by John Dowd
The Hamilton City Council voted unanimously last week to submit a letter to the U.S. Forest Service opposing the proposed Sheep Creek Rare Earth Exploration Project, citing concerns about potential impacts to the Bitterroot Valley’s water, economy, agriculture, recreation and fisheries.
The letter, written by Hamilton City Council Member Jenny West, was presented as a unified comment from the council. The six council members agreed to sign the letter and submit it to the Forest Service ahead of the Sept. 13 public comment deadline.
The Sheep Creek project is proposed in the headwaters of the Bitterroot River. The council’s letter questions whether the potential economic benefits of mineral exploration and future development outweigh the risks to existing businesses, jobs, natural resources and communities downstream.
Hamilton Mayor Dominick Farrenkopf said the council had several options for submitting comments, including having individual council members submit their own comments or submitting a statement as a group.
The council chose to present a united position. That, alone, allows anyone to “see where the city stands,” Farrenkopf said.
Farrenkopf added that the project is relevant to Hamilton because of its potential connection to the Bitterroot River and resources that support the city. He finished, saying, “It’s the river that runs through our city, that feeds our water and feeds our parks.”
West said she brought forward the idea of having the council submit a joint public comment on behalf of the city. According to West, “We wanted to submit a public comment.”
West grew up in the Bitterroot Valley and works as a fishing guide. For her in particular, she is concerned about the potential effects of the project. “It’s gonna have a negative effect on everything downstream,” she said.
According to her, the issue is not about partisan politics but about protecting the valley’s existing resources and economy. “I just think it adds more teeth to fighting this mine,” said West about submitting the letter.
To her, the possibility of contaminated water entering the watershed is especially concerning.“It’s just detrimental to everything I stand for,” West said. “I can’t imagine fishing over contaminated water.”
The council’s letter argues that Ravalli County already has a significant economy tied to agriculture, tourism, recreation, hospitality, retail, arts and entertainment.
It points to approximately 3,175 county jobs in sectors that could be affected by changes to natural resources and quality of life, compared with the 40 to 50 potential jobs associated with future development discussed by project representatives.
The council also asks the Forest Service to require independent baseline and ongoing monitoring of groundwater and surface-water quality, stream flows, fisheries and aquatic habitat before significant disturbance occurs.
The letter further calls for a comprehensive environmental review rather than relying on a categorical exclusion and asks that potential future commercial mining be considered when evaluating the exploration project.
The full letter submitted by the Hamilton City Council follows:
Sheep Creek Rare Earth Exploration Project
To: District Ranger Pliley
Re: Sheep Creek Rare Earth Exploration Project
The Hamilton City Council submits this comment regarding the proposed Sheep Creek Project in the headwaters of the Bitterroot River.
As elected officials, we support responsible economic development. We also have a responsibility to protect Hamilton’s existing economy, property owners, businesses, taxpayers and natural resources. The question is whether the potential economic benefits of mineral development justify the environmental and economic assets being placed at risk. Based upon the information currently available, we do not believe that question has been adequately answered.
An Existing Economy Worth Protecting
Nearly 3,175 Ravalli County jobs — approximately one in five — are in sectors potentially affected by changes to our natural resources and quality of life, including agriculture, tourism, recreation, hospitality, retail, arts and entertainment.
Ravalli County has approximately 1,134 farms generating nearly $41 million in annual sales. Tourism and recreation generate approximately $73 million in economic activity and support 607 direct jobs, including nearly $8 million spent with outfitters and guides and more than $4 million in associated retail spending.
These are existing jobs and businesses, not projected benefits.
Sheep Creek Project representatives have discussed the possibility of 40 to 50 jobs associated with future development as significant economic development for the Darby area. Potential jobs matter. But a 5% impact to the 3,175 existing jobs would be approximately 159 jobs — more than three times the 40-to-50-job figure.
Before accepting economic risk in exchange for potential development, that comparison deserves serious analysis.
Water Is an Economic Asset
The environmental and economic issues surrounding Sheep Creek cannot be separated.
The proposed exploration occurs in the headwaters of the Bitterroot watershed. Water originating there moves downstream and supports agriculture, groundwater recharge, fisheries, recreation, businesses and communities throughout the valley.
The City is particularly concerned about potential impacts to groundwater and surface water from drilling, excavation, sediment, fuels, disturbed mineralized material and other contaminants. Groundwater impacts deserve particular attention because they may not remain confined to the immediate project area or become apparent immediately.
Before substantial disturbance occurs, independent baseline monitoring should establish groundwater and surface-water quality, groundwater movement, stream flows, water temperature and relevant mineral constituents. Monitoring should continue during and after exploration so changes can be identified and measured.
The fisheries supported by these waters are equally important. The West Fork supports Westslope cutthroat trout and federally protected bull trout. The Westslope cutthroat upstream of Painted Rocks Reservoir represents an important wild, genetically pure population. Protecting the cold, clean water and connected habitat upon which these native fisheries depend is both an environmental and economic concern.
Economic Development Requires Due Diligence
If the Sheep Creek Project is being presented as significant economic development, Hamilton and Ravalli County deserve a complete accounting of both sides of the ledger.
That analysis should identify how many permanent local jobs will actually be created, how much local property-tax revenue will be generated, what costs could fall upon local governments for roads and emergency services, and what the potential consequences could be for agriculture, tourism, recreation, property values and existing businesses.
A responsible investor evaluates both potential return and potential loss. Local governments should demand the same due diligence when the assets at risk belong to an entire community.
The City’s Request
The Hamilton City Council respectfully requests that the Forest Service:
Require a comprehensive environmental review rather than relying upon a Categorical Exclusion, with particular attention to groundwater, surface water and downstream impacts.
Require independent baseline and ongoing monitoring of groundwater, surface-water quality, stream flows, fisheries and aquatic habitat before significant disturbance occurs.
Complete a meaningful economic impact analysis comparing projected jobs, wages and local tax revenues against potential impacts to the approximately 3,175 jobs associated with agriculture, tourism, recreation and related sectors.
Evaluate potential impacts to agriculture, property values, tourism, recreation and the local tax base, as well as potential costs to local infrastructure and services.
Evaluate the reasonably foreseeable consequences of future commercial mine development, rather than viewing exploration entirely in isolation from the development it is intended to facilitate.
Hamilton and the Bitterroot Valley already possess substantial economic assets: productive agricultural land, a nationally recognized river and fishery, a recreation and tourism economy, thousands of jobs, valuable private property and an exceptional quality of life.
Mineral development may offer economic opportunity. But responsible economic development should create net value for the community, not transfer environmental and financial risk to existing residents and businesses.
Before we risk our existing economy in pursuit of a potential one, the economic benefits should be proven and environmental safeguards should be in place.
Respectfully submitted, Hamilton City Council
City of Hamilton, Montana
The letter was signed by all Hamilton City Council members, including Kristi Bielski, Robin Pruitt, Dan Mitchell, Rod Pogacher, Darwin Ernst and Jenny West.
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