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115th Congress } { Rept. 115-351
HOUSE OF REPRESENTATIVES
1st Session } { Part 1
======================================================================
REVITALIZING THE ECONOMY OF COAL COMMUNITIES BY LEVERAGING LOCAL
ACTIVITIES AND INVESTING MORE ACT OF 2017
_______
October 19, 2017.--Committed to the Whole House on the State of the
Union and ordered to be printed
_______
Mr. Bishop of Utah, from the Committee on Natural Resources, submitted
the following
R E P O R T
[To accompany H.R. 1731]
[Including cost estimate of the Congressional Budget Office]
The Committee on Natural Resources, to whom was referred
the bill (H.R. 1731) to amend the Surface Mining Control and
Reclamation Act of 1977 to provide funds to States and Indian
tribes for the purpose of promoting economic revitalization,
diversification, and development in economically distressed
communities through the reclamation and restoration of land and
water resources adversely affected by coal mining carried out
before August 3, 1977, and for other purposes, having
considered the same, report favorably thereon with an amendment
and recommend that the bill as amended do pass.
The amendment is as follows:
[Strike all after the enacting clause and insert the
following:]
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Revitalizing the Economy of Coal
Communities by Leveraging Local Activities and Investing More Act of
2017'' or the ``RECLAIM Act of 2017''.
SEC. 2. ECONOMIC REVITALIZATION FOR COAL COUNTRY.
(a) In General.--Title IV of the Surface Mining Control and
Reclamation Act of 1977 (30 U.S.C. 1231 et seq.) is amended by adding
at the end the following:
``SEC. 416. ABANDONED MINE LAND ECONOMIC REVITALIZATION.
``(a) Purpose.--The purpose of this section is to promote economic
revitalization, diversification, and development in economically
distressed mining communities through the reclamation and restoration
of land and water resources adversely affected by coal mining carried
out before August 3, 1977.
``(b) In General.--From amounts deposited into the fund under section
401(b) before October 1, 2007, and not otherwise appropriated to the
extent such funds are available, $200,000,000 shall be made available
to the Secretary, without further appropriation, for each of fiscal
years 2017 through 2021 for distribution to States and Indian tribes in
accordance with this section for reclamation and restoration projects
at sites identified as priorities under section 403(a): Provided, That
if less than $200,000,000 is available in any fiscal year to the
Secretary, such remaining amount shall be made available to the
Secretary, without further appropriation, and such fiscal year shall
end distributions made available under this section.
``(c) Use of Funds.--Funds distributed to a State or Indian tribe
under subsection (d) shall be used only for projects classified under
the priorities of section 403(a) that meet the following criteria:
``(1) Contribution to future economic or community
development.--
``(A) In general.--The project, upon completion of
reclamation, is intended to create favorable conditions
for the economic development of the project site or
create favorable conditions that promote the general
welfare through economic and community development of
the area in which the project is conducted.
``(B) Demonstration of conditions.--Such conditions
are demonstrated by--
``(i) documentation of the role of the
project in such area's economic development
strategy or other economic and community
development planning process;
``(ii) any other documentation of the planned
economic and community use of the project site
after the primary reclamation activities are
completed, which may include contracts,
agreements in principle, or other evidence
that, once reclaimed, the site is reasonably
anticipated to be used for one or more
industrial, commercial, residential,
agricultural, or recreational purposes; or
``(iii) any other documentation agreed to by
the State or Indian tribe that demonstrates the
project will meet the criteria set forth in
this subsection.
``(2) Location in economically distressed community affected
by recent decline in mining.--
``(A) In general.--The project will be conducted in a
community--
``(i) that has been adversely affected
economically by a recent reduction in coal
mining related activity, as demonstrated by
employment data, per capita income, or other
indicators of economic distress; or
``(ii)(I) that has historically relied on
coal mining for a substantial portion of its
economy; and
``(II) in which the economic contribution of
coal mining has significantly declined.
``(B) Submission and publication of evidence or
analysis.--Any evidence or analysis relied upon in
selecting the location of a project under this
subparagraph shall be submitted to the Secretary for
publication. The Secretary shall publish such evidence
or analysis in the Federal Register within 30 days
after receiving such submission.
``(3) Stakeholder collaboration.--
``(A) In general.--The project has been the subject
of project planning under subsection (g) and has been
the focus of collaboration, including partnerships, as
appropriate, with interested persons or local
organizations.
``(B) Public notice.--As part of project planning--
``(i) the public has been notified of the
project and has been given an opportunity to
comment at a public meeting convened in a
community near the proposed project site; and
``(ii) the State or Indian tribe published
notice of such meetings in local newspapers of
general circulation, on the Internet, and by
any other means considered desirable by the
Secretary.
``(C) Electronic notification.--The State or Indian
tribe established a way for interested persons to
receive electronically all public notices issued under
subparagraph (B) and any written declarations submitted
to the Secretary under paragraph (5).
``(4) Eligible applicants.--The project has been proposed by
entities of State, local, county, or tribal governments, or
local organizations, and will be approved and executed by State
or tribal programs, approved under section 405 or referred to
in section 402(g)(8)(B), which may include subcontracting
project-related activities, as appropriate.
``(5) Waiver.--If the State or Indian tribe--
``(A) cannot provide documentation described in
paragraph (1)(B) for a project conducted under a
priority stated in paragraph (1) or (2) of section
403(a), or
``(B) is unable to meet the requirements under
paragraph (2),
the State or Indian tribe shall submit a written declaration to
the Secretary requesting an exemption from the requirements of
those subparagraphs. The declaration must explain why achieving
favorable conditions for economic or community development at
the project site is not practicable, or why the requirements of
paragraph (2) cannot be met, and that sufficient funds
distributed annually under section 401 are not available to
implement the project. Such request for an exemption is deemed
to be approved, except the Secretary shall deny such request if
the Secretary determines the declaration to be substantially
inadequate. Any denial of such request shall be resolved at the
State's or Indian tribe's request through the procedures
described in subsection (e).
``(d) Distribution of Funds.--
``(1) Uncertified states.--
``(A) In general.--From the amount made available in
subsection (b), the Secretary shall distribute
$195,000,000 annually for each of fiscal years 2017
through 2021 to States and Indian tribes that have a
State or tribal program approved under section 405 or
are referred to in section 402(g)(8)(B), and have not
made a certification under section 411(a) in which the
Secretary has concurred, as follows:
``(i) Four-fifths of such amount shall be
distributed based on the proportion of the
amount of coal historically produced in each
State or from the lands of each Indian tribe
concerned before August 3, 1977.
``(ii) One-fifth of such amount shall be
distributed based on the proportion of
reclamation fees paid during the period of
fiscal years 2012 through 2016 for lands in
each State or lands of each Indian tribe
concerned.
``(B) Supplemental funds.--Funds distributed under
this section--
``(i) shall be in addition to, and shall not
affect, the amount of funds distributed--
``(I) to States and Indian tribes
under section 401(f); and
``(II) to States and Indian tribes
that have made a certification under
section 411(a) in which the Secretary
has concurred, subject to the cap
described in section 402(i)(3); and
``(ii) shall not reduce any funds distributed
to a State or Indian tribe by reason of the
application of section 402(g)(8).
``(2) Additional funding to certain states and indian
tribes.--
``(A) Eligibility.--From the amount made available in
subsection (b), the Secretary shall distribute
$5,000,000 annually for each of the five fiscal years
beginning with fiscal year 2017 to States and Indian
tribes that have a State program approved under section
405 and have made a certification under section 411(a)
in which the Secretary has concurred.
``(B) Application for funds.--Using the process in
section 405(f), any State or Indian tribe described in
subparagraph (A) may submit a grant application to the
Secretary for funds under this paragraph. The Secretary
shall review each grant application to confirm that the
projects identified in the application for funding are
eligible under subsection (c).
``(C) Distribution of funds.--The amount of funds
distributed to each State or Indian tribe under this
paragraph shall be determined by the Secretary based on
the demonstrated need for the funding to accomplish the
purpose of this section.
``(3) Reallocation of uncommitted funds.--
``(A) Committed defined.--For purposes of this
paragraph the term `committed'--
``(i) means that funds received by the State
or Indian tribe--
``(I) have been exclusively applied
to or reserved for a specific project
and therefore are not available for any
other purpose; or
``(II) have been expended or
designated by the State or Indian tribe
for the completion of a project;
``(ii) includes use of any amount for project
planning under subsection (g); and
``(iii) reflects an acknowledgment by
Congress that, based on the documentation
required under subsection (c)(2)(B), any
unanticipated delays to commit such funds that
are outside the control of the State or Indian
tribe concerned shall not affect its
allocations under this section.
``(B) Fiscal years 2020 and 2021.--For each of fiscal
years 2020 and 2021, the Secretary shall reallocate in
accordance with subparagraph (D) any amount available
for distribution under this subsection that has not
been committed to eligible projects in the preceding 2
fiscal years, among the States and Indian tribes that
have committed to eligible projects the full amount of
their annual allocation for the preceding fiscal year.
``(C) Fiscal year 2022.--For fiscal year 2022, the
Secretary shall reallocate in accordance with
subparagraph (D) any amount available for distribution
under this subsection that has not been committed to
eligible projects or distributed under paragraph
(1)(A), among the States and Indian tribes that have
committed to eligible projects the full amount of their
annual allocation for the preceding fiscal years.
``(D) Amount of reallocation.--The amount reallocated
to each State or Indian tribe under each of
subparagraphs (B) and (C) shall be determined by the
Secretary to reflect, to the extent practicable--
``(i) the proportion of unreclaimed eligible
lands and waters the State or Indian tribe has
in the inventory maintained under section
403(c);
``(ii) the average of the proportion of
reclamation fees paid for lands in each State
or lands of each Indian tribe concerned; and
``(iii) the proportion of coal mining
employment loss incurred in the State or on
lands of the Indian tribe, respectively, as
determined by the Mine Safety and Health
Administration, over the 5-year period
preceding the fiscal year for which the
reallocation is made.
``(e) Resolution of Secretary's Concerns; Congressional
Notification.--If the Secretary does not agree with a State or Indian
tribe that a proposed project meets the criteria set forth in
subsection (c)--
``(1) the Secretary and the State or tribe shall meet and
confer for a period of not more than 45 days to resolve the
Secretary's concerns, except that such period may be shortened
by the Secretary if the Secretary's concerns are resolved;
``(2) during that period, at the State's or Indian tribe's
request, the Secretary may consult with any appropriate Federal
agency; and
``(3) at the end of that period, if the Secretary's concerns
are not resolved the Secretary shall provide to the Committee
on Natural Resources of the House of Representatives and the
Committee on Energy and Natural Resources of the Senate an
explanation of the concerns and such project proposal shall not
be eligible for funds distributed under this section.
``(f) Acid Mine Drainage Treatment.--
``(1) In general.--Subject to paragraph (2), a State or
Indian tribe that receives funds under this section may use up
to 30 percent of such funds as necessary to supplement the
State's or tribe's acid mine drainage abatement and treatment
fund established under section 402(g)(6)(A), for future
operation and maintenance costs for the treatment of acid mine
drainage associated with the individual projects funded under
this section. A State or Indian tribe shall specify the total
funds allotted for such costs in its application submitted
under subsection (d)(2)(B).
``(2) Condition.--A State or Indian tribe may use funds under
this subsection only if the State or tribe can demonstrate that
the annual grant distributed to the State or tribe pursuant to
section 401(f), including any interest from the State's or
tribe's acid mine drainage abatement and treatment fund that is
not used for the operation or maintenance of preexisting acid
mine drainage treatment systems, is insufficient to fund the
operation and maintenance of any acid mine drainage treatment
system associated with an individual project funded under this
section.
``(g) Project Planning and Administration.--
``(1) States and indian tribes.--
``(A) In general.--A State or Indian tribe may use up
to 10 percent of its annual distribution under this
section for project planning and the costs of
administering this section.
