the types of public input sought, if any, in preparing the

environmental impact assessment, and may include the method used to collect public input

and a summary of relevant comments.

(5) Information required by rules promulgated under another part of the act or under other

state or federal law and incorporated in the environmental impact assessment shall satisfy

the requirements for an environmental impact assessment under these rules to the extent

that the information addresses the area and activities as required under part 632 of the act.

History: 2006 AACS.

R 425.203 Mining Plan.

Rule 203. The mining, reclamation, and environmental protection plan required under R

201(1)(d) shall contain a plan for the proposed mining operations. The plan shall include

information that demonstrates that all methods, materials, and techniques proposed to be

utilized are capable of accomplishing their stated objectives in protecting the environment

and public health, except that such information may not be required for methods, materials,

and techniques that are widely used in mining or other industries and are generally accepted

Page 10

as effective. The required information may consist of results of actual testing, modeling,

documentation by credible independent testing and certification organizations, or

documented applications in similar uses and settings. The plan shall include, at a minimum,

all of the following:

(a) A description of the type and method of mining, the expected operating life of the

mine, and the anticipated rate and schedule of mining.

(b) An estimate of the number of employees required for the mining operation, and

variations in the number over the life of the mine.

(c) Information depicting and describing the items listed in paragraphs (i) to (xxiv) of this

subdivision that are mining activities or are part of, or associated with, mining activities.

Information that is amenable to clear depiction on a map shall be shown on a map or maps

of the mining area drawn to an appropriate scale on a topographic base and referenced to

the nearest government-surveyed section or quarter-section lines. Other required

information shall be presented, as appropriate, by cross-sections, photographs, documents,

and engineering drawings.

(i) Area, thickness, and characteristics of topsoil that will be stripped, and plans for

stockpiling and stabilizing topsoil until it will be used in reclamation.

(ii) Area, volumes, and characteristics of overburden and waste rock to be excavated;

plans and schedules for excavating; and locations and dimensions of stockpiles and final

placement areas.

(iii) Area, volumes, types, and mineralogy of ore to be excavated, and schedule of mining

and stockpiling ore.

(iv) Plans for limiting access to stockpiles and storage or disposal facilities to prevent

disposal of unauthorized materials.

(v) A characterization of the geochemistry of the ore, waste rock, and overburden that

will be mined, and peripheral rock that will be exposed in the process of mining, and of

any tailings that will be generated. The characterization shall include the following:

(A) Chemical and physical testing and modeling to predict the potential generation of

acid, dissolved metals, and other related substances by reaction and leaching of the ore,

waste rock, tailings, overburden, and peripheral rock.

(B) Testing and modeling methodology.

(C) A plan for monitoring the characterization during the proposed mining operation to

calibrate and adjust the model and predictions.

(D) Identification of the ore, waste rock, overburden, peripheral rock, and tailings that are

reactive.

(vi) Lithology and thickness of rock surrounding and overlying the ore body.

(vii) The locations, depths, and contours of open pits.

(viii) The locations and dimensions of shafts, portals, or other openings between the land

surface and underground mine workings.

(ix) The areal extent, depth, and dimensions of underground workings.

(x) Types and uses of grouting of the walls of open pits and of the walls, floor, and roof

of underground workings.

(xi) A plan for preventing damage to the environment or public health or safety from

subsidence, caving, or collapse of underground mine workings. The plan shall contain the

following:

(A) A description of any planned or intentional caving and subsidence.

Page 11

(B) Provisions to prevent adverse impacts to public or private water supplies or to an

aquifer in the affected area.

(C) Provisions to assure that any underground mining shall not cause material damage to

structures not owned or controlled by the operator.

(D) Provisions to assure that any underground mining shall not cause material damage to

natural features on lands not owned by the operator.

(xii) A description of water that will be used in the mining operations, including the source

or sources of the water and intended rates and durations of pumping, diversion, or

withdrawal.

(xiii) A description of water that will be stored, transferred, or discharged in the mining

operations, including:

(A) The location, size, and capacities of any artificial ponds, impoundments, dewatering

systems, diversions, other water control structures, and treatment facilities.

(B) The estimated volumes, rates, and water quality of discharges, and the discharge

locations.

(xiv) Storage areas for equipment and vehicles.

(xv) Buildings and other facilities or structures.

(xvi) Areas for the storage and transfer of chemicals, fuel, and explosives.

(xvii) Truck and mining equipment wash down areas.

(xviii) Roads, railroads, docks, piers, and other transportation infrastructure, and

provisions to prevent release of contaminants to the environment from ore or waste rock

during transportation.

(xix) Beneficiation processes, materials, and activities, including the following:

(A) The types, extent, and sequence of beneficiation, including physical and chemical

characterization of all materials, wastes, or products.

(B) A description of any mills, concentrators, dryers, separators, chemical reactors,

filtering equipment, electrolytic chambers, flotation cells, kilns, or other beneficiation

equipment.

(C) The type and amount of chemicals to be added.

(D) The types, amounts, locations, sequence, schedule, and means of waste rock and

tailings disposal.

(E) Provisions to prevent release of contaminants to the environment from beneficiation

equipment.

(F) Tailings transport systems, if not buried, should be designed to provide for emergency

tailings conveyance or storage should a pipeline break, plug, freeze or require repairs and

be made accessible for inspection, emergency repair, and maintenance. Location of

emergency spill areas shall be designed to prevent contamination of surface water. If a

power failure occurs, then tailing pipelines shall be self draining to the tailings area or to

an emergency spill area or standby pumps and pipelines or standby power shall be

provided. In some cases (such as a long pipeline over rough country), several spill areas

may have to be provided.

(xx) Plans and schedules for regulating or controlling drainage of water, including surface

runoff, from within the diked area of a tailings disposal area to prevent breaching of the

dikes, both during and after mining. The plans and schedules shall ensure that 24-hour 100-

year precipitation events do not cause releases of water that are not in compliance with the

conditions of the mining permit.

Page 12

(xxi) Plans and schedules for monitoring, containment, and treatment of surface runoff

that has contacted, or may contact, ore, waste rock, overburden, or tailings determined to

be reactive under R 425.203(c)(v). The plans shall be designed to reasonably minimize

actual and potential adverse impacts on groundwater and surface water by preventing

leaching or runoff of acid-forming waste products and other waste products from the

mining process.

(xxii) A soil erosion and sedimentation control plan that meets the standards of part 91 of

the act to effectively reduce accelerated soil erosion and sedimentation that may impact the

affected area. The plan shall include, but not be limited to, all of the following:

(A) The location, description, and schedule for installing and removing all proposed

temporary soil erosion and sediment control measures.

(B) A description and the location of all proposed permanent soil erosion and sediment

control measures, and provisions for establishing the permanent soil erosion control

measures as soon as possible after an earth change has been completed or if significant

earth change activity ceases.

(C) Provisions to limit the exposed area of any disturbed land to the shortest feasible

period of time.

(D) Provisions to remove sediment caused by accelerated soil erosion from runoff water

before it leaves the mining area.

