Bill Text: OR HB2248 | 2013 | Regular Session | Enrolled


Bill Title: Relating to mineral resources; and declaring an emergency.

Spectrum: Unknown

Status: (Passed) 2013-06-13 - Chapter 371, (2013 Laws): Effective date June 13, 2013. [HB2248 Detail]

Download: Oregon-2013-HB2248-Enrolled.html


     77th OREGON LEGISLATIVE ASSEMBLY--2013 Regular Session

                            Enrolled

                         House Bill 2248

Introduced and printed pursuant to House Rule 12.00. Presession
  filed (at the request of Governor John A. Kitzhaber, M.D., for
  State Department of Geology and Mineral Industries)

                     CHAPTER ................

                             AN ACT

Relating to mineral resources; creating new provisions; amending
  ORS 468B.055, 516.070, 517.800, 517.835, 517.840, 517.905,
  517.910, 517.915, 517.920, 517.930, 517.952, 517.953, 517.954,
  517.956, 517.958, 517.959, 517.961, 517.963, 517.965, 517.967,
  517.969, 517.971, 517.973, 517.977, 517.979, 517.982, 517.984,
  517.988, 517.989, 517.990, 517.992, 537.140, 537.211, 537.615
  and 537.625; repealing ORS 517.935, 517.940 and 517.950; and
  declaring an emergency.

Be It Enacted by the People of the State of Oregon:

                               { +
MINERAL RESOURCES + }

  SECTION 1. ORS 517.905 is amended to read:
  517.905. (1) ORS 517.910 to 517.989 only apply to surface mines
for nonaggregate minerals { + . + }   { - that do not have a
valid operating permit, a certificate of limited exemption or a
certificate of total exemption based on the inactivity of a
limited exempt site on August 16, 1981. - }
    { - (2) ORS 517.910 to 517.989 do not apply to placer mining
for gold or silver in which less than 5,000 cubic yards of
material per year are extracted. - }
   { +  (2) ORS 517.910 to 517.951 do not apply to surface mines
for nonaggregate minerals that are subject to the provisions for
consolidated operating permits set forth in ORS 517.952 to
517.989. + }
  SECTION 2. ORS 517.910 is amended to read:
  517.910. For the purposes of ORS 517.910 to 517.989:
  (1) Notwithstanding ORS 517.750 (12), 'reclamation' means the
employment in a surface mining operation of procedures reasonably
designed to minimize as much as practicable the disruption from
the surface mining operation or surface mining processing
operation  { - , including cyanide leaching or any other chemical
leaching processing at a processing site removed from the mining
site - }  and to provide for the rehabilitation of any such
surface resources through the use of plant cover, soil stability
techniques,   { - and through the use of - }  measures to protect
the surface and subsurface water resources, including but not
limited to domestic water use and agricultural water use, and
other measures appropriate to the subsequent beneficial use of

Enrolled House Bill 2248 (HB 2248-INTRO)                   Page 1

any land or water resource affected by a surface mining or
processing operation.
  (2) 'Nonaggregate minerals' means coal and metal-bearing ores,
including but not limited to ores that contain nickel, cobalt,
lead, zinc, gold, molybdenum, uranium, silver, aluminum, chrome,
copper or mercury.
  SECTION 3. ORS 517.915 is amended to read:
  517.915. (1) In addition to any other provision of law, the
State Department of Geology and Mineral Industries shall not
issue an operating permit until:
  (a) The department has received a reclamation plan that
contains but is not limited to:
  (A) A description of the proposed mining operation;
  (B) A description of what is to be mined;
  (C) The present use of the land, the planned subsequent
beneficial use of the land and a list of plant species to be
established;
  (D) The measures that will adequately conserve the quantity and
quality of the affected aquifers;
  (E) A description of any toxic or radioactive materials known
to be present in the ore, spoil, tailings, overburden or any
other material involved in the mining operation and their
approximate concentrations;
  (F) A description of how the materials described in
subparagraph (E) of this paragraph will be handled during mining
and reclamation;
  (G) Environmental baseline information as may be required by
the department; and
  (H) The name and address of the landowner, the owner of the
surface estate, the operator and any parent corporations of the
operator.
  (b) The department has received a performance bond as it may
require.
  (c) The department finds that reclamation is possible and that
the reclamation plan as approved will achieve the reclamation of
affected lands.
    { - (2) The reclamation plan, minus proprietary information,
is a public document. - }
    { - (3) - }   { + (2) + } If the department finds that
reclamation cannot be accomplished, it shall not issue an
operating permit.
    { - (4) - }   { + (3) + } The department shall obtain,
whenever possible, a list of plant species suitable for reseeding
in the area pursuant to a reclamation plan and comments on the
feasibility of permanent revegetation from the soil and water
conservation district in which the mined land is situated.
    { - (5) - }   { + (4) + } The department shall consult with
 { - the soil and water conservation district in which the mined
land is situated - }  { + affected public bodies, as defined in
ORS 174.109,  + }regarding the feasibility of reclamation, with
particular attention to possible impacts on ground water
aquifers.
  SECTION 4. ORS 517.920 is amended to read:
  517.920.   { - (1) - }  Each application for an operating
permit under ORS 517.910 to 517.989   { - or exploration permit
under this section and ORS 517.702 to 517.755, 517.790, 517.810
and 517.910 - }  shall be accompanied by a fee sufficient to
cover the costs of the State Department of Geology and Mineral
Industries in processing the application   { - and monitoring
compliance - }  as determined by the department.

Enrolled House Bill 2248 (HB 2248-INTRO)                   Page 2

    { - (2) If the application is for a chemical process mine,
the application shall be accompanied by an additional fee at each
stage of the process sufficient to cover the costs of the
department in maintaining a regulatory permit program that allows
for the extraction and processing of metals. - }
  SECTION 5. ORS 517.930 is amended to read:
  517.930.   { - (1) - }  Notwithstanding ORS 517.850, if the
State Department of Geology and Mineral Industries has reason to
believe that the provisions of an operating permit are being
violated or that a surface mining operation is being conducted
without a valid operating permit, it may inspect such surface
mining areas without prior notice.
    { - (2) In addition to the department's authority to inspect
under ORS 517.850 and subsection (1) of this section, for a
chemical process mine operating under a permit issued under ORS
517.952 to 517.989, a cooperating agency also may inspect the
mining operation to assure that the operator is complying with
conditions imposed on the operating permit by the cooperating
agency under ORS 517.982 (2). - }
  SECTION 6. ORS 517.952 is amended to read:
  517.952. As used in ORS   { - 517.702 - }   { + 517.952 + } to
517.989:
  (1) 'Affected agency' includes permitting agencies, cooperating
agencies and commenting agencies.
  (2) 'Baseline data' means information gathered to characterize
the natural and cultural environments of a mining operation site
before a mining operation begins.
    { - (3) 'Chemical process mine' means a mining and processing
operation for metal-bearing ores that uses chemicals to dissolve
metals from ore. - }
    { - (4) - }   { + (3) + } 'Commenting agency' means any
agency that makes recommendations to the State Department of
Geology and Mineral Industries or to a permitting agency
regarding permit conditions or whether to approve or deny a
permit under the consolidated application process established
under ORS 517.952 to 517.989.
    { - (5) - }   { + (4) + } 'Consolidated application' means
the single application required under ORS 517.971.
    { - (6) - }   { + (5) + } 'Cooperating agency' means an
agency that has statutory responsibility related to a
 { - chemical process mine - }  { + mining operation + } but that
does not issue a permit for the mining operation.
    { - (7) - }   { + (6) + } 'Environmental evaluation' means an
analysis prepared under ORS 517.979 to address specific impacts
of the
  { - chemical process mine - }   { + mining + } operation to
allow affected agencies to develop permit conditions.
   { +  (7) 'Gravity separation' means the separation of mineral
particles, with the aid of water or air, according to the
differences in the specific gravities of the particles.
  (8) 'Mining operation' means a surface or underground mine that
processes, produces or reclaims metal ore using a method other
than, or in addition to, gravity separation to process the
ore. + }
    { - (8) - }   { + (9) + } 'Mitigation' means the reduction of
adverse effects of a proposed   { - chemical process - }  mining
operation by considering, in the following order:
  (a) Avoiding the impact altogether by not taking a certain
action or parts of an action;

