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r• STATE OF COLORADO DIVISION OF MINERALS AND GEOLOGY Department of Natural Resources 1 }I3 Sherman 51.. Room 215 Denver, CO 80203 Phone: 13031 R66-3567 FAX 1703) R32-8106 Settlement Agreement Notice of Violation b: C-96-016 Permit/!: C-94-082 Mine: Yoast Mine Permittee: Seneca Coal Company Address: P.O. Drawer D, Hayden, CO 81639 County: Routt Type of Mine: Surface/Federal oe cow ti~ 4 ~~,~, .b o ,~~. Roy Romer Governor Michael 8. Long Division Direcwr The Colorado Division of Minerals and Geology (DMG) issued a Notice of Violation (NOV) on July 31, 1996. On Aug. 27, 1996 the DMG issued a Notice of Proposed Amount of Civil Penalty and the operator requested a conference as authorized by C.R.S. 34-33-123(8). The conference was held on September 30, 1996. As a result of the conference, the DMG and the operator hereby agree that: 1. The amount of the penalty based on the seriousness of the offense shall be $750.00. a. The operator changed the location of a road to a topsoil containment area without revising its permit. When notified of the violation a permit revision was submitted and approved within one week. No significant environmental damage resulted from the operator's actions. Therefore, the penalty for seriousness shall be reduced from $1000 to $750. 2. The amount of the penalty based on fault shall be $250.00. a. The failure to get a permit revision occurred because on- site officials decided to change the location of the road which was planned by company officials in Flagstaff, Arizona. DMG officials recommended that a civil penalty of $750.00 for negligence be imposed. However, once company officials were notified of the violation, the problem was quickly resolved. The NOV was also terminated prior to the conference. Therefore, z good faith credit for rapid compliance shall be given in the amount of $500.00, resulting in a $250.00 penalq~.