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Decrease in mineral lease money coming into county; cause for concern

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The Emery County Commission met for their Oct. 20 meeting. The commission discussed a Resolution to amend how mineral lease revenue and State mineral development revenues from SITLA are distributed in the county. The mineral lease monies are divided by percentage among the special services districts in the county and the recreation district. Currently the distribution rates are 40 percent to the Emery County Road District number one, 29 percent to the Local Building Authority; 13 percent to the Castle Valley Special Service District, 8 percent to the Emery County Fire District, 8 percent to the Emery County Recreation Service District and 2 percent to the North Emery Water Users Special Service District.
Commissioner Ethan Migliori said with the closure of Deer Creek Mine, it’s had a significant impact on the mineral lease revenue. The mineral lease money comes into the county on a monthly basis. Migliori proposed they change the rate of distribution for what comes in to the following percentages: Emery County Road Special Service District number one-55 percent; 0 percent to the Local Building Authority, 18 percent to the Castle Valley Special Service District, 12 percent to the recreation district and to the fire district and 3 percent to the North Emery Water Users.
According to current projections for the mineral lease money coming into the county in 2016, approximate amounts the special service districts will receive is: Road District-$607,200; LBA-0; Castle Valley Special Service District-$198.720; Recreation district and fire district-$132,480; and North Emery Water Users approximately $33,100.
These numbers are based on current projections for mineral lease monies into the county. Commissioner Migliori said this formula of distribution is for 2016 only. The Local Building Authority will need to be funded in the future for needed projects, but for the coming year, so the special service districts can be maintained the LBA will not take any funds from mineral lease money. The new resolution will be ratified in the next commission meeting.
On Feb. 1, 2015, the mineral lease money that came into the county was $151,055.96; on March 1, 2015 with the closure of Deer Creek Mine, the mineral lease money had dropped to $63,561.82; in April, May, June, the money has been between $60,000 to $63,000 each month. In the third quarter the SITLA mineral lease money coming into the county was $475,615 and for the fourth quarter it has dropped to $86,379.54.

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