In a continuation of setbacks to Echo Bay’s efforts to re-open the AJ Mine, the EPA rejected its plan to build a dam in the upper Sheep Creek basin for tailings discharge, water quality treatment, and possible use for hydropower. The federal agency ruled that that water discharging from the mine into the dam had to meet stringent discharge quality criteria rather than discharge after treatment from the dam out into the channel. Echo Bay offered to replace a proposed cyanide treatment to recover gold with an alternative plan to simply concentrate valuable minerals and then ship concentrates to third-party world market buyers for their smelting and metal recoveries. That left the question of how to dispose of the finely ground waste tailings, which Echo Bay then proposed to dispose of in deep water off Taku Inlet in a slurry pipeline. EPA had yet to further review those alternate plans at year’s end.
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Echo Bay also ended its 50 percent partnership with Coeur Alaska Inc. for developing the Kensington gold mine venture, while Coeur forged ahead to sign an agreement with EPA and the state to coordinate permitting work and hammer out agreements with environmental groups.
Juneau’s tourist season again recorded a new high of 380,500 cruise ship visitors while the Juneau airport statistics showed a record 390,000 commercial passengers (not all tourists, of course). This was despite an accident when M/V Star Princess (805 ft) grounded June 23 on Poundstone Rock in Lynn Canal without casualties, resulting in the cancellation of six more cruises in its planned schedule. Other cruise lines’ plans for the future also reflected uncertainty when Regency Cruises shut down in the fall after a shipboard fire in mid-July incapacitated one of its vessels in Prince William Sound. Other cruise companies merged and were expected to take up the slack next season. For other maritime travelers, threats of union strikes that would shut down the state ferry system during the height of the summer tourist season caused uncertainty in booking their travels. One union did vote to strike in August, but mediation efforts headed it off at the last moment.
Goldbelt Inc., Juneau’s urban Native corporation, charged ahead to take advantage of the increasing tourism economy in several directions. After getting a lease from the city last year for a waterfront location, it began construction of an aerial tramway to whisk visitors half way up Mt. Roberts to its visitor center with spectacular views of the city and channel. The $15 million project was scheduled to open the next spring. The corporation also bought into Sitka-based Allen Marine tours and a family travel service in November, and was negotiating at the end of the year to purchase and operate the concessions at the Glacier Bay tourist lodge.
The area’s population continued to grow, fed by new jobs associated with efforts to reopen the Greens Creek Mine, development of new retail operations, growth in the burgeoning tourist industry, as well as an increased birth rate and an influx of retirees. Food businesses continued to invest in the area as Anchorage grocery retailer Gottstein-Carrs opened its new grocery store in March out in the valley at Vintage Park, In October downtown Foodland Shopping Center underwent revitalization under new management, and a few more fast-food outlets opened to serve fried chicken and pizza in December. However, the trend of older downtown businesses losing business to newer developments was manifested in the closing of the Imperial Café and Lyles Hardware on Front Street in December. Lyles, however, would follow the trend of other old time businesses that closed their downtown storefronts to move to their Valley locations.
With the specter of the capital move removed and new growth in the economy and population, the building industry responded with vigor, cranking out 460 new housing units, compared to 177 in 1994, 145 in 1993, and a paltry 62 in 1992. Despite this building boom, the overall vacancy rate barely nudged upward – 1.04 percent from 0.84 percent in 1994. The Alaska Committee, a group formed earlier to opposed capital move attempts, made housing a top priority to demonstrate Juneau’s capacity as capital. They devised a speedy alternative to the local building permit process, cutting it from a 5–6-month review to one-day service. The Assembly promised to take it up this coming year.
Juneau athletes claimed front stage place in several different disciplines not usually noticed on the sports pages and made the state, nation, and even the world sit up and take notice. The JDHS Drill Team won three first places in national competition held in Los Angeles; the first time any team had won the Triple Crown, then traveled to Nagoya, Japan later that summer to take another three world championship medals in dance, military drill and prop drill competitions. Juneau Jumpers leaped into fame, taking 8 gold medals at the international Jump-Roping Competition in Santa Clara, California, followed by 8 gold medals in Junior Olympics in Des Moines, Iowa, and 2 golds in the World Championships later that summer. The JDHS women’s cross-country team ran into first place at the state championships in Palmer in September, and a Juneau women’s varsity swimmer stroked her way to capture two freestyle events in state swimming championships.
And Juneau lost a highly regarded religious leader, The Most Reverend Michael Hughes Kenny, Bishop of the Diocese of Juneau. Kenny died on a trip to Jordan in February and was entombed in the Shrine of St. Therese, following a service attended by over 1,600. He was well-known for his various community activities and as a genuine peacemaker and friend to all.
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