Mineral Associations Coalition v. State Mining & Geology Board

138 Cal. App. 4th 574, 41 Cal. Rptr. 3d 544, 36 Envtl. L. Rep. (Envtl. Law Inst.) 20070, 2006 Cal. Daily Op. Serv. 3021, 2006 Daily Journal DAR 4359, 2006 Cal. App. LEXIS 518
CourtCalifornia Court of Appeal
DecidedApril 12, 2006
DocketNo. C049201
StatusPublished
Cited by5 cases

This text of 138 Cal. App. 4th 574 (Mineral Associations Coalition v. State Mining & Geology Board) is published on Counsel Stack Legal Research, covering California Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Mineral Associations Coalition v. State Mining & Geology Board, 138 Cal. App. 4th 574, 41 Cal. Rptr. 3d 544, 36 Envtl. L. Rep. (Envtl. Law Inst.) 20070, 2006 Cal. Daily Op. Serv. 3021, 2006 Daily Journal DAR 4359, 2006 Cal. App. LEXIS 518 (Cal. Ct. App. 2006).

Opinions

Opinion

BUTZ, J.

This case presents the question of whether defendant State Mining and Geology Board (the Board), which operates within the California Department of Conservation, exceeded its authority in promulgating an administrative regulation requiring that the Director of the Department of Conservation (the Director) concur in any lead agency determination that a mine operator has fulfilled the terms and conditions of his reclamation plan and that the financial assurance instruments securing his obligation to reclaim lands shall be released.

Plaintiffs Mineral Associations Coalition, California Mining Association, Construction Materials Association of California and Southern California Rock Products Association (collectively, the Associations) filed this declaratory relief action, seeking a judicial declaration that California Code of Regulations, title 14, section 3805.5, subdivision (d) (regulation 3805.5(d))1 was invalid because it was in conflict with the Surface Mining and Reclamation Act of 1975 (SMARA) (Pub. Resources Code, § 2710 et seq.),2 and therefore in excess of the Board’s rulemaking authority. The trial court granted the Board’s motion for judgment on the pleadings, ruling that the challenged regulation was within the Board’s authority and consistent with SMARA.

We agree with the trial court. As the California Supreme Court recently observed in People ex rel. Dept. of Conservation v. El Dorado County (2005) 36 Cal.4th 971 [32 Cal.Rptr.3d 109, 116 P.3d 567] (El Dorado), the Director has both the authority and responsibility to ensure that mined lands are reclaimed in accordance with an approved reclamation plan and that financial assurances are not released prematurely. Moreover, we discern no clear legislative intent that lead agencies should have exclusive power to determine whether mined lands have been adequately reclaimed as would justify releasing the mine operator from further financial liability. We shall affirm the judgment.

[580]*580BACKGROUND

A. Overview of SMARA and Provisions for Governmental Enforcement

SMARA was enacted by the Legislature in recognition that “the extraction of minerals is essential to the continued economic well-being of the state and to the needs of the society, and that the reclamation of mined lands is necessary to prevent or minimize adverse effects on the environment and to protect the public health and safety.” (§ 2711, subd. (a).) “Reclamation” is a process of land treatment that minimizes damage to the environment from surface mining operations and restores the land to usable condition. (§ 2733.)

As noted in El Dorado, “ ‘[w]ithin the [state] Resources Agency is the Department of Conservation (the Department). The head of the Department is an executive officer appointed by the Governor, known as the Director. (§ 601.) The Department’s work is divided into at least four divisions: mines and geology; oil, gas, and geothermal resources; land conservation; and recycling. (§ 607.) [][] Also in the Department is the [Board]. (§ 660.). . . The Board represents the state’s interests in the development, utilization, and conservation of mineral resotirces in California and the reclamation of mined lands, and in federal matters pertaining to mining. The Board also determines, establishes, and maintains an adequate surface mining and reclamation policy. (§ 672.)’ ” (El Dorado, supra, 36 Cal.4th at p. 983.)

“ ‘At the heart of SMARA is the requirement that every surface mining operation have a permit, a reclamation plan, and financial assurances. (§ 2770, subd. (a).)[3] . . . The financial assurances must remain in effect for the duration of the mining operation and until reclamation is complete and shall be made payable to the lead agency and the Department. (§ 2773.1, subd. (a)(2).) The financial assurances may be forfeited if the lead agency or the Board determines the operator is financially incapable of performing reclamation in accordance with the approved reclamation plan, or has abandoned [his] surface mining operation without commencing reclamation. (§ 2773.1, subd. (b).) [][] In keeping with the recognition of the diverse conditions throughout the state, SMARA provides for “home rule,” with the local lead agency having primary responsibility. A lead agency is usually the city or county. (§ 2728.) The mining operator submits the reclamation plan and financial assurances to the lead agency for review. (§ 2770, subd. (d); § 2772.) The Board, through regulations, specifies minimum statewide reclamation standards. (§ 2773.)’ ” [581]*581(El Dorado, supra, 36 Cal.4th at p. 984.) Every lead agency must adopt ordinances in accordance with state policy. (§ 2774, subd. (a).) The Board must review these ordinances and certify that they comply with that policy. (§ 2774.3.)

Prior to approving a reclamation plan, the lead agency must send the plan, financial assurances and supporting documentation to the Director. (§ 2774, subd. (c).) “ ‘The Director then may prepare written comments, if he chooses, within 30 days for reclamation plans and 45 days for financial assurances. (§ 2774, subd. (d)(1).) The lead agency shall prepare written responses to the Director’s comments, describing disposition of the major issues raised. In particular, the lead agency shall explain in detail why any specific comments and suggestions were not accepted. (§ 2774, subd. (d)(2).) Thus, although the lead agency must evaluate and respond to the Director’s comments, it need not always accept them.’ ” (El Dorado, supra, 36 Cal.4th at p. 985.)

Initially, SMARA contained no enforcement provisions. (El Dorado, supra, 36 Cal.4th at p. 985.) However, “ ‘[i]n 1990, in response to concerns about deficiencies of lead agencies in carrying out their responsibilities under SMARA, the Legislature substantially amended SMARA. The amendments provided for various types of enforcement, against both mine operators and lead agencies. Enforcement against mine operators includes notices of violations and fines. (§ 2774.1, subds. (a)-(c).) The lead agency has primary responsibility for enforcing SMARA against mine operators. (§ 2774.1, subd. (f)(1).) Where the Board is not acting as the lead agency, the Director may initiate enforcement actions where (1) the Director has notified the lead agency of the violation and the lead agency fails to take action within 15 days, or (2) the Director determines the violation amounts to imminent and substantial endangerment to the public health or safety, or to the environment. ([Ibid.]) Similarly, the Director may take actions to seek forfeiture of financial assurances where the lead agency has failed to act or has been unsuccessful. (§ 2773.1, subd. (d).)’ ” (El Dorado, supra, 36 Cal.4th at p. 985.)

The Board is given statutory authority to adopt financial assurance mechanisms that it determines are “reasonably available and adequate to ensure reclamation.” (§ 2773.1, subd. (e).) It may also step into the shoes and assume the role of the lead agency if it finds that the lead agency has not been fulfilling its statutory duties according to SMARA. (§ 2774.4.)

B. The Regulation at Issue

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138 Cal. App. 4th 574, 41 Cal. Rptr. 3d 544, 36 Envtl. L. Rep. (Envtl. Law Inst.) 20070, 2006 Cal. Daily Op. Serv. 3021, 2006 Daily Journal DAR 4359, 2006 Cal. App. LEXIS 518, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mineral-associations-coalition-v-state-mining-geology-board-calctapp-2006.