``(B) Planning requirements.--Planning under this
paragraph may include--
``(i) identifying eligible projects;
``(ii) updating the inventory referred to in
section 403(c);
``(iii) developing project designs;
``(iv) collaborating with stakeholders,
including public meetings;
``(v) preparing cost estimates; or
``(vi) engaging in other similar activities
necessary to facilitate reclamation activities
under this section.
``(2) Secretary.--The Secretary may expend, from amounts made
available to the Secretary under section 402(g)(3)(D), not more
than $3,000,000 during the fiscal years for which distributions
occur under subsection (b) for staffing and other
administrative expenses necessary to carry out this section.
``(h) Report to Congress.--The Secretary shall provide to the
Committee on Natural Resources of the House of Representatives, the
Committees on Appropriations of the House of Representatives and the
Senate, and the Committee on Energy and Natural Resources of the Senate
at the end of each fiscal year for which such funds are distributed a
detailed report--
``(1) on the various projects that have been undertaken with
such funds;
``(2) the extent and degree of reclamation using such funds
that achieved the priorities described in paragraph (1) or (2)
of section 403(a);
``(3) the community and economic benefits that are resulting
from, or are expected to result from, the use of the funds that
achieved the priorities described in paragraph (3) of section
403(a); and
``(4) the reduction since the previous report in the
inventory referred to in section 403(c).
``(i) Prohibition on Certain Use of Funds.--Any State or Indian tribe
that uses the funds distributed under this section for purposes other
than reclamation or drainage abatement expenditures, as made eligible
by section 404, and for the purposes authorized under subsections (f)
and (g), shall be barred from receiving any subsequent funding under
this section.''.
(b) Clerical Amendment.--The table of contents in the first section
of the Surface Mining Control and Reclamation Act of 1977 is amended by
adding at the end of the items relating to title IV the following:
``Sec. 416. Abandoned mine land economic revitalization.''.
SEC. 3. TECHNICAL AND CONFORMING AMENDMENTS.
The Surface Mining Control and Reclamation Act of 1977 is amended--
(1) in section 401(c) (30 U.S.C. 1231(c)), by striking
``and'' after the semicolon at the end of paragraph (10), by
redesignating paragraph (11) as paragraph (12), and by
inserting after paragraph (10) the following:
``(11) to implement section 416; and'';
(2) in section 401(d)(3) (30 U.S.C. 1231(d)(3)), by striking
``subsection (f)'' and inserting ``subsection (f) and section
416(a)'';
(3) in section 402(g) (30 U.S.C. 1232(g))--
(A) in paragraph (1), by inserting ``and section
416'' after ``subsection (h)''; and
(B) by adding at the end of paragraph (3) the
following:
``(F) For the purpose of section 416(d)(2)(A).''; and
(4) in section 403(c) (30 U.S.C. 1233(c)), by inserting after
the second sentence the following: ``As practicable, States and
Indian tribes shall offer such amendments based on the use of
remote sensing, global positioning systems, and other advanced
technologies.''.
SEC. 4. MINIMUM STATE PAYMENTS.
Section 402(g)(8)(A) of the Surface Mining Control and Reclamation
Act of 1977 (30 U.S.C. 1232(g)(8)) is amended by striking
``$3,000,000'' and inserting ``$5,000,000''.
SEC. 5. GAO STUDY OF USE OF FUNDS.
Not later than two years after the date of the enactment of this Act,
the Comptroller General of the United States shall study and report to
the Congress on uses of funds authorized by this Act, including
regarding--
(1) the solvency of the Abandoned Mine Reclamation Fund; and
(2) the impact of such use on payments and transfers under
the Surface Mining Control and Reclamation Act of 1977 (30
U.S.C. 1201) to--
(A) States for which a certification has been made
under section 411 of such Act (30 U.S.C. 1241);
(B) States for which such a certification has not
been made; and
(C) transfers to United Mine Workers of America
Combined Benefit Fund.
SEC. 6. ABANDONED MINE LAND RECLAMATION AND RESTORATION INITIATIVE.
(a) In General.--Subchapter I of chapter 145 of title 40, United
States Code, is amended by adding at the end the following:
``Sec. 14510. Abandoned mine land reclamation and restoration
initiative
``(a) In General.--The Appalachian Regional Commission may provide
technical assistance, make grants, enter into contracts, or otherwise
provide amounts to individuals or entities in the Appalachian region
for projects and activities on lands, or on or in waters, that have
been reclaimed or restored with amounts provided under title IV of the
Surface Mining Control or Reclamation Act of 1977 (30 U.S.C. 1231 et
seq.) or that are eligible for such reclamation or restoration.
``(b) Limitation on Available Amounts.--Of the cost of any activity
eligible for a grant under this section--
``(1) not more than 50 percent may be provided from amounts
appropriated to carry out this section; and
``(2) notwithstanding paragraph (1)--
``(A) in the case of a project to be carried out in a
county for which a distressed county designation is in
effect under section 14526, not more than 80 percent
may be provided from amounts appropriated to carry out
this section; and
``(B) in the case of a project to be carried out in a
county for which an at-risk designation is in effect
under section 14526, not more than 70 percent may be
provided from amounts appropriated to carry out this
section.
``(c) Sources of Assistance.--Subject to subsection (b), a grant
provided under this section may be provided from amounts made available
to carry out this section in combination with amounts made available--
``(1) under any other Federal program; or
``(2) from any other source.
``(d) Federal Share.--Notwithstanding any provision of law limiting
the Federal share under any other Federal program, amounts made
available to carry out this section may be used to increase that
Federal share, as the Appalachian Regional Commission determines to be
appropriate.''.
(b) Clerical Amendment.--The analysis for chapter 145 of title 40,
United States Code, is amended by inserting after the item relating to
section 14509 the following:
``14510. Abandoned mine land reclamation and restoration initiative.''.
SEC. 7. HEADQUARTERS OF APPALACHIAN REGIONAL COMMISSION.
(a) Finding.--Congress finds that--
(1) the Delta Regional Commission, the Denali Commission, and
the Northern Border Regional Commission are each headquartered
in their respective region; and
(2) the headquarters of the Appalachian Regional Commission
should be relocated from the District of Columbia to a more
affordable location in the Appalachian Region.
(b) Location of Headquarters.--
(1) In general.--Section 14301 of title 40, United States
Code, is amended by adding at the end the following:
``(g) Headquarters.--The headquarters of the Commission shall be
located in the Appalachian Region.''.
(2) Implementation.--The Federal Cochairman of the
Appalachian Regional Commission shall take such actions as may
be necessary to carry out the amendment made by paragraph (1).
SEC. 8. PAYMENTS TO CERTIFIED STATES NOT AFFECTED.
Nothing in this Act shall be construed to reduce or otherwise affect
payments under section 402(g) of the Surface Mining Reclamation and
Control Act of 1977 (30 U.S.C. 1232(g)) to States that have made a
certification under section 411(a) of such Act (30 U.S.C. 1240a(a)) in
which the Secretary of the Interior has concurred.
Purpose of the Bill
The purpose of H.R. 1731 is to amend the Surface Mining
Control and Reclamation Act of 1977 to provide funds to States
and Indian tribes for the purpose of promoting economic
revitalization, diversification, and development in
economically distressed communities through the reclamation and
restoration of land and water resources adversely affected by
coal mining carried out before August 3, 1977.
Background and Need for Legislation
Title IV of the Surface Mining Control and Reclamation Act
of 1977 (SMCRA, 30 U.S.C. 1201 et seq.) established a system
for the reclamation of abandoned mine lands (AML). For a site
to qualify for the AML program, it must have been affected by
coal mining activities prior to August 3, 1977, and
subsequently abandoned, and there must be no responsible party
for the reclamation of the land under State or Federal laws.
With no liable party, the State in which an AML site is located
becomes the de facto entity responsible for remediating the
site. These sites pose an economic burden to States' economies,
as well as health and environmental hazards to local
communities.
Classifying AML Sites
AML sites are categorized into a priority system based on
the observed severity of their condition and the threat it
poses. Priority 1 sites have conditions that pose an extreme
danger to public health, safety, and property. Priority 2 sites
are those that threaten adverse effects to public health and
safety. Lastly, Priority 3 sites have environmental
degradation, in either water or land resources, due to the
adverse effects of coal mining.\1\
---------------------------------------------------------------------------
\1\30 U.S.C. Sec. 1233(a).
---------------------------------------------------------------------------
Certified and Uncertified States
Title IV of SMCRA also distinguishes between certified and
uncertified States, a classification meant to indicate whether
a State has achieved the remediation of all priorities within
its boundaries.\2\
---------------------------------------------------------------------------
\2\30 U.S.C. Sec. 1240a.
---------------------------------------------------------------------------
Initially, all States with an approved reclamation program
are deemed uncertified, but a State may seek certification from
the Secretary of the Interior after the State has achieved
``all of the priorities stated in section 403(a) . . . for
eligible lands and waters.''\3\ Once certified, States may
spend federal AML funds on the protection and restoration of
land or water resources affected by mineral mining and
processing practices.\4\ Unfortunately, when several States
sought certification in the early 1980s, the breadth of AML
sites was not fully understood, and several certified States
have updated AML inventories with liabilities exceeding $100
million.\5\
---------------------------------------------------------------------------
\3\30 U.S.C. Sec. 1240a(a).
\4\30 U.S.C. Sec. 1240a(c).
\5\See Appendix A of this hearing memorandum for an updated list of
outstanding, unfunded liabilities by state.
---------------------------------------------------------------------------
Abandoned Mine Reclamation Fund and Costs of AML Sites
Title IV of SMCRA established a funding mechanism for
associated reclamation activities, known as the Abandoned Mine
Land Fund (AML Fund), which is supported by a fee on every ton
of coal produced.\6\ Expenditures from the AML Fund are subject
to appropriation. Because the amounts appropriated from the AML
have been less than the fees collected, there is currently a
balance in the AML Fund estimated by the Congressional Budget
Office to be $2.4 billion as of October, 2017. At the end of
Fiscal Year (FY) 2017, the AML Fund was predicted to have a
cumulative total of $11.2 billion.\7\
---------------------------------------------------------------------------
\6\30 U.S.C. Sec. 1232.
\7\OSM, Fiscal Year 2017 Budget Justification, at 118, available at
https://www.doi.gov/sites/doi.gov/files/uploads/
FY2017_OSM_Budget_Justification.pdf.
---------------------------------------------------------------------------
Although the AML Fund has been in existence for nearly 40
years and collected over $10 billion in fees, much work remains
to be done. On top of the $4 billion in completed projects, the
Secretary of the Interior currently estimates outstanding and
unfunded liabilities in excess of $10.5 billion.
Need for Reclamation in Coal Communities
Coal communities are struggling to rebuild after enduring
significant job losses in the coal fields due to a recent
downturn in the industry. Numerous coal producing counties are
experiencing high rates of unemployment and are seeking to
invest in job-creating economic development projects.
AML liabilities threaten the health and safety of nearby
communities and hamper opportunities for further development.
States and local communities lack the necessary funds to
reclaim these lands with their own resources and, as a result,
areas impacted by abandoned mines are often left out of
community and economic development planning efforts.
RECLAIM Act of 2017
This bill addresses outstanding AML issues while also
encouraging the reinvigoration of the economies of depressed
coal communities by accelerating the release of $1 billion from
the remaining, unappropriated balance in the AML Fund.
Reclaiming abandoned mines near coal communities impacted by
both AMLs and the recent decrease in coal mining paves the way
for the economic revitalization of these communities. The
monies authorized to be spent by this bill are limited to
reclamation work alone. Community partnerships would be
leveraged for the economic after-projects.
Section-by-Section Analysis
Section 1 provides the short title for the Act, the
``Revitalizing the Economy of Coal Communities by Leveraging
Local Activities and Investing More Act of 2017'' or the
``RECLAIM Act of 2017''.