Enrolled House Bill 2248 (HB 2248-INTRO)                   Page 3

  (b) Minimizing impacts by limiting the degree or magnitude of
the action and its implementation;
  (c) Rectifying the impact by repairing, rehabilitating or
restoring the affected environment;
  (d) Reducing or eliminating the impact over time by
preservation and maintenance operations during the life of the
action by monitoring and taking appropriate corrective measures;
or
  (e) Compensating for the impact by replacing or providing
comparable substitute resources or environments.
    { - (9) - }   { + (10) + } 'Permitting agency' means an
agency that has a separate permitting authority for a
 { - proposed chemical process mine - }  { +  mining
operation + }.
    { - (10) 'Person' means any individual, partnership,
corporation, association, public interest organization, the State
of Oregon or any political subdivision, board, agency or
commission of the State of Oregon. - }
    { - (11) - }   { + (11) + } 'Project coordinating committee'
means the interagency governmental committee established in
accordance with ORS 517.965.
    { - (12) - }   { + (12) + } 'Technical review team' means the
interagency group established in accordance with ORS 517.967.
  SECTION 7. ORS 517.953 is amended to read:
  517.953. Notwithstanding the policy set forth in ORS 517.760,
the Legislative Assembly finds and declares that it is the policy
of the State of Oregon to protect the environmental, scenic,
recreational, social, archaeological and historic resources of
this state from unacceptable adverse impacts that may result from
  { - chemical process - }  mining operations, while permitting
operations that comply with the provisions set forth in ORS
517.952 to 517.989 and   { - assure - }   { + ensure + } the
protection of the public health, safety, welfare and the
environment.
  SECTION 8. ORS 517.954 is amended to read:
  517.954. ORS 517.952 to 517.989 apply only to   { - chemical
process mines for nonaggregate minerals - }   { + mining
operations as defined in ORS 517.952 + }. ORS 517.952 to 517.989
do not apply to placer mining.
  SECTION 9. ORS 517.956 is amended to read:
  517.956.   { - Any chemical process mining operation - }
 { + Mining operations  + }in Oregon shall comply with the
following   { - standards - } :
  (1)   { - Chemical process mining, including extraction,
processing and reclamation, - }   { + Mining operations  + }shall
be undertaken in a manner that minimizes environmental damage
through the use of the best available, practicable and necessary
technology to ensure compliance with environmental standards.
  (2) Protection measures for fish and wildlife shall be
consistent with policies of the State Department of Fish and
Wildlife, including:
  (a) Protective measures to maintain an objective of zero
wildlife mortality. All chemical processing solutions and
associated waste water shall be covered or contained to preclude
access by wildlife or maintained in a condition that is not
harmful to wildlife.
  (b) On-site and off-site mitigation ensuring that there is no
overall net loss of habitat value.
  (c) No loss of existing critical habitat of any state or
federally listed threatened or endangered species.

Enrolled House Bill 2248 (HB 2248-INTRO)                   Page 4

  (d) Fish and wildlife mortality shall be reported in accordance
with a monitoring and reporting plan approved by the State
Department of Fish and Wildlife.
  (e) The State Department of Fish and Wildlife shall establish
by rule standards for review of a proposed   { - chemical
process - } mining operation for the purpose of developing
conditions for fish and wildlife habitat protection that satisfy
the terms of this section for inclusion in a consolidated permit
by the State Department of Geology and Mineral Industries.
  (3) Surface reclamation of a   { - chemical process - }  mine
site shall:
  (a) Ensure protection of human health and safety, as well as
that of livestock, fish and wildlife;
  (b) Ensure environmental protection;
  (c) Require certification to the operator, by the State
Department of Fish and Wildlife and the State Department of
Agriculture, that a self-sustaining ecosystem, comparable to
undamaged ecosystems in the area, has been established in
satisfaction of the operator's habitat restoration obligations;
and
  (d) Include backfilling or partial backfilling as determined on
a case-by-case basis by the State Department of Geology and
Mineral Industries when necessary to achieve reclamation
objectives that cannot be achieved through other mitigation
activities.
  SECTION 10. ORS 517.958 is amended to read:
  517.958. Any person proposing to conduct a   { - chemical
process - } mining operation shall comply with the requirements
for the preapplication process set forth in ORS 517.961 to
517.969. The purpose of such process shall be to identify
significant issues to be addressed in the consolidated
application process set forth in ORS 517.971 to 517.987.
  SECTION 11. ORS 517.959 is amended to read:
  517.959. (1) Whenever required in ORS 517.952 to 517.989,
public notice shall include information sufficient to inform the
public of the proposed activity or event and shall include:
  (a) Notification to all permitting and cooperating agencies.
  (b) Notice by mail to each owner of property located within
one-half mile of the perimeter of the proposed site of the mining
operation. As used in this paragraph, 'owner' means the owner of
the title to real property or the contract purchaser of real
property of record as shown on the last available complete tax
assessment roll.
  (c) Notice by mail to persons on the master list.
  (d) Notice by mail to mineral claimants for claims located
within one-half mile of the proposed   { - chemical process - }
mining operation or as otherwise required by rule of a permitting
or cooperating agency.
  (e) Notice by publication in a newspaper of general circulation
in the state and in a local newspaper of general circulation in
the county or counties in which the proposed
  { - chemical process - }  mining operation is located. Notice
by publication shall be given at least once each week for two
weeks immediately preceding the action.
  (2) The notice provided pursuant to this section shall satisfy
any notice requirement of an individual permitting or cooperating
agency related to a permit included in the consolidated
application process established under ORS 517.952 to 517.989.
  (3) As used in this section, 'master list' means a consolidated
list of all interested parties compiled by the State Department

Enrolled House Bill 2248 (HB 2248-INTRO)                   Page 5

of Geology and Mineral Industries and each permitting and
cooperating agency and maintained by the department. Any person
may request in writing that the State Department of Geology and
Mineral Industries add the person's name to the agency master
list. The State Department of Geology and Mineral Industries may
establish a procedure for establishing and maintaining an agency
master list, and the governing board of the department may
establish a fee to be paid by a person requesting to be added to
the master list. The fee shall be sufficient to defray the
department's costs of mailing notices to persons on the master
list and maintaining the master list.
  SECTION 12. ORS 517.961 is amended to read:
  517.961. A prospective applicant for a  { + mining
operation + } permit   { - to operate a chemical process mining
operation - }  shall file with the State Department of Geology
and Mineral Industries a notice of intent to submit an
application and post copies of the notice along the perimeter of
the location of the proposed operation. The posting shall be
sufficient to inform the public of the intended action and a
legal description of the proposed mining operation location and
shall comply with requirements adopted by rule by the governing
board of the department.
  SECTION 13. ORS 517.963 is amended to read:
  517.963. Upon receipt of a notice of intent under ORS 517.961,
the State Department of Geology and Mineral Industries shall:
  (1) Provide notice as required under ORS 517.959. The notice
shall be sufficient to inform the public of the nature, size and
location of the proposed   { - chemical process - }  mining
operation.
  (2) Activate a project coordinating committee for the proposed
mining operation and coordinate the participation of federal
agencies, affected agencies, local government agencies and the
prospective applicant in the activities of the project
coordinating committee.
  (3) Activate a technical review team for the proposed mining
operation.
  (4) Identify to the prospective applicant all permitting and
cooperating agencies that will be participating in the
consolidated application process.
  SECTION 14. ORS 517.965 is amended to read:
  517.965. A project coordinating committee shall be composed of
representatives from the State Department of Geology and Mineral
Industries, all permitting and cooperating agencies, local
government agencies and affected federal agencies. Each
permitting and cooperating agency shall designate an appropriate
staff member to  { + serve on + } the committee. The project
coordinating committee shall share information and coordinate
county, state and federal permitting requirements in order to
avoid contradictory requirements, facilitate the exchange of
ideas, optimize communication and avoid duplicative effort. If a
 { - chemical process mine - }   { + mining operation + } is
proposed on federal land, the project coordinating committee
shall work with the affected federal agency in accordance with a
memorandum of agreement established by the department and the
federal agency to facilitate the state and federal application
process and to coordinate the two processes to the fullest extent
possible. In carrying out its responsibilities, the project
coordinating committee shall include opportunities for public
participation.
  SECTION 15. ORS 517.967 is amended to read:

