Frontline Newsletter
Winter 2000
INSIDE THIS ISSUE
 Director's Message
 Colorado River Cutthroat
 Imperiled Species
 Grazing
 Freedom of Info
 Duncan Leases
 Brownfields
 Loop Road
 Roadless Areas
 Grasslands
 Western Range
 Thanks
 Welcome Tom Darin
 New Board Members
 Farewell Caroline Byrd
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Mountain-Top Removal Threatens 4,700 Acres of State Land

by John Jolley

Imagine the entire face of a mountain being removed for a distance of twelve miles. That’s precisely what Casper lawyer Hugh Duncan has proposed in 17 lease applications to the State Land Board to "prospect and develop" for "mining and crushing ore for aggregate" on more than 4,700 acres of state land in the mountains south of Glenrock.

The area is comprised of superb elk, deer and other wildlife habitat and is popular with recreationists. Mining could deface the mountain anywhere or everywhere — from Boxelder Road west to the face of the mountain above Deer Creek road, a distance of seven miles, around the mountain south for three miles and then west another two miles.

Citizens’ right to know

One of citizens’ biggest complaints about government decisions is that actions are taken before the public is even aware that substantial changes are being proposed on state and federal lands, such as sales, exchanges and large mining ventures. These changes or loss of public lands may be so significant that they cannot be reversed once the decision is made, even though they may have a significant impact on the public’s interest. For instance, once a legal private property interest is created through a state-land mineral lease (in this case 17 of them), that interest often cannot be taken away without the expenditure of a large amount of taxpayer dollars.

At present, the State Land Board does not mandate public notification before mineral lease applications are approved and before a private party obtains a property-right interest in state lands.

What about public comments?

After the right to know, a second major complaint about government actions is that citizens are not given the right to comment or, if they are, their comments are not allowed until it is too late to have any effect on the decisonmaking process.

In the case of the Duncan lease applications, there are not sufficient protections in the permitting or mining process to properly safeguard the public’s interests. For example, if Duncan or the parties he represents elect to mine 4,700 acres in 10-acre increments, they may be exempt from many of the regulations that govern larger mines: the applicant may not have to give public notice, there are no regulations on blasting, there may be no real reclamation requirements and there are no overburden requirements.

The State Land Board has begun to realize the importance of allowing public input when it begins to consider a substantial change in the use or loss of state lands. For example, the board now allows full public participation by all interested parties in Jackson before taking any action to sell, exchange or change the use of state lands in that area. In addition, the board recently decided to allow Sweetwater and Sublette County residents to provide input before it gives even preliminary approval to sell state lands in that area. This is a step in the right direction. Now the board should move to allow public comments concerning potentially huge mining ventures on state lands.

Archaic customs penalize schools

After allowing public notification and comment before a property right is given, the state then has a duty to be assured of receiving maximum value for the mineral value taken from state lands.

Currently, Wyoming allows archaic leasing and royalty customs (perpetuated by private business interests) to govern the amount of benefit the state will receive on behalf of our public schools. In this instance, it is ludicrous that the application indicates board approval of a mere $2 per acre rental fee for the lease. It is just as absurd that the state may only receive about fifty cents per ton in royalties after the ore is mined. According to one source, before the mined ore is transported from the pit, it will have a value of more than $7 per ton. Yet, if the Duncan lease applications are approved, the state may receive no more than 1/16th to 1/20th of the value of the ore.

It should be perplexing to the people of this state who help pay to support our public schools to learn that the state has rejected 17 other applications from a party who offered to pay higher rentals and royalties than those stated in Duncan’s applications. Since the board is aware that at least one other party is interested in these leases and has offered to pay more money, it has an obligation to table or continue to set aside Duncan’s applications until procedures are changed to allow the state to receive maximum revenues for the benefit of Wyoming’s public schools and to help relieve the burden on taxpayers.

A $500 million buy-out?

If these mineral leases are approved, Duncan, his successors, assignees or clients will have a "private property interest" which might only be relinquished by a cash payment not to mine. Duncan — or whoever he represents — will be able to claim that it is a "taking" of his/her property right if it becomes apparent that it is against the public interest to mine these lands and the state attempts to stop it.

The potential value of the ore from the entire 4,700 acres could easily be far in excess of $500 million. Therefore, the private party could demand that, for the "taking of his private property right," the state pays him or her $500 million not to mine. In addition, there is a growing trend for entrepreneurs to purchase inholdings and then sell their development rights, for exorbitant prices, not to develop in national forests.

If there is even the remote possibility that mining on any of these 4,700 acres is not in the state’s best interest, the time to stop it is before the Duncan lease applications are approved and before the applicant obtains a "private property interest." Later, the state may pay dearly for approving these applications and receiving less than $6,000 in filing and lease payments. Now is the time to explore other alternatives, such as issuing only one or two 40-acre mineral leases.

(Attorney and conservation activist John Jolley is Consulting Editor of Grassroots Advocate,
P. O. Box 2968, Mills, WY 82644.)

Please contact the following members of the State Land Board, who will make the ultimate decision on the Duncan leases, and express your views.

Governor Jim Geringer
State Capitol Building
Cheyenne, WY 82002
Tel: (307) 777-7434
Tel: (307) 777- 7398
Fax: (307) 632- 3909
e-mail: governor@missc.state.wy.us

Secretary of State Joe Meyer
State Capitol Building
Cheyenne, WY 82002
Tel: (307) 777-5333
Tel: (307) 745-7383
Fax: (307) 777- 6217
e-mail: secofstate@missc.state.wy. us

State Auditor Max Maxfield
State Capitol Building
Cheyenne, WY 82002
Tel: (307) 777-7831
Tel: (307) 778-4022
Fax: (307) 777- 6983
e-mail: mmaxfi@missc.state.wy.us

State Treasurer Cynthia Lummis
State Capitol Building
Cheyenne, WY 82002
Tel: (307) 777-7408
Tel: (307) 632-1363
Fax: (307) 777-5411
e-mail: clummi@missc.state.wy.us

Superintendent of Public Instruction
Judy Catchpole
Hathaway Building, 2nd Floor
Cheyenne, WY 82002
Tel: (307) 777-7675
Tel: (307) 634-8278
Fax: (307) 777-6234
e-mail: jcatch@educ.state.wy.us


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