ENVIRONMENTAL QUALITY COUNCILMeetin2 Minutes - Rock Sprin2s~ WY

October 24~2007

Members Present: Richard C. Moore, P.E., Chairman; Dennis Boal, Secretary; Mark Gifford,John Morris, Kirby Hedrick, Dave Searle (Speaker Phone)

Members Absent: Sara Flitner, Vice-Chair

Others Present: Joe Girardin, Paralegal, Environmental Quality Council; Kim McGee,Executive Assistant, Environmental Quality Council; Bridget Hill, Asst. Attorney General; DebBaumer, Office of Administrative Hearings; Erik Molvar, Biodiversity Conservation Alliance;Jim Magagna, WY Stock Growers; Paul Murphy, SWCA; Marion Loomis, WY MiningAssociation; Don Schramm, RSGA; John Corra, WY DEQ; Brett Moline, WY Farm Bureau;Susan Soto; Jason Lillegraven; John Hay; Don Hartley; Mr. W.J. Johnson, Sweetwater Cty.Comm.; Ron Olsen, 0 & G Industry; Marcia Dunsmore, Friends of Sand Creek; GeorganneMitchell, Samson Resources; Jennifer Bates, Questar; Jana Weber; Craig Thompson; Mary LouMorrison; Rae Vanley; Ed Vanley; Ken Lippincott; Kenny Becker; Keith Burron, Assoc. LegalGroup; Greg Anderson, Samson Resources; Rick Robitaille, Anadarko; John Pallesen; PatiSmith, Sen. John Barrasso's office; Randy Shipman; Mike Evans; Nate Martin, Rocket MinerNewspaper; Michael Petrovich; John Vase; David Borzea; Chrissy Wilmetti; Tom Gagnon; DaleFrincke; Judith Wingerd; Mary Thomas, Sweetwater Co. Conservation District; Shane Schultz,Questar; Bill Spillman; Leighton Wessel

1. Call to Order:

Chairman Moore called the meeting to order. He visited with the participants of the agenda tosee if they could be available for the continuance of the meeting the next day. Chairman Mooremoved to the decisions item on the agenda.

4. Decisions:

Eight Main Stream Joint Stipulation - Docket No. 05-3203

Chairman Moore asked who among the audience was present for this case. John Burbridge,Assistant Attorney General, representing DEQ, Water Quality Division and Dessa Reimer,Holland and Hart, representing Anadarko.

Mr. Burbridge began by stating that a UAA Petition was filed originally by Kennedy Oil, and isnow Anadarko. He continued to brief the Council on the case and the discussions on the JointStipulation. He asked that the Council approve the Settlement Agreement. They were in theposition that it accurately protects the drainages as the DEQ interprets Chapter 1 of the Rules andRegulations. Chairman Moore asked Ms. Reimer if she had anything to add from Anadarko'sperspective.

Ms. Reimer stated that Anadarko agreed with the DEQ.

Chairman Moore asked the Council if they had any questions for either party. Mr. Searleconfirmed that the stipulation was also agreed to by the landowners. The signature from Mr.Dennis Kirven, who represents the landowners, was present on the document.

Chairman Moore asked for any further questions from the Council. He asked for a motion toapprove the Order Approving the Joint Stipulation and Dismissing the Appeal. Mr. Giffordmoved to adopt and approve the order, approving the Joint Stipulation. Mr. Boal seconded themotion. Chairman Moore asked for discussion on the motion. Chairman Moore asked to amendthe motion to authorize the chairman to sign the order. Mr. Gifford amended the motion. Mr.Boal gave consent to the amendment. No further discussion was heard on the motion. AllCouncil members agreed to the motion by saying aye. The motion passed.

Devon Energy - Order Dismissing Appeal- Docket No. 06-3812

Mr. Burbridge represented the DEQ Water Quality Division, in place of Mike Barrash in thiscase. He gave an overview of the case, along with a discussion on the dismissal. The DEQ wasrequesting that the case be dismissed. Chairman Moore asked the Council if they had anyquestions for Mr. Burbridge. There being no questions asked, Chairman Moore asked for amotion to approve the Order Dismissing Appeal and to authorize the presiding officer to sign theorder. Mr. Boal made a motion to approve the Order Dismissing the Appeal and to authorize thepresiding officer to sign the order. Mr. Gifford seconded the motion. Mr. Hedrick and Mr.Searle were recused from this case. The motion passed.

