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Ohio Valley Senators Again Aim to Shore Up Shaky Pension Plan For Coal Miners

Source: Ohio Valley Resource

Following a failed attempt to address a looming crisis in many multi-employer pension programs, two Ohio Valley lawmakers have introduced a bill in Congress to shore up the shaky pension plan for coal miners. The bill also aims to protect health benefits and restore funding for the federal trust fund providing benefits for thousands of miners sickened by black lung disease.

Sen. Sherrod Brown of Ohio is one of six Democrats sponsoring the American Miners Act of 2019, which seeks to fund the pension plan for coal miners guaranteeing retirement and health benefits from cradle to grave. Brown says the fund is at risk of insolvency due to a downturn in the coal market, the 2008 recession, and coal company bankruptcies.

“Mine workers are in a particularly vulnerable position,” Brown said. “Mine workers and their widows would lose 40 to 50 percent of their pension.”

Brown and West Virginia Sen. Joe Manchin served on a joint select committee on multi-employer pensions last year. That committee was tasked with finding a solutionto pension problems affecting a range of work from teamsters and iron workers to bakers and confectioners. But the committee missed a self-imposed deadline to come up with a solution at the end of November, and concluded the year without presenting a solution

“Well the committee’s out of business legally,” Brown said. “It was set up to run through the end of the year.”

So Brown and fellow Democrats are again pushing a bill similar to one they presented in 2017  dealing with pension and health benefits for coal retirees. The measure extends healthcare benefits for miners who worked for companies that went bankrupt last year.

Senate Majority Leader Mitch McConnell of Kentucky split the issues in 2017, separating healthcare benefits from pensions. Sen. Brown said he hopes it will be different this time.

“However Sen. McConnell wants to do it in the end,” Brown said. “He’s on the ballot in 2020. I think he wants to show the mine workers that he can be on their side and that’s what we will sell to him and to Republican leadership and to the president.”

Sen. McConnell’s office declined a request for comment.

Brown said he’d also like to see support from the Trump administration. As both candidate and president, the coal industry has been a staple of the president’s rhetoric.

“I hope the president of the United States will, for the first time in this, show some interest in supporting the mine workers other than making good speeches about mine workers,” Brown said.

Out of Time

Phil Smith is the spokesperson for the United Mine Workers of America. He wants to see a solution for all multi-employer pensions but says the UMWA is running out of time.

“It’s just not clear that there is going to be a bigger solution,” Smith said. “We hope that there is and to that extent that, that solution would apply to our fund we would welcome that, but again there’s no more time to wait.”

The American Miners Act would transfer excess funds from the Abandoned Mine Land Reclamation Program to shore up pension benefits.

The measure also seeks to extend a tax rate used to fund the Black Lung Disability Trust Fund. Congress allowed that tax rate to expire at the end of 2018, returning the tax to a rate from before 1981. That cuts the industry’s contribution to the fund by roughly half and, according to a federal agency’s analysis, could plunge the fund further into debt.

The trust fund provides monthly payments and medical treatment to coal miners totally disabled from black lung caused by their work in the nation’s coal mines when a responsible mining company can’t be identified.

Written by: Becca Schimmel

GUEST EDITORIAL: Coal Companies, Politicians are Derelict in Care

Source: Times West Virginian 

Many a local man has spent decades digging coal in the dark, damp and dangerous mines of southern West Virginia, providing enough dirty black mineral to build and power a nation. And now, many of those men, tethered to an oxygen tank, are struggling to breathe.

They are victims of black lung disease. Technically, pneumoconiosis. Progressive Massive Fibrosis (PMF) is the most severe form of black lung. The condition leaves miners with severely compromised health, lifestyles defined by the few steps they can take before stopping to catch their breath. Eventually, they can’t and they die – as if being suffocated. While they live, they are dependent on medical care covered in part by a federal fund, which – for these men – is a lifeline.

That lifeline has been stretched perilously thin.

The Black Lung Disability Trust Fund is at risk of insolvency. Mounting debt and a decline in coal company contributions are threatening the viability of the fund, according to a report by the U.S. Government Accountability Office. That shortfall – coming at a time when black lung rates are rising and coal industry fortunes are on the decline – could force the fund to slash benefits by half or shift some of the financial burdens to taxpayers.

