Forest Beaverhead-Deerlodge National Forest 420 Barrett Street Service Dillon, MT File Code: Date:

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1 USDA United States ~ Department of _ Agriculture Forest Beaverhead-Deerlodge National Forest 420 Barrett Street Service Dillon, MT File Code: Date: 1570 JUN Erik Fredlund 160 Moose Creek Rd Butte, MT Dear Mr. Fredlund: This letter is in response to your objection to the Butte Highland Mine Haul Road Project on the Beaverhead-Deerlodge National Forest (Forest). The responsible official and I have read your objections and suggested remedies, and reviewed the March 2015 Environmental Assessment (EA), draft Decision Notice and Finding of No Significant Impact (DN), the project file, and the comments submitted on this project. This letter details my responses to your objections based on my review and understanding of the disclosed environmental effects of this project in accordance with 36 CFR 218, Project Level Predecisional Administrative Review Process. The regulations allow for the parties to meet in order to resolve issues raised by objectors. The Forest Service held a conference call on June 2, As objection reviewing officer and Forest Supervisor for the Forest, I participated in the call along with District Ranger Dave Sabo and all objectors. Also on the call were representatives from Butte Silver Bow County, Butte Highlands Joint Venture, Senator Tester's office, and legal representation for the Kelly's. Topics of concern included the 1872 Mining Law, Endangered Species Act, recreation, and social impacts to area residents. You asked for the decision to either not have any ore haul or choose Alternative 2 the western route, for resolution to your objections. We were unable to reach either resolution. Together, the objection resolution meeting and this letter satisfy the requirements of 36 CFR , Resolution of Objections. No further review from any other Forest Service or U.S. Department of Agriculture official of my written response to these objections is available. Overview of the Project The purpose of the Butte Highland Mine Haul Road project is to accommodate ore hauling and mine support activities on Forest Service Roads across National Forest System lands necessary for mining operation on adjacent private lands as proposed by Butte Highland Joint Venture.The Highland Mine is located on private land surrounded by National Forest System lands, approximately 15 miles south of Butte, Montana. Alternative 2 includes road improvements and reconstruction involving less than three acres of land to accommodate ore hauling vehicles traveling to the west toward Interstate 15.Alternative 3 would allow ore hauling to the north to Roosevelt Drive and Highway 2. Caring for the Land and Serving People Printed 011 Recycled Paper ~ '-,

2 Erik Fredlund Objection # Butte Highland Mine Haul Road 2 Response to Issues Based on my review of the project and environmental analysis, I offer the following responses and, where needed, instructions to the Responsible Official to clarify or edit the EA and DN. Issue 1: You are concerned about safety for the general public and especially the residents of the Roosevelt Drive area. You assert increased traffic will result in increased accidents, especially during summer when there are many bicyclists that use this route as well as motorcycles and allterrain vehicles. Response: Forest Service road regulations and policies are intended to ensure and facilitate the successful use, development, and protection of public lands and resources administered by the Forest Service. They are also intended "[t]o manage the Forest transportation system to address user safety and convenience... " (Forest Service Manual 7702). Use of National Forest System roads in support of mineral resource development, such as the alternatives proposed for this project, falls within the scope of these regulations. The analysis in the EA (pp ) examined the potential impacts to public safety on Forest Service roads from traffic associated with minerelated activities for each of the action alternatives, and developed design criteria and mitigation to minimize potential effects. Design criteria and mitigations to provide for public safety within the Roosevelt Drive area are discussed on pages 9 to 13 of the draft DN. These proposed safety measures would be monitored and strictly enforced by Forest Service and other local law enforcement personnel (EA p. 59). The analysis for both action alternatives concluded that although there would be an increase in vehicle encounters, required mitigation measures - including traffic control, improved road condition, and timing of mine-related traffic- would effectively address public safety concerns for either haul route (DN p. 16). public safety on Forest Service roads and developed effective design criteria and mitigation to minimize potential effects. No further discussion or direction to the Responsible Official is necessary. Issue 2: You are concerned about how the mine would affect the value of your property. Response: While you did not raise this issue during a designated public comment period, the interdisciplinary team did respond to a similar comment on the EA (p. 221): "Assessment of potential impacts on individual property values on non-forest Service lands is beyond the scope of the EA. The proposed increase in traffic would not be a long-term change in use of the area." The socioeconomics of the proposal for Butte-Silver Bow County area was analyzed in the MDEQ PElS (pp ) and was considered and summarized in the Forest Service EA (p. 177).The analysis found that the overall impacts of either Alternative 2 or 3 would be beneficial, but the effects would be localized and would not affect the economic climate of the community (EA p. 177). Property values are assessed based on considerations far outside the scope of this analysis such as timing, realty demand, market strength, economic strength of the area and interest rates. There is no Forest Service policy or direction requiring such an analysis.

