Alanco (ALAN) 10-Q 15 May 14 2014 Q3 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	9 Months Ended
	Mar. 31, 2014	7-May-14
Document And Entity Information	'	'
Entity Registrant Name	'ALANCO TECHNOLOGIES INC	'
Entity Central Index Key	'0000098618	'
Document Type	'10-Q	'
Document Period End Date	31-Mar-14	'
Amendment Flag	'false	'
Current Fiscal Year End Date	'--06-30	'
Is Entity a Well-known Seasoned Issuer?	'No	'
Is Entity a Voluntary Filer?	'No	'
Is Entity's Reporting Status Current?	'Yes	'
Entity Filer Category	'Smaller Reporting Company	'
Entity Common Stock, Shares Outstanding	'	4,962,500
Document Fiscal Period Focus	'Q3	'
Document Fiscal Year Focus	'2014	'

CONSOLIDATED_BALANCE_SHEETS

CONSOLIDATED BALANCE SHEETS (USD $)	Mar. 31, 2014	Jun. 30, 2013
CURRENT ASSETS	'	'
Cash and cash equivalents	$1,275,500	$696,400
Accounts receivable - trade	53,300	9,600
Other receivables	5,400	32,800
Notes receivable, current	434,000	375,000
Marketable securities	650,800	1,562,600
Prepaid expenses and other current assets	93,500	121,000
Total current assets	2,512,500	2,797,400
LAND, PROPERTY AND EQUIPMENT, NET	4,296,500	4,339,900
OTHER ASSETS	'	'
Trust account-Asset retirement obligation	44,000	30,000
Prepaid royalties, long-term	50,000	50,000
TOTAL ASSETS	6,903,000	7,217,300
CURRENT LIABILITIES	'	'
Accounts payable and accrued expenses	151,700	220,900
Contingent payments, current	50,000	50,000
Total current liabilities	201,700	270,900
LONG-TERM LIABILITIES	'	'
Contingent payments, long-term	1,129,800	1,104,600
Asset retirement obligation, long-term	417,400	417,400
TOTAL LIABILITIES	1,748,900	1,792,900
SHAREHOLDERS' EQUITY	'	'
Preferred Stock	'	'
Common Stock Class A - 75,000,000 no par shares authorized, 4,962,500 and 4,989,300 shares issued and outstanding at March 31, 2014 and June 30, 2013, respectively	109,106,800	109,121,200
Common Stock Class B - 25,000,000 no par shares authorized and none issued and outstanding	'	'
Accumulated Other Comprehensive Income	160,100	549,900
Accumulated Deficit	-104,112,800	-104,246,700
Total shareholders' equity	5,154,100	5,424,400
TOTAL LIABILITIES & SHAREHOLDERS' EQUITY	$6,903,000	$7,217,300

CONSOLIDATED_BALANCE_SHEETS_Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical)	Mar. 31, 2014	Jun. 30, 2013
Consolidated Balance Sheets	'	'
Class A Common Stock, Shares Authorized	75,000,000	75,000,000
Class A Common Stock, Shares Issued	4,962,500	4,989,300
Class A Common Stock, Shares Outstanding	4,962,500	4,989,300
Class B Common Stock, Shares Authorized	25,000,000	25,000,000
Class B Common Stock, Shares Issued	0	0
Class B Common Stock, Shares Outstanding	0	0

CONSOLIDATED_STATEMENTS_OF_OPE

CONSOLIDATED STATEMENTS OF OPERATIONS (USD $)	3 Months Ended		9 Months Ended
	Mar. 31, 2014	Mar. 31, 2013	Mar. 31, 2014	Mar. 31, 2013
Consolidated Statements Of Operations	'	'	'	'
NET REVENUES	$180,200	$92,100	$264,600	$237,400
Cost of revenues	137,400	131,400	292,900	289,900
GROSS PROFIT (LOSS)	42,800	-39,300	-28,300	-52,500
SELLING, GENERAL AND ADMINISTRATIVE EXPENSES	'	'	'	'
Corporate expenses	82,000	152,200	237,500	482,500
Alanco Energy Services	193,800	178,500	612,500	446,200
Amortization of stock-based compensation	'	42,700	'	111,000
Selling general and administrative expenses	275,800	373,400	850,000	1,039,700
OPERATING LOSS	-233,000	-412,700	-878,300	-1,092,200
OTHER INCOME & EXPENSES	'	'	'	'
Interest income, net	11,200	5,100	27,300	17,000
Gain on sale of Symbius investment	'	'	'	86,800
Gain on sale of marketable securities, net	288,200	260,500	896,900	751,500
Other income, net	86,700	200	88,000	300
NET INCOME (LOSS)	$153,100	($146,900)	$133,900	($236,600)
NET INCOME (LOSS) PER SHARE - BASIC AND DILUTED	'	'	'	'
Net income (loss) attributable to common shareholders	$0.03	($0.03)	$0.03	($0.05)
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING	4,932,500	5,010,300	4,938,700	5,010,300

CONSOLIDATED_STATEMENTS_OF_COM

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (USD $)	3 Months Ended		9 Months Ended
	Mar. 31, 2014	Mar. 31, 2013	Mar. 31, 2014	Mar. 31, 2013
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)	'	'	'	'
NET INCOME (LOSS)	$153,100	($146,900)	$133,900	($236,600)
Reclassification adjustment for gain included in net income (loss)	-288,200	-260,500	-896,900	-751,500
Net unrealized gain on marketable securities	-41,500	353,300	-19,900	678,600
Net unrealized gains on marketable securities sold during the period	125,500	209,800	527,000	489,800
Comprehensive Income (Loss)	($51,100)	$155,700	($255,900)	$180,300

CONDENSED_CONSOLIDATED_STATEME

CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDERS' EQUITY (USD $)	Common Stock	Treasury Stock	ACCUMULATED OTHER COMPREHENSIVE INCOME	Retained Earnings / Accumulated Deficit	Total
Beginning balance, Amount at Jun. 30, 2013	$109,121,200	'	$549,900	($104,246,700)	$5,424,400
Beginning balance, Shares at Jun. 30, 2013	4,989,300	'	'	'	'
Shares of Alanco common stock repurchased, Amount	'	26,100	'	'	26,100
Shares of Alanco common stock repurchased, Shares	'	56,800	'	'	'
Treasury shares retired, Amount	-26,100	-26,100	'	'	-52,200
Treasury shares retired, Shares	-56,800	-56,800	'	'	'
Shares issued for services, Amount	11,700	'	'	'	11,700
Shares issued for services, Shares	30,000	'	'	'	'
Unrealized loss on marketable securities, net of tax	'	'	-389,800	'	-389,800
NET INCOME (LOSS)	'	'	'	133,900	133,900
Ending balance, Amount at Mar. 31, 2014	$109,106,800	'	$160,100	($104,112,800)	$5,154,100
Ending balance, Shares at Mar. 31, 2014	4,962,500	'	'	'	'

CONSOLIDATED_STATEMENTS_OF_CAS

CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)	9 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
CASH FLOWS FROM OPERATING ACTIVITIES	'	'
NET INCOME (LOSS)	$133,900	($236,600)
Adjustments to reconcile net income (loss) to net cash used in operating activities:	'	'
Depreciation	129,200	103,200
Accretion of fair value - contingent payments	25,200	21,100
Gain on sale of Symbius investment	'	-86,800
Gain on sale of StarTrak, excluding shares for services valued at $7,800	-129,500	'
Gain on sale of marketable securities	-896,900	-751,500
Stock issued for services	11,700	'
Note receivable issued for ACC amendment and accounting fees	-34,000	'
Stock-based compensation	'	111,000
Changes in operating assets and liabilities:	'	'
Accounts receivable	-43,700	-56,500
Other receivables	27,400	-24,400
Prepaid expenses and other current assets	27,500	-41,500
Trust account - asset retirement obligation	-14,000	-25,300
Accounts payable and accrued expenses	85,900	-363,000
Net cash used in operating activities	-677,300	-1,350,300
CASH FLOWS FROM INVESTING ACTIVITIES	'	'
Issuance of note receivable to American Citizenship Center, LLC	-25,000	-50,000
Proceeds from repayment of Symbius and ACC note	'	175,000
Purchase of land, property, and equipment	-85,800	-934,500
Proceeds from sale of marketable securities	2,037,100	2,927,900
Proceeds from sale of Symbius investment, net of legal expenses	'	248,900
Payments pursuant to StarTrak sale	-643,800	'
Net cash provided by investing activities	1,282,500	2,367,300
CASH FLOWS FROM FINANCING ACTIVITIES	'	'
Purchase of treasury shares	-26,100	'
Repayment of debt	'	-200,000
Net cash used in financing activities	-26,100	-200,000
NET INCREASE IN CASH	579,100	817,000
CASH AND CASH EQUIVALENTS, beginning of period	696,400	284,300
CASH AND CASH EQUIVALENTS, end of period	1,275,500	1,101,300
Non-cash investing & financing activities:	'	'
Unrealized gain (loss) on marketable securities	($389,800)	$416,900

