Instructions for Completing the OSM-1 Form

General InformationThe permittee/operator is required to pay a reclamation fee on each ton of coal produced for sale, transfer, or use including reclaimed coal and the products of in situ mining. The fee shall be determined by the weight and value of the coal at the initial bona fide sale, transfer of ownership or use by the permittee/operator.A weight reduction may be taken for excess moisture (the calculated difference between the inherent moisture in the coal at the time of production and the total moisture present in the coal at the point of fee assessment). Standard laboratory tests must be used to establish inherent and total moisture.If the permittee/operator combines surface-mined coal (including reclaimed coal) with underground mined coal before the coal is weighed for fee purposes, the higher reclamation fee shall apply, unless the amount of coal produced by each mining method can be substantiated through acceptable engineering calculations or other requirements from the Director, OSM.Preparation InstructionsComplete an OSM-1 form after every calendar 

quarter. All permit numbers being reported can be included on this OSM-1 form. Part 1 must be certified 

and either notarized or sign the unsworn statementafter completion of all parts of the OSM-1 form. If 

mining has not started or production has temporarily ceased, you are required to complete the OSM-1form showing “zero” production for the quarter.If pre-printed information is incorrect or missing, 

make corrections or additions in red above the preprinted line. If the permit has been transferred, attach the bond release or transfer approval document, indicating you are no longer the permittee.

Submit the OSM-1 form(s) within 30 days after the 

end of the quarter along with a check, money order or electronic fund transfer ($25,000 or greater) for the appropriate amount to cover all reclamation fees.

Do not send cash. Make your check or money order payable to the Office of Surface mining Reclamation and Enforcement. Use the enclosed envelope to 

send the reclamation fee payment along with the OSM-1 form (Parts 1, 2 and 3) and AML Fee 

Payment Deposit Coupon to: 

Office of Surface MiningP. O. Box 25065Lakewood, CO 80225

OSM-1 Instructions (Part 1)1. Check the correct quarter and complete the year.The inclusive permit numbers for this report aredisplayed here. The OSM document number is

displayed on the top right corner of Part 1.2. An authorized official must certify, sign and datethis box.3. Enter the contact name, telephone, and email of

someone OSM can contact with questions about thisreport. The Reporting Entity number is supplied by

OSM.4. Enter the total amount of the check or electronicfund transfer for the attached permit numbers.Indicate if payment is being made with a check or viaelectronic fund transfer. Include the Reporting EntityNumber and the OSM Document Number on thecheck or electronic fund transfer.5. Either a Notary Public must complete the

certification in this box or an authorized official must

sign the unsworn statement.

OSM-2 Instruction6. Check the corryear.7. The permit num

mine by the State. the permit, the Fedhere.a. The Mine Safety assigns this numbeb. Enter the county 

mine is located on c. Check this box to 

coal production is ctonnage has been rthis permit will no lo

forms.d-i. Permittee and Taxpayer Ids. The TIdentification Numbexist, your Social Sas a Taxpayer ID.8. Three fee comprecord tonnage with If the permit containcalculate only one eweighted average mSee excess moistuHandbook for more 

 No moisture ded Tonnage with an 

and/or

 Tonnage at a re
...continued from Part 2 section 8 Fee Computation

a. Gross tons includes coal sold, used or transferredduring the calendar year.b. Definition of Terms:(1) Total Moisture (TM)- Moisture determined as theloss in weight in an air atmosphere under rigidlycontrolled conditions of temperature, time and airflow.(2) Inherent Moisture (IM) - Moisture that exists as

an integral part of the coal seam in its natural state,including water in pores, but not that present inmacroscopically visible fractures.(3) Excess Moisture (EM)

1. Calculate excess moisture percentage using one

of these equations. Moisture is limited to fourdecimal places, that is, 2.1234%.

EM = TM - IM

or

 ̧1·  ̈

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IM

TM EM TM IM

100

100

*

c. Reduced tons equals gross tons

multiplied by the excess moisturepercentage (a x b(3) = c).

d. Net tons equals gross tons minus

reduced tons (a - c = d).

e. Definition of “net value”. Total revenue from

coal sold divided by the net tons (d).

If the gross value of surface-mined anthracite, bituminous or sub-bituminous coal (reported after the 3rd quarter, 2012) is $2.80 per ton or more, the fee is 

28.0 cents per ton; if less, the fee is 10 percent of the 

net value for each ton if an excess moisture deduction is taken or 10 percent of the gross value for each ton if no excess moisture deduction is taken.If the gross value of underground-mined anthracite, bituminous or sub-bituminous coal (reported after the 3rd quarter, 2012) is $1.20 or more, the fee is 12.0

cents per ton; if less, the fee is 10 percent of the net 

value for each ton if an excess moisture deduction istaken or 10 percent of the gross value for each ton if no excess moisture deduction is taken. 

If the value of lignite coal (reported after the 3rd

quarter, 2012) is $4.50 per ton or more, the fee is 8 cents per ton; if the value is less, the fee is 2 percent of the net value of each ton if an excess moisture deduction is taken or 10 percent of the gross value for each ton if no excess moisture deduction is taken.Documentation listing the invoice number, tonnage, and revenue must be maintained in your records when a rate is claimed other than the standard rates. Computation of the tonnage rate must be by weighted average by quarter. If reporting on or amending tonnages prior to 2012, 

quarter 4, use the rates in effect at that time. Before 2007, quarter 4, use: surface $0.35; underground $0.15; lignite $0.10. Between 2007, quarter 4 & 2012, quarter 3, use: surface $0.315; underground $0.135; lignite $0.09. f. The calculated fee equals rate multiplied by nettons (d x e = f).9. Enter the total fee for this permit number (the sumof each fee computation in 8,f).OSM-1 Instructions (Part 3)10. Indicate the applicable quarter and year for this

report.11. If the Permit, Mine Name, County or State areincorrect, please change them.12. List the names and addresses of any person orentity owning 10 percent or more of the mineralestate for this permit. If no single mineral owner

meets the 10 percent rule, report the largest singlemineral owner. Mineral owners include those with

legal ownership of the coal. Also, mineral ownersinclude those who have the right to extract the coaland to receive the economic benefits normallyassociated with ownership of the coal, such aspayment for the value of the coal.13. Purchaser of coal is defined as those persons orentities that purchased 10 percent or more of theproduction from a given permit. If no singlepurchaser meets the 10 percent rule, report thelargest single purchaser.14. Indicate the type of facility where the coal isdelivered: prep plant, tipple, loading point.

List the names and percent or more of single facility meets largest single deliveAmended OSM-1 If you must make cafter the OSM-1 ha“Amended OSM-1” shown on the formOSM-1” form, pleas1-800-799-4265. Paperwork ReducThis information is regulatory requiremrequires each operform (and Amendereport the coal tonntransferred during tResponse to this reaccordance with SeMining Control and 

USC 1232.Burden Estimate 

Public reporting buon one permit is

4 m

electronic form andform. Public reportiOSM-1 form based complete the electrcomplete the papeinclude the time for existing data sourcdata needed, and c

You are not require

information unless 

control numberApproved by OMB, NExpires 2/28/2027