Here’s the thing: Coal barons, who are never exposed to the dangers of the deep and who pocket wads of cash, are getting off the hook without addressing their ethical and moral responsibilities. And the government, according to new reporting, may be complicit.

As of the end of last year, coal companies were required to pay a $1.10 per ton excise tax on underground coal production to finance the fund. Because Congress – and our president – did not extend the tax in year-end appropriations legislation that is now tied up in the government shutdown, the amount reverts to the 1977 level of 50 cents.

That piddling amount will never cut it. The fund already has been forced to borrow more than $6 billion from the Treasury. About half of the fund’s revenue now services that debt.

And what is the response we get from the Oval Office? The country needs to spend $5 billion for a wall along our nation’s border with Mexico.

Coal companies are crying alligator tears, of course, and their political puppets whose campaign coffers they stuff with large donations are doing their bidding in Congress. Early drafts of a House tax bill included a one-year extension on the excise tax on coal. But the National Mining Association showed up in the halls of Congress, lobbied against the extension, and – presto, change-o – when a new version of the bill was released, the coal tax extension was gone.

The coal industry is under duress, certainly. With cheap natural gas and the emergence of the cleaner energy sources of solar and wind, coal’s share of the electric grid is waning. As a consequence, a number of companies have filed for bankruptcy. When that happens, their obligation to support medical care for miners afflicted with black lung is transferred to the fund. In 2017, there were some 2,600 such transfers, according to a congressional report.

So, yes, coal is in a terrible way, but that does not excuse coal companies from providing appropriate levels of care for their workers.

In every business, there is a price for keeping the doors open. In coal mining, especially, that has to include medical care for those who do the dirty work. Especially now. In southern West Virginia mines, much of what our miners are chasing is low coal, which requires cutting into rock seams, sometimes up to 12 inches of rock at a time. That generates thick clouds of fine and barbed particles of silica, and that is what gets inhaled, lodging in lungs forever, leaving them crusty and useless.

Over time, the damage becomes fatal.

Now, an NPR/Frontline analysis late last year of federal regulatory data shows that the government had evidence of excessive and toxic mine dust exposures, the kind that can cause PMF, as they were happening.

“They knew that miners were likely to become sick and die,” the news report said of those regulators. “They were urged to take specific and direct action to stop it. But they didn’t.”

This is deeply concerning.

For now, Sen. Joe Manchin, D-WV, has not been deterred by the year-end budget shenanigans. Just this past week, he announced legislation extending the Black Lung Disability Trust Fund tax for ten years.

The entire West Virginia congressional delegation needs to get behind this bill – and, further, to get to the bottom of the NPR report.

Our coal miners have given much to provide our nation with the energy that powered our prosperity. Time and again they entered the mines, risking their health so that our lives might be safe and comfortable.

Now, it’s beyond time that we honor the work and those men, and say that ours is a country that values hard work, respects the laborer and demands the truth.

Dig coal, Mr. President? Prove it.

— The Register-Herald

UIC Lung Disease Study

Dear Union Members:

We are occupational pulmonologists – doctors specializing in work-related lung diseases – at the University of Illinois at Chicago School of Public Health, and we would like to ask you to consider taking part in a research study about lung diseases that occur in miners, which include “black lung” disease and chronic obstructive pulmonary disease (COPD).

The purpose of this research is to try to better understand why lung diseases, such as black lung, continue to be a problem for miners. If you choose to participate in this research study, we would do two interviews. These interviews are usually done over the phone. The first interview will review your medical history. The second interview will review your work history. We would also ask for your permission to review your medical records and lung tissue samples that may be available. We will be following up with you every 3 to 5 years to update your records with any new updates. We would ask about symptoms, medical records, tissue samples, and changes in your medical or work history.

There would be no extra testing, medical costs, travel, or changes to your medical care for the purposes of this study. We would take significant care to maintain your privacy.

We hope that you will consider participating in our study. It is our hope to gather as much information about these lung diseases as possible to improve everyone’s understanding of the disease. If you are interested in participating or hearing more about the study, please contact us at 312-996-4534 or at  lthoma22@uic.edu.  Thank you for your time and consideration.

Sincerely,

Leonard H.T. Go, MD

Robert A. Cohen, MD

Click here to view a printable version of this letter. 