CONSOLIDATED_STATEMENTS_OF_CAS1

CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) (USD $)	9 Months Ended
	Mar. 31, 2014
Consolidated Statements Of Cash Flows	'
Shares for services value	$7,800

1_Basis_of_Presentation_and_Re

1. Basis of Presentation and Recent Accounting Policies and Pronouncements	9 Months Ended
	Mar. 31, 2014
Organization, Consolidation and Presentation of Financial Statements [Abstract]	'
Basis of Presentation and Recent Accounting Policies and Pronouncements	'
	Recent Business Development
	Alanco Technologies, Inc. – During the current quarter, the Company reported the March 8, 2014 death of Robert Kauffman, Alanco President, CEO and Chairman of the Board. Mr. Kauffman had been President, CEO and Chairman of the Board of Alanco since August 1998 and will be missed both as a leader and a friend.
	On March 14, 2014, the Company’s Board of Directors appointed John A. Carlson to serve as President and Chief Executive Officer. Mr. Carlson joined the Company in September 1998 holding the positions of Chief Financial Officer and Executive Vice President and was elected to the Board of Directors in 1999. The Board also appointed Danielle Haney as Chief Financial Officer. Ms. Haney joined the Company in September 2001 and has most recently served as Corporate Controller and Corporate Secretary. Ms. Haney will continue to serve as Corporate Secretary. The Board has delayed action regarding the nomination or naming of a successor director.
	Background information on the creation of Alanco Energy Services, Inc.
	Alanco Energy Services, Inc. – In April 2012, Alanco Energy Services, Inc. (“AES”), a wholly-owned subsidiary of the Company, executed an agreement with TC Operating, LLC (“TCO”) of Grand Junction, CO to transfer a land lease for approximately 24 acres near Grand Junction, CO (“Deer Creek site”) and all related assets to AES with the intent for AES to construct facilities for the treatment and disposal of large quantities of produced water generated by oil and natural gas producers in Western Colorado. The site was chosen due to its unique ability to meet stringent government requirements for disposal of the high saline water produced as a by-product of oil and gas production, and termed “produced water”. The agreement included the transfer of all related tangible and intangible assets as well as Federal, State and County permits (issued or in process) required to construct and operate the facilities. Subsequent to the TCO agreement, AES renegotiated an amended lease that became effective on May 1, 2012. The terms of the amended lease requires minimum monthly lease payments plus additional rent based upon quantities of produced water received at the site. In addition, under the TCO agreement, TCO can earn additional payments based upon a percentage of the net cumulative EBITDA (net of all related AES capital investments) over a period of approximately 10 years (contingent purchase price obligation), starting January 1, 2014. Under certain circumstances, the acreage covered by the lease may be expanded by up to 50 acres to allow for additional expansion at the site. See Note H – Contingent Payments for additional discussion of the earn-out.
	AES also purchased a 160 acre site near Grand Junction, CO (“Indian Mesa site”), for additional expansion of the disposal facility. As consideration for the land purchase, AES paid $500,000 at the April 13, 2012 closing and assumed a non-interest bearing, secured, $200,000 note which was paid on its November 15, 2012 due date. AES has also agreed to contingent quarterly earn-out payments to Deer Creek Disposal, previous owner of Indian Mesa, up to a maximum total of $800,000, generally determined as 10% of quarterly revenues in excess of operating expenses, not to exceed $200,000 for any calendar quarter (contingent land payment). See Note H – Contingent Payments for additional discussion of the contingent land payment.
	Related to the treatment and disposal facilities, in fiscal year 2012 AES entered into a management agreement with TCO to manage the project for a monthly management fee of $10,000 initially and $20,000 after final permits for the Deer Creek operation are obtained. The management agreement expired in January 2013 and is continuing on a month to month basis. During the nine months ended March 31, 2014, the Company paid TCO $161,900 under the management agreement. In addition, Tom Pool, Manager of TCO, was issued 10,000 shares of Alanco Common Stock in March 2014 valued at $3,900 and TCO earned an additional variable fee of approximately $4,000 for March 2014 revenues which was paid in April 2014. Refer to the Company’s Form 10-K for the fiscal year ended June 30, 2013 for additional discussion about the TCO management agreement.
	Current Status of Deer Creek facility
	The Deer Creek produced water disposal facility, located near Grand Junction, CO, became operational in August 2012 with annual evaporative capacity of approximately 300,000 barrels, providing Piceance Basin producers with significant transportation cost savings compared to alternative water disposal sites. In November 2013, the facility received approval from the Mesa County Board of Commissioners allowing 24 hours a day, seven days per week operations. The facility had previously been restricted to daylight hours Monday through Saturday.
	Current status of Indian Mesa facility
	The permitting process for the Indian Mesa facility, located approximately 4 miles North West of the Deer Creek site, has been in process for a number of years and in December 2013 the Company announced the Mesa Colorado County Board of Commissioners unanimously approved a proposal for Alanco Energy Services, Inc. to construct and operate on its 160 acre Indian Mesa site an 80 acre, 3 million cubic yard capacity, landfill for disposal of solid oil and gas (O&G) waste, such as drill cuttings, tank bottoms, sock filters, etc. The landfill approval also allows for disposal of Naturally-Occurring Radioactive Material (NORM) contaminated O&G wastes, including both solids and produced water. This new County landfill approval is in the form of an amendment to AES’s initial Indian Mesa permit issued in 2010 approving produced water disposal utilizing evaporations ponds.
	AES expects within the next few weeks, final construction approval from the Colorado Department of Public Health and Environment (CDPHE) for Indian Mesa’s produced water disposal ponds, which will consist of 12 ponds on the north 80 acres of the 160 acre site with an annual evaporative capacity in excess of 1 million barrels of produced water. Complete build-out of the Indian Mesa facility, including both landfill and evaporative ponds, would result in a unique Western Colorado “one stop shop” for all O&G waste products, including NORM contaminated waste streams.
	Basis of Presentation
	The unaudited condensed consolidated financial statements presented herein have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information and in accordance with the instructions to Form 10-Q. Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) have been condensed or omitted. In our opinion, the accompanying condensed consolidated financial statements include all adjustments necessary for a fair presentation of such condensed consolidated financial statements. Such necessary adjustments consist of normal recurring items and the elimination of all significant intercompany balances and transactions.
	These interim condensed consolidated financial statements should be read in conjunction with the Company’s June 30, 2013 Annual Report filed on Form 10-K. Interim results are not necessarily indicative of results for a full year.
	The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from these estimates.
	Fair Value of Assets and Liabilities – The estimated fair values for assets and liabilities are determined at discrete points in time based on relevant information. The Accounting Standards Codification (“ASC”) prioritizes inputs used in measuring fair value into a hierarchy of three levels: Level 1 – unadjusted quoted prices for identical assets or liabilities traded in active markets, Level 2 – observable inputs other than quoted prices included within Level 1 such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the asset or liability; and Level 3 – unobservable inputs in which little or no market activity exists that are significant to the fair value of the assets or liabilities, therefore requiring an entity to develop its own assumptions that market participants would use in pricing. These estimates involve uncertainties and cannot be determined with precision. The carrying amounts of receivables, prepaid expenses, accounts payable, and accrued liabilities approximate fair value given their short-term nature, which represent Level 3 input levels.
	The following are the classes of assets and liabilities measured at fair value on a recurring basis at March 31, 2014, using quoted prices in active markets for identical assets (Level 1); significant other observable inputs (Level 2); and significant unobservable inputs (Level 3):
		Level 1:
		Quoted Prices		Level 2:
		in active		Significant		Level 3:		Total
		Markets		Other		Significant		at
		for Identical		Observable		Unobservable		March 31,
		Assets		Inputs		Inputs		2014
	Marketable Securities	$	650,800	$	-	$	-	$	650,800
	Asset Retirement Obligation		-		-		417,400		417,400
	Contigent Land Payment		-		-		655,500		655,500
	Contingent Purchase Price		-		-		524,300		524,300
		$	650,800	$	-	$	1,597,200	$	2,248,000
	Fair Value of Marketable Securities– The estimated fair values of Marketable Securities are determined at discrete points in time based on relevant market information. The Marketable Securities are comprised entirely of ORBCOMM Inc. (“ORBCOMM”) common shares (NASDAQ:ORBC) registered under a currently effective ORBCOMM Form S-3 registration statement. Under the terms of the Agreement, the Company is limited to selling up to 279,600 shares per month. Additionally, 166,611 shares of the ORBCOMM stock were previously held in a Product Warranty Escrow account. These shares were released on February 24, 2014 pursuant to a settlement agreement as discussed further in Note J. These sale restrictions are why the fair value measurement of Marketable Securities, prior to February 24, 2014, was based on quoted prices for similar assets in active markets that are directly observable and thus represented a Level 2 fair value measurement. However, management did not believe the restriction would interfere with any plans to market their stock holdings. As such, the trading price was used as fair value with no further adjustment. As of February 24, 2014, these sales restrictions no longer existed. As such, the fair value measurement after February 24, 2014 is based on unadjusted quoted prices for identical assets in active markets and thus represents a Level 1 fair value measurement. There was no change to the fair value of the shares held prior to February 24, 2014 since the trading price previously used was also fair value with no further adjustment. The remaining shares will be revalued at the end of each reporting period with per share market value fluctuations reported as Comprehensive Income (Loss) for the period.
	Asset Retirement Obligation – The Deer Creek asset retirement obligation is the estimated cost to close the Deer Creek facility under terms of the lease, meeting environmental and State of Colorado regulatory requirements. The estimate is determined at discrete points in time based upon significant unobservable inputs in which little or no market activity exists that is significant to the fair value of the liability, therefore requiring the Company to develop its own assumptions. Management’s estimate of the asset retirement obligation is based upon a cost estimate developed by a consultant knowledgeable of government closure requirements and costs incurred at similar water disposal facility operations. The process used was to identify each activity in the closure process, obtaining vendor estimated costs, in current dollars, to perform the closure activity and accumulating the various vendor estimates to determine the asset retirement obligation. A present value discount has not been taken as the estimated closure costs, excluding regulatory changes and inflation adjustments, are anticipated to remain fairly consistent over the operational life of the facility. The lack of an active market to validate the estimated asset retirement obligation results in the fair value of the asset retirement obligation to be a Level 3 fair value measurement. ASC Topic 410-20: Asset Retirement Obligations requires the Company to review the asset retirement obligation on a recurring basis and record changes in the period incurred.
	Contingent Payments – The contingent land payment and contingent purchase price liabilities are also determined at discrete points in time based upon unobservable inputs in which little or no market activity exists that is significant to the fair value of the liability, therefore requiring the Company to develop its own assumptions. In calculating the estimate of fair value for both of the contingent payments, management completed an estimate of the present value of each identified contingent liability based upon projected income, cash flows and capital expenditures for the Deer Creek facility developed under plans currently approved by the Company’s board of directors. Different assumptions relative to the expansion or alternative uses of the Deer Creek and Indian Mesa facilities could result in significantly different valuations. The projected payments have been discounted at a rate of 3% per annum to determine net present value. The lack of an active market to validate the estimated contingent land and purchase price liabilities results in the fair value of the contingent land and purchase price liabilities to be a Level 3 fair value measurement. ASC Topic 820: Fair Value Measurement requires the Company to review the contingent land and purchase price liabilities on a recurring basis and record changes in the period incurred.
	Recent Accounting Pronouncements
	In July 2013, the FASB issued guidance on the presentation of unrecognized tax benefits when a net operating loss carry forward, a similar tax loss, or a tax credit carry forward exits at the reporting date. The guidance is effective for fiscal and interim periods within those years, beginning after December 15, 2013 and early adoption is permitted. The Company has adopted the guidance, which had no material impact on its financial position and results of operations.
	In March 2014, the FASB issued technical corrections and improvements related to glossary terms. The ongoing project will facilitate clarifications and improvements to glossary terms and updates are effective upon issuance as applicable to affected accounting guidance. The Company has adopted the updates, which had no material impact on its financial position and results of operations.
	There have been no other recent accounting pronouncements or changes in accounting pronouncements during the nine months ended March 31, 2014, that are of significance, or potential significance, to us.