(E) Temporary or permanent control measures for the conveyance of water around,

through, or from the area affected by mining activities to limit the water flow to a

nonerosive velocity.

(F) Provisions for temporary soil erosion and sedimentation control measures before or

upon commencement of the earth change activity; for maintaining the measures on a daily

basis; and for removing the measures after permanent soil erosion measures are in place

and the area is stabilized.

(G) Provisions for stabilizing the area with permanent soil erosion control measures as

soon as possible after an earth change has been completed or if significant earth change

activity ceases.

(xxiii) Plans for conducting reclamation activities concurrently with mining operations to

the extent feasible.

(xxiv) Plans for inspecting, monitoring, and maintaining liners, final covers, leachate

collection systems, leak detection systems, berms, and embankments, including frequency

of inspections. Inspecting or monitoring shall be conducted at least monthly.

(d) A map and description of ownership of all tracts of land in the mining area and within

1320 feet of the boundary of the mining area, including all of the following:

(i) Ownership of surface rights.

(ii) Ownership of mineral rights.

(iii) Conservation easements as defined in section 2140 of the act.

(iv) Historic preservation easements as defined in section 2140 of the act.

(e) A description of measures to be taken to prevent damage to property not owned or

controlled by the operator within and immediately adjacent to the mining area.

(f) Measures to minimize impacts to the volumes and rates of recharge, flow, and

discharge of groundwater and surface waters in the mining area and in the affected area

sufficient to accommodate seasonal and long-term variations in precipitation, water

quantity, and water quality.

Page 13

(g) A monitoring plan for monitoring of groundwater and surface water quality,

groundwater levels, and surface water stage and discharge rates, during mining operations

and during the post-closure monitoring period. The monitoring plan shall conform to

existing statutes and rules, but is not required to include monitoring required under other

permits.

(i) The monitoring plan shall provide for monitor wells and structures to be located at

points where mining activities have a reasonable potential for measurable impact on

surface water or groundwater, taking into consideration the following:

(A) Proximity to the mining activity.

(B) The potential for diffusion and dispersion.

(C) Horizontal and vertical groundwater gradients.

(D) Seasonal variations in flow.

(E) Topography, access, and other practical limitations.

(ii) The monitoring plan shall comply with the requirements of R 425.406.

(iii) The monitoring plan shall include all of the following:

(A) Number and location of monitoring wells and structures.

(B) Frequency of sampling and sampling procedure, including all of the following:

(aa) The sampling method and volume of water to be removed from each well or sampling

point during sampling.

(bb) Steps taken to prevent cross contamination between samples.

(cc) Sample handling and preservation methods.

(dd) Laboratory analysis method.

(ee) Laboratory method detection level.

(ff) Quality assurance and quality control as approved by the department.

(gg) Provisions for routine monitoring to be conducted at least every 3 months.

(C) Sampling parameters, which shall include the following:

(aa) Specific conductance.

(bb) Temperature.

(cc) The hydrogen ion concentration expressed as pH.

(dd) Dissolved oxygen.

(ee) Concentrations of calcium, sodium, magnesium, potassium, and iron.

(ff) Concentrations of chloride, sulfate, and bicarbonate.

(gg) Concentrations of other total and dissolved elements and compounds that may be

introduced or affected by the mining activities, as identified in the environmental impact

assessment.

(D) A description of the techniques used to present and evaluate water quality monitoring

data.

(E) A description of the method used to collect static water levels and present groundwater

flow data. Static water level precision shall be to 0.01 foot.

(F) The depth and screened interval for each monitor well.

(G) Provisions for design, construction, and abandonment of monitoring wells and

structures that comply with R 425.406(2).

(h) A treatment and containment plan that describes proposed measures to prevent

contamination of groundwater and surface water from leaching of acidic water or dissolved

metals.

Page 14

(i) The treatment and containment plan required under this subdivision shall apply to earth

materials that are determined to be reactive under R 425.203(c)(v). The plan shall describe

proposed measures for the following:

(A) Design, construction, and operation of stockpiles and storage or disposal facilities for

ore, waste rock, overburden, and tailings.

(B) The management of peripheral rock that has been determined in the environmental

impact assessment to have the potential to contaminate groundwater or surface water.

(ii) The treatment and containment plan required under this subdivision shall account for

the volume, rate, and movement of leachate that may be generated, and the influence of

weather on the generation of leachate, including any adverse impacts from severe or

extreme weather events.

(iii) The treatment and containment plan required under this subdivision shall meet all

applicable requirements of R 425.409.

(i) A general description of blasting materials and methods.

(j) If a threatened or endangered species may be impacted, a plan to protect the threatened

or endangered species that conforms to the requirements of state and federal endangered

species laws.

(k) Plans to monitor, prevent, minimize, and mitigate any adverse impacts of the proposed

mining operation on flora, fauna, fish or wildlife habitats, and biodiversity.

(l) Where percolation leaching is proposed as a mining activity, plans demonstrating

compliance with R 425.403.

(m) A plan and schedule for inspection or monitoring, or both, of all mine related facilities

at least monthly.

(n) The name and qualifications of the person or persons who prepared the plan for the

proposed mining operations.

History: 2006 AACS.

R 425.204 Reclamation Plan.

Rule 204. The mining, reclamation, and environmental protection plan required under R

425.201(1)(d) shall contain a plan for the proposed final reclamation operations, including

the anticipated schedule, sequence, and duration of reclamation. The plan shall include

information that demonstrates that all methods, materials, and techniques proposed to be

used are capable of accomplishing their stated objectives in protecting the environment and

public health, except that such information may not be required for methods, materials, and

techniques that are widely used in mining or other industries and are generally accepted as

effective. The required information may consist of results of actual testing, modeling,

documentation by credible independent testing and certification organizations, or

documented applications in similar uses and settings. The plan shall include, at a minimum,

all of the following:

(a) Information depicting and describing the items listed in paragraphs (i) to (iv) of this

subdivision. Information that is amenable to clear depiction on a map shall be shown on a

map or maps of the mining area drawn to an appropriate scale on a topographic base and

referenced to the nearest government-surveyed section or quarter-section lines. Other

required information shall be presented, as appropriate, by cross-sections, documents, and

engineering drawings.

Page 15

(i) Final land contours.

(ii) Proposed final land use and relationship to surrounding land and land use.

(iii) Ponds, streams, wetlands, roads, dikes, drainage ditches, and soil erosion and

sedimentation control structures that will remain after completion of reclamation.

(iv) Plans and schedules for stabilizing waste rock piles, settling ponds, tailings disposal

facilities, overburden banks, open pit banks and walls, roads, and the plant site. The plans

shall include sloping, grading, terracing, and revegetating that will prevent slumping, land

or rock slides, or other slope failure and will effectively reduce accelerated soil erosion and

sedimentation. The plans shall include the following:

(A) Provisions for sloping or terracing of the banks or bottoms of open pit surfaces that

will be under water after cessation of mining, or other measures to prevent a hazard to

public safety.

