In January Congress passed a “minibus” bill that raided $500 million in previously appropriated coal mine cleanup funds to pay for other federal programs. We’re now seeing the first results of that bill: $45.5 million less in mine cleanup funding every year for the next 11 years. Combined with growing inflation, this means fewer jobs will be supported cleaning up mines and more hazardous coal mining damage won’t be reclaimed in Appalachia and across the country.
When it passed in 2021, the Bipartisan Infrastructure Law provided about $10.9 billion for the reclamation of Abandoned Mine Land (AML) sites across the country in fifteen annual grants to states and tribes. The first four years’ worth of grants were awarded between 2022-2025. The minibus bill cuts $500 million from the total AML funding provided under the Bipartisan Infrastructure Law – but it was unclear at the time of passage if the $500 million would be cut entirely from the last (fifteenth) year of AML grants or equally across the remaining 11 years worth of annual funding. Now we have our answer.
The 2026 AML grants for states and tribes were announced in May and the cuts are here. According to the Office of Surface Mining Reclamation and Enforcement, the $500 million cut “will be applied equally to the remaining 11 grant distribution years, approximately $45.45 million per year.” The figure below shows the annual reduction in funds for each state and tribe, as well as the total cuts that will play out over the next 11 years. Pennsylvania and West Virginia have the largest cuts (by absolute value), at about $15 million and $9 million per year, respectively.
The cuts are reducing the amount of damage states and tribes can reclaim. Inflation – especially recent rises in fuel costs that can drive up the cost of operating construction equipment – is also lowering the spending power of reclamation dollars even from last year, further reducing the amount of reclamation states and tribes can accomplish in 2026.
States and tribes have a five-year window to spend their FY2026 AML grant, and those agencies will now begin planning for fewer dollars by taking steps like selecting fewer reclamation projects or reducing the scope of projects. In Pennsylvania, for example, the cuts are equivalent to the cost of two large abandoned mine drainage treatment systems.
As we explained in a previous post, the extent of AML damage that needs to be cleaned up is likely twice as large as the existing $10.9 billion in funding– even before $500 million was cut.
This is damage to land and water that has lingered since at least the 1970s, and now residents will have to wait even longer for cleanup. If this cut hadn’t occurred, $45 million per year in more mine cleanup would be put to use across the country in the next few years, removing hazards to the local population and supporting more jobs, such as in construction, doing reclamation work primarily in rural areas. Congress should reverse the $500 million reduction, and should protect the program from similar cuts in the future.