2_StockBased_Compensation_and_

2. Stock-Based Compensation and Warrants	9 Months Ended
	Mar. 31, 2014
Equity [Abstract]	'
STOCK-BASED COMPENSATION	'
	The Company has stock-based compensation plans and reports stock-based compensation expense for all stock-based compensation awards based on the estimated grant date fair value. The value of the compensation cost is amortized on a straight-line basis over the requisite service periods of the award (generally the option vesting term).
	The Company estimates fair value using the Black-Scholes valuation model. Assumptions used to estimate compensation expense are determined as follows:
		·	Expected term is determined under the simplified method using an average of the contractual term and vesting period of the award as appropriate statistical data required to properly estimate the expected term was not available;
		·	Expected volatility of award grants made under the Company’s plans is measured using the historical daily changes in the market price of the Company’s common stock over the expected term of the award and contemplation of future activity;
		·	Risk-free interest rate is the implied yield on zero-coupon U.S. Treasury bonds with a remaining maturity equal to the expected term of the awards; and,
		·	Forfeitures are based on the history of cancellations of awards granted by the Company and management’s analysis of potential future forfeitures.
	The Company has several employee stock option and officer and director stock option plans that have been approved by the shareholders of the Company. The plans require that options be granted at a price not less than market on the date of grant and are more fully discussed in our Form 10-K for the year ended June 30, 2013.
	The following table summarizes the Company’s stock option activity during the first nine months of fiscal 2014:
								Weighted
						Weighted		Average
						Average		Remaining		Aggregate			Aggregate
						Exercise Price		Contractual		Fair			Instrinsic
			Shares			Per Share		Term (1)		Value (3)			Value (2)
	Outstanding July 1, 2013			1,084,100		$0.67			4.18	$	296,100		$	-
	Granted			-			-		-		-			-
	Exercised			-			-		-		-			-
	Forfeited or expired			(7,500	)	$1.50			-		(4,000	)		-
	Outstanding March 31, 2014			1,076,600		$0.66			3.46	$	292,100		$	-
	Exercisable March 31, 2014			1,076,600		$0.66			3.46	$	292,100		$	-
	-1	Remaining contractual term presented in years.
	-2	The aggregate intrinsic value is calculated as the difference between the exercise price of the underlying awards and the closing price of the Company's common stock as of March 31, 2014, for those awards that have an exercise price currently below the closing price as of March 31, 2014 of $.40.
	-3	Aggregate Fair Value is calculated using the Black Scholes option pricing model to estimate fair value of stock-based compensation.
	As of March 31, 2014, there were no unamortized Black Scholes values related to stock option grants made in prior periods. There were no new grants during the nine months ended March 31, 2014.
	As of March 31, 2014, the Company had no outstanding warrants. All warrants that were outstanding as of June 30, 2013 expired during the three months ended September 30, 2013. The following table summarizes the Company’s warrant activity during the first nine months of fiscal 2014:
						Weighted
			Number of			Average
			Shares			Exercise Price
	Warrants Outstanding, June 30, 2013			95,100		$	2.64
	Granted			-			-
	Exercised			-			-
	Canceled/Expired			(95,100	)		2.64
	Warrants Outstanding, March 31, 2014			-		$	-