(B) Provisions for replacing topsoil from surface areas disturbed by the mining operation

as appropriate for the approved final land use.

(C) Vegetation species and quantities, seedbed and planting area preparation, seeding and

planting methods, mulching, fertilization, maintenance, and final density of plants.

(b) Evidence satisfactory to the department that the proposed reclamation will conform to

the following minimum performance standards:

(i) Final disposition of all toxic and hazardous wastes, refuse, tailings and other solid

waste shall be managed in a manner that protects the environment, natural resources and

public health and safety, and in conformance with all other applicable federal and state

laws and regulations.

(ii) All shafts, portals, or other openings between the land surface and underground mine

workings shall be sealed in a manner that will protect the environment, natural resources,

and public health and safety and in accordance with all other applicable laws and

regulations.

(iii) All surface structures, infrastructure, rock stockpiles, and tailings disposal areas

constructed as a part of the mining activities shall be removed, unless they are converted

to an alternate use in accordance with the proposed final land use.

(iv) All disturbed surface areas shall be stabilized to prevent accelerated erosion by wind

or water.

(v) All disturbed surface areas shall be revegetated with a variety of plants that are native

to the area, except that non-native plants may be used for revegetation in areas where

appropriate for an approved final land use that is different from the premining land use. In

addition, plant species not native to the area may be used as approved by the department

when necessary to provide temporary stabilization of slopes and prevention of erosion.

(vi) Both the mining area and the affected area shall be reclaimed to achieve a self-

sustaining ecosystem appropriate for the region that does not require perpetual care

following closure and with the goal that the affected area shall be returned to the ecological

conditions that approximate premining conditions subject to changes caused by nonmining

activities or other natural events. Any portion of the mining area owned by the applicant

may be used for any legal purpose.

(c) Plans for monitoring of ground and surface water quality during the postclosure

monitoring period.

(d) The name and qualifications of the person or persons who prepared the plan for the

proposed final reclamation operations.

Page 16

History: 2006 AACS.

R 425.205 Contingency plan.

Rule 205. (1) The contingency plan required under R 425.201(1)(e) shall include at a

minimum all of the following:

(a) An assessment of the risk to the environment or public health and safety associated

with potential accidents or failures involving the following, and the response measures that

shall be followed in each case:

(i) Release or threat of release of toxic or acid-forming materials.

(ii) Storage, transportation, and handling of explosives.

(iii) Fuel storage and distribution.

(iv) Fires.

(v) Wastewater collection and treatment system.

(vi) Settling pond or tailings disposal area embankment failure.

(vii) Air emissions.

(viii) Spills of hazardous substances.

(ix) Other specific natural risks defined by the environmental impact assessment.

(x) Power disruption.

(xi) Unplanned subsidence.

(xii) Leaks from containment systems for stockpiles or storage or disposal facilities.

(b) A section that contains all of the following information:

(i) The procedure for notifying the general public, public authorities, and safety agencies

in the event of an emergency.

(ii) A list, by title, of personnel to be contacted and their duties and responsibilities.

(iii) The actions to be taken to restrict access of nonessential personnel to the area.

(iv) If evacuation of the public is necessary, then the procedure for conducting the

evacuation.

(v) A list of emergency equipment and its location.

(c) A list of emergency telephone numbers, including the following:

(i) Representatives of the operator.

(ii) The emergency management coordinator.

(iii) Local ambulance services.

(iv) Local hospitals.

(v) Local fire and police departments.

(vi) The department of environmental quality.

(vii) The pollution emergency alerting system.

(viii) Federal regulatory agencies as appropriate.

(ix) The department of natural resources.

(x) The local unit of government.

(d) A plan for testing the contingency plan to assure its effectiveness.

(2) The applicant shall submit a copy of the contingency plan to each emergency

management coordinator having jurisdiction over the affected area at the time the

application is submitted to the department.

History: 2006 AACS.

Page 17

R 425.206 Amendment of permits.

Rule 206. (1) A mining permit may be amended at any time to address changes in the

mining operation, natural or humanmade conditions, or technology, or to correct an

oversight. An application for amendment of a mining permit shall be submitted on a form

prescribed by the department, signed by the permittee or an authorized representative of

the permittee. The application shall include revisions of any of the following that are

affected by the changes:

(a) The environmental impact assessment.

(b) The mining, reclamation, and environmental protection plan.

(c) The contingency plan.

(d) Federal, state, and local permits and licenses that are anticipated to be required.

(e) Provisions for financial assurance required under R 425.301.

(f) Other terms and conditions of the mining permit.

(2) A permittee may submit a request to the department to amend a mining permit.

(3) The department may require a permittee to submit an application for amendment of a

mining permit if the department determines that the terms and conditions of the mining

permit are not providing the intended reasonable protection of the environment, natural

resources, or public health and safety.

(4) Within 30 days after receiving a request to amend a mining permit, the department

shall determine whether the request constitutes a significant change from the conditions of

the approved mining permit. If the department determines that the request is a significant

change, then the department shall submit the request for amendment to the same review

process as provided for a new permit application in R 425.201(4).

History: 2006 AACS.

R 425.207 Transfer of permit.

Rule 207. (1) If a permittee desires to transfer the mining permit to another person, then

the acquiring person shall submit to the department a request for the transfer of the permit.

The request for transfer of the permit shall be submitted on forms prescribed by the

department, and shall be signed by an authorized representative of the permittee and an

authorized representative of the acquiring operator. The request shall include the following:

(a) An update of the contingency plan.

(b) Provisions for financial assurance as prescribed in R 425.301.

(c) An organization report for the acquiring operator.

(2) Upon receiving a request for a transfer of a mining permit, the department shall inspect

the mining area and determine whether the existing permittee is in violation of part 632 of

the act or these rules at the mining site. If the department determines the permittee to be in

violation, then the mining permit shall not be transferred to a person until the permittee has

completed the necessary corrective actions or the person acquiring the mining permit has

entered into a written consent agreement to correct all of the violations. The department

may incorporate the consent agreement by reference in the mining permit.

(3) A permit transfer is not effective until all other applicable permits are transferred to

the acquiring operator. Until the department approves the transfer of a mining permit, the

Page 18

acquiring operator shall not operate the mine. Upon approval of a transfer request, the

acquiring operator shall assume the responsibilities for mining activities specified in part

632 of the act, these rules, a mining permit, or orders of the department under part 632 of

the act.

(4) If a permittee conveys his or her authority to operate a mine to another person, and a

request for transfer of the mining permit has not been approved, then, in addition to other

enforcement actions, the department may order the immediate suspension of any or all

mining activities at the permitted site, including the removal or sale of metallic product.

History: 2006 AACS.

PART 3. FINANCIAL ASSURANCE

R 425.301 Financial assurance; requirements.

