SENATE CONCURRENT RESOLUTION NO. 58
(By Senators White, Unger, McCabe, Barnes, Foster, Fanning,
Dempsey, Bowman, Love, Hunter, Jenkins, McKenzie, Chafin, Lanham,
Kessler, Prezioso, Edgell and Bailey)
Petitioning the United States Congress investigate the loss of
insurance coverage and pensions for active and retired coal
miners due to the bankruptcy of Horizon Natural Resources and
the closing of Cannelton Mine in Kanawha County.
Whereas, On August 31, 2004, Federal Bankruptcy Court for the
Eastern District of Kentucky issued a decision that allowed for the
sale of Horizon Natural Resources' assets, which include Cannelton
Mine located in eastern Kanawha County; and
Whereas, As a part of the settlement, the Court allowed
Horizon Natural Resources to void its contract with workers,
thereby eliminating its contractual obligation to provide medical
insurance coverage to the active and retired membership; and
Whereas, The Court also permitted the company's assets to be
sold "free and clear", leading to the termination of health
benefits for retirees covered by the Coal Act, a federal statute
enacted by Congress in 1992 to prevent coal companies from
abandoning retirees; and
Whereas, As a result of the decision in Federal Bankruptcy
Court, on September 27, 2004, the Cannelton Mine was idled and 250 coal miners lost their jobs and health benefits; approximately 100
active miners were laid off before they could accrue full pension
benefits; approximately 1,000 retirees and their spouses in Kanawha
and Fayette counties lost their health benefits; and local and coal
mine-related businesses in this state lost thousands of dollars
owed to them; therefore, be it
Resolved by the Legislature of West Virginia:
That the Legislature hereby petitions the United States
Congress investigate the loss of insurance coverage and pensions
for active and retired coal miners due to the bankruptcy of Horizon
Natural Resources and the closing of Cannelton Mine in Kanawha
County; and, be it
Further Resolved, That the Legislature hereby requests
Congress determine whether the bankruptcy laws should be amended to
ensure that workers' health and pension benefits are protected;
and, be it
Further Resolved, That the Legislature hereby requests the
Governor review and develop policies and programs to protect the
economic welfare of coal miners and communities negatively affected
by mine closures as a result of bankruptcies of coal mining
companies and convene a meeting of federal, state and local elected
and appointed officials associated with coal mining and coal
miners' health and safety to review and evaluate the 1992 Coal Act
and other federal and state laws in light of the Horizon Natural Resources' bankruptcy to determine the need for amendment of these
laws; and, be it
Further Resolved, That the Clerk of the Senate is hereby
directed to forward a copy of this resolution to West Virginia's
congressional delegation and the Governor.
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