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<br /> <br />(the "Mining Act"). The t-0LRD has primary responsibility Eor <br />enforcing the provisions of the t4 fining AcC :ur~l thr. t1inin~~ <br />Permit granted tl~rereuncler. <br />5. On June 17, 1986, the t•1L RD issued C7otice of Violation <br />tlo. C-86-051 ("C1LRD Notice") to Snowmass. The I•IL RD Clotice <br />resulted Erom the same circumstances as the LlQCD Notice and <br />Order. <br />6. The C1LRD issued its Notice of Proposed Amount of Civil <br />Penalty for the MLRD Notice on July 15, 1986. Snowmass <br />requested a conference on the MLRD Notice and proposed civil <br />penalty on July 28, 198G, which was 11e1d on August 28, 1986, <br />with representatives of the MLRD, the WQCD and Snowmass <br />attending. <br />7. On October 15, 1986, the t•1LRD issued to Snowmass a <br />Notice and Order to Pay Fixed Penalty with respect to the MLRD <br />Notice. On November 14, 1986, Snorrrnass filed its request for a <br />hearing before the Colorado Ctined Land P.eclamation Board as to <br />whether the C1L12D Notice is va.lirl and as to the amount of the <br />fixed penalty, and paid X1,000,00 to be held in escrow pending <br />the outcome of t}rat proceeding. <br />8. L•7it'hout further Bearing or. any resolution of the <br />factual or legal issues related to the t•ILRU tlotice and the WQCD <br />Notice and Order, the WQCD, tl~e t•ILRD and Snowmass have reached <br />an agreement to fully and finally resolve both enforcement <br />actions. By entering into this Agreement, Stipr.rlation and <br />Order ("Ayreernent"), Snowmass does not admit the violations <br />alleged in the MLRD C7otice or the WQCD NoL-ice and Order, nor <br />does it waive any defenses it asserted, could h~rve asserted, or <br />may assert in the future to any alleyecl violation of its <br />Discharge or Mining Permits, the Water or Clining Acts or the <br />regulations promulgated thereunder. <br />9. Snowmass agrees to withdratia its requests for hearing <br />on the {JQCD Notice and Order and the RILI2D Notice. <br />10. Snowmass agrees to redesign the seals which are to be <br />constructed in four separate por.ta].s at the Mine. The four <br />portals ar.e commonly cJescribed as Che (1) rock slope, (2) belt <br />slope, (3) track entry, and (4) B-seam entry. The seals shall <br />1?e designed to prevent leakage or flow of water from <br />underground to Che surface through Lhe portals and shall be <br />installed in accordance with deslyns and plans approved by the <br />h1LRD as a revision Co Snowmass' Mining Permit. <br />- 2 - <br />