Section 329IAC15-5-7. Letter of credit

   (a) The owner or operator of a waste tire storage site may comply with this rule by establishing a letter of credit on:

(1) forms provided by the department; or

(2) forms approved by the department.

  (b) All letters of credit must contain the following:

(1) The establishment of credit in the amount determined by section 3 of this rule.

(2) Irrevocability.

(3) An effective period of at least one (1) year and automatic extensions for periods of at least one (1) year unless the issuing institution provides written notification of cancellation by certified mail to both the owner or operator and the department at least one hundred twenty (120) days before the effective date of cancellation.

(4) Provision that, upon written notice from the commissioner, the institution issuing the letter of credit will:

(A) state that the obligations of the owner or operator of the waste tire storage site have not been fulfilled; and

(B) deposit funds equal to the amount of credit into a trust fund to be used to ensure closure obligations of the owner or operator are fulfilled.

  (c) The owner or operator of the waste tire storage site shall establish a standby trust fund to be utilized in the event the owner or operator of the waste tire storage site fails to fulfill closure obligations and the letter of credit is utilized. Such a trust fund must be established in accordance with section 5 of this rule.

  (d) The issuing institution must be an entity that has the authority to issue letters of credit and whose letters of credit operations are regulated and examined by a federal or state of Indiana agency. (Solid Waste Management Division; 329 IAC 15-5-7; filed Oct 10, 2000, 3:10 p.m.: 24 IR 332; readopted filed Nov 30, 2006, 4:16 p.m.: 20061227-IR-329050168FRA; readopted filed Jul 18, 2012, 2:26 p.m.: 20120815-IR-329120206BFA)