Code of Colorado Regulations
1000 - Department of Public Health and Environment
1002 - Water Quality Control Commission (1002 Series)
5 CCR 1002-33 - REGULATION NO. 33 - CLASSIFICATIONS AND NUMERIC STANDARDS FOR UPPER COLORADO RIVER BASIN AND NORTH PLATTE RIVER (PLANNING REGION 12)
Section 5 CCR 1002-33.18 - STATEMENT OF BASIS, SPECIFIC STATUTORY AUTHORITY, AND PURPOSE: July 6, 1988 Hearing on Segment 13 of the Yampa River

Current through Register Vol. 47, No. 5, March 10, 2024

The provisions of 25-8-202(1)(a),(b) and (2); 25-8-203; 25-8-204; and 25-8-207 C.R.S. provide the specific statutory authority for adoption of these regulatory amendments. The Commission also adopted, in compliance with 24-4-103(4), and 24-4-103(8)(d), C.R.S., the following statement of basis and purpose and fiscal impact.

BASIS AND PURPOSE:

The purpose of this rule is to remove the water supply classification from portions of Segment 13 in which there are no domestic users, and in which the classification is not necessary to protect downstream domestic uses. This result is accomplished by separating these portions of Segment 13 into a separate new segment and removing the water supply classification from the new segment.

The basis for the rulemaking follows:

A. There is no domestic water use on Fish, Foidel and Middle Creeks.

B. Domestic use is unlikely to occur in the foreseeable future on Fish, Foidel and Middle Creeks because virtually all adjoining property is owned or controlled either by the Forest Service or by Colorado Yampa Coal Company (CYCC), and is used for coal mining purposes. Additionally, the intermittent nature of the natural streamflow makes use of water in these creeks for domestic purposes impractical.

C. Removing the water supply use classification from resegmented Fish, Foidel and Middle Creeks will not degrade water quality, cause exceedances of applicable water quality standards to protect aquatic life (if any) in the new segment or in Trout Creek or impair existing water supply uses in Trout Creek downstream. In fact, the reclassification and resegmentation would recognize the existing situation and the reality that downstream domestic users are not being impaired at current treatment levels. Extensive and sound data was submitted establishing that no unacceptable degradation will occur. Downstream domestic water users will not be adversely impacted by the change.

D. The petitioner asserted that an additional basis for the rule is that the previous classification would have resulted in areawide adverse social and economic impacts. Studies indicate that it would cost CYCC $1,670,000.00 to construct a treatment plant to remove dissolved manganese from its discharges to levels previously mandated by the water quality standards and classifications. In addition, the treatment plant would cost approximately $596,000.00 annually to operate and maintain. The costs do not include the cost of disposal of 7,900 cubic years per year of sludge which would result from the treatment. The cost of this disposal is not estimated here because the sludge cannot be characterized conclusively in advance, and correspondingly it cannot be said with certainty what regulatory requirements might apply to its disposal.

These unreasonable costs are wholly out of proportion to any benefit provided by the current stringency of the standards. These costs, if CYCC were required to incur them, raise the question whether the mine can continue to operate. The impact on the area, socially and economically, of mine closure, including loss of jobs, salaries, tax revenues, and other economic benefits, would be severe, and is not justified by the negligible benefit (if any) to water quality effected by the current standard and use classification.

A study conducted from CYCC by the Center for Economic Analysis at the University of Colorado at Boulder concludes that closure of the mine, in addition to causing the loss of jobs of 43 CYCC employees, could also be expected to result in the loss of 58 additional jobs in the region and throughout the State. The lost wages would total $2,870,000. 70% of these impacts would be felt in the region where the mine is located.

FISCAL IMPACT:

The regulation will have no adverse fiscal impacts on the public sector. The proposed changes actually represent existing water usage patterns. There is no danger to aquatic life populations in the new segment or downstream. Additionally, the rule will not fiscally adversely affect downstream water users. However, the negative impact on CYCC would be great, including $1,670,000 of capital investment and approximately $596,000 a year in operation and maintenance cost.

The rule will have a fiscally positive impact both on CYCC and the area in which it operates. CYCC may continue to operate and need not expend prohibitive sums on treatment. In turn the area will continue to benefit from the economic effects on the community of continued operation, including jobs, salaries, disposable income for the local economy and tax revenues.

Parties to the hearing:

Colorado Yampa Coal Company

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