(a) Any person seeking to succeed by transfer, assignment, or sale to the rights granted by a permit issued under a regulatory program shall, prior to the date of such transfer, assignment or sale:
  (1) obtain the performance bond coverage of the original permittee by:
    (A) obtaining transfer of the original bond;
    (B) obtaining a written agreement with the original permittee and all subsequent successors in interest (if any) that the bond posted by the original permittee and all successors shall continue in force on all areas affected by the original permittee and all successors, and supplementing such previous bonding with such additional bond as may be required by the Commission. If such an agreement is reached, the Commission may authorize for each previous successor and the original permittee the release of any remaining amount of bond in excess of that required by the agreement;
    (C) providing sufficient bond to cover the original permit in its entirety from inception to completion of reclamation operations; or
    (D) such other methods as would provide that reclamation of all areas affected by the original permittee is assured under bonding coverage at least equal to that of the original permittee;
  (2) provide the Commission with an application for approval of such proposed transfer, assignment, or sale, including:
    (A) the name and address of the existing permittee;
    (B) the name and address of the person proposing to succeed by such transfer, assignment, or sale and the name and address of that person's resident agent;
    (C) for surface mining activities, the same information as is required by §§12.116, 12.117, 12.118(c), 12.120 and 12.121 of this title (relating to Identification of Interests and Compliance Information; Right of Entry and Operation Information; Relationship to Areas Designated Unsuitable for Mining; Personal Injury and Property Damage Insurance Information; and Identification of Other Licenses and Permits) for applications for new permits for those activities; or
    (D) for underground mining activities, the same information as is required by §§12.156 12.157, 12.158(c), 12.160 and 12.161 of this title (relating to Identification of Interests and Compliance Information; Right of Entry and Operation Information; Relationship to Areas Designated Unsuitable for Mining; Personal Injury and Property Damage Insurance Information; and Identification of Other Licenses and Permits) for applications for new permits for those activities; and
  (3) Obtain the written approval of the Commission for transfer, assignment, or sale of rights, according to subsection (c) of this section.
(b) Public notice and comment shall apply as follows:
  (1) the person applying for approval of such transfer, assignment or sale of rights granted by a permit shall advertise the filing of the application in a newspaper of general circulation in the locality of the operations involved, indicating the name and address of the applicant, the original permittee, the number and particular geographic location of the permit, and the address to which written comments may be sent under this subsection; and
  (2) any person whose interests are or may be adversely affected, including, but not limited to, the head of any local, state or federal government agency may submit written comments on the application for approval to the Commission, within the time required by the regulations.
(c) The Commission may, upon the basis of the applicant's compliance with the requirements of subsections (a) and (b) of this section, grant written approval for the transfer, sale, or assignment of rights under a permit, if it first finds, in writing, that:
  (1) the applicant is eligible to receive a permit in accordance with this chapter;
  (2) the applicant will conduct the operations covered by the permit in accordance with the criteria specified in §§12.200 - 12.205, 12.216 and 12.217 of this title (relating to Requirements for Permits for Special Categories of Mining; Criteria for Permit Approval or Denial; and Criteria for Permit Approval or Denial: Existing Structures) and the requirements of the Act and this chapter;
  (3) the applicant has, in accordance with §12.232(a)(1) of this title (relating to Transfer, Assignment, or Sale of Permit Rights: Obtaining Approval), submitted a performance bond or other guarantee as required by Subchapter J of this chapter (relating to Bond and Insurance Requirements for Surface Coal Mining and Reclamation Operations), and at least equivalent to the bond or other guarantee of the original permittee; and
  (4) the applicant will continue to conduct the operations involved in full compliance with the terms and conditions of the original permit, unless and until it has obtained a new permit in accordance with this subchapter as required in §12.233 of this title (relating to Requirements for New Permits for Persons Succeeding to Rights Granted under a Permit).
(d) The Commission shall notify the permittee, the successor, commentors, and OSM of its findings.
(e) The successor shall immediately notify the Commission of the consummation of the transfer, assignment, or sale of permit rights.

Source Note: The provisions of this §12.232 adopted to be effective April 7, 1997, 22 TexReg 3093; amended to be effective February 24, 2014, 39 TexReg 1121