DAVID PORTER, JOHN E. CAUDLE, P.E., DIRECTOR CHRISTI CRADDICK, COWISSIONER RYAN SITTON, RAILROAD COMMISSION or TEXAS SURFACE MINING AND RECLAMATION DIVISION March 1, 2016 Sent by Email and First Class Mail Ms. Nellie Frisbee Fuels Manager San Miguel Electric Cooperative, Inc. PO. Box 280 Jourdanton, Texas 78026-0280 RE: San Miguel Electric Coop, Inc. San Miguel Mine, Permit No. 11G Final Action Noti?cation, NOV 118A Dear Ms. Frisbee: Termination of Notice of Violation NOV) 118A issued to the San Miguel Mine, Permit No. 11G, was provided by letter dated March I, 2016. Payment of the ?ne in the amount of $6,500 for this NOV was received by letter dated February 25, 2016. No further action is required in association with this NOV. If you have any questions or need further assistance, please contact me. Sincerely, Wm 011]?! E. Caudle, Director Surface Mining and Reclamation Division 1701 NORTH CONGRESS AVENUE 1% POST OFFICE BOX 12967 11' AUSTIN, TEXAS 78711-2967 1* TDD 800/735-2989 1* AN EQUAL OPPORTUNITY EMPLOYER 1* SMRD (02/10) RAILROAD COMMISSION OF TEXAS SURFACE MINING AND RECLAMATION DIVISION Notice of Violation No. 118A TERMINATION OF NOTICE OF VIOLATION Company: San Miguel Electrical Cooperative, Inc. County: Atascosa and McMullen Mine: San Miguel Mine Permit No.: 11G Mailing Address: P.O. Box 280 Jourdanton, TX 78026 Under the authority of the Texas Surface Coal Mining and Reclamation Act and the Texas Coal Mining Regulations, with respect to Notice of Violation No. 118A dated November 24, 2015, is hereby terminated because: The remedial action required the perrnittee to install adequate sediment control measures around the Drop Structure and the permit boundary to prevent sediment from leaving the permit area and plant the area with approved grass species. By letter dated February 25, 2016 (received by SMRD on February 29, 2016) the permitte informed SMRD that the remedial actions have been completed. The remedial actions were also veri?ed in the ?eld by SMRD Inspector Barry Gibbs on February 25-27, 2016. During Mr. Gibbs' three day inspection of the area, the mine had received approximately 3-4 inches of rain which did not cause any signi?cant impacts to the drop sturcture. Based on the ?eld inspection and the letter submitted to SMRD by the permittee, Notice of Violation 118A is hereby terminated. Dated: March 1, 2016 Signed: [Law-?x I (Authorized Repr?ativ? The Railroad Commission of Texas complies with Federal and State laws applicable to race, religion, national origin, sex, and disability. Information is available upon request by calling (512) 463-7288 or l-800-735-2989 if special assistance is required. P.O. 280, (830) 784-3411 235 l5 SAN MIGUEL ELECTRIC COOPERATIVE, INC. February 25, 2016 Mr. John Caudle, Director Railroad Commission Railroad Commission of Texas ?Texas Surface Mining and Reclamation Division RECEIVED P. O. Box 1296? FEB 2 2515 Austin, Texas 78711-2967 Surface Mining Division RE: San Miguel Lignite Mine, Permit 116 Notice of Violation 118A Payment of Penalty Dear Mr. Caudle: San Miguel Electric Coop, Inc. has completed required remedial actions for the abatement of Notice of Violation (NOV) 118A. The sediment has been removed from the basin for drop structure BN-2, new round hay bales have been placed to form a check dam for the basin and two rows of silt fence have been installed between the hay bales and the permit boundary. The structure has received 4.07 inches of rain over a two day period since installation and appears to be functioning as designed. Inspection Services Staff was on site this week shortly after the end of one of the intense rainfall events and viewed the area. The slopes of the haul road have been seeded with permanent grass species as well as the landowner?s property. Enclosed is a check in the amount of $6,500 as payment of the penalty assessed for Notice of Violation 118A. Please feel free to call me at 830.784.3411 ext. 204 if you have any questions or require additional information. Sincerely, Nellie Frisbee Fuels Manager Attachment CC: Derrick Brummett Reader File Reclamation Kiewit DAVID PORTER, CHAIRMAN JOHN E. CAUDLE, P.E., DIRECTOR CHRISTI CRADDICK, CUMHSWUNER RYAN RAILROAD COMMISSION OF TEXAS SURFACE MINING AND RECLAMATION DIVISION February 1, 2016 Sent by Email and First Class Mail Ms. Nellie Frisbee Fuels Manager San Miguel Electric Cooperative, Inc. PO. Box 280 Jourdanton, Texas 78026-0280 RE: San Miguel