Rule 301. (1) A mining permit shall not be effective until the permittee establishes

financial assurance in an amount in accordance with the mining permit as issued and in

compliance with this rule. A permittee shall thereafter maintain financial assurance that is

approved by the department during mining operations and during the postclosure

monitoring period, until the department releases the permittee from its obligation to

maintain financial assurance upon termination of the mining permit or upon transfer of the

mining permit to another operator. Failure of a permittee to maintain financial assurance

after the effective date of a mining permit as required by this subrule constitutes a violation

of the mining permit and is grounds for the department to order immediate suspension of

any or all mining activities, including the removal of metallic product from the site,

pursuant to section 63221 of the act.

(2) The financial assurance shall apply to all mining and reclamation operations subject

to the mining permit and shall be sufficient to cover the cost to administer, and to hire a

third party to implement the reclamation, remediation, and postclosure monitoring required

under part 632 of the act, these rules, a mining permit, or orders of the department under

part 632 of the act, including the costs to remediate any contamination of the air, surface

water, or groundwater that is in violation of the mining permit. The amount of financial

assurance shall be determined as follows:

(a) The operator shall provide an itemized list of reclamation, remediation, and

postclosure monitoring activities and costs associated with all of the following:

(i) Mining activities subject to the mining permit where reclamation has not yet been

completed.

(ii) Mining activities that are anticipated to occur under the mining permit.

(b) The department may require financial assurance in an amount larger than calculated

by the operator under subdivision (a) of this subrule based upon an analysis of the projected

costs under subdivision (c) of this subrule by the department.

(c) The cost estimate required under this subrule shall be based on equipment, materials,

and methods normally available to a third party contractor using current handbooks,

publications, or other documented costs acceptable to the department. The cost estimate

shall include at a minimum the costs for the following:

(i) Reclamation.

Page 19

(ii) Remediation of any contamination of the air, surface water, or groundwater that is in

violation of the mining permit.

(iii) Administrative oversight.

(iv) Reasonable contingencies.

(v) Other necessary environmental protection measures.

(d) The amount of an assurance instrument shall include any possible fees assessed by the

issuing institution for accessing the instrument.

(3) The financial assurance required under this rule shall consist of an assurance

instrument or combination of instruments covering at least 75% of the total required

amount. Financial assurance for the balance of the required amount, if any, shall consist of

a statement of financial responsibility. When determining the portion of the financial

assurance required under this rule that may be satisfied by a statement of financial

responsibility, the department shall consider the following:

(a) The ability of the operator to pay for potential remediation costs in the case of a

violation of this part, as demonstrated by the information in the statement of financial

responsibility.

(b) Whether the operator carries pollution prevention or environmental liability insurance,

and if so, the amount of the insurance.

(c) Whether the operator has received a recognized third-party certification of an

environmental management system for mining operations.

History: 2006 AACS.

R 425.302 Assurance instruments.

Rule 302. (1) An assurance instrument shall consist of any of the following:

(a) A trust fund or escrow account as described in R 425.303.

(b) A surety bond as described in R 425.304.

(c) An irrevocable letter of credit as described in R 425.305.

(d) A certificate of deposit or time deposit account as described in R 425.306.

(e) Other equivalent financial instruments approved by the department.

(2) All assurance instruments shall be issued or maintained by entities that are not

affiliated with the operator and shall not be invested in the activities regulated under this

permit.

(3) Assurance instruments shall include a provision requiring the issuing institution to

give prompt notice to the department and permittee of any action alleging bankruptcy or

insolvency of the issuing institution or a violation that would result in suspension or

revocation of the license of the issuing institution.

(4) The operator shall be responsible for all administrative costs involved in establishing

and maintaining assurance instruments.

(5) An assurance instrument shall be payable to the state of Michigan.

(6) The permittee shall execute an agreement with the department that stipulates that the

department may draw upon the assurance instrument under the conditions described in

subrules (13) and (15) of this rule. The agreement shall be executed on a form approved by

the department.

Page 20

(7) The assurance instrument required by this rule may be satisfied in whole or in part by

assurance instruments required by other parts of the act if those instruments address the

remediation activities required under part 632 of the act.

(8) The operator may submit a written request to the department to adjust the amount of

an assurance instrument provided the total value of all assurance instruments equals or

exceeds the amount required under the mining permit. If the request meets the requirements

of these rules, then the department shall within 60 days after receiving the request approve

the adjustment.

(9) A permittee may replace an existing assurance instrument with another approved

assurance instrument or instruments that provides equivalent coverage, subject to approval

by the department.

(10) A financial institution shall not cancel, terminate, or suspend an assurance instrument

without first giving the permittee and the department notice at least 90 days before the

effective date of the cancellation, termination, or suspension. Such cancellation,

termination, or suspension shall not affect any liability that shall have accrued under the

assurance instrument before the effective date of cancellation, termination, or suspension

unless the permittee provides a replacement assurance instrument approved by the

department or unless the department shall otherwise release the assurance instrument.

(11) A permittee is without the required financial assurance if filing of bankruptcy of the

trustee or issuing institution, a suspension or revocation of the authority of the trustee

institution to act as trustee, or a suspension or revocation of the authority of the institution

issuing an assurance instrument to issue such instruments.

(12) A permittee shall provide an alternative assurance instrument or instruments under

the following conditions:

(a) At least 30 days before the effective date of cancellation, termination, or suspension

of an assurance instrument by the permittee or financial institution.

(b) Within 30 days of the date the permittee becomes aware that a financial institution has

become ineligible to provide or guarantee an assurance instrument due to bankruptcy or

insolvency of the issuing institution or a violation that would result in suspension or

revocation of the license of the issuing institution.

(13) If a permittee fails to provide an alternative assurance instrument when required

under subrule (12) of this rule, the department may do the following:

(a) Immediately draw upon the assurance instrument or instruments.

(b) Order the immediate suspension of any or all mining activities at the permitted site,

including the removal of metallic product from the site, pursuant to section 63211(5) of the

act. The permittee shall not resume the suspended mining activities until the department

has determined that an acceptable replacement assurance instrument or instruments have

been provided.

(14) If the department draws upon an assurance instrument or instruments under subrule

(13) of this rule, and the permittee subsequently provides an alternative assurance

instrument or instruments approved by the department, then the department shall refund to

the issuing financial institution or the permittee the forfeited funds, less any costs

associated with the forfeiture.

(15) The department may draw upon an assurance instrument to undertake action

necessary to curtail or remediate any damage to the environment or public health under

subrule (16) of this rule or to recover costs the department has incurred.

Page 21

(16) The department shall expend money from assurance instruments only for the

recovery of costs described in R 425.301(2).

(a) If the department takes action necessary to curtail and remediate any damage to the

environment or public health under Sec. 63221(5) of the act, then the department shall file

a claim for recovery of costs with the permittee. If the permittee fails to fully reimburse the

department for the costs of such actions within 60 days after filing of the claim, then the

department may recover its unreimbursed costs from the assurance instrument or

instruments.

(b) For any part of the department's costs not recovered from the permittee or the

assurance instrument or instruments, the attorney general, acting for and on behalf of the

department, may bring suit for the payment of the claim against the permittee and the

financial institutions that executed an assurance instrument or instruments; provided, the

liability of any financial institution for costs under the claim shall not exceed the value of

the financial instrument or instruments provided by the institution under the provisions for

financial assurance under these rules.

