West Virginia Regulatory Program, 19262-19273 [2024-05682]
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19262
§ 165.45
review.
Federal Register / Vol. 89, No. 53 / Monday, March 18, 2024 / Rules and Regulations
Standard for administrative
CBP will apply a de novo standard of
review and will render a determination
appropriate under law according to the
specific facts and circumstances on the
record. For that purpose, CBP will
review the entire administrative record
upon which the determination as to
evasion was made, the timely and
properly filed request(s) for review and
responses, and any additional
information that was received in
response to a request by CBP pursuant
to § 165.44. The administrative review
will be completed within 60 business
days of the commencement of the
review.
■ 23. Section § 165.46 is amended by:
■ a. Removing in paragraph (a) the
acronym ‘‘EAPA’’ and adding in its
place the acronym ‘‘TFTEA’’; and
■ b. Revising paragraph (b).
The revision reads as follows:
§ 165.46 Final administrative
determination.
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(b) Effect of the administrative review.
If the administrative review affirms the
determination as to evasion, then no
further CBP action is needed. If the
administrative review reverses the
determination as to evasion, then CBP
will take appropriate actions consistent
with the administrative review.
Robert F. Altneu,
Director, Regulations & Disclosure Law
Division, Regulations & Rulings, Office of
Trade, U.S. Customs and Border Protection.
Aviva R. Aron-Dine,
Acting Assistant Secretary of the Treasury
for Tax Policy.
[FR Doc. 2024–04713 Filed 3–15–24; 8:45 am]
BILLING CODE 9111–14–P
DEPARTMENT OF THE INTERIOR
Office of Surface Mining Reclamation
and Enforcement
30 CFR Part 948
[SATS No. WV–118–FOR (partial); Docket
ID: OSM–2011–0009; SATS No. WV–126–
FOR; Docket ID: OSM–2019–0012; S1D1S
SS08011000 SX064A000 220S180110;S2D2S
SS08011000 SX064A000 220XS501520]
West Virginia Regulatory Program
Office of Surface Mining
Reclamation and Enforcement, Interior.
ACTION: Final rule; approval of
amendment in part, disapproval of
amendment in part.
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AGENCY:
We, the Office of Surface
Mining Reclamation and Enforcement
SUMMARY:
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(OSMRE), are approving amendments to
the West Virginia regulatory program
(the West Virginia program) under the
Surface Mining Control and
Reclamation Act of 1977 (SMCRA or the
Act). These amendments make changes
to the West Virginia Surface Coal
Mining and Reclamation Act
(WVSCMRA), the Code of West Virginia
(W.Va. Code), and the West Virginia
Code of State Rules (CSR).
DATES: This rule is effective April 17,
2024.
FOR FURTHER INFORMATION CONTACT: Mr.
Michael Castle, Acting Director,
Charleston Field Office, Telephone:
(859) 260–3900. Email: osm-chfo@
osmre.gov.
SUPPLEMENTARY INFORMATION:
I. Background on the West Virginia Program
II. Submission of the Amendment
III. OSMRE’s Finding
IV. Summary and Disposition of Comments
V. OSMRE’s Decision
VI. Statutory and Executive Order Reviews
I. Background on the West Virginia
Program
Subject to OSMRE’s oversight, section
503(a) of the Act permits a State to
assume primacy for the regulation of
surface coal mining and reclamation
operations on non-Federal and nonIndian lands within its borders by
demonstrating that its program includes,
among other things, State laws and
regulations that govern surface coal
mining and reclamation operations in
accordance with the Act and consistent
with the Federal regulations. See 30
U.S.C. 1253(a)(1) and (7). Based on these
criteria, the Secretary of the Interior
conditionally approved the West
Virginia program on January 21, 1981.
You can find background information
on the West Virginia program, including
the Secretary’s finding, the disposition
of comments, and conditions of
approval of the West Virginia program
in the January 21, 1981, Federal
Register (46 FR 5915). You can also find
later actions concerning West Virginia’s
program and program amendments at 30
CFR 948.10, 948.12, 948.13, 948.15, and
948.16.
II. Submission of the Amendment
WV–118–FOR
By letter dated April 25, 2011,
received by us on May 2, 2011
(Administrative Record Number WV–
1561), the West Virginia Department of
Environmental Protection (WVDEP)
submitted an amendment to its program
under SMCRA, docketed as WV–118–
FOR. The proposed amendment consists
of regulatory revisions to the West
Virginia Surface Mining Reclamation
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Regulations at CSR Title 38, Series 2, as
contained in Committee Substitute for
Senate Bill 121 of 2011. See 2011 W.Va.
Acts ch. 109. As is discussed more fully
below, because West Virginia has made
multiple submissions with respect to
the same or similar provisions of statue
and regulations, only a portion of the
original submission from West Virginia
will be addressed in this final rule. The
remaining portion of WV–118 will be
addressed in a subsequent final rule.
Relevant to this Notice, Senate Bill
121 authorizes regulatory revisions
codifying an emergency rule issued on
December 16, 2009, which amend the
existing West Virginia coal mining
regulations by adding trust funds and
annuities as approved forms of financial
assurance instruments.
We announced receipt of the
proposed amendment in the November
2, 2011, Federal Register (76 FR 67637).
In the same notice, we opened a public
comment period and provided an
opportunity for a public hearing on
these provisions (Administrative Record
Number WV–1573). The public
comment period closed on December 2,
2011. We received responses from three
Federal agencies stating that they had
no comments.
WV–126–FOR
By letters dated May 2, 2018
(Administrative Record Nos. WV–
1613A, in part, and WV–1613B),
WVDEP submitted an amendment to its
program under SMCRA, docketed as
WV–126–FOR. The amendment
contains revisions to the WVSCMRA
and the West Virginia Surface Mining
Reclamation Regulations at CSR 38–2–1
et seq., as contained in Committee
Substitutes for Senate Bills 163 and 626
of 2018. See 2018 W.Va. Acts chs. 141,
152.
Senate Bill 163 seeks to revise
regulatory provisions involving
definitions, reclamation, the
environmental security account for
water quality, water quality
enhancement and modifying sections on
incremental bonding, release of bonds,
forfeiture of bonds, effluent limitations,
and blasting.
Senate Bill 626 seeks to revise
statutory provisions about the method
in which permit applications, permit
revisions, and informal conferences are
advertised under WVSCMRA and make
several editorial corrections about items
such as position titles and agency
names.
We announced the receipt of the
proposed amendment in the February
14, 2020, Federal Register (85 FR 8497).
In the same document, we opened the
public comment period and provided an
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opportunity for a public hearing or
meeting on the adequacy of the
amendment. The public comment
period ended on March 16, 2020. We
did not hold a public hearing or meeting
because one was not requested. We
received one public comment that is
addressed below in the Public
Comments section of part IV, Summary
and Disposition of Comments.
When announcing the proposed
amendment, we removed the blasting
portion of Senate Bill 163 from the
proposed rule and subsequently
announced it on February 10, 2020, (85
FR 7476), as a part of the West Virginia
program amendment WV–123–FOR.
West Virginia had previously submitted
an amendment to its blasting regulations
that had not been approved; therefore,
in order to keep all changes to the
blasting regulations together, we
consolidated them into WV–123–FOR.
WVDEP-Division of Mining and
Reclamation (DMR) sent a letter to the
Regional Director, Interior Regions 1
and 2, dated February 3, 2020. In its
letter, West Virginia asked us to
prioritize part of the WV–118–FOR
submission, in particular changes to
CSR 38–2–11.3.f pertaining to financial
assurance requirements, which also
relates to requirements to release bonds
and forfeiture of bonds. These changes
are discussed in detail below.
newspaper of general circulation in the
locality of the proposed permit area at
least once a week for four successive
weeks and add in its place a
requirement that an applicant’s
advertisement must be on a form and in
a manner prescribed by the Secretary,
which manner may be electronic.
OSMRE Finding: We are not
approving this section of the
amendment as it is less stringent than
sections 507(b)(6) and 513(a) of SMCRA
(30 U.S.C. 1257(b)(6) and 1263(a)) and
less effective than the Federal
regulations at 30 CFR 773.6. Updating
the public notification process to
include electronic means is desirable.
However, SMCRA specifically requires
that permit applications, significant
revisions, or renewal of a permit must
be announced with an advertisement in
a local newspaper of general circulation
in the locality of the mining and
reclamation operation at least once a
week for four consecutive weeks. As one
of the commenters notes, West Virginia
cannot ensure that electronic public
notice will reach the same audience
contemplated by SMCRA’s newspaper
requirement. Therefore, while adding
electronic means is encouraged, the
elimination of the newspaper
requirement renders the proposal less
stringent and less effective than the
Federal requirements.
III. OSMRE’s Findings
We are approving in part and
disapproving in part the revisions
proposed in WV–118 and WV–126 as
described below. We made the
following findings concerning West
Virginia’s amendment as provided
under SMCRA and the Federal
regulations at 30 CFR 732.15 and
732.17. Any revisions that we do not
specifically discuss below concerning
non-substantive wording or editorial
changes can be found in the full text of
the program amendment available at
www.regulations.gov, searchable by the
Docket ID Numbers referenced at the top
of this notice.
2. W.Va. Code 22–3–20. Public Notice;
Written Objections; Public Hearings;
Informal Conferences
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Statutory Revisions
The following describes the
substantive statutory revisions that
WVDEP submitted to OSMRE for
approval on May 2, 2018
(Administrative Record WV–1613–B)
(WV–126).
1. W.Va. Code 22–3–9(a)(6). Permit
Application Requirements and Contents
West Virginia submitted a revision to
this statutory provision that would
remove the requirement that an
applicant’s advertisement of its permit
application must be published in a
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West Virginia submitted two revisions
to this statutory provision consistent
with its proposed revision to section
22–3–9(a)(6), above. The first revision,
concerning subsection (a), would
remove the requirement that, at the time
of submission, the applicant must place
the advertisement of its permit
application or permit revision in a local
newspaper of general circulation in the
county of the proposed surface mining
operation at least once a week for four
consecutive weeks and add in its place
a requirement that the applicant must
submit to WVDEP a copy of the required
advertisement for public notice on a
form and in a manner prescribed by the
Secretary, which manner may be
electronic. The second revision,
concerning subsection (b), would
remove the requirement that the
Secretary of WVDEP must advertise the
date, time, and location of the informal
conference in a newspaper of general
circulation in the locality of the
operation at least two weeks before the
scheduled informal conference date and
add in its place that the advertisement
be on a form and in a manner prescribed
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by the Secretary, which manner may be
electronic.
OSMRE Finding: We are not
approving the proposed revision to
section 22–3–20(a) as it is less stringent
than sections 507(b)(6) and 513(a) of
SMCRA (30 U.S.C. 1257(b)(6) and
1263(a)) and less effective than the
Federal regulations at 30 CFR 773.6,
which require that permit applications,
significant revisions, or renewal of a
permit must be announced with an
advertisement in a local newspaper of
general circulation in the locality of the
mining and reclamation operation at
least once a week for four consecutive
weeks. As noted above, while updating
the public notification process to
include electronic means is desirable,
the elimination of the newspaper
requirement renders the proposal less
stringent and less effective than the
Federal requirements. For these same
reasons, we are also not approving the
proposed revision to W.Va. Code 22–3–
20(b) amending the notice requirement,
as doing so would render the provision
less stringent than section 513(b) of
SMCRA (30 U.S.C. 1263(b)) and less
effective than the Federal regulations at
30 CFR 773.6(c)(2)(ii), which require the
regulatory authority to advertise the
date, time, and location of informal
conferences in a newspaper of general
circulation in the locality of the
proposed operation.
Regulatory Revisions
The following describes substantive
regulatory revisions that WVDEP
submitted to us for approval on April
25, 2011 (Administrative Record WV–
1561) (WV–118) and May 2, 2018
(Administrative Record WV 1613–A)
(WV–126).
1. CSR 38–2–2. Definitions
West Virginia proposes to remove the
following definitions for lack of Federal
counterpart:
a. CSR 38–2–2.6. Acid Test Ratio
means the relation of quick assets to
current liabilities.
b. CSR 38–2–2.37. Completion of
Reclamation means that all terms and
conditions of the permit have been
satisfied, the final inspection report has
been approved by the Secretary, that all
applicable effluent and applicable water
quality standards are met, and the total
bond has been released.
OSMRE Findings: The term ‘‘acid test
ratio’’ has no Federal counterpart and is
not used in the existing West Virginia
regulations; the CSR defines other
terms, including ‘‘asset ratio’’ and
‘‘current ratio’’ under CSR 38–2–2
(relating to definitions); and ‘‘current
assets’’ and ‘‘current liabilities,’’ as
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defined and used under CSR 38–2–
11.3.d (relating to self-bonding), make
up the definition of ‘‘acid test ratio.’’ As
such, we have determined that the
proposed deletion does not render the
West Virginia statute or regulations
either less stringent than SMCRA or less
effective than the Federal regulations
found at 30 CFR 701.5, and we approve
of its removal.
There is no direct counterpart in the
Federal regulations for the West Virginia
defined term ‘‘completion of
reclamation.’’ This term follows the
WVSCMRA requirements that an
operator must faithfully and fully
perform all requirements of the statute
and of the permit before a bond is fully
released and reclamation is determined
to be complete. See W.Va. Code 22–3–
11; 22–3–23(c)(3).
While the Federal regulations do not
define the term ‘‘completion of
reclamation’’ they do define
‘‘reclamation’’ at 30 CFR 701.5 as ‘‘those
actions taken to restore mined land as
required by this chapter to a postmining
land use approved by the regulatory
authority’’ (emphasis added). In
addition to the term ‘‘completion of
reclamation,’’ the CSR contains a standalone term ‘‘reclamation’’ defined as
‘‘those actions taken to restore mined
land to the approved postmining land
use.’’ Notably missing from the West
Virginia definition is the reminder of
the obligation to take all actions
required by the regulations including
those not solely focused on restoring
mined land to its approved postmining
land use approved by the regulatory
authority.
The Federal regulations at 30 CFR
732.15 clarify that the State’s laws and
regulations, collectively, must be in
accordance with SMCRA and consistent
with the Federal regulations. We have
previously found the CSR definition of
‘‘reclamation’’ to be no less effective
than the Federal requirements when the
regulations are ‘‘viewed in their entirety
with WVSCMRA,’’ despite its deviation
from the Federal definition. See 55 FR
21304, 21306 (May 23, 1990)
(explaining that any provisions not
specifically discussed in this notice
were ‘‘substantively identical to the
corresponding Federal regulations in
effect on June 9, 1988, with minor
changes to improve clarity and
specificity and to incorporate State
references and terms were deemed
necessary or useful’’). While nothing in
the approved West Virginia stand-alone
definition of ‘‘reclamation’’ permits
operators to deviate from the statutory
and regulatory requirements, the term
‘‘completion of reclamation’’ offers
clarity and an unambiguous reminder of
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the obligation, similar to that in the
Federal definition of ‘‘reclamation,’’ to
take all actions required by the
regulations, not just those necessary to
achieve the approved postmining land
use as approved by the regulatory
authority. Specifically, it requires that
‘‘all terms and conditions of the permit
have been satisfied, the final inspection
report has been approved by the
Secretary, that all applicable effluent
and applicable water quality standards
are met, and the total bond has been
released.’’ The additional protections
incorporated in the term ‘‘completion of
reclamation’’ are now proposed to be
removed. When taken together, the two
approved terms ‘‘reclamation’’ and
‘‘completion of reclamation’’ made the
West Virginia program no less effective
than the Federal regulations. The
current proposal to remove one of the
two terms would make the West
Virginia program collectively less
effective than the Federal regulations in
that it would create an ambiguity in the
requirement to take all actions required
by the regulations beyond those
immediately necessary to restore mined
land to a postmining land use approved
by the regulatory authority.
For example, we first relied upon the
definition of the term ‘‘completion of
reclamation’’ when we approved the
definition of the term ‘‘disturbed area’’
currently in W.Va. Code 22–3–3(j). See
46 FR 5915, 5920 (Jan. 21, 1981). In that
approval, we explained that even
though West Virginia’s definition of
‘‘disturbed area’’ lacked language from
the Federal definition prescribing that
an area is considered disturbed until the
bond is released, the definition of
‘‘completion of reclamation’’ made that
clear. Later, we relied upon the
definition of the term ‘‘completion of
reclamation’’ to remove required
amendments of the West Virginia
program with respect to its financial
assurance requirements and obligations.
West Virginia uses an approved
alternative bond system that is designed
to achieve the objectives and purposes
of section 509 of SMCRA as
implemented in 30 CFR 800.11(e)(1).
Historically, West Virginia’s alternative
bond system, commonly referred to as
the Special Reclamation Fund, has been
the subject of amendments, some
required by us to address inadequacies
of the system, eliminate the deficit in
the State’s alternative bonding system,
and ensure that sufficient money will be
available to complete reclamation.
Those obligations included the
treatment of polluted water discharged
from all bond forfeiture sites and a
requirement that moneys from the
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Special Reclamation Fund must be
used, where needed, to pay for water
treatment on bond forfeiture sites. These
required amendments were removed, in
part, based upon the existing definition
at CSR 38–2–2.37 and its role in
supporting the mandatory requirement
that bond forfeiture monies be used,
where needed, for acid mine drainage
treatment. See 60 FR 51900 (October 4,
1995); 66 FR 67446 (December 28,
2001); and 67 FR 37610, 37613–14 (May
29, 2002).
In view of the statutory and regulatory
framework and history discussed, we
conclude that the removal of the
definition ‘‘completion of reclamation’’
would render the West Virginia program
less effective than the Federal
regulations, and we are not approving
its removal.
2. CSR 38–2–9. Revegetation
CSR 38–2–9.3.d Standards for
Evaluating Vegetative Cover. West
Virginia proposes to amend this section
to remove the minimum two-year
waiting period for WVDEP to conduct a
vegetative inspection, a precondition to
a Phase II bond release. The proposal
will remove the phrase ‘‘Not less than
two (2) years following the last date of
augmented seeding’’ while retaining the
requirement: ‘‘the Secretary shall
conduct a vegetative inspection to verify
that applicable standards for vegetative
success have been met.’’
