John Raftopoulos, et al. Clean Water Act Settlement

(Washington, DC - March 18, 2021) – The U.S. Department of Justice, U.S. Environmental Protection Agency (EPA) and Bureau of Land Management (BLM) announced a proposed settlement today with John Raftopoulos, Diamond Peak Cattle Company, LLC, and Rancho Greco Limited, LLC (collectively, Defendants) to resolve violations of the Clean Water Act (CWA) and the Federal Land Policy and Management Act (FLPMA) involving unauthorized discharges of dredged or fill material into waters of the United States and trespass on federal public lands in northwest Moffat County, Colorado.

• Overview
• Violations
• Pollutant Impacts
• Injunctive Relief
• Civil Penalties, Damages, and Costs
• Comment
• For More Information, Contact

Overview

Mr. Raftopoulos runs Diamond Peak Cattle Company, LLC and Rancho Greco Limited, LLC. These operations encompass some 55,000 acres of deeded land and another 250,000 to 300,000 acres of BLM and state and private leases. Diamond Peak Cattle Company, LLC is one of the largest ranching operations in Colorado.

Violations

On October 22, 2020, the United States filed suit in federal district court alleging that beginning in approximately 2012, and as recently as approximately 2015, Defendants discharged dredged or fill material into Vermillion Creek and its adjacent wetlands in order to route the creek into a new channel, facilitate agricultural activities and construct a bridge. These alleged unauthorized activities occurred on private land owned by Defendants and on public land managed by BLM, constituting a trespass in violation of FLPMA. Vermillion Creek and its adjacent wetlands are waters of the United States and may not be filled without a CWA Section 404 permit from the U.S. Army Corps of Engineers (Corps), which was not obtained. EPA develops and interprets the policy, guidance and environmental criteria the Corps uses in evaluating permit applications. 

The United States’ lawsuit further contended that Defendants’ alleged trespass also included unauthorized irrigation, removal of minerals and destruction of numerous cottonwood trees on federal public land. The fill and related activities on BLM lands were conducted without BLM authorization. Defendants’ trespass actions not only interfered with the public’s right to current enjoyment of federal public lands, but also jeopardized the future health and maintenance of these lands for use by all.

Pollutant Impacts

The portions of Vermillion Creek and its adjacent wetlands impacted by Defendants’ unauthorized activities provided aquatic and wildlife habitat, runoff conveyance and groundwater recharge.  The straightening of Vermillion Creek contributed to erosion of the bed and banks of the stream and detrimental sediment deposition downstream of the channelization. Browns Park National Wildlife Refuge, which provides important habitat for the endangered Colorado pikeminnow, is located at the confluence of Vermillion Creek and the Green River, approximately one mile downstream from the impacted area.  Similarly, the destruction of numerous cottonwood trees located adjacent to the creek eliminated nesting, perching, and roosting habitat for raptor species, including bald eagle, golden eagle and red-tailed hawk. Cottonwood galleries with riparian vegetation also provide nesting habitat for a variety of migratory birds.   

Injunctive Relief

This proposed settlement will repair important environmental resources damaged by Defendants. The proposed Consent Decree requires Defendants to restore approximately 1.5 miles of Vermillion Creek and the 8.47 acres of wetlands impacted adjacent to the creek. Defendants will construct a stream channel with a length and sinuosity approximately equal to that of the pre-disturbance channel. The pre-disturbance alignment and full channel length of Vermillion Creek on BLM land will be restored. On private property, the restored channel will be returned to the pre-disturbance alignment with minor modifications to avoid hillslope areas. Additional channel length will be provided on private property to offset the length reduction associated with these modifications. The restoration work required by the proposed Consent Decree is intended to re-establish 9.51 acres of wetlands adjacent to the restored Vermillion Creek and rehabilitate 0.21 acre and establish 0.22 acre of wetlands along a downstream reach of the post-disturbance channel. The extra acreage will ensure that Defendants achieve a minimum of 8.47 acres of sustainable wetlands at the end of the proposed Consent Decree’s monitoring period. If, however, 8.47 acres of wetlands have not survived at the end of the monitoring period, the proposed Consent Decree identifies potential contingency areas to ensure that Defendants meet the 8.47 acres requirement. The proposed Consent Decree also requires Defendants to place a deed restriction on their property to protect the restored Vermillion Creek and its adjacent wetlands in perpetuity.  

Additionally, the proposed Consent Decree requires Defendants to remove the bridge they constructed over Vermillion Creek and to replace the cottonwood trees they destroyed on BLM land.

Civil Penalties, Damages, and Costs

For their alleged CWA violations, Defendants will pay a civil penalty of $265,000 within 30 days of the effective date of the Consent Decree.

For their alleged FLPMA violations, Defendants will pay damages of $78,194 within 30 days of the effective date of the Consent Decree. Defendants will also pay up to $20,000 in future administrative costs incurred by BLM related to restoration oversight within 30 days after receipt of BLM’s documentation and certification of these costs.

Comment

The proposed settlement, lodged in the United States District Court for the District of Colorado, will undergo a 30-day public comment period and then be subject to final court approval.  Information on submitting comment is available at the Department of Justice.

For More Information, Contact:

Sheldon Muller, Senior Assistant Regional Counsel
U.S. Environmental Protection Agency, Region 8
1595 Wynkoop Street (8ORC-LE-R)
Denver, CO  80202
(303) 312-6916
muller.sheldon@epa.gov

Monica Heimdal, Environmental Engineer
U.S. Environmental Protection Agency, Region 8
1595 Wynkoop Street (8ENF-W-NW)
Denver, CO  80202
(303) 312-6359
heimdal.monica@epa.gove

Kenneth M. Champagne, Environmental Scientist
U.S. Environmental Protection Agency, Region 8
10 West 15^th Street, Suite 3200 (8SEM-RC)
Helena, Montana  59626
(406) 457-5025
champagne.kenneth@epa.gov