A and Mine, Permit No. 11G Notice of Violation 118A Modification No. 2 Dear Ms. Frisbee: Enclosed is a copy of the Modi?cation of Notice of Violation 118A, issued November 24, 2015, at the San Miguel Mine. If you have any questions concerning this information, do not hesitate to contact me at 512.305.8813. Sincerely, Scott Engelmann, Manager Inspection and Enforcement SE/sdj Enclosure pdfc: . Randall Greene, OSMRE Tulsa Field Of?ce Jeff Zingo, OSMRE Tulsa Field Of?ce 1701 NORTH CONGRESS AVENUE POST OFFICE BOX 12967 'k AUSTIN, TEXAS 78711?2967 ?k TDD 800/735-2989 AN EQUAL OPPORTUNITY EMPLOYER 11f SMRD (03/10) RAILROAD COMMISSION OF TEXAS SURFACE MINING AND RECLAMATION DIVISION Modification NO- Notice of Violation No. 2 118A MODIFICATION OF NOTICE OF VIOLATION Company: San Miguel Electric Cooperative, Inc (SMECI) County: Atascosa and McMullen Mine: San Miguel Mine Permit No.: 11G Mailing Address: P.O. Box 280 Jourdanton, TX 78026 Under the authority of the Texas Surface Coal Mining and Reclamation Act and the Texas Coal Mining Regulations, with respect to Notice of Violation No. 118A dated November 24, 2015, is modi?ed on this date to read as follows: Description of Violati0n(s): The permittee failed to maintain appropriate sediment control measures. The failure to install additional sediment controls allowed sediment to freely ?ow out of the permit and onto adjacent landowner property. Provisions of Regulations, Act, or Permit Violated: No Change Area of Operation Affected: No Change Remedial Action Required: 1. Install adequate sediment control measures aroound the drop structure and the permit boundary to prevent sediment from leaving the permit area. 2. Plant the area with approved grass species and/or with a temporary winter grass species. Time for Abatement: February 29, 2016 The reason(s) for this modi?cation are as follows: By letter dated January 29, 2016, SMECI requested a 30 day extension (February 28, 2016) for the Time of Abatement to complete the repairs to the drop structure. Since February 28 falls on a Sunday, SMECI is granted a 31 day extension to expire on February 29, 2016. Dated: February 1, 2016 Signed: Am,? i (Authorized Rb?esentative) The Railroad Commission of Texas complies with Federal and State laws applicable to race, religion, national origin, sex, and disability. Information is available upon request by calling (512) 463- 7288 or 1-800-735-2989 if special assistance is required. RAILROAD COMMISSION OF TEXAS SURFACE MINING AND RECLAMATION DIVISION NOTICE OF VIOLATION EXTENSION REQUEST BEYOND 90 DAYS Company San Miguel Electric County Atascosa Cooperative (SMECI) Mine San Miguel Li gnite Mine Permit No. 1 1G 118A Date Issued November 24, 2015 Justi?cation and recommendation for an abatement period of more than 90 days (?12.678) (granting or denying the request): By letter dated January 29, 2016, SMECI requested an additional 31 days (from prior date of January 29, 2016 to February 29, 2016), for a total of 91 days, to complete the remedial action for abatement of NOV 118A. The request is for additional time to complete the remedial actions delayed by wet weather. SMECI is, therefore, granted an additional 31 days (February 29, 2016) to complete the abatement of NOV 118A. Date February 1, 2016 Authorized Representative 1i,? Immediate Supervisor: Concur Disapprove Date 1" Supervisor Signature .4, Director: Concur Disapprove El Date 2] Director Signature AM The Railroad Commission of Texas complies with Federal and State laws applicable to race, religion, national origin, sex, and disability. Information is available upon request by calling (512) 463-7288 or 1-800- 735-2989 if special assistance is required PO. Box 280, Jourdanton, Texas 78026 (830) 784-3411 SAN MIGUEL ELECTRIC COOPERATIVE, INC. January 29, 2016 Mr. John Caudle, Director Railroad Railroad Commission of Texas ofTexas Surface Mining and Reclamation Division RECEIVED P. O. Box 12967 FEB 0 1 2015 Austin, Texas 78711-2967 RE: San Miguel Lignite Mine, Permit 116 Notice of Violation 118A Request for Extension for Time for Abatement Dear Mr. Caudle: San Miguel Electric Cooperative, Inc. is in the process of cleaning out the sediment basin and installing sediment control measures to remediate Notice of Violation No. 118A. The remediation activities have been delayed by the weather, during which time the drop structure was blocked with a berm so no water could flow through it. SMECI