OSMRE Findings: The Federal
regulations at 30 CFR 816.116 and the
West Virginia regulations at CSR 38–2–
9.3 identify the applicable standards for
vegetative success, and 30 CFR
800.40(c) and CSR 38–2–12.2.c describe
the regulatory authority’s responsibility
to verify compliance with revegetation
requirements before releasing a
commensurate amount of bond. While
individual vegetative standards can
have timing elements associated with
their successful establishment (for
example, trees and shrubs counted to
determine the success of fish and
wildlife habitat must be in place for not
less than two growing seasons, see 30
CFR 816.116(b)(3)(ii) and CSR 38–2–
7.7.f.3 and 9.3.g), neither SMCRA nor
the Federal regulations establish a
blanket waiting period for the regulatory
authority to conduct an evaluation of
vegetative success. The two year waiting
period for inspection under the
successful revegetation standards in
CSR 38–2–9.3.d is a companion
provision to CSR 38–2–12.2.c.2, which
requires for Phase II bond release that
‘‘[n]ot less than two years after the last
augmented seeding, standards for
revegetation success have been met.’’
West Virginia also proposes to delete
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CSR 38–2–12.2.c.2, which we discuss
and approve below.
When we approved West Virginia’s
inspection frequency of inactive mines,
we explained that West Virginia’s twoyear requirement under CSR 38–2–
12.2.c.2 was more stringent than Federal
requirements. The Federal requirements
at 30 CFR 800.40(c) ‘‘require only that
revegetation be successfully established,
with the definition of ‘established’ left
to the discretion of the regulatory
authority, provided it includes
adequacy to control erosion and
compliance with the species
composition requirements of the
reclamation plan.’’ See 55 FR 21304
(May 23, 1990). When a regulatory
authority proposes to remove a
provision that is more stringent than the
Federal requirements, we must still
ensure the remaining provisions are not
rendered less stringent than those
requirements. For purposes of the
inspection following an application for
bond release, the timing of WVDEP’s
inspection under CSR 9.3.d is not
critical to a mining operator’s
achievement of the relevant vegetative
performance standard or to WVDEP’s
evaluation of whether the standard is
met. The proposed amendment to CSR
38–2–9.3.d retains West Virginia’s
commitment to verify that applicable
standards for vegetative success have
been met before the relevant portion of
bond is released and, therefore, is no
less stringent than Sections 505 and 519
of SMCRA (30 U.S.C. 1265 and 1269) or
less effective than the Federal
regulations at 30 CFR 800.40 and
816.116. Therefore, we are approving
the amendment.
3. CSR 38–2–11. Insurance and Bonding
CSR 38–2–11.3.f—Special
consideration for sites with long-term
postmining pollutional discharges. West
Virginia proposes to add a new rule
which states that, upon approval of the
WVDEP Secretary, a permittee may
establish a trust fund, annuity, or both
to guarantee treatment of long-term
postmining pollutional discharges in
lieu of posting one of the other
approved forms of bond. The new rule
subjects the trust fund or annuity to the
following conditions: (1) WVDEP will
determine the amount of the trust fund
or annuity, and that amount must be
adequate to meet all anticipated
treatment needs, including capital and
operating expenses; (2) it must be in a
form approved by WVDEP and contain
all terms and conditions required by
WVDEP; (3) it must irrevocably
establish WVDEP as the beneficiary; (4)
WVDEP will specify the investment
objectives of the instrument; (5)
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termination will only occur only as
specified by WVDEP upon its
determination that no further treatment
or other reclamation measures are
necessary, that a replacement bond or
other financial instrument has been
posted, or that the administration of the
instrument requires termination in
accordance with its purpose; (6) release
of money may be made only upon
written authorization by WVDEP or
according to a schedule established in
the trust or annuity agreement; (7) the
financial institution or company serving
as trustee or issuing the annuity must be
a bank or trust company organized or
authorized to do business in West
Virginia, a national bank chartered by
the West Virginia Office of the
Comptroller of the Currency, an
insurance company licensed or
authorized to do business in West
Virginia or designated by the West
Virginia Insurance Commissioner as an
eligible surplus lines insurer, or any
other financial institution or company
with trust powers and with offices
located in West Virginia provided that
its activities are examined or regulated
by a State or Federal agency; (8) the
trust fund or annuity must be
established in a manner that guarantees
that sufficient money is will be available
to pay for the treatment of postmining
pollutional discharges (including
maintenance, renovation, and
replacement of treatment support
facilities), the reclamation of sites upon
which the treatment facilities are
located, and areas used in support of
those facilities.
Finally, West Virginia’s new rule
specifies that when the trust fund or
annuity is in place and fully funded
sufficient to treat all discharges and
reclaim all areas involved in such
treatment, WVDEP may approve the
release of conventional bonds posted for
the permit or permit increment,
provided that apart from the pollutional
discharge covered by the trust or
annuity, the area fully meets all
applicable reclamation requirements.
The new rule further specifies that
portions of the permit required for
treatment must remain bonded, but that
the trust or annuity serves as that bond.
OSMRE Findings: SMCRA,
WVSCMRA, and their implementing
regulations require that performance
bonds or approved alternatives be
sufficient to cover treatment of longterm postmining pollutional discharges
in the event that the permittee fails to
do so. See 30 U.S.C. 1259(a) and W.Va.
Code 22–3–11. W.Va. Code 22–3–11(a)
requires that each permittee post a
performance bond conditioned upon
faithful performance of all the
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requirements of the WVSCMRA and the
permit. W.Va. Code 22–3–11(c)(2)
authorizes the Secretary of WVDEP to
‘‘approve an alternative bonding system
if it will: (A) Reasonably assure that
sufficient funds will be available to
complete the reclamation, restoration
and abatement provisions for all permit
areas which may be in default at any
time; and (B) provide a substantial
economic incentive for the permittee to
comply with all reclamation
provisions.’’ The statutory requirements
for a ‘‘reclamation plan’’ include the
measures to be taken to assure the
protection of water quality. See W.Va.
Code 22–3–10.
A prudent approach to provide
financial assurances for long-term
treatment of pollutional discharges is to
allow the permittee to establish a
dedicated income-producing account,
such as a trust fund or annuity or both,
that is held by a third party as trustee
for the regulatory authority. Neither
trust funds nor annuities are specifically
defined in WVSCMRA or SMCRA.
However, we have previously
recognized and approved trust funds as
a form of collateral bond, as well as an
alternative bonding mechanism. See 70
FR 25472 (May 13, 2005), amended at
70 FR 52916 (May 13, 2005); and 75 FR
48526 (August 10, 2010). In addition,
trust funds and annuities are approved
as options for bonding long-term
pollutional discharges in Tennessee
under our implemented Federal
regulatory program. See 30 CFR
942.800(c).
Trust funds and annuities give the
permittee a mechanism to generate a
revenue stream to fund long-term
treatment of pollutional discharges. See
72 FR 9615 (March 2, 2007). Under the
provisions West Virginia proposes, the
income stream from a fully funded trust
fund or annuity will be used to fund
treatment of postmining pollutional
discharges (including maintenance,
renovation, and replacement of
treatment and support facilities as
needed) and the reclamation of the sites
upon which treatment facilities are
located and areas used in support of
those facilities. The trust fund or
annuity will be employed in a manner
to ensure final bond release is not
permitted until all reclamation is
completed and all pollutional
discharges are eliminated or otherwise
cease to exist. The provisions West
Virginia has proposed are identical to
those we promulgated for the Tennessee
program at 30 CFR 942.780(c), with the
exception of certain agency names and
internal citations consistent with the
existence and use of these trusts and
annuities in West Virginia under the
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approved West Virginia program. We
have determined that West Virginia’s
addition of special consideration for
sites with long-term postmining
pollutional discharges is in accordance
with the provisions of SMCRA and
consistent with its implementing
Federal regulations, and we approve of
its addition.
a. CSR 38–2–11.4—Incremental
Bonding. West Virginia proposes to
amend this section to reflect the
counterpart language found at 30 CFR
800.11.
OSMRE Findings: West Virginia’s
revised language is substantively
identical to the Federal counterpart
provisions of 30 CFR 800.11 that
include incremental bonding. In its
revision, West Virginia eliminates a
prohibition in paragraph 11.4.a.2. that
reads: ‘‘Once the operator has chosen to
proceed with bonding either the entire
permit area or with incremental
bonding, he shall continue bonding in
that manner for the term of the permit.’’
The provision sought to be removed
from the West Virginia regulations is
contained verbatim in W.Va. Code 22–
3–11(a), which will remain in effect.
This limitation binding the operator’s
decision to bond either the entire permit
or by increments for the life of the
permit is not in the Federal regulations
or otherwise required under the Federal
program. Removing this limitation from
the West Virginia regulations does not
render the proposal less effective than
the Federal regulations. Therefore, we
approve the revisions proposed in CSR
38–2–11.4.
b. CSR 38–2–11.6—Environmental
Security Account for Water Quality—
West Virginia is proposing the removal
of subsection 11.6, which requires
WVDEP to study the desirability of
developing an environmental security
account for water quality. Subdivisions
(a) through (e) called for the inclusion
of: (a) a screening process for
determining which sites have the
potential for producing acid mine
drainage, (b) a process for predicting the
rate and duration of acid mine drainage,
(c) a method for estimating water
treatment costs, (d) a system to ensure
that sufficient monies will be placed in
an escrow account to provide financial
assurance that treatment will be
accomplished and maintained, and (e)
procedures to ensure the expenditure of
funds from the escrow account in the
event of default will provide water
treatment. Furthermore, subdivision
11.6.f provides that after the study is
completed, the Secretary of WVDEP
may propose regulations to implement
the environmental security account for
water quality, but the regulations will
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not become effective until approved by
the legislature. Subdivision 11.6.g
provides that the Secretary of WVDEP
will inform the legislature if statutory
changes are necessary to implement an
effective system for financial
assurances. Subdivision 11.6.h provides
that no changes proposed by this
subsection shall authorize in any way
the issuance of a permit in which acid
mine drainage is anticipated and which
would violate applicable effluent
limitations or water quality standards
without treatment. Because this study
was completed, West Virginia is
deleting this provision from its program.
OSMRE Findings: We approved these
provisions as part of a decision on the
solvency of West Virginia’s alternative
bonding system on October 4, 1995 (60
FR 51900). This provision required
WVDEP to prepare a report and submit
it to the West Virginia Legislature
within 240 days so that options could be
developed to ensure the solvency of
West Virginia’s alternative bonding
system. The study, entitled ‘‘Acid Mine
Drainage Bond Forfeiture Report’’ was
completed and submitted to the West
Virginia Legislature on December 31,
1993. This specific provision did not
modify any duties or functions under
the approved West Virginia program.
We determined that the development
of an environmental security account for
water quality could enhance the
financial status of the State’s special
reclamation fund. We noted at the time
that there was no correlating Federal
provision and that any amendments to
the program implemented as a result of
the study would have to be approved by
us. West Virginia completed the study
and has taken various actions and
approaches towards addressing the
solvency of its alternative bonding
system since that time.
The deletion of this specific provision
will not have an adverse impact on the
ability or the obligation of the West
Virginia Alternative Bonding System to
meet the criteria in 30 CFR 800.11(e),
and we are approving its removal. The
renumbering of remaining sections 38–
2–11.7 to 38–2–11.6 is likewise
approved. This finding does not express
an opinion on the solvency or status of
the State’s alternative bonding systems.
4. CSR 38–2–12. Replacement, Release
and Forfeiture of Bonds
a. CSR 38–2–12.2.a—West Virginia
proposes to add, move, and revise
language at CSR 38–2–12.2.a.3; 38–2–
12.2.a.4; 38–2–12.2.a.4.A; and 38–2–
12.2.a.4.B related to bond release. West
Virginia proposes requiring, at
paragraph 12.2.a.3, that the applicant
provide a notarized statement certifying
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applicable reclamation activities have
been accomplished. In addition, West
Virginia proposes to restructure and
revise existing language from CSR 38–2–
12.2.e, e.1, and e.2 to proposed CSR 38–
2–12.2.a.4, a.4.A, and a.4.B. Proposed
CSR 38–2–12.2.a.4 maintains but
modifies the limitation on the release or
reduction of bond if water discharged
from or affected by an operation
requires chemical or passive treatment
in order to comply with effluent
limitations. West Virginia removed ‘‘or
water quality standards’’ from the
limitation along with other verbiage
modifications. The revised language
also modifies an existing prohibition to
allow bond release to now be
considered for Phases II and III on sites
with a discharge requiring treatment so
long as the remaining bond or other
qualifying financial assurance is
adequate to assure long term treatment.
Currently, only Phase I bond release
may be considered under these
circumstances. As proposed, if the
applicant demonstrates that the
remaining bond is adequate to assure
long term treatment or the operator has
provided irrevocable financial
assurances, WVDEP may approve and
release the excess portions of the bond.
The application must address, at a
minimum, the current and projected
quantity and quality of drainage to be
treated, the anticipated duration of
treatment, and the estimated capital and
operating cost of the treatment facility,
as well as the calculations that
demonstrate the adequacy of the
remaining bond or financial assurance.
Proposed CSR 38–2–12.a.4.A makes no
changes to existing CSR 38–2–12.e.1.
Proposed CSR 38–2–12.a.4.B rephrases
portions of existing CSR 38–2–12.e.1,
adds references to the Federal and state
statutes governing water quality
treatment, removes a proviso that the
alternate arrangement provides a
mechanism by which WVDEP can
assume the treatment work in the event
of the operator’s default, and deletes
language stating that default on the
treatment obligation ‘‘shall be
considered equivalent to a bond
forfeiture,’’ while retaining that default
will subject the operator to penalties
and sanctions, including permit
blocking.
OSMRE Findings: CSR 38–2–12.2.a.3
is identical to the Federal provision at
30 CFR 800.40(a)(3), which requires
certification of all reclamation activities,
except West Virginia references ‘‘the
rules promulgated thereof’’ instead of
‘‘the regulatory program.’’ This
difference is merely editorial; therefore,
we are approving this provision. CSR
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38–2–12.2.a.4.A is identical to CSR 38–
2–12.2.e.1 as we approved it in the July
24, 1996, Federal Register (61 FR
38382), and so we are approving its
move.
The provisions at CSR 38–2–12.2.a.4
and 12.2.a.4.B include some revisions to
the language we approved in the July
24, 1996, Federal Register (61 FR
38382). While moving the language,
West Virginia has excised ‘‘or water
quality standards’’ from the previously
approved phrase ‘‘effluent limitations or
water quality standards.’’ However,
West Virginia’s performance standards
at CSR 38–2–14.5.b., both the existing
version and after the revisions we are
approving below, describe ‘‘effluent
limitations’’ broadly, incorporating all
applicable water quality laws and
regulations. Therefore, we are approving
this change.
Next, West Virginia revises the
language of paragraph 12.2.a.4 to allow
Phase II and Phase III bond release to be
considered for sites with a discharge
requiring treatment, where the existing
paragraph only allows Phase I release.
The two subparagraphs, 4.A and 4.B,
allow release only when the remaining
bond is adequate to assure long term
treatment or the operator provides an
irrevocable financial assurance adequate
to provide long term treatment. This is
consistent with our decisions approving
treatment trusts and annuities in
Pennsylvania, see 70 FR 25472, 25474
(May 13, 2005) (approving 52 P.S.
1396.4(g)(3) authorizing Phase III bond
release when the operator has made
provisions for ‘‘the sound future
treatment of pollutional discharges’’ and
other relevant requirements are met),
and Tennessee, see 72 FR 9636, 9619,
9625–26 (March 2, 2007) (promulgating
30 CFR 942.800(c)(9) providing for the
release of conventional bonds upon
providing a fully-funded trust or
annuity to provide for treatment and
otherwise meeting reclamation
requirements). However, in those
approvals we explained that the release
of conventional bonds cannot occur
until the long-term irrevocable financial
assurance is in place and fully funded
and other reclamation obligations have
been completed and that the remaining
site required for treatment must remain
bonded but the long-term financial
assurance may act as that bond. We also
explained that this action is a form of
partial bond release in accordance with
30 CFR 800.40(c). West Virginia
provides these requirements in the
proposed regulations authorizing
treatment trusts and annuities at CSR
38–2–11.3.f.8 and f.9, discussed and
approved above. However, CSR 38–2–
12.2.a.4 and a.4.B are not limited to
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trust funds and annuities. They apply
generally to any irrevocable financial
assurance in a form satisfactory to
WVDEP, which could include, for
example, a dedicated escrow account
funded through monthly deposits, see
CSR 38–2–11.3.e.2.B.1. West Virginia’s
escrow account provisions do not
separately require the account to be
fully funded before all phases of the
bond may be released. The broader
application of paragraph 12.2.a.4 and
subparagraph a.4.B justify the two
provisos, which West Virginia proposes
to delete, that the arrangement allow for
WVDEP’s management of treatment in
the event of default and that default
‘‘shall be considered equivalent to a
bond forfeiture.’’ We did not expressly
discuss those provisos when we initially
approved them under CSR 38–2–
12.2.e.2. See 61 FR 38382, 38384–85
(July 24, 1996). While these provisos
might be redundant or unnecessary
when the irrevocable financial
assurance is a trust fund (where WVDEP
is the trustee and the trust is not
collected like a bond), they might be
necessary where the financial assurance
takes a different form, such as a
dedicated escrow account, which is
allowed to be funded in monthly
installments and would require
forfeiting upon default. The proposed
revisions would leave financial security
arrangements other than trust funds and
annuities without a set of safeguards to
ensure they are fully funded and that a
permitted site remains. Therefore, the
revisions would render the West
Virginia program less effective than the
Federal regulations concerning bond
release at 30 CFR 800.40 and less
stringent than the requirements of
SMCRA. Therefore, we are approving
the renumbering of, and revisions to,
CSR 38–2–12.2.a.4 and a.4.B except the
following: from subdivision 12.2.e, now
paragraph 12.2.e.4, the deletion of the
phrase ‘‘Phase I but not Phase II or III’’
from the last sentence; and from
paragraph 12.2.e.2, now subparagraph
12.2.a.4.B, deletion of the proviso that
the financial arrangement provide a
mechanism whereby WVDEP can
assume management of the resource and
treatment work in the event of operator
default, and deletion of the proviso that
default is considered equivalent to a
bond forfeiture. Our decision regarding
these provisions does not affect our
approval above of CSR 38–2–11.3.f.8
and f.9 related specifically to the release
of conventional bonds where trust funds
and annuities meet all applicable
requirements.
b. CSR 38–2–12.2.c.—West Virginia
proposes to modify its existing language
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in this section covering the release of
bonds to make it substantively identical
to the Federal regulations found at 30
CFR 800.40(c). West Virginia is revising
language with respect to the WVDEP
Secretary’s authority to release all or
part of the bond for the entire permit or
incremental area if they are satisfied
that all reclamation or a phase of the
reclamation covered by the bond has
been accomplished in accordance with
the schedules for reclamation Phases I,
II, and III. Through its restructured
language, West Virginia has removed
the specific limitations relevant to openacre permit bonding (i.e., that all coal
extraction operations for the permit or
increment thereof are completed and
that the entire disturbed area for the
permit or increment thereof has been
completely backfilled and regraded
before bond release), and moved the
former prohibitions and requirements
associated with bond release on sites
with water discharges requiring
treatment to the preceding section. In
addition, West Virginia has eliminated
the previously approved requirement
that no violations exist relative to the
permitted site before bond is released.
