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WHEREAS, installation of these bulkhead seals will impound water behind the <br /> bulkheads, eventually flooding the Mine, and at some time subsequent to initial Mine flooding, <br /> water, which is now discharged through the American Tunnel and Terry Tunnel portals <br /> pursuant to the CDPS Permits, may flow through underground fractures and fault systems <br /> which may form seeps and springs which discharge into surface waters. <br /> WHEREAS, the Parties dispute whether or not the seeps and springs which may <br /> emerge or increase following installation of bulkhead seals in the American and Terry Tunnels <br /> would be subject to the permit requirements of the Act. The Division's position is that any <br /> such seeps or springs could be enforceable against SGC as violations of the Act as the <br /> discharge of pollutants to state waters from a point source without a permit. SGC's position is <br /> that any such seeps and springs would not be subject to the permit requirements of the Act <br /> because they would not constitute the discharge of pollutants by SGC from a point source. <br /> WHEREAS, SGC filed a Complaint for Declaratory Relief in this case against the <br /> Division requesting that the Court determine the applicability of the permit requirements of the <br /> Act so that final reclamation could proceed. <br /> WHEREAS, the Parties desire that reclamation of the Mine proceed to completion. <br /> WHEREAS, SGC desires termination of CDPS Permits No. CO-0027529 and CO- <br /> 0036056. <br /> WHEREAS, to resolve this dispute, to allow SGC to proceed with final reclamation of <br /> the Sunnyside Mine, to provide for closure of the American and Terry Tunnels by hydraulic <br /> seals, to provide for mitigation of certain other historic mining conditions, to protect the <br /> 38911-3 512,196 6 <br />