anticipates it will be complete with the required remedial actions in another 30 days. SMECI is requesting an extension of the Time for Abatement until February 29, 2016. Please feel free to call me at 830.784.3411 ext. 204 if you have any questions or require additional information. Sinc ely, Nellie Frisbee Fuels Manager CC: Derrick Brummett Reader File Reclamation Kiewit DAVID PORTER, CHAIRMAN JOHN E. CAUDLE, P.E., DIRECTOR CHRISTI CRADDICK, RYAN CUMMIWUNER SURFACE MINING AND RECLAMATION DIVISION January 27, 2016 Ms. Elaine Ramsey, Director Tulsa Field Of?ce Of?ce of Surface Mining Reclamation and Enforcement 1645 101St East Avenue, Suite 145 Tulsa, Oklahoma 74128-4629 RE: San Miguel Mine, Permit No. 11G Penalty Assessment Notice of Violation 118A Dear Ms. Ramsey: Enclosed are copies of the Assessment Worksheet and the Notice of Proposed Assessment for Notice of Violation 118A, issued on November 24, 2015. If you have any questions concerning this matter, do not hesitate to call me at (.512) 463-6901. Sincerely, 05M. John E. Caudle, Director Surface Mining and Reclamation Division Enclosure 1701 NORTH CONGRESS AVENUE 1" POST OFFICE BOX 12967 1% AUSTIN, TEXAS 7871 1-2967 1* TDD 800/735-2989 if AN EQUAL OPPORTUNITY EMPLOYER 1* DAVID PORTER, CHAIRMAN JOHN E. CAUDLE, P.E., DIRECTOR CHRISTI CRADDICK, COMMISSIONI-SH RYAN SITTON, RAILROAD COMMISSION OF TEXAS SURFACE MINING AND RECLAMATION DIVISION January 27, 2016 CERTIFIED RECEIPT NO. 91 7108 2133 3938 6133 6450 Ms. Nellie Frisbee Fuels Manager San Miguel Electric Cooperative, Inc. PO. Box 280 ourdanton, Texas 78026-0280 RE: San Miguel Mine, Permit No. 11G Penalty Assessment Notice of Violation 118A Dear Ms. Frisbee: The Surface Mining and Reclamation Division has completed review of Notice of Violation (NOV) No. 118A. Based on this review and the procedures contained in 16 TAC ??12.687 and 12.688, I have determined that the violation cited occurred and propose a civil penalty in the amount of $6,500. Enclosed is a copy of the Assessment Worksheet. The procedures to administer this assessment are described in ??12.691 and 12.692. A request for a review of the proposed assessment amount (assessment conference) must be received within 15 days from the date the assessment was mailed. Section 12.693 provides for a hearing if you contest the fact of the violation. The petition for a hearing together with the amount of the assessment must be received within 30 days from your receipt of the prOposed assessment. As described in ?12.694 if a hearing is not requested then the proposed assessment shall become a ?nal order of the Commission and the assessed amount shall become due and payable upon expiration of the time allowed to request a hearing. If you have any questions concerning this matter, do not hesitate to contact me at (512) 463-6901. Sincerely, (John E. Caudle, Director Surface Mining and Reclamation Division EC/se Enclosure 1701 NORTH CONGRESS AVENUE 'k POST OFFICE BOX 12967 it AUSTIN, TEXAS 78711-2967 TDD 800/735-2989 A AN EQUAL OPPORTUNITY EMPLOYER it ASSESSMENT WORKSHEET VIOLATION: 1 18A COMPANY NAME: San Miguel Electric Cooperative, Inc. MINE NAME: San Miguel Mine PERMIT NO: 11G 1. HISTORY OF PREVIOUS VIOLATIONS: ONE (1) POINT FIVE (5) POINTS EACH) One violation has been issued at this mine during the past twelve months. One (1) point is assessed. 2. SERIOUSNESS: (A) Probability of occurrence (RANGE: ZERO (0) TO FIFTEEN (15) POINTS) On November 24, 2015 SMECI was cited for the failure to maintain appropriate sediment control measures, allowing sediment to be deposited outside the permit area, a violation Of ??12.343 of the Regulations. The assessment of probability of occurrence refers to the occurrence of the event that the violated regulation was intended to prevent. An event refers to the environmental harm, personal injury or property damage, which the regulation is intended to prevent. In all Notices of Violation (NOV), a violation has already occurred; there is no question of probability involved in this regard. The question is whether any damage associated with the violation has occurred or will occur. This question is what is assessed qualitatively under probability of occurrence. The perrnittee requested an informal meeting with staff on December 10, 2015, to discuss the facts of this violation, which has been considered in this assessment. When an inspector writes a violation for failure to design, construct