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M~ i~l Purpose and Need which the same was being conducted on the date of approval of this act. These lands were managed until December 12. 1979 under the Sta te of Colorado Interim Management Policy which parallels FLPMA. Since December 12, 1979, these lands have been managed under the BLM's Interim Management Polley and Guidelines for Lands Under Wilderness Review. This document sets policy and guidelines for BLM management of lands under wilderness review. Prior to the passage of FLPMA, the Redcloud Peak area was studied for possible BLM designation as a primitive area. The entire American Flats Planning Unit was considered for designation as the American Flats National Resource Lands Management Area. Neither of these considerations were made a part of the 1973 American Flats Management Framework Plan. A scenfc withdrawal in association with the "Loop Road" which encircles the Redc10ud Peak WSA has been in effect since April 11, 1966. Management of the entire area discussed in this EIS is also sUbject to the American Flats and Silverton Recreation Area Management Plan. This plan, approved in 1986, provides direction for the management of the special recreation values found in this area. Earth Science, Inc. has applied for a preference right lease of 1,667 acres of public land for the purpose of developing a deposit of alunite (potassium aluminum sulfate). The area of the lease application is located on Red Mountain approximately three miles south of Lake City. Earth Science, Inc. ori9inally a prospectin9 permit in 1970. drilling, three drill holes depth from 306 feet to 688 completed in 1978. In March of app 11 ed for Exploration varying in feet, was 1979, Earth Science, Inc. submitted the "Initial Show! ng" for a preference rI ght 1 ease application. A condition in the prospecting permit issued to Earth Sciences stipulated that unless the deposit could be mi ned wi thout s i gnlfi cant adverse envi ronmenta1 effects. no lease wou1 d be issued. BLM initiated an envi ronmenta1 assessment in 1983 to resolve that issue. However, before the assessment process could be completed and a decision rendered. the Congress placed a prohibition on processing any lease within a WSA. Completion of the environmental assessment and decision are still pending. PRIVATE LAND INHOLDINGS There are 425 acres of private i nhol di ngs withfn two of the five WSAs. Various combinations of alternatives would contafn di fferent amounts of these pri vate hol df ngs (see Table 1-1). In addition. there is a total of 2,340 acres of split-estate mineral inholdings within three of the fhe WSAs (see Table 1-1) . The compatibility of these inholdings with the wilderness values of the surrounding pUblic lands may necessitate the need for land acquisition authority pursuant to any applicable wilderness legislation. Acqui- sition of these inholdings would not be necessary if the properties were used in a manner compatible with the management of the surrounding wilderness. INTERRELATIONSHIPS Forest Service: The American Flats, Bill Hare Gulch, and Larson Creek WSAs share boundaries with the Big Blue Wilderness Area administered by the Forest Service. These WSAs are all too small in acreage to qualify as separate wilderness areas. They woul d, of necessity, become part of thei r larger neighbors. As yet, there is no 9