Chromite mining company, county seek agreement

By Jo Rafferty, Staff Writer
Saturday, January 19, 2008 | 9 comment(s)

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Officials at the chromite mining company, Oregon Resources Corp., and Coos County are still talking, despite an appeal by the company and a Bandon couple against the county that went before the Land Use Board of Appeals on Thursday.

Oregon Resources offered the county a set annual amount to settle differences on issues about upkeep of roads to be used by ore-filled trucks.

Although county commissioners considered the proposal, they eventually gave it the thumbs down.

“Oregon Resources has e-mailed (counsel) about offering a proposal,” County Commissioner and Roadmaster Kevin Stufflebean said Thursday. “We looked at it and counter-offered with a few hundred thousand more dollars.”

Oregon Resources sent County Counsel Jacqueline Haggerty its counter proposal on Wednesday, raising the amount the company would pay by about $25,000 over the original proposal, according to Stufflebean.

“In order to fund ORC’s obligations, ORC would agree to pay annually at the end of each year, the sum of $175,000 for the first three years of operation and $225,000 annually thereafter for the remaining years of the operations using identified haul roads,” Oregon Resource’s counter proposal offered.

The offer indicated that an appeal Oregon Resources filed with the Land Use Board of Appeals — heard by LUBA on Thursday (see sidebar) — would be revoked if the county agreed to the terms.

But Stufflebean said he decided he couldn’t continue negotiations without a traffic impact analysis. The analysis is to be paid for by Oregon Resources, as required in Condition 13.

“(Oregon Resource’s attorney Steven Abel) was asking if we would agree to a lump sum annual agreement,” Stufflebean said.“The whole purpose of the traffic impact analysis is determining what the impacts will be on the county road.”

The commissioner also nixed an Oregon Resource request to remove the word “upgrades” from the condition.

“The road was built as a light traffic road,” he said. “(The mining operation) clearly makes it an industrial road. The upgrades mean bringing it to industrial road standards.”

Haggerty agreed that it’s too difficult to come up with an annual lump sum without the traffic impact analysis in hand.

“We’re not going to expect them to pay more than to cover the impacts. I think that’s what they are concerned about,” Haggerty said. “It’s just coming up with a fair way of determining what their cost is.”

Abel indicated in the counter proposal that a traffic impact analysis would be prepared at the company’s expense. But Haggerty said the counter proposal was e-mailed to her too close to the appeal hearing date — the day before — for her to talk to Stufflebean about it.

On Friday, officials on both sides seemed anxious to get the situation resolved.

“We’re working hard with the county to resolve any issues,” Oregon Resources President Cheryl Wilson said.

“We’re still committed to finding a fair evaluation,” Haggerty said. “We just don’t have all the numbers.

“It’s been said that we’re killing industry, but we’re not. We’re trying to protect the taxpayers. I think we can reach a resolution that’s going to be fine,” she said.
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Arguments heard by LUBA


An appeal filed by chromite mining company Oregon Resources Corp. and Bandon residents David and Sharon Comden against Coos County was heard by the Land Use Board of Appeals Thursday afternoon in Salem.


In the appeal, the Comdens charged the Coos County Board of Commissioners erred three times in its approval of a Coos County Planning Commission decision allowing sites to be mined by Oregon Resources on forest and mixed use zoned land.


According to the appeal:


* the first error was the board excluding “hobby farms” when determining the operation’s impact to farms;


* the second error was the finding that the operation would not force a significant change in or increase the cost of accepted farming and forest practices;


* and the third error was finding the operation would not increase fire hazard or increase fire suppression costs and cause safety issues.


Meanwhile, Oregon Resources assigned four errors to the county, all having to do with a condition imposed by the county forcing the company to provide maintenance and upgrades on the haul road, West Beaver Hill Road.


According to the appeal, the county’s errors were:


* the condition falls outside the scope of the county’s authority;


* requiring Oregon Resources to “upgrade” is unconstitutional;


* delegating authority to the roadmaster is unlawful; and

* the condition is “imprecise and hypothetical.”


Oregon Resources President Cheryl Wilson said attorneys from both sides were given 15 minutes to present oral arguments on Thursday and weren’t asked many questions by the LUBA board.


“They have advised us they’ll make their decision before Jan. 31,” Wilson said. “We’re just going to stay very positive.”


LUBA can reverse, affirm or remand the commissioners’ decision for further proceedings. If the decision is affirmed, the county commissioners’ decision can still be appealed to the Court of Appeals.
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Whiskey Run Renegade wrote on Feb 14, 2008 8:13 PM:

WOW! Gold is at a high of $927 per ounce! Is ORC really digging for Chromite? Black sand... how missinformed are you people? They will dig and dig and dig until all the land is wasted and we are left with ground water poisioned and dead trees. I would have thought Weyerhauser would have been smarter than this to allow ORC to dig, poision and destroy the beauty of their property. What a shame! And after ORC packs it's bags the county and state have to pay to clean up their mess what will all you backing supporting politicians of ORC do? Will you dig a whole and bury your head in the sand hoping this will all go away? Since you stand behind this company and have put your "name" behind this company? Careful what you wish for! God Forbid we should think about the people, water, farms and wild life effected by the ramifications of ORC's mining! If you have a conscience, think about this. This is the future of your county, your water, your roads, your tourism (what's left of it). This is a wake up call. HELLO?