(17) A permittee shall notify the department, by certified mail, of the commencement of

a voluntary or involuntary proceeding under the bankruptcy provisions of Public Law 95-

598, 11 U.S.C. Section 1 to 151302, naming the permittee as debtor, within 10 days after

commencement of the proceeding.

History: 2006 AACS.

R 425.303 Trust fund or escrow account.

Rule 303. (1) Subject to R 425.301, an operator may satisfy all or a portion of the financial

assurance requirements by establishing a trust fund that conforms to the requirements of

this rule. The trustee shall be a bank or other financial institution that has the authority to

act as a trustee and whose trust operations are subject to federal or state oversight. The trust

agreement shall be executed on a form approved by the department and shall designate the

department as the sole beneficiary.

(2) Subject to R 425.301, an operator may satisfy all or a portion of the financial assurance

requirements by establishing an escrow account that conforms to the requirements of this

rule. The escrow account shall be maintained by a bank or other financial institution whose

account operations are subject to federal or state oversight.

(3) Investments of the trust fund shall be reviewed and approved by the department and

may include the following fixed income investments:

(a) U.S. treasury obligations.

(b) State issued securities.

(c) Time deposits.

(d) Other investments of similar risk as approved by the department.

History: 2006 AACS.

R 425.304 Surety bond.

Rule 304. (1) Subject to R 425.301, an operator may satisfy all or a portion of the financial

assurance requirements by obtaining a surety bond that is executed on a form approved by

Page 22

the department and that conforms to the requirements of this rule. The surety company

issuing the surety bond shall, at a minimum, be among those listed as acceptable sureties

on federal bonds in circular 570 of the United States department of the treasury.

(2) The surety company shall not be liable for deficiencies in the performance of

reclamation, remediation, and postclosure monitoring, by the permittee after the

department releases the surety bond or releases the permittee from the requirements of part

632 of the act.

History: 2006 AACS.

R 425.305 Irrevocable letter of credit.

Rule 305. (1) Subject to R 425.301, an operator may satisfy all or a portion of the financial

assurance requirements by obtaining an irrevocable letter of credit that conforms to the

requirements of this rule and is executed on a form approved by the department. The issuing

institution shall be a bank or financial institution which has the authority to issue letters of

credit and whose letter of credit operations are regulated and examined by a federal or state

agency.

(2) The letter of credit shall include all of the following information:

(a) The name of the operator.

(b) The name and address of the mine.

(c) The amount of funds assured for reclamation, remediation, and postclosure monitoring

by the letter of credit.

(3) The letter of credit shall be issued for a period of at least 1 year and shall be irrevocable

during its term. The letter of credit shall be automatically extended for additional terms of

1 year from the current or each future expiration date unless the issuing institution provides

the permittee and the department, at least 60 days before the current expiration date, written

notice by certified mail that the issuing institution elects to terminate the letter of credit at

the end of its then current term.

(4) The irrevocable letter of credit shall not be for an amount in excess of 10 percent of

the bank's capital surplus account as shown on a balance sheet certified by a certified public

accountant.

(5) The issuing institution shall notify the department immediately if the issuing

institution becomes ineligible to issue a letter of credit.

History: 2006 AACS.

R 425.306 Certificate of deposit or time deposit account.

Rule 306. (1) Subject to R 425.301, an operator may satisfy all or a portion of the financial

assurance requirements by placing funds in an insured, non-negotiable certificate of deposit

or time deposit account held by a bank or other financial institution regulated and examined

by a federal or state agency. The value of the certificate of deposit or time deposit account

shall be insured by an agency of the United States government, unless otherwise approved

by the department.

(2) The certificate or account shall be in the sole name of the director of the department.

Page 23

History: 2006 AACS.

R 425.307 Statement of financial responsibility.

Rule 307. (1) The statement of financial responsibility under R 425.301(3) shall consist

of the following:

(a) A written statement signed by the operator's chief financial officer that lists data that

show that the operator meets the criteria specified in subrule (2) of this rule, and states that

the data are derived from an independently audited year-end financial statement.

(b) An independent certified public accountant's report on examination of the operator's

financial statement for the latest completed fiscal year stating that the accountant has

compared the data listed in the statement provided under subdivision (a) of this subrule

with the amounts in the corresponding year-end financial statement and that the accountant

asserts the operator's statement of financial responsibility meets the criteria of subrule (2)

of this rule and nothing came to the attention of the accountant that caused the accountant

to believe that the financial statements should be adjusted.

(2) The statement of financial responsibility under R 425.301(3) shall meet all of the

following criteria:

(a) The operator must satisfy 1 of the following 3 conditions:

(i) A current rating for its senior unsecured debt of AAA, AA, A, or BBB as issued by

Standard and Poor's or Aaa, Aa, A, or Baa as issued by Moody's.

(ii) A ratio of total liabilities to tangible net worth less than 1.5.

(iii) A ratio of the sum of net income plus depreciation, depletion and amortization, minus

$10 million, to total liabilities greater than 0.10.

(b) The operator shall have a tangible net worth not less than 25% of the financial

assurance required under R 425.301 plus $10 million.

(c) The operator shall have total assets located in North America of not less than 25% of

the sum of the financial assurance required under R 425.301 plus the financial assurance

requirements of other parts of the act and equivalent or substantially equivalent federal or

state regulations. Declared mineral reserves, except for mineral reserves at the permitted

site, may be utilized in determining current assets only to the extent that the value of the

reserves exceeds the projected costs of development and production.

(3) For determining qualifications for use of a statement of financial responsibility,

liabilities as determined under subrule (2) of this rule shall include responsibilities of the

operator for reclamation or remediation, or both, at other mining operations owned or

operated by the operator.

(4) Within 90 days after the end of each fiscal year after the effective date of a mining

permit, a permittee who utilizes a statement of financial responsibility to satisfy the

requirements of this rule shall submit to the department documents described in subrule (1)

of this rule for the fiscal year just completed.

(5) If a corporate parent or affiliate of the operator meets the requirements of subrules (1)

and (2) of this rule, then the operator may use its parent or affiliate to provide the financial

assurance allowed under this rule. The department shall not approve an operator's use of a

corporate parent or affiliate as acceptable financial assurance under this rule unless the

parent or affiliate also provides the department with a guarantee of the amount sought to

be assured through the statement of financial responsibility. The guarantee shall be in a

form acceptable to the department.

Page 24

(6) If the permittee has reasonable knowledge at any time before the year-end review

under subrule (4) of this rule that it ceases to meet the requirements of subrule (2) of this

rule, then the permittee shall within 10 days notify the department.

(7) The permittee shall provide alternate financial assurance within 60 days after the date

on which the permittee finds, under subrule (4), (5), or (6) of this rule, that it no longer

meets the requirements of subrule (2) of this rule.