and/or maintain temporary sediment control measures using the best technology currently available, the event that the regulation is designed to prevent is water and land pollution through siltation. During the November 18-19, 2015 mine inspection, the inspector evaluated the BN-2 Drop Structure, located approximately 2,400 feet south of the bridge crossing La Parita Creek, on the north side of the main haul road, to determine if sediment control measures implemented by SMECI were functioning properly. The BN-2 Drop Structure has been a focal point of the inspections since NOV 114A was issued at this location in April 2015. Based on Observations made by the inspector, the event that the regulation is designed to prevent, in this case land pollution through siltation, did, once again, occur. Following issuance of NOV 114A, SMECI installed additional sediment control measures (silt fencing, hay bale check dams) below the BN-2 Drop Structure in an effort to curb further sediment leaving the permit area. Based on the inspector?s observations during the November 2015 inspection, the sediment control measures were not adequate to prevent erosion and sediment from going offsite again. According to the Statement of Inspector?s Observations, the hay bales that were installed below the BN-2 Drop Structure had silted up and eroded, leaving large gaps for sediment to freely flow out of the permit area. In addition, no silt fencing was installed along the permit boundary as a last line of defense. Due to the distance from the receiving stream (La Parita Creek), approximately 2400 feet, it is unlikely that sediment would have entered the creek and caused water pollution. Fifteen (15) points are assessed. (B) Extent of potential or actual damage (RANGE: ZERO (0) TO FIFTEEN (15) POINTS) The damage or environmental impact from the sediment deposition was located outside of the permit boundary. Based on the accompanying inspection report, the amount of off-site sediment deposition was slight, compared to the occurrence in April 2015 (NOV however, sediment was indeed deposited Off permit. Each inspection report subsequent to the April 2015 report discussed the need for additional/upgraded sediment control measures below the BN-2 Drop Structure to curtail off-site impacts due to sedimentation. Ten (10) points are assessed. 3. NEGLIGENCE: (RANGE: ZERO (0) T0 TWENTY-FIVE (25) POINTS) Negligence is the failure of a permittee to exercise the degree of care normally expected of a careful and reasonable operator. A greater degree of fault than negligence is considered when the permittee?s conduct is reckless, knowing, or intentional. The Commission shall assign up to 25 points based on the degree of fault of the person to whom the notice was issued in causing or failing to correct the violation, condition, or practice which led to the notice or order, either through act or omission. SMECI was issued NOV 114A in April 2015 for failure to maintain sediment control measures and prevent sediment from leaving the permit boundary. Each subsequent inspection and inspection report emphasized the need to maintain, increase and upgrade sediment control measures in the subject area because of the high potential for re-occurrence of the infraction. Each subsequent inspection report documented discussions with site personnel concerning the importance of fortifying the area above and beyond measures in place at the time NOV 114A was issued. The permittee did install some additional hay bales and silt fencing just below the BN-Z Drop Structure, but no measures were installed along the permit boundary as a ?nal barrier against sediment leaving the permit, after being suggested numerous times by the inspector(s); therefore, NOV 118A was issued following the November 2015 inspection, at which time, the inspector, again, observed failure of the sediment control measures, allowing sediment deposition beyond the permit boundary. Twenty (20) points are assessed. 