West Virginia's Coal Pact Gets a Ho-Hum Refresh
Published Date: 2/20/2026
Rule
Summary
West Virginia is updating its agreement with the federal government to keep managing coal mining and land cleanup on federal lands in the state. This change keeps things running smoothly under the Surface Mining Control and Reclamation Act, starting March 23, 2026. Coal miners, landowners, and local communities will see continued state oversight without new costs or delays.
Analyzed Economic Effects
5 provisions identified: 2 benefits, 2 costs, 1 mixed.
Bond Rules and Conversion on Termination
Operators conducting coal exploration or mining on Federal lands covered by the agreement must submit performance and/or penal bonds. If the cooperative agreement is suspended or terminated, the portion of the bond covering Federal lands must be converted into a full-cost reclamation bond and bonds may be made payable to the United States.
State Takes Lead on Federal Mine Permits
Starting March 23, 2026, West Virginia will regulate surface coal mining and reclamation on Federal lands in the State under an amended cooperative agreement. The State is given primary authority to review and approve permit applications involving leased Federal coal and to regulate coal exploration activities on Federal lands except for activities reserved to the Bureau of Land Management under 43 CFR part 3400.
Permit Fees and Penalties Kept by State
The amended agreement incorporates coal exploration application fees and requires civil and criminal penalties collected by the State from operations on Federal lands to be deposited in West Virginia's Special Reclamation Fund and Special Reclamation Water Trust Fund. The State may retain permit application fees as program income in WVDEP's Mining and Reclamation Operation Fund and must report permit fee, penalty, and fine amounts collected during the prior grant year.
Inspections, Oversight, and Enforcement Rules
WVDEP must perform inspections on Federal land and provide OSMRE copies of completed State inspection reports on a "timely basis." OSMRE retains Federal inspection and enforcement authority, may take enforcement action where it conducts inspections or disagrees with State enforcement, and WVDEP must notify OSMRE and any Federal land management agency before suspending or revoking a permit on Federal lands.
No New Substantive Industry Requirements
The final rule states the amended cooperative agreement does not impose any new substantive requirements on the coal industry and will not have a significant economic impact on a substantial number of small entities. The Department says the costs to West Virginia for carrying out the agreement are offset by Federal grants and appropriations.
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Key Dates
Department and Agencies
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