Bill Text: NY S07736 | 2023-2024 | General Assembly | Amended


Bill Title: Relates to permits and financial security for reclamation for salt mining beneath a lake; requires such permits to be subject to environmental quality review procedures; requires financial security to cover any damages directly or indirectly resulting from salt mining activities beneath a lake, including, but not limited to, those resulting from collapse or water contamination.

Spectrum: Partisan Bill (Democrat 3-0)

Status: (Engrossed) 2024-06-07 - referred to environmental conservation [S07736 Detail]

Download: New_York-2023-S07736-Amended.html



                STATE OF NEW YORK
        ________________________________________________________________________

                                         7736--B

                               2023-2024 Regular Sessions

                    IN SENATE

                                    November 3, 2023
                                       ___________

        Introduced by Sens. WEBB, MAY, HARCKHAM -- read twice and ordered print-
          ed,  and  when  printed  to  be committed to the Committee on Rules --
          recommitted to the Committee on Environmental Conservation in  accord-
          ance with Senate Rule 6, sec. 8 -- committee discharged, bill amended,
          ordered  reprinted  as  amended  and  recommitted to said committee --
          committee discharged, bill amended, ordered reprinted as  amended  and
          recommitted to said committee

        AN  ACT to amend the environmental conservation law and the public lands
          law, in relation to permits and financial security for reclamation for
          salt mining beneath a lake

          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:

     1    Section  1.  Subdivisions 11 and 12 of section 23-2711 of the environ-
     2  mental conservation law, as added by chapter 166 of the  laws  of  1991,
     3  are  amended  and  two new subdivisions 11-a and 14 are added to read as
     4  follows:
     5    11. Permits issued pursuant to this  title  shall  be  renewable.    A
     6  complete application for renewal shall contain the following:
     7    (a) completed application forms;
     8    (b) an updated mining plan map consistent with paragraph (a) of subdi-
     9  vision one of section 23-2713 of this title and including an identifica-
    10  tion of the area to be mined during the proposed permit term;
    11    (c)  a  description  of  any changes to the mined land-use plan, which
    12  shall include, with respect to a permit for salt mining beneath a  lake,
    13  an  updated  reclamation  plan  of  surface and subsurface affected land
    14  accounting for any differences in circumstances  since  the  reclamation
    15  plan was last approved by the department; [and]
    16    (d)  an identification of reclamation accomplished during the existing
    17  permit term; and
    18    (e) a thirty-year monitoring plan with respect to a  permit  for  salt
    19  mining beneath a lake of all affected lands, surface and subsurface.

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD13509-09-4

        S. 7736--B                          2

     1    11-a.  Notwithstanding  any provision of this section to the contrary,
     2  with respect to salt mining beneath  a  lake  where  no    environmental
     3  impact  statement has been prepared pursuant to the environmental quali-
     4  ty    review    requirements   of   article eight   of this chapter with
     5  respect  to  such  mining  within the preceding twenty years, any permit
     6  renewal application shall:
     7    (a) not constitute a minor  project  within  the  meaning  of  article
     8  seventy of this chapter;
     9    (b) be treated as an application for a new permit;
    10    (c) constitute an action requiring environmental quality review pursu-
    11  ant to article eight of this chapter; and
    12    (d)  be  deemed an action that is likely to require the preparation of
    13  an environmental impact statement pursuant to subparagraph (i) of  para-
    14  graph (c) of subdivision two of section 8-0113 of this chapter.
    15    12.  The  procedure  for  transfer of a permit issued pursuant to this
    16  title is the procedure  for  permit  modification  pursuant  to  article
    17  seventy of this chapter; provided, however, and notwithstanding subdivi-
    18  sion  thirteen of this section or any other provision of this section to
    19  the contrary, any transfer or modification of a permit to engage in salt
    20  mining activities beneath a lake shall constitute a  material  modifica-
    21  tion  of  the  permit and, if no environmental impact statement has been
    22  prepared pursuant to the environmental quality  review  requirements  of
    23  article  eight  of  this  chapter with respect to such mining within the
    24  preceding twenty years, such transfer or modification shall:
    25    (a) not constitute a minor  project  within  the  meaning  of  article
    26  seventy of this chapter;
    27    (b) be treated as an application for a new permit;
    28    (c) constitute an action requiring environmental quality review pursu-
    29  ant to article eight of this chapter; and
    30    (d)  be deemed  an action that is likely to require the preparation of
    31  an  environmental impact statement pursuant to subparagraph (i) of para-
    32  graph (c) of subdivision two of section 8-0113 of this chapter.
    33    14. As soon as practicable and in any event within one hundred  eighty
    34  days  of  the  effective  date of this subdivision, the department shall
    35  prepare an environmental study with respect to any salt mining beneath a
    36  lake if no environmental impact statement has been prepared  within  the
    37  preceding  twenty  years  with  respect to such mining.  Any holder of a
    38  permit to mine salt beneath a lake  shall  comply  with  all  reasonable
    39  requests  of  the  department  in connection with preparation of such an
    40  environmental study.  The preparation of such environmental study  shall
    41  include  a  comprehensive  review  of  the  cumulative  effects  of such
    42  mining, including consideration of the effects of past mining and  their
    43  potential  future environmental impacts, in the short-term and the long-
    44  term; any adverse environmental effects which cannot be  avoided  should
    45  the  mining  continue;  alternatives  to the continuation of mining; any
    46  irreversible and irretrievable commitments of resources which  would  be
    47  involved  in  the  continued  operation; mitigation measures proposed to
    48  minimize the environmental impact; the present  and  future  effects  of
    49  continued  action  on  public  drinking  water supplies; the present and
    50  future effects of continued action on the recreational use and  economic
    51  activity  supported  by  the lake, and such other information consistent
    52  with the purpose of this subdivision as may be appropriate. In  conduct-
    53  ing  such  study, the department shall engage in a robust public partic-
    54  ipation process to ensure that the  concerns  of  all  stakeholders  are
    55  heard  and  inform  the  final  study. The initial findings of the study
    56  shall be made available to the public on  the  department's  website  no

