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CC - Item IV.CC-D - Surgace Mining And reclamationstafl epor TO: HONORABLE MAYOR AND MEMBERS ROSEMEAD CITY COUNCIL FROM: FRANK G. TRIPEPI, CITY MANAGER DATE: JANUARY 17, 2000 RE: AB 219 (GALLEGOS) — SURFACE MINING AND RECLAMATION - SUPPORT Attached for the City Council's review is a copy of AB 219 (Gallegos), current bill status, complete bill history, and a letter from Irwindale's city manager requesting Rosemead's support of the ritxt -v�c� Existing law establishes the State Mining and Geology Board, consisting of nine (9) members appointed by the Governor. AB 219 will change the makeup of the State Mining and Geology Board by increasing to ten (10) the membership of the board, would require that the member of the board who is a registered structural engineer also have background and experience in mining geology, and would require that two (2) members be citizens specifically responsible for representing the public interest, at least one of which shall reside in a community in which there are mining operations. Existing law, the Surface Mining and Reclamation Act of 1975, governs surface mining operations and the reclamation of mined lands and provides, among other things, for the submission of reclamation plans to, and issuance of permits by, lead agencies to persons engaging in surface mining operations. The act requires the board to adopt regulations that establish state policy for the reclamation of mined lands. AB 219 will additionally require that the state policy provide that the ultimate alternative land uses for which mined lands are required to be reclaimed shall be established in a lead agency's specific and general plans. AB 219 will require that the state policy also include COUNCIL ,,GE ;D- JAN 2 5 2000 ITEM NO. objectives and criteria for the periodic review and revision of reclamation plans. AB 219 will also require an interim management plan for pre -SMATA pits that remain inactive for more than 90 days. AB 219 will create an exemption for reclamation activities from the definition of solid waste disposal to encourage the diversion of inert materials into reclamation sites, thereby accelerating reclamation and prolonging the life of existing landfills. AB 219 was to have been heard next by the Committee on Natural Resources on January 10 and 11, 2000, but no committee report is available as of this date. RECOMMENDATION: It is recommended that the City Council support AB 219 (Gallegos)) and authorize the Mayor to forward the appropriate correspondence. CURRENT BILL STATUS MEASURE : A.B. No. 219 AUTHOR(S) Gallegos. TOPIC Surface mining and reclamation. HOUSE LOCATION ASM +LAST AMENDED DATE 01/03/2000 TYPE OF BILL : Active Non - Urgency Non - Appropriations Majority Vote Required Non - State - Mandated Local Program Fiscal Non -Tax Levy LAST HIST. ACT. DATE: 01/09/2000 LAST HIST. ACTION Re- referred to Com. on NAT. RES. COMM. LOCATION ASM NATURAL RESOURCES COMM. ACTION DATE 12/01/1999 COMM. ACTION Author's amendments. TITLE An act to amend Sections 662, 663, 2773.1, and 2776 of the Public Resources Code, relating to surface mining. COMPLETE BILL HISTORY BILL NUMBER : A.B. No. 219 AUTHOR : Gallegos TOPIC : Surface mining and reclamation. TYPE OF BILL : Active Non - Urgency Non - Appropriations Majority Vote Required Non - State - Mandated Local Program Fiscal Non -Tax Levy BILL HISTORY 2000 Jan. 4 Re- referred to Com. on NAT. RES. Jan. 3 From committee chair, with author's amendments: Amend, and re -refer to Com. on NAT. RES. Read second time and amended. 1999 Mar. 16 In committee: Set, first hearing. Hearing canceled at the request of author. Feb. 4 Referred to Com. on NAT. RES. Jan. 27 From printer. May be heard in committee February 26. Jan. 26 Read first time. To print. AMENDED IN ASSEMBLY JANUARY 3, 2000 CALIFORNIA LEGISLATURE- 1999 -2000 REGULAR SESSION ASSEMBLY BILL No. 219 Introduced by Assembly Member Gallegos January 26, 1999 2773, Q 1 L 40192 and 40195.1 ' of and to add Seetions 2736 a 2:770.6 h n u- u_ settees a _latia '_ An to, act to amend Sections 662, 663, 2773.1, and 2776 of the Public Resources Code, relating to surface mining. LEGISLATIVE COUNSEL'S DIGEST AB 219, as amended, Gallegos. Surface mining and reclamation. Existing law establishes the State Mining and Geology Board, consisting of 9 members appointed by the Governor, and requires that, among other members, one member of the board be a registered geologist with background and experience in mining geology and that another member be a registered geologist, registered geophysicist, registered civil engineer, or registered structural engineer with background and experience in seismology -asd. Existing law also specifies that one member is shall not be required to have specialized experience. Existing This bill would eliminate the requirement that one member of the board be a registered geologist with background and experience in mining geology, would eliminate the requirement that one member not be required to have 98 AB 219 —2— specialized experience, and would require that the member who is required to be a registered geologist, registered geophysicist, registered civil engineer, or registered structural engineer with background and experience in seismology also have a background and experience in mining geology. The bill would require that 2 members