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Division of Financial Responsibility

Underground Injection Control

A surety bond or cash bond in an amount adequate to allow proper plugging and abandonment of the well(s) is required from the owner or operator of an injection well for Class I, II and III wells. Financial assurance may also be required for Class V wells at the Commissioner's discretion. The permitting staff of the Underground Injection Control Program assist applicants in determining whether financial assurance is required for their facilities and in what amount. View the Underground Injection Control Permit page. After the required amount is determined, the staff of the Division of Financial Responsibility works with permittees to ensure that they select a financial assurance mechanism that meets state requirements.

For further information regarding the permitting process, please contact Scotty Sorrells in the Division of Water Resources at Scotty.Sorrells@tn.gov or 615-532-9224.

The following financial assurance mechanisms are allowed. Please click on the links below for the language required. The financial institution/surety should use the language in the files to issue an original instrument on the institution's letterhead or in its standard instrument format.

The use of cash/certified check is also allowed to satisfy the financial responsibility requirement for underground injection control.

Note: The instrument language is provided here as a convenience. Please consult with your legal counsel and the TDEC Division of Financial Responsibility before submitting a financial instrument.