4. GOOD FAITH: (RANGE: ZERO (0) TO ans TEN POINTS) Good faith points are added based on the degree of good faith of the permittee in attempting to achieve rapid compliance after noti?cation of the violation. On December 10, 2015, at the request of SMECI, an informal meeting was held with a SMECI representative and members of the Inspection and Enforcement staff to discuss the events leading up to the issuance of NOV 118A, in particular, the lack of due diligence in trying to prevent a second occurrence of off?site sedimentation through the implementation of adequate sediment control measures. Part of the remedial action for NOV 118A was to plant the area with approved grass species to stabilize the area against additional erosion. The area had not been planted at the time of the informal meeting with SMECI. Zero (0) points are assessed. TOTAL POINTS: ASSESSMENT: $6,500.00 A?za/? Scott Engel%@ll Date Assessment f?cer DAVID PORTER, CHAJRWN JOHN E. CAU DLE, P.E., DIRECTOR CHRISTI CRADDICK, COWISSIONER RYAN SITTON, RAILROAD COMMISSION OF TEXAS SURFACE MINING AND RECLAMATION DIVISION January 6, 2016 Sent by Email and First Class Mail Ms. Nellie Frisbee Fuels Manager San Miguel Electric Cooperative, Inc. PO. Box 280 Jourdanton, Texas 78026-0280 RE: San Miguel A and Mine, Permit No. 11G Notice of Violation 118A Modi?cation N0. 1 Dear MS. Frisbee: Enclosed is a copy of the Modi?cation of Notice of Violation 118A, issued November 24, 2015, at the San Miguel Mine. If you have any questions concerning this information, do not hesitate to contact me at 512.305.8813. Sincerely, Scott Engelmann, Manager Inspection and Enforcement SE/sdj Enclosure pdfc: Randall Greene, OSMRE Tulsa Field Of?ce Jeff Zingo, OSMRE Tulsa Field Of?ce 170] NORTH CONGRESS AVENUE POST OFFICE BOX 12967 AUSTIN, TEXAS 78711-2967 ?r TDD 800/735-2989 AN EQUAL OPPORTUNITY EMPLOYER SMRD (03/10) RAILROAD CONINIISSION OF TEXAS SURFACE MINING AND RECLAMATION DIVISION Modi?cation 0- Notice of Violation No. 1 18A MODIFICATION OF NOTICE OF VIOLATION Company: San Miguel Electric Cooperative, Inc County: Atascosa and McMullen Mine: San Miguel Mine Permit No.: C1 Mailing Address: P.O. Box 280 Jourdanton, TX 78026 Under the authority of the Texas Surface Coal Mining and Reclamation Act and the Texas Coal Mining Regulations, with respect to Notice of Violation N0. 118A dated November 24, 2015, is modi?ed on this date to read as follows: Description of Violation(s): The permittee failed to maintain appropriate sediment control measures. The failure to install additional sediment controls allowed sediment to freely ?ow out of the permit and onto adjacent landowner property. Provisions of Regulations, Act, or Permit Violated: No Change Area of Operation Affected: No Change Remedial Action Required: 1. Install adequate sediment control measures aroound the drop structure and the permit boundary to prevent sediment from leaving the permit area. 2. Plant the area with approved grass species and/or with a temporary winter grass species. Time for Abatement: January 3 1, 2016 The reason(s) for this modi?cation are as follows: NOV 118A did not list a date for the Time of Abatement. Dated: January 5, 2016 Signed: AM illorized Repl?esen@iyc) The Railroad Commission of Texas complies with Federal and State laws applicable to race, religion, national origin, sex, and disability. Information is available upon request by calling (512) 463-7288 or 1-800- 735-2989 if special assistance is required. DAVID PORTER, CHAIRAMN JOHN E. CAUDLE, P.E., DIRECTOR CHRISTI CRADDICK, COMMISSIONER RYAN RAILROAD COMMISSION OF TEXAS SURFACE MINING AND RECLAMATION DIVISION November 24, 2015 Sent by Email and First Class Mail Ms. Nellie Frisbee Fuels Manager San Miguel Electric COOperative, Inc. PO. Box 280 Jourdanton, Texas 78026-0280 RE: San Miguel Mine, Permit No. 11G Statement of Inspector?s Observations Notice of Violation 118A Dear Ms. Frisbee: Enclosed is a copy of the Statement of Inspector?s Observations and Notice of Violation 118A, issued November 24, 2015, at the San Miguel Mine. If you have any questions concerning this information, do not hesitate to contact me at 512.305.8813. Sincerely, Scott Engelmann, Manager Inspection and Enforcement SE/sdj Enclosure pdfc: Randall Greene, OSMRE Tulsa Field Of?ce Jeff Zingo, OSMRE Tulsa Field Of?ce 1701 NORTH CONGRESS AVENUE ?k POST OFFICE BOX 12967 if AUSTIN, TEXAS 78711-2967 if TDD 800/735-2989 AN EQUAL OPPORTUNITY EMPLOYER ?k NOV 118A San Miguel Mine Permit No. 116 Statement of Inspector?s Observations Notice of Violation No. 118A Issued to San Miguel Electrical Cooperative, Inc. San Miguel Mine, Permit No. 11G On November 18, 2015, SMRD Inspector Barry Gibbs and I inspected the Drop Structure to observe if the sediment control measures implemented by SMECI were ?mctioning properly. The BN-2 Drop Structure has been observed every month since SMRD Inspector, Jacob