Enrolled House Bill 2248 (HB 2248-INTRO)                   Page 6

  517.967. (1) A technical review team shall be composed of
representatives from the State Department of Geology and Mineral
Industries and each permitting agency and cooperating agency. The
technical review team shall:
  (a) Establish methodology guidelines to be followed in the
collection of baseline data;
  (b) Coordinate with the applicant the use of baseline data
collection methodologies as approved by the permitting and
cooperating agencies; and
  (c) Determine whether the   { - chemical process - }  mining
operation as proposed in the consolidated application complies
with   { - the standards established in - }  ORS 517.956 and any
other applicable requirements for a permit listed under ORS
517.971.
  (2) Each permitting agency and cooperating agency shall
designate an appropriate staff member to serve on the technical
review team.
  SECTION 16. ORS 517.969 is amended to read:
  517.969. (1) Upon receipt of notice from a prospective
applicant that the prospective applicant is ready to begin
collecting baseline data, the State Department of Geology and
Mineral Industries shall:
  (a) Provide notice in accordance with ORS 517.959 that the
prospective applicant intends to begin baseline data collection
and the location where additional background information may be
obtained or reviewed.
  (b) Within 30 days after receiving the notice from the
applicant, conduct two public information meetings. One public
meeting shall be conducted in the population center closest to
the site of the proposed mining operation and one public meeting
shall be conducted in a major population center for the state, as
determined by State Department of Geology and Mineral Industries.
  (c) Receive written comments from the public and affected
agencies for 45 days after receiving notice under this
subsection.
  (2) The purpose of the public informational meetings and public
comment period under subsection (1) of this section shall be to:
  (a) Identify the issues raised by the proposed   { - chemical
process - }  mining operation;
  (b) Receive information from the public that the State
Department of Geology and Mineral Industries and the permitting
and cooperating agencies may need to know in order to evaluate
the application; and
  (c) Determine the data that should be collected during the
baseline data collection phase of the consolidated application
process to address the issues identified.
  (3) Upon receipt of notice under subsection (1) of this
section, the technical review team activated under ORS 517.963
shall determine the specific methodologies to be applied by the
applicant in collecting baseline data.
  (4) The applicant shall collect data according to the
methodology established by the permitting and cooperating
agencies through the technical review team. The data collected
shall be verified by the appropriate agency in accordance with
procedures adopted by the agency.
  SECTION 17. ORS 517.971 is amended to read:
  517.971. Each applicant for a permit to operate a
 { - chemical process - }  mining operation shall submit a
consolidated application to the State Department of Geology and
Mineral Industries. The department and the permitting and

Enrolled House Bill 2248 (HB 2248-INTRO)                   Page 7

cooperating agencies shall not begin deliberating on whether to
issue a permit until the department receives an application fee
and a complete consolidated application that includes but is not
limited to:
  (1) Name and location of the proposed facility.
  (2) Name, mailing address and phone number of the applicant and
a registered agent for the applicant.
  (3) The legal structure of the applicant as filed in the
business registry with the Secretary of State and the legal
residence of the applicant.
  (4) Mineral and surface ownership status of the proposed
facility.
  (5) Baseline data, including but not limited to environmental,
socioeconomic, historical, archaeological conditions, land use
designations and special use designations in the area of the
state in which the proposed   { - chemical process - } mining
operation is located.
  (6) Appropriate maps, aerial photos, cross sections, plans and
documentation.
  (7) A proposed:
  (a) Mine plan;
  (b) Processing plan;
  (c) Water budget;
  (d) Fish and wildlife protection and mitigation plan;
  (e) Operational monitoring and reporting plan;
  (f) Reclamation and closure plan;
  (g) Plan for controlling water runoff and run on;
  (h) Operating plan;
  (i) Solid and hazardous waste management plan;
  (j) Plan for transporting and storing toxic chemicals;
  (k) Employee training plan as required by agency rule;
  (L) Seasonal or short term closure plan;
  (m) Spill prevention and credible accident contingency plan;
  (n) Post-closure monitoring and reporting plan; and
  (o) Identification of special natural areas, including but not
limited to areas designated as areas of critical environmental
concern, research natural areas, outstanding natural areas and
areas designated by the Oregon Natural Areas Plan, as defined in
state rules and federal regulations.
  (8) All information required by the permitting agencies to
determine whether to issue or deny the following permits as
applicable to the proposed operation:
  (a) Surface mining operating permits required under ORS 517.790
and 517.915;
  (b) Fill and removal permits required under ORS 196.600 to
196.905;
  (c) Permits to appropriate surface water or ground water under
ORS 537.130 and 537.615, to store water under ORS 537.400 and
impoundment structure approval under ORS 540.350 to 540.390;
  (d) National Pollutant Discharge Elimination System permit
under ORS 468B.050;
  (e) Water pollution control facility permit under ORS 468B.050;
  (f) Air contaminant discharge permit under ORS 468A.040 to
468A.060;
  (g) Solid waste disposal permit under ORS 459.205;
  (h) Permit for use of power driven machinery on forestland
under ORS 477.625;
  (i) Permit for placing explosives or harmful substances in
waters of the state under ORS 509.140;

Enrolled House Bill 2248 (HB 2248-INTRO)                   Page 8

  (j) Hazardous waste storage permit under ORS 466.005 to
466.385;
  (k) Local land use permits; and
  (L) Any other state permit required for the   { - proposed
chemical process - }  mining operation.
  (9) All other information required by the department, a
permitting agency, a cooperating agency or the technical review
team.
  SECTION 18. ORS 517.973 is amended to read:
  517.973. (1) In addition to any permit fee required by any
other permitting agency, each  { + notice of intent to submit
a + } consolidated application under ORS   { - 517.971 - }
 { + 517.961 + } shall be accompanied by an initial fee
established by the State Geologist in an amount not to exceed
 { - $606 - }  { +  $1,260 + }.
  (2)(a) Annually on the anniversary date of the issuance of each
such operating permit, each holder of an operating permit shall
pay to the State Department of Geology and Mineral Industries a
 { + renewal + } fee established by the State Geologist in an
amount not less than   { - $456 - }  { +  $2,500 + }.
  (b) In addition to the fee prescribed in paragraph (a) of this
subsection, the department may charge an additional amount not to
exceed   { - $200 - }   { + $1,200 + } for inspections made at
sites:
  (A) Where surface mining was conducted without the permit
required by ORS 517.790;
  (B) Where surface mining has been abandoned; or
  (C) Where surface mining was conducted in an area not described
in the surface mining permit.
  (3) Subject to the provisions of subsection (5) of this
section, the  { + prospective applicant or + } applicant shall
pay all expenses incurred by the department and the permitting
and cooperating agencies related to the consolidated application
process under ORS 517.952 to 517.989. These expenses may include
legal expenses, expenses incurred in processing and evaluating
the consolidated application, issuing a permit or final order and
expenses of hiring a third party contractor under ORS 517.979 and
517.980.
  (4)   { - Every applicant submitting a consolidated application
under ORS 517.952 to 517.989 shall submit the fee required under
subsection (1) of this section to the department at the same time
as the consolidated application is filed under ORS 517.971. To
the extent possible, the full cost of the process set forth in
ORS 517.952 to 517.989 shall be paid from the application fee
paid under this section. However, if such - }   { + If the + }
costs exceed the fee, the  { + prospective + } applicant  { + or
applicant + } shall pay any excess costs shown in an itemized
statement prepared by the department. In no event shall the
department and permitting and cooperating agencies incur
evaluation expenses in excess of 110 percent of the fee initially
paid unless the department provides prior notification to the
 { + prospective applicant or + } applicant and a detailed
projected budget the department believes necessary to complete
the process or a portion of the process under ORS 517.952 to
517.989. If the costs are less than the fee paid, the excess
shall be refunded to the  { + prospective applicant or + }
applicant.
  (5) All expenses incurred by the department and the permitting
and cooperating agencies under ORS 517.952 to 517.989 that are
charged to or allocated to the fee paid by  { + a prospective

