At a time when federal Department of Interior Secretary Ken Salazar has promised tough new oversight of strip mining and of state mining regulatory programs, President Obama has recommended that Congress cut spending on Interior’s Office of Surface Mining Reclamation and Enforcement.
Obama has asked Congress to cut the overall OSMRE budget for the 2011 financial year by about 10 percent, to $146 million.
Specifically, this proposal would cut OSMRE’s own regulation and technology budget by 9 percent. It would cut OSMRE regulatory grants to state programs by 15 percent.
Here’s what Interior has to say about cutting those grants to state programs (which provide half of most state program budgets):
States will be encouraged to offset this decrease in federal funding by increasing user fees from the coal industry. Other energy industries, such as oil and gas producers, pay inspection or permit fees to reimburse the Federal government for the cost of regulating their industry. Increasing user fees on coal producers to contribute to the cost of coal mine regulation will treat these similar industries more comparably. The decrease is proposed in part to fulfill the United States’ commitment to the Group of 20 Nations to reduce subsidies to fossil-fuel industries.
Subscribe to the Coal Tattoo
I like this idea make the people who are mining or drilling pay for the permit. This is more like what a business would do. Charge for what a service cost not give it out for free.
Federal agencies are required to do cost recovery.
OSM cost recovery are several decades out of date.
http://www.whitehouse.gov/omb/rewrite/circulars/a025/a025.html
Cost recovery policies are explained in OMB Circular No. A-25 (Revised) (Circular A-25), entitled “User Charges.” Part 346 of the Departmental Manual (DM) also provides guidance. The general Federal policy as stated in Circular A-25 is that a charge will be assessed against each identifiable recipient for special benefits derived from Federal activities beyond those received by the public. The Circular establishes Federal policy regarding fees assessed for government services and for sales or use of government goods or resources. It provides information on the scope and types of activities subject to user charges and the basis upon which agencies set user charges. Finally, Circular A-25 guides agency implementation of charges and the disposition of collections.
Application permit fees to conduct surface coal mining operations (last updated in July 1990)
http://0-edocket.access.gpo.gov.library.colby.edu/cfr_2002/julqtr/pdf/30cfr750.25.pdf
OSMRE Directive REG-35, Permit Fees in Federal Program States and On Indian Lands, dated August 27, 1990
http://www.osmre.gov/guidance/directives/directive630.pdf
http://www.osmre.gov/topic/Budget/budget.shtm
Following are the Office of Surface Mining budget and strategic planning information. OSM’s budget justification is also known as the Green Book [which is not yet online].
OSM Staffing: FY2011: 515 (no change)
[...] Blogs @ The Charleston Gazette – » Obama proposes cuts in OSMRE budget blogs.wvgazette.com – view page – cached At a time when federal Department of Interior Secretary Ken Salazar has promised tough new oversight of strip mining and of state mining regulatory programs, President Obama has recommended that Congress cut spending on Interior’s Office of Surface Mining Reclamation and Enforcement. [...]
[...] Natural Resources Chairman Nick J. Rahall today issued a letter in which he harshly criticized the Obama administration’s proposed cuts in the federal Office of Surface Mining Reclamation and Enforcement’s [...]