Legislation introduced to secure miners pensions and health care

Source: The Register-Herald

A recently introduced piece of legislation — the American Miners Act of 2019 — is aiming to secure the nation’s retired miners’ pensions and health care.

Introduced by U.S. Sens. Joe Manchin, D-W.Va., Tim Kaine, D-Va., Mark Warner, D-Va., Sherrod Brown, D-Ohio, Doug Jones, D-Ala., and Bob Casey, D-Pa., the bill would:

• Amend the Surface Mining Control and Reclamation Act of 1977 to transfer funds in excess of the amounts needed to meet existing obligations under the Abandoned Mine Land fund to the 1974 Pension Plan to prevent its insolvency due to coal company bankruptcies and the 2008 financial crisis.

• Extend the Black Lung Disability Trust Fund tax at $1.10 per ton of underground-mined coal and $0.55 per ton of surface-mined coal for 10 years. The release said the tax is critical for supporting the Black Lung Disability Trust fund, which provides healthcare and benefits to more than 25,000 miners and their dependents.

• Ensure that the miners who are at risk due to 2018 coal company bankruptcies will not lose their health care.

“Our coal miners made a commitment to provide our nation with the energy we needed to power our nation to prosperity,” Manchin said in the release. “They did so time and time again even when it risked their health and their lives.”

He continued, “It is our turn now to keep our promise to them and ensure that we secure their hard earned pensions and their promised healthcare and black lung benefits. We cannot continue to allow these solutions to be put off again and again. Our retirees and their widows deserve better than that.”

Manchin said for many retired miners, their pensions and health care benefits make all the difference. Without these benefits, he said some would have to choose between paying their mortgage or being kicked out of their home, or putting food on their tables or going hungry.

“I look forward to working with my colleagues on both sides of the aisle to finally secure our miners pensions and healthcare,” Manchin said.

Kaine said he’s hopeful Congress will act quickly on this legislation to give miners peace of mind.

Written by: Wendy Holdren

A Coal Miner Asks: Why Aren’t Kentucky Lawmakers Doing More For Us?

Source: Courier Journal

My name is Carl Shoupe from Lynch in Harlan County. I married a Benham woman, so I now reside in this great little community that is struggling, much like my fellow miners in coal counties throughout Eastern Kentucky.

I’d like to explain a little about the dreaded coal miner’s disease of black lung, national legislation that pays the health care each month for those miners with the disease, and other legislation that can improve the lives of miners and our communities.

First, it is a known fact that men and women have been mining coal for well over 100 years here in these mountains. We have contributed to winning two World Wars and keeping the lights on in the United States.

And it is no secret the coal industry is in a downturn with coal companies shutting down mines, filing bankruptcy and putting thousands of coal miners out of work or sick, or both. In Central Appalachia, 1 in 5 veteran miners have black lung disease, and younger miners are getting sick at higher rates than ever before, too.

The support received by miners with black lung disease is provided through the Black Lung Disability Trust Fund, paid for by a fee levied on each ton of coal sold. Unfortunately, this trust fund is presently threatened financially to the point that if something isn’t done by our legislators in Washington, miners with this dreaded disease or their surviving dependents will no longer receive the benefits they are entitled to. The fee that funds these benefits is set to decrease by over half at the end of the year unless Congress moves to extend the fee, or strengthen it as is really needed.

We coal miners, our fathers and our grandfathers had to fight for anything and everything that we’ve ever gotten from coal companies. So we can’t quit now. Our forefathers literally fought for benefits received. But times have changed, and at this time in history we can turn to other methods. One method is through contacting our representatives in Washington, D.C.

We must start now. Already 15 cities and counties in Kentucky have passed local resolutions asking Sen. Mitch McConnell to support legislation in the U.S. Congress to strengthen the Black Lung Disability Trust Fund. As usual, the National Mining Association opposes anything that will help the coal miner. We can’t let them block this legislation. These coal companies weren’t concerned when we were 2 miles underground, working in dust so thick that sometimes you could barely see your buddy’s lights. It’s time again to fight for the benefits we have earned and deserve.

Those local resolutions also ask that Congress pass the RECLAIM Act. Just sitting in a fund in Washington, D.C. is hundreds of millions of dollars for the purpose of fixing our mountains and communities that have been torn apart by mining. The RECLAIM Act would make sure this money is passed on to coal communities that need it. This money could employ thousands of miners who have been laid off by the coal industry to work on infrastructure, cleaning up waterways and land, and promoting economic development.

