The effect of reclamation treatments on seeded native grass cover and species composition, soil microbial biomass carbon, and populations of actinomycetes, fungi, free-living N2-fixing bacteria, and aerobic heterotrophic bacteria was compared in field plots in coarse taconite tailing. Reclamation treatments consisted of all possible combinations of three rates of composed yard waste, three rates of fertilizer, and inoculation with arbuscular mycorrhizal fungi. Composted yard waste increased plant cover, soil microbial biomass, and populations of all groups of microorganisms compared with unamended, non-inoculated control plots. Microbial populations and biomass in tailing plots were low compared with natural soils and were correlated with plant cover and available P. Mycorrhizal inoculation resulted in a 6% increase in plant cover, although this was not significant, and significantly enhanced N2-fixer populations in June but did not affect other groups of microorganisms. There were no differences between moderate and high rates of composted yard waste. We conclude that incorporation of a moderate rate of organic matter can ameliorate the stressful conditions of coarse taconite tailing and can enhance the initiation of a functional soil ecosystem able to support the establishment of seeded native prairie grasses and may provide a long-term solution to reclamation of taconite tailing. Key words: arbuscular mycorrhizal fungi, mine reclamation, soil microorganisms, composted yard waste.