John wrote on Feb 2, 2008 10:46 AM:

The World please make note that "a Bandon Couple against the county" does not represent what is actually happening. The Bandon couple represents a very large group of the community around the proposed mining sites who are having fund an appeal to counted what the Board of Commissioners while their salaries are being paid by our tax dollars.

John wrote on Feb 2, 2008 10:32 AM:

Ed Ore hauling trucks have change since the 40"s it is almost 70 years later.
How many tons do these trucks haul today versus what the were able to Haul in th40"s? I would guess Ed that the tonnage has gone up quite dramatically.
I'm also sure the cyclists are going to enjoy the scenic route along with the ore trucks

Mr. Mojorising wrote on Jan 22, 2008 5:07 PM:

The County Commissioners have been an obstacle to ORC since the beginning. Commissioner Griffith has worked in conjunction with Counsel Haggerty to block ORC from renewing mineral leases on county land. And he has tried to control when and to whom ORC may talk to when they call the county to try and move this deal along. It is estimated that royalties off these leases would generate between $1M and $1.2M annually to Coos Co. That would go a long way towards supplanting the lost revenues from Fed. timber payments and possibly providing jobs to displaced county employees. Griffith's rationale is that allowing environmental studies on Co. land might jeopardize logging which is worth $3M annually to the county. Since every timber owner around the county property holdings has agreed to these studies without problem to logging, it appears Commissioner Griffith is either terribly misinformed or has another agenda, either of which isn't benefitting the tax payers of the county or layed off county employees. Finally, the demands the County Roadmaster has made regarding road maintenance and the manner in which they have been communicated is counterproductive to economic development in this County if not just egregious and sophomoric. Oregon Resources is a renewable/green business that would make an $18 million dollar or more infrastructure investment in the county, at least 70 direct jobs, not counting indirect and induced jobs, over a million annually in royalties not counting taxes, and a reasonable shot at road maintenance that the county can't otherwise afford. It's time to elect County Commissioners that can assist in the creation of jobs and diversification of the economy and not those who avoid it through greed and stupidity.

Frosted Flake wrote on Jan 21, 2008 1:04 PM:

Gene, Ed, Be reasonable.
Go drive that road. Visualize the damage to be caused by constant heavy truck traffic. Visualize the mining company (more rights than people) Filing Suit to have that road repaired, at public expense, so they can destroy it again before the ore here is exhausted - and they move operations to Your Backyard.

Regarding Upgrades, the point is the very predictable "accidents" that WILL happen. That I cannot say when, where and to whom with certainty does not make "accidents" less a certainty. I don't appreciate you guys advocating risking my , and my Neighbors lives just so a bunch of Foreign Pirates can make more money tearing up our neighborhood.

I expect you will change your minds, when it gets to be your turn. And your turn will come, if you live between Charleston and Gold Beach.

Frosted Flake wrote on Jan 21, 2008 12:41 PM:

Gene, Ed, Be reasonable.
G
o drive that road. Visualize the damage to be caused by constant heavy truck traffic. Visualize the mining company (more rights than people) Filing Suit to have that road repaired, at public expense, so they can destroy it again before the ore here is exhausted - and they move operations to Your Backyard.

Regarding Upgrades, the point is the very predictable "accidents" that WILL happen. That I cannot say when, where and to whom with certainty does not make "accidents" less a certainty. I don't appreciate you guys advocating risking my , and my Neighbors lives just so a bunch of pirates can make more money tearing up our neighborhood.

I expect you will change your minds, when it gets to be your turn.And your turn will come, if you live between Charleston and Gold Beach.

Bill wrote on Jan 20, 2008 6:33 PM:

Have you seen the current condition of that road? Narrow and winding... and already in a state of disrepair with crumbeling asphault. There are places on the road that are already sinking with the light traffic the road gets now. Running heavy weight traffic on that road will cause costly repairs and that means it will cost my tax dollars. I would rather see the mining people pick up the slack.

Gene wrote on Jan 19, 2008 2:38 PM:

How can you be protecting the taxpayers by keep industry out of the area? You are constantly complaining about the lack of funding for county projects and positions while doing your best to keep things from happening. Why isn't the county claiming an interest in producing power from the wind within the county, no pun intended.

Ed wrote on Jan 19, 2008 12:17 PM:

"built as a light traffic road"? What? It was partially funded and constructed by the chromite mines in the 40's to take product to the chromite mill along North Bank Rd. on the way to Coquille!! The "roadmaster" is looking for a handout and nothing more.


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