Gold miners outraged at critical Nome letter

  • By Associated Press
  • Wednesday, July 30, 2014 10:33pm
  • News

NOME (AP) — Nome gold miners are expressing outrage about a city letter citing the “negative social impacts” of their industry.

Miners stormed the Nome City Council meeting Monday night to voice their anger about the July 15 letter to the state Department of Natural Resources from city manager Josie Bahnke. In the letter, Bahnke wrote to DNR Commissioner Joe Balash that there has been some economic benefit from offshore mining, but those benefits are outweighed by negative social impacts, KNOM reported.

The letter refers to a 2011 lease sale that opened up the offshore dredging boom that brought millions in revenues for the state, but left Nome without money to accommodate increased port activity. The city is responsible for new costs, such as extra employees.

But miners at Tuesday’s meeting were upset over a perceived slight by officials.

ADVERTISEMENT
0 seconds of 0 secondsVolume 0%
Press shift question mark to access a list of keyboard shortcuts
00:00
00:00
00:00
 

“We’re feeling like you’re throwing rocks at us the way some of this is written,” said Kenny Hughes with the Nome chapter of the Alaska Mining Association.

Bahnke said the city has not heard anything from the Department of Natural Resources since June. She apologized for any connotations in the letter, saying “it’s more or less, I guess, in response to the frustration with no response from DNR.”

Many of the miners attending the meeting took umbrage with the claim that their work brings only “some economic benefit” to Nome.

“I’m an American,” said Homer resident Vern Atkinson, who owns a dredging operation in Nome and is financially compensated by the Discovery Channel for appearing in its “Bering Sea Gold” reality show. “And when I come to Nome, I’m a citizen of Nome — I got just as many rights as anybody else around here. I’m not taking a backseat to anybody.”

Atkinson said officials are sharing in the benefits of his industry. Council member Stan Anderson, however, said municipal entities such as the port get very little of those revenues, only about 5 percent.

When miners pushed for a definition of “negative social impacts,” Mayor Denise Michels said there was an increase in heroin and methamphetamine use.

“Those are some of the social issues that are happening in Nome,” she said.

Nome resident and miner Bob Haffner said neither the city nor the industry is doing enough to accommodate each other’s needs.

“We need to make some room, too, guys,” he said. “It’s not just them. We need to make some accommodations, too. And we’re not communicating.”

Most of those who came for the public comments part of the meeting left before the council dealt with a proposed seasonal tax that would have raised revenues from summer sectors such as offshore mining. The council ultimately decided against the seasonal tax.

More in News

Rep. Bill Elam speaks during a legislative update to the joint Kenai and Soldotna chambers of commerce in Kenai, Alaska, on Wednesday, June 18, 2025. (Jake Dye/Peninsula Clarion)
‘Nothing prepares you’

Rep. Bill Elam reports back on his freshman session in the Alaska House of Representatives.

The entrance to the Kenai Chamber of Commerce and Visitor Center is barricaded on Overland Avenue in Kenai, Alaska, on Thursday, Nov. 21, 2024. (Jake Dye/Peninsula Clarion)
Kenai OKs $75 fine for cutting through parking lots

The move comes after months of action to prevent drivers from crossing through the parking lot of the Kenai Chamber of Commerce and Visitor Center.

Erin Thompson (courtesy)
Erin Thompson to serve as regional editor for Alaska community publications

Erin Thompson is expanding her leadership as she takes on editorial oversight… Continue reading

A woman stands with her sign held up during a rally in support of Medicaid and South Peninsula Hospital on Wednesday, June 18, 2025 in Homer, Alaska. (Chloe Pleznac/Homer News)
Homer residents rally in support of South Peninsula Hospital and Medicaid

The community gathered on Wednesday in opposition to health care cuts that threaten rural hospitals.

Hunter Kirby holds up the hatchery king salmon he bagged during the one-day youth fishery on the Ninilchik River on Wednesday, June 7, 2023 in Ninilchik, Alaska. Photo by Mike Booz
Ninilchik River closed to sport fishing

The closure is in effect from June 23 through July 15.

Señor Panchos in Soldotna, Alaska, is closed on Wednesday, June 4, 2025. (Jake Dye/Peninsula Clarion)
Soldotna restaurant owner remains in ICE custody; federal charges dropped

Francisco Rodriguez-Rincon was accused of being in the country illegally and falsely claiming citizenship on a driver’s license application.

Brent Johnson speaks during a meeting of the Kenai Peninsula Borough Assembly in Soldotna, Alaska, on Tuesday, April 1, 2025. (Jake Dye/Peninsula Clarion)
Borough to provide maximum funding for school district

The Kenai Peninsula Borough School District will receive less money from the state this year than it did last year.

Jake Dye/Peninsula Clarion
Pool manager and swim coach Will Hubler leads a treading water exercise at Kenai Central High School on Tuesday.
Pools, theaters, libraries in jeopardy as cuts loom

The district issued “notices of non-retention” to all its pool managers, library aides and theater technicians.

Most Read