Document ykgoZx8JLVVQgb2zxrXDEreqX

Message From: Small, Jeff [Jeff.Small@mail.house.gov] Sent: 11/28/2017 11:39:42 PM To: Small, Jeff [Jeff.Small@mail.house.gov] CC: Hanson, Tanner [Tanner.Hanson@mail.house.gov] Subject: Legislative Analysis H.R. 3905 Attachments: H.R. 3905 Legislative Analysis.pdf Legislative Analysis H.R. 3905, the Minnesota's Economic Rights in the Superior National Forest Act (MINER Act) Rep. Tom Emmer (MN-06) On the House Floor: On Wednesday, November 29, 2017, the House will consider H.R. 3905, the Minnesota's Economic Rights in the Superior National Forest Act (MINER Act), a bipartisan bill introduced by Reps. Tom Emmer (MN-06), Colin Peterson (MN-07), Jason Lewis (MN-02) and Chairman Paul Gosar (AZ-04). Short Summary: The MINER Act halts last-minute political mineral withdrawals by requiring Congressional approval for any future withdrawal actions in Minnesota, renews two mineral leases that were denied for political reasons under the same terms they were renewed twice previously and ensures any future mining projects in Minnesota National Forests will have to satisfy all existing environmental permitting requirements including NEPA. Article IV of the Constitution vests Congress with authority over public lands. This legislation secures the opportunity for job creators to present mining plans in an area already authorizedfor mining twice by Congress and rejects political and unwarranted actions taken by the previous administration that will harm responsible mineral production, kill jobs and decimate education revenues. No one is proposing to mine in the 1.1 million acre Boundary Waters Wilderness Area, an area that already has significant buffers, and the bill actually protects this area. 17,000 jobs, $3 billion for education, $1.5 billion in annual wages and $2.5 billion annually for our economy are at risk if we don't pass H.R. 3905. Further, there are more than four billion tons of ore containing copper, nickel and other metal resources within the area the previous Administration tried to shut down, which represents the largest known undeveloped deposit of strategic and critical metals in the world. An awesome video produced by the people of Minnesota on the issues addressed by the bill can be viewed HERE. Sierra Club v. EPA 18cv3472 NDCA Tier 13 ED 002061E 00003419-00001 Bill text can be found HERE. The Committee Report can be found HERE. The Committee one pager can be found HERE. A printable list of endorsements and supporters can be found HERE. Background: On January' 19th, 2017, the day before President Trump was sworn in, the previous administration published a 234,328acre federal mineral withdrawal application in the Federal Register, to restrict for a 20-year moratorium, lands within the Superior National Forest in Northeast Minnesota. This action immediately placed this vast area off limits to future mineral leasing, exploration and potential development for two years while the 20-year withdrawal is being considered. The total withdrawal application boundary' spans approximately 425,000 acres, including 95,000 acres of state school trust fund lands. In conjunction with this massive mineral withdrawal, the Obama Administration's Bureau of Land Management inappropriately rejected Twin Metals Minnesota's application to renew two hard rock mineral leases in Minnesota's Superior National Forest - leases that were signed in 1966 and renewed without controversy in 1989 and 2004. These bureaucratic decisions could decimate local economies, stifle job creation as well as cause significant harm to K-12 education and mining in Minnesota. These were political, anti-mining and anti-education actions taken by the Obama Administration. The University of Minnesota-Duluth estimates the creation of 12,000 construction jobs and 5,000 long-term mining jobs if mining projects already being pursued in Duluth Complex are allowed to move forward. These are good-paying jobs, as the average annual mining wage in Minnesota was $78,635 in 2015. Education will be significantly harmed as Minnesota is projected to lose up to $3 billion in royalty revenues for the State's Permanent School Trnst Fund that would support nearly 900,000 K-12 students statew ide if the withdrawal application and cancelled leases are not rejected. To date, Twin Metals has invested upward of $400 million - a significant investment - in reliance on the two federal mineral leases that the BLM executed with the company's predecessors and renewed each time they expired. In 1950, Congress took action to