3_Marketable_Securities_Restri

3. Marketable Securities - Restricted	9 Months Ended
	Mar. 31, 2014
Investments, Debt and Equity Securities [Abstract]	'
MARKETABLE SECURITIES - RESTRICTED	'
	At March 31, 2014, the Company had Marketable Securities in the amount of $650,800 representing the market value ($6.85 per share) of 95,000 ORBCOMM Common Shares (NASDAQ: ORBC). The ORBCOMM Common Shares are related to the May 16, 2011 sale of the Company’s StarTrak subsidiary which is more fully explained in Note J of this Form 10-Q filing and in Form 10-K filed for the fiscal year ended June 30, 2013. The average cost basis of these shares at March 31, 2014 and June 30, 2013 is $5.16 per share and $2.91 per share, respectively.
	The shares held are revalued at the end of each reporting period with per share market value fluctuations reported as Comprehensive Income (Loss) for the period. Based primarily upon the change in market value of $4.49 per share at June 30, 2013 to $6.85 per share at March 31, 2014, the Company recorded an unrealized gain on marketable securities held during the nine months ended March 31, 2014(presented in the Condensed Consolidated Statements of Comprehensive Income (Loss)), of $507,100. The realized gain on securities sold during the nine months ended March 31, 2014 of $896,900 is reported in the Condensed Consolidated Statements of Operations. At March 31, 2014, the Accumulated Other Comprehensive Income of $160,100 was presented in the Shareholders’ Equity section of the Condensed Consolidated Balance Sheet.
	The Company reviews its marketable equity holdings in ORBCOMM on a regular basis to determine if its investment has experienced another-than-temporary decline in fair value. The Company considers ORBCOMM’s cash position, earnings and revenue outlook, stock price performance, liquidity and management ownership, among other factors, in its review. If it is determined that an other-than-temporary decline exists, the Company writes down the investment to its market value and records the related impairment as an investment loss in its Statement of Operations. As of close of market on May 7, 2014, the per share value of the ORBCOMM Common Stock was $6.00, $0.84 per share above the average cost basis of $5.16 per share and above the June 30, 2013 valuation of $4.49 per share as presented on the attached balance sheet.
	The Company sold a total of 336,317 shares of ORBCOMM, Inc. Common Stock during the nine months ended March 31, 2014 for total proceeds of $2,037,100, and an average selling price of approximately $6.06 per share, resulting in a net gain of $896,900. The cost of the securities sold for purposes of computing the realized gain is based on the average cost of the securities.
	The following table summarizes the activities related to investment in Marketable Securities for the nine months ended March 31, 2014:
	Marketable Securities
														Accumulated
		Net			Cost Basis					Market Value				Unrealized
		Shares			Per Share		Cost Basis			Per Share		Total Value		Gain		(Loss)
	30-Jun-13		348,011		$	2.91	$	1,012,700		$	4.49	$	1,562,600	$	549,900	$	-
	Shares sold		(101,118	)		2.91		(294,300	)
	30-Sep-13		246,893		$	2.91	$	718,400		$	5.24	$	1,293,700	$	575,300	$	-
	Shares sold		(140,713	)		2.91		(409,500	)
	31-Dec-13		106,180		$	2.91	$	308,900		$	6.34	$	673,200	$	364,300	$	-
	Shares sold prior to 2/24/14		(22,875	)		2.91		(66,600	)
	Shares recorded pursuant
	to ORBCOMM settlement		83,306			7.42		618,100
	Subtotal		166,611		$	5.16	$	860,400
	Shares sold after 2/24/14		(71,611	)		5.16		(369,700	)
	31-Mar-14		95,000		$	5.16	$	490,700		$	6.85	$	650,800	$	160,100	$	-

4_Note_Receivable

4. Note Receivable	9 Months Ended
	Mar. 31, 2014
Receivables [Abstract]	'
NOTES RECEIVABLE	'
	Note receivable of $434,000 and $375,000 at March 31, 2014 and June 30, 2013, respectively, represents a note due from American Citizenship Center, LLC (“ACC”),a related party. The $434,000 balance at March 31, 2014 represents the outstanding amount drawn on a $400,000 credit line plus an amendment fee of $25,000 and $9,000 of accounting fees pursuant to the amended of the note during the current quarter as discussed below. The note is secured by all assets of ACC and bears interest at the rate of 9.0% per annum.
	ACC was unable to make the $100,000 payment due by December 31, 2013 under the note terms. During the current quarter, the parties amended the note, delaying repayments until June 2014 when a $25,000 payment is due, followed by a July 2014 payment of $25,000 and subsequent monthly payments of $50,000 until the note is paid in full. In addition, the interest rate increased from 7.5% to 9%, an amendment fee of $25,000 and $3,000 of accounting fees per month for January 2014 through March 2014 were deferred and added to the note balance, and certain warrants held by the Company were extended and re-priced. The Company believes the value of these warrants to be de minimis and no value has been recorded. Finally, a personal guarantee for $50,000 was obtained from the founding partner of ACC.
	The Company has reviewed ACC’s current projections and its new business plan, and believes the new plan will provide for repayment of the ACC note under the payment terms discussed above. The new plan is based upon the assumption that immigration reform will not be passed by Congress. If immigration reform is passed in the next few months, it is assumed the impact on ACC’s business plan would be positive. No provision for collectability has been recorded as of March 31, 2014 as current ACC financial projections indicate the note will be paid under the amended terms. ACC is currently in compliance with all terms of the amended note.

5_Land_Property_and_Equipment

5. Land, Property and Equipment	9 Months Ended
	Mar. 31, 2014
Property, Plant and Equipment [Abstract]	'
LAND, PROPERTY AND EQUIPMENT	'
	Land, Property and Equipment at March 31, 2014 and June 30, 2013 consist of the following:
		30-Jun-13			Additions			31-Mar-14
	Office furniture and equipment	$	51,300		$	-		$	51,300
	Water disposal facility		2,707,700			6,900			2,714,600
	Production equipment		207,800			16,100			223,900
			2,966,800			23,000			2,989,800
	Less accumulation depreciation		(190,200	)		(129,200	)		(319,400	)
	Land and improvements		1,429,900			50,100			1,480,000
	Construction in progress		133,400			12,700			146,100
	Net book value	$	4,339,900		$	(43,400	)	$	4,296,500

6_Earnings_Per_Share

6. Earnings Per Share	9 Months Ended
	Mar. 31, 2014
Earnings Per Share [Abstract]	'
Earnings Per Share	'
	Basic and diluted income (loss) per share of common stock was computed by dividing net income(loss) by the weighted average number of shares of common stock outstanding.
	Diluted earnings per share are computed based on the weighted average number of shares of common stock and dilutive securities outstanding during the period using the treasury stock method. Dilutive securities are options, warrants, convertible debt, and preferred stock that are freely exercisable into common stock at less than the prevailing market price. Dilutive securities are not included in the weighted average number of shares when inclusion would increase the earnings per share or decrease the loss per share. For the nine months ended March 31, 2014 and 2013, there were no dilutive securities included in the loss per share calculation as the effect would be antidilutive. While the Company had net income for the three and nine months ended March 31, 2014, the potentially dilutive securities are priced above the average market price for the respective periods and are therefore antidilutive. Considering all holders’ rights, total common stock equivalents issuable under these potentially dilutive securities are approximately 1,076,600 and 769,200 at March 31, 2014 and 2013, respectively.

7_Equity

7. Equity	9 Months Ended
	Mar. 31, 2014
Equity [Abstract]	'
SHAREHOLDERS' EQUITY	'
	The Company issued 30,000 shares of Common Stock during the nine months ended March 31, 2014 for services and recorded a cost of $11,700 for the shares.
	During the nine months ended March 31, 2014, the Company recognized a comprehensive unrealized gain on marketable securities in the amount of $507,100 to reflect the increase in value of Marketable Securities held during the period, offset by a reclassification of $896,900 for realized gain on marketable securities sold during the period included in Net Income (Loss). These amounts are reported in the Condensed Consolidated Statement of Changes in Shareholders’ Equity as a net change of ($389,800) during the nine months ended March 31, 2014. See Note A – Basis of Presentation, Accounting Policies and Recent Accounting Pronouncements for additional discussion of fair value of financial instruments and marketable securities.
	In December 2011,the Company announced that its board of directors had authorized a stock repurchase program whereby the Company could repurchase up to 2 million shares of its outstanding common stock over the next 12 months. The stock repurchase program was extended, under the same limitation, through December 31,2013. For the six months ended December 31, 2013, the Company had repurchases under the program for a total of 56,800 shares at a cost of approximately $26,100, or $.46 per share. During the current quarter, the board of directors renewed the stock repurchase program,extending it through December 31, 2014 and establishing an aggregate future amount of shares that may be purchased under the program to 2 million shares.
	The Company has authorized 25,000,000 shares of Preferred Stock of which 5,000,000 shares have been allocated to Series A, 500,000 have been allocated to Series B, 400,000 have been allocated to Series C Junior Participating, 500,000 have been allocated to Series D, and 750,000 have been allocated to Series E. At March 31, 2014 and June 30, 2013, no Preferred Stock of any series was issued or outstanding. Refer to the Company’s Form 10-K for the fiscal year ended June 30, 2013 for additional discussion of the Company’s authorized and allocated preferred shares.