3 Erik Fredlund Objection # ButteHighlandMineHaulRoad 3 The estimated ore haul life is about five years. There would be a short ramp-up period as mine infrastructure is readied for production before ore hauling would commence, as well as a period associated with mine closure. During these periods, mine personnel and deliveries of materials and supplies associated with mine infrastructure preparation would use Highland Road (north)/roosevelt Drive for access. There is no estimate for how long either of these periods would last; nor has an estimate been provided by the proponent on the number of daily trips during these interim periods. The Forest Service assumed six months would be required for each of these activities, so the transportation analysis assumed a time period of six years for mine traffic associated with the Butte Highlands Joint Venture(BHJV) project (EA p. 46). Improved access to properties along the selected route will remain long after the approximately six years of anticipated mining traffic. Currently, the Highland Road (FSR84) in its entirety is also used by commercial loggers to access timber sale parcels on Forest Service-managed and private lands within the area. There is no evidence to support that project would create a long-term change of use on the routes. As this issue is outside the scope of the project, no further discussion or direction to the Responsible Official is necessary. Issue 3: Youcontend that wider roads and increased traffic creates the potential for more runoff adding to sedimentation in streams, and ask how this will affect stream ecology. Response: The potential for increased mining traffic adding to sedimentation in streams was considered in the EA (pp. 71 to 84). Design features and mitigation measures that would address this issue have been incorporated into the draft Forest Service decision (DN pp. 8-9 and 14).The MDEQ Record of Decision mitigation would require BHJV to replace three culverts and improve sediment control at two culverts along Roosevelt Drive (Figure of the MDEQ FEIS). Implementation of these measures, along with required mitigation by MDEQ, would result in a net sediment reduction in Blacktail, Moose, and Basin Creeks with the use of either haul route, which would improve stream function for aquatic species (DN p. 17). The project would be consistent with Clean Water Act requirements. The haul road improvements associated with Alternatives 2 and 3, as well as the other permitted uses, would meet all applicable water quality laws, regulations, and revised Beaverhead-Deerlodge Forest Plan guidance for Basin Creek and the North Fork of Moose Creek on National Forest System lands. Water quality with Alternative 3 would be substantially improved in Blacktail Creek. Basin Creek is in compliance with Montana A-Closed standards while North Fork Moose Creek meets Montana B-1 standards (EA p. 84). water quality from traffic associated with mine-related activities for each alternative and developed effective design criteria and mitigation to minimize potential effects. No further discussion or direction to the Responsible Official is necessary.

4 Erik Fredlund Objection # Butte Highland Mine Haul Road 4 Issue 4: You are concerned with potential effects to animals and recreationists from noise. Response: The Forest analyzed disturbance effects to all wildlife species for all alternatives, using disturbance/noise as an issue indicator and identified spatial boundaries for all species considering noise/disturbance. It was assumed in the analysis that disturbance from vehicular traffic could be heard for approximately one mile from the proposed routes (EA p. 118). The effects to wildlife species from the alternatives are disclosed in the EA on pp. 121 to 157. Both alternatives were found to be consistent with the wildlife requirements found in the revised Beaverhead-Deerlodge Forest Plan (pp. 128, 134, 140, 142, 143, 147, and 156). The effect to recreational use from increased traffic was considered in the analysis (EA pp ). Of particular concern were noise and visual impacts of the heavy truck use upon the use and enjoyment of the Continental Divide National Scenic Trail (CDNST). While there would be a negative recreational experience due to the noise of the trucks traveling Highland Road during the 16 hour haul periods on weekdays (Monday through Friday), there would be minimal effects to developed and dispersed recreation on weekends and holidays because there would be no ore hauling, minimal mine deliveries, and only employee traffic (EA pp. 67 and 70). If Alternative 2 (west route) is used for ore hauling, mitigation measures in the DN provide for the section of the CDNST trail that is contiguous with the Highland Road to be moved off the road bed within a year following approval of the mining company's plan of operation (DN p. 8). Both action alternatives are consistent with the revised Beaverhead-Deerlodge Forest Plan (EA p. 71). wildlife and recreational use from traffic associated with mine-related activities for each alternative and developed effective design criteria and mitigation to minimize any such effects. No further discussion or direction to the Responsible Official is necessary. Issue 5: You are concerned about increased carbon emissions resulting from haul trucks being worth the gold. Response: You did not raise this concern in prior written comments. Emissions from haul trucks and other mine support vehicles transporting ore and mine-related equipment along Forest Service roads was considered in the analysis (EA pp and ). The potential emissions for both action alternatives are less than the minimum amounts for CEQ guidance for reporting greenhouse gas emissions and therefore not significant (EA pp. 114 and 116). The project is in compliance with Montana DEQ requirements, the Clean Air Act, and the revised Beaverhead-Deerlodge Forest Plan (EA p. 117). The socio-economic impacts of the mine are considered in the Montana DEQ EIS. For these reasons, I find that the Forest's analysis adequately considered the potential impacts from emitting carbon dioxide and other greenhouse gas emissions that could be cumulative to other sources in the area. No further discussion or direction to the Responsible Official is necessary.

5 Erik Fredlund Objection # Butte Highland Mine Haul Road 5 Summary In conclusion, I have reviewed your assertions and find the project is in compliance with applicable laws, regulations, policies, and the Forest Plan. My review constitutes the final administrative determination of the Department of Agriculture; no further review from any other Forest Service or U.S. Department of Agriculture official of my written response to your objection is available [36 CFR (b)(2)]. Sincerely, cc: Ray G Smith Dave Sabo Karl Dekome Kim Smolt Mary Beth Marks Brian Sweatland