Section 2 adds a Section 416, Abandoned Mine Land Economic
Revitalization, to Title IV of SMCRA. Section 416 includes the
following subsections:
Subsection (a) summarizes the purpose of Section 416, which
is to promote economic revitalization, diversification, and
development in economically distressed mining communities.
Subsection (b) provides the Secretary of the Interior with
$200 million annually for each of FYs 2017 to 2021 for
distribution to States to meet the purposes outlined in section
(a).
Subsection (c) specifies that funding distributed to States
and Indian tribes used to carry out reclamation projects on
Priority 1, 2 and 3 sites must be intended to create favorable
conditions for economic development in the surrounding area.
Economic development can include industrial, commercial,
residential, agricultural, and recreational activities,
including activities related to forestry and fisheries.
Eligible project applicants include State, local, county,
or tribal entities, and project-related activities may be
subcontracted in a manner consistent with State practices for
existing AML program activities. These projects must be
conducted in areas that have been adversely affected by a
recent reduction in coal mining-related activity or in
communities that have historically relied on coal mining for a
substantial portion of their economy and in which the economic
contribution of coal mining has significantly declined.
Evidence used to determine the location of projects must be
submitted to the Secretary for publication in the Federal
Register.
Each project applicant must engage in appropriate project
planning and can collaborate with outside persons or
organizations. The House Natural Resources Committee envisions
relevant stakeholders could include non-governmental
organizations, other State agencies, or impacted private
citizens; however, not all would need to necessarily be
consulted for a project proposal to proceed. Many States
already engage in consultation when considering current AML
projects and activities, and the Committee expects States would
adapt their existing practices for RECLAIM Act project
selection. No collaborative activities by outside persons or
organizations will be eligible for RECLAIM funds.
The public must be notified during the project planning
process and be given the opportunity to comment at public
meetings near proposed project sites. Notice of such meetings
must be published in local newspapers and on the Internet.
States and Indian tribes must also establish a way for
interested persons to receive these public notices
electronically, as well as waiver requests submitted under this
subsection.
States and Indian tribes may request to waive the
requirements to document any planned economic development
activities that will take place after the completion of a
reclamation project executed under this section. They may also
seek to waive the project location requirements. These requests
will be deemed approved by the Secretary, unless the Secretary
finds the requests to be inadequate. If a request is denied,
the State or Indian tribe can request to enter into the process
described under subsection (e) to resolve the matter.
This subsection requires States seeking waivers for certain
projects to provide documentation to the Secretary explaining
why economic development is not practicable at the site in
question and that funds distributed annually under SMCRA
section 401 are not available to implement the project. The
Committee recognizes concerns articulated by the States with
respect to limited AML funding available for both high priority
safety and health and economic revitalization-focused projects.
The Committee intends this provision to allow for flexibility
as States allocate AML funding to balance health, safety and
environmental priorities and economic revitalization
priorities. The Committee directs the Office of Surface Mining
Reclamation and Enforcement to accommodate these concerns.
Subsection (d) distributes funds to States and Indian
tribes. The Secretary shall distribute $195 million will be
distributed to uncertified States and tribes with approved AML
programs each year from FY 2017 to 2021.
An additional $5 million will be available each year to
certified States, to be distributed by the Secretary through a
grant application process.
During FYs 2017, 2018, and 2019, funding is allocated based
on the distribution formula. The formula is based on historical
coal production from uncertified States and the proportion of
coal fees paid into the AML fund between 2012 and 2016 by the
States or Indian tribes concerned. The Committee intends this
to be interpreted as pertaining to uncertified States and
Indian tribes. Certified states will not be receiving monies
under this distribution formula. A State's recent payments
proportion will be calculated by finding the ratio between the
sum of an uncertified State's contribution between the years
2012 and 2016 and the total contributions of all uncertified
States during the same timeframe. Certified States
contributions shall not be considered when making this
calculation.
During FYs 2020 through 2021, if a State or tribe has fully
committed the funding it received in FYs 2017, 2018, and 2019
to projects, it will receive the same amount it received in
those years for each of FY 2020 through 2021 (if it has fully
committed its allocation in each year). It will also have an
opportunity to apply for additional funding through the
reallocation process explained below. This process will award
additional funding to States and tribes based on their unmet
reclamation needs, the amount they paid into the AML Fund, and
coal mining employment losses. If a State or tribe has not
fully committed the funding it received in the previous fiscal
year, then it will receive either the amount it has committed
to projects in that previous year, or the amount it received in
FY17 (whichever amount is lesser).
During FY 2022, each State or Indian tribe that has
committed the full amount of its FY 2021 allocation to projects
is eligible for a reallocation or ``bonus payment'' in FY 2022.
These payments will be awarded from the pot of funds that
remain uncommitted from all previous fiscal years. The
reallocation process is described below.
This subsection also provides for the reallocation of
unused funds. This provision is intended to incentivize States
and tribes to execute project agreements and to use the funding
they are granted under this section in a timely manner. It will
also ensure that funding allocated under this section is used
for its intended purposes. By reallocating unused funds to
States and tribes, the program offers them the opportunity of a
bonus payment (if funds are available) as a reward for using
their funds for eligible projects. This process will allow for
the efficient reclamation of as much abandoned mine land as
possible during the life of the program. The reallocation
process is summarized here:
During FYs 2020 through 2021, States and tribes will lose
any funding that they have not committed to projects from their
FYs 2017, 2018, and 2019 allocation. The Secretary will
redistribute unused funding to States and tribes that have
fully utilized their funding allocations in FYs 2020 and 2021
through an application process. For eligible States and tribes,
this section essentially provides them with an opportunity to
apply for ``bonus payments'' on top of the direct allocation
they receive from the Secretary. To remain eligible for bonus
payments, a State or tribe must commit its full allocation from
the previous year to projects.
During FY 2022, the Secretary will award ``bonus payments''
to States and tribes that have committed all of the funding
allotted to them in FY 2021 for projects, provided that funds
are available. Funds will be available for these bonus payments
if there are funds that remain uncommitted from previous fiscal
years.
The amount to be reallocated to States and Indian tribes
will be based on the amount of unmet reclamation needs in their
inventory, the amount the State or Indian tribe paid into the
AML Fund, and the proportion of recent coal mining employment
loss incurred in the State or tribe, based on Mine Safety and
Health Administration's coal employment data.
This subsection defines the term ``committed'' to mean that
funds received by the State or Indian tribe have been reserved
for a specific project or have been expended or designated for
the completion of a project.
Subsection (e) requires the Secretary to engage with the
relevant State or Indian tribe if the Secretary determines that
a selected project does not meet the criteria specified in the
bill. This process will take place before a project is rejected
by the Secretary, and is intended to assist States and tribes
in making their preferred projects eligible for the program.
This process can take no longer than 45 days from the moment
problems are identified with the project in question. If a
project must be rejected, the Secretary will provide Congress
with an explanation for the rejection.
Subsection (f) authorizes States and Indian tribes to use
up to 30% of the AML funds received under this section to be
used for the treatment of acid mine drainage problems. If a
State or tribe can demonstrate that its current acid mine
drainage funding allocation is insufficient, it may use funding
from this program to remedy existing acid mine drainage
problems. As with any other project funded through this
program, if a State or tribe executes a project agreement to
use funding provided under this section for acid mine drainage
work, then it will be considered ``committed'' for purposes of
reallocation.
Subsection (g) allows States and tribes to designate up to
10% of their distribution for project planning and
administrative purposes. During project planning, the State or
Indian tribe should identify eligible projects, update the
inventory of abandoned mine sites, develop project designs,
prepare cost estimates, and engage in other similar activities
necessary to facilitate the reclamation of these lands and
waters.
Subsection (h) requires the Secretary to report to the
Committees on Natural Resources and Appropriations of the House
of Representatives and the Committees on Energy and Natural
Resources and Appropriations of the Senate about the projects
undertaken under this section and the resulting economic and
community benefits.
Subsection (i) requires that any State or Indian Tribe that
uses RECLAIM funds for purposes other than reclamation,
drainage abatement expenditures, or the purposes authorized
under subsections (f) and (g), cannot receive any additional
funding under the RECLAIM Act. This section ensures that States
cannot use funding dispersed under this section directly for
economic development purposes. These restrictions apply only to
Section 416, as added by this bill. This section is not
intended to alter or modify any other sections of SMCRA.
Section 3 makes several conforming and technical amendments
to title IV of SMCRA, including adding references to the new
authority in several sections and updating the inventory
language in section 403(c) (30 U.S.C. 1233(c)) to achieve a
more accurate inventory of existing AML problems.
Section 4 includes language raising the cap on minimum
State payments under Section 402 of SMCRA from $3 million to $5
million per year. Currently, if a State does not receive at
least $3 million from the AML program annually, additional
funds are distributed to that State to equal $3 million.
Section 5 requires the U.S. Government Accountability
Office to issue a report to Congress no later than two years
after enactment on the solvency of the Abandoned Mine
Reclamation Fund and the impact of the RECLAIM Act on the
payments issued to certified and uncertified States under SMCRA
and transfers to the United Mine Workers of America Combined
Benefit Fund.
Section 6 clarifies that Appalachian Regional Commission
(ARC) funds appropriated by Congress can be used for economic
and community development projects on AML land.
Section 7 requires the Federal Co-chairs of ARC to develop
a plan to move the ARC headquarters from Washington, D.C. to a
location in Appalachia.
Section 8 clarifies that this Act will not, in any way,
reduce funding to certified States.
Committee Action
H.R. 1731 was introduced on March 27, 2017, by Congressman
Harold Rogers (R-KY). The bill was referred to the Committee on
Natural Resources, and within the Committee to the Subcommittee
on Energy and Mineral Resources. The bill was additionally
referred to the Committee on Transportation and Infrastructure.
On April 5, 2017, the Subcommittee held a hearing on the bill.
On June 22, 2017, the Natural Resources Committee met to
consider the bill. The Subcommittee was discharged by unanimous
consent. Congresswoman Liz Cheney (R-WY) offered an amendment
designated 013; it was adopted by voice vote. Congressman Glenn
Thompson (R-PA) offered an amendment designated #1; it was
adopted by voice vote. Congressman Donald S. Beyer, Jr. (D-VA)
offered an amendment designated 002; it was adopted by voice
vote. Congressman A. Donald McEachin (D-VA) offered and
withdrew an amendment designated 003. No further amendments
were offered, and the bill, as amended, was ordered favorably
reported to the House of Representatives by voice vote on June
27, 2017.
Committee Oversight Findings and Recommendations
Regarding clause 2(b)(1) of rule X and clause 3(c)(1) of
rule XIII of the Rules of the House of Representatives, the
Committee on Natural Resources' oversight findings and
recommendations are reflected in the body of this report.
Compliance With House Rule XIII and Congressional Budget Act
1. Cost of Legislation and the Congressional Budget Act.
With respect to the requirements of clause 3(c)(2) and (3) of
rule XIII of the Rules of the House of Representatives and
sections 308(a) and 402 of the Congressional Budget Act of
1974, the Committee has received the following estimate for the
bill from the Director of the Congressional Budget Office:
U.S. Congress,
Congressional Budget Office,
Washington, DC, October 6, 2017.
Hon. Rob Bishop,
Chairman, Committee on Natural Resources,
House of Representatives, Washington, DC.
Dear Mr. Chairman: The Congressional Budget Office has
prepared the enclosed cost estimate for H.R. 1731, the RECLAIM
Act of 2017.
If you wish further details on this estimate, we will be
pleased to provide them. The CBO staff contact is Jeff LaFave.
Sincerely,
Mark P. Hadley
For Keith Hall, (Director).
Enclosure.
H.R. 1731--RECLAIM Act of 2017
Summary: H.R. 1731 would require the Secretary of the
Interior to disburse $200 million a year through 2021 from the
Abandoned Mine Reclamation fund to certain states and tribes.
