Does annexation subvert local controls over frac sand mining?

As community involvement in the expansion of frac sand mining has become more organized and influential, it appears that industry has embraced annexation as a tactic to advance controversial frac sand projects.

Annexation law in Wisconsin allows cities and villages to increase their size through acquisition of contiguous land, a process often initiated at the request of landowners. Cities and villages sometimes view annexation as an economic development strategy that creates an increased tax base. Once a city or village annexes land, it is required to extend public services to its newly expanded jurisdiction.

Some frac sand operations have recently benefited from annexation, pursued to achieve a "friendlier" regulatory environment or to circumvent local opposition to controversial projects. Whether by intention or not, this tactic appears to subvert local democratic control over the decision-making process involving a contentious and rapidly-expanding industry.

Use of Annexation to Force Industry-friendly Regulations

In Trempealeau County, the frac sand industry has used annexation to secure a more lenient regulatory environment. As Tony Kennedy reports, for example, Trempealeau County issued an operating permit in 2011 for a mine in Preston Township opened by Winn Bay Sands LP of Saskatchewan. The permit limited hours of operation to weekdays, required air monitoring, and mandated periodic inspections of nearby homes. But in January 2012 the mine was sold for $200 million to Pennsylvania-based Preferred Sands. Founded by Michael O'Neill, a former Philadelphia banker and real estate executive, Preferred Sands then sought to have the property annexed to the City of Blair, a small municipality surrounded by Preston Township.

Vista Sand withdraws rail spur proposal in Menomonie

On Wednesday, September 19, Vista Sand withdrew its application to rezone property in the Town of Menomonie, ending its effort to build a transload facility for loading frac sand for shipment along the UP rail line. The sudden turn of events came as a surprise.

A week earlier the Planning, Resources and Development (PRD) Committee had recommended that the county deny Vista's request for the rezone (see Dunn County News).

Frac Sand and its Effect on Local Democracy

Local townships have recently been overwhelmed with proposals by frac sand mining companies, and many of us have scrambled to educate ourselves about the possible impacts of this rapidly growing industry. The impacts, however, go beyond sand.

For decades, social scientists have documented the efforts of mining companies to subvert local democratic control over land use decisions. Such trends have been observed in many places around the world where mining takes place and community members ask questions. When large corporations seek to extract natural resources, they often view the concerns of community members as a barrier to future profits.