Michigan mining ‘as lousy as Wisconsin?’
Published 7:50 pm Thursday, March 17, 2011
Dear editor,
I recently saw some information on file with the Wisconsin Department of Revenue (DOR) dealing with Kennecott’s tax payments to the State of Wisconsin for the Flambeau Mine.
The mine operated near Ladysmith, Wisconsin in the mid-1990s and conservative estimates put the value of the ore (copper, gold and silver) at $585 million.
According to the Wisconsin DOR, Kennecott paid the State of Wisconsin $14.3 million in taxes. That works out to less than 3 percent of the value of the ore. As tax time approaches, don’t you wish your taxes could be computed at a rate of 3 percent? It makes me wonder … Is Michigan’s mining tax law as lousy as Wisconsin’s? When I tried to find the answer, I couldn’t even find where Michigan has a mining tax law.
How much money is the State of Michigan expected to get out of the $4.7 billion ore body that Kennecott is planning to mine at Eagle Rock in the Yellow Dog Plains, Upper Peninsula? Or, more important, what is the State of Michigan about to give away to a foreign mining company when public services are being cut and most people are hurting?
Ask state representatives and senators to tax Kennecott at a hefty rate for the metal they plan to take out of Michigan. After all, Kennecott is shipping our precious metals over to China to make a quick buck while we face school closings here at home. It’s not fair.
Here is contact information for State Reps. Sharon Tyler (517) 373-1796 and Al Pscholka (517) 373-1403 and Sen. John Proos (517) 373-6960.
Sincerely,
Charlotte Loonsfoot
Baraga