Eickstead, issued NOV 114A at this location in April 2015, for sediment leaving the permit area. During the following six months, Mr. Eickstead informed SMECI that immediate action is needed to ensure that sediment will not ?ow out of the permitted area an onto the adjacent property again. During my October inspection, SMECI representative David Burris and I traveled to the site for inspection. A backhoe was brought in (photo 1) on the second day of the inspection and attempted to remove sediment from the sump, but due to saturated soils, SMECI suspended the operation until the area dried out. I recommended to Mr. Burris that additional silt fence be installed around the sump location and along the permit boundary as extra protection. During the inspection on November 18, 2015, it appeared that two round bales of hay were added to the top of the drop structure (photo 2), the previously placed hay bales had washed down into the sump during the earlier rain events. Also, no additional silt fence was observed installed around the sump or along the permit boundary fence (photo 3). The hay bales that were installed earlier in the year around and below the sump, have silted up and have eroded, leaving large gaps between the bales allowing sediment to freely ?ow through and out of the permitted area (photo 4). Upon review of the Regulations, Permit No. 11G and discussion with the Manager, Notice of Violation 118A was issued to SMECI for failure to maintain appropriate sediment control measures at the sump below the BN-2 Drop Structure. This is a violation of Texas Coal mining Regulations Title 16, Texas Administrative Code ?12.343 and section .154 of Permit No. 1 1G. Aim tux/L? November 24. 2015 Jason porley 0 Date NOV 118A San Miguel Mine Permit No. 11G New hay bales placed at the top of the drop . .. . after the last rain event - Photo 2. Hay bale failure (View east). NOV 118A San Miguel Mine Permit No. 116 . . 1 Photo 3. Permit Boundary (fence line) with no sedinient control? measures (View north). Photo 4. Ineffective sediment control (view northeast). I 1(7\ ,1 (02/10) RAILROAD COMMISSION OF TEXAS SURFACE MINING AND RECLAMATION DIVISION Notice of Violation No. 118A NOTICE OF VIOLATION Company: San Miguel Electrical Cooperative, Inc. Mine Name San Miguel Mine Permit No. 11G Mailing Address: P.O. Box 280 City Jourdanton Zip 78026 County Atascosa and McMullen Telephone Number: (830) 784-3411 Notice Issued By: Jason Corley Date of Inspection: November 18-19, 2015 Description of Violation(s): Failure to maintain appropriate sediment control measures. Failure to install additional sediment controls allowed sediment to freely flow out of the permit and onto adjacent landowner property. Provisions of Regulations, Act or Permit Violated: Title 16, Texas Administrative Code ?12.343 of the Texas Coal Mining Regulations and section .154 of the approved permit No. 11G. Area of Operation Affected: Permit o. 11G, west of Drop Structure west of the main haulroad and south of the La Parrita Creek bridge crossing. Remedial Action Required: Install adequate sediment control measures around the drop structure and the permit boundary to prevent sediment from leaving the permit area and plant the area with approvggrass species. Time for Abatement: Immediately from the date of issuance to: A). Install the proper sediment control devices, and B). Plant the area with approvedgrass species. Inspector Signature I Date 1 i 32 L, 5., 85 This Notice of Violation directs the party cited to immediately initiate corrective measures, and constitutes a separate Notice of Violation for each violation listed. I hereby acknowledge receipt of this Violation. (Receipt does not constitute an admission of guilt) Date (Signature) (Position) The Railroad Commission of Texas complies with Federal and State laws applicable to race. religion, national origin, sex, and disability. Information is available upon request by calling (512) 463-7288 or 1-800-735-2989 if special assistance is required sum-21 {em 1} CQP RAILROAD CONIMISSION OF TEXAS SURFACE MINING AND RECLAMATION DIVISION COAL MINE INSPECTION REPORT Inspectable Unit Name: San Miguel Area Permit Number: 11G Permittee: San Miguel Electrical Cooperative Inc. (SMECI) County: Atascosa and McMullen Industry Representative(s) Present: Inspector: Jason Corley and Barry Gibbs Date of Inspection: November 18-19, 2015 Inspection Type: Complete Partial Special I. Field Conditions and Data Collection Samples Collected: No Yes Sample Type: Water Soil Vegetation El Wind Direction/ sw Average Temperature: 58? Soil Condition: Dry Moderate Wet Velocity (Est) Cahn 1 1/1 7/ 15 Last Rainfall: 0.10 inches Rainfall Since Last Inspection: 4.28 Year-To-Date Rainfall: 28.48 Date Inches Inches Photographs Attached: No El Yes IXI (Complete Section IV) II. Enforcement Action Taken Notice of Violation Issued: No Yes IE NOV No. 118A Cessation Order Issued: No XI Yes I: CO No. Off?Site Impact: No Yes (Attach Off-Site Impact Report form) Zim {m 9 m/ 11/24/2015 ?WA/ify??