1989-12-21_GENERAL DOCUMENTS - C1981017

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DRAFT Subject To Board Approval Minutes, November 15, 1989 PAGE 8 The operator submitted a permit application to the Division on August 18, 1989, which was processed and approved. On October 6, 1989, the Division sent a letter to Mr. Paul Jones , who represents the operator, informing him that the permit was approved, but that no mining operations were to begin until the permit was issued, i .e, after receipt of a financial warranty. On October 11 , 1989, the Division received a performance warranty and a $5,000 financial warranty from the operator, and the permit was issued on that date. An October 13, 1989, letter notified the operator of the permit issuance. After the permit's approval date and prior to its issuance date, Division Staff drove by the site and discovered that certain site preparation was being conducted at the site, i .e. , enlargement of the tailings pond, construction of a downgradient retention berm and construction of an upgradient diversion structure. None of the structures appeared to be completed, but the construction was in progress. Staff determined that the site preparation work constituted development work, as defined in the Act, i.e., preparing a site for mining, including construction of ancillary facilities is considered development. The Division felt this development/site preparation should not have occurred, until the warranty was submitted and the permit issued, because of the reclamation liability incurred by the activities. On October 12, 1989, the Division notified Mr. Jones that there was a problem with the operations and that the operations cease, until the warranty was submitted and accepted by the Division. The operator complied, and the operations- were ceased immediately. Staff presented EXHIBIT A, a Civil Penalty Worksheet, and recommended that 1 ) a Notice of Violation be issued; 2) no Cease and Desist Order be ordered and 3) no Corrective Actions be ordered, as the permit has issued. Staff recommended a Civil Penalty be assessed at $110 per day for 5 days or $550. Staff referenced a map from the permit application file, further discussed this site and answered questions from the Board. Mr. Paul Jones addressed the Board and provided information that on September 28, 1989, Division Staff told him the permit had been approved. On October 2, 1989, he obtain the bond and submitted it on October 11 , 1989. Construction of the pond began about October 4, 1989. On October 10, 1989, he received the Division's October 6, 1989, letter stating the permit had been issued. He answered questions from the Board. The Board suggested the nature of the possible violation be reduced from to gross negligence to negligence.