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Department of Reclamation, Mining and Safety, dated May 10, 2013, attached hereto as <br />Attachment No. l; and Minor Revision Decision — Peabody Sage Creek Mine, Permit No. C- <br />2009 -087, M.L. 19, May 23, 2013, attached hereto as Attachment No. 2. Therefore, moving the <br />discharge points of compliance is consistent with, and furthers the objectives of DRMS decisions <br />that the wetlands serve as part of the water treatment system. <br />I. BACKGROUND AND SUMMARY. <br />A discharge permit was issued to regulate the pollutants in outflows from mine sediment <br />ponds, including ponds 002 and 004 (the "Ponds "). See Colorado Discharge Permit System, <br />CDPS Permit Number CO- 0048275 issued to Sage Creek Coal Company, Routt County <br />( "Discharge Permit "). On September 12, 2012, the Water Quality Control Division ( "WQCD ") <br />issued a notice of violation and cease and desist order to Peabody for seven alleged discharge <br />exceedances of the selenium levels in its Discharge Permit for the discharges from the Ponds <br />occurring in 2011 and 2012. See Notice of Violation and Cease and Desist Order, Number 10- <br />120912-1, issued September 12, 2012. <br />In discussion with the WQCD, Peabody noted that wetlands downstream of Ponds 002 and <br />004 provided further treatment. Water quality sampling of selenium discharges from the wetlands <br />verified that selenium concentrations were reduced after wetlands treatment. The WQCD <br />reasonably thought that the selenium compliance could occur at the flows from the wetlands. <br />Peabody outlined improvements planned to enhance the treatment capability for the wetlands <br />adjacent to each pond. <br />Following DRMS's issuance of Minor Revision 19, the U.S. Army Corps Engineers <br />( "Corps ") authorized Peabody's activities to enhance the wetlands below Pond 002. See, Email, <br />Authorizing Straw Bales Under NWP #27. Email from Steve Moore, Corps, dated June 13, 2013, <br />hereto as Attachment No. 3. <br />Peabody has outlined plans to complete a jurisdictional determination for the wetlands <br />adjacent to Pond 004. In fact, Amendment No. 1 to the NOV /CDO, includes a milestone <br />requiring Peabody to submit a request for a jurisdictional determination for Pond 004 wetlands. <br />Peabody has developed preliminary plans for Pond 004 wetlands to improve treatment functions, <br />subject to appropriate authorizations. <br />Surface and groundwater flows out of Ponds 002 and 004 into adjacent downstream <br />wetlands, which provide filtration and biologic uptake of selenium. After flowing through Pond <br />002 and the adjacent wetland, the wetland empties into Little Grassy Creek, a tributary to Grassy <br />Creek, while the flow from Pond 004 and its adjacent wetland enters Cow Camp Creek, a tributary <br />to Fish Creek. Flow from both Ponds and wetlands are increased during precipitation events or <br />spring snowmelt and runoff. Indeed, monthly low flows for these downgradient tributaries were <br />set at zero based on USGS gages and information provided by Colorado Division of Water <br />Resources and the local water commissioner. Water Quality Assessment ( "Sage Creek <br />