STATEMENTS OF BASIS, SPECIFIC STATUTORY AUTHORITY, AND PURPOSE

							    STATEMENTS OF BASIS, SPECIFIC STATUTORY AUTHORITY, AND
                           PURPOSE

               Revisions to the Coal Mine Health and Safety Rules
                                  July 27, 2007


Rule amendments and revisions to regulations implementing the Colorado
Coal Mine Examiners Statute, Sections 34-22-101 et seq., C.R.S. 1988 as
amended.

This statement sets forth the basis, specific statutory authority and purpose for
changes and corrections to the Coal Mine Health and Safety Rules, 2 CCR 407-5
(“Rules”). These Rules implement the Colorado Coal Mine Board of Examiners
Statute, Sections 34-22-101 et seq., C.R.S. 1988 as amended (“the Statute”).
This statement is hereby incorporated by reference in the adopted Rules.

These changes to the regulations, if adopted by the Board in total or in part, are
being adopted under the provisions of the Statute and the State Administrative
Procedure Act (“APA”), Section 24-4-103, C.R.S. The proposed rules, as
adopted by the Board, will be effective twenty (20) days after publication in the
Colorado Register.

The changes include minor edits and corrections to comply with the filing
requirements of the Secretary of State, the name change of the Division of
Minerals and Geology to the Division on Reclamation, Mining and Safety
(Division) throughout the Rules, as well as a substantive change with the addition
of a new rule regarding this and future Division name changes.

SUMMARY OF THE RULE-MAKING PROCESS FOLLOWED

During its regular meeting which commenced on April 20, 2007, the Coal Mine
Examiners Board (Board) initiated the rule-making process. On May 8, 2007 the
Division submitted to the Secretary of State, for publication in the Colorado
Register, the formal notice of a rulemaking hearing to be held by the Board on
July 27, 2007. The notice was published on June 11, 2007

The proposed rule revisions were submitted to the Office of Regulatory Reform
within the Department of Regulatory Agencies (DORA), in accordance with
Senate Bill 03-121, which requires state agencies to submit copies of all
proposed rules to DORA. DORA reviews each rule to determine whether it will
negatively impact economic competitiveness or small business in Colorado. If
DORA determines this to be the case, DORA may request that the submitting
agency complete a cost-benefit analysis before proceeding with the rule. DORA
may then inform the public of the results of their review process. On June 27,
2007, the Division was notified via electronic mail that a cost-benefit analysis
would not be required for these proposed rule revisions.

No written comments have been received regarding these proposed changes.


STATUTORY AUTHORITY

The authority for promulgating these amendments and revisions to these rules is
Section 34-22-102, C.R.S., which requires that the Board establish criteria,
including education and training, past and current work experience, and annual
electrical retraining requirements, and to examine all applicants for positions in
coal mines for which certification is required by federal law. The specific statutory
provisions relating to the changes to each rule are discussed below in the Basis
and Purpose Section, and the entire rule-making process was carried out in
conformity with the rule-making requirements of the APA, Section 24-4-103,
C.R.S.

BASIS AND PURPOSE OF CHANGES

Senate Bill 06-140 changed the name of the Division of Minerals and Geology
(“Division”) to the “Division of Reclamation, Mining and Safety.” Governor Bill
Owens signed Senate Bill 06-140 on March 31, 2006, and the Bill took effect on
August 9, 2006. The purpose of this rule change is to change the name of the
Division in the Coal Mine Health and Safety Rules and Regulations of the Coal
Mine Board of Examiners in order to be consistent with and reflect the name
change in the statute.

Also, a new rule will be proposed which states the following:

              Change of name - legal effect. Any statute enacted prior to
              or on August 9, 2006 changing the name of the Division of
              Minerals and Geology to the Division of Reclamation, Mining
              and Safety, shall not impair the legal status or effect of any
              and all permits, permit obligations, financial warranties,
              performance warranties, contracts, property rights and/or
              any other obligations or legal relationships that were entered
              into between any entity or individual and the Division of
              Minerals and Geology prior to the name change. All such
              obligations will remain legally binding and shall not be
              impaired by any such name change. Any statute enacted
              after August 9, 2006 changing the name of the Division of
              Reclamation, Mining and Safety to any other name, shall not
              impair the legal status or effect of any and all permits, permit
              obligations, financial warranties, performance warranties,
              contracts, property rights and/or any other obligations or
              legal relationships that were entered into between an entity


                                          2
             or individual and the Division of Reclamation, Mining and
             Safety prior to such name change. All such obligations will
             remain legally binding and shall not be impaired by any such
             name change.

The statutory authority for these regulations can be found in § 24-4-103,
C.R.S, and in the Board’s authority granted in section § 34-22-102, C.R.S.

Effective Date: Senate Bill 06-140 went into effect on August 9, 2006. These
regulations shall become effective on October 1, 2007 and shall remain in full
force and effect until repealed, amended or superseded.

Minor edits were made to conform to the electronic filing formatting requirements
of the Secretary of State. Those edits include:

The addition of Sections 1.1, 1.2, and 1.3, to include the Authority, Scope, and
Purpose of the regulations. Subsequent sections of Rule 1 were renumbered to
accommodate these new sections.




                                       3