On Monday, June 25th the City and Borough of Juneau will consider a multi-million dollar plan, paid for by our tax monies to expand the drinking water system primarily to accommodate the re-opening of the AJ Mine.
In the process of contemplating an active mine in downtown Juneau, it has become apparent that our current drinking water system is too fragile to endure the threat from mine pollution. The system probably needs fixing regardless of the AJ, but the current rush for a new system at Salmon Creek suggests gold speculation is really driving this process.
CBJ has been approached by a company interested in developing the AJ, but this developer has not revealed themselves, participated in any discussions or offered to off-set taxpayer dollars to accommodate the mine. This company’s interest has been mentioned several times but their identity and intentions seem to remain secretive. Meanwhile, the city keeps stating that this is an “open and transparent public process.”
Mining is a very speculative business. Legendary investor Doug Casey calls investments in mining “the most volatile stocks on earth.” Currently only the citizens of Juneau are assuming any risk.
The road leading to this point is very twisted. Last year the Assembly decided to examine what it would take to promote the AJ Mine to a prospective developer. They formed an Advisory Committee that considered a purely hypothetical “Mine Plan.”
Based on this hypothetical plan the Committee identified several conceptual recommendations. Several of these concepts, such as underground milling and 100% backfill of tailings, have never been accomplished anywhere. The Committee held only one public meeting dedicated to public input.
Based on only one of many concerns identified, the CBJ Assembly authorized $250,000 to study the water system and pay the engineering department to promote this hypothetical mine. Both the City Assembly and the Committee refused to adopt any specific restrictions on how the mine should be developed.
A draft report on the drinking water system was produced, and the CBJ Engineering Department solicited comments and questions from interested citizens. There has been no response to these comments and questions. There has been no final report prepared.
Now the city wants to pass a resolution that would result in an expansion of the drinking water system. If approved, this will cost taxpayers millions of dollars. Exactly how many is not clear.
To summarize: We have gone from exploring the idea of promoting a mine based on a 2-page concept that has never been tried in the real world, to spending $250,000 on a draft report on water issues related to the potential redevelopment of the AJ Mine, to deciding whether to adopt a municipal drinking water system plan based on a draft report that was initiated by a hypothetical idea.
We ask that the Assembly slow down and stop spending precious public monies on this hair-brain idea until a developer is willing to submit an actual plan that has undergone a feasibility analysis. Once such a proposal is actually on the table, then the entire community can decide how best to proceed.
• Archibald is the Mining and Clean Water Coordinator for the Southeast Alaska Conservation Council and is a resident of Juneau.
Comments (39)
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we go again 250.000.00 is a lot of money millions more to assure water supplies are safe is a drop in the bucket compared to what SEACC & their cronies will put up stop/kill this project & any others that'll bring development & jobs to southeast.
hey
Guy how about (just for once) working WITH developers to improve instead of obstruct quality of life for the region.
Think positive,
If the current water supply is tenuous at best, it would seem prudent to expend revenues to insure a better supply for the future, with or without an operating mine. Should the mine be possible, tourist dollars might overshadow the precious metal? I agree that the attitude should be “lets make this work” rather than “over my dead body” Go forward and take one issue at a time.
Guy has a point
No one would be talking about "assuring our water supply is safe" if the mine wasn't being discussed. And I agree that before we spend too much more money on this we see someone who actually develops mines for a living say that they can do it.
But given that, the City of Juneau OWNS A GOLD MINE. It would be completely irresponsible of our community's leadership to not thoroughly explore if we could exploit that resource. Let's do it now while fools are willing to pay more than $1,600 per ounce for it.
The real interesting discussion will be what we should do with the revenue. Infrastructure development? Property and sales tax relief? A 'permanent fund' for residents, maybe for education and retirement purposes? Maybe buy a private island in Hawaii for exclusive Juneau vacations, complete with our own jet to take us there?
Oh well, it'll probably all come to naught anyway. But a good distraction for us to fight over.
The potential benefits aren't worth the risk
We have some of the purist drinking water in the U.S.. A mine could contaminate that. If you've ever lived in a city like Chicago, and polluted water comes out of your faucet, you'd think twice.
The benefits of reopening the A.J. mine with a ghost developer do not equal the risks of poisoned water for an entire community.
In the late 1970s, Westinghouse recklessly poisoned the drinking water of an entire city of Bloomington, Indiana with PCBs. Three decades later, the city is still feeling the effects of that poisoning. I visited there once and saw all their fire hydrants opened and asked why. They said, "Our city water is unsafe. It's been poisoned by Westinghouse."
