47-704 — LEASES OF MINERAL RIGHTS IN STATE LANDS


                                  TITLE  47
                               MINES AND MINING
                                  CHAPTER 7
                        MINERAL RIGHTS IN STATE LANDS
    47-704.  LEASES OF MINERAL RIGHTS IN STATE LANDS. (1) The state board of
land commissioners may lease in tracts not exceeding six hundred forty (640)
acres for prospecting and mining purposes, and mineral deposits, except for
leases for oil, gas and other hydrocarbons, that may be contained in any
portion of the unsold lands of the state or that may be contained in state
lands sold with a reservation of mineral deposits or belong to the state of
Idaho by reason of being situate between the high water marks of navigable
rivers of the state, for such annual rental, not less than one dollar ($1.00)
per acre per annum, and for such royalty upon the product as the board may
deem fair and in the interest of the state, except in the case of state oil
and gas leases wherein the royalty to the state shall be not less than twelve
and one-half per cent (12 1/2%), and provided that the minimum royalty shall
not be less than two and one-half per cent (2 1/2%). The rental paid for any
year shall be deducted from the royalties as they accrue for that year.
    (2)  All mineral leases, except leases for oil, gas, and other
hydrocarbons, and geothermal resources of state school lands and for lands
belonging to the state of Idaho, other than school lands, shall be for a term
of ten (10) years, and so long thereafter as precious metals, minerals,
salable minerals, and ores, or any of them, are produced in paying quantities,
or as much longer thereafter as the lessee in good faith shall conduct mining
operations thereon, together with the right to use and occupy so much of the
surface of said land as may be required for all purposes reasonably incident
to the prospecting for, exploration for, development of, production, refining,
processing and marketing of said precious metals, minerals, salable minerals,
and ores produced from said lands, including the right to construct and
maintain thereon all works, buildings, plants, waterways, roads, communication
lines, reservoirs, tanks or other structures necessary to the full enjoyment
thereon for the purpose of the lease.
    (3)  Provided, that the leaseholder of any mineral lease except leases for
oil, gas, and other hydrocarbons, and geothermal resources heretofore or
hereafter issued, upon the expiration of the initial lease and all renewals
thereof, shall be given the preferential right to renew such lease or renewal
leases under such readjustment of the terms and conditions as the board may
determine to be necessary in the interest of the state.
    (4)  All applications received, whether by mail or by personal delivery
over the counter, shall be immediately stamped with the date and hour of
filing.  Simultaneous filings result when two (2) or more applications are
received for the same lands during the same hour of the same day. Simultaneous
filings shall be resolved by competitive bidding. This provision does not
apply to applications received from an applicant having a preferential right
under subsection (5) of this section.  In the absence of a simultaneous
filing, and except for lands and resources which may be designated for
competitive bidding, right of priority to a mineral lease shall be determined
by the first qualified applicant who shall file a completed, signed
application on the form of the department of lands or exact copy thereof
between the hours of eight and five during any business day, together with the
application fee set by the board.
    (5)  Applications for mineral leases shall be made under oath in such form
as the board may prescribe, and the applicant shall describe the land, specify
the particular mineral or minerals, and give such additional information as
may be required by the rules and regulations of the board. If the applicant
for a lease has previously filed a certificate of location, as provided in
section 47-703, Idaho Code, upon any part of the land desired to be leased,
such application shall be given a preferential right to the land covered by
his location; that no lands upon which a mineral location has been duly made
and recorded as provided in section 47-703, Idaho Code, shall be leased for
mining purposes during the two (2) year periods to any applicant except the
person having made such location; provided, however, that no locations may be
made for oil and gas deposits or lands, or geothermal resources.
    (6)  Any motorized exploration  as defined in section 47-703, Idaho Code,
on the lands between the ordinary high water marks of any navigable river of
the state shall be prohibited except upon written approval by the board and
submission of a bond to the department in the form and amount set by the
board; and if applicable, an operator shall also comply with the dredge and
placer mining act, chapter 13, title 47, Idaho Code; provided, that in all
instances an operator shall comply with the stream protection act, and all
other applicable laws and rules of the state.
    (7)  Upon receipt by the state board of land commissioners of an
application to lease any lands which may belong to the state of Idaho by
reason of being situate between the high water marks of navigable rivers of
the state, the board shall cause at the expense of the applicant, a notice of
such application to be published once a week for two (2) issues in a newspaper
of general circulation in the county or counties in which said lands described
in said application are situated.  The board or its authorized representative
shall hold a public hearing on the application, if requested in writing no
later than thirty (30) days after the last published notice by ten (10)
persons whose lawful rights to use the waters applied for may be injured
thereby, or by an association presenting a petition with signatures of not
less than ten (10) such aggrieved parties; provided that the board may order a
public hearing in the first instance.  The board shall consider fully all
written and oral submissions respecting the application.
    (8)  Provided, however, that the state board of land commissioners shall
send notice of any such application for leasing the bed of navigable rivers to
the director of the department of water resources, who, if the director thinks
advisable, shall at the expense of the applicant make an investigation. If
said investigation shows that the rights of interested parties may be
jeopardized by the issuance of the proposed lease, the director shall give
notice of such applications to parties affected thereby. If it shall appear to
the state board of land commissioners that the leasing of any lands between
the high water marks of any navigable river will be injurious to the rights of
any person or persons having the right to the use of the waters thereof for
irrigation, power, or any other lawful purpose, the state board of land
commissioners shall deny such application.