R315-309-3. General Requirements for Financial Assurance Mechanisms

  (1) Any financial assurance mechanism in place for a solid waste facility:

  (a) must be legally valid, binding, and enforceable under Utah and Federal law;

  (b) must ensure that funds will be available in a timely fashion when needed; and

  (c) any financial assurance mechanism that guarantees payment rather than performance, but does not allow the Director to approve partial payments to a third party, shall establish a standby trust at the time the financial assurance mechanism is established.

  (i) In the case of a financial assurance mechanism for which the establishment of a standby trust is required, the standby trust fund shall meet the requirements of Subsections R315-309-4(1), (2), and (4).

  (ii) Payments from the financial assurance mechanism shall be deposited directly into the standby trust fund and payments from the standby trust fund must be approved by the Director and the trustee.

  (2) The owner or operator of a solid waste facility that is required to provide financial assurance:

  (a) shall submit the required documentation of the financial assurance mechanism to the Director;

  (b) prior to the financial assurance mechanism becoming effective and active for a solid waste facility, the mechanism must be approved by the Director; and

  (c) Financial assurance mechanism documents submitted to the Director shall be signed originals or signed duplicate originals.

  (3) The owner or operator of a solid waste facility may establish financial assurance by any mechanism that meets the requirements of Subsection R315-309-1(1) as approved by the Director.

  (4) The owner or operator of a solid waste facility may establish financial assurance by a combination of mechanisms that together meet the requirements of Subsection R315-309-1(1) as approved by the Director. Except for the conditions specified in Subsection R315-309-8(6)(c), financial assurance mechanisms guaranteeing performance, rather than payment, may not be combined with other instruments.