Those amounts would be in addition to amounts that will already
be distributed from that fund to state and tribes under current
law. The bill also would increase the minimum payment each
eligible state would receive each year from $3 million to $5
million. CBO estimates that enacting H.R. 1731 would increase
direct spending by $1.04 billion over the 2018-2027 period;
therefore, pay-as-you-go procedures apply. Enacting the bill
would not affect revenues.
CBO also estimates it would cost $2 million over the 2018-
2022 period to move the headquarters of the Appalachian
Regional Commission (ARC), as directed in the bill. Such
spending would be subject to the availability of appropriated
funds.
CBO estimates that enacting H.R. 1731 would not increase
net direct spending or on-budget deficits in any of the four
consecutive 10-year periods beginning in 2028.
H.R. 1731 would impose no intergovernmental or private-
sector mandates as defined in the Unfunded Mandates Reform Act
(UMRA) and would impose no costs on state, local, or tribal
governments.
Estimated cost to the Federal Government: The estimated
budgetary effect of H.R. 1731 is shown in the following table.
The costs of this legislation fall within budget function 300
(natural resources and environment).
--------------------------------------------------------------------------------------------------------------------------------------------------------
By fiscal year, in millions of dollars--
-----------------------------------------------------------------------------------------------------
2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2018-2022 2018-2027
--------------------------------------------------------------------------------------------------------------------------------------------------------
INCREASES IN DIRECT SPENDING
Estimated Budget Authority........................ 224 224 224 224 24 24 24 24 24 24 920 1,040
Estimated Outlays................................. 80 156 200 224 168 92 48 24 24 24 828 1,040
INCREASES IN SPENDING SUBJECT TO APPROPRIATION
Estimated Authorization Level..................... 2 0 0 0 0 0 0 0 0 0 2 2
Estimated Outlays................................. 2 0 0 0 0 0 0 0 0 0 2 2
--------------------------------------------------------------------------------------------------------------------------------------------------------
Basis of estimate: For this estimate, CBO assumes that H.R.
1731 will be enacted near the beginning of fiscal year 2018 and
that the necessary amounts will be appropriated that year.
Estimated outlays are based on historical spending patterns for
programs.
Background
The Surface Mining Control and Reclamation Act (SMCRA) of
1977 established the Abandoned Mine Lands (AML) program to
reclaim abandoned coal mines throughout the United States.
Under that act, coal producers were charged fees based on the
amount of coal they produced each year. Those fees were
deposited in the Abandoned Mine Reclamation Fund (or AML fund)
and made available, subject to appropriation, to fund grants to
states and tribes to perform reclamation activities. Because
the annual amount of fees collected exceeded the amounts the
Congress appropriated from the fund, unappropriated balances in
the fund grew to more than $1.3 billion by 2007.
The SMCRA Amendments Act of 2006 authorized the Secretary
to continue to collect fees from coal producers through 2021
and allowed the Secretary to spend, without further
appropriation, 80 percent of the fees collected each year plus
amounts necessary to ensure a minimum annual payment to
eligible states of $3 million. Any remaining funds were
available, subject to appropriation, for the Office of Surface
Mining, Reclamation, and Enforcement (OSMRE) to administer the
AML program. Following enactment of the SMCRA Amendments Act,
balances in the AML fund continued to accumulate as the full
amounts allocated to states and tribes were not immediately
spent and the amounts appropriated were less than the amounts
available for that purpose.
CBO estimates that the balance in the AML fund at the
beginning of fiscal year 2018 will total $2.4 billion. Over the
2018-2027 period, we estimate that net spending from the fund,
after accounting for fee deposits that will occur over the
2018-2021 period, will reduce that balance to about $1.4
billion by 2027; the remaining balances will be spent after
2027 under current law. In making those calculations, CBO did
not include amounts appropriated from the fund to cover OSMRE's
administrative costs because such spending would require future
Congressional action.
Direct spending
H.R. 1731 would direct the Secretary to disburse a total of
$800 million through 2021 from the AML fund to states and
tribes with abandoned coal mines within their jurisdictions.
Those amounts would be in addition to payments that states and
tribes will receive from the fund under current law.
The bill also would increase the minimum annual payment
that each eligible state would receive from $3 million to $5
million. Based on information regarding historical payments to
states and tribes, and CBO's estimates of fee collections over
the 2018-2021 period, CBO expects that 13 states would receive
the new minimum payment, and we estimate that providing those
payments would cost $240 million over the 2018-2027 period. Two
of those states currently receive payments greater than $3
million.
In total, CBO estimates that enacting H.R. 1731 would
increase direct spending from the AML fund by $1.04 billion
over the 2018-2027 period. Because those amounts will be spent
under current law after 2027, CBO also estimates that enacting
the bill would reduce direct spending by a similar amount in
the years following 2027.
Spending subject to appropriation
H.R. 1731 would require the ARC to relocate its
headquarters from the District of Columbia to somewhere in the
Appalachian region. According to the ARC, moving the
headquarters would require breaking the Commission's current
lease and moving or reacquiring large pieces of office
equipment. Based on an analysis of information from the ARC on
the cost of those activities, CBO estimates that moving the
ARC's headquarters would cost $2 million over the 2018-2022
period.
Pay-As-You-Go considerations: The Statutory Pay-As-You-Go
Act of 2010 establishes budget-reporting and enforcement
procedures for legislation affecting direct spending or
revenues. The net changes in outlays that are subject to those
pay-as-you-go procedures are shown in the following table.
CBO ESTIMATE OF PAY-AS-YOU-GO EFFECTS FOR H.R. 1731 AS ORDERED REPORTED BY THE HOUSE COMMITTEE ON NATURAL RESOURCES ON JUNE 27, 2017
--------------------------------------------------------------------------------------------------------------------------------------------------------
By fiscal year, in millions of dollars--
-------------------------------------------------------------------------------------------
2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2018-2022 2018-2027
--------------------------------------------------------------------------------------------------------------------------------------------------------
NET INCREASE IN THE DEFICIT
Statutory Pay-As-You-Go Impact.............................. 80 156 200 224 168 92 48 24 24 24 828 1,040
--------------------------------------------------------------------------------------------------------------------------------------------------------
Intergovernmental and private-sector impact: H.R. 1731
contains no intergovernmental or private-sector mandates as
defined in UMRA. The bill would benefit state, local, and
tribal governments by authorizing federal funds for surface
mining reclamation and environmental restoration projects. Any
costs incurred by those entities would result from complying
with conditions of federal assistance.
Estimate prepared by: Federal costs: Jeff LaFave; Impact on
state, local, and tribal governments: Jon Sperl; Impact on the
private sector: Amy Petz.
Estimate approved by: H. Samuel Papenfuss, Deputy Assistant
Director for Budget Analysis.
2. General Performance Goals and Objectives. As required by
clause 3(c)(4) of rule XIII, the general performance goal or
objective of this bill is to amend the Surface Mining Control
and Reclamation Act of 1977 to provide funds to States and
Indian tribes for the purpose of promoting economic
revitalization, diversification, and development in
economically distressed communities through the reclamation and
restoration of land and water resources adversely affected by
coal mining carried out before August 3, 1977.
Earmark Statement
This bill does not contain any Congressional earmarks,
limited tax benefits, or limited tariff benefits as defined
under clause 9(e), 9(f), and 9(g) of rule XXI of the Rules of
the House of Representatives.
Compliance With Public Law 104-4
This bill contains no unfunded mandates.
Compliance With H. Res. 5
Directed Rule Making. This bill does not contain any
directed rule makings.
Duplication of Existing Programs. This bill does not
establish or reauthorize a program of the federal government
known to be duplicative of another program. Such program was
not included in any report from the Government Accountability
Office to Congress pursuant to section 21 of Public Law 111-139
or identified in the most recent Catalog of Federal Domestic
Assistance published pursuant to the Federal Program
Information Act (Public Law 95-220, as amended by Public Law
98-169) as relating to other programs.
Preemption of State, Local or Tribal Law
This bill is not intended to preempt any State, local or
tribal law.
Changes in Existing Law Made by the Bill, as Reported
In compliance with clause 3(e) of rule XIII of the Rules of
the House of Representatives, changes in existing law made by
the bill, as reported, are shown as follows (existing law
proposed to be omitted is enclosed in black brackets, new
matter is printed in italic, and existing law in which no
change is proposed is shown in roman):
SURFACE MINING CONTROL AND RECLAMATION ACT OF 1977
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled, That this
Act may be cited as the ``Surface Mining Control and
Reclamation Act of 1977''.
TABLE OF CONTENTS
* * * * * * *
TITLE IV--ABANDONED MINE RECLAMATION
* * * * * * *
Sec. 416. Abandoned mine land economic revitalization.
* * * * * * *
TITLE IV--ABANDONED MINE RECLAMATION
abandoned mine reclamation fund and purposes
Sec. 401. (a) There is created on the books of the Treasury
of the United States a trust fund to be known as the Abandoned
Mine Reclamation Fund (hereinafter referred to as the ``fund'')
which shall be administered by the Secretary of the Interior.
State abandoned mine reclamation funds (State funds) generated
by grants from this title shall be established by each State
pursuant to an approved State program.
(b) The fund shall consist of amounts deposited in the fund,
from time to time derived from--
(1) the reclamation fees levied under section 402;
(2) any user charge imposed on or for land reclaimed
pursuant to this title, after expenditures for
maintenance have been deducted;
(3) donations by persons, corporations, associations,
and foundations for the purposes of this title;
(4) recovered moneys as provided for in this title;
and
(5) interest credited to the fund under subsection
(e).
(c) Moneys in the fund may be used for the following
purposes:
(1) reclamation and restoration of land and water
resources adversely affected by past coal mining,
including but not limited to reclamation and
restoration of abandoned surface mine areas, abandoned
coal processing areas, and abandoned coal refuse
disposal areas; sealing and filling abandoned deep mine
entries and voids; planting of land adversely affected
by past coal mining to prevent erosion and
sedimentation; prevention, abatement, treatment, and
control of water pollution created by coal mine
drainage including restoration of stream beds, and
construction and operation of water treatment plants;
prevention, abatement, and control of burning coal
refuse disposal areas and burning coal in situ;
prevention, abatement, and control of coal mine
subsidence; and establishment of self-sustaining,
individual State administered programs to insure
private property against damages caused by land
subsidence resulting from underground coal mining in
those States which have reclamation plans approved in
accordance with section 503 of this Act: Provided, That
funds used for this purpose shall not exceed $3,000,000
of the funds made available to any State under section
402(g)(1) of this Act;
(2) acquisition and filling of voids and sealing of
tunnels, shafts, and entryways under section 409;
(3) acquisition of land as provided for in this
title;
(4) enforcement and collection of the reclamation fee
provided for in section 402 of this title;
(5) restoration, reclamation, abatement, control, or
prevention of adverse effects of coal mining which
constitutes an emergency as provided for in this title;
(6) grants to the States to accomplish the purposes
of this title;
(7) administrative expenses of the United States and
each State to accomplish the purposes of this title;
(8) for use under section 411;
(9) for the purpose of section 507(c), except that
not more than $10,000,000 shall annually be available
for such purpose;
(10) for the purpose described in section 402(h);
[and]
(11) to implement section 416; and
[(11)] (12) all other necessary expenses to
accomplish the purposes of this title.
(d) Availability of Moneys; No Fiscal Year Limitation.--
(1) In general.--Moneys from the fund for
expenditures under subparagraphs (A) through (D) of
section 402(g)(3) shall be available only when
appropriated for those subparagraphs.
(2) No fiscal year limitation.--Appropriations
described in paragraph (1) shall be made without fiscal
year limitation.
(3) Other purposes.--Moneys from the fund shall be
available for all other purposes of this title without
prior appropriation as provided in [subsection (f)]
subsection (f) and section 416(a).
