(a) Creation of fund.--All funds received by the secretary under this act from license fees, civil or criminal penalties, permit fees, forfeiture of bonds, cash deposits and securities, as well as costs recovered under the act of June 22, 1937 (P.L. 1987, No. 394), known as The Clean Streams Law,¹ shall be held by the State Treasurer in a special fund, separate and apart from all other moneys in the State Treasury, to be known as the Noncoal Surface Mining Conservation and Reclamation Fund; shall be used by the secretary for the purpose of the revegetation or reclaiming of land affected by surface mining of any minerals, for restoration or replacement of water supplies affected by surface mining operations or for any other conservation purposes provided by this act; and, for such purposes, are specifically appropriated to the department by this act.

(b) Earmarked funds.--Funds received from the forfeiture of bonds, both surety and collateral, shall be expended by the secretary for reclaiming and planting the area of land affected by the operation upon which liability was charged on the bond if the secretary determines the expenditure to be reasonable, necessary and physically possible. Any funds received from the forfeited bonds in excess of the amount that is required to reclaim and plant the area of land affected by the operation upon which liability was charged, and funds received from bond forfeitures where reclamation and planting is determined to be unreasonable, unnecessary or physically impossible, may be used by the secretary for any of the purposes provided in subsection (a).

(c) Transfer of existing moneys.--Moneys collected from bond forfeitures for minerals as defined in this act and moneys collected pursuant to section 4(f) of the act of May 31, 1945 (P.L. 1198, No. 418), known as the Surface Mining Conservation and Reclamation Act,² for minerals defined in this act, which moneys are presently in the Surface Mining Conservation and Reclamation Fund, shall be transferred to this fund.