Coal miner ‘CARE Act’ introduced in Senate, House

March 6, 2013 by Ken Ward Jr.

Here’s the announcement just from from Sen. Jay Rockefeller’s office:

On the heels of hearing gripping accounts last week in Beckley from retired coal miners who were promised lifetime pension and health care benefits for themselves and their families, Senator Jay Rockefeller today introduced legislation that would protect those benefits for thousands of retired miners whose livelihoods are in jeopardy. Senator Joe Manchin cosponsored the bill.

The Coalfield Accountability and Retired Employee Act seeks to provide certainty and peace of mind to retirees and their families while holding employers accountable for the commitments they make to their workers. The bill builds on and strengthens similar legislation Rockefeller and U.S. Rep Nick Rahall introduced last Congress. The new measure comes soon after a roundtable discussion Rockefeller held in Beckley with retired coal miners in which he re-affirmed his commitment to preserving their promised benefits. Rahall and United Mine Workers of America (UMWA) President Cecil Roberts also joined the discussion. Rahall today introduced companion legislation in the House, just as he did last Congress.

Sen. Rockefeller said:

Last month, I heard stories that absolutely broke my heart. One woman—Shirley Inman, who lives in Boone County—left a good-paying job in Chicago to come home to West Virginia to work in the mines. She did it because of the pension and health care benefits she was promised. And now, after years of on-the-job injuries and a bout with cancer, that promise was broken. That’s more than unfair. It’s shameful. And I won’t stand for it.

Sen. Manchin said:

A strong mining industry begins with a strong commitment to our miners. Our coal miners are some of the hardest working people in America, and they are proud to do the heavy lifting that keeps this country strong. They are the backbone behinds decades of lighting our cities and heating our homes, and deserve nothing less than the best possible benefits and care. This bill makes sure our brave coal miners receive the benefits they’ve been promised.

At the same time, here’s the announcement from Rep. Rahall’s office:

As part of his longtime effort to strengthen and improve the quality of life for coal miners in retirement, U.S. Rep. Nick J. Rahall (D-W.Va.) today introduced the Coalfield Accountability and Retired Employee Act (CARE Act), legislation that strengthens the legal protections and funding for the health care and pension benefits promised to retired coal workers and their families.

“Every effort must be made to preserve health care benefits for our retired coal miners who worked so hard to produce the coal that powered this Nation,” said Rahall. “This legislation that Senator Rockefeller and I are introducing today keeps faith with the federal commitment that has been made to our coal miners. It ensures that those who participated in the noble but dangerous job of working underground to provide our energy security are secure in the retirement.”

By way of background:

Some retirees are facing uncertainty because the UMWA’s 1974 pension plan is severely underfunded and on the road to insolvency because of the 2008 financial crisis. The 1974 plan covers more than 100,000 mineworkers, including more than 35,000 West Virginians. If the plan becomes insolvent, retirees could see reductions in their monthly pension checks.

In addition, Patriot Coal, which was spun-off from Peabody Energy and Arch Coal, has filed for bankruptcy and could shed its obligations to retirees. This means more than 12,000 retired miners and dependants, including nearly 7,000 West Virginians – the vast majority of whom actually worked for Peabody and Arch –would lose health benefits, and the 1974 pension plan would be further destabilized.

The Coalfield Accountability and Retired Employee Act would:

— Amend the Surface Mining Control and Reclamation Act to transfer funds in excess of the amounts needed to meet existing obligations under the Abandoned Mine Land fund to the UMWA 1974 Pension Plan to prevent its insolvency.

— Make Patriot’s union retirees and other union retirees who lose health care benefits following the bankruptcy or insolvency of his or her employer eligible for the 1992 Benefit Plan, which was established under the Coal Act of 1992 to provide health benefits to retired or disabled miners and their families. Companies that originally promised these benefits would be held accountable for the costs and, if needed, additional funding from the Abandoned Mine Land fund would be available.

— Provide that employer contributions under the UMWA Retiree Bonus Trust are not unfairly penalized by the tax code and receive the same tax-exempt treatment as contributions to other pension plans, allowing the full value of employer cash contributions to go to the retirees who earned them. This Retiree Bonus Trust provides modest supplemental pension payments to retired miners.

5 Responses to “Coal miner ‘CARE Act’ introduced in Senate, House”

  1. Rob Goodwin says:

    “Amend SMCRA to transfer funds in excess of the amounts needed to meet existing obligations under the Abandoned Mine Land fund”

    Was not aware there was any excess money in the AML fund to meet existing obligations, unless they are talking about the 850 Million not going to Wyoming that is being held essentially in escrow to make obama’s budget look better.

  2. Jim Sconyers says:

    Looks like this will vindicate Patriot’s scheme to get out of its moral and legal obligation to its retirees. Now someone else will pay for the retirees’ pensions.

  3. unbiased2 says:

    Rob:
    Obama and the Senate controlled by Democrats do not have a budget and have not passed one since he was elected.
    All the better to get more people beholding to the Democratic Party at election time.

  4. unresolved says:

    Why are these funds used just for the retired UMWA pensioners?.. What about all the other retired miner’s that werent UMWA?…. There problem is with the company,not the tax payer’s.The AML fund wasnt meant to be used to fund health care for a certain group of indivual’s.I understand there thought’s of loosing there health care and pension’s. i am a retired miner. But using the AML fund’s for only the UMWA retiree fund is no where near fair to the other retired miners with no health care … or is it ?

  5. Allen Johnson says:

    Certainly the miners that are being wormed out of their pensions and benefits need justice. But the coal companies are the ones that need to take responsibility, not the taxpayers. Nor should funds be taken from the Abondoned Mines Land Fund, because, like Peter robbing Paul, that money would take money to restore coal mine ravished lands to restore ravished coal miners. The upshot of all this is that the coal industry leaves in its wake poverty, ill health, industry-beholden government, and degraded land, water, and air for present and future generations. The coal industry complains about those who “make war on coal.” Well, like the coal industry is so innocent and pure?

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