And it nearly bankrupted the city in lawsuits fighting Westinghouse which poisoned their water. Westinghouse, in typical corporate America style denies any wrongdoing whatsoever. The 80,000 citizens feel differently.
Don't re-open the A.J. mine. It's not worth it. There is more gold elsewhere, like Herbert Glacier.
p.s., I also don't relish the sound of dynamite throughout the day for years. It also might scare the tourists. Imagine being at the top of the tram (or even on the tram!), and feeling the shock wav from a dynamite blast.
Jo...
Water water all around and not a drop to drink... Actually, THERE IS PLENTY OF WATER AROUND TO DRINK! That nice fresh water stream off West Glacier Trail. Or the stream off East Glacier Trail. Or pulling water off the Nugget. Sheep Creek. The list goes on. SEACC is using water as an excuse to shut down the mine. After they fail to shut this down using water, they will drum up every other excuse they can possibly muster!
Archibald, what exactly are your wages with SEACC? I'm just curious about how all those east coast dollars are spent.
Archibald...
Oh, and how's your buddy Kim Elton doing heading up the Dept. of the Interior for Obama? Can't you just call him and have it shut down? Oh, probably don't need him quite yet. I'm sure you will though if this starts to pull through...
AJ Mine is an asset that should always be considered
Without a mine plan, no body knows what the potential benefits or risks would be, chicken little's are so predictable.
If by some chance 15 years from now the AJ is open and being operated by a responsible company and is producing royalty income for the CBJ coffers, I hope the CBJ would stop taxing food and basic necessities before expanding Eaglecrest, putting in another swimming pool, ice rink, theater, or other luxuries.
SEACC Against Clean Water!
How the headline should read. So, SEACC seeks to obstruct a plan for safe city water as an end-around to obstruct developement of the AJ. Let's not forget the fact that a large amount of the city's water already flows through the mine.
That aside, CBJ is taking bids for projects to be selling points for the renewal of a 1% temporary sales tax this October. A black hole for the JACC. A dog park. A park/fish market under the Douglas bridge. Just a few of the fluff projects with their hands out for moneys not even voted on. An incinerator to replace Mt. Lemon isn't even on the long list of beggars. A water filtration plant is a good idea. Is that to be CBJ's default selling point for the temporary 1%? Add that to an incinerator and, maybe, it would be worth voting for. More clean water may not sound so great to SEACC. An incinerator may not appeal to EPA. Both would be beneficial to human health and the environment.
That aside, speculating on the low grade gold ore deposits in the AJ at a time when metals prices are up is just a repeat of history. Gold goes up and developers invest large sums toward a long process of opening a mine until the prices fall again making a profitable extraction unfeasible. Then they bail with a huge loss to investors. Then, when the metals prices go up, it starts all over again. Investors do not profit by buying high and selling low. Of course, CBJ doesn't have any skin in the game. It's all on the investors... You and me. The taxpayers.
The AJ mine should not be
The AJ mine should not be developed for a number of reasons. One is that CBJ's focus would then be on the return of this investment & the developer and the shareholders BUT CBJ's obligation is to the public not to shareholders, developers etc. .
This is one of the sick things about mines. Shareholders want to see more money, they want mines to keep expanding so they can make more and more money. These shareholders do not give a crap about anything else. Most shareholders never even see the mines so they don't care about what the mine does to an area.
Mines do not belong in the heart of Juneau.
Walk around the lemon creek area and sit in your car at the Breeze-In if you want an idea of what trucks hauling tons of ore will do to the feeling of "community".
S.E.A.C.C. Sabatoging
S.E.A.C.C.
Sabatoging Economies in Alaska's Coastal Communities!
jump
Juneau was founded because of mining & if you've got a 401 you're likely a shareholder of some explorative development, be it mining, oil or another dirty capitalistic endeavor.
It would not surprize me if
It would not surprize me one bit if people like Wren, Skirtz, lifelong, & Islandhopper all worked at AELP. AELP owns half of the AJ Mine and they stand to make big money off of this mine opening.
Islandhopper?? Really and all this time I've been thinking that Juneau was founded because of our local Native communities.
Mine
I totally agree with sefisher. Why make AEL&P richer than they already are?
What?
CBJ should not allow the mine to be developed because AEL&P would profit from it? Huh?
What about the taxpayers? They shouldn't enjoy potentially lower taxes and other benefits because sefisher and (predictably) BillB have a hard-on for AEL&P and don't want them to derive any profit from it? What?
