Table Of Content

Justice companies failed to pay coal transportation fees, PSC says Sy Kale Mishkin Staff writer sui23, 2088 Local journalism makes a difference ‘Your support makes thet possible — subscribe today for 89¢ Five of Gov. Jim Justice’s family coal companies haven't paid transportation fees that would ge toward bulding and maintaining stato roads. ‘They were among eight companies being investigated by tie West Virginia Public ‘Service Commission (PSC) for outstanding Coal Resource Iransportation System violations and unpaid tonnage fees. The orders come as Justice con‘inues fo tout his four-year "Roads to Prosperity" program to fund road construction projects aeross the state Rul according to the PSC’s orders, the companies falled to pay “tonnage feas’ that ‘would otherwise go teward constructing and repeiring public highways and bridges that are heavily trafficked on by coal trucks ‘The companies. according to the crders, also owe delinquent penallfes from prior Nolices of Violation. In all, the companies — Bluestone Industries; Chestnut Land Holdings. LLC: Kentucky Fuel Corporation: Nufac Mining Company. Inc.and Orchard Coal Campany — owe $1 14,100 for cutstanding violations that stem from failing to ——: report, or inacourately rSparting ccal shipments, none case, Bluestone Industries alrsady entered into a $85,520 settlement agreement with he PSC that stemmed from unpaid fines and tonnage fees. The company paid About $53,500, though, before it stopped paying altogether. ¢ lo a request for mora information for this artic Justice afi not respet day by the Public Service Three other were among the eight cited iast nan Inc., Southeastom Land, seive Resourve Partner by tha PSC for its outstanding Commission for similar reasons LLC and Tylor Moman, LLC each notices of violation and failing te pay tonnage tees. fas issued an ora According to state cade, a shipper whe loads more than 98,000 pounds of caal has ta pay the PSC five cents per fon by the 10th day of lie month. The PSC collects permit and tornage fees for the West Virginia Division of Highways’ oad Fund, Thal money in te Road Fund goes toward maintaining public roaris Ural can get worn do by coal in In Fiscal Year 2018, the PSC. collected about $1.861,955 in tonnage fees, and about ‘$586,000 in Coal Resource Transportation System permit foos. said Susan Sal spokeswoman for the PSC. ‘The companies nave untl Aug. 8 te respond to the orders, and the PSC will utimatey Gecide wrether to impose penaities ‘his ésn't the firs time Justice's family companies have been o-dered fe pay delinquent penalties and Dunng his campaign in 2018, NPR reported that Justice’s companies owed $95 milion in six states for mine safety penailies, slale coal severance and wihrolding taxes and property taxes, among other things. Reach Kate Mishkin a Kate.in'shkin@wugazallemal corn, 894-348-4813 or fol @katerishica en Twitter, Justice family companies agree to settlement with PSC + By Kate Mishkin Statf wnter © Now su, zur Local journalism makes a difference ‘Your support makes that possible — subscribe today for 99¢ After they were ordered to pay coal transucrtation fees, five of Gov, Jim Justice’s family companies agreed to a discounted settlement and paid thelr bills, Kar lustries Ine, Chestnut Land Holdin: Coal Co, — paid $175,282 to the West sion, about $32,800 lees than they wore originally Justice's companies — Busstone Evel Coro,, Nufac Mining Go. Ine. and 91 Virginia Public Service Com! charged, according to PSC documents, ‘The companies entered inio che joint stipulation and sottiement agreement in Cctober. in four installments, the last of which was due Thursday afternoon. They paid the # help repair roads that ‘The settlement includes ‘tonnage fees,” which would ctherwise are heavily iraficked by coal tucks, and administrative sanctions that stemmed from failing to report, or inaccurately reporting, coal shipments. The companies recenvedd orders in the middle of July to “show cause" on why the PSC shouldn't enforce Notices of Violation against the companies in circuit court, The order alse launclied an investigation into tonnage faes owed and whether ti PSC should iinpase fives. The July orders came as Justice was touting a four-year "Roads te Prospenty" program to fund road construction projects throughaut the state. In.a news conference around that time, Justice criticized press coverage of the lack of payment. However, he latar adnitied the money was owed. ved some — I didn't even read the article “Thete was an arlicle that came out that we om — bul there was an article that came cut in cegard to the PSC in which we owed a hundred thousand dollars ar whatever,” Justice sald of a Chatlesion Gazette-Mail ras right it we report about the orders. “And, to be perfectly honest, it sxaciy right Accorting to stale code, a shipper who loads more than 88,000 pounds of coal rust 10th day of tre month, The PSC collects permit and tonnage fees for the state Division of Highways’ Road Fund. The money in the Road pay the PSC § cents per ton by th Fund goas toward maintaining public roads that ean get worn down by coal trucks, In fscal year 2018, the PSC collected about 81,551,655 in tonnage fees, and about ‘$560,000 in Coal Resource Transportation System permit fees, from eornpanies statewide, according te Susan Small, spokeswoman fur le PSC. In all, the Justico-ownad companies ware fined $11,300 for seininistiative sanctions, and $35,012 for a previcus settlement agreement between the Transportation Livision ios’ parant company, In edcitian, the companies awed tannage ‘ees totaling $41,794.20, Bluestone Indust of the PSC and Bluestone Resourses Ine. Instead of paying the full administrative sanctions, the companies agreed to instead pay 998,475 — a 26 percent difference — in two installments, on Oct. 31 and Nov. 29, Administeative sanctions are imposed fer violations related to the PSC’s Coal Resource ‘Transportation System nules on overweight shipments, “The most important reason for settlement is tat we do not have to litigate these casos in circuil cou, which s very costly and time consuming, and then sack enforcemant of our judgments,* Small said in an email. "A successful soilloment provides certsin’y of payment and reduces iigation costs.” ‘The tonnage fees will go to the Division of Highways; the sanctions go to the PSU's, Goal Resource Transportation System, The companies were ordered to pay some of the tonnage fees and setlemen Oct. 16, and the remainder of the tonnage fees Nov. 16. ‘The companies also are required to review transportation registrations and keep records for three years. In response to requests for information for this slory, Bluestone Energy Group sent an stating that it entered into the seitlament and made two payments. The email did not include @ signature, and an email ssking for addtional infomation about the sotlements and ordars was not returned lustioe's family companies did nol respond lo requests for more information. ‘Ata haaring hale Oct, 18 in Charleston, Linda Bouvelte, an attorney for the PSC, ‘emphasized that discounting the fee is not normal practice. "And we dos't anticipate doing that in the future,” she said. el Albert thanked the people in the At the end af the hearing, PSC Chairman Mich: gel this thing, this matter, resolved,” ho said. “An lot's move forward! to get this ting finalized "L know that it tock 3 lot of work on your part. And we appreciaie your elf! and off sur docket.” ‘The PSC wil issue an order dismissing tha cases once it receives the last payment, ding to PSC documents, Tris isn't the first time Justice's family companies have been ordered to pay delinquent ign in 2018, NPR reported that Justi companies awed $15 milion in six states for mine safoty penalties, state coal severance penalties and fees. During his «: taxes, property taxes and ether things. Reach rshiin at [email protected], sua 3at- aed oF flow rotemishhin on Tite