SB 175: "An Act relating to state mining law, to methods of locating mining claims, to the granting of larger mining claims using a legal subdivision based on rectangular survey descriptions, and to mandatory rental payments for prospecting rights."
00SENATE BILL NO. 175 01 "An Act relating to state mining law, to methods of locating mining claims, to 02 the granting of larger mining claims using a legal subdivision based on 03 rectangular survey descriptions, and to mandatory rental payments for prospecting 04 rights." 05 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 06 * Section 1. AS 38.05.195 is amended to read: 07 Sec. 38.05.195. Mining claims. (a) Rights to deposits of minerals subject to 08 AS 38.05.185 - 38.05.275 in or on state land that is open to claim staking may be 09 acquired by discovery, location , and recording as prescribed in AS 38.05.185 - 10 38.05.275. The locator has the exclusive right of possession and extraction of the 11 minerals subject to AS 38.05.185 - 38.05.275 lying within the boundaries of the claim. 12 (b) The locator may locate a claim using one of the following methods: 13 (1) a locator may locate a claim based on the ground location of a 14 complete quarter section or quarter-quarter section of a township on a
01 rectangular survey system approved by the commissioner; a claim established in 02 this manner may be known as the meridian, township, range, section, and claim 03 system location, or MTRSC location; a locator using the MTRSC system to locate 04 a claim shall in good faith mark the corners of a location as closely as practical 05 to the existing quarter section or quarter-quarter section of the rectangular 06 survey system approved by the commissioner; the corners marked on the ground 07 of a claim established in accordance with this paragraph and regulations of the 08 commissioner control in the event of a conflict over boundaries for the quarter 09 section or quarter-quarter section on the protracted or actual survey approved 10 by the commissioner; or 11 (2) a locator may locate a claim based on the staking of a ground 12 [A] location in which the claim may not exceed 1,320 feet in its longest dimension ; 13 [, AND] the boundaries of a claim based on staking and located after January 1, 14 1985 , shall run in the four cardinal directions unless the claim is a fractional claim or 15 the commissioner determines that staking in compliance with this paragraph 16 [SECTION] is impractical because of local topography or because of the location of 17 other claims ; a claim established in this manner may be known as a non-MTRSC 18 location . 19 (c) A location's corners [LOCATION] shall be distinctly marked on the 20 ground in the manner prescribed by the commissioner , and a notice of location shall 21 be attached to a monument at [POSTED ON] the claim's northeast corner 22 [CLAIM] in the manner and containing the information required by the commissioner. 23 Within 45 [90] days after the date of attaching [POSTING] the notice of location on 24 the monument [CLAIM], the locator shall record a certificate of location in the 25 recording district where the claim is located [A CERTIFICATE OF LOCATION]. The 26 certificate of location must contain the information required by the commissioner. 27 (d) Locations may be amended in the manner and with the effect prescribed 28 in AS 38.05.200. Annual labor shall be performed and statements of annual labor 29 recorded as prescribed in AS 38.05.210 - 38.05.235. 30 * Sec. 2. AS 38.05.210(a) is amended to read: 31 (a) Labor shall be performed or improvements made annually on or for the
01 benefit or development of each mining claim, leasehold location, and mining lease on 02 state land except that , where adjacent claims, leasehold locations, or mining leases are 03 held in common, the expenditure may be made on any one claim, leasehold location, 04 or mining lease. The commissioner shall establish the date of the commencement of 05 the year during which the labor or improvements are to be performed. Labor shall be 06 performed at the following annual rates: (1) [RATE OF] $100 per claim , [OR] 07 leasehold location , or lease if the claim, leasehold location, or lease is a quarter- 08 quarter section MTRSC claim, leasehold location, or lease; (2) $400 for each quarter 09 section MTRSC claim, leasehold location, or lease; [,] and (3) $100 for each partial or 10 whole 40 acres of each mining claim, leasehold location, or lease not established using the 11 MTRSC system . If more work is performed than is required by this section to be performed 12 in any one year, the excess value may be applied against labor required to be done during the 13 subsequent year or years, for as many as four years. Instead of performing annual labor, the 14 holder of a claim, leasehold location, or mining lease may make a cash payment to the state 15 equal to the value of the labor required by this subsection. 16 * Sec. 3. AS 38.05.211(a) is amended to read: 17 (a) The holder of each mining claim, leasehold location, prospecting site, and 18 mining lease, including a mining lease under AS 38.05.250, shall pay, in advance, 19 [ANNUAL] rental for the right to continue to hold the mining claim, leasehold 20 location, prospecting site, and mining lease, including a mining lease under 21 AS 38.05.250. Rental is due and payable as follows: 22 (1) the rental amount for a prospecting site is fixed at $200 for the 23 two-year term of the site; 24 (2) [THE] annual rental for a mining claim, leasehold location, or 25 mining lease [AMOUNT] shall be based on the number of [THE] years since a mining 26 claim, a leasehold location, or a mining lease's predecessor claim or leasehold location 27 was first located ; the annual rental amounts for a mining claim, leasehold location, 28 or mining lease are [,] as follows: 29 Rental Amount for 30 Each Mining Claim or 31 Number of YearsRental Amount PerLeasehold Location , Including Since Acre for Mining Each Quarter-Quarter