My mother used to call this "cutting off your nose to spite your face". I can think of many reasons not to open the AJ, but this one is just stupid.
Oh, and Skirkz: the taxpayers...you and me... we ARE CBJ.
sefisher
Actually the local native population settled in the Auke Bay area as the downtown Juneau areas weather was/is lousy & lacks/lacked easy access to hunting. Which is why when Richard Harris & Joe Juneau approached Chief Kowee he directed them to what is now the downtown Juneau area.
&
I wish I worked at AEL&P I'd like some Davis Bacon wages
mickey - and what did your
mickey - and what did your mother say about people that made empty promises like you will see lower taxes and other benefits?
Rather lets see CBJ return this $250,000. to us tax payers ( and divided equally among us) if easing our pain is the true motive behind opening the mine. I think we are all worth the investment. Why use our tax dollars to pave the way for some undisclosed company to make profits for their shareholders?
The Government is not of and for Corporations, the Government is not about making profits and shareholders the Gov. is and about the people in a community.
Come on Guy
"Hair-brained"??? Can't you do better than that?
Meeting tonight
My concern is only ONE public meeting so far, and why doesn't CBJ disclose who the mining company is? Isn't the council an open government? If our tax money is being spent on this endeavor ONLY for the benefit of some unknown mine speculator, tax payers have a right to be concerned.
I think I will attend tonight's meeting to find out more about this.
jami, huh?
How do you figure "our tax money is being spent on this endeavor ONLY for the benefit of some unknown mine speculator"? How do they benefit if no gold is extracted? I don't follow your logic.
The MacKinnons own much of the land that the Kensington Mine is on - they lease it to Coer Alaska for extraction. Do you figure MacKinnon is leasing it for free? Not hardly. He's making a boatload of money from the mine...and the boat is made of gold. And Coer makes money too. That's how it works.
The State of Alaska owns most of the oil on the North Slope. They lease it to oil companies and charge royalties. Because of that we pay no taxes and get a sweet check from the State every year. And Exxon makes money too. That's how it works.
If Juneau can lease the mine to an operator who can responsibly operate it, why not? We can put whatever restrictions we want in the lease, understanding that the tighter the restrictions, the lower the lease/royalty values will be.
This mine is OUR mine. It belongs to every resident of Juneau. Let's make sure the value we receive exceeds the costs.
Aj cancelled
CBJ has removed the AJ Mine related water plan resolution form the agenda tonight. I guess the potential developer will remain a secret.
Who cares, at this point?
I would expect that the City would have a public sale of the lease rights, once they had decided to move forward.
Consulting with experts is not something to get too spun up about. Unless you're trying to give a conspiracy theory legs. Is that what you're doing? Kinda sounds that way.
@lat58
Just reporting the news.
@guy
No, I think not. You're spinning the news.
Be an honest broker. There's plenty to question about the way forward. No need to create conspiracy theories, or you undermine the credibility SEACC tries to achieve.
@Mikey
We are not CBJ. We are CBJ's employers. Their benefactors. It's time they act like it.
SEACC and credibility in the same sentence??? Amazing!
SEACC and credibility in the same sentence??? Amazing!
Lat, congratulations!...... a new low in internet history!
sefisher
Obviously you haven't seen my posts. Accuse me of working for corporate when I've expressed countless times that I am a Ron Paul supporter. If you want to accuse people of being in the back pockets of corporate, go after Mitt supporters.
I am still floored that people pay as much as they do for a metal that has very few real purposes. If there were a nuclear holicost, I'd much rather have a trusty rifle and some good ammunition than a heavy pretty colored brick.
y'know fluetsch
At the end of my message above I typed in "And queue up the snide SEACC & credibility comments in ...3...2...1"
I deleted it because that would have been too disrespectful of the Empire readers. I forget that you had crawled back out of your spiderhole.
And why no outrage at all the industries standing in line
asking taxpayers to pay pay for the new water source when it's the mining industry that wants to mine and potentially ruin our drinking water.
We have a theme here...socialize the risk on the backs of citizens and capitalize the profits when things go well for the company. Just like citiesin the lower 48 paying for new sports stadiums where they NEVER recoup the cost and tax breaks.
Or on a more local level, reducing the cruise ship head tax to offset their losses in Europe with the Concordia and the Mediteranian and the two billion dollar give away to the oil companies because it cost so much to produce oil with their Nigerian Oil Wars is another Alaska example, complete with our give everything away Governor.
There's a trend here - our electeded officials are more than willing to sell out the public.