36.25.317 OPERATIONS ON STATE LEASES
(1) A coal lease on state lands is subject to the
conditions that the coal must be mined, handled, and marketed in a manner that
will prevent as far as possible all waste of coal and that the mining
operations shall be carried on in a systematic and orderly manner that will not
make subsequent mining operations more difficult or expensive. A violation of
any of these conditions is grounds for the cancellation of the lease.
(2) Every coal lease is
conditioned upon compliance with the Montana Strip and Underground Mine and
Reclamation Act and the Strip Mining Siting Act, Title 82, chapter 4, parts 2
and 1, respectively, MCA, and any other applicable laws and regulations of the
state of Montana.
(3) The lessee shall allow the
department to make as many inspections of the leased premises as it deems
necessary and shall carry out at the lessee's expense all reasonable orders and
requirements of the department relative to the prevention of waste and
preservation of property. On the failure of the lessee to comply with this
paragraph, the department shall have the right, together with other recourse
herein provided, to enter on the property, repair damages, and prevent waste
at the lessee's expense. These remedies are not exclusive and do not limit the
state's other remedies of law.
(4) Upon the termination for any
cause of any lease, the lessee must within 6 months after the date of the
termination remove all machinery, fixtures, improvements, buildings and
equipment belonging to him from the premises. Any machinery, fixtures, improvements,
buildings and equipment belonging to any lessee and not removed within 6 months
after the date of termination of the lease shall, upon the expiration of the 6
month period, become the property of the state. In special circumstances the
department may allow a reasonable extension of time for removal. However, the
claimant of such property of the state for salvage or otherwise, and the removal
of such property from the lands, or any of such actions shall not relieve the
lessee of his obligations to properly reclaim the land and restore the premises
to their condition prior to mining operations as far as reasonably possible, as prescribed by Title 82, chapter 4,
parts 1 and 2 MCA. If the land is leased to a new lessee prior to the expiration of the above 6 month period the
former lessee may sell the improvements to the new lessee. If the new lessee
and former lessee cannot agree upon the proper compensation for the
improvements arbitration procedures as provided by these rules must be started
prior to the end of the 6 month period.
History: 77-3-303, MCA; IMP, 77-3-303, MCA; NEW, 1979 MAR p. 734, Eff. 7/12/79; TRANS, 1996 MAR p. 2384.