        S. 7736--B                          3

     1  later  than  one  hundred  twenty  days after the effective date of this
     2  subdivision, and shall be subject to a thirty day public comment period.
     3  The department shall conduct at least  one  public  hearing  during  the
     4  thirty day comment period for review of the initial findings.  The final
     5  study  shall  respond  to  and,  if  appropriate,  incorporate  comments
     6  received from the public and be made available  to  the  public  on  the
     7  department's website in unredacted form.
     8    § 2. Section 23-2715 of the environmental conservation law, as amended
     9  by  chapter 166 of the laws of 1991, subdivision 6 as amended by chapter
    10  60 of the laws of 1993, is amended to read as follows:
    11  § 23-2715. Financial security for reclamation.
    12    1. Before the department may issue a  permit,  the  applicant,  unless
    13  exempt,  shall  furnish financial security (a) to ensure the performance
    14  of reclamation as provided in the approved mined land-use plan,  (b)  to
    15  cover  any  damages  directly  or  indirectly resulting from salt mining
    16  activities beneath a lake, including, but not limited to, those  result-
    17  ing  from  collapse  or water contamination, and (c) naming the state as
    18  beneficiary. Financial security shall be in the form of a  bond  from  a
    19  corporate  surety  licensed  to  do business as such in the state or any
    20  other form the department may deem acceptable. Any interest accruing  as
    21  a result of such security shall be the exclusive property of the permit-
    22  tee.
    23    2.  The department shall determine the amount, condition, and terms of
    24  the financial security. The amount shall be  based  upon  the  estimated
    25  cost  of  reclaiming  the affected land and the estimated liability from
    26  potential damages directly or  indirectly  resulting  from  salt  mining
    27  activities  beneath a lake, including, but not limited to, those result-
    28  ing from collapse or water contamination, which shall be based on infor-
    29  mation contained in the permit application,  the  environmental  quality
    30  review conducted pursuant to article eight of this chapter and any envi-
    31  ronmental  study  conducted  pursuant to subdivision fourteen of section
    32  23-2711 of this title and upon such information as an  investigation  by
    33  the department may disclose. At a minimum, the department shall consider
    34  the particular circumstances of the mine and mining activities in making
    35  determinations pursuant to this subdivision related to financial securi-
    36  ty  amounts  required  to cover potential damages directly or indirectly
    37  resulting from salt mining activities beneath a lake, including, but not
    38  limited to,  those  resulting  from  collapse  or  water  contamination.
    39  Consideration  in  such  circumstances shall include, but not be limited
    40  to:
    41    (a) those factors considered in determining the  amount  of  financial
    42  security to ensure performance of reclamation;
    43    (b) geologic, hydrologic, and other environmental conditions;
    44    (c) the presence of any environmentally sensitive areas or resources;
    45    (d) the presence of persons and property; and
    46    (e) local economic impacts of potential damages.
    47    The department shall engage an independent third party with the neces-
    48  sary  actuarial, conservation finance and/or other appropriate expertise
    49  either to make a determination with respect to  such  potential  damages
    50  directly  or    indirectly   resulting   from   salt   mining activities
    51  beneath a lake or to review the determination  of  the  department  with
    52  respect  thereto  and,  in  the  case  of a review, the department shall
    53  incorporate the appropriate recommendations by such  independent  third-
    54  party reviewer into its final determination.
    55    3.  The financial security shall remain in full force and effect until
    56  the department has approved the reclamation and determined that there is

