Download - PacRim - Chuitna Water Reservation Appeals

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October 26. 2015 Eric B. FjeiaadliFjclslad <i pctkiiiscoic.com

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VIA MAIL AND EMAIL

[email protected]

Mark MyersCommissioner

Alaska Department of Natural Resources550 W. 7th Avenue. Suite 1400

Anchorage. Alaska 99501

Re: Appeal of Reservation for Stream 2003/Middle Creek-Lower Reach(LAS 27436)

Dear Commissioner Myers:

We represent PacRim Coal. LP ("PRC" or "PacRim") with respect to three applications filed bythe Chuitna Citizens Coalition ("CCC") to reserve water (hereinafter "reservations"* or "IFRs") indesignated portions of Stream 2003/Middle Creek. CCC"s applications were assigned case filenumbers LAS 27340, 27436 & 27437. respectively. On October 6. 2015. the Alaska Departmentof Natural Resources ("DNR"). Division of Mining. Land and Water. Water Resources Section,issued a decision granting a reservation of water to CCC to the Lower Reach of Stream 2003(LAS 27436) and denying applications LAS 27340 and 27437. PRC provided comments onCCC's application for a reservation of water (LAS 27436) and is. therefore, authorized to appealDNR*s decision to grant the reservation pursuant to 11 AAC 02.010(e).

By way of this letter. PRC appeals DNR's decision to grant a reservation of water to CCC for theLower Reach of Stream 2003 (LAS 27436). The decision should be reversed because:

• CCC did not demonstrate that a need exists for a reservation. Rather. DNR made certainimproper assumptions and justifications to compensate for CCC"s inability todemonstrate a need for the reservation, which lead to a flawed analysis by DNR.

• DNR used an approach to determine stream How that lacked transparency, that has nocorrelation to the level of water necessary to protect fish and fish habitat, and whichcould require PacRim to maintain stream levels below the mine area that generally do notnaturally exist in the Lower Reach of Stream 2003.

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