Enrolled House Bill 2248 (HB 2248-INTRO)                   Page 9

applicant or + } an applicant shall be necessary, just and
reasonable.  Upon request, the department shall provide a
detailed justification for all charges to the  { + prospective
applicant or + } applicant.
  SECTION 19. ORS 517.977 is amended to read:
  517.977. (1) When all members of the technical review team
concur that the permitting agencies and the cooperating agencies
are ready to begin preparing draft permits, the State Department
of Geology and Mineral Industries shall conduct a public hearing
and accept written comments on whether the information contained
in the consolidated application is complete and sufficient to
allow the permitting agencies to determine whether to issue a
permit. The date and location of the public hearing and the
period allowed for written comment shall be established by the
department. Notice of the public hearing and comment period shall
be given in accordance with ORS 517.959.
  (2) At the conclusion of the public hearing and comment period
under subsection (1) of this section and within 90 days after the
State Department of Geology and Mineral Industries receives a
consolidated application for a   { - chemical process - } mining
operation, the department, in conjunction with all permitting and
cooperating agencies, shall make a determination of whether the
application is complete. On the basis of the determination the
department shall either:
  (a) If the permitting and cooperating agencies determine that
the consolidated application is complete, issue a notice to
proceed with the permitting process and the preparation of draft
permits; or
  (b) If the permitting and cooperating agencies determine that
additional information is necessary, notify the applicant of the
additional information that is required.
  (3) If the permitting and cooperating agencies do not require
the applicant to provide additional information as suggested at
the public hearing or comment period under subsection (1) of this
section, the agencies shall prepare a written response explaining
why the additional information is not being requested from the
applicant.
  (4) Upon receipt of any additional information requested, the
State Department of Geology and Mineral Industries shall accept
public comments related to the additional information for a
period of two weeks. Except as provided in ORS 517.978, the
department shall not conduct additional public hearings.
  SECTION 20. ORS 517.979 is amended to read:
  517.979. (1) The State Department of Geology and Mineral
Industries shall direct staff or shall hire a third party
contractor to:
  (a) Prepare an environmental evaluation;
  (b) Review baseline data submitted by the applicant; and
  (c) Review application material if a permitting agency or a
cooperating agency lacks the expertise.
  (2) The applicant shall pay costs of hiring a third party
contractor. If the applicant shows cause why a particular third
party contractor should not be allowed to perform a function
under subsection (1) of this section, the department shall hire
an alternate contractor.
  (3) The contents of the environmental evaluation under
subsection (1) of this section shall include:
  (a) An analysis of the reasonably foreseeable impacts of an
activity including catastrophic consequences { + , + } even if
the probability of occurrence is low, if the analysis is

Enrolled House Bill 2248 (HB 2248-INTRO)                  Page 10

supported by credible scientific evidence  { - , - }
 { + and + } is not based on pure conjecture   { - and is within
the rule of reason - } .
  (b) An assessment of the total cumulative impact on the
environment that results from the incremental impact of an action
when added with other past, present and reasonably foreseeable
future actions, regardless of the agency or persons that
undertake the other action, or whether the actions are on
private, state or federal land. To the extent possible, the
department shall enter into a memorandum of agreement with
federal agencies to   { - insure - }  { + ensure + } that
information required by the state in evaluating the cumulative
impact of a proposed   { - chemical process mine - }   { + mining
operation + } may be used by the applicant to satisfy federal
requirements for such an assessment.
  (c) A review and analysis of alternatives analyzed by the
applicant or a contractor hired by the applicant that:
  (A) Rigorously explores and objectively evaluates all
reasonable alternatives and briefly discusses alternatives that
were eliminated and the reasons the alternatives were eliminated;
  (B) Treats each alternative, including the proposed action, in
detail so that the permitting agencies, cooperating agencies and
the public may evaluate the comparative merits of the
alternatives; and
  (C) Identifies all alternatives within the authority of each
permitting or cooperating agency.
  (4) Upon completion of the environmental evaluation, the State
Department of Geology and Mineral Industries shall provide notice
in accordance with ORS 517.959. The notice shall state that the
environmental evaluation is complete and that the persons may
respond with written comments for a period of two weeks after the
notice is given.
  SECTION 21. ORS 517.982 is amended to read:
  517.982. (1) Based on information received at the consolidated
public hearing, from persons submitting written comments,
commenting agencies and the review of the affected agencies, each
permitting agency shall, within 45 days after the consolidated
public hearing under ORS 517.981 or within the time period
required by any applicable federal law, whichever is sooner,
approve, deny or modify the agency's permit with conditions
necessary to   { - assure - }   { + ensure + } that the
 { - chemical process - }  mining operation allowed under a
permit complies with the standards and requirements applicable to
the permit.
  (2) Each cooperating agency shall develop permit conditions
within the expertise and authority of the cooperating agency and
submit the permit conditions to the State Department of Geology
and Mineral Industries to be included as conditions on the
department's permit. The department shall not issue a permit
until each cooperating agency has submitted a written concurrence
with the terms and conditions of the permit as such pertain to
the statutory responsibility of each cooperating agency.
  (3) Upon completion of the permits, the department shall issue
a notice in accordance with ORS 517.959 to notify interested
persons that the final permits are issued.
  SECTION 22. ORS 517.984 is amended to read:
  517.984. (1) The operator, the State Department of Geology and
Mineral Industries, any other permitting agency or a cooperating
agency may request modification of a permit issued under the
process established under ORS 517.952 to 517.989.

Enrolled House Bill 2248 (HB 2248-INTRO)                  Page 11

  (2) If a permitting agency is requested to make a permit
modification that the permitting agency or a cooperating agency
finds is a significant permit modification under the provisions
of ORS 517.952 to 517.989, the agency shall notify the State
Department of Geology and Mineral Industries. The department
shall coordinate the organization of a project coordinating
committee.  The project coordinating committee shall review the
proposed modification and determine those portions of ORS 517.952
to 517.989 with which the applicant must comply. The decision of
the project review committee shall be:
  (a) Limited to those portions of the   { - chemical process
mine - }  { + mining + } operation to be modified; and
  (b) Consistent with public participation as set forth in ORS
517.952 to 517.989.
  SECTION 23. ORS 517.988 is amended to read:
  517.988. (1) The State Department of Fish and Wildlife shall
develop conditions for the protection of fish and wildlife
resources that shall be included in any permit issued by the
State Department of Geology and Mineral Industries under the
process established under ORS 517.952 to 517.989.
  (2) The State Department of Fish and Wildlife shall have the
right of ingress and egress to and from a   { - chemical
process - }  mine operating under a permit that includes
conditions imposed pursuant to subsection (1) of this section,
doing no unnecessary injury to the property of the mine operator,
to determine whether the operator is complying with such
conditions. If the State Department of Fish and Wildlife
determines that a violation has occurred, the State Department of
Fish and Wildlife shall inform the State Department of Geology
and Mineral Industries of the violation and the State Department
of Geology and Mineral Industries shall cooperate with the State
Department of Fish and Wildlife to take appropriate enforcement
action.
    { - (3) As used in this section 'chemical process mine' has
the meaning given in ORS 517.952. - }
  SECTION 24. ORS 517.989 is amended to read:
  517.989. (1) Except as provided in subsections (2) and (3) of
this section, the State Department of Geology and Mineral
Industries and all permitting and commenting agencies shall
review and take action on a consolidated application in
accordance with
  { - statutes and - }  rules in effect at the time the notice of
intent to submit an application is filed under ORS 517.961.
  (2) Subsection (1) of this section shall not apply to a
consolidated application if:
  (a) An applicant is responsible for unreasonable delays in the
processing of the application or fails to make a good faith
effort to comply with all requirements for issuance of the
permit;
  (b) Application of a statute or rule is required under federal
law or is a requirement for the state to maintain approval of or
delegation of administration of a federal program; or
  (c) The department, or a permitting agency or commenting
agency, finds that application of a rule is necessary to protect
the public from a serious threat to human health or safety.
    { - (3) Subsection (1) of this section shall not apply to
rules adopted by the Environmental Quality Commission on or
before January 1, 1995. - }
  SECTION 25. ORS 517.990 is amended to read:

