Federal Government says Ohio lagging in reclaiming
May 13--COLUMBUS -- By Steve Bennish, Dayton Daily News, Ohio Knight Ridder/Tribune Business News
The federal government is threatening to take over Ohio's coal mine regulation because the state isn't reclaiming closed mines fast enough, allowing environmental hazards to linger.
In a May 4 letter, federal officials say Ohio has a 23-year history of
inadequately ensuring timely coal mine reclamation through fees on industry and
bond guarantees. The state has until August to come up with a plan.
If Ohio can't resolve the issue, the letter says, the federal government will
take over "full or partial" control of the program and require
compliance with federal rules.
Failing to reclaim the coal mines and clean them up can lead to poisoned
streams, dangerous mine openings and even landslides, among other problems,
according to the Ohio Department of Natural Resources.
Coal mine reclamation encompasses a variety of activities, including closing
underground mines and disposing of hazardous mining byproducts.
Private companies normally handle the job, and states are responsible for
overseeing the reclamation and ensuring that it meets state and federal
standards.
But additional problems ensue when mining companies go bankrupt, as has
happened in Ohio. The state is then forced to handle the cleanup, and the
federal government says that's been taking too long in Ohio -- an average of
more than five years, the letter said.
The state is millions of dollars short of funding for the timely reclamation
of recently mined land, federal officials estimate. The state has, in its
inventory, more than 20 sites in which the mining operator has not completed
reclamation and mining ended within the past two decades.
A federal takeover in Ohio could also make the state ineligible for federal
funds that pay for the reclamation of older mines classified as abandoned, the
letter said.
Michael Sponsler, chief of Ohio's Division of Mineral Resources Management,
said he's now in talks with the coal industry and federal officials to resolve
the issue. A budget proposal by state officials to satisfy federal concerns met
industry opposition in 2003, Sponsler said. The Ohio Legislature turned the
proposal down.
"I'm hopeful we can get it resolved," Sponsler said Wednesday. He
said one former 35-acre coal mine site in Belmont County has been awaiting
reclamation since the mid 1980s.
The letter from federal officials says the state has failed to require that
mining companies post a high enough bond to guarantee funding for cleanup once
mining stops. The bond ensures a clean-up even if a company goes bankrupt or
dissolves. Ohio's system requires that companies post a bond of $2,500 per acre
and pay a 3-cent tax per ton of coal mined statewide, which is then deposited in
a pool of funds. Cleanup costs are typically $7,000 per acre. The pool, which
only takes in $1.7 million annually, has proven inadequate to fill the gap,
Sponsler said.
Mike Gauldin, spokesman for the U.S. Office of Surface Mining, said potential
financial liability and environmental impact could increase with time if Ohio
doesn't resolve the issue.
"The intent of the surface mining law is to have coal mining and the
destruction it caused to the environment and landscape be a temporary
thing," he said. "Dragging it out like that means it takes longer and
land is not returned to a useful purpose."
The federal government has resorted to taking over state mining regulation in
only two cases in the past 20 years, in Oklahoma and Missouri.
In 2002, Ohio's coal mines produced more than 20 million tons worth $440
million, the Ohio Geological Survey said.
Mike Carey, president of the Ohio Coal Association, said Wednesday his group
is committed to coming up with a solution.
"We understand there is an issue and we have been working for a while to
address that issue," he said. "Hopefully, we can rectify it, and we
are getting there."
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