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127353 1 (1985-07-09)

handle is hein.gao/gaobactmt0001 and id is 1 raw text is: UNITED STATES GENERAtL ACCOUNTING OFFICE 51 WASHINGTON, D.C. 20548 FOR RELEASE ON DELIVERY TUESDAY JULY 9, 1985 127353 EXPECTED AT 9:30 A.M. STATEMENT OF MICHAEL GRYSZKOWIEC, ASSOCIATE DIRECTOR RESOURCES, COMMUNITY, AND ECONOMIC DEVELOPMENT DIVISION U.S. GENERAL ACCOUNTING OFFICE BEFORE THE SUBCOMMITTEE ON NATURAL RESOURCES DEVELOPMENT AND PRODUCTION COMMITTEE ON ENERGY AND NATURAL RESOURCES UNITED STATES SENATE ON GAO'S REPORT THE DEPARTMENT OF THE INTERIOR'S OFFICE OF SURFACE MINING SHOULD MORE FULLY RECOVER OR ELIMINATE ITS COSTS OF REGULATING COAL MINING Mr. Chairman and Members of the Subcommittee: I appreciate this opportunity to appear here today as you consider the impact on the coal industry of the Office of Surface Mining's (OSM's) proposed rules to increase its mining permit fees. As you requested, I will discuss GAO's recent report on how OSM could more fully recover or eliminate its regulatory costs and the effects of doing so on coal demand and production.1 Our report recommends that OSM use its existing legal author- ity to recover or eliminate more than $51 million a year in regulatory costs. Specifically, we recommend that OSM assess coal operators permit fees to fully recover its own regulatory costs and phase out or substantially reduce its grants to states. These are grants that assist states--or in some cases reimburse them-- for the costs of regulating surface mining. We also believe that 1The Department of the Interior's Office of Surface Mining Should More Fully Recover or Eliminate Its Costs of Regulating Coal Mining (GAO/RCED-85-33, May 28, 1985). 1

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