Update of Mineral Material Prices

United States Department of the Interior
BUREAU OF LAND MANAGEMENT
Wyoming State Office
P.O. Box 1828
IN REPLY REFER TO: Cheyenne, Wyoming 82009-1828
3600 (922Heffern) P
May 9, 2008
EMS TRANSMISSION May 15, 2008
Instruction Memorandum No. WY-2008-038
Expires: 09/30/2009
To: Field Managers
From: Acting State Director
Subject: Update of Mineral Material Prices
This memo transmits updated prices to charge for mineral material sales in Wyoming, effective
immediately. The last statewide appraisal for mineral materials was completed in November of
2004. Our Wyoming BLM policy has been to conduct a new statewide appraisal every 2 years.
The guidelines in the H-3630-1 Mineral Material Appraisal Handbook also suggest limiting use
of comparable sales to those 2 years old or less. The current appraisal is a year and a half out of
date. We have attempted to find qualified mineral appraisers within BLM to conduct a new
appraisal, but the few appraisers are unavailable due to other work commitments. Therefore, we
will have to contract an appraisal. Selection of a contractor will take a few months and our
limited budget may require that appraisals for different materials be conducted in stages as
money becomes available for each fiscal year. We do not expect those appraisals to be finalized
before the end of FY 2008.
Our Washington office advises us that in cases where appraisals are not able to be completed, we
should use the Producer Price Index (PPI) for that particular commodity. The national PPI for
construction sand, gravel, and crushed stone has increased by 31.3 percent from November 2004
to March 2008 (the most current date available online). The PPI for crushed limestone has
increased by 30.2 percent and the PPI for dimension stone has increased by 9.3 percent during
that same time period. Therefore, we are raising the statewide mineral material prices by those
amounts, for the commodities listed in Attachment 1. Please use these updated appraisal prices
for future mineral material sales. These prices will remain in effect until the new appraisals are
completed.
If you have any questions, please contact Ed Heffern in the Branch of Solid Minerals, Wyoming
State Office, at 307-775-6259.
Signed by: Authenticated by:
Jane D. Darnell Pamela D. Hernandez
Acting State Director Wyoming Central Files
1 Attachment:
1 - Mineral Material Royalty Rate Schedule by County – May 2008 (2 p.)