And the resolutions have one more request: that Congress protect UMWA pensions so UMWA miners can continue supporting themselves and their families.

Sen. McConnell is dragging his feet on these three pieces of legislation! Congress won’t do anything unless Mitch McConnell, Hal Rogers and our Kentucky members of Congress hear from us. These men say they support our communities, so why don’t they show it by passing this legislation?

Fellow coal miners, spouses, businesses, and friends: we need you to call Washington (use the capitol switchboard: 202-224-3121) and ask these legislators to support and pass these bills that are extremely necessary for us to live good lives and preserve our homeland of Eastern Kentucky.

We need to strengthen the Black Lung Trust, help us coal miners maintain a decent income, and make sure we have a secure retirement. This is not too much for us to ask, considering all we have done for this great nation.

Carl Shoupe is a disabled and retired coal miner and member of Kentuckians For The Commonwealth.

Union Pay Raises Irk Tomassetti – Some increases exceed 3 percent limit; minimum wage set at $10 per hour

Source: Altoona Mirror

HOLLIDAYSBURG — A new contract for a group of unionized Blair County employees allocates some raises beyond the typical 3 percent in 2019 and sets the county’s minimum wage at $10 per hour.

Blair County commissioners voted 2-to-1 Tuesday to approve the three-year contract with the United Mine Workers of America representing 226 employees in 21 county and court-related offices and departments.

The contract approval occurred during the weekly commissioners meeting, shortly after commissioners voted 2-to-1 to adopt a $55.31 million budget for 2019.

As anticipated, the budget keeps real estate taxes at 3.925 mills, meaning a tax bill of $392.50 for someone with a property valued at $100,000.

Commissioners Chairman Bruce Erb and Ted Beam Jr. voted for the UMWA contact and the budget while Commissioner Terry Tomassetti voted against them.

At the beginning of the 2019 budget-planning process, Tomassetti suggested considering raises to counter turnover and failed to get a supportive second vote. Erb and Beam told Tomassetti that they preferred to wait for the results of a salary and job classification study and its recommendations.

Tomassetti later narrowed his request to county attorneys, with support from President Judge Elizabeth Doyle, District Attorney Richard Consiglio and Chief Public Defender Russ Montgomery.

But Erb and Beam still declined to consider the idea, saying they didn’t want to “pick and choose” any specific department or group of employees for raises beyond the typical 3 percent.

“That is indeed what we have here today,” Tomassetti said Tues­day when casting his vote against the contract.

In addition to 3 percent raises for 2019, the union contract includes $1,500 increases for corporals and sergeants and $1,000 raises for deputies in the sheriff’s department.

For 77 union-represented employees making less than $10 an hour, the new contract translates into a 28 percent increase for employees earning $7.25 an hour, the state’s minimum wage.

“For some of those people, that’s huge,” said Human Resources Director Kather­ine Swigart, who was in­volved in the negotiations.

The new contract also increases longevity paid to veteran 911 Center staff members by adding $1.50 an hour for lead communicators and 40 cents an hour more for telecommunicators when working as trainers.

Erb and Beam rejected Tomassetti’s criticism of their support for the contract.

“This was a negotiated contract,” Beam said. “The county and the union negotiated fairly, and I accepted it.”

In exchange for the outlined wage changes, Erb said the union consented to other items in the contract, including ones that could help reduce costs in the future. For instance, the union contract sets 2.5 percent annual raises for 2020 and 2021. So if the salary study generates recommendations prompting commissioners to consider higher raises in those years, the union employees get the raises outlined in their contract.

Otherwise, it would take both sides to agree to a wage reopener, Erb said.

Tomassetti said the commissioners were advised in late August of the proposed additional increases being considered at the bargaining table. He said he chose not to reveal the proposal after checking with legal counsel who said that doing so could generate a union grievance.

Tomassetti also pointed to a “lack of equity” within the contract which also refines rules for overtime, vacation procedures and sick leave.

The proposed contract, Swigart said, is reflective of the departments with representatives at the bargaining table: juvenile probation, sheriff and the 911 Center.

Some unidentified county employees, prior to a recent union meeting, posted notices in the courthouse urging UMWA members to vote no and send union leaders back to negotiate a better version. But the union members OK’d the proposed contract.