/r Inspectol Signature Date Reviewing So?a/ism Signature Date The Railroad Commission of Texas complies with Federal and State laws applicable to race, religion, national origin, sex, and disability. Information is available upon request by calling (512) 463- 7288 or 1-800- 735-2989 if special assistance is required. Page 1 (04/11) I Inspectable Unit Name: San Miguel Area ASLE Permit Number: 11G Inspection Date: November 18-19, 2015 Performance Standard Categories Codes: 1=Compliance; 2=Noncompliance; 3=Not applicable; 4=Comments (comments should be quali?ed by speci?c areas, observations, or discussions) A- SIGNS AND MARKERS (?12-330) G. COAL PROCESSING WASTE (??12.368?12.378) 1 Mine and Permit Markers 1 Perimeter Markers 1 Buffer Zone Markers i Blasting Signs PROTECTION OF FISH WILDLIFE AND . . . . . 1 Topsml/Sultable Mater1a1 Markers RELATED ENVIRONMENTAL VALUES 12.3 80) 1 B. CASING AND SEALING OF DRILL HOLES 1 I. PIPELINE PROTECTION 12.382) 1 C. TOPSOIL REQUIREMENTS 1 Topsoil Removal J. CONTEMPORANEOUS RECLAMATION .1 St opsol orage . 1 Back?lling and Grading Requirements 1 Matenals . . . . . . 1 Approxnnate Orlgmal Contour ACld and TOXIC Materlals 1 Temporary Cessation of Operations D. HYDROLOGIC BALANCE ?12.3s9) 1 Drainage Control . . . . K. REV - 2. 1 Water Quality Standards/Ef?uent L1m1tat10ns EGETATION (??12'390 395) 1 Stream Channel Diversions 1 Approved Land Use 1 Sediment Control Measures 12.343 128011 Stabllizmg Pract1ces Sednnent Ponds 1 Normal Husbandry Practices (ERA) Pond Certi?cation/Quarterly Inspections 1 Discharge Structures 1 Permanent/Temporary Impoundments L. ROAD REQUIREMENTS 1 Surface/Ground Water Monitoring 1 Design Criteria and Certi?cation 1 Postmining Rehabilitation of Ponds/Diversions 1 Location 1 Stream Buffer Zones 4 Maintenance and Drainage Control 1 Reclamation E. COAL RECOVERY (?12.356) 1 M. UTILITY INSTALLATIONS AND SUPPORT FACILITIES (?12.402 ?12.403) F. USE OF EXPLOSIVES i Pre-Blast Suwey/ Schedule N. AREAS WHERE MINING IS PROHIBITED OR 3 Control of Adverse Effects LIMITED (?12.71 ?12.220) Blaster Certi?cation 1 Distance Requirements Warnings/Records O. BOND INSURANCE 1 Page 2 (04/11) Inspectable Unit Name: San Miguel Area Permit Number: 11G Inspection Date: November 18-19, 2015 IV. Comments - Compliance Narrative (F or Complete Inspections, this section should include a review of the most current ef?uent monitoring reports, MSHA records, pond discharges/inspections, blasting records, bonding, permit revisions and/or plans maintained on site) In this section: ~Document the area of the permit inspected (pit designations or mine blocks) -Document the mine equipment in use during the inspection -Discuss observations made during the inspection (such as current activities. pond discharges, construction or drilling activities, etc.) -Document the results of any ?eld tests taken -Document all approved rough baclgillingx?grading variances, including expiration dates -Document any temporary cessations-of-operations -Provide a summary of any discussions with industry representatives, along with results, and expectations ?om those discussions -Describe any enforcement action taken during the inspection. along with facts or evidence supporting the enforcement action -Document a detailed description ofany o?site inns-act observed during the inspection Nearly all portions of Area A and Area of the San Miguel Mine, Permit No. 11G were observed during this Complete Inspection. SMRD InSpector, Barry Gibbs, accompanied during the inspection; no SMECI representatives were present for this inspection. Soil moisture conditions were moderate due to the earlier rainfall events, but access was still possible to most areas of the mine. At the close of inspection the year 'to date total rainfall for the permitted area was 28.48 inches, respectively. The following documents were