Enrolled House Bill 2248 (HB 2248-INTRO)                  Page 12

  517.990. (1) A person who conducts a surface mining operation
without a valid operating permit as required by ORS 517.750 to
517.901 commits a Class A violation.
  (2) Subject to ORS 153.022, violation of any provision of ORS
517.750 to 517.901, or any rules promulgated pursuant thereto, or
of any conditions of an operating permit is a Class A violation.
  (3) Subject to ORS 153.022, violation of ORS 517.910 to
  { - 517.951 - }  { +  517.989 + }, or any rules promulgated
pursuant thereto, or of any conditions of an operating permit for
a nonaggregate surface mining operation is punishable, upon
conviction, by a fine of not more than $10,000.
  (4) Notwithstanding any other provision of the law, a person
who conducts a nonaggregate surface mining operation without a
valid operating permit as required by ORS 517.910 to
 { - 517.951 - }  { + 517.989 + } shall be punished, upon
conviction, by a fine of not more than $10,000.
  (5) A person commits a violation subject to a fine of not more
than $10,000 if the person knowingly or recklessly causes
substantial harm to human health or the environment while:
  (a) Conducting a surface mining operation without a valid
operating permit as required by ORS 517.750 to 517.901   { - or
517.905 to 517.951 - } ; or
  (b) Violating an operating permit, a reclamation plan, a
provision of this chapter or any rule adopted by the State
Department of Geology and Mineral Industries to carry out the
provisions of this chapter.
  (6) For purposes of this section, 'substantial harm to human
health or the environment' means:
  (a) Physical injury, as defined in ORS 161.015, or risk of
serious physical injury, as defined in ORS 161.015, to humans; or
  (b) Substantial damage to wildlife, plants, aquatic and marine
life, habitat or stream buffers.
  SECTION 26. ORS 517.992 is amended to read:
  517.992. (1) In addition to any other sanction authorized by
law, the governing board of the State Department of Geology and
Mineral Industries may impose a civil penalty of not less than
$200 per day and not more than $50,000 per day for any violation
of ORS   { - 517.702 - }   { + 517.952 + } to 517.989
 { - related to a chemical process mine - } , of any rules
adopted under those provisions   { - related to a chemical
process mine - } , of any orders issued under those provisions
 { - related to a chemical process mine - }  or of any conditions
of a permit issued under those provisions   { - related to a
chemical process mine - } . A penalty may be imposed under this
  { - section - }   { + subsection + } without regard to whether
the violation occurs on property covered by a permit issued under
ORS   { - 517.702 - }  { + 517.952 + } to 517.989.
  (2)(a) In addition to any other sanction authorized by law, and
subject to the limitations of paragraph (b) of this subsection,
the governing board of the State Department of Geology and
Mineral Industries may impose a civil penalty of not more than
$10,000 per day for any violation of ORS 517.702 to 517.740,
517.750 to 517.901 and 517.905 to 517.951   { - not related to a
chemical process mine - } , of any rules adopted under those
provisions   { - not related to a chemical process mine - } , of
any orders issued under those provisions   { - not related to a
chemical process mine - }  or of any conditions of a permit
issued under those provisions   { - not related to a chemical
process mine - } .

Enrolled House Bill 2248 (HB 2248-INTRO)                  Page 13

  (b) A penalty may be imposed under this subsection only if a
landowner or operator fails to complete erosion stabilization as
required by ORS 517.775 or board rules adopted to implement that
section, if the operator has failed to comply with an order
issued under ORS 517.860 or 517.880, if the operation is being
conducted in violation of conditions imposed on an operating
permit or reclamation plan pursuant to ORS 517.835 or if the
operation is being conducted:
  (A) Without a permit;
  (B) Outside the permit boundary; or
  (C) Outside a permit condition regarding boundaries, setbacks,
buffers or the placement of surface mining refuse.
  (3) Civil penalties under this section shall be imposed in the
manner provided by ORS 183.745.
  (4) Failure to pay a civil penalty that has become final under
this section shall be grounds for revocation of any permit issued
under ORS 517.702 to 517.989 to the person against whom the
penalty has been assessed.
  (5) Any civil penalty received by the State Treasurer under
this section shall be deposited in the General Fund to the credit
of the Geology and Mineral Industries Account and is continuously
appropriated to the State Department of Geology and Mineral
Industries to the extent necessary for the administration and
enforcement of the laws, rules and orders under which the penalty
was assessed.
  (6) A reclamation fund shall be established into which funds
not used as described in subsection (5) of this section shall be
deposited. This money shall be used by the State Department of
Geology and Mineral Industries for the purpose of the reclamation
of abandoned mine and drill sites.
  (7) When a single incident violates statutes, rules, board
orders or permit conditions administered by more than one agency,
the department shall coordinate with the other agencies having
civil penalty authority before imposing a civil penalty.
  (8) In implementing this section, the department shall adopt
rules that provide civil penalties that are commensurate with the
severity of violations.
  (9) A civil penalty may be imposed against the board of
directors and high managerial agents of a corporation if those
persons engage in, authorize, solicit, request, command or
knowingly tolerate the conduct for which the penalty is to be
imposed. As used in this subsection, 'agent' and 'high managerial
agent' have the meanings given those terms in ORS 161.170.
  SECTION 27. ORS 517.840 is amended to read:
  517.840.   { - (1) - }  The governing board of the State
Department of Geology and Mineral Industries shall administer and
enforce the provisions of ORS 517.702 to 517.989 and:
    { - (a) - }   { + (1) + } May conduct or cause to be
conducted investigations, research, experiments and
demonstrations and may collect and disseminate information
related to surface mining and the reclamation of surface-mined
lands.
    { - (b) - }   { + (2) + } May cooperate with other
governmental and private agencies of this state or of other
states and with agencies of the federal government, including the
reimbursement for any services provided by such agencies to the
State Department of Geology and Mineral Industries at its
request.
    { - (c) - }   { + (3) + } May apply for, accept and expend
public and private funds made available for the reclamation of

Enrolled House Bill 2248 (HB 2248-INTRO)                  Page 14

lands affected by surface mining in accordance with the purposes
of ORS 517.702 to 517.989.
    { - (d) - }   { + (4) + } May, in accordance with the
applicable provisions of ORS chapter 183, adopt rules to carry
out the provisions of ORS 517.702 to 517.989.
    { - (e) - }   { + (5) + } Shall establish by rule a program
to encourage voluntary reclamation practices that exceed the
normal reclamation standards to provide maximum enhancement and
benefits from mined lands. The program shall include incentives
and other actions that will encourage voluntary reclamation
practices.
    { - (f) - }   { + (6) + } May receive and manage abandoned
mined land funds received for abandoned mined land reclamation
from the federal government.
    { - (2) In consultation with the Department of Environmental
Quality, the board shall identify those naturally occurring
hazardous or toxic metals and minerals that, if present in
sufficient concentrations at a surface mining site, subject the
operator to the increased bond or security requirements of ORS
517.950. The metals and minerals shall include, but need not be
limited to, arsenic, mercury, lead, uranium and asbestos. - }
                               { +
CONFORMING AMENDMENTS + }

  SECTION 28. ORS 468B.055 is amended to read:
  468B.055. (1) The Department of Environmental Quality may
require that plans and specifications for the construction,
installation or modification of disposal systems, treatment works
and sewerage systems be submitted to the department for its
approval or rejection.
  (2) If the department requires that plans and specifications be
submitted under subsection (1) of this section, construction,
installation or modification may not be commenced until the plans
and specifications submitted to the department are approved. If
the disposal or discharge is for a   { - chemical process
mine - }  { +  mining operation + }, as defined in ORS
 { - 517.953 - }   { + 517.952 + }, departmental review and
approval shall be included as part of the consolidated
application process under ORS 517.952 to 517.989. Any
construction, installation or modification must be in accordance
with the plans and specifications approved by the department.
  SECTION 29. ORS 517.800 is amended to read:
  517.800. (1)(a) Except for an application for a   { - chemical
process - }  mining operation submitted under ORS
 { - 517.952 - }  { +  517.910 + } to 517.989, each applicant for
an operating permit under ORS 517.702 to 517.989 shall pay to the
State Department of Geology and Mineral Industries a fee
established by the State Geologist in an amount not to exceed
$1,260.
  (b) If an application for a new permit or an amendment to an
existing permit requires extraordinary department resources
because of concerns about slope stability or proximity to waters
of the state or other environmentally sensitive areas, the
applicant shall pay to the department an additional fee in an
amount determined by the State Geologist to be adequate to cover
the additional costs for staff and other related expenses. The
State Geologist shall consult with the applicant when determining
the amount of the fee.

