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D.C. Circuit Upholds USEPA Decision to Not Require Financial Assurance Under CERCLA for Hardrock Mining

We have previously blogged (in June 2019 and 2017) on a proposed rule released during the final days of the Obama Administration which required hardrock mines to provide financial assurance demonstrating they are able to fund the costs associated with the future cleanup of the mines under the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA), the federal statute designed to address releases of hazardous substances and the cleanup of hazardous waste sites nationwide. In December 2017, the USEPA stated its intention not to issue the final rule, finding that there was no need for any CERCLA financial assurance mechanism for operating hardrock mines based on existing federal and state programs as well as modern mining practices. Several environmental organizations filed suit in the U.S. Court of Appeals for the D.C. Circuit, challenging the USEPA’s decision not to issue the rule.

The Menominee Indian Tribe of Wisconsin has sued the U.S. Environmental Protection Agency (“EPA”) and Army Corps of Engineers (“Corps”) over the proposed Aquila Resources Back Forty Mine, arguing that EPA and Corps have failed to take responsibility for reviewing wetland permits for the project. The lawsuit was expected since the Tribe filed a notice…

A client alert issued today by Husch Blackwell’s environmental practice group details a major reversal of Obama-era policy by the Trump Administration.  The EPA announced it will not issue final regulations under CERCLA Section 108(b) imposing financial responsibility requirements on the hardrock mining industry. Abandoning a December 1, 2016 proposed rule, the EPA emphasized that after…

Last week, Wisconsin state legislators introduced a proposal to repeal the so-called “moratorium” on the mining of sulfide ore bodies (i.e., mineral deposits in which nonferrous metals are mixed with sulfide minerals) in Wisconsin. The state law in question was enacted in 1998 over concerns that sulfide minerals exposed during mining activities can react with air and water to form acid drainage which can pollute groundwater and harm lake and stream life.

The moratorium is actually a requirement that prohibits

In the name of job creation, the Trump Administration is attempting to single-handedly bring back the coal industry via executive action.  But while the president may be scoring political points in coal country, as a practical matter that’s really not where energy sector job growth will come from in the next few years.

Nevertheless, the past several months have seen a resurgence of the long dormant coal industry.  Hampered by a number of factors