(e) Interest.--The Secretary of the Interior shall notify the
Secretary of the Treasury as to what portion of the fund is
not, in his judgment, required to meet current withdrawals. The
Secretary of the Treasury shall invest such portion of the fund
in public debt securities with maturities suitable for
achieving the purposes of the transfers under section 402(h)
and bearing interest at rates determined by the Secretary of
the Treasury, taking into consideration current market yields
on outstanding marketable obligations of the United States of
comparable maturities. The income on such investments shall be
credited to, and form a part of, the fund for the purpose of
the transfers under section 402(h).
(f) General Limitation on Obligation Authority.--
(1) In general.--From amounts deposited into the fund
under subsection (b), the Secretary shall distribute
during each fiscal year beginning after September 30,
2007, an amount determined under paragraph (2).
(2) Amounts.--
(A) For fiscal years 2008 through 2022.--For
each of fiscal years 2008 through 2022, the
amount distributed by the Secretary under this
subsection shall be equal to--
(i) the amounts deposited into the
fund under paragraphs (1), (2), and (4)
of subsection (b) for the preceding
fiscal year that were allocated under
paragraphs (1) and (5) of section
402(g); plus
(ii) the amount needed for the
adjustment under section 402(g)(8) for
the current fiscal year.
(B) Fiscal years 2023 and thereafter.--For
fiscal year 2023 and each fiscal year
thereafter, to the extent that funds are
available, the Secretary shall distribute an
amount equal to the amount distributed under
subparagraph (A) during fiscal year 2022.
(3) Distribution.--
(A) In general.--Except as provided in
subparagraph (B), for each fiscal year, of the
amount to be distributed to States and Indian
tribes pursuant to paragraph (2), the Secretary
shall distribute--
(i) the amounts allocated under
paragraph (1) of section 402(g), the
amounts allocated under paragraph (5)
of section 402(g), and any amount
reallocated under section 411(h)(3) in
accordance with section 411(h)(2), for
grants to States and Indian tribes
under section 402(g)(5); and
(ii) the amounts allocated under
section 402(g)(8).
(B) Exclusion.--Beginning on October 1, 2007,
certified States shall be ineligible to receive
amounts under section 402(g)(1).
(4) Availability.--Amounts in the fund available to
the Secretary for obligation under this subsection
shall be available until expended.
(5) Addition.--
(A) In general.--Subject to subparagraph (B),
the amount distributed under this subsection
for each fiscal year shall be in addition to
the amount appropriated from the fund during
the fiscal year.
(B) Exceptions.--Notwithstanding paragraph
(3), the amount distributed under this
subsection for the first 4 fiscal years
beginning on and after October 1, 2007, shall
be equal to the following percentage of the
amount otherwise required to be distributed:
(i) 50 percent in fiscal year 2008.
(ii) 50 percent in fiscal year 2009.
(iii) 75 percent in fiscal year 2010.
(iv) 75 percent in fiscal year 2011.
reclamation fee
Sec. 402. (a) All operators of coal mining operations subject
to the provisions of this Act shall pay to the Secretary of the
Interior, for deposit in the fund, a reclamation fee of 31.5
cents per ton of coal produced by surface coal mining and 13.5
cents per ton of coal produced by underground mining or 10 per
centum of the value of the coal at the mine, as determined by
the Secretary, whichever is less, except that the reclamation
fee for lignite coal shall be at a rate of 2 per centum of the
value of the coal at the mine, or 9 cents per ton, whichever is
less.
(b) Such fee shall be paid no later than thirty days after
the end of each calendar quarter beginning with the first
calendar quarter occurring after the date of enactment of this
Act, and ending September 30, 2021.
(c) Together with such reclamation fee, all operators of coal
mine operations shall submit a statement of the amount of coal
produced during the calendar quarter, the method of coal
removal and the type of coal, the accuracy of which shall be
sworn to by the operator and notarized. Such statement shall
include an identification of the permittee of the surface coal
mining operation, any operator in addition to the permittee,
the owner of the coal, the preparation plant, tripple, or
loading point for the coal, and the person purchasing the coal
from the operator. The report shall also specify the number of
the permit required under section 506 and the mine safety and
health identification number. Each quarterly report shall
contain a notification of any changes in the information
required by this subsection since the date of the preceding
quarterly report. The information contained in the quarterly
reports under this subsection shall be maintained by the
Secretary in a computerized database.
(d)(1) Any person, corporate officer, agent or director, on
behalf of a coal mine operator, who knowingly makes any false
statement, representation or certification, or knowingly fails
to make any statement, representation, or certification
required in this section shall, upon conviction, be punished by
a fine of not more than $10,000, or by imprisonment for not
more than one year, or both.
(2) The Secretary shall conduct such audits of coal
production and the payment of fees under this title as may be
necessary to ensure full compliance with the provisions of this
title. For purposes of performing such audits the Secretary (or
any duly designated officer, employee, or representative of the
Secretary) shall, at the reasonable times, upon request, have
access to, and may copy, all books, papers, and other documents
of any person subject to the provisions of this title. The
Secretary may at any time conduct audits of any surface coal
mining and reclamation operation, including without limitation,
tipples and preparation plants, as may be necessary in the
judgment of the Secretary to ensure full and complete payment
of the fees under this title.
(e) Any portion of the reclamation fee not properly or
promptly paid pursuant to this section shall be recoverable,
with statutory interest, from coal mine operators, in any court
of competent jurisdiction in any action at law to compel
payment of debts.
(f) All Federal and State agencies shall fully cooperate with
the Secretary of the Interior in the enforcement of this
section. Whenever the Secretary believes that any person has
not paid the full amount of the fee payable under subsection
(a) the Secretary shall notify the Federal agency responsible
for ensuring compliance with the provisions of section 4121 of
the Internal Revenue Code of 1986.
(g) Allocation of Funds.--(1) Except as provided in
subsection (h) and section 416, moneys deposited into the fund
shall be allocated by the Secretary to accomplish the purposes
of this title as follows:
(A) 50 percent of the reclamation fees collected
annually in any State (other than fees collected with
respect to Indian lands) shall be allocated annually by
the Secretary to the State, subject to such State
having each of the following:
(i) An approved abandoned mine reclamation
program pursuant to section 405.
(ii) Lands and waters which are eligible
pursuant to section 404 (in the case of a State
not certified under section 411(a)) or pursuant
to section 411(b) (in the case of a State
certified under section 411(a)).
(B) 50 percent of the reclamation fees collected
annually with respect to Indian lands shall be
allocated annually by the Secretary to the Indian tribe
having jurisdiction over such lands, subject to such
tribe having each of the following:
(i) an approved abandoned mine reclamation
program pursuant to section 405.
(ii) Lands and waters which are eligible
pursuant to section 404 (in the case of an
Indian tribe not certified under section
411(a)) or pursuant to section 411(b) (in the
case of a tribe certified under section
411(a)).
(C) The funds allocated by the Secretary under this
paragraph to States and Indian tribes shall only be
used for annual reclamation project construction and
program administration grants.
(D) To the extent not expended within 3 years after
the date of any grant award under this paragraph
(except for grants awarded during fiscal years 2008,
2009, and 2010 to the extent not expended within 5
years), such grant shall be available for expenditure
by the Secretary under paragraph (5).
(2) In making the grants referred to in paragraph (1)(C) and
the grants referred to in paragraph (5), the Secretary shall
ensure strict compliance by the States and Indian tribes with
the priorities described in section 403(a) until a
certification is made under section 411(a).
(3) Amounts available in the fund which are not allocated to
States and Indian tribes under paragraph (1) or allocated under
paragraph (5) are authorized to be expended by the Secretary
for any of the following:
(A) For the purpose of section 507(c), either
directly or through grants to the States, subject to
the limitation contained in section 401(c)(9).
(B) For the purpose of section 410 (relating to
emergencies).
(C) For the purpose of meeting the objectives of the
fund set forth in section 403(a) for eligible lands and
waters pursuant to section 404 in States and on Indian
lands where the State or Indian tribe does not have an
approved abandoned mine reclamation program pursuant to
section 405.
(D) For the administration of this title by the
Secretary.
(E) For the purpose of paragraph (8).
(F) For the purpose of section 416(d)(2)(A).
(4)(A) Amounts available in the fund which are not allocated
under paragraphs (1), (2), and (5) or expended under paragraph
(3) in any fiscal year are authorized to be expended by the
Secretary under this paragraph for the reclamation or drainage
abatement of lands and waters within unreclaimed sites which
are mined for coal or which were affected by such mining,
wastebanks, coal processing or other coal mining processes and
left in an inadequate reclamation status.
(B) Funds made available under this paragraph may be used for
reclamation or drainage abatement at a site referred to in
subparagraph (A) if the Secretary makes either of the following
findings:
(i) A finding that the surface coal mining operation
occurred during the period beginning on August 4, 1977,
and ending on or before the date on which the Secretary
approved a State program pursuant to section 503 for a
State in which the site is located, and that any funds
for reclamation or abatement which are available
pursuant to a bond or other form of financial guarantee
or from any other source are not sufficient to provide
for adequate reclamation or abatement at the site.
(ii) A finding that the surface coal mining operation
occurred during the period beginning on August 4, 1977,
and ending on or before the date of enactment of this
paragraph, and that the surety of such mining operator
became insolvent during such period, and as of the date
of enactment of this paragraph, funds immediately
available from proceedings relating to such insolvency,
or from any financial guarantee or other source are not
sufficient to provide for adequate reclamation or
abatement at the site.
(C) In determining which sites to reclaim pursuant to this
paragraph, the Secretary shall follow the priorities stated in
paragraphs (1) and (2) of section 403(a). The Secretary shall
ensure that priority is given to those sites which are in the
immediate vicinity of a residential area or which have an
adverse economic impact upon a local community.
(D) Amounts collected from the assessment of civil penalties
under section 518 are authorized to be appropriated to carry
out this paragraph.
(E) Any State may expend grants made available under
paragraphs (1) and (5) for reclamation and abatement of any
site referred to in subparagraph (A) if the State, with the
concurrence of the Secretary, makes either of the findings
referred to in clause (i) or (ii) of subparagraph (B) and if
the State determines that the reclamation priority of the site
is the same or more urgent than the reclamation priority for
eligible lands and waters pursuant to section 404 under the
priorities stated in paragraphs (1) and (2) of section 403(a).
(F) For the purposes of the certification referred to in
section 411(a), sites referred to in subparagraph (A) of this
paragraph shall be considered as having the same priorities as
those stated in section 403(a) for eligible lands and waters
pursuant to section 404. All sites referred to in subparagraph
(A) of this paragraph within any State shall be reclaimed prior
to such State making the certification referred to in section
411(a).
(5)(A) The Secretary shall allocate 60 percent of the amount
in the fund after making the allocation referred to in
paragraph (1) for making additional annual grants to States and
Indian tribes which are not certified under section 411(a) to
supplement grants received by such States and Indian tribes
pursuant to paragraph (1)(C) until the priorities stated in
paragraphs (1) and (2) of section 403(a) have been achieved by
such State or Indian tribe. The allocation of such funds for
the purpose of making such expenditures shall be through a
formula based on the amount of coal historically produced in
the State or from the Indian lands concerned prior to August 3,
1977. Funds made available under paragraph (3) or (4) of this
subsection for any State or Indian tribe shall not be deducted
against any allocation of funds to the State or Indian tribe
under paragraph (1) or under this paragraph.
(B) Any amount that is reallocated and available under
section 411(h)(3) shall be in addition to amounts that are
allocated under subparagraph (A).
(6)(A) Any State with an approved abandoned mine reclamation
program pursuant to section 405 may receive and retain, without
regard to the 3-year limitation referred to in paragraph
(1)(D), up to 30 percent of the total of the grants made
annually to the State under paragraphs (1) and (5) if those
amounts are deposited into an acid mine drainage abatement and
treatment fund established under State law, from which amounts
(together with all interest earned on the amounts) are expended
by the State for the abatement of the causes and the treatment
of the effects of acid mine drainage in a comprehensive manner
within qualified hydrologic units affected by coal mining
practices.