In its proposed revision of CSR 38–2–
12.2.c.1, while mirroring the language of
30 CFR 800.40(c)(1), West Virginia
eliminates specific references to
compliance with the WVSCMRA, its
implementing rules, and the terms and
conditions of the permit, as well as a
specific inclusive reference to the need
to meet all requirements pertaining to
maintaining the hydrologic balance
before a Phase I bond release may occur.
In its proposed revision of CSR 38–2–
12.2.c.2, West Virginia has eliminated
the specified amount (25 percent) that is
to be returned upon a Phase II bond
release and has eliminated the
minimum two-year waiting period after
the last augmented seeding standards
have been met before a Phase II bond
release may occur. As a result of the
modifications, the remaining
subsections are renumbered.
In its proposed revision of CSR 38–2–
12.2.c.3, West Virginia has adopted
language from the Federal requirements
pertaining to the conditions necessary
for the release of a Phase III bond while
excluding the requirement that ‘‘all
surface coal mining and reclamation
activities’’ be successfully completed
before Phase III bond release. See 30
CFR 800.40(c)(3). West Virginia’s
proposal is that ‘‘reclamation activities’’
be complete before any such release.
OSMRE Findings: Through its
restructured language, West Virginia
looks to simplify and revise its existing
provisions with respect to the release of
bonds to more closely model Federal
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language. However, West Virginia’s
approved program uses an alternative
bonding system. This system requires
extensive consideration of multiple
interdependent factors in arriving at and
maintaining a particular bond amount.
Through its proposed restructured
language, West Virginia is proposing the
removal of the specific limitation
relevant to open-acre bonding that all
coal extraction operations for the permit
or increment thereof are completed and
that the entire disturbed area for the
permit or increment thereof has been
completely backfilled and regraded
before bond release. In the original
approval of this provision, we found:
‘‘The State proposes to add new
[subdivision 12.2.d] to prohibit the
release of any portion of the bonds
posted in accordance with subsection
11.5 (open-acre limit bonding) until all
coal extraction operations are completed
and the entire disturbed area has been
completely backfilled and regraded.
Because of the floating nature of this
type of bond, this restriction is needed
to provide a degree of protection
consistent with other types of sitespecific bond authorized under the
alternative bonding system.’’ 60 FR
51908 (October 4, 1995). Having
previously found that these restrictions
were necessary as part of the alternative
bonding system, absent any rationale or
alternative measures demonstrating why
this provision is no longer necessary, we
do not approve the change. Likewise, as
discussed above, the restrictions
regarding sites with water discharges are
also relevant to bond release. Therefore,
the existing introductory language
‘‘except as provided in subdivisions
12.2.d and 12.2.e’’ at CSR 38–2–12.2.c.
is retained. We are approving an
editorial correction that is necessary to
correct the now changed reference from
‘‘12.2.e’’ to ‘‘12.2.a.4.’’
In its proposed revision of 38–2–
12.2.c.1, West Virginia proposes the
elimination of requirements to comply
with ‘‘the Act, this rule, and the terms
and conditions of the permit’’ as well as
the elimination of the specific inclusive
reference of the need to meet all
requirements pertaining to maintaining
the hydrologic balance before a Phase I
bond release may occur. These
references are eliminated in favor of the
Federal language that requires
compliance with the ‘‘approved
reclamation plan.’’ Unlike the Federal
regulations at 30 CFR 780.18, the
approved West Virginia regulations do
not include a specific provision defining
the requirements of the ‘‘reclamation
plan.’’ However, W.Va. Code 22–3–10
identifies the extensive requirements for
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a reclamation plan and requires them to
be included ‘‘in the degree of detail
necessary to demonstrate that
reclamation required by [WVSCMRA]
can be accomplished.’’ This provision of
WVSCMRA remains in effect. When
taken together, removal of the
requirement references in this section of
the West Virginia regulations in favor of
the encompassing section of the
WVSCMRA does not render the program
less stringent than SMCRA or less
effective than the Federal regulations.
Therefore, we are approving the
revisions proposed in 38–2–12.2.c.1.
With respect to the proposed revision
of CSR 38–2–12.2.c.2, eliminating the
specified amount (25 percent) that is to
be returned upon a Phase II bond
release, and CSR 38–2–12.2.c.2.A,
eliminating the minimum two-year
waiting period after the last augmented
seeding before revegetation standards
may be met for a Phase II bond release
to occur, the Federal regulations neither
specify an amount of bond to be
released upon Phase II nor do they
proscribe a time period for the
determination that revegetation has
been established for the purpose of
Phase II bond release. Rather, the
Federal regulations give the regulatory
authority discretion to determine what
amount of bonding is adequate to
complete all required reclamation and
to determine when successful
revegetation has been established. See
30 CFR 800.40(c)(2); see also 48 FR
32932, 32953 (July 19, 1983) (removing
a 25 percent Phase II maximum bond
release from the Federal regulations at
30 CFR 800.40(c)(2)). As we note in our
findings above about revision to CSR
9.3.d, the two-year requirement was
more stringent than the Federal
requirements, which contain no direct
counterpart. The remaining provisions
direct the standards of revegetation and
obligate WVDEP to inspect and
determine whether those standards are
met. Therefore, we approve of those
revisions because they are no less
effective than the Federal regulations.
We also approve of the renumbering of
subparagraphs in CSR 38–2–12.2.c.2.
We note separately that West Virginia
has also proposed to remove the 25
percent Phase II maximum bond release
from its statutes at W.Va. Code 22–3–
23(c)(1)(B). We have not yet acted on
that program amendment, docketed at
WV–125–FOR and published as
proposed in the April 8, 2019, Federal
Register (84 FR 13853), but that has no
effect on our approval of the instant
revision deleting that requirement from
the regulations.
In its proposed revision of CSR 38–2–
12.2.c.3, West Virginia proposes to
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adopt some of the language from the
Federal requirements pertaining to the
conditions necessary before the release
of all or part of a Phase III bond while
excluding the requirement that ‘‘all
surface coal mining and reclamation
activities’’ be successfully completed.
Instead, West Virginia proposes only
that ‘‘successful reclamation activities’’
be completed as a condition precedent
to any Phase III bond release. However,
W.Va. Code 22–3–23, both before and
after the revisions West Virginia
proposes under WV–125–FOR, contains
the full language ‘‘all surface coal
mining and reclamation activities.’’
Despite the omission of ‘‘surface coal
mining’’ in West Virginia’s proposed
regulation, its statutory inclusion of ‘‘all
surface coal mining and reclamation
activities’’ will control how West
Virginia implements the regulation.
Therefore, we are approving the
proposed change because it is not less
effective than the Federal regulations.
c. CSR 38–2–12.2.d.—West Virginia
proposes to eliminate the existing
prohibition on bond release for any sitespecific bonding (i.e., open-acre
bonding) until all coal extraction is
completed and the disturbed area is
completely backfilled and regraded.
OSMRE Findings: As noted in our
finding 4.b. above, having previously
found that these restrictions were
necessary as part of the alternative
bonding system, absent there being any
rationale or alternative measures
provided demonstrating why this
provision is no longer necessary, we do
not approve the removal of existing CSR
38–2–12.2.d, and the existing language
is retained.
d. CSR 38–2–12.2.e.—West Virginia
proposes to restructure and revise
existing approved language in this
section and move it to 38–2–12.2.a.4.
OSMRE Findings: As is set forth above
in our finding 4.a., the proposed
revisions to this language are not
approved, and, therefore, the existing
language in CSR 38–2–12.2.e is retained.
e. CSR 38–2–12.2.f.—West Virginia
proposes to move, unchanged, this
existing language to CSR 38–2–12.2.d.
as a result of other proposed revisions.
OSMRE Findings: As is set forth above
in this document, we did not approve
the proposed revisions to CSR 38–2–
12.2.d, which affected the renumbering
of this provision; thus, we are also not
approving the proposed movement of
this language to CSR 38–2–12.2.d. The
existing language in CSR 38–2–12.2.f is
retained.
f. CSR 38–2–12.2.g.—West Virginia
proposes to move, unchanged, this
existing language to CSR 38–2–12.2.f as
a result of other proposed revisions.
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West Virginia also proposes to include
a new provision for CSR 38–2–12.2.g,
anticipating the aforementioned move,
outlining the Secretary’s authority to
conduct a hearing on objections.
OSMRE Findings: As is set forth above
in this document, we did not approve
the proposed revisions, which affected
the renumbering of this existing
provision. Therefore, we are not
approving the proposed movement of
existing language to CSR 38–2–12.2.f,
and the existing language in CSR 38–2–
12.2.g is retained. We are, however,
approving West Virginia’s additional
language outlining the Secretary’s
authority in conducting a hearing on
objections to bond release, which
mirrors the Federal counterpart at 30
CFR 800.40(g). We also approve of an
editorial correction that is necessary to
correct the now changed reference from
‘‘12.2.f’’ to ‘‘12.2.g’’ or ‘‘this paragraph’’.
g. CSR 38–2–12.2.h.—Without change
to the existing language, West Virginia
proposes to both renumber existing CSR
38–2–12.2.h to 12.2.i and to insert it as
a new CSR 38–2–12.2.h.
OSMRE Findings: As is set forth above
in this document, we did not approve
the proposed revisions, which affected
the renumbering of this existing
provision. Therefore, the proposed
renumbering of this section to CSR 38–
2–12.2.i is not necessary and would
result in duplicative sections, and we
are not approving these revisions. The
existing language in CSR 38–2–12.2.h is
retained.
h. CSR 38–2–12.4.a.2.B.—In its
section dealing with the forfeiture of
bonds, West Virginia proposes to add
and delete language in this section to
make it substantively identical to the
Federal regulations found at 30 CFR
800.50. West Virginia is proposing to
revise CSR 38–2–12.4.a.2.B to include a
specific reference to the exception that
allows the Secretary to approve partial
surety liability release.
OSMRE Findings: The inclusion of the
reference to the exception mirrors the
Federal regulations at 30 CFR
800.50(a)(2)(ii). The additional reference
and rephrasing do not render the
proposal less effective than the Federal
regulations, and we therefore approve
these revisions.
i. CSR 38–2–12.4.b.—In this section,
West Virginia is proposing to revise and
eliminate specific references to the
purposes that bond proceeds should be
used for upon forfeiture, including rules
governing water quality. In revised CSR
38–2–12.4.b.1 and 12.4.b.2, West
Virginia incorporates and adopts
language mirroring 30 CFR 800.50(b)(1)
and (2), which identifies the steps to be
undertaken upon forfeiture and the
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authorized use of those funds for
completing the reclamation plan, or
portion thereof, on the permit area or
increment to which the bond coverage
applies.
OSMRE Findings: In CSR 38–2–12.4.b,
4.b.1, and 4.b.2, West Virginia proposes
to incorporate and adopt language
mirroring that of the Federal
regulations. While the inclusion of
references to specific provisions
pertaining to water quality have been
removed in the revision of this
subsection to mirror the Federal
counterparts, the obligations of the West
Virginia program to require adequate
financial assurance for the treatment of
pollution discharges and to use those
funds upon forfeiture to complete the
reclamation plan, as that requirement is
set forth in W.Va. Code 22–3–10,
including requirements related to water
quality, have not been altered or
removed. We are approving these
provisions because the requirements to
satisfy obligations related to water
quality remain in place.
j. CSR 38–2–12.4.c.—In this section,
West Virginia revises existing language
to incorporate and adopt language
identical to 30 CFR 800.50(c) further
identifying measures the Secretary of
WVDEP may take upon forfeiture. The
revision eliminates an existing 180-day
window for initiating operations to
reclaim the site in accordance with the
approved reclamation plan or
modification thereof. The revised
provision also removes the specific
inclusion of taking the most effective
actions possible to remediate acid mine
drainage from the site, including
chemical treatment where appropriate,
with the resources available.
OSMRE Findings: In CSR 38–2–12.4.c,
the proposed revision mirrors the
Federal regulations, which do not
include a specific time frame for
initiating reclamation operations or a
specific reference to actions related to
the treatment of acid mine drainage.
However, West Virginia uses an
approved alternative bond system that is
designed to achieve the objectives and
purposes of section 509 of SMCRA as
implemented by 30 CFR 800.11(e)(1). As
noted previously, West Virginia’s
Special Reclamation Fund has been the
subject of amendments, some required
by us, imposed to address inadequacies
of the system, to eliminate the deficit in
the State’s alternative bonding system,
to ensure that sufficient money will be
available to complete reclamation,
including the treatment of polluted
water discharged from all bond
forfeiture sites, and to specify that
moneys from the Special Reclamation
Fund must be used, where needed, to
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pay for water treatment on bond
forfeiture sites. These amendments were
approved, and required amendments
removed, in part, based upon the
revisions made to W.Va. Code 22–3–11
and this section of the regulations. See,
e.g., 60 FR 51900 (Oct. 4, 1995); 66 FR
67446 (Dec. 28, 2001); and 67 FR 37610
(May 29, 2002).
Section 509(c) of SMCRA and 30 CFR
800.11(e) both imply that the funds held
for reclamation must be readily
available. Specifically, 30 CFR
800.11(e)(1) specifies that an alternative
bonding system must ensure that ‘‘the
regulatory authority will have sufficient
money to complete the reclamation plan
for any areas which may be in default
at any time.’’ Through our past
approvals, we have expressed
reservations about the notion of
prioritizing bond forfeited sites insofar
as it could imply deviating from the
requirements of 30 CFR 800.11(e)(1).
However, relying upon the State’s
regulations at CSR 38–2–12.4(c), which
provide that reclamation operations
must be initiated within 180 days
following final forfeiture notice, we
found assurance that the requirement
that all sites for which bonds are posted
be reclaimed in accordance with their
reclamation plans and that all sites for
which bonds were posted be properly
and timely reclaimed would be fulfilled.
See 60 FR 51900, 51901 (Oct. 4, 1995)
and 67 FR 37610, 37616 (May 29, 2002).
The removal of this timing provision
would nullify previous corrections to
the program and would render the
program less effective than the bond
forfeiture provisions at section 509(a) of
SMCRA and 30 CFR 800.50(b)(2), or the
alternative bonding system criteria of 30
CFR 800.11(e). Therefore, we are not
approving this revision, and the existing
language at CSR 38–2–12.4.c is retained.
k. CSR 38–2–12.4.d—In this section,
West Virginia revises existing language
to incorporate and adopt language
substantively similar to that of 30 CFR
800.50(d), identifying procedures to
follow when the amount forfeited is
insufficient to pay the full cost of
reclamation. Specifically, West Virginia
proposes to provide that the Secretary
will make expenditures out of the
Special Reclamation Fund to complete
the reclamation of the bonded area and
that the Secretary may recover all costs
of reclamation in excess of the amount
forfeited from the operator or permittee.
The revision excludes the specific
reference to the statement that the
Secretary of WVDEP shall take the most
effective actions possible to remediate
acid mine drainage from the site,
including chemical treatment where
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appropriate, with the resources
available.
OSMRE Findings: The revised
language incorporates and adopts
language substantively similar to that of
30 CFR 800.50(d), modifying it to reflect
West Virginia’s use of an alternative
bonding system, the Special
Reclamation Fund. Although the
revision of this subsection excludes the
specific reference to the statement that
the Secretary shall take the most
effective actions possible to remediate
acid mine drainage from the site,
including chemical treatment where
appropriate, with the resources
available, the West Virginia Code 22–3–
11(h)(2) contains such an instruction,
and the obligations of the West Virginia
program to timely reclaim forfeited
sites, including remediating acid mine
drainage, has not been altered or
removed. Therefore, we approve this
revision.
5. CSR 38–2–12.5—Water Quality
Enhancement
West Virginia proposes to delete
subsection 12.5 of the West Virginia
regulations, which directs WVDEP’s
collection, analysis, and reporting on
sites where a bond has been forfeited
including, in particular, data relating to
the quality of water being discharged
from forfeited sites. Subdivision 12.5.a
requires the Secretary of WVDEP to
establish an inventory of all sites for
which bonds have been forfeited. The
inventory is to include data relating to
the quality of water being discharged
from the sites. Subdivision 12.5.b
requires a priority listing of these sites
based upon the severity of the
discharges, the quality of the receiving
stream, effects on downstream water
users, and other factors determined to
affect the priority ranking. Subdivision
12.5.c provides that, until the legislature
supplements or adjusts the special
reclamation fund, the Secretary of
WVDEP can selectively choose sites
from the inventory for water quality
enhancement projects. Subdivision
12.5.d provides that, in selecting sites
for water improvement projects, the
Secretary of WVDEP must consider
relative benefits and costs of the
projects. Subdivision 12.5.e requires the
Secretary of WVDEP to submit to the
legislature, on an annual basis, a
detailed report and inventory of acid
mine drainage from bond forfeiture
sites.
OSMRE Findings: This provision was
originally added to the West Virginia
regulations in 1995 to implement W.Va.
Code 22–3–11(g), which authorizes
WVDEP’s actions with respect to bond
forfeitures. There is no companion
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Federal regulation because West
Virginia uses an approved alternative
bond system that is designed to achieve
the objectives and purposes of section
509 of SMCRA as implemented by 30
CFR 800.11(e)(1). As noted previously,
the Special Reclamation Fund has been
the subject of various amendments,
some required by us, imposed to
address inadequacies of the system, to
eliminate the deficit in the State’s
alternative bonding system, and to
ensure that sufficient money will be
available to complete reclamation. This
obligation includes the treatment of
polluted water discharged from all bond
forfeiture sites and a requirement that
moneys from the Special Reclamation
Fund must be used, where needed, to
pay for water treatment on bond
forfeiture sites. These amendments were
approved, and required amendments
removed, in part, based upon the
revisions made to W.Va. Code 22–3–11
and this section of the regulations. See,
e.g., 60 FR 51900 (Oct. 4, 1995); 66 FR
67446 (Dec. 28, 2001); and 67 FR 37610
(May 29, 2002).
