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<br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I" <br />I <br />I <br />I <br />I <br /> <br />Alamosa River Watershed Project <br />Literature and Watershed Assessment <br /> <br />Natural Resource Damages <br /> <br />2.0 Introduction <br /> <br />The Natural Resource Damage process is very important to the Alamosa River <br />Watershed since most of the restoration project performed will be funded through the <br />regulatory process. This process is complex, political and regulatory driven. The <br />Natural Resource Damage process is performed by federal and state agencies <br />according to strict federal requirements. This section provides an overview of the <br />process and how restoration projects can be conceptualized and implemented in the <br />watershed. <br /> <br />2.1 Natural Resource Damages <br /> <br />In January 2001 the Trustees and the United States Environmental Protection Agency <br />(EPA) entered into a Memorandum of Understanding (MOU) entitled The Allocation Of <br />Certain Settlement Processed In Connection With The Summitville Mine Superfund Site. <br />Under that agreement, the Trustees established two accounts to accept funds from the <br />Friedland Settlement. A Summitville Natural Resource Damages Trust Fund (Colorado <br />NRD Trust Fund) was established as a separate interest bearing custodial account <br />within the State Treasury. A second account entitled The Summitville Natural Resource <br />Restoration (Federal Restoration Account) was established by the Department of Interior <br />and is an interest bearing account within the Department of Interior Restoration Fund. <br />Based upon a natural resource damage assessment performed by the Fish and Wildlife <br />Service (2), the Trustees determined that $5,000,000 of the $27,000,000 obtained from <br />Friedland would be split equally among the state and federal accounts. The State of <br />Colorado and the Department of Interior are responsible for the maintenance and <br />management of these natural resource damage funds. The settlement funds will be <br />used to fund studies for the design, implementation, permitting, monitoring. and <br />oversight of restoration projects. <br /> <br />To support the claims against Robert Friedland (Summitville Consolidated Mining <br />Company, Inc), the US Fish and Wildlife Service assessed the natural resource <br />damages in the Alamosa River Watershed (2). This damage assessment addressed the <br />Summitville Mine Site. Wightman Fork, the Alamosa River, and Terrace Reservoir areas <br />in the watershed. Natural resource damage costs were not provided for this report. as <br />they were considered confidential by the Department of Interior (Rob Robinson- BLM). <br />The following summarizes the main elements of this natural resource damage <br />assessment: <br /> <br />· The Alamosa River is not naturally polluted although there are metal bearing and <br />acid generating rock exposed to natural weathering. <br />· Summitville Consolidated Mining Company, Inc (SCMCI) operations had a significant <br />effect on the baseline conditions of the environment <br /> <br />2-1 <br />