8_Contingent_Payments

8. Contingent Payments	9 Months Ended
	Mar. 31, 2014
Commitments and Contingencies Disclosure [Abstract]	'
CONTINGENT PAYMENTS	'
	Contingent payments at March 31, 2014 and June 30, 2013 relate to AES asset purchase transactions completed in conjunction with the construction of water disposal facilities for the treatment and disposal of produced water generated by oil and natural gas producers in Western Colorado. Details of the contingent payments are as follows:
		March 31,			June 30,
		2014			2013
	Fair value - contingent land payment	$	655,500		$	641,400
	Fair value - contingent purchase price		524,300			513,200
			1,179,800			1,154,600
	Less current portion		(50,000	)		(50,000	)
	Fair value - contingent payments, long-term	$	1,129,800		$	1,104,600
	Contingent land payment of $655,500 at March 31, 2014 represents the net present value of $800,000 of estimated contingent land payments due under an agreement whereby Alanco Energy Services, Inc. (“AES”) acquired 160 acres of land known as Indian Mesa. The payment is based upon 10% of any quarterly income (defined as gross revenues less operating expenses up to a maximum of $200,000 per quarter and $800,000 annually) for activity at both the Deer Creek and the Indian Mesa locations. The payments were projected considering current operating plans as approved by the Alanco Board of Directors, with the payments discounted at a rate of 3% per annum. Accretion expense is being imputed at 3% per annum, increasing the fair value of the contingent land payment during the nine months ended March 31, 2014 by $14,100.
	Contingent purchase price of $524,300at March 31, 2014 represents the net present value of projected payments to be made to TC Operating, LLC (“TCO”) pursuant to an Asset Purchase Agreement under which TC Operating transferred a land lease for approximately 24 acres of land known as Deer Creek and all related tangible and intangible assets. Per the agreement, the contingent payments are determined as 28% of the Cumulative EBITDA in excess of all of AES’s capital investment for the ten (10) year period commencing on January 1, 2014. AES’s Capital investment shall mean the aggregate amount incurred by AES in acquiring the Assets, the Indian Mesa Facility, and or improving either the Deer Creek Facility or the Indian Mesa Facility. Payments of said Contingent Purchase Price shall be payable quarterly. The projected payments consider current operating plans as approved by the Alanco Board of Directors, with payments discounted at a rate of 3% per annum to determine net present value. Accretion expense is being imputed at 3% per annum, increasing the fair value of the contingent purchase price during the nine months ended March 31, 2014 by $11,100.

9_Asset_Retirement_Obligation

9. Asset Retirement Obligation	9 Months Ended
	Mar. 31, 2014
Accounting Policies [Abstract]	'
ASSET RETIRMENT OBLIGATIONS	'
	The Company has recognized estimated asset retirement obligations (closure cost) of $417,400 to remove leasehold improvements, remediate any pollution issues and return the Deer Creek water disposal property to itsnatural state at the conclusion of the Company’s lease. The closure process is a requirement of both the Deer Creek lease and the State of Colorado, a permitting authority for such facilities. The closure cost estimate, in current dollars, was completed by an approved independent consultant experienced in estimating closure costs for water disposal operations and the estimated amount was approved by the State of Colorado. A present value discount has not been taken as the estimated closure costs, excluding regulatory changes and inflation adjustments, are anticipated to remain fairly consistent over the operational life of the facility. The amount of $417,400 as of March 31, 2014 reflects a 1.8% inflation adjustment recorded during the fiscal year ended June 30, 2013.
	Asset retirement obligations are recorded in the period in which they are incurred and reasonably estimable. Retirement of assets may involve efforts such as removal of leasehold improvements, contractually required demolition, and other related activities, depending on the nature and location of the assets. In identifying asset retirement obligations, the Company considers identification of legally enforceable obligations, changes in existing law, estimate of potential settlement dates, and the calculation of an appropriate discount rate to be usedin calculating the fair value of the obligation. The Company reviews the asset retirement obligation quarterly and performs a formal annual assessment of its estimates to determine if an adjustment to the value of the asset retirement obligation is required.
	The laws of the State of Colorado require companies to meet environmental and asset retirement obligations by selecting an approved payment method. The Company has elected to meet its obligation by making quarterly payments of approximately $4,700 into a trustthat, over the expected lease period, will build liquid assets to meet the asset retirement obligation. During the nine months ended March 31, 2014, the Company made the required quarterly payments. The balances in the trust account for the asset retirement obligation as of March 31, 2014 and June 30, 2013 were $44,000 and $30,000, respectively.

10_Commitments_and_Contingenci

10. Commitments and Contingencies	9 Months Ended
	Mar. 31, 2014
Commitments and Contingencies Disclosure [Abstract]	'
COMMITMENTS AND CONTINGENCIES	'
	Sale of StarTrak Systems, LLC
	In May of 2011, the Company sold the operations of StarTrak Systems, LLC (“StarTrak”), a subsidiary comprising the Company’s Wireless Asset Management segment, to ORBCOMM Inc. (“ORBCOMM”). (See Form 10-K for the year ended June 30, 2013 for a further discussion on the sale). The following discusses the remaining unresolved items related to the sale prior to the current quarter:
	Working Capital Adjustment – The Asset Purchase Agreement (“APA”) provided compensation for changes in working capital between November 30, 2010 and May 31, 2011, the measurement date, determined in accordance with GAAP consistently applied. If working capital, defined as current assets minus current liabilities less long-term deferred revenue, increased over the period, ORBCOMM will pay the value of that increase in cash or additional ORBCOMM Common Stock. If the defined working capital decreased during the period, Alanco will return that amount from ORBCOMM Common Stock, valued at $3.001 per share.
	ORBCOMM delivered to Alanco on August 12, 2011, a written statement of the Current Assets, Current Liabilities and Net Working Capital Amount pursuant to the terms of the Agreement reflecting a working capital adjustment in favor of ORBCOMM of approximately $700,000. Under terms of the Agreement, Alanco submitted a “Notice of Disagreement” of the Net Working Capital Amount submitted by ORBCOMM. The Agreement stipulates third party arbitration to resolve disagreements over the working capital adjustment. The Company had recorded a reserve in excess of $100,000 for this contingent liability as of December 31, 2013 and June 30, 2013.
	Product Warranty Escrow - The APA required a Product Warranty Escrow account in the amount of 166,611 shares of ORBCOMM common stock be established to provide for the availability of ORBCOMM shares to pay for half of certain product warranty costs incurred during the period March 1, 2011 to April 30, 2012, but only to the extent total warranty costs during the period exceed $600,000. Under the escrow agreement, shares returned to ORBCOMM in payment of those warranty costs would again be valued at $3.001 per share.
	Upon distribution of the shares to ORBCOMM from the escrow account, the remaining shares would be distributed to Alanco. To recognize at December 31, 2013 and June 30, 2013 the potential return of ORBCOMM shares under this agreement, Alanco had reduced the balance of the Marketable Securities by the value of 83,306 shares. The 83,306 share reduction was based on management’s best estimate of the warranty costs.
	Settlement of Working Capital Adjustment and Product Warranty Escrow – To avoid significant litigation/resolution expenses, the parties negotiated a general settlement for the working capital adjustment and all product warranty liabilities. The agreement, effective February 24, 2014, required a) ORBCOMM to release to Alanco all ORBCOMM Common Shares (166,611 shares) held in the warranty escrow account; b) Alanco to pay ORBCOMM $691,000; c) ORBCOMM (through its StarTrak subsidiary) to pay a past due Alanco invoice in the amount of approximately $48,000 and required both parties to agree to provisions of a general mutual release. The effect of the settlement was to give Alanco the ability to sell the 166,611 ORBCOMM shares held in escrow and increased Alanco’s gain on sale of its StarTrak subsidiary, by $121,700. That amount is included in Other Income for both the three months and nine months ended March 31, 2014.
	Legal Proceedings
	The Company may from time to time be involved in litigation arising from the normal course of business.  As of March 31, 2014, there was no such litigation pending deemed material by the Company.

