For more information contact:
Janette Brimmer, Legal Director
MCEA
651-223-5969
Clyde Hanson
Co-Chair
Sierra Club Mining without Harm
218-387-9081
Chuck Laszewski
Communications Director
MCEA
651-223-5969
New report says mining less of economic driver for northern Minnesota counties
Northeastern Minnesota economy has been strong without miningA report released today found that Minnesota's Iron Range counties have enjoyed good economic growth and low unemployment since the decline of metal mining the past 25 years.
The report concludes that much of that growth has occurred because of the area's natural resources such as woods, trails and lakes, that attract people and businesses and that any expansion of metal mining and its potential jobs must be weighed against the damage it can do.
“Environmental quality is not just a matter of ‘prettiness’ or aesthetic preference; it is a central part of any region's economic base and its potential for economic vitality,"rdquo; according to the report, The Economics Role of Metal Mining in Minnesota: Past, Present, and Future.The report, commissioned by the Minnesota Center for Environmental Advocacy and Sierra Club North Star Chapter, was researched and written by Thomas Michael Power, Professor Emeritus and research professor of economics at the University of Montana. Power has specialized in natural resources economics and regional economic development and has written six books in the field.
The two environmental groups commissioned the report because of a new interest in expanding taconite mining and processing and possibly opening metallic sulfide mines for copper, nickel, gold and other precious metals. That type of mining is dramatically different than the taconite mining that made the Iron Range famous and carries significantly higher dangers of environmental damage from acid drainage into rivers and groundwater, toxic metal releases, and other pollutants that increase mercury levels in game fish.
“Many of us from northeastern Minnesotan want to protect the people and wildlife that depend on clean air and water for their livelihoods. Dr. Power's report shows how the best prospects for stable, high paying jobs require a quality natural environment,” said Clyde Hanson, the Co-Chair of the Sierra Club's Mining Without Harm Campaign.
Promoters of PolyMet's proposed metallic sulfide mine in St. Louis County promise an annual mine payroll of $28 million and $47 million including spin-off jobs, but the combined impact would be less than 1 percent of total county income, representing only about 7 months of the average annual income growth seen in recent years. Yet sulfide mining pollution risks the natural amenities attracting entrepreneurs and high skill workers who are driving most of the economic growth in the region.
The Power report, using government data, found:
- Of Minnesota's iron jobs in 1979, 83 percent had disappeared by 2005;
- Average incomes in northern Minnesota have increased 30 to 40 percent above inflation since the collapse of metal industry jobs in 1979;
- After high unemployment immediately following the mining bust, northern Minnesota is nearing full employment, with unemployment at 4 to 5 percent;
- Dependence on iron mining in Itasca County has declined from 23 percent to 4 percent, in St. Louis County from 13 percent to 5 percent and in Lake County from 43 percent to 13 percent.
“These statistics are exactly the reason we are arguing for a very cautious approach with strict adherence to all of our environmental laws and full public disclosure of all the environmental impacts,” said Janette Brimmer, MCEA's legal director. “These are decisions that will affect Minnesota for many years and we should carefully consider what the best long-term outcome is for all Minnesotans.”
The Sierra Club and MCEA will be distributing the report to select legislators, county commissioners and others, as well as making it available to anyone on MCEA's website at www.mncenter.org. The hope is everyone involved in deciding which mining proposals should move forward will consider all aspects of the project, not just the promise of mining jobs.