make land available for mineral exploration and development within the Superior National Forest. Then, in 1978, Congress passed the Boundary Waters Canoe Area Wilderness Act, a compromise that prohibited mining within the 1.1 million acre Boundary- Waters Wilderness Area but again specifically authorized mining in the Superior National Forest. The 1986 Forest Service and 2004 Forest Plans both concluded mining in this area is "a desired condition." The MINER Act halts last-minute political mineral withdraw als by requiring Congressional approval for any future withdrawal actions in Minnesota, renew s two mineral leases that were denied for political reasons under the same terms they were renewed twice previously and ensures any future mining projects will have to satisfy all existing environmental permitting requirements including NEPA. Article IV of the Constitution vests Congress with authority over public lands. This legislation secures the opportunity for job creators to present mining plans in an area already authorizedfor mining twice by Congress and rejects political and unwarranted actions taken by the previous administration that will harm responsible mineral production, kill jobs and decimate education revenues. No one is proposing to mine in the 1.1 million acre Boundary Waters Wilderness Area, an area that already has significant buffers, and the bill actually protects this area. 17,000 jobs, $3 billion for education, $1.5 billion in annual wages and $2.5 billion annually for our economy are at risk if we don't pass HR. 3905. Further, there are more than four billion tons of ore containing copper, nickel and other metal resources within the area the previous Administration tried to shut down, which represents the largest known undeveloped deposit of strategic and critical metals in the world. Other Congressional Actions on these issues: Sierra Club v. EPA 18cv3472 NDCA Tier 13 ED 002061E 00003419-00002  A release and letter signed by 26 Members calling for rescission of the 234,328-acre mineral withdrawal application and renewal of two improperly terminated leases can be found HERE. The Interior Appropriations Request letter signed by 9 members including House Committee on Natural Resources Chairman Rob Bishop can be viewed HERE. The press release on the hearing on H.R.3905 can be found HERE. A press story on the Emmer Interior Appropriations Amendment passing can be found HERE. A press release on passage ofH.R. 3905 by the Resources Committee can be found HERE. What H.R. 3905 doesn't do: Supersede current federal, state, or local environmental review. Any project proposed in areas that allow mining (all outside the Boundary Waters Canoe Area) must still undergo the normal NEPA environmental analysis, which we also require for any lease issuances under the bill. Mine in the boundary waters. In fact, the legislation clarifies that "nothing should he construed to permit prospecting for development and utilization o f mineral resources within the Boundary Waters Canoe Area Wilderness or Mine Protection Areal' (Section 4(f)) What They Are Saying: 53 bipartisan state legislators (including leadership of both parties) - "As elected leaders o f the Minnesota Legislature, we are writing in strong support ofH.R. 3905. This legislation supports jobs, economic development and industry in Northeast Minnesota, and will reverse an onerous, overreaching and politically-motivated decision by the Obama Administration. H. R. 3905 has our bipartisan support, and it is our sincere hope that it will become law for the well-being o f our state and its citizens. " Competitive Enterprise Institute - "The bipartisan H.R. 3905 is a welcome reassertion o f congressional authority over public lands. Article IV o f the Constitution vests Congress--not the President--with plenary power over public lands. Members on both sides o f the aisle should take umbrage at President Obama's lame duck machinations to withdraw from the multiple useframework more than 230,000 acres o fpublic lands in Minnesota with the mere stroke o fa pen. By treating public lands regulation as a means to build a presidential legacy through midnight regulation, the previous administrationflouted the spirit ofparticipatory and inclusive lands-use statutes as designed by Congress. Lawmakers should correct the course by passing the excellent H.R. 3905. " International Union of Operating Engineers, Local 49 - "Unfortunately, the economicfuture o f the region is now threatened byfederal agency actions initiated in December 2016 that