An important component of our
approval of the required amendments
was the fact that West Virginia had
previously established, at W.Va. Code
22–1–17, the Special Reclamation Fund
Advisory Council (Advisory Council) to
oversee the State’s alternative bonding
system. One of the duties of the
Advisory Council is to study the
effectiveness, efficiency, and financial
stability of the Special Reclamation
Fund and the Special Reclamation
Water Trust Fund. These funds are
managed by the Office of Special
Reclamation (OSR) under the Advisory
Council. The OSR adjusts monies to pay
for water treatment at bond forfeiture
sites and ensures that the Fund is
effectively used by approval of the
Advisory Council. The Special
Reclamation Fund is adjusted to pay for
reclamation of forfeiture sites. The
Secretary of WVDEP provides
recommendations on how best to
effectively ensure acid mine drainage is
addressed in reports to the Legislature.
Another duty of the Advisory
Council, as provided by W.Va. Code 22–
1–17(f)(5), is to contract with a qualified
actuary on a regular basis to determine
the Fund’s fiscal soundness and to
conduct annual informal reviews of the
Special Reclamation Fund. The
actuarial studies and the annual
informal financial reviews of the Special
Reclamation Fund assist WVDEP and
the State in ensuring that sufficient
money will be available to complete
land reclamation and water treatment at
existing and future bond forfeiture sites
within the State, a requirement that
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parallels the criterion for approval of a
State’s alternative bonding system under
30 CFR 800.11(e)(1).
A necessary component of the ability
to conduct these studies, and to fulfill
the requirements of the alternative bond
system itself, is the compilation of data
as is directed under existing CSR 38–2–
12.5.a. Removing the requirement to
maintain an inventory would impede
successful analysis as is required under
the West Virginia Code and
implementing regulations and would
thwart the efforts put in place to address
the required amendments. Therefore,
removal would render the program less
effective than the Federal requirements,
and we do not approve of its removal.
The existing language of CSR 38–2–
12.5.a is retained.
Section 509(c) of SMCRA and 30 CFR
800.11(e) are silent on the question of
prioritizing bond forfeited sites for
reclamation, but both imply that the
funds held for reclamation must be
readily available. Specifically, 30 CFR
800.11(e)(1) specifies that an alternative
bonding system must ensure that ‘‘the
regulatory authority will have sufficient
money to complete the reclamation plan
for any areas which may be in default
at any time.’’ Through our past
approvals, we have expressed
reservations about the notion of
prioritization insofar as it could imply
deviating from the requirements of 30
CFR 800.11(e)(1). However, because the
State’s regulations at CSR 38–2–12.4.c
provide that reclamation operations
must be initiated within 180 days
following final forfeiture notice, a
planning process for selection and
prioritization of sites to be reclaimed
was determined to not adversely impact
the requirement that all sites for which
bonds are posted be reclaimed in
accordance with their reclamation
plans, and that all sites for which bonds
were posted be properly and timely
reclaimed. Therefore, the removal of the
prioritization language proposed in CSR
38–2–12.5.b; 38–2–12.5.c; and 38–2–
12.5.d is consistent with the bond
forfeiture provisions at section 509(a) of
SMCRA and 30 CFR 800.50(b)(2), or the
alternative bonding system criteria of 30
CFR 800.11(e), and we approve of its
removal. See also 60 FR 51901 (Oct. 4,
1995).
As addressed above in our
disapproval in CSR 38–2–12.5.a, a
necessary component of the ability to
fulfill the requirements of the
alternative bond system is the
compilation, review, and reporting of
relevant data on a regular basis. West
Virginia Code requires no less. See
W.Va. Code 22–3–11 and 22–1–17. The
specifics of the report as directed in
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existing CSR 38–2–12.5.e provide
implementing details consistent with
the requirements established in the
West Virginia Code. Removing the
minimum details to be contained in the
report and inventory would impede
successful analysis as is required under
the West Virginia Code and
implementing regulations and would
thwart the efforts put in place to address
the previous required amendments.
Removal, without any indication of
replacement, would render the program
less effective than the Federal
requirements, and we do not approve of
its removal. The existing language of
CSR 38–2–12.5.e is retained and may be
renumbered accordingly in response to
the approved removals in this section.
6. CSR 38–2–14—Performance
Standards
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38–2–14.5.b—Effluent Limitations—
West Virginia proposes to revise
language in this subdivision to make it
identical to the Federal regulations
found at 30 CFR 816.42. West Virginia
removes a reference to ‘‘the standards
set forth in [National Pollutant
Discharge Elimination System (NPDES)]
permits’’ and the authorizing statutes for
those permits, replacing these references
with the requirement to be in
compliance with all applicable State
and Federal water quality laws and
regulations, including effluent
limitations for coal mining promulgated
by the U.S. Environmental Protection
Agency.
OSMRE Findings: The revised
language mirrors the counterpart
Federal provision. By mirroring the
Federal provision, the revised
subdivision becomes more
comprehensive in scope, incorporating
the NPDES standards despite removing
the specific reference. Therefore, revised
subdivision 14.5.b is no less effective
than the Federal counterpart regulation
at 30 CFR 816.42, and we approve the
revision.
The commenter stated that they live
in the southern part of West Virginia
and rely on the legal advertisements in
their local newspaper for the
opportunity to participate in the
permitting process on surface mining
operations near their local residence.
The commenter noted that not all
citizens residing in West Virginia have
the ways or means to access internet
services and that to a person on a fixed
income buying a local newspaper is less
costly than obtaining internet service.
They believe that by not advertising in
the local newspaper people will be at a
disadvantage to participate in the
permitting process.
OSMRE Response: We are
disapproving revisions to W.Va. Code
22–3–9 and 22–3–20 based on the fact
that the proposed amendment is less
stringent than sections 507(b)(6) and
513 of SMCRA (30 U.S.C. 1257(b)(6) and
1263) and less effective than the Federal
regulation at 30 CFR 773.6, which
specifically requires that permit
applications, significant revisions, or
renewal of a permit shall be announced
in an advertisement in a local
newspaper of general circulation in the
locality of the mining and reclamation
operation at least once a week for four
consecutive weeks.
Federal Agency Comments
On March 5, 2020, under 30 CFR
732.17(h)(11)(i) and section 503(b) of
SMCRA, we requested comments on the
amendment from various Federal
agencies with an actual or potential
interest in West Virginia amendment
WV–126 (Administrative Record No.
WV–1634). We did not receive any
comments.
On September 22, 2011, we requested
comments on the amendment from
various Federal agencies with an actual
or potential interest in West Virginia
amendment WV–118 (Administrative
Record No. WV–1570). We did not
receive any comments.
IV. Summary and Disposition of
Comments
Environmental Protection Agency (EPA)
Concurrence and Comments
Public Comments
Under 30 CFR 732.17(h)(11)(ii), we
are required to get a written concurrence
from EPA for those provisions of the
program amendments that relate to air
or water quality standards issued under
the authority of the Clean Water Act (33
U.S.C. 1251 et seq.) or the Clean Air Act
(42 U.S.C. 7401 et seq.). The only
change related to water standards is to
change WVDEP’s regulation to mirror
the Federal regulation, which has
already received concurrence from EPA.
Therefore, we did not ask EPA to concur
on the amendment.
We asked for public comments on the
WV–118 amendment in the proposed
rule notice published in the November
2, 2011, Federal Register (76 FR 67637).
We did not receive any comments.
We asked for public comments on the
WV–126 amendment in the proposed
rule notice published in the February
14, 2020, Federal Register (85 FR 8497).
We received one comment. This
comment is summarized and addressed
below.
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19271
State Historic Preservation Office
(SHPO) and the Advisory Council on
Historic Preservation (ACHP)
Under 30 CFR 732.17(h)(4), we are
required to request comments from the
SHPO and ACHP on amendments that
may have an effect on historic
properties. On March 5, 2020, we
requested comments on West Virginia
amendment WV–126 (Administrative
Record No.WV–1634). We did not
receive comments from the SHPO or
ACHP.
On September 22, 2011, we requested
comments on the West Virginia
amendment WV–118 (Administrative
Record Numbers WV–1570). We did not
receive comments from the SHPO or
ACHP.
V. OSMRE’s Decision
Based on the above findings:
1. We are approving in part the
amendment (WV–126) that West
Virginia sent to us on May 2, 2018
(Administrative Record No. WV–1613–
A and WV–1613–B).
2. We are not approving revisions to
W.Va. Code 22–3–9 and 22–3–20
because the proposed revisions render
the West Virginia program less stringent
than sections 507(b)(6) and 513 of
SMCRA (30 U.S.C. 1257(b)(6) and 1263)
and less effective than the
corresponding Federal regulation at 30
CFR 773.6, which require that permit
applications, significant revisions, or
renewal of a permit must be announced
in an advertisement in a local
newspaper of general circulation in the
locality of the mining and reclamation
operation at least once a week for four
consecutive weeks.
3. We are not approving CSR 38–2–
12.2.d, .e, .f, .g and .h, the elimination
of the existing prohibition on bond
release for any site specific bonding
(i.e., open-acre bonding) until all coal
extraction is completed and the
disturbed area is completely backfilled
and regraded because these restrictions
were necessary as part of the alternative
bonding system, absent there being any
rationale or alternative measures
provided demonstrating why this
provision is no longer necessary. We are
also not approving CSR 38–2–12.4.c,
which would eliminate an existing 180day window for initiating reclamation
operations to reclaim a site in
accordance with the approved
reclamation plan or modification
thereof. The removal of this timing
provision would nullify previous
corrections to the program and would
render the West Virginia program less
effective than the bond forfeiture
provisions at section 509(a) of SMCRA
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and 30 CFR 800.50(b)(2), or the
alternative bonding system criteria of 30
CFR 800.11(e). In addition, we are not
approving proposed changes to CSR 38–
2–12.5, which includes the deletion of
subsection 12.5 of the West Virginia
regulations that directs WVDEP’s
collection, analysis, and reporting on
sites where bond has been forfeited,
including, in particular, data relating to
the quality of water being discharged
from forfeited sites. Removal, without
any indication of replacement, would
render the West Virginia program less
effective than the Federal requirements.
4. We are approving the changes to
CSR 38–2–11.3.f (WV–118) sent to us on
April 25, 2011 (Administrative Record
Number WV–1561), pertaining to
financial assurance requirements (trust
funds).
To implement this decision, we are
amending the Federal regulations at 30
CFR part 948 that codify decisions
concerning the West Virginia program.
In accordance with the Administrative
Procedure Act, this rule will take effect
30 days after the date of publication.
VI. Statutory and Executive Order
Reviews
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Executive Order 12630—Governmental
Actions and Interference With
Constitutionally Protected Property
Rights
This rule would not affect a taking of
private property or otherwise have
taking implications that would result in
public property being taken for
government use without just
compensation under the law. Therefore,
a takings implication assessment is not
required. This determination is based on
an analysis of the corresponding Federal
regulations.
Executive Orders 12866—Regulatory
Planning and Review, 13563—
Improving Regulation and Regulatory
Review, and 14094—Modernizing
Regulatory Review
Executive Order 12866, as amended
by Executive Order 14094, provides that
the Office of Information and Regulatory
Affairs in the Office of Management and
Budget (OMB) will review all significant
rules. Pursuant to OMB guidance, dated
October 12, 1993, the approval of State
program amendments is exempted from
OMB review under Executive Order
12866, as amended by Executive Order
14094. Executive Order 13563, which
reaffirms and supplements Executive
Order 12866, retains this exemption.
Executive Order 12988—Civil Justice
Reform
The Department of the Interior has
reviewed this rule as required by
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Section 3 of Executive Order 12988. The
Department determined that this
Federal Register document meets the
criteria of Section 3 of Executive Order
12988, which is intended to ensure that
the agency review its legislation and
proposed regulations to eliminate
drafting errors and ambiguity; that the
agency write its legislation and
regulations to minimize litigation; and
that the agency’s legislation and
regulations provide a clear legal
standard for affected conduct rather
than a general standard, and promote
simplification and burden reduction.
Because Section 3 focuses on the quality
of Federal legislation and regulations,
the Department limited its review under
this Executive order to the quality of
this Federal Register document and to
changes to the Federal regulations. The
review under this Executive order did
not extend to the language of the State
regulatory program or to the program
amendment that West Virginia drafted.
Executive Order 13132—Federalism
This rule has potential Federalism
implications as defined under section
1(a) of Executive Order 13132.
Executive Order 13132 directs agencies
to ‘‘grant the States the maximum
administrative discretion possible’’ with
respect to Federal statutes and
regulations administered by the States.
West Virginia, through its approved
regulatory program, implements and
administers SMCRA and its
implementing regulations at the State
level. This rule approves, in part, an
amendment to the West Virginia
program submitted and drafted by the
State and disapproves elements of the
amendment only to the extent necessary
to ensure that the State program is ‘‘in
accordance with’’ the requirements of
SMCRA and ‘‘consistent with’’ the
regulations issued by the Secretary
pursuant to SMCRA. Therefore, this rule
is consistent with the direction to
provide maximum administrative
discretion to States.
Executive Order 13175—Consultation
and Coordination With Indian Tribal
Governments
The Department of the Interior strives
to strengthen its government-togovernment relationship with Tribes
through a commitment to consultation
with Tribes and recognition of their
right to self-governance and Tribal
sovereignty. We have evaluated this rule
under the Department’s consultation
policy and under the criteria in
Executive Order 13175 and have
determined that it has no substantial
direct effects on the distribution of
power and responsibilities between the
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Federal Government and Tribes. The
basis for this determination is that our
decision on the West Virginia program
does not include Indian lands, as
defined by SMCRA, or regulation of
activities on Indian lands. Indian lands
are regulated independently under the
applicable approved Federal program.
The Department’s consultation policy
also acknowledges that our rules may
have Tribal implications where the State
proposing the amendment encompasses
ancestral lands in areas with mineable
coal. We are currently working to
identify and engage appropriate Tribal
stakeholders to devise a constructive
approach for consulting on these
amendments.
Executive Order 13211—Actions
Concerning Regulations That
Significantly Affect Energy Supply,
Distribution, or Use
Executive Order 13211 requires
agencies to prepare a Statement of
Energy Effects for a rulemaking that is
(1) considered significant under
Executive Order 12866, and (2) likely to
have a significant adverse effect on the
supply, distribution, or use of energy.
Because this rule is exempt from review
under Executive Order 12866 and is not
a significant energy action under the
definition in Executive Order 13211, a
Statement of Energy Effects is not
required.
Executive Order 13045—Protection of
Children From Environmental Health
Risks and Safety Risks
This rule is not subject to Executive
Order 13045 because this is not an
economically significant regulatory
action as defined by Executive Order
12866; and this action does not address
environmental health or safety risks
disproportionately affecting children.
National Environmental Policy Act
Consistent with sections 501(a) and
702(d) of SMCRA (30 U.S.C. 1251(a) and
1292(d)) and the U.S. Department of the
Interior Departmental Manual, part 516,
section 13.5(A), State program
amendments are not major Federal
actions within the meaning of section
102(2)(C) of the National Environmental
Policy Act (42 U.S.C. 4332(2)(C)).
National Technology Transfer and
Advancement Act
Section 12(d) of the National
Technology Transfer and Advancement
Act (NTTAA) (15 U.S.C. 3701 et seq.)
directs OSMRE to use voluntary
consensus standards in its regulatory
activities unless to do so would be
inconsistent with applicable law or
otherwise impractical. (OMB Circular
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A–119 at p. 14). This action is not
subject to the requirements of section
12(d) of the NTTAA because application
of those requirements would be
inconsistent with SMCRA.
Paperwork Reduction Act
This rule does not include requests
and requirements of an individual,
partnership, or corporation to obtain
information and report it to a Federal
agency. As this rule does not contain
information collection requirements, a
submission to the Secretary of
Management and Budget under the
Paperwork Reduction Act (44 U.S.C.
3501 et seq.) is not required.
Regulatory Flexibility Act
This rule will not have a significant
economic impact on a substantial
number of small entities under the
Regulatory Flexibility Act (5 U.S.C. 601
et seq.). The State submittal, which is
the subject of this rule, is based upon
corresponding Federal regulations for
which an economic analysis was
prepared, and certification made that
such regulations would not have a
significant economic effect upon a
substantial number of small entities. In
making the determination as to whether
this rule would have a significant
economic impact, the Department relied
upon the data and assumptions for the
corresponding Federal regulations.
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Small Business Regulatory Enforcement
Fairness Act
This rule is not a major rule under 5
U.S.C. 804(2), the Small Business
Regulatory Enforcement Fairness Act.
This rule: (a) does not have an annual
effect on the economy of $100 million;
(b) will not cause a major increase in
costs or prices for consumers,
individual industries, Federal, State, or
local government agencies, or
geographic regions; and (c) does not
have significant adverse effects on
competition, employment, investment,
productivity, innovation, or the ability
of U.S.-based enterprises to compete
with foreign-based enterprises. This
determination is based on an analysis of
the corresponding Federal regulations,
which were determined not to
constitute a major rule.
Unfunded Mandates Reform Act
This rule does not impose an
unfunded mandate on State, local, or
Tribal governments, or the private sector
of more than $100 million per year. The
rule does not have a significant or
unique effect on State, local, or Tribal
governments or the private sector. This
determination is based on an analysis of
the corresponding Federal regulations,
which were determined not to impose
an unfunded mandate. Therefore, a
statement containing the information
required by the Unfunded Mandates
Reform Act (2 U.S.C. 1531 et seq.) is not
required.
List of Subjects in 30 CFR Part 948
Intergovernmental relations, Surface
mining, Underground mining.
Thomas D. Shope,
Regional Director, North Atlantic—
Appalachian Region.
For the reasons stated in the
preamble, the Office of Surface Mining
Reclamation and Enforcement amends
30 CFR part 948 as set forth below:
PART 948—WEST VIRGINIA
1. The authority citation for part 948
continues to read as follows:
■
Authority: 30 U.S.C. 1201 et seq.
2. Section 948.12 is amended by
revising paragraph (k) to read as follows:
■
§ 948.12 State statutory, regulatory, and
proposed program amendment provisions
not approved.
*
*
*
*
*
(k) We are not approving the
following provisions of the proposed
West Virginia program amendments
dated May 2, 2018:
(1) At W.Va. Code 22–3–9, revisions
substituting notice by newspaper with
notice in a form and manner determined
Original amendment submission dates
Date of publication
of final rule
*
*
April 25, 2011, May 8, 2018 .................
*
March 18, 2024 .........
by the Secretary which may be
electronic.
