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Legislative and Regulatory Update
March 2008 by Scott Harn
• Senate looks at HR 2262As we previously reported, the House passed the Hardrock Mining and Reclamation Act (HR 2262) on November 1, 2007. HR 2262 would impose an 8 percent gross royalty on new mines, a 4 percent gross royalty on existing mines, give regulatory agencies the authority to reject proposed mines, and authorize citizen lawsuits, among other things.
The Senate held its first hearing on the bill on January 24, 2008. Stakeholders from both sides presented their views. It’s unclear at this juncture whether the Senate will start with HR 2262 and make changes or draft their own version from scratch.
• Washington Gold & Fish rules
The debate continues in Washington over gold mining regulations. After countless meetings between stakeholders, the Washington Department of Fish & Wildlife tried to force severe restrictions on gold miners and prospectors without the science to back up their position. The miners felt betrayed.
WDFW based their new restrictions on water temperature without citing scientific evidence to support their conclusions. As expected, the miners were upset with the agency and made their opinions known at several public hearings. The remaining scheduled hearings were canceled and everything has ground to a halt.
The Habitat division of WDFW issued a statement that acknowledged there was "significant discontent about the proposed rules not only among members of the prospecting community, but also among those prospectors that sat on the workgroup.
Prospectors have expressed significant dissatisfaction with proposed work windows, numerous specific work requirements, and in the rule development process itself. Because of this, Habitat Program is delaying presentation of the proposed rules to the Commission until outstanding issues can be resolved."
You can view the proposed rules by clicking on Pending Rules & Regulations under the Resources tab on our website. (Note: The prosposed rules were removed from the WDFW website. For the current rules, see wdfw.wa.gov/habitat/goldfish/)
In the meantime, constructive comments will still be accepted. Comments can be mailed to Lisa Wood, Washington Department of Fish & Wildlife, 600 Capitol Way N, Olympia, WA 98501-1092; faxed to Lisa Wood at (360) 902-2946; or emailed to SEPADesk@dfw.wa.gov
Las Médulas—The Gem of the Roman Gold Mines
This mine was a real wonder of engineering, and the water supply and drifts had to be carefully managed to keep it in operation. In fact, it didn’t close due to lack of gold, but instead closed with the fall of the Roman Empire.
The Business Of Mining: Profits, Losses, Hobbies and Businesses
Everyone can deduct all of the ordinary and necessary expenses of conducting a trade or business. But how can anyone hope to refute the IRS’s labeling of their activity as a hobby or, probably more importantly, hope to achieve the label of a tax business?
Little Rocky Mountains, Montana
The Little Rocky Mountains are a group of wooded hills, 10 miles long and 8 miles wide, which form an island in the Great Plains of north-central Montana. They rise to 5,708 feet, 2,000 feet above the surrounding plains.
The Assay of High Iron Gold Ores
By employing this technique, one can use a larger sample size without having to resort to large crucibles and massive amounts of flux.
Economic Analysis on Critical Habitat for Bull Trout
The US Fish & Wildlife Service has released the economic analysis and reopened the comment period for their proposal to designate critical habitat for the bull trout in 18,469 river miles and 532,721 acres of lake and reservoir habitat across the Western states.
Looking Back
Excerpts from California Mining Journal, our original title, published 50 years ago this month.
Deadly Storms May Expose Gems in Sri Lanka
Floods and landslides that struck Sri Lanka several months ago, killing 266 people, may bring a windfall for miners. The movement of tons of soil and rock is believed to have unearthed new gems according to local industry workers.
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