California Budget: 'Insane' Legislature Tries to Kill Gold Mining Industry, Says Gold Pan California

Congressman McClintock Slams Legislature, Says Indefensible to Kill Solvent Industry

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Jun 22, 2011, 04:59 ET

CONCORD, Calif., June 22, 2011 /PRNewswire/ -- Gold Pan California (www.goldpancalifornia.com), a gold mining supply shop and headquarters for California suction dredge miners, recently got a boost from Washington DC. Congressman Tom McClintock (R-CA) is mad as hell and wants Governor Brown's assistance to squash 2 paragraphs of impending legislation which, if enacted, will kill the California suction gold mining industry.

In a terse written communication yesterday to Governor Brown, McClintock stated "Destroying 4,000 jobs when California is suffering from 11.9 percent unemployment is simply insane."

McClintock is referring to a bogus $1.8 million "budget deficit" which was supplied by anti-mining foes in order to provide a "cut" to the budget of the Department of Fish and Game, who oversees the suction dredge gold mining program. Although erroneous, passage of the language will close the industry forever in California.

Adding to the insanity, the erroneous $1.8 million "budget cut" will increase California's budget deficit by $23 million. "Depriving the state from yet another source of revenue while breaking the back of its economy with higher taxes is indefensible," states McClintock.

While the miners and McClintock are trying to save the California industry, anti-mining foes have submitted grant requests for $9 million to lease industrial-sized suction dredges from a Canadian company to suck up sediment in California reservoirs. "The utter hypocrisy is staggering," says Mike Dunn, owner of Gold Pan California. "Keene and Proline are the two largest dredge manufacturers in America, and both businesses are located in California," says Dunn.

"This Legislature is so bamboozled by a handful of Indian tribes and environmental extremists," says Dunn, "that they think it's a good idea to kill California's entirely solvent gold mining industry, erase 4,000 direct jobs plus 15,000 inter-related jobs, and increase the State deficit by $23 million, meanwhile, send our tax dollars to a Canadian manufacturer for equipment used in California."

Congressman McClintock summed up the legislation attempt precisely; this is insane.

On a bright note, if the Governor removes this harmful legislation, the miners' contribution of $23 million can now be added to the Revenue side of the budget, since it was entirely omitted in the budget which was vetoed last week.

About Gold Pan California:

The company was founded in 2008 by Mike Dunn, an international gold mining specialist who has been suction gold dredge mining for 33 years.

For more information visit http://www.goldpancalifornia.com

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SOURCE Gold Pan California