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need for reclamation. The father therefore was found to be the <br />permittee's agent and was required to perform remedial work under <br />SMCRA. <br />The relationship examined in Dix Coal has many facets <br />which do not appear in the relationship between Minerals and <br />Resources. Still, one might imagine state or federal authorities <br />arguing that Resources was dominated by Minerals as the sole <br />shareholder of Resources, that Minerals and Coal & Coke were <br />additionally linked to Resources through a corporate debt <br />structure involving cross - collateralizations and cross - <br />guarantees, and that Resources was dependent on loans from <br />Minerals and Coal & Coke in order to carry on its mining <br />operations. Does this add up to a "quasi- symbiotic" relationship <br />which justifies a finding that the corporate parent and corporate <br />sister are agents? Not in my mind, but one can understand the <br />desire of regulators and courts to tag such persons with <br />liability rather than have the burden of reclamation fall on the <br />state or federal treasury. <br />In short, if Resources and Sanwa are able to <br />subordinate reclamation claims to Sanwa's secured claim, the <br />victory will be a hollow one if state or federal authorities then <br />are permitted to assert a claim against Minerals or Coal & Coke <br />for reclamation costs. This would jeopardize the borrowers to <br />whom Sanwa is looking for repayment of Resources' loans, and <br />might cause Sanwa and Resources' corporate affiliates to conclude <br />that the cost of reclamation should be borne by Resources' <br />bankruptcy estate. I suggest further research on this issue. <br />Conclusions <br />Based on the foregoing, I believe that the following <br />best summarizes the treatment of reclamation claims in Resources' <br />bankruptcy case: <br />1. The automatic stay does not prevent the Mined Land <br />Reclamation Division from exercising its regulatory powers, <br />including seeking enforcement of Resources' reclamation plan, <br />requiring Resources to increase the amount of its performance <br />bond for cause, and instituting proceedings to recover amounts <br />pledged to secure the bond. <br />2. The claims of Colorado for reclamation of <br />Resources' mine will be'entitled to administrative priority in <br />Resources' bankruptcy case. Resources' obligation to reclaim its <br />mined property will be viewed as an ongoing obligation which <br />carries over into the administration of Resources' bankruptcy <br />estate. The court will very readily perceive mine reclamation as <br />necessary to the protection of the public health and safety. <br />-10- <br />