be citizens specifically responsible for representing the public interest. Existing law prohibits any member of the board from participating in any action of the board or anempt attempting to influence any decision of the board that involves himself or herself, or any person with whom he or she is connected, as a director, officer, paid consultant, or full -time or part-time employee, or in which he or she has a financial interest, as defined. This bill „ to 10 the - -bers :_f the board,- would require that the member of the boffld who experienee in and would require--fhaf—�� eenmiumty in whieh Otere are 5! operations. The bill would also prohibit a member of the board from participating in any action of the board or attempE attempting to influence any action of the board if the action involves a mining eefitr, operator or successor to that eaE4Yy- that operator, either of whom formerly employed the member, or— for -tee;: the action involves a mining operator or successor to that operator, either of whom the member served as an officer or in any other capacity. Existing law, the Surface Mining and Reclamation Act of 1975, governs surface mining operations and the reclamation of mined lands and provides, among other things, for the submission of reclamation plans to, and issuance of permits by, lead agencies to persons engaging in surface mining operations. The aet requires the beafd to dde�� Aa$ u• r r v - the reel_- of — ed lands and requires that the state pelie), adopted by the board be fittwe eanditions that the state pol-ey be used- 98 -3— AB 219 The act also requires lead agencies to require specified types of financial assurances of each surface mining operation to ensure reclamation is performed in accordance with the surface mining operation's approved reclamation plan, which the lead agency reasonably determines are adequate to perform reclamation in accordance with the surface mining operation's approved reclamation plan. This bill would, instead, require that those specified types of financial assurances be adequate to complete reclamation of all portions of the subject mined lands. to The existing Gelifarnia integrated Waste Management Aet of 1989 defines the teffn r "disposal," ste tht h landfi.n disposal mean the fnanagement solid sal Of defines the term =s-I'd dbeste landfill " ° a`s" ' r 98 AB 219 —4— Vote: majority. Appropriation: no. Fiscal committee: yes State - mandated local program: yes no. The people of the State of California do enact as follows: WIN 5 6 SEG. -2. 7 SECTION 1. Section 662 of the Public Resources 8 Code is amended to read: 9 662. (a) One inember of the board 911911 be H 10 registered geologist with - 11 n1i o member shall be a mining engineer 12 with background and experience in mining minerals in 13 California; one member shall have background and 14 experience in groundwater hydrology, water quality, and 15 rock chemistry; one member shall be a representative of 16 local government with background and experience in 17 urban planning; one member shall have background and 18 experience in the field of environmental protection or 19 the study of ecosystems; one member shall be a registered 98 F 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 -5— AB 219 geologist, registered geophysicist, registered civil engineer, or registered structural engineer with background and experience in seismology and mining geology; one member shall be a landscape architect with background and experience in soil conservation or revegetation of disturbed soils; one member shall have background and experience in mineral resource conservation, development, and utilization; and two members shall be citizens specifically responsible for representing the public interest, at least one of which shall reside in a community in which there are mining operations. (b) All members of the board shall represent the general public interest, but not more than one -half of all of the members at any time may be currently employed by, or receive compensation from, entities that own or operate mines. SEG. 3. SEC. 2. Section 663 of the Public Resources Code is amended to read: 663. (a) No member of the board shall participate in any action of the board or attempt to influence any decision of the board that involves himself or herself, or any person with whom he or she is connected, as a director, officer, paid consultant, or full -time or part -time employee, or in which he or she has a financial interest within the meaning of Section 87103 of the Government Code. (b) No board member shall participate in any. proceeding before any state or local agency as a consultant or in any other capacity on behalf of any person who engages in surface mining operations. (c) No member of the board may participate in any action of the board, or attempt to influence any action of the board, if stieeesser to that entity that formerly employed the member-, for whi >r (1) the action involves a mining operator or successor to that operator, either of whom formerly employed the member, or (2) the action involves a mining operator or successor to that operator, 98 AB 219 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 —6— either of whom the member served as an officer or in any other capacity. (d) Upon request of any person, or on his or her own initiative, the Attorney General may file a complaint