(2) At W.Va. Code 22–3–20, revisions
substituting notice by newspaper with
notice in a form and manner determined
by the Secretary which may be
electronic.
(3) At CSR 38–2–2.37, the removal of
the definition ‘‘completion of
reclamation’’
(4) At CSR 38–2–12.2.d., the
elimination to the existing prohibition
on bond release for any site specific
bonding (i.e., open-acre bonding) until
all coal extraction is completed and the
disturbed area is completely backfilled
and regraded.
(5) At CSR 38–2–12.2.e., to restructure
and revise existing approved language
in this section and move it to CSR 38–
2–12.2.a.4.
(6) At CSR 38–2–12.2.f., to move,
unchanged, this existing language to
CSR 38–2–12.2.d
(7) At CSR 38–2–12.2.g., to move,
unchanged, this existing language to
CSR 38–2–12.2.f.
(8) At CSR 38–2–12.2.h., to renumber
existing CSR 38–2–12.2.h to 12.2.i. and
to insert it as a new CSR 38–2–12.2.h.
(9) At CSR 38–2–12.4.c., to eliminate
an existing 180 day window for
initiating reclamation operations to
reclaim the site in accordance with the
approved reclamation plan or
modification thereof.
(10) At CSR 38–2–12.5., to delete
subsection 12.5 of the West Virginia
regulations, which directs WVDEP’s
collection, analysis and reporting on
sites where bond has been forfeited
including, in particular, data relating to
the water quality of water being
discharged from forfeited sites.
■ 3. Section 948.15 is amended by
adding a new entry to the table in
chronological order by ‘‘Date of
publication of final rule’’ to read as
follows:
§ 948.15 Approval of West Virginia
regulatory program amendments.
*
*
*
Jkt 262001
PO 00000
Frm 00049
*
*
*
*
*
CSR 38–2–2.6; 9.3.d; 11.3.f; 11.4; 11.6; 12.2.a, 12.5.b, and .c; 12.4.a.2.B,
12.4.b, 4.b.1 and 4.b.2; 12.4.d; 14.5.b.
BILLING CODE 4310–05–P
16:01 Mar 15, 2024
*
Citation/description of approved provisions
[FR Doc. 2024–05682 Filed 3–15–24; 8:45 am]
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Agencies
[Federal Register Volume 89, Number 53 (Monday, March 18, 2024)]
[Rules and Regulations]
[Pages 19262-19273]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-05682]
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DEPARTMENT OF THE INTERIOR
Office of Surface Mining Reclamation and Enforcement
30 CFR Part 948
[SATS No. WV-118-FOR (partial); Docket ID: OSM-2011-0009; SATS No. WV-
126-FOR; Docket ID: OSM-2019-0012; S1D1S SS08011000 SX064A000
220S180110;S2D2S SS08011000 SX064A000 220XS501520]
West Virginia Regulatory Program
AGENCY: Office of Surface Mining Reclamation and Enforcement, Interior.
ACTION: Final rule; approval of amendment in part, disapproval of
amendment in part.
-----------------------------------------------------------------------
SUMMARY: We, the Office of Surface Mining Reclamation and Enforcement
(OSMRE), are approving amendments to the West Virginia regulatory
program (the West Virginia program) under the Surface Mining Control
and Reclamation Act of 1977 (SMCRA or the Act). These amendments make
changes to the West Virginia Surface Coal Mining and Reclamation Act
(WVSCMRA), the Code of West Virginia (W.Va. Code), and the West
Virginia Code of State Rules (CSR).
DATES: This rule is effective April 17, 2024.
FOR FURTHER INFORMATION CONTACT: Mr. Michael Castle, Acting Director,
Charleston Field Office, Telephone: (859) 260-3900. Email: [email protected].
SUPPLEMENTARY INFORMATION:
I. Background on the West Virginia Program
II. Submission of the Amendment
III. OSMRE's Finding
IV. Summary and Disposition of Comments
V. OSMRE's Decision
VI. Statutory and Executive Order Reviews
I. Background on the West Virginia Program
Subject to OSMRE's oversight, section 503(a) of the Act permits a
State to assume primacy for the regulation of surface coal mining and
reclamation operations on non-Federal and non-Indian lands within its
borders by demonstrating that its program includes, among other things,
State laws and regulations that govern surface coal mining and
reclamation operations in accordance with the Act and consistent with
the Federal regulations. See 30 U.S.C. 1253(a)(1) and (7). Based on
these criteria, the Secretary of the Interior conditionally approved
the West Virginia program on January 21, 1981. You can find background
information on the West Virginia program, including the Secretary's
finding, the disposition of comments, and conditions of approval of the
West Virginia program in the January 21, 1981, Federal Register (46 FR
5915). You can also find later actions concerning West Virginia's
program and program amendments at 30 CFR 948.10, 948.12, 948.13,
948.15, and 948.16.
II. Submission of the Amendment
WV-118-FOR
By letter dated April 25, 2011, received by us on May 2, 2011
(Administrative Record Number WV-1561), the West Virginia Department of
Environmental Protection (WVDEP) submitted an amendment to its program
under SMCRA, docketed as WV-118-FOR. The proposed amendment consists of
regulatory revisions to the West Virginia Surface Mining Reclamation
Regulations at CSR Title 38, Series 2, as contained in Committee
Substitute for Senate Bill 121 of 2011. See 2011 W.Va. Acts ch. 109. As
is discussed more fully below, because West Virginia has made multiple
submissions with respect to the same or similar provisions of statue
and regulations, only a portion of the original submission from West
Virginia will be addressed in this final rule. The remaining portion of
WV-118 will be addressed in a subsequent final rule.
Relevant to this Notice, Senate Bill 121 authorizes regulatory
revisions codifying an emergency rule issued on December 16, 2009,
which amend the existing West Virginia coal mining regulations by
adding trust funds and annuities as approved forms of financial
assurance instruments.
We announced receipt of the proposed amendment in the November 2,
2011, Federal Register (76 FR 67637). In the same notice, we opened a
public comment period and provided an opportunity for a public hearing
on these provisions (Administrative Record Number WV-1573). The public
comment period closed on December 2, 2011. We received responses from
three Federal agencies stating that they had no comments.
WV-126-FOR
By letters dated May 2, 2018 (Administrative Record Nos. WV-1613A,
in part, and WV-1613B), WVDEP submitted an amendment to its program
under SMCRA, docketed as WV-126-FOR. The amendment contains revisions
to the WVSCMRA and the West Virginia Surface Mining Reclamation
Regulations at CSR 38-2-1 et seq., as contained in Committee
Substitutes for Senate Bills 163 and 626 of 2018. See 2018 W.Va. Acts
chs. 141, 152.
Senate Bill 163 seeks to revise regulatory provisions involving
definitions, reclamation, the environmental security account for water
quality, water quality enhancement and modifying sections on
incremental bonding, release of bonds, forfeiture of bonds, effluent
limitations, and blasting.
Senate Bill 626 seeks to revise statutory provisions about the
method in which permit applications, permit revisions, and informal
conferences are advertised under WVSCMRA and make several editorial
corrections about items such as position titles and agency names.
We announced the receipt of the proposed amendment in the February
14, 2020, Federal Register (85 FR 8497). In the same document, we
opened the public comment period and provided an
[[Page 19263]]
opportunity for a public hearing or meeting on the adequacy of the
amendment. The public comment period ended on March 16, 2020. We did
not hold a public hearing or meeting because one was not requested. We
received one public comment that is addressed below in the Public
Comments section of part IV, Summary and Disposition of Comments.
When announcing the proposed amendment, we removed the blasting
portion of Senate Bill 163 from the proposed rule and subsequently
announced it on February 10, 2020, (85 FR 7476), as a part of the West
Virginia program amendment WV-123-FOR. West Virginia had previously
submitted an amendment to its blasting regulations that had not been
approved; therefore, in order to keep all changes to the blasting
regulations together, we consolidated them into WV-123-FOR.
WVDEP-Division of Mining and Reclamation (DMR) sent a letter to the
Regional Director, Interior Regions 1 and 2, dated February 3, 2020. In
its letter, West Virginia asked us to prioritize part of the WV-118-FOR
submission, in particular changes to CSR 38-2-11.3.f pertaining to
financial assurance requirements, which also relates to requirements to
release bonds and forfeiture of bonds. These changes are discussed in
detail below.
III. OSMRE's Findings
We are approving in part and disapproving in part the revisions
proposed in WV-118 and WV-126 as described below. We made the following
findings concerning West Virginia's amendment as provided under SMCRA
and the Federal regulations at 30 CFR 732.15 and 732.17. Any revisions
that we do not specifically discuss below concerning non-substantive
wording or editorial changes can be found in the full text of the
program amendment available at www.regulations.gov, searchable by the
Docket ID Numbers referenced at the top of this notice.
Statutory Revisions
The following describes the substantive statutory revisions that
WVDEP submitted to OSMRE for approval on May 2, 2018 (Administrative
Record WV-1613-B) (WV-126).
1. W.Va. Code 22-3-9(a)(6). Permit Application Requirements and
Contents
West Virginia submitted a revision to this statutory provision that
would remove the requirement that an applicant's advertisement of its
permit application must be published in a newspaper of general
circulation in the locality of the proposed permit area at least once a
week for four successive weeks and add in its place a requirement that
an applicant's advertisement must be on a form and in a manner
prescribed by the Secretary, which manner may be electronic.
OSMRE Finding: We are not approving this section of the amendment
as it is less stringent than sections 507(b)(6) and 513(a) of SMCRA (30
U.S.C. 1257(b)(6) and 1263(a)) and less effective than the Federal
regulations at 30 CFR 773.6. Updating the public notification process
to include electronic means is desirable. However, SMCRA specifically
requires that permit applications, significant revisions, or renewal of
a permit must be announced with an advertisement in a local newspaper
of general circulation in the locality of the mining and reclamation
operation at least once a week for four consecutive weeks. As one of
the commenters notes, West Virginia cannot ensure that electronic
public notice will reach the same audience contemplated by SMCRA's
newspaper requirement. Therefore, while adding electronic means is
encouraged, the elimination of the newspaper requirement renders the
proposal less stringent and less effective than the Federal
requirements.
2. W.Va. Code 22-3-20. Public Notice; Written Objections; Public
Hearings; Informal Conferences
West Virginia submitted two revisions to this statutory provision
consistent with its proposed revision to section 22-3-9(a)(6), above.
The first revision, concerning subsection (a), would remove the
requirement that, at the time of submission, the applicant must place
the advertisement of its permit application or permit revision in a
local newspaper of general circulation in the county of the proposed
surface mining operation at least once a week for four consecutive
weeks and add in its place a requirement that the applicant must submit
to WVDEP a copy of the required advertisement for public notice on a
form and in a manner prescribed by the Secretary, which manner may be
electronic. The second revision, concerning subsection (b), would
remove the requirement that the Secretary of WVDEP must advertise the
date, time, and location of the informal conference in a newspaper of
general circulation in the locality of the operation at least two weeks
before the scheduled informal conference date and add in its place that
the advertisement be on a form and in a manner prescribed by the
Secretary, which manner may be electronic.
OSMRE Finding: We are not approving the proposed revision to
section 22-3-20(a) as it is less stringent than sections 507(b)(6) and
513(a) of SMCRA (30 U.S.C. 1257(b)(6) and 1263(a)) and less effective
than the Federal regulations at 30 CFR 773.6, which require that permit
applications, significant revisions, or renewal of a permit must be
announced with an advertisement in a local newspaper of general
circulation in the locality of the mining and reclamation operation at
least once a week for four consecutive weeks. As noted above, while
updating the public notification process to include electronic means is
desirable, the elimination of the newspaper requirement renders the
proposal less stringent and less effective than the Federal
requirements. For these same reasons, we are also not approving the
proposed revision to W.Va. Code 22-3-20(b) amending the notice
requirement, as doing so would render the provision less stringent than
section 513(b) of SMCRA (30 U.S.C. 1263(b)) and less effective than the
Federal regulations at 30 CFR 773.6(c)(2)(ii), which require the
regulatory authority to advertise the date, time, and location of
informal conferences in a newspaper of general circulation in the
locality of the proposed operation.
Regulatory Revisions
The following describes substantive regulatory revisions that WVDEP
submitted to us for approval on April 25, 2011 (Administrative Record
WV-1561) (WV-118) and May 2, 2018 (Administrative Record WV 1613-A)
(WV-126).
1. CSR 38-2-2. Definitions
West Virginia proposes to remove the following definitions for lack
of Federal counterpart:
a. CSR 38-2-2.6. Acid Test Ratio means the relation of quick assets
to current liabilities.
b. CSR 38-2-2.37. Completion of Reclamation means that all terms
and conditions of the permit have been satisfied, the final inspection
report has been approved by the Secretary, that all applicable effluent
and applicable water quality standards are met, and the total bond has
been released.
OSMRE Findings: The term ``acid test ratio'' has no Federal
counterpart and is not used in the existing West Virginia regulations;
the CSR defines other terms, including ``asset ratio'' and ``current
ratio'' under CSR 38-2-2 (relating to definitions); and ``current
assets'' and ``current liabilities,'' as
[[Page 19264]]
defined and used under CSR 38-2-11.3.d (relating to self-bonding), make
up the definition of ``acid test ratio.'' As such, we have determined
that the proposed deletion does not render the West Virginia statute or
regulations either less stringent than SMCRA or less effective than the
Federal regulations found at 30 CFR 701.5, and we approve of its
removal.
There is no direct counterpart in the Federal regulations for the
West Virginia defined term ``completion of reclamation.'' This term
follows the WVSCMRA requirements that an operator must faithfully and
fully perform all requirements of the statute and of the permit before
a bond is fully released and reclamation is determined to be complete.
See W.Va. Code 22-3-11; 22-3-23(c)(3).
While the Federal regulations do not define the term ``completion
of reclamation'' they do define ``reclamation'' at 30 CFR 701.5 as
``those actions taken to restore mined land as required by this chapter
to a postmining land use approved by the regulatory authority''
(emphasis added). In addition to the term ``completion of
reclamation,'' the CSR contains a stand-alone term ``reclamation''
defined as ``those actions taken to restore mined land to the approved
postmining land use.'' Notably missing from the West Virginia
definition is the reminder of the obligation to take all actions
required by the regulations including those not solely focused on
restoring mined land to its approved postmining land use approved by
the regulatory authority.
The Federal regulations at 30 CFR 732.15 clarify that the State's
laws and regulations, collectively, must be in accordance with SMCRA
and consistent with the Federal regulations. We have previously found
the CSR definition of ``reclamation'' to be no less effective than the
Federal requirements when the regulations are ``viewed in their
entirety with WVSCMRA,'' despite its deviation from the Federal
definition. See 55 FR 21304, 21306 (May 23, 1990) (explaining that any
provisions not specifically discussed in this notice were
``substantively identical to the corresponding Federal regulations in
effect on June 9, 1988, with minor changes to improve clarity and
specificity and to incorporate State references and terms were deemed
necessary or useful''). While nothing in the approved West Virginia
stand-alone definition of ``reclamation'' permits operators to deviate
from the statutory and regulatory requirements, the term ``completion
of reclamation'' offers clarity and an unambiguous reminder of the
obligation, similar to that in the Federal definition of
``reclamation,'' to take all actions required by the regulations, not
just those necessary to achieve the approved postmining land use as
approved by the regulatory authority. Specifically, it requires that
``all terms and conditions of the permit have been satisfied, the final
inspection report has been approved by the Secretary, that all
applicable effluent and applicable water quality standards are met, and
the total bond has been released.'' The additional protections
incorporated in the term ``completion of reclamation'' are now proposed
to be removed. When taken together, the two approved terms
``reclamation'' and ``completion of reclamation'' made the West
Virginia program no less effective than the Federal regulations. The
current proposal to remove one of the two terms would make the West
Virginia program collectively less effective than the Federal
regulations in that it would create an ambiguity in the requirement to
take all actions required by the regulations beyond those immediately
necessary to restore mined land to a postmining land use approved by
the regulatory authority.
For example, we first relied upon the definition of the term
``completion of reclamation'' when we approved the definition of the
term ``disturbed area'' currently in W.Va. Code 22-3-3(j). See 46 FR
5915, 5920 (Jan. 21, 1981). In that approval, we explained that even
though West Virginia's definition of ``disturbed area'' lacked language
from the Federal definition prescribing that an area is considered
disturbed until the bond is released, the definition of ``completion of
reclamation'' made that clear. Later, we relied upon the definition of
the term ``completion of reclamation'' to remove required amendments of
the West Virginia program with respect to its financial assurance
requirements and obligations. West Virginia uses an approved
alternative bond system that is designed to achieve the objectives and
purposes of section 509 of SMCRA as implemented in 30 CFR 800.11(e)(1).
Historically, West Virginia's alternative bond system, commonly
referred to as the Special Reclamation Fund, has been the subject of
amendments, some required by us to address inadequacies of the system,
eliminate the deficit in the State's alternative bonding system, and
ensure that sufficient money will be available to complete reclamation.
Those obligations included the treatment of polluted water discharged
from all bond forfeiture sites and a requirement that moneys from the
Special Reclamation Fund must be used, where needed, to pay for water
treatment on bond forfeiture sites. These required amendments were
removed, in part, based upon the existing definition at CSR 38-2-2.37
and its role in supporting the mandatory requirement that bond
forfeiture monies be used, where needed, for acid mine drainage
treatment. See 60 FR 51900 (October 4, 1995); 66 FR 67446 (December 28,
2001); and 67 FR 37610, 37613-14 (May 29, 2002).
In view of the statutory and regulatory framework and history
discussed, we conclude that the removal of the definition ``completion
of reclamation'' would render the West Virginia program less effective
than the Federal regulations, and we are not approving its removal.
2. CSR 38-2-9. Revegetation
CSR 38-2-9.3.d Standards for Evaluating Vegetative Cover. West
Virginia proposes to amend this section to remove the minimum two-year
waiting period for WVDEP to conduct a vegetative inspection, a
precondition to a Phase II bond release. The proposal will remove the
phrase ``Not less than two (2) years following the last date of
augmented seeding'' while retaining the requirement: ``the Secretary
shall conduct a vegetative inspection to verify that applicable
standards for vegetative success have been met.''
