New rental rates are now in effect for state mining claims, leasehold locations, prospecting sites, and mining leases in Alaska. The new rental rates became effective on August 30, 2019, and thus are applicable to the rental year that commenced on September 1, 2019.

These increases were made by the State of Alaska Department of Natural Resources (DNR) under Alaska Statute 38.05.211, which requires DNR to adjust the rental rates every 10 years based on the change in the Bureau of Labor Statistics Consumer Price Index (CPI) for Alaska. The last adjustment was completed in 2009.

The new rental rate schedule may be viewed here.

Rent for the rental year commencing on September 1, 2019, must be paid in accordance with the new rates at the DNR office in Anchorage or Fairbanks no later than Monday, December 2, 2019. The regular due date of November 30 falls on a Saturday, so under 11 AAC 88.130(d) the due date is extended “to the next day the office is open to the public.” Note that last year DNR unexpectedly closed its Anchorage office on November 30, and many state computer systems were offline on that date and for several days thereafter, due to the earthquake that struck at 8:29 a.m. that morning. To avoid such unforeseen circumstances affecting either your ability to pay or DNR’s ability to accept payment, we recommend that you make your payment well before the deadline.

Claimants who make a partial payment based on the old rates should receive notice and an opportunity to cure under 11 AAC 86.221(e).

Photo of Joe Perkins Joe Perkins

After more than 11 years as a partner in the firm, Joe Perkins is now senior counsel to the firm. He represents mining companies, oil and gas companies, Native corporations, and financial institutions in connection with mining and oil and gas transactions, properties…

After more than 11 years as a partner in the firm, Joe Perkins is now senior counsel to the firm. He represents mining companies, oil and gas companies, Native corporations, and financial institutions in connection with mining and oil and gas transactions, properties, and projects. He has worked in some capacity on every major natural resources project in Alaska, on many major transactions, and hundreds of smaller transactions. With a background in geology and more than four decades of experience as a lawyer, Joe seeks creative, cost-effective solutions for his clients that allow transactions to close and projects to move forward.

Click here for Joe Perkins’ full bio.

Photo of Ramona Monroe Ramona Monroe

Ramona Monroe focuses her practice on federal, state and local permitting processes particularly for energy projects. Her experience includes hydroelectric facility relicensing and decommissioning, aggregate mining and processing, and oil and gas development.

Click here for Ramona Monroe’s full bio.