Sierra Club v. Cripple Creek & Victor Gold Mining Co.

509 F. Supp. 2d 943, 64 ERC (BNA) 1698, 2006 U.S. Dist. LEXIS 92900
CourtDistrict Court, D. Colorado
DecidedDecember 20, 2006
DocketCivil Action 00-cv-02325-MSK-MEH, 01-cv-02307-MSK-MEH
StatusPublished
Cited by5 cases

This text of 509 F. Supp. 2d 943 (Sierra Club v. Cripple Creek & Victor Gold Mining Co.) is published on Counsel Stack Legal Research, covering District Court, D. Colorado primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Sierra Club v. Cripple Creek & Victor Gold Mining Co., 509 F. Supp. 2d 943, 64 ERC (BNA) 1698, 2006 U.S. Dist. LEXIS 92900 (D. Colo. 2006).

Opinion

ORDER GRANTING, IN PART, MOTION FOR ATTORNEY FEES

MARCIA S. KRIEGER, District Judge.

THIS MATTER comes before the Court on two post trial motions for attorney fees (# 314, # 315) filed by the Defendants pursuant to 33 U.S.C. § 1365(d), to which the Plaintiffs have responded (# 333) 1 and to *946 which the Defendants have replied (# 334, #335). Also before the Court is the Plaintiffs’ Motion to Strike Defendants’ Evidence Under Fed.R.Evid. 408, Fed. R.Evid. 801, and Fed.R.Civ.P. 68 (#332), to which the Defendants have responded (# 336, # 337) and to which the Plaintiffs have replied (# 338). Having considered the same, the Court finds and concludes as follows.

I. Jurisdiction

The Court exercises subject matter jurisdiction pursuant to 28 U.S.C. § 1331.

II. Factual Background

In 2000 and 2001, the Sierra Club and the Mineral Policy Center initiated two actions 2 pursuant to the citizen suit provisions of the Clean Water Act (33 U.S.C. § 1251, et seq) against AngloGold (Colorado) Corporation (“AngloGold Colorado”), AngloGold Ashanti North America (“An-gloGold N.A.”), Golden Cycle Gold Corporation (“GCG Corporation”), and the Cripple Creek & Victor Gold Mining Company (“CC & V”). 3 CC & V is a joint venture of AngloGold Colorado and GCG Corporation.

The Plaintiffs claimed that the Defendants’ gold and silver mining activities in the Cripple Creek Mining District in Teller County, Colorado, resulted in water pollution of nearby streams and creeks. In these actions, the Plaintiffs asserted two types of claims: (1) the Defendants violated the terms of the National Pollutant Discharge Elimination System (“NPDES”) discharge permits that had been issued for Carlton Tunnel and Arequa Gulch; and (2) the Defendants discharged pollutants from other point sources without a permit. The Plaintiffs sought a monetary penalty which, if awarded, would have been payable to the United States Treasury.

After the Plaintiffs commenced this lawsuit, the Environmental Protection Agency (“EPA”) and the Colorado Water Quality Control Division (“WQCD”) initiated two administrative enforcement actions to address all existing violations. The action initiated by the EPA resulted in a settlement agreement imposing the maximum penalty of $125,090 against the Defendants. The action initiated by the WQCD also resulted in a settlement agreement and the issuance of an injunction that required the Defendants to comply with the Clean Water Act 4 and permits issued thereunder.

In the older of the two civil actions, the Defendants moved for summary judgment, arguing that the outcome of the administrative enforcement actions barred the Plaintiffs from pursuing similar claims in this Court. 5 In ruling upon the Defendants’ summary judgment motions in March 2004 (# 164), the Court recognized the overlap between the claims resolved in the administrative enforcement proceedings and the claims asserted in this matter. The Court concluded that the Plaintiffs could proceed on their claims in this matter despite the administrative proceedings because: (1) the Clean Water Act authorizes a citizen action, such as this, if it is *947 brought before the administrative proceeding begins; and (2) the monetary penalty that theoretically could be obtained in a citizen action is greater than the maximum penalty in an administrative action. Despite allowing the Plaintiffs to proceed in this matter, the Court’s ruling implicitly recognized that the outcome of the administrative proceedings significantly narrowed the scope of the dispute and the recovery which the Plaintiffs could obtain.

Discovery in this case proceeded for a very long time. At the close of the discovery period, the Plaintiffs advised the Court that the discovery they had conducted pertained only to liability, not to the issues of whether and how great a penalty should be imposed. As a consequence, trial in this matter was bifurcated, with the first trial to address liability, and, if necessary, another to address the imposition of a penalty-

Prior to the liability trial, the Court resolved several challenges to the opinions of the Plaintiffs’ experts pursuant to Fed. R.Evid. 702. Due to the Plaintiffs’ failure to establish the prerequisites for admission of expert opinions under Fed.R.Evid. 702, the Court excluded certain opinions — as to a hydrological connection between point sources and Cripple Creek and Four Mile Creek, as to the source of alleged pollutants, and as to whether there was a likelihood of future Clean Water Act violations from various point sources. 6

The liability issues were then tried to the Court over seven days. As to each claim, the Plaintiffs were required to prove that, at the time they had commenced their civil actions, the Clean Water Act violations were ongoing or likely to recur. 7 To prove their claims that the Defendants discharged pollutants without a permit, the Plaintiffs were also required to demonstrate that there was: (1) a discharge (2) of a pollutant (3) into navigable waters (4) from a point source (5) without a permit. After considering all of the evidence presented, the Court found that the Plaintiffs had failed to prove essential elements of their claims. It therefore entered judgment in favor of the Defendants (# 309, # 310). 8

With regard to the claims for violation of permit limits, the Court found that the Plaintiffs failed to establish any ongoing *948 violation. See note 7, supra. The limits of two permits were at issue — the Carlton Tunnel Permit and the Arequa Gulch Permit, the latter of which was modified by an order of the Teller County District Court referred to as the Teller County District Court Stay Order. 9 As to the Carlton Tunnel Permit, there was no evidence of flow or zinc exceedances for approximately 17 months prior to the filing of the Complaint, and no evidence of any exceedance of the limit for total suspended solids (TSS) for 4 lk

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Cite This Page — Counsel Stack

Bluebook (online)
509 F. Supp. 2d 943, 64 ERC (BNA) 1698, 2006 U.S. Dist. LEXIS 92900, Counsel Stack Legal Research, https://law.counselstack.com/opinion/sierra-club-v-cripple-creek-victor-gold-mining-co-cod-2006.