Enrolled House Bill 2248 (HB 2248-INTRO)                  Page 15

  (2) Annually, each holder of an operating permit shall pay to
the department a base fee of $635, plus $0.0075 per ton of
aggregate or mineral ore extracted during the previous 12-month
period.
  (3) If a reclamation plan is changed, the operator may be
assessed for staff time and other related costs an amount not to
exceed $1,260 in addition to the annual renewal fee. { +  This
subsection does not apply to a mining operation that is subject
to the fee established by ORS 517.973 (2)(a). + }
  (4) If, at operator request, the department responds to
requests for information required by a local government in making
a land use planning decision on behalf of the operator for a
specific site, the State Geologist may require the operator to
pay the department a fee for staff time and related costs. The
department shall notify the operator in advance of the estimated
costs of providing the information, and the actual amount
assessed shall not exceed the estimate provided by the
department.
  (5) The State Geologist may require the operator of a site to
pay to the department a special inspection fee in an amount not
to exceed $200 for an inspection conducted under the following
circumstances:
  (a) Investigation of surface mining operations conducted
without the operating permit required under ORS 517.790; or
  (b) Investigation of surface mining operations conducted
outside the area authorized in an operating permit.
  (6) Upon request of an applicant or operator, the department
shall provide an itemized list and documentation of expenses used
to determine a fee under subsection (1)(b), (3) or (4) of this
section.
  (7) Notwithstanding the per ton fee established in subsection
(2) of this section, the governing board of the department may
lower to zero or raise the per ton fee up to $0.0085 if necessary
to provide financial certainty to the department or to reflect
actual expenses of the department in administering ORS 517.702 to
517.951. If the per ton fee established in subsection (2) of this
section is raised by the governing board, the additional amount
of money collected by the department shall be deposited in the
Mined Land Regulation and Reclamation Program Subaccount within
the Geology and Mineral Industries Account.
  (8) The governing board of the State Department of Geology and
Mineral Industries:
  (a) Shall adopt by rule a procedure for the administrative
review of the determinations of fees under this section.
  (b) Shall adopt rules establishing the payment date for annual
fees required under this section.
  (c) May adopt rules establishing a late fee of up to five
percent of the unpaid amount of an annual fee owed under this
section if the annual fee is more than 60 days past due.
  SECTION 30. ORS 517.835 is amended to read:
  517.835. (1) Notwithstanding ORS 517.831, the State Department
of Geology and Mineral Industries may require conditions on any
new or existing surface mining operating permit or reclamation
plan sufficient to prevent or mitigate off-site impacts to ground
water resources from the removal of water from surface mining
operations. The department may include ground water monitoring as
one of the conditions.
  (2) The department shall consult with the operator and the
Water Resources Department in assessing off-site impacts and in
developing prevention or mitigation measures prior to imposing

Enrolled House Bill 2248 (HB 2248-INTRO)                  Page 16

any conditions on an operating permit or reclamation plan
pursuant to this section.
   { +  (3) As used in this section, 'mitigation' has the meaning
given that term in ORS 517.952. + }
  SECTION 31. ORS 537.140 is amended to read:
  537.140. (1)(a) Each application for a permit to appropriate
water shall be made to the Water Resources Department on a form
prescribed by the department and shall set forth:
  (A) The name and mailing address of the applicant;
  (B) The source of water supply including the name and mailing
address of any owner of the land upon which the source of the
water supply is located;
  (C) The nature and amount of the proposed use;
  (D) The location and description of the proposed ditch, canal
or other work, including the name and mailing address of the
owner of any lands that are not owned by the applicant and that
are crossed by the proposed ditch, canal or other work even if
the applicant has obtained written authorization or an easement
from the owner;
  (E) A statement declaring whether the applicant has written
authorization or an easement permitting access to nonowned land
crossed by the proposed ditch, canal or other work;
  (F) The time within which it is proposed to begin construction;
  (G) The time required for completion of the construction;
  (H) The time for the complete application of the water to the
proposed use; and
  (I) Any other information required in the application form that
is necessary to evaluate the application as established by
statute and rule.
  (b) If for agricultural purposes, the application shall give
the legal subdivisions of the land and the acreage to be
irrigated, as near as may be.
  (c) Except as provided in subsection (2) of this section, if
for power purposes, the application shall give the nature of the
works by means of which the power is to be developed, the head
and amount of water to be utilized, and the uses to which the
power is to be applied.
  (d) If for construction of a reservoir, the application shall
give the height of dam, the capacity of the reservoir, and the
uses to be made of the impounded waters.
  (e) If for municipal water supply, the application shall give
the present population to be served, and, as near as may be, the
future requirements of the city.
  (f) If for mining purposes, the application shall give the
nature of the mines to be served, and the methods of supplying
and utilizing the water.
  (2) Any person who has applied to the Federal Energy Regulatory
Commission for a preliminary permit or an exemption from
licensing shall, at the same time, apply to the Water Resources
Department for a permit to appropriate water for a hydroelectric
project. An applicant for a permit to appropriate water for a new
hydroelectric project shall submit to the department a complete
copy of any application for the project filed with the Federal
Energy Regulatory Commission or other federal agency. If the copy
of the federal application is filed with the department at the
same time it is filed with the federal agency, at the
department's discretion such copy may fulfill the requirements
for an application under subsection (1) of this section.
  (3) Each application shall be accompanied by any map or drawing
and all other data concerning the proposed project and the

Enrolled House Bill 2248 (HB 2248-INTRO)                  Page 17

applicant's ability and intention to construct the project, as
may be prescribed by the Water Resources Commission. The
accompanying data shall be considered a part of the application.
  (4) The map or drawing required to accompany the application
shall be of sufficient quality and scale to establish the
location of the proposed point of diversion and the proposed
place of use identified by tax lot, township, range, section and
nearest quarter-quarter section along with a notation of the
acreage of the proposed place of use, if appropriate. In
addition, the department shall accept locational coordinate
information, including latitude and longitude as established by a
global positioning system. If the application is for a water
right for a municipal use, the map need not identify the proposed
place of use by tax lot.
  (5) Each application for a permit to appropriate water shall be
accompanied by the examination fee set forth in ORS 536.050 (1).
  (6) If the proposed use of the water is for operation of a
  { - chemical process mine - }   { + mining operation + } as
defined in ORS
  { - 517.953 - }   { + 517.952 + }, the applicant shall provide
the information required under this section as part of the
consolidated application under ORS 517.952 to 517.989.
  (7) Notwithstanding any provision of ORS chapter 183, an
application for a permit to appropriate water shall be processed
in the manner set forth in ORS 537.120 to 537.360. Nothing in ORS
chapter 183 shall be construed to allow additional persons to
participate in the process. To the extent that any provision in
ORS chapter 183 conflicts with a provision set forth in ORS
537.120 to 537.360, the provisions in ORS 537.120 to 537.360
shall control.
  SECTION 32. ORS 537.211 is amended to read:
  537.211. (1) The approval of an application referred to in ORS
537.140 or 537.400 shall be set forth in a water right permit
issued by the Water Resources Department. The permit shall
specify the details of the authorized use and shall set forth any
terms, limitations and conditions as the department considers
appropriate including but not limited to any applicable condition
required under ORS 537.289. A copy of the permit shall be filed
as a public record in the department. The permit shall be mailed
to the applicant, and upon receipt of the permit the permittee
may proceed with the construction of the necessary works and may
take all action required to apply the water to the designated
beneficial use and to perfect the proposed appropriation.
  (2) Except as provided in subsection (6) of this section, if an
application under ORS 537.140 or 537.400 indicates that the
applicant does not have written authorization or an easement
permitting access to nonowned land crossed by the proposed ditch,
canal or other work, the department may issue a final order
approving the application if the approval includes a condition
requiring the applicant to obtain such written authorization, or
easement or ownership of such land and to provide the department
with a copy of the written authorization, easement or evidence of
ownership.
  (3) If an application referred to in ORS 537.140 or 537.400 is
rejected, the department shall enter a written order setting
forth the reasons for the rejection. The applicant shall take no
action toward construction of the works or use of the water. The
department shall mail a copy of the order to the applicant.
  (4) The holder of a water right permit may change the point of
diversion, change the point of appropriation, change the point of