The Mirror tried Tuesday to reach the county UMWA union leader and did not receive a return phone call.

Sheriff James Ott said he had heard that the union was making an effort on better pay through negotiations. A couple of weeks ago, Ott told commissioners that his department, just like other county departments, regularly loses staff because of low pay.

“I’m appreciative, and I’m sure the staff is appreciative that the county is supporting this,”Ott said of the union contract. “But even with the amounts in the contract, the pay is still less than it should be and it’s not enough to keep people from leaving.”

Ott said he has hired 18 deputies this year to fill vacant positions and is now looking for a 19th deputy.

The deputies were making $13.74 per hour this year, Ott said, so with the additional $1,000 increment and the 3 percent raise, their 2019 pay calculates to $14.65 an hour. Deputies typically work a 35-hour work week.

Mirror Staff Writer Kay Stephens is at 946-7456.

Sen. Duckworth Meets with Retired IL Mine Workers

Source: KFVS12

ILLINOIS (KFVS) – U.S. Senator Tammy Duckworth met with retired Illinois mine workers on Tuesday, December 11.

She met with mine workers from Coulterville, Du Quoin, Millstadt and Taylorville to discuss how to protect their pensions.

“Our mine workers worked hard every day in difficult and sometimes dangerous conditions because they wanted to provide a good life for their families and they knew that when they were no longer able to work, their pensions would be there for them,” Sen. Duckworth said. “Now, their pensions are at risk through no fault of their own. Congress needs to fix this crisis immediately and protect the pensions these workers were promised.”

The mine workers, who are retired members of the United Mine Workers of America, traveled to Capitol Hill on Monday to ask Congress to help save the UMWA 1974 Pension Plan, which provides monthly benefits to retired miners, to miners who are disabled as a result of workplace injury and to their surviving spouses.

The pension plan provides benefits to roughly 91,000 retriees and in 2015, Illinois retirees received $64 million in pension payments from the plan. However, because of the 2008 financial crisis and the surge of bankruptcies in the coal industry, the plan is reportedly no longer on sound financial footing.

Written by: Amber Ruch

Mission Coal agreement sets $145M floor for met coal bankruptcy auction

Source: Market Intelligence 

Mission Coal Co. LLC is seeking approval to enter into a stalking horse purchase agreement featuring a $145 million credit bid for the metallurgical coal company’s assets.

The company’s debtor-in-possession lenders agreed to provide a stalking horse bid in the form of credit and set a floor price for auctioning the company’s Maple Eagle and Oak Grove metallurgical coal mining facilities, according to a Dec. 5 court filing. Through its Chapter 11 bankruptcy reorganization, Mission is seeking to facilitate the sale of substantially all of its assets.

“Time is of the essence,” Mission wrote in a U.S. Bankruptcy Court for the Northern District of Alabama motion seeking approval of the bidding process. The company faces milestones under its financing facility that, without extension, could lead to a need to refinance at a higher cost or shut down operations.

“The sale would resolve these Chapter 11 cases, cut off the expense of bankruptcy, and permit the debtors to distribute the value generated by the sale of assets to their stakeholders,” the filing states. “The debtors hope and expect to continue discussions with creditors regarding their sale and restructuring efforts and obtain substantial consensus regarding the Chapter 11 process quickly.”

Mission Coal was formed in early 2018 by consolidating operations acquired by ERP Environmental Fund Inc. through distressed asset buys in 2015 and 2016. The company picked up mines relatively cheaply from Cleveland-Cliffs Inc. as that company exited the U.S. coal sector and acquired assets from Walter Energy Inc. in exchange for assuming the liabilities associated with the mines when Walter went through its own bankruptcy reorganization. The top assets of Walter Energy emerged from bankruptcy under the control of Warrior Met Coal Inc., which is now expressing some interest in Mission’s bankruptcy sale.

“We’ve always talked about the fact that those assets … are right in our backyard, and they would be a good fit for us. That has nothing to do with where we’re sitting on liquidity right now,” Warrior CEO Walter Scheller said on an Oct. 31 earnings call. “But we’re surely going to be paying close attention to what’s going on.”

