Program

1872 Mining Law Reform

Category

Public Lands

Subsidy Type

Undervalued Asset

Committees of Jurisdiction

House Natural Resources Committee

$ FY 16 Budget Score (in mil.)
$ FY 16-25 Budget Score (in mil.)

The 1872 Mining Law charges mining companies no royalties for the minerals they remove from federal lands and allows them to purchase federal land for $5 per acre (a weak annual moratorium on purchases has been put in place, but there is no permanent fix). Taxpayers receive nothing for the approximately$1 billion worth of minerals mining companies extract annually from federal lands. Reported cost saving is what could be returned to the federal treasury if a royalty rate of 12.5 percent, equal to royalty rates of other extractive industries, were enacted.

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