(B) In this paragraph, the term ``qualified hydrologic unit''
means a hydrologic unit--
(i) in which the water quality has been significantly
affected by acid mine drainage from coal mining
practices in a manner that adversely impacts biological
resources; and
(ii) that contains land and water that are--
(I) eligible pursuant to section 404 and
include any of the priorities described in
section 403(a); and
(II) the subject of expenditures by the State
from the forfeiture of bonds required under
section 509 or from other States sources to
abate and treat acid mine drainage.
(7) In complying with the priorities described in section
403(a), any State or Indian tribe may use amounts available in
grants made annually to the State or tribe under paragraphs (1)
and (5) for the reclamation of eligible land and water
described in section 403(a)(3) before the completion of
reclamation projects under paragraphs (1) and (2) of section
403(a) only if the expenditure of funds for the reclamation is
done in conjunction with the expenditure before, on, or after
the date of enactment of the Surface Mining Control and
Reclamation Act Amendments of 2006 of funds for reclamation
projects under paragraphs (1) and (2) of section 403(a).
(8)(A) In making funds available under this title, the
Secretary shall ensure that the grant awards total not less
than [$3,000,000] $5,000,000 annually to each State and each
Indian tribe having an approved abandoned mine reclamation
program pursuant to section 405 and eligible land and water
pursuant to section 404, so long as an allocation of funds to
the State or tribe is necessary to achieve the priorities
stated in paragraphs (1) and (2) of section 403(a).
(B) Notwithstanding any other provision of law, this
paragraph applies to the States of Tennessee and Missouri.
(h) Transfers of Interest Earned by Fund.--
(1) In general.--
(A) Transfers to combined benefit fund.--As
soon as practicable after the beginning of
fiscal year 2007 and each fiscal year
thereafter, and before making any allocation
with respect to the fiscal year under
subsection (g), the Secretary shall use an
amount not to exceed the amount of interest
that the Secretary estimates will be earned and
paid to the fund during the fiscal year to
transfer to the Combined Benefit Fund such
amounts as are estimated by the trustees of
such fund to offset the amount of any deficit
in net assets in the Combined Benefit Fund as
of October 1, 2006, and to make the transfer
described in paragraph (2)(A).
(B) Transfers to 1992 and 1993 plans.--As
soon as practicable after the beginning of
fiscal year 2008 and each fiscal year
thereafter, and before making any allocation
with respect to the fiscal year under
subsection (g), the Secretary shall use an
amount not to exceed the amount of interest
that the Secretary estimates will be earned and
paid to the fund during the fiscal year
(reduced by the amount used under subparagraph
(A)) to make the transfers described in
paragraphs (2)(B) and (2)(C).
(2) Transfers described.--The transfers referred to
in paragraph (1) are the following:
(A) United mine workers of america combined
benefit fund.--A transfer to the United Mine
Workers of America Combined Benefit Fund equal
to the amount that the trustees of the Combined
Benefit Fund estimate will be expended from the
fund for the fiscal year in which the transfer
is made, reduced by--
(i) the amount the trustees of the
Combined Benefit Fund estimate the
Combined Benefit Fund will receive
during the fiscal year in--
(I) required premiums; and
(II) payments paid by Federal
agencies in connection with
benefits provided by the
Combined Benefit Fund; and
(ii) the amount the trustees of the
Combined Benefit Fund estimate will be
expended during the fiscal year to
provide health benefits to
beneficiaries who are unassigned
beneficiaries solely as a result of the
application of section 9706(h)(1) of
the Internal Revenue Code of 1986, but
only to the extent that such amount
does not exceed the amounts described
in subsection (i)(1)(A) that the
Secretary estimates will be available
to pay such estimated expenditures.
(B) United mine workers of america 1992
benefit plan.--A transfer to the United Mine
Workers of America 1992 Benefit Plan, in an
amount equal to the difference between--
(i) the amount that the trustees of
the 1992 UMWA Benefit Plan estimate
will be expended from the 1992 UMWA
Benefit Plan during the next calendar
year to provide the benefits required
by the 1992 UMWA Benefit Plan on the
date of enactment of this subparagraph;
minus
(ii) the amount that the trustees of
the 1992 UMWA Benefit Plan estimate the
1992 UMWA Benefit Plan will receive
during the next calendar year in--
(I) required monthly per
beneficiary premiums, including
the amount of any security
provided to the 1992 UMWA
Benefit Plan that is available
for use in the provision of
benefits; and
(II) payments paid by Federal
agencies in connection with
benefits provided by the 1992
UMWA Benefit Plan.
(C) Multiemployer health benefit plan.--
(i) Transfer to the plan.--A transfer
to the Multiemployer Health Benefit
Plan established after July 20, 1992,
by the parties that are the settlors of
the 1992 UMWA Benefit Plan referred to
in subparagraph (B) (referred to in
this subparagraph and subparagraph (D)
as ``the Plan''), in an amount equal to
the excess (if any) of----
(I) the amount that the
trustees of the Plan estimate
will be expended from the Plan
during the next calendar year,
to provide benefits no greater
than those provided by the Plan
as of December 31, 2006; over
(I) the amount that the
trustees estimated the Plan
will receive during the next
calendar year in payments paid
by Federal agencies in
connection with benefits
provided by the Plan.
(ii) Calculation of excess.--The
excess determined under clause (i)
shall be calculated by taking into
account only--
(I) those beneficiaries
actually enrolled in the Plan
as of the date of the enactment
of the Health Benefits for
Miners Act of 2017 who are
eligible to receive health
benefits under the Plan on the
first day of the calendar year
for which the transfer is made,
other than those beneficiaries
enrolled in the Plan under the
terms of a participation
agreement with the current or
former employer of such
beneficiaries; and
(II) those beneficiaries
whose health benefits, defined
as those benefits payable,
following death or retirement
or upon a finding of
disability, directly by an
employer in the bituminous coal
industry under a coal wage
agreement (as defined in
section 9701(b)(1) of the
Internal Revenue Code of 1986),
would be denied or reduced as a
result of a bankruptcy
proceeding commenced in 2012 or
2015.
For purposes of subclause (I), a
beneficiary enrolled in the Plan as of
the date of the enactment of the Health
Benefits for Miners Act of 2017 shall
be deemed to have been eligible to
receive health benefits under the Plan
on January 1, 2017.
(iii) Eligibility of certain
retirees.--Individuals referred to in
clause (ii)(II) shall be treated as
eligible to receive health benefits
under the Plan.
(iv) Requirements for transfer.--The
amount of the transfer otherwise
determined under this subparagraph for
a fiscal year shall be reduced by any
amount transferred for the fiscal year
to the Plan, to pay benefits required
under the Plan, from a voluntary
employees' beneficiary association
established as a result of a bankruptcy
proceeding described in clause (ii).
(v) VEBA transfer.--The administrator
of such voluntary employees'
beneficiary association shall transfer
to the Plan any amounts received as a
result of such bankruptcy proceeding,
reduced by an amount for administrative
costs of such association.
(D) Individuals considered enrolled.--For
purposes of subparagraph (C), any individual
who was eligible to receive benefits from the
Plan as of the date of enactment of this
subsection, even though benefits were being
provided to the individual pursuant to a
settlement agreement approved by order of a
bankruptcy court entered on or before September
30, 2004, will be considered to be actually
enrolled in the Plan and shall receive benefits
from the Plan beginning on December 31, 2006.
(3) Adjustment.--If, for any fiscal year, the amount
of a transfer under subparagraph (A), (B), or (C) of
paragraph (2) is more or less than the amount required
to be transferred under that subparagraph, the
Secretary shall appropriately adjust the amount
transferred under that subparagraph for the next fiscal
year.
(4) Additional amounts.--
(A) Previously credited interest.--
Notwithstanding any other provision of law, any
interest credited to the fund that has not
previously been transferred to the Combined
Benefit Fund referred to in paragraph (2)(A)
under this section--
(i) shall be held in reserve by the
Secretary until such time as necessary
to make the payments under
subparagraphs (A) and (B) of subsection
(i)(1), as described in clause (ii);
and
(ii) in the event that the amounts
described in subsection (i)(1) are
insufficient to make the maximum
payments described in subparagraphs (A)
and (B) of subsection (i)(1), shall be
used by the Secretary to supplement the
payments so that the maximum amount
permitted under those paragraphs is
paid.
(B) Previously allocated amounts.--All
amounts allocated under subsection (g)(2)
before the date of enactment of this
subparagraph for the program described in
section 406, but not appropriated before that
date, shall be available to the Secretary to
make the transfers described in paragraph (2).
(C) Adequacy of previously credited
interest.--The Secretary shall--
(i) consult with the trustees of the
plans described in paragraph (2) at
reasonable intervals; and
(ii) notify Congress if a
determination is made that the amounts
held in reserve under subparagraph (A)
are insufficient to meet future
requirements under subparagraph
(A)(ii).
(D) Additional reserve amounts.--In addition
to amounts held in reserve under subparagraph
(A), there is authorized to be appropriated
such sums as may be necessary for transfer to
the fund to carry out the purposes of
subparagraph (A)(ii).
(E) Inapplicability of cap.--The limitation
described in subsection (i)(3)(A) shall not
apply to payments made from the reserve fund
under this paragraph.
(5) Limitations.--
(A) Availability of funds for next fiscal
year.--The Secretary may make transfers under
subparagraphs (B) and (C) of paragraph (2) for
a calendar year only if the Secretary
determines, using actuarial projections
provided by the trustees of the Combined
Benefit Fund referred to in paragraph (2)(A),
that amounts will be available under paragraph
(1), after the transfer, for the next fiscal
year for making the transfer under paragraph
(2)(A).
(B) Rate of contributions of obligors.--
(i) In general.--
(I) Rate.--A transfer under
paragraph (2)(C) shall not be
made for a calendar year unless
the persons that are obligated
to contribute to the plan
referred to in paragraph (2)(C)
on the date of the transfer are
obligated to make the
contributions at rates that are
no less than those in effect on
the date which is 30 days
before the date of enactment of
this subsection.
(II) Application.--The
contributions described in
subclause (I) shall be applied
first to the provision of
benefits to those plan
beneficiaries who are not
described in paragraph
(2)(C)(ii).
(ii) Initial contributions.--
(I) In general.--From the
date of enactment of the
Surface Mining Control and
Reclamation Act Amendments of
2006 through December 31, 2010,
the persons that, on the date
of enactment of that Act, are
obligated to contribute to the
plan referred to in paragraph
(2)(C) shall be obligated,
collectively, to make
contributions equal to the
amount described in paragraph
(2)(C), less the amount
actually transferred due to the
operation of subparagraph (C).
(II) First calendar year.--
Calendar year 2006 is the first
calendar year for which
contributions are required
under this clause.
(III) Amount of contribution
for 2006.--Except as provided
in subclause (IV), the amount
described in paragraph (2)(C)
for calendar year 2006 shall be
calculated as if paragraph
(2)(C) had been in effect
during 2005.
(IV) Limitation.--The
contributions required under
this clause for calendar year
2006 shall not exceed the
amount necessary for solvency
of the plan described in
paragraph (2)(C), measured as
of December 31, 2006, and
taking into account all assets
held by the plan as of that
date.
(iii) Division.--The collective
annual contribution obligation required
under clause (ii) shall be divided
among the persons subject to the
obligation, and applied uniformly,
based on the hours worked for which
contributions referred to in clause (i)
would be owed.
(C) Phase-in of transfers.--For each of
calendar years 2008 through 2010, the transfers
required under subparagraphs (B) and (C) of
paragraph (2) shall equal the following
amounts:
(i) For calendar year 2008, the
Secretary shall make transfers equal to
25 percent of the amounts that would
otherwise be required under
subparagraphs (B) and (C) of paragraph
(2).
(ii) For calendar year 2009, the
Secretary shall make transfers equal to
50 percent of the amounts that would
otherwise be required under
subparagraphs (B) and (C) of paragraph
(2).