OSMRE Findings: The Federal regulations at 30 CFR 816.116 and the
West Virginia regulations at CSR 38-2-9.3 identify the applicable
standards for vegetative success, and 30 CFR 800.40(c) and CSR 38-2-
12.2.c describe the regulatory authority's responsibility to verify
compliance with revegetation requirements before releasing a
commensurate amount of bond. While individual vegetative standards can
have timing elements associated with their successful establishment
(for example, trees and shrubs counted to determine the success of fish
and wildlife habitat must be in place for not less than two growing
seasons, see 30 CFR 816.116(b)(3)(ii) and CSR 38-2-7.7.f.3 and 9.3.g),
neither SMCRA nor the Federal regulations establish a blanket waiting
period for the regulatory authority to conduct an evaluation of
vegetative success. The two year waiting period for inspection under
the successful revegetation standards in CSR 38-2-9.3.d is a companion
provision to CSR 38-2-12.2.c.2, which requires for Phase II bond
release that ``[n]ot less than two years after the last augmented
seeding, standards for revegetation success have been met.'' West
Virginia also proposes to delete
[[Page 19265]]
CSR 38-2-12.2.c.2, which we discuss and approve below.
When we approved West Virginia's inspection frequency of inactive
mines, we explained that West Virginia's two-year requirement under CSR
38-2-12.2.c.2 was more stringent than Federal requirements. The Federal
requirements at 30 CFR 800.40(c) ``require only that revegetation be
successfully established, with the definition of `established' left to
the discretion of the regulatory authority, provided it includes
adequacy to control erosion and compliance with the species composition
requirements of the reclamation plan.'' See 55 FR 21304 (May 23, 1990).
When a regulatory authority proposes to remove a provision that is more
stringent than the Federal requirements, we must still ensure the
remaining provisions are not rendered less stringent than those
requirements. For purposes of the inspection following an application
for bond release, the timing of WVDEP's inspection under CSR 9.3.d is
not critical to a mining operator's achievement of the relevant
vegetative performance standard or to WVDEP's evaluation of whether the
standard is met. The proposed amendment to CSR 38-2-9.3.d retains West
Virginia's commitment to verify that applicable standards for
vegetative success have been met before the relevant portion of bond is
released and, therefore, is no less stringent than Sections 505 and 519
of SMCRA (30 U.S.C. 1265 and 1269) or less effective than the Federal
regulations at 30 CFR 800.40 and 816.116. Therefore, we are approving
the amendment.
3. CSR 38-2-11. Insurance and Bonding
CSR 38-2-11.3.f--Special consideration for sites with long-term
postmining pollutional discharges. West Virginia proposes to add a new
rule which states that, upon approval of the WVDEP Secretary, a
permittee may establish a trust fund, annuity, or both to guarantee
treatment of long-term postmining pollutional discharges in lieu of
posting one of the other approved forms of bond. The new rule subjects
the trust fund or annuity to the following conditions: (1) WVDEP will
determine the amount of the trust fund or annuity, and that amount must
be adequate to meet all anticipated treatment needs, including capital
and operating expenses; (2) it must be in a form approved by WVDEP and
contain all terms and conditions required by WVDEP; (3) it must
irrevocably establish WVDEP as the beneficiary; (4) WVDEP will specify
the investment objectives of the instrument; (5) termination will only
occur only as specified by WVDEP upon its determination that no further
treatment or other reclamation measures are necessary, that a
replacement bond or other financial instrument has been posted, or that
the administration of the instrument requires termination in accordance
with its purpose; (6) release of money may be made only upon written
authorization by WVDEP or according to a schedule established in the
trust or annuity agreement; (7) the financial institution or company
serving as trustee or issuing the annuity must be a bank or trust
company organized or authorized to do business in West Virginia, a
national bank chartered by the West Virginia Office of the Comptroller
of the Currency, an insurance company licensed or authorized to do
business in West Virginia or designated by the West Virginia Insurance
Commissioner as an eligible surplus lines insurer, or any other
financial institution or company with trust powers and with offices
located in West Virginia provided that its activities are examined or
regulated by a State or Federal agency; (8) the trust fund or annuity
must be established in a manner that guarantees that sufficient money
is will be available to pay for the treatment of postmining pollutional
discharges (including maintenance, renovation, and replacement of
treatment support facilities), the reclamation of sites upon which the
treatment facilities are located, and areas used in support of those
facilities.
Finally, West Virginia's new rule specifies that when the trust
fund or annuity is in place and fully funded sufficient to treat all
discharges and reclaim all areas involved in such treatment, WVDEP may
approve the release of conventional bonds posted for the permit or
permit increment, provided that apart from the pollutional discharge
covered by the trust or annuity, the area fully meets all applicable
reclamation requirements. The new rule further specifies that portions
of the permit required for treatment must remain bonded, but that the
trust or annuity serves as that bond.
OSMRE Findings: SMCRA, WVSCMRA, and their implementing regulations
require that performance bonds or approved alternatives be sufficient
to cover treatment of long-term postmining pollutional discharges in
the event that the permittee fails to do so. See 30 U.S.C. 1259(a) and
W.Va. Code 22-3-11. W.Va. Code 22-3-11(a) requires that each permittee
post a performance bond conditioned upon faithful performance of all
the requirements of the WVSCMRA and the permit. W.Va. Code 22-3-
11(c)(2) authorizes the Secretary of WVDEP to ``approve an alternative
bonding system if it will: (A) Reasonably assure that sufficient funds
will be available to complete the reclamation, restoration and
abatement provisions for all permit areas which may be in default at
any time; and (B) provide a substantial economic incentive for the
permittee to comply with all reclamation provisions.'' The statutory
requirements for a ``reclamation plan'' include the measures to be
taken to assure the protection of water quality. See W.Va. Code 22-3-
10.
A prudent approach to provide financial assurances for long-term
treatment of pollutional discharges is to allow the permittee to
establish a dedicated income-producing account, such as a trust fund or
annuity or both, that is held by a third party as trustee for the
regulatory authority. Neither trust funds nor annuities are
specifically defined in WVSCMRA or SMCRA. However, we have previously
recognized and approved trust funds as a form of collateral bond, as
well as an alternative bonding mechanism. See 70 FR 25472 (May 13,
2005), amended at 70 FR 52916 (May 13, 2005); and 75 FR 48526 (August
10, 2010). In addition, trust funds and annuities are approved as
options for bonding long-term pollutional discharges in Tennessee under
our implemented Federal regulatory program. See 30 CFR 942.800(c).
Trust funds and annuities give the permittee a mechanism to
generate a revenue stream to fund long-term treatment of pollutional
discharges. See 72 FR 9615 (March 2, 2007). Under the provisions West
Virginia proposes, the income stream from a fully funded trust fund or
annuity will be used to fund treatment of postmining pollutional
discharges (including maintenance, renovation, and replacement of
treatment and support facilities as needed) and the reclamation of the
sites upon which treatment facilities are located and areas used in
support of those facilities. The trust fund or annuity will be employed
in a manner to ensure final bond release is not permitted until all
reclamation is completed and all pollutional discharges are eliminated
or otherwise cease to exist. The provisions West Virginia has proposed
are identical to those we promulgated for the Tennessee program at 30
CFR 942.780(c), with the exception of certain agency names and internal
citations consistent with the existence and use of these trusts and
annuities in West Virginia under the
[[Page 19266]]
approved West Virginia program. We have determined that West Virginia's
addition of special consideration for sites with long-term postmining
pollutional discharges is in accordance with the provisions of SMCRA
and consistent with its implementing Federal regulations, and we
approve of its addition.
a. CSR 38-2-11.4--Incremental Bonding. West Virginia proposes to
amend this section to reflect the counterpart language found at 30 CFR
800.11.
OSMRE Findings: West Virginia's revised language is substantively
identical to the Federal counterpart provisions of 30 CFR 800.11 that
include incremental bonding. In its revision, West Virginia eliminates
a prohibition in paragraph 11.4.a.2. that reads: ``Once the operator
has chosen to proceed with bonding either the entire permit area or
with incremental bonding, he shall continue bonding in that manner for
the term of the permit.'' The provision sought to be removed from the
West Virginia regulations is contained verbatim in W.Va. Code 22-3-
11(a), which will remain in effect. This limitation binding the
operator's decision to bond either the entire permit or by increments
for the life of the permit is not in the Federal regulations or
otherwise required under the Federal program. Removing this limitation
from the West Virginia regulations does not render the proposal less
effective than the Federal regulations. Therefore, we approve the
revisions proposed in CSR 38-2-11.4.
b. CSR 38-2-11.6--Environmental Security Account for Water
Quality-- West Virginia is proposing the removal of subsection 11.6,
which requires WVDEP to study the desirability of developing an
environmental security account for water quality. Subdivisions (a)
through (e) called for the inclusion of: (a) a screening process for
determining which sites have the potential for producing acid mine
drainage, (b) a process for predicting the rate and duration of acid
mine drainage, (c) a method for estimating water treatment costs, (d) a
system to ensure that sufficient monies will be placed in an escrow
account to provide financial assurance that treatment will be
accomplished and maintained, and (e) procedures to ensure the
expenditure of funds from the escrow account in the event of default
will provide water treatment. Furthermore, subdivision 11.6.f provides
that after the study is completed, the Secretary of WVDEP may propose
regulations to implement the environmental security account for water
quality, but the regulations will not become effective until approved
by the legislature. Subdivision 11.6.g provides that the Secretary of
WVDEP will inform the legislature if statutory changes are necessary to
implement an effective system for financial assurances. Subdivision
11.6.h provides that no changes proposed by this subsection shall
authorize in any way the issuance of a permit in which acid mine
drainage is anticipated and which would violate applicable effluent
limitations or water quality standards without treatment. Because this
study was completed, West Virginia is deleting this provision from its
program.
OSMRE Findings: We approved these provisions as part of a decision
on the solvency of West Virginia's alternative bonding system on
October 4, 1995 (60 FR 51900). This provision required WVDEP to prepare
a report and submit it to the West Virginia Legislature within 240 days
so that options could be developed to ensure the solvency of West
Virginia's alternative bonding system. The study, entitled ``Acid Mine
Drainage Bond Forfeiture Report'' was completed and submitted to the
West Virginia Legislature on December 31, 1993. This specific provision
did not modify any duties or functions under the approved West Virginia
program.
We determined that the development of an environmental security
account for water quality could enhance the financial status of the
State's special reclamation fund. We noted at the time that there was
no correlating Federal provision and that any amendments to the program
implemented as a result of the study would have to be approved by us.
West Virginia completed the study and has taken various actions and
approaches towards addressing the solvency of its alternative bonding
system since that time.
The deletion of this specific provision will not have an adverse
impact on the ability or the obligation of the West Virginia
Alternative Bonding System to meet the criteria in 30 CFR 800.11(e),
and we are approving its removal. The renumbering of remaining sections
38-2-11.7 to 38-2-11.6 is likewise approved. This finding does not
express an opinion on the solvency or status of the State's alternative
bonding systems.
4. CSR 38-2-12. Replacement, Release and Forfeiture of Bonds
a. CSR 38-2-12.2.a--West Virginia proposes to add, move, and revise
language at CSR 38-2-12.2.a.3; 38-2-12.2.a.4; 38-2-12.2.a.4.A; and 38-
2-12.2.a.4.B related to bond release. West Virginia proposes requiring,
at paragraph 12.2.a.3, that the applicant provide a notarized statement
certifying applicable reclamation activities have been accomplished. In
addition, West Virginia proposes to restructure and revise existing
language from CSR 38-2-12.2.e, e.1, and e.2 to proposed CSR 38-2-
12.2.a.4, a.4.A, and a.4.B. Proposed CSR 38-2-12.2.a.4 maintains but
modifies the limitation on the release or reduction of bond if water
discharged from or affected by an operation requires chemical or
passive treatment in order to comply with effluent limitations. West
Virginia removed ``or water quality standards'' from the limitation
along with other verbiage modifications. The revised language also
modifies an existing prohibition to allow bond release to now be
considered for Phases II and III on sites with a discharge requiring
treatment so long as the remaining bond or other qualifying financial
assurance is adequate to assure long term treatment. Currently, only
Phase I bond release may be considered under these circumstances. As
proposed, if the applicant demonstrates that the remaining bond is
adequate to assure long term treatment or the operator has provided
irrevocable financial assurances, WVDEP may approve and release the
excess portions of the bond. The application must address, at a
minimum, the current and projected quantity and quality of drainage to
be treated, the anticipated duration of treatment, and the estimated
capital and operating cost of the treatment facility, as well as the
calculations that demonstrate the adequacy of the remaining bond or
financial assurance. Proposed CSR 38-2-12.a.4.A makes no changes to
existing CSR 38-2-12.e.1. Proposed CSR 38-2-12.a.4.B rephrases portions
of existing CSR 38-2-12.e.1, adds references to the Federal and state
statutes governing water quality treatment, removes a proviso that the
alternate arrangement provides a mechanism by which WVDEP can assume
the treatment work in the event of the operator's default, and deletes
language stating that default on the treatment obligation ``shall be
considered equivalent to a bond forfeiture,'' while retaining that
default will subject the operator to penalties and sanctions, including
permit blocking.
OSMRE Findings: CSR 38-2-12.2.a.3 is identical to the Federal
provision at 30 CFR 800.40(a)(3), which requires certification of all
reclamation activities, except West Virginia references ``the rules
promulgated thereof'' instead of ``the regulatory program.'' This
difference is merely editorial; therefore, we are approving this
provision. CSR
[[Page 19267]]
38-2-12.2.a.4.A is identical to CSR 38-2-12.2.e.1 as we approved it in
the July 24, 1996, Federal Register (61 FR 38382), and so we are
approving its move.
The provisions at CSR 38-2-12.2.a.4 and 12.2.a.4.B include some
revisions to the language we approved in the July 24, 1996, Federal
Register (61 FR 38382). While moving the language, West Virginia has
excised ``or water quality standards'' from the previously approved
phrase ``effluent limitations or water quality standards.'' However,
West Virginia's performance standards at CSR 38-2-14.5.b., both the
existing version and after the revisions we are approving below,
describe ``effluent limitations'' broadly, incorporating all applicable
water quality laws and regulations. Therefore, we are approving this
change.
Next, West Virginia revises the language of paragraph 12.2.a.4 to
allow Phase II and Phase III bond release to be considered for sites
with a discharge requiring treatment, where the existing paragraph only
allows Phase I release. The two subparagraphs, 4.A and 4.B, allow
release only when the remaining bond is adequate to assure long term
treatment or the operator provides an irrevocable financial assurance
adequate to provide long term treatment. This is consistent with our
decisions approving treatment trusts and annuities in Pennsylvania, see
70 FR 25472, 25474 (May 13, 2005) (approving 52 P.S. 1396.4(g)(3)
authorizing Phase III bond release when the operator has made
provisions for ``the sound future treatment of pollutional discharges''
and other relevant requirements are met), and Tennessee, see 72 FR
9636, 9619, 9625-26 (March 2, 2007) (promulgating 30 CFR 942.800(c)(9)
providing for the release of conventional bonds upon providing a fully-
funded trust or annuity to provide for treatment and otherwise meeting
reclamation requirements). However, in those approvals we explained
that the release of conventional bonds cannot occur until the long-term
irrevocable financial assurance is in place and fully funded and other
reclamation obligations have been completed and that the remaining site
required for treatment must remain bonded but the long-term financial
assurance may act as that bond. We also explained that this action is a
form of partial bond release in accordance with 30 CFR 800.40(c). West
Virginia provides these requirements in the proposed regulations
authorizing treatment trusts and annuities at CSR 38-2-11.3.f.8 and
f.9, discussed and approved above. However, CSR 38-2-12.2.a.4 and a.4.B
are not limited to trust funds and annuities. They apply generally to
any irrevocable financial assurance in a form satisfactory to WVDEP,
which could include, for example, a dedicated escrow account funded
through monthly deposits, see CSR 38-2-11.3.e.2.B.1. West Virginia's
escrow account provisions do not separately require the account to be
fully funded before all phases of the bond may be released. The broader
application of paragraph 12.2.a.4 and subparagraph a.4.B justify the
two provisos, which West Virginia proposes to delete, that the
arrangement allow for WVDEP's management of treatment in the event of
default and that default ``shall be considered equivalent to a bond
forfeiture.'' We did not expressly discuss those provisos when we
initially approved them under CSR 38-2-12.2.e.2. See 61 FR 38382,
38384-85 (July 24, 1996). While these provisos might be redundant or
unnecessary when the irrevocable financial assurance is a trust fund
(where WVDEP is the trustee and the trust is not collected like a
bond), they might be necessary where the financial assurance takes a
different form, such as a dedicated escrow account, which is allowed to
be funded in monthly installments and would require forfeiting upon
default. The proposed revisions would leave financial security
arrangements other than trust funds and annuities without a set of
safeguards to ensure they are fully funded and that a permitted site
remains. Therefore, the revisions would render the West Virginia
program less effective than the Federal regulations concerning bond
release at 30 CFR 800.40 and less stringent than the requirements of
SMCRA. Therefore, we are approving the renumbering of, and revisions
to, CSR 38-2-12.2.a.4 and a.4.B except the following: from subdivision
12.2.e, now paragraph 12.2.e.4, the deletion of the phrase ``Phase I
but not Phase II or III'' from the last sentence; and from paragraph
12.2.e.2, now subparagraph 12.2.a.4.B, deletion of the proviso that the
financial arrangement provide a mechanism whereby WVDEP can assume
management of the resource and treatment work in the event of operator
default, and deletion of the proviso that default is considered
equivalent to a bond forfeiture. Our decision regarding these
provisions does not affect our approval above of CSR 38-2-11.3.f.8 and
f.9 related specifically to the release of conventional bonds where
trust funds and annuities meet all applicable requirements.
b. CSR 38-2-12.2.c.--West Virginia proposes to modify its existing
language in this section covering the release of bonds to make it
substantively identical to the Federal regulations found at 30 CFR
800.40(c). West Virginia is revising language with respect to the WVDEP
Secretary's authority to release all or part of the bond for the entire
permit or incremental area if they are satisfied that all reclamation
or a phase of the reclamation covered by the bond has been accomplished
in accordance with the schedules for reclamation Phases I, II, and III.
Through its restructured language, West Virginia has removed the
specific limitations relevant to open-acre permit bonding (i.e., that
all coal extraction operations for the permit or increment thereof are
completed and that the entire disturbed area for the permit or
increment thereof has been completely backfilled and regraded before
bond release), and moved the former prohibitions and requirements
associated with bond release on sites with water discharges requiring
treatment to the preceding section. In addition, West Virginia has
eliminated the previously approved requirement that no violations exist
relative to the permitted site before bond is released.
