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Saturday, December 05, 2009

Louisville Courier Journal: 'F' On The Smell Test.

'F' on the smell test

One of the gravest dangers in a coal mine, methane gas, is odorless and undetectable by unaided human senses. But in government, the peril is often sleaze, which is accompanied by an odor too foul to ignore.

And that brings us to the continuing story of Ron Mills, and of his disturbing dismissal as director of the Division of Mine Permits.

Mr. Mills, a retired cabinet attorney who had returned to state government to the mine-permit job in mid-2008, had rescinded a controversial policy that allowed an underground mining permit to be approved even if the coal company applying for it had not obtained legal access to as much as one third of the property. He argued that the policy was illegal — that state law clearly requires a company to have the right to enter all of the property covered in its permit application.

His stubborn stand caused consternation in segments of the coal industry — particularly at Alliance Resource Partners, a large company based in Tulsa, Okla., that has been a generous donor to both political parties. It didn't sit well with Mr. Mills' superiors either. The policy was reinstated (though curiously it has not been adopted as a regulation), “2/3” permits were issued, and Mr. Mills was sacked.

Energy and Environment Cabinet Secretary Len Peters said this week that he made the decision to fire Mr. Mills — because of poor management skills and not because of coal-industry pressure. Alliance officials deny prodding the administration to replace Mr. Mills. The Governor's office says Gov. Steve Beshear wasn't involved in the decision.

That's all good to hear, but it can't be the end of the matter.

Cabinet records show that Mr. Peters and others convened a meeting in October 2008, at which Mr. Mills was invited to explain why the 2/3 (or “33 1/3”) policy was illegal. Nonetheless, according to another e-mail, Deputy Secretary Hank List instructed Natural Resources Secretary Carl Campbell, who was Mr. Mills' boss, on Jan. 9 to “let all the permit applications that include the 33 1/3 provision out of the door.” Mr. Mills subsequently refused to approve five permits that relied on the policy, but Mr. Campbell signed them. All five were for Western Kentucky mines operated by Alliance subsidiaries.

Did Mr. Peters and his lieutenants really open a can of worms purely on their own? If the law says that a coal company must have the consent of all the property owners, what is the cabinet's legal basis for reducing that standard to 2/3?

It is time for Kentuckians to hear from the Governor. Mr. Beshear must either own up to the 2/3 policy — and defend its legality and Mr. Mills' termination — or he needs to explain what went haywire on his watch and how he plans to fix it. Silence won't dissipate the smell.

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