(8) The department may, based on a reasonable belief that a permittee no longer meets

the requirements of subrule (2) of this rule, require reports of financial condition at any

time from the permittee in addition to the information required by subrule (2) of this rule.

If the department finds, on the basis of a review of such reports or other information, that

the permittee no longer meets the requirements of subrule (2) of this rule, then the

department shall notify and inform the permittee in writing. Within 30 days of the

notification, the permittee shall provide alternate financial assurance as specified in part

632 of the act.

(9) Failure of a permittee to comply with the requirements of subrule (4) to (8) of this rule

shall be cause for the department to order the immediate suspension of any or all mining

activities at the permitted site, including the removal of metallic product, pursuant to

section 63211(5) of the act. The permittee shall not resume mining operations until the

department has determined that an acceptable replacement assurance instrument or

instruments have been provided.

History: 2006 AACS.

R 425.308 Financial assurance; update.

Rule 308. (1) A permittee shall update the calculation of the cost to administer, and to

hire a third party to implement, the reclamation, remediation, and postclosure monitoring

required under R 425.301(2) every 3 years or as the department determines to be necessary.

The update shall include the following:

(a) A description of the reclamation and postclosure monitoring completed since the last

update.

(b) An estimate of the cost to administer, and to hire a third party to implement,

reclamation under the mining, reclamation, and environmental protection plan that has not

been completed, as well as necessary environmental protection measures, including

remediation of any contamination of the air, surface water, or groundwater that is in

violation of the mining permit.

(c) The effects of inflation on the costs of reclamation and postclosure monitoring.

(2) A permittee shall update an assurance instrument required under R 425.301 in

accordance with 1 of the following schedules:

(a) If the amount of the assurance instrument equals or exceeds the cost to administer, and

to hire a third party to implement, the reclamation, remediation, and postclosure monitoring

as originally calculated, multiplied by the Detroit consumer price index as of January 1 of

each year, then the permittee shall update the assurance instrument every 3 years by April

1 of the succeeding year.

(b) If the amount of the assurance instrument does not equal or exceed the cost to

administer, and to hire a third party to implement, the reclamation, remediation, and

postclosure monitoring as originally calculated, multiplied by the Detroit consumer price

Page 25

index as of January 1 of each year, then the permittee shall update the assurance instrument

by April 1 of the succeeding year.

(3) The department shall provide notice of an adjustment of the financial assurance to any

interested person who has requested notice.

History: 2006 AACS.

R 425.309 Final release of financial assurance.

Rule 309. (1) A permittee may file an application with the department for final release of

financial assurance upon termination of the permit.

(a) Within 30 days after receipt of an application for termination of financial assurance,

the department shall reach a proposed decision to grant or deny the application based on

inspection and review to determine compliance with requirements for termination of the

permit, and shall provide notice of the proposed decision to any interested person who has

requested notice.

(b) The department shall grant or deny an application for termination of financial

assurance not less than 30 days or more than 45 days after providing the notice required

under subdivision (a) of this subrule.

(c) If the department grants the application, the department shall within 30 days release

cash to the permittee or securities to the institution that provided the assurance instrument.

(d) If the department denies the application, then the department shall notify the permittee

in writing, stating the reasons for denial and recommending corrective actions necessary to

secure the termination.

(2) The department shall approve termination of all assurance instruments for a permittee

of record upon the effective date of transfer of the permit to a new operator.

History: 2006 AACS.

PART 4. MINING OPERATIONS

R 425.401 Notice of commencement of mining.

Rule 401. (1) A permittee proposing to begin mining shall submit written notice to the

department of the date mining will commence at least 30 days before commencing new

mining activities.

(2) A permittee who has ceased all mining activities for a period of 90 days or more shall

submit written notice to the department of the date mining activities will resume at least 30

days before resumption of mining activities.

History: 2006 AACS.

R 425.402 Safety measures.

Rule 402. If hazards to life or property, or both, exist within a mining area, then the

permittee shall post safety signs in conspicuous places around the site of the hazard. The

Page 26

permittee shall utilize fencing, gates, or other measures to safeguard the public from

unauthorized entry into shafts, adits, portals, or other openings between the land surface

and underground workings. The department may require the installation of fences, gates,

or other safety measures not inconsistent with other laws or regulations.

History: 2006 AACS.

R 425.403 Percolation leaching; requirements.

Rule 403. A person shall not conduct percolation leaching as a nonferrous metallic mining

activity until such time as this rule is amended to establish standards and criteria for

percolation leaching.

History: 2006 AACS.

R 425.404 Commencement of reclamation.

Rule 404. (1) If a permittee has ceased all mining and beneficiation for a continuous

period exceeding 90 days, the permittee shall notify the department and shall take actions

to maintain, monitor, and secure the mining area and shall conduct any interim sloping or

stabilizing of surfaces necessary to protect the environment, natural resources, or public

health and safety in accordance with the mining permit.

(2) A permittee shall begin final reclamation of a mining area within 3 years of the date

of cessation of mining and beneficiation unless the department has granted an extension of

time to begin final reclamation.

(3) A permittee shall complete reclamation of a mining area within the time in the

approved mining, reclamation, and environmental protection plan unless the department

has granted an extension of time under subrule (4) of this rule to complete final reclamation.

(4) A permittee may submit a written request to the department for an extension of time

to begin or complete final reclamation. The department shall grant the request if the

permittee shows good cause for the extension and the department determines the extension

will not cause a threat of damage to the environment, natural resources, or public health

and safety. If the reason for the request for extension is economics of the mining operation,

then the permittee shall provide justification in the form of projections of metal prices,

pending technological improvements, or other reasons demonstrating a likelihood that the

mine may become economic at a future time. The term of an extension shall not be more

than 12 months. The department may grant additional extensions subject to the provisions

of this rule. When approving extensions, the department may require the permittee to

conduct interim reclamation activities and monitoring that the department finds necessary

to implement the purposes of the act.

(5) A permittee shall, to the extent feasible, conduct reclamation activities concurrently

with the mining operation, and in any event shall initiate reclamation activities at the

earliest possible time after cessation of mining activities in any portion of the mining area.

History: 2006 AACS.

Page 27

R 425.405 Notice and approval of completed reclamation.

Rule 405. (1) A permittee shall submit written notice to the department upon completion

of reclamation work on the mining area or portions thereof.

(2) The department shall proceed promptly to make its determination as to the approval

of the reclamation work and shall notify the permittee in writing of either the approval of

the work or all reasons for disapproval.

(3) Approval of vegetative cover shall not be granted until the planting has survived at

least 2 growing seasons with reasonable assurances of being self-sustaining.

History: 2006 AACS.

R 425.406 Protection of water.

Rule 406. (1) A permittee shall conduct groundwater and surface water monitoring

according to the approved monitoring plan as described in R 425.203(g) during mining

operations and during the postclosure monitoring period.

(2) An operator shall design, construct, and abandon a monitoring well as prescribed in R

323.2223(4).

