HOUSE BILL REPORT

SB 5250

BYSenators Sutherland and Amondson

Reclaiming land at surface mining sites.

House Committe on Natural Resources & Parks

Majority Report:  Do pass.  (11)

      Signed by Representatives Belcher, Chair;K. Wilson, Vice Chair; Beck, Ranking Republican Member; Brumsickle, Dellwo, Ferguson, Fisher, Fuhrman, Hargrove, Raiter and Sayan.

House Staff:Bill Koss (786-7196)

AS PASSED HOUSE APRIL 14, 1989

BACKGROUND:

The Department of Natural Resources regulates the reclamation of land that has been disturbed due to surface mining.

Before a mining operator can begin mining operations, the operator must obtain a permit from the department that includes an approved reclamation plan.  The permit authorizes operation for the period required to mine the land, which, in some cases, lasts several years.

Upon receipt of a permit, an operator must deposit an acceptable performance bond with the Department of Natural Resources unless the operator is a public or governmental agency.  DNR determines the amount of the bond, which is based upon the estimated cost to reclaim any land disturbed during the ensuing 12 months, plus any already disturbed land requiring reclamation.

The department has available several methods of enforcing compliance with statutory regulations and conditions contained in permits.  The department may suspend mining operations and can enforce the suspension by a civil penalty of not more than $500 per violation.  Each day of non-compliance is a separate violation.  The department may also seize the performance bond or impose a mechanic's lien on the property.  The department may use one, or a combination of all, of the methods of enforcement.

All department methods of enforcement are taken against the mining operator except the mechanic's lien.  In many cases, the landowner leases his or her property to a mining operator who secures the necessary permits and satisfies the bonding requirements.  The landowner may have no other involvement in the operation until enforcement action is taken by the department in the form of a mechanic's lien placed on his or her property.

SUMMARY:

The Department of Natural Resources may not use a mechanic's lien against the landowner to obtain funds to reclaim the mined land.

Fiscal Note:      Available.

House Committee ‑ Testified For:    Senator Sutherland; Myrom G. Smith, citizen; Bill Lingley, Department of Natural Resources: neither for nor against.

House Committee - Testified Against:      None Presented.

House Committee - Testimony For:    In some instances, a landowner might face a large bill from the state to reclaim land where the mine operator failed to complete the reclamation.  Because the landowner may not be able to estimate reclamation costs and is not aware of the bond requirement DNR places on the operator, the state should not hold the landowner ultimately responsible.

House Committee - Testimony Against:      None Presented.