In its proposed revision of CSR 38-2-12.2.c.1, while mirroring the
language of 30 CFR 800.40(c)(1), West Virginia eliminates specific
references to compliance with the WVSCMRA, its implementing rules, and
the terms and conditions of the permit, as well as a specific inclusive
reference to the need to meet all requirements pertaining to
maintaining the hydrologic balance before a Phase I bond release may
occur.
In its proposed revision of CSR 38-2-12.2.c.2, West Virginia has
eliminated the specified amount (25 percent) that is to be returned
upon a Phase II bond release and has eliminated the minimum two-year
waiting period after the last augmented seeding standards have been met
before a Phase II bond release may occur. As a result of the
modifications, the remaining subsections are renumbered.
In its proposed revision of CSR 38-2-12.2.c.3, West Virginia has
adopted language from the Federal requirements pertaining to the
conditions necessary for the release of a Phase III bond while
excluding the requirement that ``all surface coal mining and
reclamation activities'' be successfully completed before Phase III
bond release. See 30 CFR 800.40(c)(3). West Virginia's proposal is that
``reclamation activities'' be complete before any such release.
OSMRE Findings: Through its restructured language, West Virginia
looks to simplify and revise its existing provisions with respect to
the release of bonds to more closely model Federal
[[Page 19268]]
language. However, West Virginia's approved program uses an alternative
bonding system. This system requires extensive consideration of
multiple interdependent factors in arriving at and maintaining a
particular bond amount. Through its proposed restructured language,
West Virginia is proposing the removal of the specific limitation
relevant to open-acre bonding that all coal extraction operations for
the permit or increment thereof are completed and that the entire
disturbed area for the permit or increment thereof has been completely
backfilled and regraded before bond release. In the original approval
of this provision, we found: ``The State proposes to add new
[subdivision 12.2.d] to prohibit the release of any portion of the
bonds posted in accordance with subsection 11.5 (open-acre limit
bonding) until all coal extraction operations are completed and the
entire disturbed area has been completely backfilled and regraded.
Because of the floating nature of this type of bond, this restriction
is needed to provide a degree of protection consistent with other types
of site-specific bond authorized under the alternative bonding
system.'' 60 FR 51908 (October 4, 1995). Having previously found that
these restrictions were necessary as part of the alternative bonding
system, absent any rationale or alternative measures demonstrating why
this provision is no longer necessary, we do not approve the change.
Likewise, as discussed above, the restrictions regarding sites with
water discharges are also relevant to bond release. Therefore, the
existing introductory language ``except as provided in subdivisions
12.2.d and 12.2.e'' at CSR 38-2-12.2.c. is retained. We are approving
an editorial correction that is necessary to correct the now changed
reference from ``12.2.e'' to ``12.2.a.4.''
In its proposed revision of 38-2-12.2.c.1, West Virginia proposes
the elimination of requirements to comply with ``the Act, this rule,
and the terms and conditions of the permit'' as well as the elimination
of the specific inclusive reference of the need to meet all
requirements pertaining to maintaining the hydrologic balance before a
Phase I bond release may occur. These references are eliminated in
favor of the Federal language that requires compliance with the
``approved reclamation plan.'' Unlike the Federal regulations at 30 CFR
780.18, the approved West Virginia regulations do not include a
specific provision defining the requirements of the ``reclamation
plan.'' However, W.Va. Code 22-3-10 identifies the extensive
requirements for a reclamation plan and requires them to be included
``in the degree of detail necessary to demonstrate that reclamation
required by [WVSCMRA] can be accomplished.'' This provision of WVSCMRA
remains in effect. When taken together, removal of the requirement
references in this section of the West Virginia regulations in favor of
the encompassing section of the WVSCMRA does not render the program
less stringent than SMCRA or less effective than the Federal
regulations. Therefore, we are approving the revisions proposed in 38-
2-12.2.c.1.
With respect to the proposed revision of CSR 38-2-12.2.c.2,
eliminating the specified amount (25 percent) that is to be returned
upon a Phase II bond release, and CSR 38-2-12.2.c.2.A, eliminating the
minimum two-year waiting period after the last augmented seeding before
revegetation standards may be met for a Phase II bond release to occur,
the Federal regulations neither specify an amount of bond to be
released upon Phase II nor do they proscribe a time period for the
determination that revegetation has been established for the purpose of
Phase II bond release. Rather, the Federal regulations give the
regulatory authority discretion to determine what amount of bonding is
adequate to complete all required reclamation and to determine when
successful revegetation has been established. See 30 CFR 800.40(c)(2);
see also 48 FR 32932, 32953 (July 19, 1983) (removing a 25 percent
Phase II maximum bond release from the Federal regulations at 30 CFR
800.40(c)(2)). As we note in our findings above about revision to CSR
9.3.d, the two-year requirement was more stringent than the Federal
requirements, which contain no direct counterpart. The remaining
provisions direct the standards of revegetation and obligate WVDEP to
inspect and determine whether those standards are met. Therefore, we
approve of those revisions because they are no less effective than the
Federal regulations. We also approve of the renumbering of
subparagraphs in CSR 38-2-12.2.c.2. We note separately that West
Virginia has also proposed to remove the 25 percent Phase II maximum
bond release from its statutes at W.Va. Code 22-3-23(c)(1)(B). We have
not yet acted on that program amendment, docketed at WV-125-FOR and
published as proposed in the April 8, 2019, Federal Register (84 FR
13853), but that has no effect on our approval of the instant revision
deleting that requirement from the regulations.
In its proposed revision of CSR 38-2-12.2.c.3, West Virginia
proposes to adopt some of the language from the Federal requirements
pertaining to the conditions necessary before the release of all or
part of a Phase III bond while excluding the requirement that ``all
surface coal mining and reclamation activities'' be successfully
completed. Instead, West Virginia proposes only that ``successful
reclamation activities'' be completed as a condition precedent to any
Phase III bond release. However, W.Va. Code 22-3-23, both before and
after the revisions West Virginia proposes under WV-125-FOR, contains
the full language ``all surface coal mining and reclamation
activities.'' Despite the omission of ``surface coal mining'' in West
Virginia's proposed regulation, its statutory inclusion of ``all
surface coal mining and reclamation activities'' will control how West
Virginia implements the regulation. Therefore, we are approving the
proposed change because it is not less effective than the Federal
regulations.
c. CSR 38-2-12.2.d.--West Virginia proposes to eliminate the
existing prohibition on bond release for any site-specific bonding
(i.e., open-acre bonding) until all coal extraction is completed and
the disturbed area is completely backfilled and regraded.
OSMRE Findings: As noted in our finding 4.b. above, having
previously found that these restrictions were necessary as part of the
alternative bonding system, absent there being any rationale or
alternative measures provided demonstrating why this provision is no
longer necessary, we do not approve the removal of existing CSR 38-2-
12.2.d, and the existing language is retained.
d. CSR 38-2-12.2.e.--West Virginia proposes to restructure and
revise existing approved language in this section and move it to 38-2-
12.2.a.4.
OSMRE Findings: As is set forth above in our finding 4.a., the
proposed revisions to this language are not approved, and, therefore,
the existing language in CSR 38-2-12.2.e is retained.
e. CSR 38-2-12.2.f.--West Virginia proposes to move, unchanged,
this existing language to CSR 38-2-12.2.d. as a result of other
proposed revisions.
OSMRE Findings: As is set forth above in this document, we did not
approve the proposed revisions to CSR 38-2-12.2.d, which affected the
renumbering of this provision; thus, we are also not approving the
proposed movement of this language to CSR 38-2-12.2.d. The existing
language in CSR 38-2-12.2.f is retained.
f. CSR 38-2-12.2.g.--West Virginia proposes to move, unchanged,
this existing language to CSR 38-2-12.2.f as a result of other proposed
revisions.
[[Page 19269]]
West Virginia also proposes to include a new provision for CSR 38-2-
12.2.g, anticipating the aforementioned move, outlining the Secretary's
authority to conduct a hearing on objections.
OSMRE Findings: As is set forth above in this document, we did not
approve the proposed revisions, which affected the renumbering of this
existing provision. Therefore, we are not approving the proposed
movement of existing language to CSR 38-2-12.2.f, and the existing
language in CSR 38-2-12.2.g is retained. We are, however, approving
West Virginia's additional language outlining the Secretary's authority
in conducting a hearing on objections to bond release, which mirrors
the Federal counterpart at 30 CFR 800.40(g). We also approve of an
editorial correction that is necessary to correct the now changed
reference from ``12.2.f'' to ``12.2.g'' or ``this paragraph''.
g. CSR 38-2-12.2.h.--Without change to the existing language, West
Virginia proposes to both renumber existing CSR 38-2-12.2.h to 12.2.i
and to insert it as a new CSR 38-2-12.2.h.
OSMRE Findings: As is set forth above in this document, we did not
approve the proposed revisions, which affected the renumbering of this
existing provision. Therefore, the proposed renumbering of this section
to CSR 38-2-12.2.i is not necessary and would result in duplicative
sections, and we are not approving these revisions. The existing
language in CSR 38-2-12.2.h is retained.
h. CSR 38-2-12.4.a.2.B.--In its section dealing with the forfeiture
of bonds, West Virginia proposes to add and delete language in this
section to make it substantively identical to the Federal regulations
found at 30 CFR 800.50. West Virginia is proposing to revise CSR 38-2-
12.4.a.2.B to include a specific reference to the exception that allows
the Secretary to approve partial surety liability release.
OSMRE Findings: The inclusion of the reference to the exception
mirrors the Federal regulations at 30 CFR 800.50(a)(2)(ii). The
additional reference and rephrasing do not render the proposal less
effective than the Federal regulations, and we therefore approve these
revisions.
i. CSR 38-2-12.4.b.--In this section, West Virginia is proposing to
revise and eliminate specific references to the purposes that bond
proceeds should be used for upon forfeiture, including rules governing
water quality. In revised CSR 38-2-12.4.b.1 and 12.4.b.2, West Virginia
incorporates and adopts language mirroring 30 CFR 800.50(b)(1) and (2),
which identifies the steps to be undertaken upon forfeiture and the
authorized use of those funds for completing the reclamation plan, or
portion thereof, on the permit area or increment to which the bond
coverage applies.
OSMRE Findings: In CSR 38-2-12.4.b, 4.b.1, and 4.b.2, West Virginia
proposes to incorporate and adopt language mirroring that of the
Federal regulations. While the inclusion of references to specific
provisions pertaining to water quality have been removed in the
revision of this subsection to mirror the Federal counterparts, the
obligations of the West Virginia program to require adequate financial
assurance for the treatment of pollution discharges and to use those
funds upon forfeiture to complete the reclamation plan, as that
requirement is set forth in W.Va. Code 22-3-10, including requirements
related to water quality, have not been altered or removed. We are
approving these provisions because the requirements to satisfy
obligations related to water quality remain in place.
j. CSR 38-2-12.4.c.--In this section, West Virginia revises
existing language to incorporate and adopt language identical to 30 CFR
800.50(c) further identifying measures the Secretary of WVDEP may take
upon forfeiture. The revision eliminates an existing 180-day window for
initiating operations to reclaim the site in accordance with the
approved reclamation plan or modification thereof. The revised
provision also removes the specific inclusion of taking the most
effective actions possible to remediate acid mine drainage from the
site, including chemical treatment where appropriate, with the
resources available.
OSMRE Findings: In CSR 38-2-12.4.c, the proposed revision mirrors
the Federal regulations, which do not include a specific time frame for
initiating reclamation operations or a specific reference to actions
related to the treatment of acid mine drainage. However, West Virginia
uses an approved alternative bond system that is designed to achieve
the objectives and purposes of section 509 of SMCRA as implemented by
30 CFR 800.11(e)(1). As noted previously, West Virginia's Special
Reclamation Fund has been the subject of amendments, some required by
us, imposed to address inadequacies of the system, to eliminate the
deficit in the State's alternative bonding system, to ensure that
sufficient money will be available to complete reclamation, including
the treatment of polluted water discharged from all bond forfeiture
sites, and to specify that moneys from the Special Reclamation Fund
must be used, where needed, to pay for water treatment on bond
forfeiture sites. These amendments were approved, and required
amendments removed, in part, based upon the revisions made to W.Va.
Code 22-3-11 and this section of the regulations. See, e.g., 60 FR
51900 (Oct. 4, 1995); 66 FR 67446 (Dec. 28, 2001); and 67 FR 37610 (May
29, 2002).
Section 509(c) of SMCRA and 30 CFR 800.11(e) both imply that the
funds held for reclamation must be readily available. Specifically, 30
CFR 800.11(e)(1) specifies that an alternative bonding system must
ensure that ``the regulatory authority will have sufficient money to
complete the reclamation plan for any areas which may be in default at
any time.'' Through our past approvals, we have expressed reservations
about the notion of prioritizing bond forfeited sites insofar as it
could imply deviating from the requirements of 30 CFR 800.11(e)(1).
However, relying upon the State's regulations at CSR 38-2-12.4(c),
which provide that reclamation operations must be initiated within 180
days following final forfeiture notice, we found assurance that the
requirement that all sites for which bonds are posted be reclaimed in
accordance with their reclamation plans and that all sites for which
bonds were posted be properly and timely reclaimed would be fulfilled.
See 60 FR 51900, 51901 (Oct. 4, 1995) and 67 FR 37610, 37616 (May 29,
2002). The removal of this timing provision would nullify previous
corrections to the program and would render the program less effective
than the bond forfeiture provisions at section 509(a) of SMCRA and 30
CFR 800.50(b)(2), or the alternative bonding system criteria of 30 CFR
800.11(e). Therefore, we are not approving this revision, and the
existing language at CSR 38-2-12.4.c is retained.
k. CSR 38-2-12.4.d--In this section, West Virginia revises existing
language to incorporate and adopt language substantively similar to
that of 30 CFR 800.50(d), identifying procedures to follow when the
amount forfeited is insufficient to pay the full cost of reclamation.
Specifically, West Virginia proposes to provide that the Secretary will
make expenditures out of the Special Reclamation Fund to complete the
reclamation of the bonded area and that the Secretary may recover all
costs of reclamation in excess of the amount forfeited from the
operator or permittee. The revision excludes the specific reference to
the statement that the Secretary of WVDEP shall take the most effective
actions possible to remediate acid mine drainage from the site,
including chemical treatment where
[[Page 19270]]
appropriate, with the resources available.
OSMRE Findings: The revised language incorporates and adopts
language substantively similar to that of 30 CFR 800.50(d), modifying
it to reflect West Virginia's use of an alternative bonding system, the
Special Reclamation Fund. Although the revision of this subsection
excludes the specific reference to the statement that the Secretary
shall take the most effective actions possible to remediate acid mine
drainage from the site, including chemical treatment where appropriate,
with the resources available, the West Virginia Code 22-3-11(h)(2)
contains such an instruction, and the obligations of the West Virginia
program to timely reclaim forfeited sites, including remediating acid
mine drainage, has not been altered or removed. Therefore, we approve
this revision.
5. CSR 38-2-12.5--Water Quality Enhancement
West Virginia proposes to delete subsection 12.5 of the West
Virginia regulations, which directs WVDEP's collection, analysis, and
reporting on sites where a bond has been forfeited including, in
particular, data relating to the quality of water being discharged from
forfeited sites. Subdivision 12.5.a requires the Secretary of WVDEP to
establish an inventory of all sites for which bonds have been
forfeited. The inventory is to include data relating to the quality of
water being discharged from the sites. Subdivision 12.5.b requires a
priority listing of these sites based upon the severity of the
discharges, the quality of the receiving stream, effects on downstream
water users, and other factors determined to affect the priority
ranking. Subdivision 12.5.c provides that, until the legislature
supplements or adjusts the special reclamation fund, the Secretary of
WVDEP can selectively choose sites from the inventory for water quality
enhancement projects. Subdivision 12.5.d provides that, in selecting
sites for water improvement projects, the Secretary of WVDEP must
consider relative benefits and costs of the projects. Subdivision
12.5.e requires the Secretary of WVDEP to submit to the legislature, on
an annual basis, a detailed report and inventory of acid mine drainage
from bond forfeiture sites.
OSMRE Findings: This provision was originally added to the West
Virginia regulations in 1995 to implement W.Va. Code 22-3-11(g), which
authorizes WVDEP's actions with respect to bond forfeitures. There is
no companion Federal regulation because West Virginia uses an approved
alternative bond system that is designed to achieve the objectives and
purposes of section 509 of SMCRA as implemented by 30 CFR 800.11(e)(1).
As noted previously, the Special Reclamation Fund has been the subject
of various amendments, some required by us, imposed to address
inadequacies of the system, to eliminate the deficit in the State's
alternative bonding system, and to ensure that sufficient money will be
available to complete reclamation. This obligation includes the
treatment of polluted water discharged from all bond forfeiture sites
and a requirement that moneys from the Special Reclamation Fund must be
used, where needed, to pay for water treatment on bond forfeiture
sites. These amendments were approved, and required amendments removed,
in part, based upon the revisions made to W.Va. Code 22-3-11 and this
section of the regulations. See, e.g., 60 FR 51900 (Oct. 4, 1995); 66
FR 67446 (Dec. 28, 2001); and 67 FR 37610 (May 29, 2002).
An important component of our approval of the required amendments
was the fact that West Virginia had previously established, at W.Va.
Code 22-1-17, the Special Reclamation Fund Advisory Council (Advisory
Council) to oversee the State's alternative bonding system. One of the
duties of the Advisory Council is to study the effectiveness,
efficiency, and financial stability of the Special Reclamation Fund and
the Special Reclamation Water Trust Fund. These funds are managed by
the Office of Special Reclamation (OSR) under the Advisory Council. The
OSR adjusts monies to pay for water treatment at bond forfeiture sites
and ensures that the Fund is effectively used by approval of the
Advisory Council. The Special Reclamation Fund is adjusted to pay for
reclamation of forfeiture sites. The Secretary of WVDEP provides
recommendations on how best to effectively ensure acid mine drainage is
addressed in reports to the Legislature.
Another duty of the Advisory Council, as provided by W.Va. Code 22-
1-17(f)(5), is to contract with a qualified actuary on a regular basis
to determine the Fund's fiscal soundness and to conduct annual informal
reviews of the Special Reclamation Fund. The actuarial studies and the
annual informal financial reviews of the Special Reclamation Fund
assist WVDEP and the State in ensuring that sufficient money will be
available to complete land reclamation and water treatment at existing
and future bond forfeiture sites within the State, a requirement that
parallels the criterion for approval of a State's alternative bonding
system under 30 CFR 800.11(e)(1).
A necessary component of the ability to conduct these studies, and
to fulfill the requirements of the alternative bond system itself, is
the compilation of data as is directed under existing CSR 38-2-12.5.a.