5. New Business

Transition of Director's Position and 2009-2010 Budget

Chairman Moore asked Ms. Lorenzon to briefly outline the plan of transition for her pendingretirement with specific emphasis on the time frame and actions within each time frame.

She began with discussing the time frame of 6 months for the Council to search for a newExecutive Director. There would also be an additional 3 months with a double occupancy fortraining the new director. Afterwards, Ms. Lorenzon would return as needed by the Council bycontract to assist the Council and the new director.

Ms. Lorenzon also discussed the outline of the job description and suggested that the Counciltake the information and edit it if need be. She also suggested putting together some type ofoutline, in terms of a resume to summarize the administrative jobs. This would summarize whatshe does in her job to be built into a job description. She mentioned that Ms. Flitner asked aboutthe state hiring process. This application process takes place through the State HumanResources. Then the applications would be sent to the agency for sorting. A team would bedesignated to do the interviewing. Ms. Flitner also suggested hiring a consultant to help with thejob search process. Ms. Lorenzon recommended sending the announcement out to the Statesystem, the bar associations of bordering states, industry organizations, etc. She also suggestedthe broader the audience, the wider variety of applications that would be received.

Ms. Hill added that a couple of the agencies that have hired a consultant are funded differently.She offered to check and see if the Council would be able to hire a consultant to help with theapplication process.

Ms. Lorenzon asked the Council to look at the job description and prepare it for theannouncement. She stated that the State Human Resources Division was putting together someinformation regarding the salary range. She also mentioned that there should be deadlines set forthe process and to have meetings along the way to discuss the process and keep it moving.

Ms. Lorenzon explained to the Council that the budget was approved as it is and that they do nothave to meet with the Governor, unless the Council chose to meet with him. She spoke withMike McVay, the Director of the Budget, and asked him for his opinion. He stated that theCouncil should keep their meeting scheduled with the Governor and talk to him about the plan.The meeting has been rescheduled from October 31,2007 to November 5, 2007. She suggestedto the Council to look at their schedules and if they need to change the date, they could.

If additional money is needed for the transition, Mr. McVay said that they could amend thebudget with the additional money added for the purpose of the transition. In the past, they havenever added additional money for a Director's position. In the past, the DEQ has funded theadditional money when the Council has run short with expensive scheduled hearings.

Chairman Moore stated that he was glad John Corra was present for the transition discussion andasked what his thoughts were regarding the additional money they might need. Mr. Corra statedthat if the Councilneededthemoneypriorto July 1st of next year, they could possibly help.

Chairman Moore suggested to the Council that they appoint sub-committee's from the Counciland assign tasks and deadlines. He mentioned that the discussion needed to be in a publicmeeting to get a record on the decision that they are going to accept Terri's resignation effectivewith her retirement.

Mr. Corra explained to the Council the procedure of working with A&I and how to minimize theamount of information to receive a larger volume of applicants. Also, the State A&I office willnot post outside of the state. The Council thanked Mr. Corra for his knowledge of informationfor the transition process.

Chairman Moore asked the Council for their thoughts about hiring a consultant for the applicantprocess. Mr. Morris suggested leaving it as an option. Mr. Corra added that the cost of hiring aconsultant will be 20-50% of the beginning salary of the new director. Ms. Baumer also addedthat the last at-will position she filled in her agency was done directly through her office.

Chairman Moore asked that a motion be made to except the transition plan and move forwardwith recruitment of a new Executive Director and acceptance of Terri's retirement within 9months.

Mr. Gifford made a motion to have Sara and Terri work together to come up with a jobdescription and have it ready for publication by November 15th. Mr. Boal seconded the motion.Chairman Moore called for a vote. The motion passed.

Chairman Moore adjourned the meeting for the evening and would reconvene the followingmorning, October 25that 8:00 A.M.