in the superior court for the county in which the board has its principal office alleging that a board member has knowingly violated this section, alleging the facts upon which the allegation is based, and asking that the member be removed from office. Further proceedings shall be in accordance as nearly as practicable with rules governing civil actions. If after trial the court finds that the board member has knowingly violated this section it shall order the member removed from office. SEE Seetien 2436 is added .dA _ n..u:_ Gede, to read! 98 F 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 -7— AB 219 WHIM-1111 m 98 F findings lo_�_ t` 39 .... me—lee writ4ea legislative as 98 F AB 219 -8- 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 98 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 -9- AB 219 98 - Win o, 98 AB 219 1 2 3 4 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 -10- 98 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 -11- AB 219 mmmff. 98 :. mmmff. 98 AS 219 10 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 -12- 98 u 98 1 2 3 4 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 -13- AB 219 98 AB 219 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 —14— SE SEC. 3. Section 2773.1 of the Public Resources Code is amended to read: 2773.1. (a) Lead agencies shall require financial assurances of each surface mining operation to ensure reclamation is performed in accordance with the surface mining operation's approved reclamation plan, as follows: (1) Financial assurances may take the form of surety bonds executed by an admitted surety insurer, as defined in subdivision (a) of Section 995.120 of the Code of Civil Procedure, irrevocable letters of credit, trust funds, or other forms of financial assurances specified by the board pursuant to subdivision (e), which the lead agency reasonably determines are adequate to complete reclamation of all portions of the subject mined lands in accordance with the surface mining operation's approved reclamation plan. (2) The financial assurances shall remain in effect for the duration of the surface mining operation and any additional period until reclamation is completed. (3) The amount of financial assurances required of a surface mining operation for any one year shall be adjusted annually to account for new lands disturbed by surface mining operations, changes with respect to environmental conditions affected by mining operations, new information concerning mining reclamation or the reclamation of subject mined lands, modifications of the reclamation plan, changes in the laws and regulations affecting mining, inflation, and reclamation of lands accomplished in accordance with the approved reclamation plan. (4) The financial assurances shall be made payable to the lead agency and the department. Financial assurances that were approved by the lead agency prior to January 1, 1993, and were made payable to the State Geologist shall be considered payable to the department for purposes of this chapter. However, if a surface mining operation has received approval of its financial assurances from a public agency other than the lead agency, the lead agency shall deem those financial assurances adequate for 98 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 -15— AB 219 purposes of this section, or shall credit them toward fulfillment of the financial assurances required by this section, if they are made payable to the public agency, the lead agency, and the department and otherwise meet the requirements of this section. In any event, if a lead agency and one or more public agencies exercise jurisdiction over a surface mining operation, the total amount of financial assurances required by the lead agency and the public agencies for any one year shall not exceed that amount which is necessary to perform reclamation of lands remaining disturbed. For purposes of this paragraph, a "public agency" may include a federal agency. (b) If the lead agency or the board, following a public hearing, determines that the operator is financially incapable of performing reclamation in accordance with its approved reclamation plan, or has abandoned its surface mining operation without commencing reclamation, either the lead agency or the director shall do all of the following: (1) Notify the operator by personal service or certified mail that the lead agency or the director intends to take appropriate action to forfeit the financial assurances and specify the reasons for so doing. (2) Allow the operator 60 days to commence or cause the commencement of reclamation in accordance with its approved reclamation plan and require that reclamation be completed within the time limits specified in the approved reclamation plan or some other time period mutually agreed upon by the lead agency or the director and the operator. (3) Proceed to take appropriate action to require forfeiture of the financial assurances if the operator does not substantially comply with paragraph (2). (4) Use the proceeds from the forfeited financial assurances to conduct and complete reclamation in accordance with the approved reclamation plan. In no event shall the financial assurances be used for any other purpose. The operator is responsible for the costs of conducting and completing reclamation in accordance 98 AB 219 —16 1 with the approved reclamation plan which are in excess 2 of the proceeds from the forfeited financial assurances. 