COALEX State Comparison Report - 343
July, 1998
         
         Walter E. Cartwright
State Program Division
Department of Industrial Relations
649 Monroe Street
Montgomery, Alabama 36130

TOPIC: PERMITTING OF NONCOAL SURFACE MINING OPERATIONS

SURVEY INQUIRY: Alabama has been asked to consider a multi-year permit for noncoal surface
mining. We interested in determining how other state regulatory programs regulate noncoal
surface mining, in particular the length of the permits, renewal of permits and amendments to
permits to increase reclamation bond coverage.

SURVEY RESULTS: Fourteen IMCC member states responded to the telephone survey on permit
terms, renewals and bonding. Twelve of the responding states followed up the survey with copies
of their laws, rules and permit applications. A summary of the telephone survey responses
appears below. Copies of the states' regulatory material are attached. Also enclosed statistics
from the Survey the IMCC conducted in 1997.

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

ARKANSAS
1.   Noncoal surface mining permits are issued for 5 years. 
2.   Renewal requires a new application.
3.   Permits may be amended. If the revision is minor, no public notice is required; if the
     revision is major, public notice is required.
4.   Bonding is based on the reclamation plan. Fees vary from $ 100 - $ 1000 per acre.


ILLINOIS
1.   Noncoal surface mining permits are issued for 3 years. There is a one time permit fee of $
     100 per acre plus an annual aggregate fee consisting of: (1) $ 300 operator fee; (2) $
     100 site fee for every site under a permit; (3) $ 250 blasting fee for every operation that
     blasts.
2.   The three year period may be extended one year, depending on how much of the
     permitted area has been affected (a specific formula is applied). After the 4th year, or if
     the extension doesn't apply, the area must be repermitted.
3.   If the original permit is amended to add acreage, either a rider is added to the original
     bond or a new bond is written.


INDIANA
1.   Permits are issued annually for the 3 noncoal (clay/shale) surface mines in the state.


KENTUCKY
1.   Noncoal surface mining permits are multi-year. They are issued for 1-5 years. There is a $
     25 per year "renewal" fee.
2.   When the permit expires, the permittee must reclaim or renew the permit by resubmitting
     an application.
3.   If the permit is amended to add acreage, the bond also increases.
4.   The amount of bonding required depends on the record of the company applying for the
     permit. Bonds are not required across-the-board. A temporary operation or a new
     company with no previous record will require bonding. If bonding is required, the fees run
     $ 100 - $ 500 per acre.


MARYLAND
1.   Noncoal surface mining permits are issued for 5 years. Annual fees are $ 12 per acre with
     a cap of $ 1000.
2.   Permits are renewable for additional 5 year increments. The renewal process includes
     updating the original permit application and revising plans to reflect current conditions.
3.   There is a $ 100 modification fee to modify the permit, e.g., to add acreage. Additional
     acreage requires additional bonding.
4.   Bond requirements are $ 1250 per acre.


NEW YORK
1.   Noncoal surface mining permit applications require information on the life of the mine and
     the number of acres that are intended to be mined. The permits are issued on an annual
     basis and are renewable for a maximum of 5 years. There is no application fee. There is
     an annual regulatory fee, depending on the amount of acreage affected. This fee is based
     on a sliding scale of $ 700 - $ 2000 and continues until the permitted area is reclaimed.
2.   Permits may be modified by the state regulatory authority or the permittee may request a
     modification. If the acreage is increased, the bond is increased.
3.   Bonds are assessed at $ 2500 - $ 3000 per acre and must be in place before the permit is
     issued.


OHIO
1.   Noncoal surface mining permits are issued for 10 years. There is a $ 250 filing fee. Annual
     Reports and an annual fee of $ 250 are required.
2.   Permits may be renewed for an additional 10 years.
3.   Amendments to add acreage require a $ 250 application fee.  Modifications, e.g., changes
     to the land use plan which does not add acreage, are allowed.
4.   Bonding requirements are based on the number of acres affected.


OKLAHOMA
1.   Noncoal surface mining permitting is multi-year, based on the life expectancy of the mine.
     The mine plan must justify the term requested, which can be from 1 - 4 years. Permits
     are reviewed annually. There is a yearly fee of $ 175 required plus $.75 per ton of
     produced material.
2.   Changes to the mine plan require an amendment process. Adding acreage is considered a
     major permit revision and requires additional bond.
3.   Bond requirements are based on acreage affected (at $ 1000 per acre) or the actual cost
     to reclaim. The determination of the bonding requirements is made upon review of the
     mine plan and the site specific conditions.


NORTH CAROLINA
1.   Noncoal surface mining permits are issued for up to 10 years for operations affecting
     greater than one acre. The length of the permit is discretionary, depending on the
     reliability of the company and the techniques to be employed; however, few of the 800
     operations in the state have a permit term of less than 10 years.
2.   The permit may be renewed any time within the last 2 years of the permit term. The
     renewal fee is nominal.
3.   The permittee may request an amendment at any time. The state regulatory authority
     may unilaterally amend the permit (this is appealable). If the acreage is increased the
     bond must be increased.
4.   There is a formula for calculating the bond, based on the cost of reclamation. There are
     different vehicles for bonding: Letters of Credit, traditional bonds through insurance
     companies and assignments of savings accounts.