reviewed in the Commission ?le room prior to the inspection: 3rd Quarter Surface/Groundwater records, Discharge Monitoring Reports Pond inspection reports and Insurance/Bonding documentation. The four plus inches of rain has greened up the vegetation throughout the inspectable unit considerably since the previous inspection as seen around Pond 11 (photo 1). Other areas continue to remain well vegetated, but have begun to display the first signs of winter vegetation and dormancy as seen west of Pond 1 (photo 2). SMECI staff has corrected the minor erosion issue, noted in the September Inspection Report, concerning the discharge pipe located near the southeast corner of Pond 11. The area appeared to have been repaired and piece of conveyor belt was placed underneath the discharge pipe to prevent scouring of the soil when discharging (photo 3). A signi?cant breach in containment was observed at the Drop Structure. After months of repeated warnings and recommendations from SMRD Inspector, Jacob Eickstead, the sediment control measures failed allowing sediment and water to ?ow freely out of the permit boundary and onto the adjacent landowner property (photos 4- 7). Additional hay bales were placed at the top of the drop structure after the October inspection, but had since washed down to the bottom of the drop structure. In a phone conversation with SMECI representative, Dave Burris, I informed him that due to the lack of installing suf?cient sediment controls and the disregard to SMRD inspector?s warnings that a notice of violation would be issued for this area. Base material was brought in and staged at the Pond 10 Access Road entrance (photo 8). According to Mr. Burris, this material will be used to raise the haulroad and divert the runoff to the appropriate sediment ponds (Pond I and Pond J) and away from the BN-Z Drop Structure. Page 3 (04/11) Inspectable Unit Name: San Miguel Area Permit Number: 11G Inspection Date: November 18-19, 2015 IV. Comments Cont. The ponds observed during the inspection appeared to be functioning as intended. No pond was observed discharging during the inspection. The Pond 15E discharge pipe (photo 9), Pond 1, Pond 8, and Pond A-l were observed during the inspection (photos 10-12). According to ?12.344 Hydrologic Balance: Siltation Structures of the Coal Mining Regulation of Texas, (1) additional contributions of suspended solids sediment to stream?ow or runoff outside the permit area shall be prevented to the extent possible using the best technology currently available and (2) all surface drainage from the disturbed area shall be passed through a siltation structure before leaving the permit. After review of Permit No. 11G, and from my observations in the ?eld, I found SMECI to be in violation of Title 16 of the Texas Administrative Code, Section 12.344 1) and (2) and section .154 of the approved permit; therefore, NOV 118A was issued on November 24, 2015. A telephone closeout meeting was held on Monday, November 24th with Mr. Burris. All items in this inspection report were discussed during the closeout meeting. No husbandry practices that would constitute augmentation were observed. As a result of this inspection, NOV 118A was issued to SMECI on November 24, 2015. Page 4 (04/11) Inspectable Unit Name: San Miguel Area Permit Number: 11G Inspection Date: November 18-19, 2015 V. Photographs Photo 1. Vibrant vegetation around Pond 11 (View west). Photo 2. Vegetation west of Pond 1 (View northwest). Page 5 (04/1 I) Inspectable Unit Name: San Miguel Area Permit Number: 11G Inspection Date: November 18-19, 2015 V. Photographs . - - (.- Photo 3. Conveyor material underneath the polypipe located south Pond 1 (Viewnorthwest). . . fl." . .. -. he Drop Structure (View northeast). 4:41 . Photo 4. Sediment control failure at Page 6 (04/11) Inspeetable Unit Name: San Miguel Area Permit Number: 1 1G Inspection Date: November 18-19, 2015 V. Photographs IL. 13.35? a. Photo 5. Hay bale and sediment eroded away (View northeast). Photo 6. Overtopped silt fence (View north). Page 7 (04/11) Inspectable Unit Name: San Miguel Area Permit Number: 11G Inspection Date: November 18-19, 2015 V. Photographs Photo 8. Road base material staged at the entrance to the Pond 10 Access Road (View west). Page 8 (04/11) Inspectable Unit Name: San Miguel Area Permit Number: 11G Inspection Date: November 18-19, 2015 V. Photographs I . I e" I w-Photo 10. Pond 1 (View east). Page 9