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the failure. The side slopes of the failure were flattened with a shovel, and the area was <br />seeded. <br />The Facilities area, including the Huntsman Project Area were inspected for compliance <br />with our Stormwater permit which covers this area. Repairs to the silt fence at the base <br />of the Huntsman Project area were made. Otherwise, the area was in compliance with the <br />permit. <br />The Dutch Creek Diversion, constructed in the late fall of 1998 was observed. Although <br />the spring runoff had just begun, the Diversion channel was already beginning to adjust <br />to the increased flows. Some scouring was observed near where the Diversion <br />intersected the Dutch Creek Channel. Aggradation was observed to be occurring near the <br />first bend in the Diversion. Below this point, step pools had begun to form. lvo impact to <br />the north side of Coal Creek, opposite the confluence of the Diversion with Coal Creek <br />was observed. <br />Runoff peaked by late May, with no damage noted. The Dutch Creek Diversion <br />continued to scour at its upper end until the gradient of the upper one hundred feet or so <br />of the Diversion matched that of the original channel immediately above the ]Diversion. <br />The scoured material was deposited just below the first bend in the channel. 'This <br />deposition caused the inner channel to become braided between the first and second <br />bends, nearly causing the inner channel to overtop onto the margins of the outer channel. <br />It appeared, but it was not measured, that the receding waters caused the braiding to <br />slightly incise, maintaining the integrity of the inner channel. <br />Some thought was given to excavating the braided portion of the channel in the fall of <br />1999. Discussions with the designer indicated that the Diversion may clean itself of <br />excess materials as sufficient flow events occur. Therefore, no maintenance steps were <br />taken. However, the Diversion will be closely monitored. This monitoring will be <br />facilitated as permanent cross section survey points were established in July, 1999. <br />These points will be revisited and the Diversion cross section measured on a periodic <br />basis in order to record the dynamics of the system. <br />During the late spring and early summer, negotiations were completed which settled the <br />lawsuit filed in 1997 by Mid-Continent Resources. The settlement required Mid- <br />Continent to provide the reclamation funding which they had been withholding from the <br />Division. This was done by late June, 1999. The agreement also required the Division to <br />overlap the sediment ponds at the site with a Stormwater permit. All ponds, excepting <br />those which handle mine water discharges (016, specifically) are covered by our permit. <br />This permit was applied for in August, and was approved by Water Quality Control in <br />October. The permit specifically applies to reclamation construction activities, and is not <br />construed to be a point source discharge permit. Our Stormwater permit will allow Water <br />Quality Control Division to terminate the NPDES permit held by Mid-Continent for these <br />ponds. Having the NPDES permit eliminated from the ponds where we will perform <br />reclamation in 2000 eases our concerns of having any point source liability. Two ponds <br />were affected by our construction work in 1999; the 001 and 009 ponds. <br />3