(3) Water monitoring shall include the collection of water quality samples from

groundwater and surface water, groundwater levels, and surface water levels and discharge

rates. The design of the water monitoring systems shall be based on all of the following:

(a) The environmental impact assessment.

(b) The local geology and hydrology.

(c) Groundwater and surface water conditions specific to each activity.

(4) Surface water monitoring sites shall be designed and located to adequately assess the

impact of a specific mining activity on surface water.

(5) Groundwater monitoring sites shall be designed and located as follows:

(a) Leachate monitoring wells shall be located within, or as close as physically practicable

to, a storage or disposal facility for the following materials that are determined to be

reactive, to determine the geochemical conditions of the facility.:

(i) Overburden.

(ii) Ore.

(iii) Waste rock.

(iv) Tailings.

(b) Compliance monitoring wells shall be located as close as physically practicable but

not more than 150 feet from the mining activity being monitored. However, the department

may approve an alternative water monitoring location if the operator demonstrates the

location is protective of the environment and public health and safety, and a closer location

is not feasible or effective.

(6) A permittee shall notify the department and shall institute an increased monitoring

program as may be directed by the department at such time as sampling of leachate

monitoring wells or compliance monitoring wells detects concentrations of a solute 2

standard deviations above the long-term average background level for 2 consecutive

sampling events.

(7) An action level is reached at such time as sampling of leachate monitoring wells and

compliance monitoring wells detects either of the following:

Page 28

(a) Concentrations of a solute that equal or exceed ½ the level between the long-term

average background and the drinking water standard for two consecutive sampling events.

(b) Concentrations of hydrogen ion, expressed as pH, that differ from the long-term

average background by 0.5 units or more for 2 consecutive sampling events.

(8) When an action level is reached as described in subrule (7) of this rule, then the

permittee shall proceed in a timely manner to do the following:

(a) Implement increased monitoring as approved by the department.

(b) Conduct a source investigation to determine the cause of the change in water quality

and provide a report on the investigation to the department.

(c) Implement a plan for response activity as approved by the department if the change in

water quality is determined by the department to be caused by a release associated with a

mining activity that is the responsibility of the permittee.

(9) Failure of a permittee to meet the requirements of subrules (6) to (8) of this rule shall

constitute a violation of this part. Implementing actions required by this rule does not

relieve the permittee from other obligations under this act.

History: 2006 AACS.

R 425.407 Postclosure monitoring.

Rule 407. The postclosure monitoring period shall be 20 years following completion and

approval of reclamation, subject to the following conditions:

(1) The permittee shall provide to the department a written request to terminate the

postclosure monitoring not less than 18 months before the proposed termination date and

shall provide the department with technical data and information demonstrating the basis

for the termination. The department shall extend the postclosure monitoring period in

increments of up to 20 years unless the department determines, approximately 1 year before

the end of a postclosure monitoring period or postclosure incremental monitoring period,

that there is no significant potential for water contamination resulting from the mining

operation.

(2) The department may shorten the postclosure monitoring period at any time upon

determining that there is no significant potential for water contamination resulting from the

mining operation.

(3) The department may extend or shorten the postclosure monitoring period only after

public notice and opportunity for a public hearing.

History: 2006 AACS.

R 425.408 Inspections by department.

Rule 408. (1) The department may enter at all reasonable times in or upon a mining area

for the purpose of inspecting and investigating conditions relating to the operation of a

mining area.

(2) If the department receives an allegation of improper action under or a violation of part

632 of the act, these rules, or a mining permit, and the person making the allegation

provides evidence or corroboration sufficient to support the allegation, as determined by

the department, the department shall do all of the following:

Page 29

(a) Make a record of the allegation.

(b) Conduct an inspection of the mining operation to investigate the allegation not more

than 5 business days after receipt of the complaint or allegation.

(c) Not more than 15 business days after completing an investigation of the allegation,

provide a written report of the allegation and the results of the investigation to the operator

and the person who made the allegation.

(3) The department shall conduct a complete inspection and report of a nonferrous

metallic mineral mining operation at least quarterly to determine compliance with the act

and these rules. An inspection under subrule (2) of this rule or under R 425.207(2) shall

satisfy the requirement of this subrule if the inspection is a complete inspection.

History: 2006 AACS.

R 425.409 Treatment and containment of reactive materials.

Rule 409. An operator shall manage overburden, ore, waste rock, peripheral rock, and

tailings determined to be reactive under R 425.203(c)(v) in accordance with this rule and

in a manner that is designed to reasonably minimize actual and potential adverse impacts

on groundwater and surface water by preventing leaching or runoff of acid-forming waste

products and other waste products from the mining process.

(a) An operator shall design, construct, and operate stockpiles or storage facilities for

reactive overburden, ore, waste rock, or tailings in compliance with paragraph (i) or (ii) of

this subdivision.

(i) A stockpile or storage facility shall meet the following requirements:

(A) A stockpile or storage facility shall have a composite liner system comprised of a

flexible synthetic membrane that is not less than 60 mils thick and a layer of at least 3 feet

of compacted soil having a maximum hydraulic conductivity of 1.0 X 10-7 cm/sec.

(B) The department may approve an alternative liner system that uses other materials or

designs, including modified soil liners, or technologically advanced systems only if the

operator provides data to demonstrate the alternative is capable of providing equivalent or

better protection as compared to the requirements under subparagraph (A).

(C) A stockpile or storage facility shall have a leachate collection system.The system shall

be designed, constructed, and operated to limit the hydraulic head at the lowest point in the

system to not more than 1 foot, excluding the collection sump, after construction.

(D) A stockpile or storage facility shall have a leak detection system.

(E) The liner, leachate collection system, and leak detection system shall be tested before

the placement of overburden, ore, waste rock, or tailings into the facility.

(F) A cover shall be employed to isolate the reactive overburden, ore, or waste rock from

precipitation and air as soon as practicable.

(G) A registered professional engineer or other qualified individual shall certify the proper

design, construction, and testing of all liners, covers, and leachate collection systems

required by this paragraph. The permittee shall submit the certification to the department

and shall not begin placement of ore, waste rock, overburden, or tailings in the storage

facility until approved by the department.

(ii) Subject to approval of the department, an operator may utilize an alternative plan for

a stockpile or storage facility for reactive overburden, ore, waste rock, or tailings. The

department may approve an alternative plan only if the operator provides data that

Page 30

demonstrates that the alternative plan is capable of providing protection of groundwater

and surface water that is equivalent to or better than that provided under paragraph (i) of

this subdivision. The alternative plan shall incorporate 1 or more of the following:

(A) Measures to prevent the generation of leachate by adding a material or materials that

counteract or neutralize the acid-forming or toxic characteristics of the ore, waste rock,

overburden, or tailings.

(B) Measures to treat or neutralize any leachate that may be generated before it migrates

outside of the storage facility.

(C) Measures to isolate the ore, waste rock, overburden, or tailings from oxygen and other

oxidizing substances.

(D) Measures to isolate the ore, waste rock, overburden, or tailings from groundwater or

surface water.