OCTOBER 25. 2007

Chairman Moore reconvened the meeting, mentioning that there was a quorum of members.Member Sara Flitner was absent and Dave Searle was present by conference call. ChairmanMoore moved to the next item on the agenda.

2. Approval of Minutes

Chairman Moore asked for any corrections to the April 12, 2007 conference call minutes. Mr.Hedrick made a motion to approve the minutes as were. Mr. Boal seconded the motion. Allmembers agreed to the motion by saying aye. Motion passed.

Chairman Moore asked for any correction to the June 21-22, 2007 meeting minutes. John Morriswas not in attendance at that meeting, so he did not vote on the minutes. Mr. Boal moved toaccept the minutes as they were. Mr. Gifford seconded the motion. All voting members agreedto the motion by saying aye. Motion passed.

3. DEQ Update

John Corra briefed the council on information from each division of the DEQ.

The Solid and Hazardous Waste Division is currently working on landfill and ground waterplanning. They are also working on establishing a funding source for the reclamation accountfor forfeiture sites and clean-up projects.

He reported that the Land Quality Division was working on land mining permits and uraniummine permits. Ifthe DEQ receives multiple permits in the future, manpower could be an issue inreviewing the permits.

The Air Quality Division is working on a permit for Two Elk and that the Dry Fork permit wasapproved. The Dry Fork project will begin soon.

The Water Quality Division is still working on the Ag Protection Rule. They are anticipating alot of public comment with a lot of interest in the Reisbeck numbers. Another project that WaterQuality is currently working on is impaired stream flow. The DEQ is working very closely withthe Dept. of Agriculture and the Conservation District.

Mr. Corra concluded by explaining another project of the Water Quality Division is thesubdivision reviews, DIC well permits for septic systems and water treatment systems. One ofthe difficult areas is Alpine. They are working very closely with the developers. He doesn't feelit will be as difficult as Copperleaf.

Mr. Corra explained a concern that he has regarding the rulemaking process. Mr. Corra

commented that he appreciated the Council's desire to simplify the process, but he feels that theprocess will not be played out as expected. He feels it's going to create an extra lot of work forthem and they believe it's unnecessary. Chairman Moore feels that he's trying to improve theprocess without much effort. Chairman Moore stated that he would meet with Mr. Corra to goover the process.

Ms. Lorenzon questioned Mr. Corra about the coal deficiency notices. Mr. Corra explained thatthe OSM had the DEQ on a time-line for resolving the deficiencies. The DEQ is currently stillworking with OSM, and the deficiencies have slowed down a bit in the last couple of years.

Chairman Moore recessed the council meeting to begin the public hearing on the Designation ofAdobe Town as Rare or Uncommon.

Deshwation of Adobe Town as Rare or Uncommon - Docket No. 07-1101

Chairman Moore reconvened the meeting to remind the Council that when they go through thedecision process for rare or uncommon cases, there are 2 steps that they have to go through.First, they must determine if the proposed area for designation does or does not contain thespecific attributes that are listed for rare or uncommon. Then, if they find that the area doesinclude one of those attributes, they have to consider whether it is rare or uncommon in contextof the state or region area. When they get to the final section of the rules, where it talks aboutthe area being rare or uncommon, they are required to consider whether it is very rare oruncommon when compared to other areas of the state or regions, or if the values are seldomfound, or values known or suspected to be declining which if left unprotected, could becomeextinct or extirpated.

Mr. Hedrick suggested to Chairman Moore that the staff, under the guidance of Terri, review thepetition and review the values in question.

Chairman Moore agreed and confirmed that the process should be handled by the Council andthe staff and they should consider the boundaries as proposed.

Ms. Lorenzon asked Chairman Moore about a question that was brought up the day before, in thepublic hearing, regarding information from other agencies. Did he want information regardingcrucial habitat, fish, etc.? Chairman Moore left the option open to the Council members as theyreview the material.

The next scheduled meeting will be November 28,2007 in Rock Springs, WY.

Chairman Moore closed the record and closed the hearing.

RESPECTFULLY SUBMITTED

Environmental Quality CouncilAPPROVED BY:

~c/?/~Richard C. Moore, P.E., Chairman

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