GENERAL49028 - Laserfiche WebLink

Home Browse Search

~ning lease may ~' boast area economy Hy Phil Ellsworth SYaII WrAOr The president of the Bcar Coal Company said a recent application by the Somerset Mining Company to mine additional areas currently owned by the Bureau of Land Management (BLM) will help con- tinue long-term employment for North Fork residents and boost local economies. Somerset has applied to mine a 1,350-acre area adjacent to the Sanborn Creek Minc in Gunnison County. The BLM will hold a public hearing to address Somerset's Icase application and the potential impact of the project on Monday, April 27, at 7 p.m. in the communi- ty center room at Paonia town hall, 214 Gland Ave. Bill Bcar, president and general manager for Bear Coal, which serves as the managing partner for Somerset, said taxes and wages generated by the expansion will significantly benefit area towns. "The federal government charges us eight percent of our gross sales. Half oC that money comes back to the start," Bcar said. Thal would amount to approxi- mately $500,000 per year, accord- ing to BLM estimates. Describing the social and eco- nomic effect of the proposed Icase, the EA states, "Federal coal royal- ties would be approximately $1 million per year. Severance, black- lung [benefits] and reclamation costs would total about $850,000 pefy~„ Severance taxes are those paid by a mining company for coal it has severed from the earth and is paid by the ton. Bear showed a letter Crom the state department of local affairs which listed the uses of coal royal- tieswithin Delta County. Mining taxes contributed nearly $10 million to the county last year. Of all area towns,'Paonia was given the lion's share of the royal- ties, 52,002,903. Ccdaredge rcceivcd_ $841,182; Crawford ceceived $787,591; Delta received $1,068,583; Hotchkiss received $1,335,806; and Orchard City received $45,000. The rest of Delta County received $3,719,869. Bear added that many coal- burning companies are being forced by the Environmental Pro- tection Agency to switch to Iow- sulfur coal, the type found in this area. The BLM has prepared an Envi- ronmental Assessment (EA) for the coal lease agreement and will dis- cuss it at the hearing also. The BLM report describes the area to be mined as "very sleep south-facing slopes on the south- eastern margin of Grand Mesa. The application lands are immediately north of the North Fork of the Gun- nison River at elevations ranging from 6,100 to 8,200 feet." The report states, "There is no designated critical habitat on the review area, and none off-si[~Ntat would be affected by this propose al." It does, however, state that bald eagles are known to winter in the region, but adds that BLM invento- ries and monitoring from 1978 through 1985 did not locate any nest or roost sites. According to the EA, "1f bald or golden eagles establish nest sites within a distance of 1/4-mile radius of any mine facility during the 15- year project life, seasonal restric- tions on human activity 2'hd addi- tional surface disturbance would become necessary." The report says the review area has been determined by the state Department of Wildlife (DOW) to be crucial winter range for elk however, and the lease would only be approved if Somerset Coal meets the Collotving provisions: 1. Coal-related facilities and surface disturbances will be autho- rized in the review area only if no feasible alternatives exist. 2. The BLM will coordinate with llte DO]~-to determine the type and extent of allowable vari- ances. 3. Coal exploration, facility con- struction and major scheduled maintenance will not be authorized within these crucial winter ranges Gore Dcc. 1 through April 30. 4. All avoidable surface distur- bances within the ranges will require approval of tfie BLM's SBB Mlalgg, Page 16 ~/ iiiiuiiiiiiiiuiii 999