01 First Located Leases Section MTRSC System 02 0 - 5 $ .50 $ 20 03 6 - 10 $1.00 40 04 11 - or more $2.50 100 ; 05 (3) the annual rental in any year for each quarter section claim, 06 leasehold location, or lease based on the MTRSC system is four times the rental 07 amount for a quarter-quarter section mining claim, leasehold location, or lease in 08 that year. 09 * Sec. 4. AS 38.05.211 is amended by adding a new subsection to read: 10 (e) The locator of a new claim or leasehold location in accordance with the 11 MTRSC system or the locator of a non-MTRSC location claim or leasehold location 12 who amends the claim or leasehold location in accordance with the MTRSC system 13 is entitled to a reduced rental under this section for the rental year following 14 establishment of the new location or amendment of a non-MTRSC location. The 15 reduced annual rental is 50 percent of the annual rental that would otherwise be due 16 in the following rental year. 17 * Sec. 5. AS 38.05.242 is amended by adding a new paragraph to read: 18 (6) "MTRSC system" means the system described in 19 AS 38.05.195(b)(1) based on the ground location of a complete quarter section or 20 quarter-quarter section of a township on a rectangular survey system. 21 * Sec. 6. AS 38.05.245(a) is amended to read: 22 (a) Before the discovery of valuable minerals, an exclusive right to prospect 23 by geophysical, geochemical , and similar methods may be acquired by establishing 24 [MARKING BOUNDARIES AND POSTING A NOTICE OF LOCATION OF] a 25 prospecting site in accordance with the MTRSC system and regulations prescribed 26 by [A MANNER AND CONTAINING THE INFORMATION] the commissioner 27 [REQUIRES. A PROSPECTING SITE MAY NOT EXCEED 2,640 FEET IN ITS 28 LONGEST DIMENSION AND ITS BOUNDARIES SHALL RUN IN THE FOUR 29 CARDINAL DIRECTIONS]. A certificate of location shall be recorded in the 30 recording district where the prospecting site is located within 45 [90] days after posting 31 the notice of location. The locator of a prospecting site has the exclusive right to stake
01 mining claims or leasehold locations within the boundaries of the site. In this 02 subsection, "MTRSC system" means the system described in AS 38.05.195(b)(1) 03 based on the ground location of a complete quarter section or quarter-quarter 04 section of a township. 05 * Sec. 7. AS 38.05.245(c) is amended to read: 06 (c) [A PERSON MAY NOT HOLD MORE THAN EIGHT PROSPECTING 07 SITES IN ONE TOWNSHIP AT ONE TIME.] A prospecting site remains in effect 08 for two years [ONE YEAR] after the notice of location is attached to a monument 09 at the northeast corner of the site if the one-time rental payment is made within 10 45 days of location and the work requirements are met. The two-year term 11 begins on the date the notice of location is attached to the monument [POSTED] 12 and may not [, AT THE DISCRETION OF THE DIRECTOR,] be extended [FOR 13 ONE YEAR PERIODS]. During each year, work of a type compatible with the 14 purpose of this section and acceptable to the director shall be done. The minimum 15 expenditure for the work shall be established by the commissioner uniformly for all 16 prospecting sites. Where adjacent prospecting sites are held in common , the 17 expenditure may be made on any one or more locations. If a prospecting site expires, 18 neither the locator nor a successor in interest of the locator may again hold the same 19 prospecting site or any portion of it, as a prospecting site, for a period of one year 20 following the date of expiration or abandonment [; NOR MAY THE LOCATOR OR 21 A SUCCESSOR IN INTEREST OF THE LOCATOR, DURING THE YEAR, EITHER 22 DIRECTLY OR INDIRECTLY, OBTAIN A BENEFICIAL INTEREST IN THE 23 SAME PROSPECTING SITE OR A PORTION OF IT]. 24 * Sec. 8. AS 38.05.265 is amended to read: 25 Sec. 38.05.265. Abandonment. Failure to properly record a certificate of 26 location or a statement of annual labor, pay any required annual rental, or pay any 27 required production royalty [, OR KEEP LOCATION BOUNDARIES CLEARLY 28 MARKED] as required by AS 38.05.185 - 38.05.200, 38.05.210 - 38.05.245 [38.05.207 29 - 38.05.245], 38.05.252 - 38.05.275, and by regulations adopted under these sections 30 constitutes abandonment of all rights acquired under the mining claim, leasehold 31 location, or prospecting site involved, and the claim, leasehold location, or
01 prospecting site is subject to relocation by others. A locator or claimant of an 02 abandoned location or a successor in interest may not relocate the claim, leasehold 03 location , or prospecting site until one year after abandonment . The locator of an 04 abandoned prospecting site may locate a claim or leasehold location on that site 05 at any time . A statement of annual labor that does not accurately set out the essential 06 facts is void and of no effect. If an annual rental or a royalty payment is deficient but 07 is otherwise timely paid, abandonment does not result if full payment is made within 08 (1) the period prescribed by a deficiency notice from the commissioner; 09 or 10 (2) 30 days after a final judgment establishing the amount due if the 11 deficiency amount due was contested.