Removing the requirement to maintain an inventory would impede
successful analysis as is required under the West Virginia Code and
implementing regulations and would thwart the efforts put in place to
address the required amendments. Therefore, removal would render the
program less effective than the Federal requirements, and we do not
approve of its removal. The existing language of CSR 38-2-12.5.a is
retained.
Section 509(c) of SMCRA and 30 CFR 800.11(e) are silent on the
question of prioritizing bond forfeited sites for reclamation, but both
imply that the funds held for reclamation must be readily available.
Specifically, 30 CFR 800.11(e)(1) specifies that an alternative bonding
system must ensure that ``the regulatory authority will have sufficient
money to complete the reclamation plan for any areas which may be in
default at any time.'' Through our past approvals, we have expressed
reservations about the notion of prioritization insofar as it could
imply deviating from the requirements of 30 CFR 800.11(e)(1). However,
because the State's regulations at CSR 38-2-12.4.c provide that
reclamation operations must be initiated within 180 days following
final forfeiture notice, a planning process for selection and
prioritization of sites to be reclaimed was determined to not adversely
impact the requirement that all sites for which bonds are posted be
reclaimed in accordance with their reclamation plans, and that all
sites for which bonds were posted be properly and timely reclaimed.
Therefore, the removal of the prioritization language proposed in CSR
38-2-12.5.b; 38-2-12.5.c; and 38-2-12.5.d is consistent with the bond
forfeiture provisions at section 509(a) of SMCRA and 30 CFR
800.50(b)(2), or the alternative bonding system criteria of 30 CFR
800.11(e), and we approve of its removal. See also 60 FR 51901 (Oct. 4,
1995).
As addressed above in our disapproval in CSR 38-2-12.5.a, a
necessary component of the ability to fulfill the requirements of the
alternative bond system is the compilation, review, and reporting of
relevant data on a regular basis. West Virginia Code requires no less.
See W.Va. Code 22-3-11 and 22-1-17. The specifics of the report as
directed in
[[Page 19271]]
existing CSR 38-2-12.5.e provide implementing details consistent with
the requirements established in the West Virginia Code. Removing the
minimum details to be contained in the report and inventory would
impede successful analysis as is required under the West Virginia Code
and implementing regulations and would thwart the efforts put in place
to address the previous required amendments. Removal, without any
indication of replacement, would render the program less effective than
the Federal requirements, and we do not approve of its removal. The
existing language of CSR 38-2-12.5.e is retained and may be renumbered
accordingly in response to the approved removals in this section.
6. CSR 38-2-14--Performance Standards
38-2-14.5.b--Effluent Limitations--West Virginia proposes to revise
language in this subdivision to make it identical to the Federal
regulations found at 30 CFR 816.42. West Virginia removes a reference
to ``the standards set forth in [National Pollutant Discharge
Elimination System (NPDES)] permits'' and the authorizing statutes for
those permits, replacing these references with the requirement to be in
compliance with all applicable State and Federal water quality laws and
regulations, including effluent limitations for coal mining promulgated
by the U.S. Environmental Protection Agency.
OSMRE Findings: The revised language mirrors the counterpart
Federal provision. By mirroring the Federal provision, the revised
subdivision becomes more comprehensive in scope, incorporating the
NPDES standards despite removing the specific reference. Therefore,
revised subdivision 14.5.b is no less effective than the Federal
counterpart regulation at 30 CFR 816.42, and we approve the revision.
IV. Summary and Disposition of Comments
Public Comments
We asked for public comments on the WV-118 amendment in the
proposed rule notice published in the November 2, 2011, Federal
Register (76 FR 67637). We did not receive any comments.
We asked for public comments on the WV-126 amendment in the
proposed rule notice published in the February 14, 2020, Federal
Register (85 FR 8497). We received one comment. This comment is
summarized and addressed below.
The commenter stated that they live in the southern part of West
Virginia and rely on the legal advertisements in their local newspaper
for the opportunity to participate in the permitting process on surface
mining operations near their local residence. The commenter noted that
not all citizens residing in West Virginia have the ways or means to
access internet services and that to a person on a fixed income buying
a local newspaper is less costly than obtaining internet service. They
believe that by not advertising in the local newspaper people will be
at a disadvantage to participate in the permitting process.
OSMRE Response: We are disapproving revisions to W.Va. Code 22-3-9
and 22-3-20 based on the fact that the proposed amendment is less
stringent than sections 507(b)(6) and 513 of SMCRA (30 U.S.C.
1257(b)(6) and 1263) and less effective than the Federal regulation at
30 CFR 773.6, which specifically requires that permit applications,
significant revisions, or renewal of a permit shall be announced in an
advertisement in a local newspaper of general circulation in the
locality of the mining and reclamation operation at least once a week
for four consecutive weeks.
Federal Agency Comments
On March 5, 2020, under 30 CFR 732.17(h)(11)(i) and section 503(b)
of SMCRA, we requested comments on the amendment from various Federal
agencies with an actual or potential interest in West Virginia
amendment WV-126 (Administrative Record No. WV-1634). We did not
receive any comments.
On September 22, 2011, we requested comments on the amendment from
various Federal agencies with an actual or potential interest in West
Virginia amendment WV-118 (Administrative Record No. WV-1570). We did
not receive any comments.
Environmental Protection Agency (EPA) Concurrence and Comments
Under 30 CFR 732.17(h)(11)(ii), we are required to get a written
concurrence from EPA for those provisions of the program amendments
that relate to air or water quality standards issued under the
authority of the Clean Water Act (33 U.S.C. 1251 et seq.) or the Clean
Air Act (42 U.S.C. 7401 et seq.). The only change related to water
standards is to change WVDEP's regulation to mirror the Federal
regulation, which has already received concurrence from EPA. Therefore,
we did not ask EPA to concur on the amendment.
State Historic Preservation Office (SHPO) and the Advisory Council on
Historic Preservation (ACHP)
Under 30 CFR 732.17(h)(4), we are required to request comments from
the SHPO and ACHP on amendments that may have an effect on historic
properties. On March 5, 2020, we requested comments on West Virginia
amendment WV-126 (Administrative Record No.WV-1634). We did not receive
comments from the SHPO or ACHP.
On September 22, 2011, we requested comments on the West Virginia
amendment WV-118 (Administrative Record Numbers WV-1570). We did not
receive comments from the SHPO or ACHP.
V. OSMRE's Decision
Based on the above findings:
1. We are approving in part the amendment (WV-126) that West
Virginia sent to us on May 2, 2018 (Administrative Record No. WV-1613-A
and WV-1613-B).
2. We are not approving revisions to W.Va. Code 22-3-9 and 22-3-20
because the proposed revisions render the West Virginia program less
stringent than sections 507(b)(6) and 513 of SMCRA (30 U.S.C.
1257(b)(6) and 1263) and less effective than the corresponding Federal
regulation at 30 CFR 773.6, which require that permit applications,
significant revisions, or renewal of a permit must be announced in an
advertisement in a local newspaper of general circulation in the
locality of the mining and reclamation operation at least once a week
for four consecutive weeks.
3. We are not approving CSR 38-2-12.2.d, .e, .f, .g and .h, the
elimination of the existing prohibition on bond release for any site
specific bonding (i.e., open-acre bonding) until all coal extraction is
completed and the disturbed area is completely backfilled and regraded
because these restrictions were necessary as part of the alternative
bonding system, absent there being any rationale or alternative
measures provided demonstrating why this provision is no longer
necessary. We are also not approving CSR 38-2-12.4.c, which would
eliminate an existing 180-day window for initiating reclamation
operations to reclaim a site in accordance with the approved
reclamation plan or modification thereof. The removal of this timing
provision would nullify previous corrections to the program and would
render the West Virginia program less effective than the bond
forfeiture provisions at section 509(a) of SMCRA
[[Page 19272]]
and 30 CFR 800.50(b)(2), or the alternative bonding system criteria of
30 CFR 800.11(e). In addition, we are not approving proposed changes to
CSR 38-2-12.5, which includes the deletion of subsection 12.5 of the
West Virginia regulations that directs WVDEP's collection, analysis,
and reporting on sites where bond has been forfeited, including, in
particular, data relating to the quality of water being discharged from
forfeited sites. Removal, without any indication of replacement, would
render the West Virginia program less effective than the Federal
requirements.
4. We are approving the changes to CSR 38-2-11.3.f (WV-118) sent to
us on April 25, 2011 (Administrative Record Number WV-1561), pertaining
to financial assurance requirements (trust funds).
To implement this decision, we are amending the Federal regulations
at 30 CFR part 948 that codify decisions concerning the West Virginia
program. In accordance with the Administrative Procedure Act, this rule
will take effect 30 days after the date of publication.
VI. Statutory and Executive Order Reviews
Executive Order 12630--Governmental Actions and Interference With
Constitutionally Protected Property Rights
This rule would not affect a taking of private property or
otherwise have taking implications that would result in public property
being taken for government use without just compensation under the law.
Therefore, a takings implication assessment is not required. This
determination is based on an analysis of the corresponding Federal
regulations.
Executive Orders 12866--Regulatory Planning and Review, 13563--
Improving Regulation and Regulatory Review, and 14094--Modernizing
Regulatory Review
Executive Order 12866, as amended by Executive Order 14094,
provides that the Office of Information and Regulatory Affairs in the
Office of Management and Budget (OMB) will review all significant
rules. Pursuant to OMB guidance, dated October 12, 1993, the approval
of State program amendments is exempted from OMB review under Executive
Order 12866, as amended by Executive Order 14094. Executive Order
13563, which reaffirms and supplements Executive Order 12866, retains
this exemption.
Executive Order 12988--Civil Justice Reform
The Department of the Interior has reviewed this rule as required
by Section 3 of Executive Order 12988. The Department determined that
this Federal Register document meets the criteria of Section 3 of
Executive Order 12988, which is intended to ensure that the agency
review its legislation and proposed regulations to eliminate drafting
errors and ambiguity; that the agency write its legislation and
regulations to minimize litigation; and that the agency's legislation
and regulations provide a clear legal standard for affected conduct
rather than a general standard, and promote simplification and burden
reduction. Because Section 3 focuses on the quality of Federal
legislation and regulations, the Department limited its review under
this Executive order to the quality of this Federal Register document
and to changes to the Federal regulations. The review under this
Executive order did not extend to the language of the State regulatory
program or to the program amendment that West Virginia drafted.
Executive Order 13132--Federalism
This rule has potential Federalism implications as defined under
section 1(a) of Executive Order 13132. Executive Order 13132 directs
agencies to ``grant the States the maximum administrative discretion
possible'' with respect to Federal statutes and regulations
administered by the States. West Virginia, through its approved
regulatory program, implements and administers SMCRA and its
implementing regulations at the State level. This rule approves, in
part, an amendment to the West Virginia program submitted and drafted
by the State and disapproves elements of the amendment only to the
extent necessary to ensure that the State program is ``in accordance
with'' the requirements of SMCRA and ``consistent with'' the
regulations issued by the Secretary pursuant to SMCRA. Therefore, this
rule is consistent with the direction to provide maximum administrative
discretion to States.
Executive Order 13175--Consultation and Coordination With Indian Tribal
Governments
The Department of the Interior strives to strengthen its
government-to-government relationship with Tribes through a commitment
to consultation with Tribes and recognition of their right to self-
governance and Tribal sovereignty. We have evaluated this rule under
the Department's consultation policy and under the criteria in
Executive Order 13175 and have determined that it has no substantial
direct effects on the distribution of power and responsibilities
between the Federal Government and Tribes. The basis for this
determination is that our decision on the West Virginia program does
not include Indian lands, as defined by SMCRA, or regulation of
activities on Indian lands. Indian lands are regulated independently
under the applicable approved Federal program. The Department's
consultation policy also acknowledges that our rules may have Tribal
implications where the State proposing the amendment encompasses
ancestral lands in areas with mineable coal. We are currently working
to identify and engage appropriate Tribal stakeholders to devise a
constructive approach for consulting on these amendments.
Executive Order 13211--Actions Concerning Regulations That
Significantly Affect Energy Supply, Distribution, or Use
Executive Order 13211 requires agencies to prepare a Statement of
Energy Effects for a rulemaking that is (1) considered significant
under Executive Order 12866, and (2) likely to have a significant
adverse effect on the supply, distribution, or use of energy. Because
this rule is exempt from review under Executive Order 12866 and is not
a significant energy action under the definition in Executive Order
13211, a Statement of Energy Effects is not required.
Executive Order 13045--Protection of Children From Environmental Health
Risks and Safety Risks
This rule is not subject to Executive Order 13045 because this is
not an economically significant regulatory action as defined by
Executive Order 12866; and this action does not address environmental
health or safety risks disproportionately affecting children.
National Environmental Policy Act
Consistent with sections 501(a) and 702(d) of SMCRA (30 U.S.C.
1251(a) and 1292(d)) and the U.S. Department of the Interior
Departmental Manual, part 516, section 13.5(A), State program
amendments are not major Federal actions within the meaning of section
102(2)(C) of the National Environmental Policy Act (42 U.S.C.
4332(2)(C)).
National Technology Transfer and Advancement Act
Section 12(d) of the National Technology Transfer and Advancement
Act (NTTAA) (15 U.S.C. 3701 et seq.) directs OSMRE to use voluntary
consensus standards in its regulatory activities unless to do so would
be inconsistent with applicable law or otherwise impractical. (OMB
Circular
[[Page 19273]]
A-119 at p. 14). This action is not subject to the requirements of
section 12(d) of the NTTAA because application of those requirements
would be inconsistent with SMCRA.
Paperwork Reduction Act
This rule does not include requests and requirements of an
individual, partnership, or corporation to obtain information and
report it to a Federal agency. As this rule does not contain
information collection requirements, a submission to the Secretary of
Management and Budget under the Paperwork Reduction Act (44 U.S.C. 3501
et seq.) is not required.
Regulatory Flexibility Act
This rule will not have a significant economic impact on a
substantial number of small entities under the Regulatory Flexibility
Act (5 U.S.C. 601 et seq.). The State submittal, which is the subject
of this rule, is based upon corresponding Federal regulations for which
an economic analysis was prepared, and certification made that such
regulations would not have a significant economic effect upon a
substantial number of small entities. In making the determination as to
whether this rule would have a significant economic impact, the
Department relied upon the data and assumptions for the corresponding
Federal regulations.
Small Business Regulatory Enforcement Fairness Act
This rule is not a major rule under 5 U.S.C. 804(2), the Small
Business Regulatory Enforcement Fairness Act. This rule: (a) does not
have an annual effect on the economy of $100 million; (b) will not
cause a major increase in costs or prices for consumers, individual
industries, Federal, State, or local government agencies, or geographic
regions; and (c) does not have significant adverse effects on
competition, employment, investment, productivity, innovation, or the
ability of U.S.-based enterprises to compete with foreign-based
enterprises. This determination is based on an analysis of the
corresponding Federal regulations, which were determined not to
constitute a major rule.
Unfunded Mandates Reform Act
This rule does not impose an unfunded mandate on State, local, or
Tribal governments, or the private sector of more than $100 million per
year. The rule does not have a significant or unique effect on State,
local, or Tribal governments or the private sector. This determination
is based on an analysis of the corresponding Federal regulations, which
were determined not to impose an unfunded mandate. Therefore, a
statement containing the information required by the Unfunded Mandates
Reform Act (2 U.S.C. 1531 et seq.) is not required.
List of Subjects in 30 CFR Part 948
Intergovernmental relations, Surface mining, Underground mining.
Thomas D. Shope,
Regional Director, North Atlantic--Appalachian Region.
For the reasons stated in the preamble, the Office of Surface
Mining Reclamation and Enforcement amends 30 CFR part 948 as set forth
below:
PART 948--WEST VIRGINIA
0
1. The authority citation for part 948 continues to read as follows:
Authority: 30 U.S.C. 1201 et seq.
0
2. Section 948.12 is amended by revising paragraph (k) to read as
follows:
Sec. 948.12 State statutory, regulatory, and proposed program
amendment provisions not approved.
* * * * *
(k) We are not approving the following provisions of the proposed
West Virginia program amendments dated May 2, 2018:
(1) At W.Va. Code 22-3-9, revisions substituting notice by
newspaper with notice in a form and manner determined by the Secretary
which may be electronic.
(2) At W.Va. Code 22-3-20, revisions substituting notice by
newspaper with notice in a form and manner determined by the Secretary
which may be electronic.
(3) At CSR 38-2-2.37, the removal of the definition ``completion of
reclamation''
(4) At CSR 38-2-12.2.d., the elimination to the existing
prohibition on bond release for any site specific bonding (i.e., open-
acre bonding) until all coal extraction is completed and the disturbed
area is completely backfilled and regraded.
(5) At CSR 38-2-12.2.e., to restructure and revise existing
approved language in this section and move it to CSR 38-2-12.2.a.4.
(6) At CSR 38-2-12.2.f., to move, unchanged, this existing language
to CSR 38-2-12.2.d
(7) At CSR 38-2-12.2.g., to move, unchanged, this existing language
to CSR 38-2-12.2.f.
(8) At CSR 38-2-12.2.h., to renumber existing CSR 38-2-12.2.h to
12.2.i. and to insert it as a new CSR 38-2-12.2.h.
(9) At CSR 38-2-12.4.c., to eliminate an existing 180 day window
for initiating reclamation operations to reclaim the site in accordance
with the approved reclamation plan or modification thereof.
(10) At CSR 38-2-12.5., to delete subsection 12.5 of the West
Virginia regulations, which directs WVDEP's collection, analysis and
reporting on sites where bond has been forfeited including, in
particular, data relating to the water quality of water being
discharged from forfeited sites.
0
3. Section 948.15 is amended by adding a new entry to the table in
chronological order by ``Date of publication of final rule'' to read as
follows:
Sec. 948.15 Approval of West Virginia regulatory program amendments.
* * * * *
----------------------------------------------------------------------------------------------------------------
Citation/description of
Original amendment submission dates Date of publication of final rule approved provisions
----------------------------------------------------------------------------------------------------------------
* * * * * * *
April 25, 2011, May 8, 2018............. March 18, 2024....................... CSR 38-2-2.6; 9.3.d; 11.3.f;
11.4; 11.6; 12.2.a, 12.5.b,
and .c; 12.4.a.2.B, 12.4.b,
4.b.1 and 4.b.2; 12.4.d;
14.5.b.
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[FR Doc. 2024-05682 Filed 3-15-24; 8:45 am]
BILLING CODE 4310-05-P