Enrolled House Bill 2248 (HB 2248-INTRO)                  Page 18

diversion to allow the appropriation of ground water or use the
water on land to which the right is not appurtenant if:
  (a) The use of water on land to which the right is not
appurtenant, the change of point of diversion or the change in
point of appropriation does not result in injury to an existing
water right;
  (b) For a proposed change in the place of use of the water, the
land on which the water is to be used is owned or controlled by
the holder of the permit and is contiguous to the land to which
the permit is appurtenant;
  (c) All other terms of the permit remain the same, including
but not limited to the beneficial use for which the water is used
and the number of acres to which water is applied;
  (d) Prior approval is obtained from the district if the water
is transported or conveyed by an irrigation district organized
under ORS chapter 545, a drainage district organized under ORS
chapter 547, a water improvement district organized under ORS
chapter 552, a water control district organized under ORS chapter
553 or a district improvement company or a corporation organized
under ORS chapter 554;
  (e) The holder of the permit provides written notice to the
department at least 60 days before making any changes to the
lands, point of diversion or point of appropriation described in
the permit;
  (f) The holder of the permit complies with the publication
requirements of ORS 540.520 (5), if applicable;
  (g) Diversion is provided with a proper fish screen, if
requested by the State Department of Fish and Wildlife; and
  (h) For a request to transfer the point of diversion to allow
the appropriation of ground water, the proposed change meets the
standards set forth in ORS 540.531 (2) or (3).
  (5) Notwithstanding the requirements of subsection (4)(b) of
this section, the holder of a water right permit may change the
place of use of all or any portion of water under the permit to
land that is not contiguous to the land to which the permit is
appurtenant if:
  (a) The change to noncontiguous land is in furtherance of
mitigation or conservation efforts undertaken for the purposes of
benefiting a species listed as sensitive, threatened or
endangered under ORS 496.171 to 496.192 or the federal Endangered
Species Act of 1973 (16 U.S.C. 1531 to 1544), as determined by
the listing agency; and
  (b) All other requirements of subsection (4) of this section
are met.
  (6) For an application made by or on behalf of a public
corporation, the department may issue a permit approving the
application without requiring the applicant to obtain prior
written authorization or an easement permitting access to
nonowned lands affected by the proposed project. However, nothing
in this subsection shall be construed to allow any person to
trespass on the lands of another person.
  (7) When the department receives notice under subsection (4)(e)
of this section, the department shall publish the notice in the
department's weekly public notice of water right applications.
  (8) If the use of water under the permit is for operation of a
 { - chemical process mine - }   { + mining operation + } as
defined in ORS
  { - 517.953 - }   { + 517.952 + }:
  (a) Review of the application and approval or denial of the
application shall be coordinated with the consolidated

Enrolled House Bill 2248 (HB 2248-INTRO)                  Page 19

application process under ORS 517.952 to 517.989. However, such
review and approval or denial shall take into consideration all
policy considerations for the appropriation of water as set forth
in this chapter and ORS chapter 536.
  (b) The permit may be issued for exploration under ORS 517.702
to 517.740, but the permit shall be conditioned on the
applicant's compliance with the consolidated application process.
  (c) The permit shall include a condition that additional
conditions may be added to the use of water when a water right
certificate is issued, or when the use of water is changed
pursuant to ORS 540.520 and 540.530 to use for a   { - chemical
process - }  mine   { - operation - } .
  (9) As used in this section, 'contiguous' includes land
separated from the land to which a water right is appurtenant by
roads, utility corridors, irrigation ditches or publicly owned
rights of way.
  SECTION 33. ORS 537.615 is amended to read:
  537.615. (1) Any person or public agency intending to acquire a
wholly new right to appropriate ground water or to enlarge upon
any existing right to appropriate ground water, except for any
purpose exempt under ORS 537.545, shall apply to the Water
Resources Department for and be issued a permit before
withdrawing or using the ground water.
  (2) The application for a permit shall be in a form prescribed
by the department and shall contain:
  (a) The name and post-office address of the applicant.
  (b) The nature of the use by the applicant of the ground water
for which the application is made.
  (c) The dates of the beginning and completion of the
construction of any well or other means of developing and
securing the ground water.
  (d) The date when the ground water will be completely applied
to the proposed beneficial use.
  (e) The amount of ground water claimed.
  (f) If the ground water is to be used for irrigation purposes,
a description of the lands to be irrigated, giving the number of
acres to be irrigated in each 40-acre legal subdivision.
  (g) The depth to the water table, if known.
  (h) The location of each well with reference to government
survey corners or monuments or corners of recorded plats.
  (i) The proposed depth, diameter and type of each well, and the
kind and amount of the casing.
  (j) The estimated capacity of each well and each well pump in
gallons per minute, and the horsepower of each well pump motor.
  (k) If the ground water is artesian or other ground water not
requiring pumping, the rate of flow in gallons in such manner as
the Water Resources Commission may prescribe.
  (L) If the ground water supply is supplemental to an existing
water supply, identification of any application for a permit,
permit, certificate or adjudicated right to appropriate water
made or held by the applicant.
  (m) Any other information as the department considers necessary
to evaluate the application.
  (3) Each application for a permit shall be accompanied by any
maps and drawings the department considers necessary.
  (4) The map or drawing required to accompany the application
shall be of sufficient quality and scale to establish the
location of the proposed point of diversion and the proposed
place of use identified by tax lot, township, range, section and
nearest quarter-quarter section along with a notation of the

Enrolled House Bill 2248 (HB 2248-INTRO)                  Page 20

acreage of the proposed place of use, if appropriate. In
addition, the department shall accept locational coordinate
information, including latitude and longitude as established by a
global positioning system. If the application is for a water
right for a municipal use, the map need not identify the proposed
place of use by tax lot.
  (5) Each application for a permit to appropriate water shall be
accompanied by the examination fee set forth in ORS 536.050 (1).
  (6) If the proposed use of the water is for   { - the operation
of a chemical process mine - }   { + a mining operation + } as
defined in ORS
  { - 517.953 - }   { + 517.952 + }, the applicant shall provide
the information required under this section as part of the
consolidated application under ORS 517.952 to 517.989.
  (7) Notwithstanding any provision of ORS chapter 183, an
application for a permit to appropriate ground water shall be
processed in the manner set forth in ORS 537.505 to 537.795.
Nothing in ORS chapter 183 shall be construed to allow additional
persons to participate in the process. To the extent that any
provision in ORS chapter 183 conflicts with a provision set forth
in ORS 537.505 to 537.795, the provisions in ORS 537.505 to
537.795 shall control.
  SECTION 34. ORS 537.625 is amended to read:
  537.625. (1) If, after the contested case hearing or, if a
hearing is not held, after the close of the period allowed to
file a protest, the Water Resources Director determines that the
proposed use does not ensure the preservation of the public
welfare, safety and health as described in ORS 537.525, the
director shall issue a final order rejecting the application or
modifying the proposed final order as necessary to ensure the
preservation of the public welfare, safety and health as
described in ORS 537.525. If, after the contested case hearing
or, if a hearing is not held, after the close of the period
allowed to file a protest, the director determines that the
proposed use would ensure the preservation of the public welfare,
safety and health as described in ORS 537.525, the director shall
issue a final order approving the application or otherwise
modifying the proposed final order. A final order may set forth
any of the provisions or restrictions to be included in the
permit concerning the use, control and management of the water to
be appropriated for the project.
  (2) If a contested case hearing is not held:
  (a) Where the final order modifies the proposed final order,
the applicant may request and the Water Resources Department
shall schedule a contested case hearing as provided under ORS
537.622 (3) by submitting the information required for a protest
under ORS 537.621 (7) within 14 days after the director issues
the final order. However, the issues on which a contested case
hearing may be requested and conducted under this paragraph shall
be limited to issues based on the modifications to the proposed
final order.
  (b) Only the applicant or a protestant may appeal the
provisions of the final order in the manner established in ORS
chapter 183 for appeal of order other than contested cases.
  (3) If the presumption of public welfare, safety and health
under ORS 537.621 (2) is overcome, then before issuing a final
order, the director or the Water Resources Commission, if
applicable, shall make the final determination of whether the
proposed use or the proposed use as modified in the proposed