(iii) For calendar year 2010, the
Secretary shall make transfers equal to
75 percent of the amounts that would
otherwise be required under
subparagraphs (B) and (C) of paragraph
(2).
(i) Funding.--
(1) In general.--Subject to paragraph (3), out of any
funds in the Treasury not otherwise appropriated, the
Secretary of the Treasury shall transfer to the plans
described in subsection (h)(2) such sums as are
necessary to pay the following amounts:
(A) To the Combined Fund (as defined in
section 9701(a)(5) of the Internal Revenue Code
of 1986 and referred to in this paragraph as
the ``Combined Fund''), the amount that the
trustees of the Combined Fund estimate will be
expended from premium accounts maintained by
the Combined Fund for the fiscal year to
provide benefits for beneficiaries who are
unassigned beneficiaries solely as a result of
the application of section 9706(h)(1) of the
Internal Revenue Code of 1986, subject to the
following limitations:
(i) For fiscal year 2008, the amount
paid under this subparagraph shall
equal--
(I) the amount described in
subparagraph (A); minus
(II) the amounts required
under section 9706(h)(3)(A) of
the Internal Revenue Code of
1986.
(ii) For fiscal year 2009, the amount
paid under this subparagraph shall
equal--
(I) the amount described in
subparagraph (A); minus
(II) the amounts required
under section 9706(h)(3)(B) of
the Internal Revenue Code of
1986.
(iii) For fiscal year 2010, the
amount paid under this subparagraph
shall equal--
(I) the amount described in
subparagraph (A); minus
(II) the amounts required
under section 9706(h)(3)(C) of
the Internal Revenue Code of
1986.
(B) On certification by the trustees of any
plan described in subsection (h)(2) that the
amount available for transfer by the Secretary
pursuant to this section (determined after
application of any limitation under subsection
(h)(5)) is less than the amount required to be
transferred, to the plan the amount necessary
to meet the requirement of subsection (h)(2).
(C) To the Combined Fund, $9,000,000 on
October 1, 2007, $9,000,000 on October 1, 2008,
$9,000,000 on October 1, 2009, and $9,000,000
on October 1, 2010 (which amounts shall not be
exceeded) to provide a refund of any premium
(as described in section 9704(a) of the
Internal Revenue Code of 1986) paid on or
before September 7, 2000, to the Combined Fund,
plus interest on the premium calculated at the
rate of 7.5 percent per year, on a proportional
basis and to be paid not later than 60 days
after the date on which each payment is
received by the Combined Fund, to those
signatory operators (to the extent that the
Combined Fund has not previously returned the
premium amounts to the operators), or any
related persons to the operators (as defined in
section 9701(c) of the Internal Revenue Code of
1986), or their heirs, successors, or assigns
who have been denied the refunds as the result
of final judgments or settlements if--
(i) prior to the date of enactment of
this paragraph, the signatory operator
(or any related person to the
operator)--
(I) had all of its
beneficiary assignments made
under section 9706 of the
Internal Revenue Code of 1986
voided by the Commissioner of
the Social Security
Administration; and
(II) was subject to a final
judgment or final settlement of
litigation adverse to a claim
by the operator that the
assignment of beneficiaries
under section 9706 of the
Internal Revenue Code of 1986
was unconstitutional as applied
to the operator; and
(ii) on or before September 7, 2000,
the signatory operator (or any related
person to the operator) had paid to the
Combined Fund any premium amount that
had not been refunded.
(2) Payments to states and indian tribes.--Subject to
paragraph (3), out of any funds in the Treasury not
otherwise appropriated, the Secretary of the Treasury
shall transfer to the Secretary of the Interior for
distribution to States and Indian tribes such sums as
are necessary to pay amounts described in paragraphs
(1)(A) and (2)(A) of section 411(h).
(3) Limitations.--
(A) Cap.--The total amount transferred under
this subsection for any fiscal year shall not
exceed $490,000,000.
(B) Insufficient amounts.--In a case in which
the amount required to be transferred without
regard to this paragraph exceeds the maximum
annual limitation in subparagraph (A), the
Secretary shall adjust the transfers of funds
under paragraph (1) so that--
(i) each such transfer for the fiscal
year is a percentage of the amount
described;
(ii) the amount is determined without
regard to subsection (h)(5)(A); and
(iii) the percentage transferred is
the same for all transfers made under
paragraph (1) for the fiscal year.
(4) Availability of funds.--Funds shall be
transferred under paragraphs (1) and (2) beginning in
fiscal year 2008 and each fiscal year thereafter, and
shall remain available until expended.
objectives of fund
Sec. 403. (a) Priorities.--Expenditure of moneys from the
fund on lands and water eligible pursuant to section 404 for
the purposes of this title, except as provided for under
section 411, shall reflect the following priorities in the
order stated:
(1)(A) the protection; of public health, safety, and
property from extreme danger of adverse effects of coal
mining practices;
(B) the restoration of land and water resources and
the environment that--
(i) have been degraded by the adverse effects
of coal mining practices; and
(ii) are adjacent to a site that has been or
will be remediated under subparagraph (A);
(2)(A) the protection of public health and safety
from adverse effects of coal mining practices;
(B) the restoration of land and water resources and
the environment that--
(i) have been degraded by the adverse effects
of coal mining practices; and
(ii) are adjacent to a site that has been or
will be remediated under subparagraph (A); and
(3) the restoration of land and water resources and
the environment previously degraded by adverse effects
of coal mining practices including measures for the
conservation and development of soil, water (excluding
channelization), woodland, fish and wildlife,
recreation resources, and agricultural productivity.
(b) Water Supply Restoration.--(1) Any State or Indian tribe
not certified under section 411(a) may expend the funds
allocated to such State or Indian tribe in any year through the
grants made available under paragraphs (1) and (5) of section
402(g) for the purpose of protecting, repairing, replacing,
constructing, or enhancing facilities relating to water supply,
including water distribution facilities and treatment plants,
to replace water supplies adversely affected by coal mining
practices.
(2) If the adverse effect on water supplies referred to in
this subsection occurred both prior to and after August 3,
1977, or as the case may be, the dates (and under the criteria)
set forth under section 402(g)(4)(B), section 404 shall not be
construed to prohibit a State or Indian tribe referred to in
paragraph (1) from using funds referred to in such paragraph
for the purposes of this subsection if the State or Indian
tribe determines that such adverse effects occurred
predominantly prior to August 3, 1977, or as the case may be,
the dates (and under the criteria) set forth under section
402(g)(4)(B).
(c) Inventory.--For the purposes of assisting in the planning
and evaluation of reclamation projects pursuant to section 405,
and assisting in making the certification referred to in
section 411(a), the Secretary shall maintain an inventory of
eligible lands and waters pursuant to section 404 which meet
the priorities stated in paragraphs (1) and (2) of subsection
(a). Under standardized procedures established by the
Secretary, States and Indian tribes with approved abandoned
mine reclamation programs pursuant to section 405 may offer
amendments, subject to the approval of the Secretary, to update
the inventory as it applies to eligible lands and waters under
the jurisdiction of such States or tribes. As practicable,
States and Indian tribes shall offer such amendments based on
the use of remote sensing, global positioning systems, and
other advanced technologies. The Secretary shall provide such
States and tribes with the financial and technical assistance
necessary for the purpose of making inventory amendments. The
Secretary shall compile and maintain an inventory for States
and Indian lands in the case when a State or Indian tribe does
not have an approved abandoned mine reclamation program
pursuant to section 405. On a regular basis, but not less than
annually, the projects completed under this title shall be so
noted on the inventory under standardized procedures
established by the Secretary.
* * * * * * *
SEC. 416. ABANDONED MINE LAND ECONOMIC REVITALIZATION.
(a) Purpose.--The purpose of this section is to promote
economic revitalization, diversification, and development in
economically distressed mining communities through the
reclamation and restoration of land and water resources
adversely affected by coal mining carried out before August 3,
1977.
(b) In General.--From amounts deposited into the fund under
section 401(b) before October 1, 2007, and not otherwise
appropriated to the extent such funds are available,
$200,000,000 shall be made available to the Secretary, without
further appropriation, for each of fiscal years 2017 through
2021 for distribution to States and Indian tribes in accordance
with this section for reclamation and restoration projects at
sites identified as priorities under section 403(a): Provided,
That if less than $200,000,000 is available in any fiscal year
to the Secretary, such remaining amount shall be made available
to the Secretary, without further appropriation, and such
fiscal year shall end distributions made available under this
section.
(c) Use of Funds.--Funds distributed to a State or Indian
tribe under subsection (d) shall be used only for projects
classified under the priorities of section 403(a) that meet the
following criteria:
(1) Contribution to future economic or community
development.--
(A) In general.--The project, upon completion
of reclamation, is intended to create favorable
conditions for the economic development of the
project site or create favorable conditions
that promote the general welfare through
economic and community development of the area
in which the project is conducted.
(B) Demonstration of conditions.--Such
conditions are demonstrated by--
(i) documentation of the role of the
project in such area's economic
development strategy or other economic
and community development planning
process;
(ii) any other documentation of the
planned economic and community use of
the project site after the primary
reclamation activities are completed,
which may include contracts, agreements
in principle, or other evidence that,
once reclaimed, the site is reasonably
anticipated to be used for one or more
industrial, commercial, residential,
agricultural, or recreational purposes;
or
(iii) any other documentation agreed
to by the State or Indian tribe that
demonstrates the project will meet the
criteria set forth in this subsection.
(2) Location in economically distressed community
affected by recent decline in mining.--
(A) In general.--The project will be
conducted in a community--
(i) that has been adversely affected
economically by a recent reduction in
coal mining related activity, as
demonstrated by employment data, per
capita income, or other indicators of
economic distress; or
(ii)(I) that has historically relied
on coal mining for a substantial
portion of its economy; and
(II) in which the economic
contribution of coal mining has
significantly declined.
(B) Submission and publication of evidence or
analysis.--Any evidence or analysis relied upon
in selecting the location of a project under
this subparagraph shall be submitted to the
Secretary for publication. The Secretary shall
publish such evidence or analysis in the
Federal Register within 30 days after receiving
such submission.
(3) Stakeholder collaboration.--
(A) In general.--The project has been the
subject of project planning under subsection
(g) and has been the focus of collaboration,
including partnerships, as appropriate, with
interested persons or local organizations.
(B) Public notice.--As part of project
planning--
(i) the public has been notified of
the project and has been given an
opportunity to comment at a public
meeting convened in a community near
the proposed project site; and
(ii) the State or Indian tribe
published notice of such meetings in
local newspapers of general
circulation, on the Internet, and by
any other means considered desirable by
the Secretary.
(C) Electronic notification.--The State or
Indian tribe established a way for interested
persons to receive electronically all public
notices issued under subparagraph (B) and any
written declarations submitted to the Secretary
under paragraph (5).
(4) Eligible applicants.--The project has been
proposed by entities of State, local, county, or tribal
governments, or local organizations, and will be
approved and executed by State or tribal programs,
approved under section 405 or referred to in section
402(g)(8)(B), which may include subcontracting project-
related activities, as appropriate.
(5) Waiver.--If the State or Indian tribe--
(A) cannot provide documentation described in
paragraph (1)(B) for a project conducted under
a priority stated in paragraph (1) or (2) of
section 403(a), or
(B) is unable to meet the requirements under
paragraph (2),
the State or Indian tribe shall submit a written
declaration to the Secretary requesting an exemption
from the requirements of those subparagraphs. The
declaration must explain why achieving favorable
conditions for economic or community development at the
project site is not practicable, or why the
requirements of paragraph (2) cannot be met, and that
sufficient funds distributed annually under section 401
are not available to implement the project. Such
request for an exemption is deemed to be approved,
except the Secretary shall deny such request if the
Secretary determines the declaration to be
substantially inadequate. Any denial of such request
shall be resolved at the State's or Indian tribe's
request through the procedures described in subsection
(e).