3 (c) Financial assurances shall no longer be required of 4 a surface mining operation, and shall be released, upon 5 written notification by the lead agency, which shall be 6 forwarded to the operator and the director, that 7 reclamation has been completed in accordance with the 8 approved reclamation plan. If a mining operation is sold 9 or ownership is transferred to another person, the 10 existing financial assurances shall remain in force and 11 shall not be released by the lead agency until new 12 financial assurances are secured from the new owner and 13 have been approved by the lead agency in accordance 14 with Section 2770. 15 (d) The lead agency shall have primary responsibility 16 to seek forfeiture of financial assurances and to reclaim 17 minesites under subdivision (b). However, in cases 18 where the board is not the lead agency pursuant to 19 Section 2774.4, the director may act to seek forfeiture of 20 financial assurances and reclaim minesites pursuant to 21 subdivision (b) only if both of the following occurs: 22 (1) The financial incapability of the operator or the 23 abandonment of the mining operation has come to the 24 attention of the director. 25 (2) The lead agency has been notified in writing by the 26 director of the financial incapability of the operator or the 27 abandonment of the mining operation for at least 15 days, 28 and has not taken appropriate measures to seek forfeiture 29 of the financial assurances and reclaim the minesite; and 30 one of the following has occurred: 31 (A) The lead agency has been notified in writing by 32 the director that failure to take appropriate measures to 33 seek forfeiture of the financial assurances or to reclaim 34 the minesite shall result in actions being taken against the 35 lead agency under Section 2774.4. 36 (B) The director determines that there is a violation 37 that amounts to an imminent and substantial 38 endangerment to the public health, safety, or to the 39 environment. 98 I 17— AB 219 I (C) The lead agency notifies the director in writing 2 that its good faith attempts to seek forfeiture of the 3 financial assurances have not been successful. 4 The director shall comply with subdivision (b) in 5 seeking forfeiture of financial assurances and reclaiming 6 minesites. 7 (e) The board may adopt regulations specifying 8 financial assurance mechanisms other than surety bonds, 9 irrevocable letters of credit, and trust funds, which the 10 board determines are reasonably available and adequate 11 to ensure reclamation pursuant to this chapter, but these 12 mechanisms may not include financial tests, or surety 13 bonds executed by one or more personal sureties. These 14 mechanisms may include reclamation bond pool 15 programs. 16 (f) On or before March 1, 1993, the board shall adopt 17 guidelines to implement this section. The guidelines are 18 exempt from the requirements of Chapter 3.5 19 (commencing with Section 11340) of Part 1 of Division 3 20 of Title 2 of the Government Code, and are not subject to 21 review by the Office of Administrative Law. 22 SEG. 12. 23 SEC. 4. Section 2776 of the Public Resources Code is 24 amended to read: 25 2776. (a) No person who has obtained a vested right 26 to conduct surface mining operations prior to January 1, 27 1976, shall be required to secure a permit pursuant to this 28 chapter as long as the vested right continues and as long 29 as no substantial changes are made in the operation 30 except in accordance with this chapter. A person shall be 31 deemed to have vested rights if, prior to January 1, 1976, 32 he or she has, in good faith and in reliance upon a permit 33 or other authorization, if the permit or other 34 authorization was required, diligently commenced 35 surface mining operations and incurred substantial 36 liabilities for work and materials necessary therefor. 37 Expenses incurred in obtaining the enactment of an 38 ordinance in relation to a particular operation or the 39 issuance of a permit shall not be deemed liabilities for 40 work or materials. 98 AB 219 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 —18— The reclamation plan required to be filed under subdivision (b) of Section 2770 shall apply to operations conducted after January 1, 1976, or to be conducted. (b) Nothing in this chapter shall be construed as requiring the filing of a reclamation plan for, or the reclamation of, mined lands on which surface mining operations were conducted prior to January 1, 1976. (c) Notwithstanding any other provision of this chapter, a surface mining operation that becomes idle shall be subject to subdivision (h) of Section 2770, and the requirements for an interim management plan. Upon expiration of the time periods provided in subdivision (h) of Section 2770, the surface mining operator shall submit and obtain approval of a reclamation plan in accordance with the terms of this chapter. SEG. 13. Seetion 40192 of the Pablie Reseerees 98 CilJ�IAi�7�MP�iY�i 98 -19— AB 219 " - ; MW a 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 Col 98 F January 4, 2000 Mr. Frank Tripepi City Manager City of Rosemead 8838 E. Valley Blvd. Rosemead, CA 91770 CITY OF IRWINDALE 5050 North Irwindale Avenue • Irwindale, California 91706 (818) 962 -3381 • Facsimile: (818) 962 -4209 Re: Proposed