State of Montana Newsroom

DEQ Requests Comments on Draft Coal Mining Bonding Guidance Document

Department of Environmental Quality
  • August 21 2025
The Montana Department of Environmental Quality (DEQ) is seeking public comment on a draft guidance document for determining performance reclamation bonds at coal mines. The guidance document will be used by DEQ to determine the appropriate level of performance reclamation bond to be held by DEQ, to ensure complete reclamation in the event a permittee is unable or unavailable to complete reclamation.
 
DEQ will accept public comments until Oct. 20, 2025. A public meeting is scheduled for Sept. 9, 2025, at the Billings Hotel and Convention Center located at 1223 Mullowney Lane, Billings, MT 59101, from 5-8 p.m. A copy of the draft guidance document is available on the DEQ website.
 
“DEQ is excited to get stakeholder input for the coal mining bonding guidance. It’s an opportune time for stakeholders to weigh in on the bonding process, which has significant implications for communities throughout Montana,” said Eric Dahlgren, Mining Bureau Chief at DEQ.
 
The Montana Strip and Underground Mine Reclamation Act (MSUMRA) requires DEQ to determine and adjust the amount of bond based on the estimated cost to the State to complete reclamation in accordance with a permittee’s reclamation plan. The draft bond guidance document reflects bonding best practices and ensures consistent and adequate bonds are held by DEQ. When completed, the bonding guidance document will be used, in part, for calculating the appropriate performance reclamation bond for each coal company doing business in Montana.
 
DEQ reviews coal mine permit and amendment applications, operations and reclamation as they relate to state law. DEQ’s role in mining regulation is to provide mine oversight, oversee compliance, establish adequate bond amounts and ensure the permittee appropriately reclaims the land after mine completion.
 
To read the draft guidance document or learn how to submit a comment visit DEQ’s website.
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