would cancel valid, long-standing federal mineral leases and withdraw 235,000 acres o ffederal land in the regionfrom future mining development, contrary to previous directives by Congress. I f allowed to stand, these agency actions will eliminate the possible creation o f thousands o fgood-paying construction jobs, billions o f dollars in economic growth, and billions more in revenuesfor Minnesota's public schools through mineral development on state school trust lands. " Range Association of Municipalities and Schools - "The results o f the withdrawal and a potential 20 year moratorium would have a devastating impact on thefinancial supportfor our state wide public school system and future generations o fIron Rangers who would be employed in anyfuture mining developments. It has been estimated that within 20 years o f miningfor precious metals, our Permanent School Trust Fund would reap nearly $3 billion dollars in royalties. The Miner Act does not infringe or restrict the very strenuous and stringent environmental review and enforcement process and specifically re-emphasizes that there will be no mining in the Boundary Waters (B WCA W) or the buffer zone surrounding the BWCAW. " American Exploration & Mining Association - "H.R. 3905 will eliminate delays, return to good stewardship o f fair process and restore the opportunity to explore strategic metals critical to our economy and national security in one o f the richest mineral deposits in the nation... The emerging mining industry is an investment in the future well-being o f our state and nation; without this legislation, thatfuture is at risk. " Sierra Club v. EPA 18cv3472 NDCA Tier 13 ED 002061E 00003419-00003  Associated General Contractors of Minnesota - "H.R. 3905 changes no environmental review processes, relaxes no environmental standards, and specifically restates Congress 'prohibition on any mining activity in the BWCAW and surrounding protective buffer. H.R. 3905 would reaffirm long-standing Congressional intent in the management and development o f critical minerals in Minnesota, eliminate bureaucratic delays in developing environmentally-responsible mine projects proposals, and restore the promise o ffuture job growth and economic opportunity to an economically distressed region o f the state. " National Mining Association - Northern Minnesota is blessed with a world class, economically significant, mineral deposit containing copper, nickel andprecious metals. In an unprecedented move -- one clearly motivated by politics rather than science the previous administration denied two mineral lease renewal applications that had been renewed several times without issue dating back to 1966. Furthermore, the previous administration initiated afull-scale mineral withdrawal o fnearly 240,000 acres just days before leaving office...Importantly, the mineral deposits under these leases are critical to our domestic manufacturing, infrastructure and defense needs. The U.S. has become increasingly reliant onforeign imports with only 50 percent o f the needs o f our manufacturing industry being sourcedfrom domestic mineral supplies. House Committee on Natural Resources Energy and Minerals Chairman and Western Caucus Chairman Paul Gosar (AZ-04) - ``17,000jobs, $3 billionfor education, $1.5 billion in annual wages and $2.5 billion annuallyfor our economy are at risk i f we don't pass H.R. 3905. Further, there arefour billion tons o f ore containing strategic and critical minerals in the area the Obama Administration tried to shut down. I f left unchallenged, these political anti-mining actions will set a terrible precedent that could negatively impact communities throughout the country. " Conservatives for Property Rights - "This legislation would remedy the broad bureaucratic discretion that led to unilateral government action limiting private mineral rights on several hundred-thousand acres o f land in the Superior National Forest in northeastern Minnesota. The government's limitation on reasonable public lands use deprives the nation, the state o fMinnesota, and surrounding localities o f important benefitsfrom valuable deposits o f copper, nickel, and other minerals. Royalty revenues upward o f $3 billionfor the state's schoolfin d alone will be lost should the government's land grab not be reversed. " Congressman Tom Emmer MN-06 - "Passage o f the MINER Act ensures Minnesotans have a say in sweeping bureaucratic decisions made by Washington bureaucrats. Environmentally responsible mining and exploration in Northern Minnesota will