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GENERAL46647
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Last modified
8/24/2016 8:20:50 PM
Creation date
11/23/2007 2:49:13 PM
Metadata
Fields
Template:
DRMS Permit Index
Permit No
C1980007
IBM Index Class Name
General Documents
Doc Date
12/1/2003
Doc Name
Lease COC-67011 West Flatiron Coal LBA-Environmental Assessment
Permit Index Doc Type
Other Permits
Media Type
D
Archive
No
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December"1.2003 Pale 3-22 <br />There are three active coal mines in the North Fork of the Gunnison Valley, which presently produce <br />approximately 15 million tons of coal annually. Of these three active mines, the West Elk Mine is the <br />largest coal producer at approximately six to seven million tons of coal per year. The West Elk Mine <br />employs approximately 375 full time and part time workers, with an annual payroll of approximately $26 <br />million. Local expenditures for materials, supplies and services for the West Elk Mine were approximately <br />$28 million in 2001, and royalty and tax payments totaled approximately $12 million. <br />Total direct economic benefits associated with the West Elk Mine exceed $70 million annually. <br />Although mining employment does not represent a high percentage relative to total employment in Delta <br />County, average mining wages are approximately three times the average wage for all business sectors <br />in Delta County. Further, it is estimated that for each mine employee there are three to five service and <br />support jobs in the community. <br />3.8.2 Environmental Consequences <br />Alternative 1 -Proposed Action <br />Assuming that the coal in the West Flatiron LBA tract is extracted by MCC through its existing West Elk <br />Mine operations and facilities, there would be no new or added employment at the West Elk Mine. The <br />estimated 2.3 million tons of recoverable coal within the LBA tract would account for approximately three <br />months of mining at the West Elk Mine. This would translate to a three-month payroll of approximately <br />$ti.5 million, with athree-month local expenditure for materials, supplies and services amounting to <br />approximately $7 million. For the three months of coal extraction, there would be an estimated $3 million <br />spent for royalty and tax payments, while the total direct economic benefits associated with extraction of <br />coal in the West Flatiron LBA tract would exceed $17 million. <br />No low income or minority populations are known to exist and, therefore, would not be disproportionately <br />affected by this proposed action. <br />Cumulative Impacts: On a cumulative basis, mining of the coal reserves in the LBA tract would allow an <br />additional three months of coal production from the West Elk Mine (assuming that the LBA tract was <br />awarded to MCC and the coal extracted utilizing the West Elk operation and facilities). The cumulative <br />socioeconomic effects of past, present and reasonably foreseeable actions in the North Fork of the <br />Gunnison River Valley relative to coal mining operations would be negligible. <br />Alternative 2 - No Action <br />The socioeconomic effects of the no action alternative would be center on the fact that 2.3 million tons of <br />recoverable coal would not be mined. Under the no action alternative, mining of reserves at the West Elk <br />Mine would continue at existing rates until coal reserves are depleted. Three months of revenues, local <br />expenditures, royalty and tax payments, and general economic benefits as described in "Alternative 1 - <br />Proposed Action' above would not be realized. <br />_nvironrnentr~l Assessment <br />`Nest t=laliron i_t3.4 Tr pct <br />Gunnison Goun:.y, Colorado <br />
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