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STATE OF COLORADO <br />Bill Ritter, Jr., Governor <br />James B. Martin, Executive Director <br />Dedicated to protecting and improving the health and environment of the people of Colorado <br />4300 Cherry Creek Dr. S. <br />Denver, Colorado 80246-1530 <br />Phone (303) 692-2000 <br />TDD Line (303) 691-7700 <br />Located in Glendale, Colorado <br />hftp://www.cdphe.state.co.us <br />July 31, 2008 <br />Laboratory Services Division <br />8100 Lowry Blvd. <br />Denver, Colorado 80230-6928 <br />(303) 692-3090 <br />Jill Cooper <br />Faegre & Benson LLP <br />(Mountain Coal Company, LLC; Arch Coal, Inc.) <br />3200 Wells Fargo Center <br />1700 Lincoln Street <br />Denver, CO 80203 <br />Subject: Voluntary Disclosure for Mountain Coal Company, LLC <br />Dear Ms. Cooper: <br />OF .Co <br />w <br />awe °--'P <br />yam, ?O <br />* 1876 <br />Colorado Department <br />of public Health <br />and Environment <br />On July 30 2008, the Colorado Department of Public Health and Environment (the "Department") received your voluntary <br />disclosure notifying the Department that Mountain Coal Company LLC, a subsidiary of Arch Coal, Inc. (West Elk Mine) located <br />near Somerset, Colorado, has potentially violated the Colorado National Pollutant Discharge Elimination System (NPDES) <br />requirements and associated permits for each facility. <br />The Department will be processing the voluntary disclosure in accordance with the specific requirements of the Colorado <br />Environmental Audit Privilege and Immunity Law (see section 25-1-114.5 and section 25-1-114.6 Colorado Revised Statutes) and <br />applicable Department policies. As the Department evaluates your submittal, the Department may be contacting Faegre & Benson <br />(Mountain Coal Company) to discuss, clarify or request additional information in regards to the disclosure. The Water Division <br />will be individually processing the voluntary disclosure. As they evaluate the disclosure, they may be individually contacting <br />Faegre & Benson (Mountain Coal Company to discuss, clarify or request additional information. Ultimately the Water Division <br />will respond and either grant or deny penalty immunity for the disclosed violations. <br />The Department may determine that this matter needs to be resolved by bringing an enforcement action, and by entering into a <br />settlement agreement or issuing an order. The settlement agreement or order will be used to document the voluntary disclosure, the <br />degree of immunity from a penalty assessment, and to establish necessary measures or schedules to come into compliance. <br />Please note that any information provided to the department as part of a voluntary disclosure cannot be treated as confidential and <br />will be publicly available, except as provided for in the Colorado Open Records Act, (see section 24-72-204, Colorado Revised <br />Statutes). <br />If you have any questions or if you desire additional information on how the Department will be processing the Continental <br />disclosure, please don't hesitate to directly contact me at 303-692-3477 or by email at lynette.myers(a),state.co.us . <br />Sincerely, <br />I\ )? b ,ua <br />Lynette Myers <br />Office of Environmental Integration and Sustainability <br />cc: Paul Frohardt, (Director of the Office of Environmental Integration & Sustainability, CDPHE) <br />Martha Rudolph, (Director of Environmental Programs, CDPHE) <br />David Rochlin, (Senior Air Enforcement Attorney, EPA Region 8)