unleash our ability to tap into our abundance o fnatural resources, andprovide for a better way o f lifefor our children, just as those in Northern Minnesota have donefor decades. We can preserve our state's natural beauty withoutpermanently destroying anyfuture job creation or economic development. We can utilize the largest untapped copper-nickel deposit in the world, and do so in an environmentally sound way. Nothing in this legislation will circumvent any o f the numerous strict local, state andfederal environmental regulations and permitting requirements currently in place, including those that prohibit mining in the Boundary Waters. Instead, passage o f this legislation simply rolls back unnecessary, politically motivated actions by the previous administration and returns pow>er to Minnesota while bringingjobs to communities in Northern Minnesota who desperately need them, and boosting our local, state andfederal economies. " The bill is endorsed by: 53 bipartisan state legislators (including leadership of both parties) AFL-CIO International Association of Bridge. Structural. Ornamental, and Reinforcing Iron Workers Local Union 512 Agribusiness & Water Council of Arizona ALLETE American Exploration & Mining Association Americans for Limited Government Apache County (Arizona) Apache Sun Golf Club APEX Arizona Cattle Feeders Association Arizona Golf Association Sierra Club v. EPA 18cv3472 NDCA Tier 13 ED 002061E 00003419-00004  Arizona Pork Council Arizona Liberty Arizona State Rep. Bob Thorpe Associated General Contractors of Minnesota AZ BASS Nation AZ Deer Association The Bass Federation Better in our Back Yard Colorado Mining Association Competitive Enterprise Institute Concerned Citizens for America (Arizona) Conservatives for Property Rights Global Minerals Engineering LLC Golden Vertex Corporation Grand Rapids Area Chamber of Commerce Hibbing Area Chamber of Commerce International Union of Operating Engineers. Local 49 The Jamar Company Jefferson County Commissioner Donald Rosier. P E Jobs for Minnesotans Laborers District Council of MN & ND Laborers International Union of North America Laurentian Chamber of Commerce Minnesota Building and Construction Trades Council Minnesota Chamber of Commerce MiningMinnesota Minnesota Pipe Trades Association Minnesota Power Minnesota State Rep. Josh Heintzeman Montana Mining Association National Mining Association National Stone, Sand & Gravel Association New Mexico Cattle Growers' Association New Mexico Federal Lands Council New Mexico Wool Growers. Inc. North America's Building Trade Unions Plumbers and Pipefitters Local 589 Range Association of Municipalities and Schools Shake Rattle & Troll Outdoors Sulphur Springs Valley Electric Cooperative Twin Metals Minnesota United Brotherhood of Carpenters and Joiners of America Water Resource Institute Women's Mining Coalition Yavapai County Cattle Growers Yavapai County Supervisor Board Chairman Thomas Thurman Yuma County (AZ) Chamber of Commerce Cost: According to Congressional Budget Office Analysis, enacting H R. 3905 would reduce direct spending by $2 million over the 2018-2027 period by increasing offsetting receipts. Sierra Club v. EPA 18cv3472 NDCA Tier 13 ED 002061E 00003419-00005 Amendments: I. Nolan (D-MN) - Would strip Section 3 of the bill, a provision aimed to ensure future administrations can't use the stroke of a pen to prevent responsible mining in area twice authorized for mining by Congress through law. The 1986 Forest Service and 2004 Forest Plans both also concluded mining is "a desired condition" in the Superior National Forest. Chairman Gosar recommends a NO' vote II. Grijalva (D-AZ) - increases taxes (royalty rates) on responsible mineral production by 16.66 percent. If adopted, this amendment would dry up investment and kill jobs. Chairman Gosar recommends a NO' \ ote Constitutional Authority: The sponsor has stated that Congress has the power to enact this legislation pursuant to Article IV, Section 3, Clause 2 (the Property Clause), which confers on Congress the power to make all needful Rules and Regulations respecting the property belonging to the United States. More Information: If you have questions about H R. 3905, please contact Landon Zinda in Congressman Emmer's office at landon.zinda@mail.house.gov. If you have questions about this policy analysis or for the Congressional Western Caucus, please contact Jeff Small at ieff.small@mail.house.gov or Tanner Hanson at tanner.hanson@mail.house.gov. Sierra Club v. EPA 18cv3472 NDCA Tier 13 ED 002061E 00003419-00006