Secretary of Labor v. White Oak Resources, LLC (Commission decision, July 14, 2016)

Plain-English summary

White Oak Resources received a proposed penalty assessment on March 6, 2015, and agency records initially made it appear that the assessment became final when no contest was filed within 30 days. White Oak moved to reopen and asserted that it had timely contested the assessment. The Secretary agreed that the contest was received on March 12, well within the filing period. The Commission held that the assessment never became final, dismissed the reopening request as moot, and remanded for ordinary penalty proceedings before the Chief Administrative Law Judge.

Decision snapshot

• Governing provision: 30 U.S.C. § 815(a)
• Outcome: The reopening motion was declared moot because the contest was timely, and the penalty case was remanded for further proceedings.
• Key point: A timely contest prevents a proposed assessment from becoming a final Commission order, so Rule 60(b) reopening is unnecessary.

Full text (FMSHRC public release)

FEDERAL
MINE SAFETY AND HEALTH REVIEW COMMISSION

1331
PENNSYLVANIA AVE., N.W., SUITE 520N

WASHINGTON,
DC 20004-1710

SECRETARY
OF LABOR,

MINE
SAFETY AND HEALTH   

ADMINISTRATION
(MSHA),       

v.

WHITE
OAK RESOURCES, LLC,

:

:

:

:

:

:

:

Docket
No. LAKE 2015-532

A.C.
No. 11-03203-374211

BEFORE:  Jordan,
Chairman; Young, Cohen, Nakamura, and Althen, Commissioners

ORDER

BY THE
COMMISSION:

This
matter arises under the Federal Mine Safety and Health Act of 1977, 30 U.S.C.   
§ 801 et seq. (2012) (“Mine Act”). On June 3, 2015, the Commission received from White Oak Resources, LLC (“White Oak”) a motion seeking to reopen a penalty assessment that had appeared to become a final order of the Commission pursuant to section 105(a) of the Mine Act, 30 U.S.C. § 815(a).

On
March 6, 2015, White Oak received a proposed penalty assessment from the Secretary. On April 6, 2015, the proposed assessment was deemed a final order of the Commission, when it appeared that the operator had not filed a Notice of Contest within 30 days.

White
Oak asserts that it timely contested the penalty assessment at issue. The Secretary does not oppose the request to reopen, and admits that it received a timely contest of the penalty assessment at issue on March 12, 2015.

Having reviewed White Oak’s request and the Secretary’s response, we conclude that the proposed penalty assessment did not become a final order of the Commission because the operator timely contested the proposed assessment. Section 105(a) states that if an operator “fails to notify the Secretary that he intends to contest the ... proposed assessment of penalty, ... the citation and the proposed assessment of penalty shall be deemed a final order of the Commission.” 30 U.S.C. § 815(a). Here, White Oak notified the Secretary of the contest. This obviates any need to invoke Rule 60(b). Accordingly, the operator’s motion to reopen is moot, and this case is remanded to the Chief Administrative Law Judge for further proceedings pursuant to the Mine Act and the Commission’s Procedural Rules, 29 C.F.R. Part 2700.

/s/ Mary Lu Jordan

Mary Lu Jordan, Chairman

/s/ Michael G. Young

Michael G. Young, Commissioner

/s/ Robert F. Cohen, Jr.

Robert F. Cohen Jr., Commissioner

/s/ Patrick K. Nakamura

Patrick K. Nakamura, Commissioner

/s/ William I. Althen

William I. Althen, Commissioner

Distribution:

Billy
R. Shelton, Esq.

Jones,
Walters, Turner & Shelton, PLLC

2452
Sir Barton Way, Suite 101

Lexington,
KY 40509

W.
Christian Schumann, Esq.

Office
of the Solicitor

U.S.
Department of Labor

201
12th St. South, Suite 401

Arlington,
VA 22202-5450

Chief
Administrative Law Judge Robert J. Lesnick

Federal
Mine Safety & Health Review Commission

1331
Pennsylvania Ave. N.W., Suite 520N

Washington,
DC 20004-1710

Melanie
Garris

Office
of Civil Penalty Compliance

Mine
Safety and Health Administration

U.S.
Department of Labor

201
12th St. South, Suite 401

Arlington,
VA 22202-5450