Operators may appeal certain actions related to financial assurances under Public Resources Code (PRC) section 2770(e). Financial assurances are required to ensure that sufficient funds are available to complete reclamation in accordance with an approved reclamation plan. When a lead agency or the Supervisor identifies a deficiency or adjustment needed in an operator’s financial assurance mechanism, the operator has the right to contest that determination through the formal appeal process.
Under PRC section 2770(e), an operator may appeal decisions related to:
- The amount of financial assurance required;
- Adjustments or revisions to the financial assurance cost estimate;
- The adequacy or acceptability of the financial assurance instrument;
- Actions taken by the lead agency or the Supervisor that affect the operator’s ability to meet financial assurance requirements.
The detailed procedures governing these appeals are provided in Title 14 of the California Code of Regulations (CCR) , sections 3680 through 3691.10. These regulations establish the process for submitting and resolving financial assurance disputes, including:
- Requirements for filing an appeal, including needed documentation;
- Deadlines for submitting supporting information;
- How notice of the appeal hearing is provided to the operator and the public;
- The conduct of the hearing, including presentation of evidence and opportunity for operator participation;
- Criteria used by the lead agency, the Supervisor, or the State Mining and Geology Board when evaluating the appeal;
- Timelines for issuing a final decision and required follow‑up actions; and
- Procedures for maintaining administrative records associated with the appeal.
Together, PRC 2770(e) and CCR sections 3680–3691.10 create a consistent, transparent, and predictable framework for operators to challenge financial assurance determinations. This process ensures that financial issues are resolved fairly and in accordance with statutory reclamation requirements, while maintaining public accountability and the long‑term protection of mined lands.