Enrolled House Bill 2248 (HB 2248-INTRO)                  Page 21

final order would preserve the public welfare, safety and health
as described in ORS 537.525 by considering:
  (a) The conservation of the highest use of the water for all
purposes, including irrigation, domestic use, municipal water
supply, power development, public recreation, protection of
commercial and game fishing and wildlife, fire protection,
mining, industrial purposes, navigation, scenic attraction or any
other beneficial use to which the water may be applied for which
it may have a special value to the public.
  (b) The maximum economic development of the waters involved.
  (c) The control of the waters of this state for all beneficial
purposes, including drainage, sanitation and flood control.
  (d) The amount of waters available for appropriation for
beneficial use.
  (e) The prevention of wasteful, uneconomic, impracticable or
unreasonable use of the waters involved.
  (f) All vested and inchoate rights to the waters of this state
or to the use of the waters of this state, and the means
necessary to protect such rights.
  (g) The state water resources policy.
  (4) Upon issuing a final order, the Water Resources Department
shall notify the applicant and each person who submitted written
comments or protests or otherwise requested notice of the final
order and send a copy of the final order to any person who
requested a copy and paid the fee required under ORS 536.050
(1)(p).
  (5) A right to appropriate ground water under a permit has a
priority from the date when the application was filed with the
department.
  (6) If the use of water under the permit is for operation of a
 { - chemical process mine - }   { + mining operation + } as
defined in ORS 517.952:
  (a) Review of the application and approval or denial of the
application shall be coordinated with the consolidated
application process under ORS 517.952 to 517.989. However, such
review and approval or denial shall take into consideration all
policy considerations for the appropriation of water as set forth
in this chapter and ORS chapter 536.
  (b) The permit may be issued for exploration under ORS 517.702
to 517.740, but the permit shall be conditioned on the
applicant's compliance with the consolidated application process.
  (c) The permit shall include a condition that additional
conditions may be added to the use of water when a water right
certificate is issued, or when the use of water is changed
pursuant to ORS 540.520 and 540.530 to use for a   { - chemical
process mine - }   { + mining + } operation.
  SECTION 35. ORS 516.070 is amended to read:
  516.070. (1) There is established in the General Fund of the
State Treasury an account to be known as the Geology and Mineral
Industries Account. All moneys received by the State Department
of Geology and Mineral Industries shall be paid over to the State
Treasurer and by the State Treasurer deposited in the General
Fund to the credit of the account. All moneys within the account
are continuously appropriated for the use of the department in
carrying out its lawful functions.
  (2) The Federal Locatable Mineral Royalties Subaccount is
established within the Geology and Mineral Industries Account.
Notwithstanding subsection (1) of this section, all moneys
received from the federal government by the State of Oregon as
the state's distributive share of the amounts collected for

Enrolled House Bill 2248 (HB 2248-INTRO)                  Page 22

royalties for locatable minerals shall be credited to the
subaccount. All moneys in the Federal Locatable Mineral Royalties
Subaccount are continuously appropriated to the State Department
of Geology and Mineral Industries to conduct investigations of
new mineral resources and to carry out the provisions of ORS
517.840   { - (1)(f) - }  { + (6) + }.
  (3) The State Treasurer may invest and reinvest the moneys in
the Federal Locatable Mineral Royalties Subaccount as provided in
ORS 293.701 to 293.820. Interest from the moneys deposited in the
subaccount and earnings from investment of the moneys in the
subaccount shall be credited to the subaccount.
  (4) The Mined Land Regulation and Reclamation Program
Subaccount is established within the Geology and Mineral
Industries Account. Notwithstanding subsection (1) of this
section, all moneys received by the State Department of Geology
and Mineral Industries from fees assessed pursuant to ORS 517.800
shall be credited to the subaccount. All moneys in the subaccount
are continuously appropriated to the department for the purpose
of administering ORS 517.702 to 517.951.

                               { +
REPEALS + }

  SECTION 36.  { + ORS 517.935, 517.940 and 517.950 are
repealed. + }

                               { +
MISCELLANEOUS + }

  SECTION 37.  { + The unit captions used in this 2013 Act are
provided only for the convenience of the reader and do not become
part of the statutory law of this state or express any
legislative intent in the enactment of this 2013 Act. + }
  SECTION 38.  { + The amendments to ORS 517.973 by section 18 of
this 2013 Act apply to:
  (1) Notices of intent to submit a consolidation application
filed with the State Department of Geology and Mineral Industries
on or after the operative date specified in section 39 of this
2013 Act.
  (2) Renewal fees for operating permits paid to the department
on or after the operative date specified in section 39 of this
2013 Act.
  (3) Inspections made at sites by the department on or after the
operative date specified in section 39 of this 2013 Act. + }
  SECTION 39.  { + (1) Except as provided in subsection (2) of
this section, the repeal of ORS 517.935, 517.940 and 517.950 by
section 36 of this 2013 Act and the amendments to ORS 468B.055,
516.070, 517.800, 517.835, 517.840, 517.905, 517.910, 517.915,
517.920, 517.930, 517.952, 517.953, 517.954, 517.956, 517.958,
517.959, 517.961, 517.963, 517.965, 517.967, 517.969, 517.971,
517.973, 517.977, 517.979, 517.982, 517.984, 517.988, 517.989,
517.990, 517.992, 537.140, 537.211, 537.615 and 537.625 by
sections 1 to 35 of this 2013 Act become operative on January 1,
2014.
  (2) The governing board of the State Department of Geology and
Mineral Industries may adopt rules or take any other action
before the operative date specified in subsection (1) of this
section that is necessary to implement, on or after the operative
date specified in subsection (1) of this section, the repeal of
ORS 517.935, 517.940 and 517.950 by section 36 of this 2013 Act

Enrolled House Bill 2248 (HB 2248-INTRO)                  Page 23

and the amendments to ORS 468B.055, 516.070, 517.800, 517.835,
517.840, 517.905, 517.910, 517.915, 517.920, 517.930, 517.952,
517.953, 517.954, 517.956, 517.958, 517.959, 517.961, 517.963,
517.965, 517.967, 517.969, 517.971, 517.973, 517.977, 517.979,
517.982, 517.984, 517.988, 517.989, 517.990, 517.992, 537.140,
537.211, 537.615 and 537.625 by sections 1 to 35 of this 2013
Act. + }
  SECTION 40.  { + This 2013 Act being necessary for the
immediate preservation of the public peace, health and safety, an
emergency is declared to exist, and this 2013 Act takes effect on
its passage. + }
                         ----------

Passed by House May 28, 2013

    .............................................................
                             Ramona J. Line, Chief Clerk of House

    .............................................................
                                     Tina Kotek, Speaker of House

Passed by Senate June 6, 2013

    .............................................................
                              Peter Courtney, President of Senate

Enrolled House Bill 2248 (HB 2248-INTRO)                  Page 24

Received by Governor:

......M.,............., 2013

Approved:

......M.,............., 2013

    .............................................................
                                         John Kitzhaber, Governor

Filed in Office of Secretary of State:

......M.,............., 2013

    .............................................................
                                   Kate Brown, Secretary of State

Enrolled House Bill 2248 (HB 2248-INTRO)                  Page 25
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