GMS Mine Repair Fails to Overturn MSHA Violation History Rule

GMS Mine Repair and Maintenance, Inc. (GMS) petitioned for judicial review of a decision by the Federal Mine Safety and Health Review Commission upholding a penalty imposed by the Mine Safety and Health Administration (MSHA). The case revolved around the interpretation of a regulatory provision governing how an operator’s history of previous safety violations is calculated when determining penalties.

Under 30 C.F.R. § 100.3(c), an operator’s history of violations is assessed based on the number of violations that became final within the preceding 15-month period. GMS contested MSHA’s method of including any violation that was finalized within this timeframe, arguing instead that only violations both issued and finalized within the period should count. This distinction significantly impacted the penalty amount assessed against GMS.

Court’s Ruling

The United States Court of Appeals for the District of Columbia Circuit denied GMS’s petition, ruling in favor of MSHA. The court found that:

• The regulation was ambiguous. The court determined that 30 C.F.R. § 100.3(c) did not clearly specify whether violations needed to be issued within the 15-month look-back period or simply finalized within it.
• MSHA’s interpretation was reasonable. The Secretary of Labor’s interpretation—counting all violations that became final within the look-back period—was a long-standing practice and fell within the reasonable bounds of regulatory interpretation.
• Deference to agency expertise. The court deferred to MSHA’s reading of the regulation under Kisor v. Wilkie, recognizing that the agency has specialized knowledge in enforcing mine safety laws and determining appropriate penalties.

GMS had argued that its interpretation would provide greater clarity and fairness, but the court rejected this position, noting that the Secretary’s approach aligned with the Mine Act’s intent to hold operators accountable for safety violations.

Implications for the Mining Industry

This ruling has significant consequences for mine operators and contractors regarding compliance with MSHA regulations.

• Expanded liability for past violations. Operators must be aware that any violation finalized within the last 15 months can be included in penalty calculations, even if the citation was issued earlier.
• Importance of contesting citations promptly. Given that delays in finalizing violations do not exempt them from penalty assessments, operators should be strategic in how they challenge MSHA citations.
• Regulatory deference to MSHA. Courts continue to grant broad discretion to MSHA in interpreting mine safety rules, reinforcing the agency’s authority in setting enforcement policies.

Conclusion

The court’s decision reinforces MSHA’s ability to assess penalties based on finalized violations rather than when they were originally issued. This outcome underscores the importance of compliance and proactive legal strategy for mine operators facing enforcement actions. While GMS sought to limit its violation history, the ruling confirms that long-standing MSHA enforcement policies remain intact.

Legal Support for Mining Operators

Navigating MSHA regulations and enforcement actions can be complex. Our attorneys at Whitcomb, Selinsky, PC have extensive experience helping mine operators and contractors address compliance issues, contest citations, and mitigate penalties. If you need legal support regarding mine safety law, contact us.