Newly passed bill seeks to start conversation about economic development and mining in the Black Hills

PIERRE – In a state that is home to a robust century plus old mining industry, discussions about regulating mining are difficult. One lobbyist during a discussion last week said that mining operations get faster approval in Zimbabwe than in South Dakota. But the Lawrence County legislator proposing HCR 6010 said passage of this bill would “start a conversation” about the economic development and mining in the Black Hills.

The bill’s sponsor, District 31 Republican Representative Scott Odenbach from Spearfish said he wanted to start a much-needed conversation with the entire state, to raise awareness about issues in the Black Hills. “At the heart of the bill is to evaluate the regulatory provisions applicable to government sponsored economic activities, mineral and mining extractive industries and residential development taking place within the Black Hills of South Dakota.”

He said growth in the area has been explosive following the pandemic and efforts from “some in government to encourage the world to move to South Dakota. Nowhere have we seen the effects of that greater than out where I live in the Black Hills. As we welcome all the great faces, we need to begin to turn our attention to how we can serve all those great places, that is the reason so many of us want to be here in the first place.” He said the Black Hills aren’t just a vacation destination or a fun weekend getaway. He said people still want to be able to find solitude and quiet in the Hills. “Rather than have the whole thing resemble the Front Range areas around Denver.” There has been significant growth in Denver because of new development and investment but that has also led to increased housing demand, traffic congestion and a need for further infrastructure development

Odenbach said that more and more residents in the Black Hills are asking him about long-term planning. “They ask why we can’t maintain our roads if we’ve got all these new visitors supposedly paying taxes. For years we have been told that growth is the answer to all our problems, and it seems like we woke up one day and growth is the problem. We need to have a conversation about things like whether it’s the governments job to prime the pump of growth while picking winners and losers, versus state sponsored economic development plans, whether more open-pit mining will be a net benefit to the citizens who live here, or whether all the new residential areas being permitted that end up as vacation cabins or Airbnb’s will also protect our creeks and watersheds from untreated sewage. Now, if you’re just coming in for a long weekend, that’s not a big deal to you, but if it’s your home, it is.”

Although Deadwood Mayor David Ruth wasn’t present at the bill hearing, he did send a letter on behalf of the City of Deadwood and the Deadwood Historic Preservation Commission asking the committee to support the legislation.

Ruth laid out the efforts made over the years to preserve the rich and unique history since the city of Deadwood was designated a National Historic Landmark in 1961. Voters approved legalized gaming with the Net Municipal Proceeds devoted to the preservation and restoration of Deadwood. “Over the past several years, the City of Deadwood and the Deadwood Historic Preservation Commission have acquired several parcels of vacant land surrounding the developed sections of the community to preserve the viewshed of the National Historic Landmark,” said Ruth. “Furthermore, the City of Deadwood has continued to make improvements to Whitewood and Deadwood Creeks and the associated watersheds with vegetation management to enhance the urban fisheries within the city limits.”

Ruth said that they have adopted comprehensive plans to protect the history, beauty and health of the city and have strong ordinances to regulate development. The Deadwood City Commission supports reviewing regulations for economic development, mining industries, and residential projects, emphasizing the protection of Deadwood’s environmental health and historical character, along with the entire Black Hills.

Cattle rancher Eric Jennings said there is adequate oversight. Jennings, who also is a member of the Lawrence County Commission and serves on the Lawrence County Planning and Zoning Board assured that there has been a zoning ordinance in place since the early 1970’s and has been updated and revised throughout the years. The Comprehensive Plan was reviewed in 2019 after holding stakeholder meetings, focus groups and open houses. “We periodically update the ordinances of the various zoning districts and are currently developing a future land use map, which has similar public involvement,” said Jennings. “I’m a firm believer that land use should be decided and governed by the people who live in and make their living in the area, and not by those to enjoy their occasional visit. HCR 6010 goes against that belief.”

Jennings said that the legislators on the committee who would evaluate the regulatory provisions would be from outside of the Black Hills. “I can only believe that this is an attempt to limit economic development of residential growth and extractive uses in the name of historical preservation and environmental health factors that are already protected through state statute, regulatory permitting and historic preservation regulations.”