Mining Legislation Dear Mr. Tripepi: Approximately one year ago, the City of Irwindale commissioned a comprehensive mining study to analyze the various impacts of mining operations on its community. The study has cost nearly $200,000 to complete. While it is designed to address impacts from mining operations in Irwindale, it provides compelling information on the impacts of mining throughout the State and the various deficiencies with the State's existing surface mining legislation, the Surface Mining and Reclamation Act of 1975 ( "SMARA "). One of the primary concerns raised by the study is the ineffectiveness of existing reclamation plans and the inability of lead agencies to update such plans to address environmental, health and safety, and land use concerns that are not known or suspected at the time that mining operations commence. The mining study shows in very clear terms the numerous problems created by deficient or nonexistent reclamation plans, and the need for significant changes to SMARA so that local governments throughout California can ensure environmentally sound restoration of mined pits to beneficial uses. In particular, groundwater contamination, slope failure, illegal dumping, and potential personal injuries are just a few of the adverse consequences of unreclaimed or inadequately reclaimed mining pits. Unfortunately, current law does not adequately address these consequences and, in fact, allows many mines to sit in an idle condition once mining operations cease. Irwindale has six pits of this type which, without the proposed legislation, will remain unusable blights that pose substantial health and safety concerns. Even those pits where reclamation planning is required can remain up to 100 - foot deep holes which will not be suitable for any alternative land uses, despite the existing requirements of SMARA. Unfortunately, we know that these are not problems that are unique to Irwindale. Mr. Frank Tripepi January 4, 2000 Page 2 Yet, these consequences can be avoided. With the legislative changes provided by Senate Bill No. 244 and Assembly Bill No. 219, mined land can be filled or otherwise reclaimed in a timely manner that will prolong the life of existing municipal landfills. Once reclamation is complete, the mined land will have restored economic value, and the health and safety of the community will have been enhanced. The particulars of SB 244 and AB 219 are detailed in the attachments to this letter, but in summary include the following: SB 244 will allow periodic review of reclamation plans and allow for limited revisions to plans in certain circumstances. SB 244 will modify SMARA to clarify that mined land will be reclaimed to a useable condition that is readily adaptable to alternative land uses, and in a configuration similar to that when mining commenced. Currently SMARA requires that the local agencies' general plan conform with state policies to promote mining. SB 244 would make it clear that the end use of a reclaimed site be established by the local agency's general plan. ➢ SB 244 will require that reclamation plans include both (a) a monitoring requirement to track the effects of reclamation activities, and (b) a provision for periodic review and revision of the reclamation plan. Under SB 244, in circumstances where mining will occur in groundwater, the legislation will allow local /regional water authorities the opportunity to review and comment on reclamation plans prior to their approval. 9 Both legislation will clarify that mining companies' financial assurances must be sufficient to complete reclamation activities and will broaden the circumstances when financial insurance may be increased. AB 219 will require an interim management plan for pre - SMARA pits that remain inactive for more than 90 days. ➢ AB 219 will change the makeup of the State Mining and Geology Board by merging the technical qualifications of two of the members into a single seat on the Board, and filling the resulting vacancy with a citizen responsible for representing the public interest that resides in a community with mining operations. Mr. Frank Tripepi January 4, 2000 Page 3 i AB 219 will create an exemption for reclamation activities from the definition of solid waste disposal to encourage the diversion of inert materials into reclamation sites, thereby accelerating reclamation and prolonging the life of existing landfills. SB 244 and AB 219 were introduced to the legislature by Senator Solis and Assemblyman Gallegos in January, 1999. The Senate and Assembly Natural Resource Committee hearings on these bills are scheduled for January 10 and 11, 2000. It is important to let our Legislature know that cities throughout the State support SB 244 and AB 219. Toward that end, you can help ensure that mines are reclaimed in a sensible, safe, and economically beneficial fashion by submitting letters of support for SB 244 and AB 219 as soon as possible. For your convenience, we have enclosed draft letters of support that can easily be modified for your submittal. If you have any questions or comments on the proposed legislation, please feel free to contact me at (626) 430 -2217. Thank you in advance for your consideration of these issues — issues that are important to Californians and our local communities. �ry truly yours, Robert Griego City Manager, City of Irwindale RG:al Enc.