(b) An operator may utilize a disposal facility to manage, contain, or isolate reactive waste

rock, tailings, overburden, or peripheral rock subject to approval of the department. A

disposal facility may consist of a mined area that will be backfilled. The department shall

not approve the plans for a disposal facility unless the operator demonstrates that the

design, construction, operation, and closure of the disposal facility will reasonably

minimize the actual and potential adverse impacts on groundwater and surface water by

preventing leaching or runoff of acid-forming waste products and other waste products

from the mining process and will not require perpetual care following closure in accordance

with MCL 324.63209(8) and with R 425.204(b)(vi).

(c) A stockpile or storage or disposal facility under this rule shall be monitored in

compliance with R 425.406.

(d) A permittee shall conduct and maintain grading or diking at stockpiles and storage or

disposal facilities subject to this rule to assure that surface water drains away from the

storage or disposal area.

History: 2006 AACS.

PART 5. REPORTS

R 425.501 Mining and reclamation report.

Rule 501. (1) A permittee shall file an annual mining and reclamation report with the

department; the city, village, or township where the proposed mining operation is located;

and the Indian governing body having jurisdiction over an Indian reservation containing

all or part of the mining area or affected area. The report shall be filed in printed and

electronic format on or before March 15 of each year during the period the mine is

operating and during the postclosure monitoring period. The department shall post a copy

of the report on the department website.The report shall contain all of the following:

(a) A map or maps drawn to an appropriate scale on a topographic base and referenced to

the nearest government-surveyed section or quarter-section lines, accompanied by

appropriate documents or notations, depicting and describing all of the following as they

existed on December 31 of the previous year:

(i) The locations and dimensions of portals, shafts, or other openings between the land

surface and underground mine workings.

Page 31

(ii) The location, depth, and contours or slopes of surface pits, underground mine

excavations, or both.

(iii) The location of buildings, equipment, roads, railroad spurs, power supplies, fuel

storage, or other pertinent features within the mining area.

(iv) Overburden, waste rock, and ore stockpiles.

(v) Settling ponds and tailings disposal areas.

(vi) Drainage control structures and grading.

(vii) Areas that the permittee has reclaimed during the past calendar year.

(viii) Areas that the permittee anticipates will be reclaimed during the current calendar

year.

(ix) The name of the person or persons responsible for the preparation of the report, and

the date of preparation.

(b) An update of the contingency plan. The permittee shall provide a copy of the update

to the emergency management coordinator.

(c) A report of monitoring, leak detection, inspection, and leachate collection results for

the preceding calendar year.

(d) A report of the total tons of material mined from the mining area, and the amount of

metallic product by weight, produced from the nonferrous metallic mineral mine for the

preceding calendar year.

(e) An updated organization report.

(f) An update of the characterization of reactivity of the ore, waste rock, and overburden

that will be mined, and peripheral rock that will be exposed in the process of mining, and

of any tailings that will be generated.

(g) A list and summary of the reports required under R 425.503(1) for the preceding

calendar year.

(2) Records upon which the mining and reclamation reports are based shall be preserved

by the permittee for 3 years and made available to the department upon request.

(3) A permittee shall file with the department an updated estimate of the cost of

reclamation for mining activities planned for the current and succeeding 2 years of

operation of the mine on or before March 15 of every third year after issuance of the mining

permit.

History: 2006 AACS.

R 425.502 Update of contingency plan.

Rule 502. In addition to the annual update of the contingency plan required in R

425.501(1)(b), a permittee shall promptly provide an update of the contingency plan to the

department and the local emergency management coordinator whenever either of the

following occurs:

(a) A change of the notification process or local representatives of the permittee.

(b) A substantial change in the site conditions or equipment noted on the plan.

History: 2006 AACS.

R 425.503 Report of incident.

Page 32

Rule 503. (1) A permittee shall promptly notify the department, and each emergency

management coordinator having jurisdiction over the affected area, of any incident, act of

nature, or exceedance of a permit standard or condition at a mining operation that has

created, or may create, a threat to the environment, natural resources, or public health and

safety.

(a) The notification shall be made as soon as possible following the incident, act of nature,

or exceedance, by telephone or in person, to an authorized representative of the department

during normal business hours or to the department pollution emergency alerting system

between 5 p.m.and 8 a.m. and on weekends and holidays.

(b) The permittee shall submit to the department a detailed written incident report giving

the particulars of the incident, act of nature, or exceedance within 10 days of discovery.

The report shall include all of the following information, to the extent known:

(i) The name of permittee.

(ii) The name of the person reporting the incident, act of nature, or exceedance.

(iii) The date and time of the incident, act of nature, or exceedance.

(iv) The nature of the incident, act of nature, or exceedance.

(v) The nature and degree of the threat to the environment, natural resources, or public

health or safety.

(vi) Response actions taken or planned.

(c) If the response to the incident, act of nature, or exceedance is not concluded at the time

the incident report is filed as required by subdivision (b) of this subrule, then the permittee

shall submit to the department a written final incident report within 30 days after the

incident response is concluded. The final incident report shall contain a summary of the

initial incident report and an account of all response actions taken. If the final response to

the incident, act of nature, or exceedance is not concluded within 30 days, then the

department may require periodic progress reports.

(2) Records upon which reports under subrule (1) of this rule are based shall be preserved

by the permittee for 3 years or until the end of the postclosure monitoring period, whichever

is later, and shall be made available to the department at all times.

History: 2006 AACS.

PART 6. MEETINGS AND HEARINGS

R 425.601 Public meetings on prospective mining operations.

Rule 601. The department may hold a public meeting or meetings at any time after it

determines that there is a reasonable likelihood that a person will apply for a permit

authorizing mining operations regulated under part 632 of the act. The purpose of the public

meeting or meetings shall be to provide information on the regulation of nonferrous

metallic mineral mining and to receive public comment on prospective nonferrous metallic

mineral mining operations. This rule shall not prevent a local unit of government from

taking any lawful action under section 63203(4) of the act.

History: 2006 AACS.

Page 33

R 425.602 Contested case hearing.

Rule 602. (1) Any person who is aggrieved by an order, action, or inaction of the

department or by the issuance, denial, revocation, termination, or amendment of a mining

permit under part 632 of the act may file a petition for a contested case hearing with the

department. Following the filing of a petition, the State Office of Administrative Hearings

and Rules shall conduct a hearing and issue a proposal for decision in accordance with

provisions for contested cases in 1969 PA 306, MCL 24.201 et seq. and R 324.1 to R

324.81. Unless waived by the parties, the department shall issue a final decision on a

petition for a contested case hearing within 6 months after receiving the petition.

(2) A determination, action, or inaction by the department following a contested case

hearing shall be subject to judicial review as provided in 1969 PA 306, MCL 24.201 et seq.

(3) A petition shall be in writing and shall set forth the basis for the filing of the petition.

A petition filed more than 60 days after the petitioner knew, or reasonably should have

known, of an order, action, or inaction of the department or a decision on a mining permit

may be rejected as being untimely.

History: 2006 AACS.

Page 34