SMALL-SCALE NON-COMMERCIAL GOLD MINING

House Bill 5862 as introduced

Sponsor:  Rep. Andrea LaFontaine

Committee:  Natural Resources

Complete to 12-5-16

SUMMARY:

House Bill 5862 would exempt small-scale noncommercial gold mining from the permit requirement under Part 301 (Inland Lakes and Streams).   The bill amends Sections 30101 and 30103 of the Natural Resources and Environmental Protection Act (NREPA

The bill would define small-scale noncommercial gold mining as searching for and removing gold, silver, or other precious minerals from among small quantities of aggregate or a vein of ore in a manner that is consistent with a hobby or casual activity, using any of the following:

o   Pans

o   Sluices

o   Rocker boxes

o   Other non-motorized Equipment

o   Dredges with motors of not more than 10 horsepower and suction nozzles not more than 4 inches in diameter.

MCL 324.30101 & 30103

FISCAL IMPACT:

House Bill 5862 would have an indeterminate fiscal impact on the Department of Environmental Quality (DEQ).  The number of land and water management permits issued for small scale noncommercial gold mining as defined in the bill is unclear.  Revenue generated by the fee is deposited to the land and water management permit fee fund.  A total of $3.2 million has been appropriated to DEQ from this fund for FY 2016-17; $2.3 million of this total supports the land and water interface permit programs with the remainder supporting departmental operations including environmental investigations and information technology.

                                                                                        Legislative Analyst:   Josh Roesner

                                                                                                Fiscal Analyst:   Austin Scott

■ This analysis was prepared by nonpartisan House Fiscal Agency staff for use by House members in their deliberations, and does not constitute an official statement of legislative intent.