11_Related_Party_Transactions

11. Related Party Transactions	9 Months Ended
	Mar. 31, 2014
Related Party Transactions [Abstract]	'
RELATED PARTY TRANSACTIONS	'
	During the current quarter, the Company reported that Mr. Robert Kauffman, the Company’s President and Chief Executive officer died on March 8, 2014. Mr. Kauffman had been President, CEO and Chairman of the Board of the Company since August 1998.   The Board appointed John A. Carlson to serve as President and CEO effective March 14, 2014.  Mr. Carlsonhas been with the Company since November 1998 and his previous position was ExecutiveVice President and CFO.
	Both Mr. Kauffman and Mr. Carlson had employment agreements that allowed the Company to reduce salaries (with corresponding reductions in the employees’ time commitment).  The Company had elected to effect that provision with a 40% reduction in salaries for both parties effective October 16, 2013.  The salary reductions continued until April 1, 2014, when, in consideration of Mr. Carlson’s appointment as President and CEO, Mr. Carlson’s full salary was reinstated.
	The Board also appointed Danielle Haney as Chief Financial Officer.  Ms. Haney joined the Company in September 2001 and has most recently served as Corporate Controller and Corporate Secretary.  Ms. Haney willalso continue to serve as Corporate Secretary.  The Board has delayed action regarding the nomination or naming of a successor director.

12_Subsequent_Events

12. Subsequent Events	9 Months Ended
	Mar. 31, 2014
Subsequent Events [Abstract]	'
SUBSEQUENT EVENTS	'
	Subsequent to March 31, 2014, the Company sold approximately 10,000 shares of ORBCOMM, Inc. (presented at March 31, 2014 as Marketable Securities) for approximately $68,600, or an average of $6.86 per share. See Note C – Marketable Securities for additional discussion on the ORBCOMM stock held.
	On April 28, 2014 the Company held its Annual Meeting of Shareholders at the Company’s offices in Scottsdale, Arizona for the purpose of considering two proposals. Both proposals were approved by shareholders. Refer to the Company’s Form 8-K filed on May 1, 2014 disclosing the voting results.

13_Liquidity

13. Liquidity	9 Months Ended
	Mar. 31, 2014
Organization, Consolidation and Presentation of Financial Statements [Abstract]	'
Liquidity	'
	During nine months ended March 31, 2014, the Company reported a net income of $133,900 and for fiscal year ended June 30, 2013, the Company reported a net loss of ($683,000). For the next year, the Company expects to meet its working capital and other cash requirements with its current operations, cash reserves and sales of marketable securities as required. However, if for any reason, the Company does require additional working capital to complete its business plan, there can be no assurance that the Company’s efforts to acquire the required additional working capital will be successful.  The Company’s continued existence is dependent upon its ability to achieve and maintain profitable operations, identify profitable acquisition/merger candidates and/or successfully invest its capital.

1_NATURE_OF_OPERATIONS_AND_SIG

1. NATURE OF OPERATIONS AND SIGNIFICANT ACCOUNTING POLICIES (Policies)	9 Months Ended
	Mar. 31, 2014
Organization, Consolidation and Presentation of Financial Statements [Abstract]	'
Basis of Presentation	'
	The unaudited condensed consolidated financial statements presented herein have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information and in accordance with the instructions to Form 10-Q. Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) have been condensed or omitted. In our opinion, the accompanying condensed consolidated financial statements include all adjustments necessary for a fair presentation of such condensed consolidated financial statements. Such necessary adjustments consist of normal recurring items and the elimination of all significant intercompany balances and transactions.
	These interim condensed consolidated financial statements should be read in conjunction with the Company’s June 30, 2013 Annual Report filed on Form 10-K. Interim results are not necessarily indicative of results for a full year.
	The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from these estimates.
Fair Value of Assets and Liabilities	'
	The estimated fair values for assets and liabilities are determined at discrete points in time based on relevant information. The Accounting Standards Codification (“ASC”) prioritizes inputs used in measuring fair value into a hierarchy of three levels: Level 1 – unadjusted quoted prices for identical assets or liabilities traded in active markets, Level 2 – observable inputs other than quoted prices included within Level 1 such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the asset or liability; and Level 3 – unobservable inputs in which little or no market activity exists that are significant to the fair value of the assets or liabilities, therefore requiring an entity to develop its own assumptions that market participants would use in pricing. These estimates involve uncertainties and cannot be determined with precision. The carrying amounts of receivables, prepaid expenses, accounts payable, and accrued liabilities approximate fair value given their short-term nature, which represent Level 3 input levels.
	The following are the classes of assets and liabilities measured at fair value on a recurring basis at March 31, 2014, using quoted prices in active markets for identical assets (Level 1); significant other observable inputs (Level 2); and significant unobservable inputs (Level 3):
		Level 1:
		Quoted Prices		Level 2:
		in active		Significant		Level 3:		Total
		Markets		Other		Significant		at
		for Identical		Observable		Unobservable		March 31,
		Assets		Inputs		Inputs		2014
	Marketable Securities	$	650,800	$	-	$	-	$	650,800
	Asset Retirement Obligation		-		-		417,400		417,400
	Contigent Land Payment		-		-		655,500		655,500
	Contingent Purchase Price		-		-		524,300		524,300
		$	650,800	$	-	$	1,597,200	$	2,248,000
Fair Value of Marketable Securities	'
	The estimated fair values of Marketable Securities are determined at discrete points in time based on relevant market information. The Marketable Securities are comprised entirely of ORBCOMM Inc. (“ORBCOMM”) common shares (NASDAQ:ORBC) registered under a currently effective ORBCOMM Form S-3 registration statement. Under the terms of the Agreement, the Company is limited to selling up to 279,600 shares per month. Additionally, 166,611 shares of the ORBCOMM stock were previously held in a Product Warranty Escrow account. These shares were released on February 24, 2014 pursuant to a settlement agreement as discussed further in Note J. These sale restrictions are why the fair value measurement of Marketable Securities, prior to February 24, 2014, was based on quoted prices for similar assets in active markets that are directly observable and thus represented a Level 2 fair value measurement. However, management did not believe the restriction would interfere with any plans to market their stock holdings. As such, the trading price was used as fair value with no further adjustment. As of February 24, 2014, these sales restrictions no longer existed. As such, the fair value measurement after February 24, 2014 is based on unadjusted quoted prices for identical assets in active markets and thus represents a Level 1 fair value measurement. There was no change to the fair value of the shares held prior to February 24, 2014 since the trading price previously used was also fair value with no further adjustment. The remaining shares will be revalued at the end of each reporting period with per share market value fluctuations reported as Comprehensive Income (Loss) for the period.
Asset Retirement Obligation	'
	The Deer Creek asset retirement obligation is the estimated cost to close the Deer Creek facility under terms of the lease, meeting environmental and State of Colorado regulatory requirements. The estimate is determined at discrete points in time based upon significant unobservable inputs in which little or no market activity exists that is significant to the fair value of the liability, therefore requiring the Company to develop its own assumptions. Management’s estimate of the asset retirement obligation is based upon a cost estimate developed by a consultant knowledgeable of government closure requirements and costs incurred at similar water disposal facility operations. The process used was to identify each activity in the closure process, obtaining vendor estimated costs, in current dollars, to perform the closure activity and accumulating the various vendor estimates to determine the asset retirement obligation. A present value discount has not been taken as the estimated closure costs, excluding regulatory changes and inflation adjustments, are anticipated to remain fairly consistent over the operational life of the facility. The lack of an active market to validate the estimated asset retirement obligation results in the fair value of the asset retirement obligation to be a Level 3 fair value measurement. ASC Topic 410-20: Asset Retirement Obligations requires the Company to review the asset retirement obligation on a recurring basis and record changes in the period incurred.
Contingent Payments	'
	The contingent land payment and contingent purchase price liabilities are also determined at discrete points in time based upon unobservable inputs in which little or no market activity exists that is significant to the fair value of the liability, therefore requiring the Company to develop its own assumptions. In calculating the estimate of fair value for both of the contingent payments, management completed an estimate of the present value of each identified contingent liability based upon projected income, cash flows and capital expenditures for the Deer Creek facility developed under plans currently approved by the Company’s board of directors. Different assumptions relative to the expansion or alternative uses of the Deer Creek and Indian Mesa facilities could result in significantly different valuations. The projected payments have been discounted at a rate of 3% per annum to determine net present value. The lack of an active market tovalidate the estimated contingent land and purchase price liabilities results in the fair value of the contingent land and purchase price liabilities to be a Level 3 fair value measurement. ASC Topic 820: Fair Value Measurement requires the Company to review the contingent land and purchase price liabilities on a recurring basis and record changes in the period incurred.
Recent Accounting Pronouncements	'
	In July 2013, the FASB issued guidance on the presentation of unrecognized tax benefits when a net operating loss carry forward, a similar tax loss, or a tax credit carry forward exits at the reporting date. The guidance is effective for fiscal and interim periods within those years, beginning after December 15, 2013 and early adoption is permitted. The Company has adopted the guidance, which had no material impact on its financial position and results of operations.
	In March 2014, the FASB issued technical corrections and improvements related to glossary terms. The ongoing project will facilitate clarifications and improvements to glossary terms and updates are effective upon issuance as applicable to affected accounting guidance. The Company has adopted the updates, which had no material impact on its financial position and results of operations.
	There have been no other recent accounting pronouncements or changes in accounting pronouncements during the nine months ended March 31, 2014, that are of significance, or potential significance, to us.

