NR 665.0145(2)(a)(a) An owner or operator may satisfy the requirements of this section by obtaining a surety bond which conforms to the requirements of this subsection and submitting the bond to the department. The surety company issuing the bond shall, at a minimum, be among those listed as acceptable sureties on federal bonds in Circular 570 of the U.S. department of the treasury.

NR 665.0145(2)(b)(b) The wording of the surety bond shall be identical to the wording on the department form specified in s. NR 664.0151 (2).

NR 665.0145(2)(c)(c) The owner or operator who uses a surety bond to satisfy the requirements of this section shall also establish a standby trust fund. Under the terms of the bond, all payments made shall be deposited by the surety directly into the standby trust fund in accordance with instructions from the department. This standby trust fund must meet the requirements specified in sub. (1) except for all of the following:

NR 665.0145(2)(d)(d) The bond must guarantee that the owner or operator will do any of the following:

NR 665.0145(2)(d)2.2. Fund the standby trust fund in an amount equal to the penal sum within 15 days after an administrative order to begin final closure issued by the department becomes final, or within 15 days after an order to begin final closure is issued.

NR 665.0145(2)(d)3.3. Provide alternate financial assurance as specified in this section, and obtain the department’s written approval of the assurance provided, within 90 days after receipt by both the owner or operator and the department of a notice of cancellation of the bond from the surety.

NR 665.0145(2)(e)(e) Under the terms of the bond, the surety will become liable on the bond obligation when the owner or operator fails to perform as guaranteed by the bond.

NR 665.0145(2)(f)(f) The penal sum of the bond shall be in an amount at least equal to the current long-term care cost estimate, except as provided in sub. (8).

NR 665.0145(2)(g)(g) Whenever the current long-term care cost estimate increases to an amount greater than the penal sum, the owner or operator, within 60 days after the increase, shall either cause the penal sum to be increased to an amount at least equal to the current long-term care cost estimate and submit evidence of the increase to the department, or obtain other financial assurance as specified in this section to cover the increase. Whenever the current long-term care cost estimate decreases, the penal sum may be reduced to the amount of the current long-term care cost estimate following written approval by the department.

NR 665.0145(2)(h)(h) Under the terms of the bond, the surety may cancel the bond by sending notice of cancellation by certified mail to the owner or operator and to the department. Cancellation may not occur, however, during the 120 days beginning on the date of receipt of the notice of cancellation by both the owner or operator and the department, as evidenced by the return receipts. Not less than 30 days prior to the expiration of the 120-day notice period, the owner shall deliver to the department a replacement bond or other proof of financial responsibility under this section, in the absence of which all storage, treatment or disposal operations shall immediately cease and the bond shall remain in effect as long as any obligation of the owner remains for long-term care

NR 665.0145(2)(i)(i) The owner or operator may cancel the bond if the department has given prior written consent based on the receipt of evidence of alternate financial assurance as specified in this section.

NR 665.0145(3)(a)(a) An owner or operator may satisfy the requirements of this section by obtaining an irrevocable letter of credit which conforms to the requirements of this subsection and submitting the letter to the department. The issuing institution shall be an entity 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.

NR 665.0145(3)(b)(b) The wording of the letter of credit shall be identical to the wording on the department form specified in s. NR 664.0151 (4).

NR 665.0145(3)(d)(d) The letter of credit shall be accompanied by a letter from the owner or operator referring to the letter of credit by number, issuing institution and date, and providing the following information: The EPA identification number, name and address of the facility, and the amount of funds assured for long-term care of the facility by the letter of credit.

NR 665.0145(3)(e)(e) The letter of credit shall be irrevocable and issued for a period of at least one year. The letter of credit shall provide that the expiration date will be automatically extended for a period of at least one year unless, at least 120 days before the current expiration date, the issuing institution notifies both the owner or operator and the department by certified mail of a decision not to extend the expiration date. Under the terms of the letter of credit, the 120 days will begin on the date when both the owner or operator and the department have received the notice, as evidenced by the return receipts.

NR 665.0145(3)(f)(f) The letter of credit shall be issued in an amount at least equal to the current long-term care cost estimate, except as provided in sub. (8).

NR 665.0145(3)(g)(g) Whenever the current long-term care cost estimate increases to an amount greater than the amount of the credit during the operating life of the facility, the owner or operator, within 60 days after the increase, shall either cause the amount of the credit to be increased so that it at least equals the current long-term care cost estimate and submit evidence of the increase to the department, or obtain other financial assurance as specified in this section to cover the increase. Whenever the current long-term care cost estimate decreases during the operating life of the facility, the amount of the credit may be reduced to the amount of the current long-term care cost estimate following written approval by the department.

NR 665.0145(3)(h)(h) During the period of long-term care, the department may approve a decrease in the amount of the letter of credit if the owner or operator demonstrates to the department that the amount exceeds the remaining cost of long-term care.

NR 665.0145(3)(i)(i) Following a determination by the department that the owner or operator has failed to perform long-term care in accordance with the approved long-term care plan and other license requirements, the department may draw on the letter of credit.