PENNSYLVANIA
1.   Noncoal surface mining permits are issued on a permanent basis.
2.   Permits may not be amended to add acreage. They may be amended for minor revisions,
     e.g., an incidental boundary correction due to a surveyor's error. 
3.   Bonding is handled differently in different parts of the state: (1) In the eastern part of the
     state, bond is determined by the length of the highwall or the length and height of the
     berm; (2) in the western part of the state, the bond rate is $ 3000 per acre for the area
     where the mineral is removed and $ 1000 per acre for the support area.


SOUTH CAROLINA
1.   Noncoal surface mining permits are issued for the life of the mine, as determined by the
     mining plan and the reclamation schedule.
2.   The permit may be modified, e.g., to change the reclamation schedule. Revisions to add
     on acreage, extending the life of the mine, may be approved requiring appropriate
     adjustment to the bonding.
3.   The bonding rate is $ 1000 per acre for operations up to 25 acres. Over 25 acres, the
     bond is determined by the estimated cost to reclaim. Bonds cover the area to be mined
     over a 3 year period.


TEXAS
1.   Uranium surface mines are permitted for 10 year terms. The application fee is $ 200 plus
     $ 10 per acre of the affected area. The per acre fee is apportioned - to be paid out over
     the 10 year term of the permit.
2.   The permit may be renewed for 10 year increments.
3.   Amendment and revision provisions are similar to the coal surface mining provisions (the
     state law to regulate noncoal surface mining was passed in 1975).
4.   Bonding is incremental and is a per acre fee based on the approved plans.


VIRGINIA
1.   Noncoal surface mining permits are multi-year, with no closure date. Permits are subject
     to successive annual renewals after annual inspections and payment of annual fees, based
     on acreage permitted and acreage affected.
2.   There is a process for amending the permit. Amended acreage requires amended fees.
3.   Bonding depends on a history of successful mining in the state: (1) if the permittee has
     not mined in Virginia previously, the bond required is $ 1000 per acre disturbed; (2)
     permittees who have mined successfully for 5 years participate in the mandatory bond
     pool. Entrance and renewal fees are required when participating in the bond pool.


WEST VIRGINIA
1.   Noncoal surface mining permits are multi-year with no maximum term. Two applications
     are required: (1) Approval to remove minerals; and (2) approval to discharge. 
2.   Permits are renewed yearly. The yearly renewal fee is $ 100 plus a discharge renewal fee
     based upon acreage. There is no acreage fee to renew the mining permit.
3.   There are no provisions in the state code to allow for amending or revising the permits.
     However, in practice, the state SMCRA codes and rules are applied, where necessary.
4.   Bonding requirements are based on the state quarry law. 


ATTACHMENTS
A.   Noncoal Mineral Resources Report, IMCC publication (1997). [Excerpts only]

B.   ARKANSAS
     Arkansas Open-Cut Land Reclamation Act (1991)
     Regulation No. 15. Arkansas Open-Cut Mining and Land Reclamation Code (1996)
     Open-Cut Mining Application & Reference Guide and Example

C.   ILLINOIS
     Surface-Mined Land Conservation & Reclamation Act (1990)
     Illinois Administrative Code: Title 62; Part 300

D.   INDIANA
     Indiana Code 14-36, the statute for clay and shale surface mining
     Guidelines Respecting the Administration of Indiana Code 14-36 (no regulations were       promulgated)
     Forms necessary for making application.

E.   KENTUCKY
     Regulations for noncoal mining operations
     Noncoal surface mining permit

F.   NORTH CAROLINA
     The Mining Act of 1971
     North Carolina Administrative Code: Title 15 A; Chapter 5
     Permit application

G.   OHIO
     Ohio Surface Mine Law
     Ohio Surface Mine Rules
     Permit application and other forms & Guidelines for completing the forms

H.   OKLAHOMA
     Outline of Permitting Requirements
     Mining Lands Reclamation Act
     Non-Coal Rules and Regulations
     Permit application

I.   PENNSYLVANIA
     Pennsylvania Code: Title 25; Chapter 77
     Pennsylvania Bulletin: Noncoal rules and regulations (1998)
     Permit applications and other forms

J.   SOUTH CAROLINA
     South Carolina Mining Act
     South Carolina Mining Act Regulations
     Permit application and other forms

K.   TEXAS
     Uranium surface mining rules: Chapter 11; Subchapter C

L.   VIRGINIA
     Mineral Mine Safety Laws of Virginia (1977)
     Mineral Mining Manual; Laws and Regulations
     Permit application and other forms

M.   WEST VIRGINIA
     Laws and Regulations on Surface Mining & Reclamation of Minerals Other Than Coal


Survey conducted by: Joyce Zweben Scall