1_NATURE_OF_OPERATIONS_AND_SIG1

1. NATURE OF OPERATIONS AND SIGNIFICANT ACCOUNTING POLICIES (Tables)	9 Months Ended
	Mar. 31, 2014
Organization, Consolidation and Presentation of Financial Statements [Abstract]	'
Assets and liabilities measured at fair value on a recurring basis	'
		Level 1:
		Quoted Prices		Level 2:
		in active		Significant		Level 3:		Total
		Markets		Other		Significant		at
		for Identical		Observable		Unobservable		March 31,
		Assets		Inputs		Inputs		2014
	Marketable Securities	$	650,800	$	-	$	-	$	650,800
	Asset Retirement Obligation		-		-		417,400		417,400
	Contigent Land Payment		-		-		655,500		655,500
	Contingent Purchase Price		-		-		524,300		524,300
		$	650,800	$	-	$	1,597,200	$	2,248,000

2_STOCKBASED_COMPENSATION_Tabl

2. STOCK-BASED COMPENSATION (Tables)	9 Months Ended
	Mar. 31, 2014
Equity [Abstract]	'
Stock option activity	'
								Weighted
						Weighted		Average
						Average		Remaining		Aggregate			Aggregate
						Exercise Price		Contractual		Fair			Instrinsic
			Shares			Per Share		Term (1)		Value (3)			Value (2)
	Outstanding July 1, 2013			1,084,100		$0.67			4.18	$	296,100		$	-
	Granted			-			-		-		-			-
	Exercised			-			-		-		-			-
	Forfeited or expired			(7,500	)	$1.50			-		(4,000	)		-
	Outstanding March 31, 2014			1,076,600		$0.66			3.46	$	292,100		$	-
	Exercisable March 31, 2014			1,076,600		$0.66			3.46	$	292,100		$	-
	-1	Remaining contractual term presented in years.
	-2	The aggregate intrinsic value is calculated as the difference between the exercise price of the underlying awards and the closing price of the Company's common stock as of March 31, 2014, for those awards that have an exercise price currently below the closing price as of March 31, 2014 of $.40.
	-3	Aggregate Fair Value is calculated using the Black Scholes option pricing model to estimate fair value of stock-based compensation.
Warrant activity	'
						Weighted
			Number of			Average
			Shares			Exercise Price
	Warrants Outstanding, June 30, 2013			95,100		$	2.64
	Granted			-			-
	Exercised			-			-
	Canceled/Expired			(95,100	)		2.64
	Warrants Outstanding, March 31, 2014			-		$	-

Recovered_Sheet1

3. MARKETABLE SECURITIES - RESTRICTED (Tables)	9 Months Ended
	Mar. 31, 2014
Investments, Debt and Equity Securities [Abstract]	'
Marketable Securities	'
	Marketable Securities
														Accumulated
		Net			Cost Basis					Market Value				Unrealized
		Shares			Per Share		Cost Basis			Per Share		Total Value		Gain		(Loss)
	30-Jun-13		348,011		$	2.91	$	1,012,700		$	4.49	$	1,562,600	$	549,900	$	-
	Shares sold		(101,118	)		2.91		(294,300	)
	30-Sep-13		246,893		$	2.91	$	718,400		$	5.24	$	1,293,700	$	575,300	$	-
	Shares sold		(140,713	)		2.91		(409,500	)
	31-Dec-13		106,180		$	2.91	$	308,900		$	6.34	$	673,200	$	364,300	$	-
	Shares sold prior to 2/24/14		(22,875	)		2.91		(66,600	)
	Shares recorded pursuant
	to ORBCOMM settlement		83,306			7.42		618,100
	Subtotal		166,611		$	5.16	$	860,400
	Shares sold after 2/24/14		(71,611	)		5.16		(369,700	)
	31-Mar-14		95,000		$	5.16	$	490,700		$	6.85	$	650,800	$	160,100	$	-

5_Land_Property_and_Equipment_

5. Land, Property and Equipment (Tables)	9 Months Ended
	Mar. 31, 2014
Land Property And Equipment Tables	'
Land, Property and Equipment	'
		30-Jun-13			Additions			31-Mar-14
	Office furniture and equipment	$	51,300		$	-		$	51,300
	Water disposal facility		2,707,700			6,900			2,714,600
	Production equipment		207,800			16,100			223,900
			2,966,800			23,000			2,989,800
	Less accumulation depreciation		(190,200	)		(129,200	)		(319,400	)
	Land and improvements		1,429,900			50,100			1,480,000
	Construction in progress		133,400			12,700			146,100
	Net book value	$	4,339,900		$	(43,400	)	$	4,296,500

8_CONTINGENT_PAYMENTS_Tables

8. CONTINGENT PAYMENTS (Tables)	9 Months Ended
	Mar. 31, 2014
Commitments and Contingencies Disclosure [Abstract]	'
Contingent payments	'
		March 31,			June 30,
		2014			2013
	Fair value - contingent land payment	$	655,500		$	641,400
	Fair value - contingent purchase price		524,300			513,200
			1,179,800			1,154,600
	Less current portion		(50,000	)		(50,000	)
	Fair value - contingent payments, long-term	$	1,129,800		$	1,104,600

1_Basis_of_Presentation_and_Re1

1. Basis of Presentation and Recent Accounting Policies and Pronouncements (Details) (USD $)	Mar. 31, 2014
Marketable securities	$650,800
Asset retirement obligation	417,400
Contingent land payment	655,500
Contingent purchase price	524,300
Total	2,248,000
Level 1	'
Marketable securities	650,800
Asset retirement obligation	'
Contingent land payment	'
Contingent purchase price	'
Total	650,800
Level 2	'
Marketable securities	'
Asset retirement obligation	'
Contingent land payment	'
Contingent purchase price	'
Total	'
Level 3	'
Marketable securities	'
Asset retirement obligation	417,400
Contingent land payment	655,500
Contingent purchase price	524,300
Total	$1,597,200

1_Basis_of_Presentation_and_Re2

1. Basis of Presentation and Recent Accounting Policies and Pronouncements (Details Narrative) (USD $)	9 Months Ended
	Mar. 31, 2014
Organization, Consolidation and Presentation of Financial Statements [Abstract]	'
Company paid under management agreement	$161,900

2_StockBased_Compensation_and_1

2. Stock-Based Compensation and Warrants (Details) (USD $)	9 Months Ended
	Mar. 31, 2014
Stock-Based Compensation And Warrants Details	'
Shares Outstanding July 1, 2013	1,084,100
Shares Granted	'
Shares Exercised	'
Shares Forfeited or expired	-7,500
Shares Outstanding March 31, 2014	1,076,600
Shares Exercisable March 31, 2014	1,076,600
Weighted average exercise price per share outstanding July 1, 2013	$0.67
Weighted average exercise price per share Granted	'
Weighted average exercise price per share Exercised	'
Weighted average exercise price per share Forfeited or expired	$1.50
Weighted average exercise price per share Outstanding March 31, 2014	$0.66
Weighted average exercise price per share Exercisable March 31, 2014	$0.66
Weighted average remaining contractual term Outstanding July 1, 2013	'4 years 2 months 5 days
Weighted average remaining contractual term Granted	'0 years
Weighted average remaining contractual term Exercised	'0 years
Weighted average remaining contractual term Forfeited or expired	'0 years
Weighted average remaining contractual term Outstanding March 31, 2014	'3 years 5 months 16 days
Weighted average remaining contractual term Exercisable March 31, 2014	'3 years 5 months 16 days
Aggregate fair value outstanding July 1, 2013	$296,100
Aggregate fair value Granted	'
Aggregate fair value Exercised	'
Aggregate fair value Forfeited or expired	-4,000
Aggregate fair value Outstanding March 31, 2014	292,100
Aggregate fair value Exercisable March 31, 2014	292,100
Aggregate Intrinsic Value Outstanding July 1, 2013	'
Aggregate Intrinsic Value Granted	'
Aggregate Intrinsic Value Exercised	'
Aggregate Intrinsic Value Forfeited or expired	'
Aggregate Intrinsic Value Outstanding March 31, 2014	'
Aggregate Intrinsic Value Exercisable March 31, 2014	'

