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.

 

TECK ALASKA, INC.

:

:

:

:

:

:

:

 

 

 

Docket No. WEST 2019-0446-M

A.C. No. 50-01545-491155

 

 

 

BEFORE:  Rajkovich, Chairman; Althen and Traynor, 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. (2018) (“Mine Act”).  On July 1, 2019, the Commission received from Teck Alaska, Inc. (“Teck”) a motion seeking to reopen a penalty assessment that had become a final order of the Commission pursuant to section 105(a) of the Mine Act, 30 U.S.C. § 815(a).

 

            Under section 105(a) of the Mine Act, an operator who wishes to contest a proposed penalty must notify the Secretary of Labor no later than 30 days after receiving the proposed penalty assessment.  If the operator fails to notify the Secretary, the proposed penalty assessment is deemed a final order of the Commission.  30 U.S.C. § 815(a).

 

            We have held, however, that in appropriate circumstances, we possess jurisdiction to reopen uncontested assessments that have become final Commission orders under section 105(a). Jim Walter Res., Inc., 15 FMSHRC 782, 786-89 (May 1993) (“JWR”).  In evaluating requests to reopen final orders, the Commission has found guidance in Rule 60(b) of the Federal Rules of Civil Procedure, under which the Commission may relieve a party from a final order of the Commission on the basis of mistake, inadvertence, excusable neglect, or other reason justifying relief.  See 29 C.F.R. § 2700.1(b) (“the Commission and its Judges shall be guided so far as practicable by the Federal Rules of Civil Procedure”); JWR, 15 FMSHRC at 787.  We have also observed that default is a harsh remedy and that, if the defaulting party can make a showing of good cause for a failure to timely respond, the case may be reopened and appropriate proceedings on the merits permitted.  See Coal Prep. Servs., Inc., 17 FMSHRC 1529, 1530 (Sept. 1995).

 

            Records of the Department of Labor’s Mine Safety and Health Administration (“MSHA”) indicate that the proposed assessment was delivered on May 20, 2019, and became a final order of the Commission on June 19, 2019.  Teck states that the proposed penalty assessment was received in its corporate office in Anchorage, Alaska on May 18, 2019.  The person who typically opens the proposed assessments and e-mails them to the safety department was on leave that day.  Instead, a summer intern placed the unopened envelope in a basket to be shipped to the mine site via cargo services.  Shipment was delayed by more than 30 days due to regional weather and limited delivery flights to the mine.  The assessment was received by the mine on June 21, 2019, after it had become a final order of the Commission.  The Secretary does not oppose the request to reopen, but urges the operator to take steps to ensure that future penalty contests are timely filed. 

 

            Having reviewed Teck’s request and the Secretary’s response, we find that Teck failed to timely contest the penalties through inadvertence or mistake, and that such inadvertence or mistake constitutes good cause to reopen the penalty proceeding.  In the interest of justice, we hereby reopen this matter and remand it 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.  Accordingly, consistent with Rule 28, the Secretary shall file a petition for assessment of penalty within 45 days of the date of this order.  See 29 C.F.R. § 2700.28.

 

 

 

/s/ Marco M. Rajkovich, Jr.

                                                                                    Marco M. Rajkovich, Jr., Chairman

 

 

 

/s/ William I. Althen

                                                                                    William I. Althen, Commissioner

 

 

 

/s/ Arthur R. Traynor, III

Arthur R. Traynor, III, Commissioner

 

 

 

 

 

Distribution:

 

Laura E. Beverage

Jackson Kelly PLLC

lbeverage@jacksonkelly.com

 

Emily Scott, Esq.

Office of the Solicitor

Scott.Emily.T@dol.gov

 

Chief Administrative Law Judge Glynn Voisin

Federal Mine Safety & Health Review Commission

GVoisin@fmshrc.gov

 

Melanie Garris

Office of Civil Penalty Compliance

Mine Safety and Health Administration

Garris.Melanie@DOL.GOV