Garth Wadsworth, who has been working with Elevate Rapid City for about 6 years said he has worked on a lot of planning projects and said a study would create conflicting results not consistent with the existing plans. “It would be an inefficient duplication of existing projects and remove local control from those local jurisdictions. We ask that you please preserve local control and oppose this resolution.”

Kwinn Neff, lobbyist from the South Dakota Minerals Industry Association repeated that it

wouldn’t be known who would be on the committee and whether or not they have a background in mineral mining and exploration. He said this would prompt a review of private property and mineral rights. “In the United States we have built three new mines in the last 20 years. The average permit timeline for a mine in the U.S. is one of the longest in the world. Zimbabwe actually has a quicker permitting process than the United States.”

For its part, Zimbabwe has been under new leadership since 2017 when long-time authoritarian leader Robert Mugabe resigned following a coup. Former Mugabe vice president Emmerson Mnangagwa has since served as president and has failed to break with Mugabe’s authoritarian rule and economic mismanagement. A U.S. Customs and Border Patrol 2019 investigation found that forced labor contributed to mining activity in Zimbabwe. Widespread artisanal and small-scale gold mining present a threat to the environment, and informal miners have little to no safety and labor protections, according to the U.S. State Department website.

Neff said that his group could get behind this bill if it was really about economic opportunities for the mineral industry, “but this really just looks like a way to, you know, based on the background of this is, how do we shut it down, which is, basically in opposite belief of the Trump administration and becoming mineral independent as a country.”

On rebuttal, Odenbach addressed opponents, using a German phrase, “uber alles” (above all else) to describe what he said is the oppositions myopia about economic development. “I think we need to turn our economic development hats around at a certain point in time and have a bigger conversation that includes the issues of conversation, of our way of life, of peace and quiet, of beauty, of the Black Hills as a whole. And that’s what I’m seeking to do here. No more, no less.”

Odenbach explained he brought this legislation to give voice to the many constituents who ask who is tending to the long view. “People are starting to ask if we need to take a look, step back and pause and ask ourselves what are some wise things we can do to plan it better as we go forward.”

Odenbach pushed back on accusations that this would take away local control. “And it’s not intended to. Those who are saying it is, they’re just not telling the truth, I guess, or maybe they don’t understand it. But the idea is just to ask the bigger questions, and then, if you will, hand it off to our local elected officials who make the laws in our area.”

The executive board would have no authority and would be advisory only.

District 15 Representative Kadyn Wittman (D) asked what if any specific deficiencies would be corrected with this legislation.

Odenbach said it would take a look at the bigger picture. “We have seen an explosive amount of growth with residential construction, and there have been issues with, for example, the sewage treatment of some of those.” He said that property taxes remain high, but the growth hasn’t addressed that. “Instead, we have had some issues that have remained unaddressed. There is a housing crunch. The state was asked to commit hundreds of millions of dollars to help alleviate a housing crunch. Yet what we’ve seen in my county, in many places is that the houses that have been built are six-bedroom places renting for thousands of dollars for a weekend but doing nothing to alleviate housing shortages.”

Odenbach said locals then think the permitting and the taxes will bring in more revenue. “But how in the world does this help the local people who live here? These are the kinds of questions that I’m interested in being asked.”

Representative Julie Auch (R) from District 18 moved to adopt. She said this legislation has been brought to committee over the last couple of years. “We are a state so rich in heritage, so rich in it’s people, I think the economic development that happens in our state forgets who built this state and we need to preserve that and especially in the Deadwood area. I think this is an important resolution. We need to seriously take a look as a state and see if we are doing justice for the Black Hills.

Representative Tim Goodwin (R) from District 30 cited the mining industry’s opposition to the bill. “Mining, you know, in the Black Hills, we’re down to one saw mill, and mining is our only industry that’s left after that in the actual Black Hills part.”

The resolution passed with Representatives Julie Auch, Jana Hunt, Travis Ismay, Kaley Nolz, Kathy Rice, Richard Vasgaard, Kadyn Wittman, Spencer Gosch and Marty Overweg voting in favor, with Tim Goodwin, Drew Peterson and Kevin Van Diepen voting against. Trish Ladner was excused

(Contact Marnie Cook at cookm8715@gmail.com)

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