2_StockBased_Compensation_and_2

2. Stock-Based Compensation and Warrants (Details 1) (USD $)	9 Months Ended
	Mar. 31, 2014
Stock-Based Compensation And Warrants Details	'
Warrant Shares Outstanding June 30, 2013	95,100
Warrant Shares Granted	'
Warrant Shares Exercised	'
Warrant Shares Canceled/Expired	-95,100
Warrant Shares Outstanding March 31, 2014	'
Weighted average exercise price per share Warrants outstanding June 30, 2013	$2.64
Weighted average exercise price per share Warrants Granted	'
Weighted average exercise price per share Warrants Exercised	'
Weighted average exercise price per share Warrants Canceled/Expired	$2.64
Weighted average exercise price per share Warrants Outstanding March 31, 2014	'

3_Marketable_Securities_Detail

3. Marketable Securities (Details)	3 Months Ended
	Mar. 31, 2014	Dec. 31, 2013	Sep. 30, 2013
Net Shares	'	'	'
Beginning balance	'106,180	'246,893	'348,011
Shares sold	'	'(140,713)	' (101,118)
Shares sold prior to 2/24/14	' (22,875)	'	'
Shares recorded pursuant to ORBCOMM settlement	' 83,306	'	'
Subtotal	' 166,611	'	'
Shares sold after 2/24/14	' (71,611)	'	'
Ending balance	' 95,000	'106,180	'246,893
Cost Basis Per Share	'	'	'
Beginning balance	'$2.91 per share	'$2.91 per share	'$2.91 per share
Shares sold	'	'$2.91 per share	'$2.91 per share
Shares sold prior to 2/24/14	'$2.91 per share	'	'
Shares recorded pursuant to ORBCOMM settlement	'$7.42 per share	'	'
Subtotal	'$5.16 per share	'	'
Shares sold after 2/24/14	'$5.16 per share	'	'
Ending balance	'$5.16 per share	'$2.91 per share	'$2.91 per share
Cost Basis Total Cost	'	'	'
Beginning balance	'308,900	' 718,400	'1,012,700
Shares sold	'	'(409,500)	' (294,300)
Shares sold prior to 2/24/14	' (66,600)	'	'
Shares recorded pursuant to ORBCOMM settlement	' 618,100	'	'
Subtotal	' 860,400	'	'
Shares sold after 2/24/14	' (369,700)	'	'
Ending balance	' 490,700	' 308,900	' 718,400
Market Value Per Share	'	'	'
Beginning balance	'6.34	'5.24	'4.49
Ending balance	'6.85	'6.34	'5.24
Market Value Total Value	'	'	'
Beginning balance	'673,200	'1,293,700	'1,562,600
Ending balance	' 650,800	' 673,200	'1,293,700
Accumulated Unrealized Gain	'	'	'
Beginning balance	'364,300	'575,300	'549,900
Ending balance	' 160,100	' 364,300	'575,300
Accumulated Unrealized Loss	'	'	'
Beginning balance	'-	'-	'-
Ending balance	'-	'-	'-

3_Marketable_Securities_Detail1

3. Marketable Securities (Details Narrative) (USD $)	Mar. 31, 2014	Jun. 30, 2013
Investments, Debt and Equity Securities [Abstract]	'	'
Marketable Securities - Amount	$650,800	$1,562,600
Marketable Securities - Per Share	$6.85	$4.49
Marketable Securities - Restricted, Shares	95,000	348,011

4_Note_Receivable_Details_Narr

4. Note Receivable (Details Narrative) (USD $)	Mar. 31, 2014	Jun. 30, 2013
Receivables [Abstract]	'	'
Outstanding amount drawn on credit line	$434,000	$375,000

5_Land_Property_and_Equipment_1

5. Land, Property and Equipment (Details) (USD $)	9 Months Ended
	Mar. 31, 2014	Jun. 30, 2013
Land, property and equipment	$2,989,800	$2,966,800
Less accumulation depreciation	-319,400	-190,200
Net book value	4,296,500	4,339,900
Depreciation and amortization	-129,200	'
Additions	23,000	'
Office furniture and equipment	'	'
Land, property and equipment	51,300	51,300
Additions	'	'
Water disposal facility	'	'
Land, property and equipment	2,714,600	2,707,700
Additions	6,900	'
Production equipment	'	'
Land, property and equipment	223,900	207,800
Additions	16,100	'
Land and improvements	'	'
Land, property and equipment	1,480,000	1,429,900
Additions	50,100	'
Construction in progress	'	'
Land, property and equipment	146,100	133,400
Additions	12,700	'
Net book value	'	'
Additions	($43,400)	'

6_Earnings_Per_Share_Details_N

6. Earnings Per Share (Details Narrative) (USD $)	Mar. 31, 2014	Mar. 31, 2013
Earnings Per Share [Abstract]	'	'
Loss per share	$0	$0
Dilutive securities	1,076,600	769,200

7_Equity_Details_Narrative

7. Equity (Details Narrative) (USD $)	6 Months Ended	9 Months Ended
	Dec. 31, 2013	Mar. 31, 2014	Jun. 30, 2013
Equity Details Narrative	'	'	'
Shares issued for services	'	30,000	'
Shares issuance cost	'	$11,700	'
Unrealized gain on marketable securities	'	-389,800	'
Realized gain on marketable securities	'	896,900	'
Repurchase of common stock, amount	$26,100	'	'
Repurchase of common stock, per share	$0.46	'	'
Repurchase of common stock, shares	56,800	'	'
Repurchase stock program	'	'	'
	In December 2011,the Company announced that its board of directors had authorized a stock repurchase program whereby the Company could repurchase up to 2 million shares of its outstanding common stock over the next 12 months. The stock repurchase program was extended, under the same limitation, through December 31,2013. For the six months ended December 31, 2013, the Company had repurchases under the program for a total of 56,800 shares at a cost of approximately $26,100, or $.46 per share.
Preferred stock, issued	'	0	0
Preferred stock, outstanding	'	0	0

8_Contingent_Payments_Details

8. Contingent Payments (Details) (USD $)	Mar. 31, 2014	Jun. 30, 2013
Contingent Payments Details	'	'
Fair value - contingent land payment	$655,500	$641,400
Fair value - contingent purchase price	524,300	513,200
Fair Value - contingent payment	1,179,800	1,154,600
Less current portion	-50,000	-50,000
Fair value - contingent payments, long-term	$1,129,800	$1,104,600

8_Contingent_Payments_Details_

8. Contingent Payments (Details Narrative) (USD $)	9 Months Ended
	Mar. 31, 2014
Contingent Payments Details Narrative	'
Increase in fair value of the contingent land payment	$655,500
Accretion expense per annum	3.00%
Increase in fair value of contingent land payment	14,100
Increase in fair value of contingent purchase price	$11,100

9_Asset_Retirement_Obligation_

9. Asset Retirement Obligation (Details Narrative) (USD $)	9 Months Ended
	Mar. 31, 2014	Jun. 30, 2013
Accounting Policies [Abstract]	'	'
Asset Retirement Obligation	$417,400	$417,400
Percentage of inflation adjustment	1.80%	'
Payment made for asset retirement obligation	$44,000	$30,000

10_Commitments_and_Contingenci1

10. Commitments and Contingencies (Details Narrative) (USD $)	Mar. 31, 2014	Dec. 31, 2013	Jun. 30, 2013
Commitments and Contingencies Disclosure [Abstract]	'	'	'
Excess contingent liability	'	$100,000	$100,000
Shares reduction	83,306	'	'

13_Liquidity_Details_Narrative

13. Liquidity (Details Narrative) (USD $)	3 Months Ended		6 Months Ended	9 Months Ended		12 Months Ended
	Mar. 31, 2014	Mar. 31, 2013	Dec. 31, 2013	Mar. 31, 2014	Mar. 31, 2013	Jun. 30, 2013
Organization, Consolidation and Presentation of Financial Statements [Abstract]	'	'	'	'	'	'
NET INCOME (LOSS)	$153,100	($146,900)	($19,200)	$133,900	($236,600)	($683,000)