(d) Distribution of Funds.--
(1) Uncertified states.--
(A) In general.--From the amount made
available in subsection (b), the Secretary
shall distribute $195,000,000 annually for each
of fiscal years 2017 through 2021 to States and
Indian tribes that have a State or tribal
program approved under section 405 or are
referred to in section 402(g)(8)(B), and have
not made a certification under section 411(a)
in which the Secretary has concurred, as
follows:
(i) Four-fifths of such amount shall
be distributed based on the proportion
of the amount of coal historically
produced in each State or from the
lands of each Indian tribe concerned
before August 3, 1977.
(ii) One-fifth of such amount shall
be distributed based on the proportion
of reclamation fees paid during the
period of fiscal years 2012 through
2016 for lands in each State or lands
of each Indian tribe concerned.
(B) Supplemental funds.--Funds distributed
under this section--
(i) shall be in addition to, and
shall not affect, the amount of funds
distributed--
(I) to States and Indian
tribes under section 401(f);
and
(II) to States and Indian
tribes that have made a
certification under section
411(a) in which the Secretary
has concurred, subject to the
cap described in section
402(i)(3); and
(ii) shall not reduce any funds
distributed to a State or Indian tribe
by reason of the application of section
402(g)(8).
(2) Additional funding to certain states and indian
tribes.--
(A) Eligibility.--From the amount made
available in subsection (b), the Secretary
shall distribute $5,000,000 annually for each
of the five fiscal years beginning with fiscal
year 2017 to States and Indian tribes that have
a State program approved under section 405 and
have made a certification under section 411(a)
in which the Secretary has concurred.
(B) Application for funds.--Using the process
in section 405(f), any State or Indian tribe
described in subparagraph (A) may submit a
grant application to the Secretary for funds
under this paragraph. The Secretary shall
review each grant application to confirm that
the projects identified in the application for
funding are eligible under subsection (c).
(C) Distribution of funds.--The amount of
funds distributed to each State or Indian tribe
under this paragraph shall be determined by the
Secretary based on the demonstrated need for
the funding to accomplish the purpose of this
section.
(3) Reallocation of uncommitted funds.--
(A) Committed defined.--For purposes of this
paragraph the term ``committed''--
(i) means that funds received by the
State or Indian tribe--
(I) have been exclusively
applied to or reserved for a
specific project and therefore
are not available for any other
purpose; or
(II) have been expended or
designated by the State or
Indian tribe for the completion
of a project;
(ii) includes use of any amount for
project planning under subsection (g);
and
(iii) reflects an acknowledgment by
Congress that, based on the
documentation required under subsection
(c)(2)(B), any unanticipated delays to
commit such funds that are outside the
control of the State or Indian tribe
concerned shall not affect its
allocations under this section.
(B) Fiscal years 2020 and 2021.--For each of
fiscal years 2020 and 2021, the Secretary shall
reallocate in accordance with subparagraph (D)
any amount available for distribution under
this subsection that has not been committed to
eligible projects in the preceding 2 fiscal
years, among the States and Indian tribes that
have committed to eligible projects the full
amount of their annual allocation for the
preceding fiscal year.
(C) Fiscal year 2022.--For fiscal year 2022,
the Secretary shall reallocate in accordance
with subparagraph (D) any amount available for
distribution under this subsection that has not
been committed to eligible projects or
distributed under paragraph (1)(A), among the
States and Indian tribes that have committed to
eligible projects the full amount of their
annual allocation for the preceding fiscal
years.
(D) Amount of reallocation.--The amount
reallocated to each State or Indian tribe under
each of subparagraphs (B) and (C) shall be
determined by the Secretary to reflect, to the
extent practicable--
(i) the proportion of unreclaimed
eligible lands and waters the State or
Indian tribe has in the inventory
maintained under section 403(c);
(ii) the average of the proportion of
reclamation fees paid for lands in each
State or lands of each Indian tribe
concerned; and
(iii) the proportion of coal mining
employment loss incurred in the State
or on lands of the Indian tribe,
respectively, as determined by the Mine
Safety and Health Administration, over
the 5-year period preceding the fiscal
year for which the reallocation is
made.
(e) Resolution of Secretary's Concerns; Congressional
Notification.--If the Secretary does not agree with a State or
Indian tribe that a proposed project meets the criteria set
forth in subsection (c)--
(1) the Secretary and the State or tribe shall meet
and confer for a period of not more than 45 days to
resolve the Secretary's concerns, except that such
period may be shortened by the Secretary if the
Secretary's concerns are resolved;
(2) during that period, at the State's or Indian
tribe's request, the Secretary may consult with any
appropriate Federal agency; and
(3) at the end of that period, if the Secretary's
concerns are not resolved the Secretary shall provide
to the Committee on Natural Resources of the House of
Representatives and the Committee on Energy and Natural
Resources of the Senate an explanation of the concerns
and such project proposal shall not be eligible for
funds distributed under this section.
(f) Acid Mine Drainage Treatment.--
(1) In general.--Subject to paragraph (2), a State or
Indian tribe that receives funds under this section may
use up to 30 percent of such funds as necessary to
supplement the State's or tribe's acid mine drainage
abatement and treatment fund established under section
402(g)(6)(A), for future operation and maintenance
costs for the treatment of acid mine drainage
associated with the individual projects funded under
this section. A State or Indian tribe shall specify the
total funds allotted for such costs in its application
submitted under subsection (d)(2)(B).
(2) Condition.--A State or Indian tribe may use funds
under this subsection only if the State or tribe can
demonstrate that the annual grant distributed to the
State or tribe pursuant to section 401(f), including
any interest from the State's or tribe's acid mine
drainage abatement and treatment fund that is not used
for the operation or maintenance of preexisting acid
mine drainage treatment systems, is insufficient to
fund the operation and maintenance of any acid mine
drainage treatment system associated with an individual
project funded under this section.
(g) Project Planning and Administration.--
(1) States and indian tribes.--
(A) In general.--A State or Indian tribe may
use up to 10 percent of its annual distribution
under this section for project planning and the
costs of administering this section.
(B) Planning requirements.--Planning under
this paragraph may include--
(i) identifying eligible projects;
(ii) updating the inventory referred
to in section 403(c);
(iii) developing project designs;
(iv) collaborating with stakeholders,
including public meetings;
(v) preparing cost estimates; or
(vi) engaging in other similar
activities necessary to facilitate
reclamation activities under this
section.
(2) Secretary.--The Secretary may expend, from
amounts made available to the Secretary under section
402(g)(3)(D), not more than $3,000,000 during the
fiscal years for which distributions occur under
subsection (b) for staffing and other administrative
expenses necessary to carry out this section.
(h) Report to Congress.--The Secretary shall provide to the
Committee on Natural Resources of the House of Representatives,
the Committees on Appropriations of the House of
Representatives and the Senate, and the Committee on Energy and
Natural Resources of the Senate at the end of each fiscal year
for which such funds are distributed a detailed report--
(1) on the various projects that have been undertaken
with such funds;
(2) the extent and degree of reclamation using such
funds that achieved the priorities described in
paragraph (1) or (2) of section 403(a);
(3) the community and economic benefits that are
resulting from, or are expected to result from, the use
of the funds that achieved the priorities described in
paragraph (3) of section 403(a); and
(4) the reduction since the previous report in the
inventory referred to in section 403(c).
(i) Prohibition on Certain Use of Funds.--Any State or Indian
tribe that uses the funds distributed under this section for
purposes other than reclamation or drainage abatement
expenditures, as made eligible by section 404, and for the
purposes authorized under subsections (f) and (g), shall be
barred from receiving any subsequent funding under this
section.
* * * * * * *
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TITLE 40, UNITED STATES CODE
* * * * * * *
SUBTITLE IV--APPALACHIAN REGIONAL DEVELOPMENT
* * * * * * *
CHAPTER 143--APPALACHIAN REGIONAL COMMISSION
* * * * * * *
SUBCHAPTER I--ORGANIZATION AND ADMINISTRATION
Sec. 14301. Establishment, membership, and employees
(a) Establishment.--There is an Appalachian Regional
Commission.
(b) Membership.--
(1) Federal and state members.--The Commission is
composed of the Federal Cochairman, appointed by the
President by and with the advice and consent of the
Senate, and the Governor of each participating State in
the Appalachian region.
(2) Alternate members.--Each state member may have a
single alternate, appointed by the Governor from among
the members of the Governor's cabinet or the Governor's
personal staff. The President,, shall appoint an
alternate for the Federal Cochairman. An alternate
shall vote in the event of the absence, death,
disability, removal, or resignation of the member for
whom the individual is an alternate. A state alternate
shall not be counted toward the establishment of a
quorum of the Commission when a quorum of the state
members is required.
(3) Cochairmen.--The Federal Cochairman is one of the
two Cochairmen of the Commission. The state members
shall elect a Cochairman of the Commission from among
themselves for a term of not less than one year.
(c) Compensation.--The Federal Cochairman shall be
compensated by the Federal Government at level III of the
Executive Schedule as set out in section 5314 of title 5. The
Federal Cochairman's alternate shall be compensated by the
Government at level V of the Executive Schedule as set out in
section 5316 of title 5. Each state member and alternate shall
be compensated by the State which they represent at the rate
established by law of that State.
(d) Delegation.--
(1) Powers and responsibilities.--Commission powers
and responsibilities specified in section 14302(c) and
(d) of this title, and the vote of any Commission
member, may not be delegated to an individual who is
not a Commission member or who is not entitled to vote
in Commission meetings.
(2) Alternate federal cochairman.--The alternate to
the Federal Cochairman shall perform the functions and
duties the Federal Cochairman delegates when not
actively serving as the alternate.
(e) Executive Director.--The Commission has an executive
director. The executive director is responsible for carrying
out the administrative functions of the Commission, for
directing the Commission staff, and for other duties the
Commission may assign.
(f) Status of Personnel.--Members, alternates, officers, and
employees of the Commission are not federal employees for any
purpose, except the Federal Cochairman, the alternate to the
Federal Cochairman, the staff of the Federal Cochairman, and
federal employees detailed to the Commission under section
14306(a)(3) of this title.
(g) Headquarters.--The headquarters of the Commission shall
be located in the Appalachian Region.
* * * * * * *
CHAPTER 145--SPECIAL APPALACHIAN PROGRAMS
SUBCHAPTER I--PROGRAMS
Sec.
* * * * * * *
14510. Abandoned mine land reclamation and restoration initiative.
* * * * * * *
SUBCHAPTER I--PROGRAMS
* * * * * * *
Sec. 14510. Abandoned mine land reclamation and restoration initiative
(a) In General.--The Appalachian Regional Commission may
provide technical assistance, make grants, enter into
contracts, or otherwise provide amounts to individuals or
entities in the Appalachian region for projects and activities
on lands, or on or in waters, that have been reclaimed or
restored with amounts provided under title IV of the Surface
Mining Control or Reclamation Act of 1977 (30 U.S.C. 1231 et
seq.) or that are eligible for such reclamation or restoration.
(b) Limitation on Available Amounts.--Of the cost of any
activity eligible for a grant under this section--
(1) not more than 50 percent may be provided from
amounts appropriated to carry out this section; and
(2) notwithstanding paragraph (1)--
(A) in the case of a project to be carried
out in a county for which a distressed county
designation is in effect under section 14526,
not more than 80 percent may be provided from
amounts appropriated to carry out this section;
and
(B) in the case of a project to be carried
out in a county for which an at-risk
designation is in effect under section 14526,
not more than 70 percent may be provided from
amounts appropriated to carry out this section.
(c) Sources of Assistance.--Subject to subsection (b), a
grant provided under this section may be provided from amounts
made available to carry out this section in combination with
amounts made available--
(1) under any other Federal program; or
(2) from any other source.
(d) Federal Share.--Notwithstanding any provision of law
limiting the Federal share under any other Federal program,
amounts made available to carry out this section may be used to
increase that Federal share, as the Appalachian Regional
Commission determines to be appropriate.
* * * * * * *
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