The stalking horse purchase includes the acquisition of certain assets of the company’s Pinnacle coal mine, which was recently closed. Under the agreement, a buyer would have the right between signing and closing to determine what assets of Pinnacle and the company’s Seminole Alabama Mining Complex LLC it would like to acquire, according to the court motion.

The buyer of the assets would also be taking on potential expenses related to reclamation, assumed contracts, various taxes and other liabilities. However, under the plan, the buyer would not be assuming some other liabilities associated with workers compensation and certain other employee-related liabilities including obligations stemming from the Black Lung Act and a collective bargaining agreement with the company’s unionized workforce. However, the asset purchase agreement is contingent on either the United Mine Workers of America waiving the successor clause in its agreement or the bankruptcy court approving rejection of the agreement.

The proposed stalking horse agreement does not include a breakup fee or expense reimbursement and is expected to allow Mission to maximize the value of its assets by market-testing the stalking horse bid through an auction process in which the highest bidder can take on the assets. Mission Coal has proposed a bid deadline of Jan. 21, 2019. An auction would be held, if necessary, Feb. 27, 2019, under the proposal.

Those lost in Robena Mine disaster remembered

Source: Herald Standard

MASONTOWN – Each coal miner killed in an accident or by black lung has a ripple effect that impacts countless others, UMWA International President Cecil Roberts told the crowd gathered on a chilly Thursday morning to remember the Robena Mine disaster 56 years ago.

Roberts pointed to the estimated 250,000 miners who have died over the years in mine disasters or from medical problems, and then extrapolated that figure to show the millions of relatives and friends who felt the loss.

At Robena, the watches on the 37 men killed Dec. 6, 1962, stopped ticking between 1:03 and 1:06 p.m., signifying the time of the underground blast near the memorial site positioned along Route 21 in Monongahela Township just west of Masontown. The explosion is thought to have been caused by a buildup of methane gas that was ignited by a spark from mine equipment.

Families gathered outside the mine on a frigid afternoon that day waiting for word on the fate of the workers inside.

“The very next morning, a wife became a widow,” Roberts told the crowd gathered for the memorial. “The next morning, a child had lost a father.”

One of those families that felt the loss was that of Judy Package, whose second cousin, Albert Bronakoski, was the youngest to die in the explosion. Bronakoski, a recent Mapletown grad, was just 18 and working a temporary job in the mine while on break while studying engineering at Penn State University. As one of the newest hires, he drew straws with another man to see who would work in the mine that day, Package recalled.

Package remembers the anguish the tragedy caused Bronakoski’s parents, Marcella and Adam, and the rest of the family.

“My mother was extremely upset because she was really good friends with Albert’s family,” she said.
Package, of Fayette City, was also 18 when Bronakoski died in the mine. She often thinks about how she has been able to enjoy adulthood while Bronakoski was struck down so young.

“I think it’s nice that they still remember the miners. And it helps me remember Albert,” Package said. “It just makes you feel bad you’re still around and he was so young. He didn’t get to experience life.”

The disaster was a rallying call for mine safety, and Dec. 6 was later recognized as National Miners Day. As he has in past years, Roberts used the memorial service as an opportunity to remember the dead, while also promoting important union initiatives, such as guaranteed health-care benefits and pensions for retirees.

Roberts stalked through the crowd giving a fiery speech in which he noted the union’s successful efforts to encourage the federal government two years ago to protect health-care benefits for retirees. He said the work has “saved lives,” as the union now is turning its attention to finding a long-term solution to fix its ailing pension fund.

“Sometimes I get angry when I put these things in perspective,” Roberts said of bankrupt coal companies that have been able to walk away from their pension obligations. “And maybe you should, too.”

During the ceremony, the names of the 37 men who died in the disaster as well as the names of two men who died in another explosion at Robena on Oct. 2, 1962, were read by Local 1980 President Marlon Whoolery. He also echoed the need for the union to persist in its push for retirement benefits.
“We want to fight for today’s miner and yesterday’s retiree,” Whoolery said.

Ed Yankovich, who is retiring later this month as UMWA International’s vice president for District 2, served as master of ceremonies. He noted the 12 rescue teams from across that region that ventured into Robena to save lives, but only recovered bodies after six days of searching.

“When these things happen, brave men come to the rescue,” Yankovich said. “Let’s not just remember the men who died. Let’s think of these brave souls who tried to rescue those men. They’re the heroes of the labor movement.”