        S. 7736--B                          4

     1  no continuing risk of damages directly or indirectly  from  salt  mining
     2  activities  beneath a lake, including, but not limited to, those result-
     3  ing from collapse or water  contamination.  At  the  discretion  of  the
     4  department,  the permittee may secure the release of that portion of the
     5  financial security for affected  land  on  which  reclamation  has  been
     6  completed and approved by the department.
     7    4. If the financial security shall for any reason be cancelled, within
     8  thirty  days after receiving notice thereof, the permittee shall provide
     9  a valid replacement under the  same  conditions  as  described  in  this
    10  section.  Failure  to provide a replacement bond within such period may,
    11  at the discretion of the commissioner, result in the  immediate  suspen-
    12  sion of the mining permit by the department.
    13    5. If a permit is suspended or revoked, the department may require the
    14  permittee to commence reclamation upon thirty days notice.
    15    6.  If  the permittee fails to commence or to complete the reclamation
    16  as required, the department may attach the financial security  furnished
    17  by  the permittee. In any event, the full cost of completing reclamation
    18  and any damages directly or indirectly resulting from salt mining activ-
    19  ities beneath a lake, including, but not  limited  to,  those  resulting
    20  from  collapse or water contamination shall be the personal liability of
    21  the permittee and/or the person engaged in mining  and  the  department,
    22  acting  by  the attorney general, may bring suit to recover all costs to
    23  secure the reclamation and damages directly or indirectly resulting from
    24  salt mining activities beneath a lake not covered by the financial secu-
    25  rity.  The  materials,  machinery,  implements  and   tools   of   every
    26  description  which  may  be  found  at  the mine, or other assets of the
    27  permittee and/or the person engaged in mining shall be subject to a lien
    28  of the department for the amount expended for  reclamation  of  affected
    29  lands,  and  for making whole any parties suffering any damages directly
    30  or indirectly resulting from salt mining activities beneath a lake,  and
    31  shall not be removed without the written consent of the department. Such
    32  lien  may  be foreclosed by the attorney general in the same manner as a
    33  mechanic's lien. Any and all moneys recovered shall be deposited in  the
    34  environmental  regulatory  account  pursuant  to section 72-1009 of this
    35  chapter.
    36    7. Political subdivisions, municipalities, the United States  and  any
    37  of  its  agencies  and  agencies  of  the state shall be exempt from the
    38  requirements of this section.
    39    8. Any permittee which has furnished a financial security which is not
    40  in compliance with the requirements of this  section  on  the  effective
    41  date  of  this subdivision shall be in violation of this section if such
    42  financial security is not brought into compliance within six  months  of
    43  such effective date.
    44    §  3.    Section 81 of the public lands law is amended by adding a new
    45  subdivision 3 to read as follows:
    46    3. Notwithstanding subdivisions one and  two  of  this  section,  with
    47  respect  to  a  permit,  consent,  or  lease issued with respect to salt
    48  mining activities beneath a lake, the duration of such permit,  consent,
    49  or  lease  shall  not  be  longer  than the duration for which mining is
    50  allowable under the permit issued by  the  department  of  environmental
    51  conservation  pursuant  to title twenty-seven of article twenty-three of
    52  the environmental conservation law in respect of such mining.
    53    § 4. Severability. If any provision of this act, or any application of
    54  any provision of this act, is held to be invalid, that shall not  affect
    55  the  validity or effectiveness of any other provision of this act, or of
    56  any other application of any provision of this act, which can  be  given

        S. 7736--B                          5

     1  effect  without  that  provision  or  application;  and to that end, the
     2  provisions and applications of this act are severable.
     3    §  5.  This  act shall take effect on the thirtieth day after it shall
     4  have become a law; provided, however, that section two of this act shall
     5  take effect on the ninetieth day after  it  shall  have  become  a  law.
     6  Effective  immediately,  the  addition, amendment and/or repeal  of  any
     7  rule  or regulation necessary  for  the implementation of  this  act  on
     8  its  effective date are authorized to be made and completed on or before
     9  such effective date.
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