Case 1:09-c v-02 148-REB-MJW Document 22-2 Fih3d 04/29/10 USDC Colorado Page 1 of 9



### SETTLEMENT AGREEMENT WHEREAS, o n October 22, 2009, Wil d Eart h Guardians
. filed an Amended Comp l ain t in Wi ld Earth Guardians v. Ja c k son, No. 09- cv-0214 8-REB-MJW ( D. Co l o . ), against Lisa J ackso n, in h er officia l capac ity as Ad m in i str ator of th e United States Env i ronmental Protection Agency ("EPA"); W HEREAS, WildEarth Guardians there in alleges that EPA has fa i led t o take actio n to app r ove or disapprove a number of State l m pl eme n tati1)n Pl an ("S IP ") s ubmi ss i ons from the States of Colorado, Montana, Utah and New Mexi co w i thin the time frame requi r ed by sect i on IIO ( k)( 2), of the Clea n Air Act ("CAA' ' ), 42 U.S.C. § 

### 7410(k)(2); WHEREAS, the Parties are entering into a se parate Consen t Decree to settle the majority
of the clai m s rai sed in the A m ended Co mplain t; WHEREAS , if the Parties were t o li tigate Wi l dEarth Guard ian s' c l a im s, EPA would raise jurisdictio n al defe nses to so m e of the c laim s in th e Amended Comp laint, and the Parties have therefore de c id ed to settl e tho se c l aim s thro u gh thi s Settlemen t Agreement, as opposed to th e sepa r ate Consent Decree; and WHEREA S, Wi l dEart h Guardians and EPA h ave agreed to a settlem e nt of th e claims
reso l ved in th i s Settl ement Agreement without adm ission of any issue of fact or l aw in order to avoidp r otr acted and cos tl y liti gation and to preserve judicial re so urces. NOW , TH E REFORE , the Partie s, inte ndin g t o b e bound by this Agreement, hereby st i pu l ate an d ag r ee as fo ll ows: l. Ex hibits l and 2 to t hi s Sett lement Agree ment consist of tabl es id ent i fy ing the S IP s ubm issions s ubj ect to this Settl e m en t Agreement an d the spec i fic dead lin e for E PA act i onCase 1 :09-cv-02148-REB-MJW Document 22-2 Filed 04/29/10 USDC Colorado Page 2 of 9

on each such SIP submission. This Settlement Agreement resolves WildEarth Guardians' claims in the Amended Complaint that EPA has failed to take action to approve or disapprove the SIP submissions identified in Exhibits I and 2 to this Settlement Agreement within the time frame required by section 110(k)(2) of the CAA, 42 U.S.C. § 7410(k)(2}. EPA shall sign a notice of final action approving in whole, partially approving and partially disapproving, or disapproving in whole each SIP submission by the respective deadline set forth in Exh ib it I or Exh ibit 2 for each specific SIP submission
. 2. Exhibits 1 and 2 to this Settlement Agreement also contain dates by which EPA will sign a notice of proposed action with respect to some, but not all, of the SIP submissions subject to this Settlement Agreement. So le l y with respect to those SIP submissions for which Exhibit I or Exhibit 2 contain a deadline for EPA to sign a notice of proposed action, EPA shall sign a notice of proposed action for the specific S l P submission by the specific deadline provided in Exhibit 1 or Exhibit 2
. If no deadline is provided in Exhibit l or E xhib it 2 for EPA to sign a notice of proposed action for any specific SIP submission, then EPA is not obligated under this Settlement Agreement to sign a notice of proposed action by any particular date. However, regardless of the date by which EPA signs a notice of proposed action for any specific S IP submission, EPA remains ob ligated to sign a notice of final action for each S IP submission by the respective deadline provided in Exhibits 1 or 2 to this Sett lement Agreement unless that deadline is extended by future agreement of the Parties. 3. Within 15 business days D)llowing signature on each notice required by Paragraphs I and 2 , and as set forth in Exhibits 1 and 2 to this Settlement Agreement, EPA shall deliver the notice to the Office of the Fed eral Register for publication.
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### 4
. The Partie s may agree t o extend one or m or

e of the dea dlines co ntai ned in Exhibits I and 2 by mutu a l writte n co nse nt. 5
. l fthis Settle ment Agreem e nt b eco m es fina l fol l owi n g th e n o

tic e-a nd- co mment process discussed in Par agra ph 8 below, th e Parties s hall file a joint mot i on und er Rul e 41
. 2 of th e L ocal Rule s for th e United States Di stri c t Court for th e Di s tri ct of Colo rado to c l ose Wi ld Ea rth Guardia ns v. Ja c kso n , No. 09- cv -02 148-.RE B-MJW (D. Co lo. ), admini strat ive l y with respect to th e c l a im s th at are re so lv ed in th is Sett l e m e nt Agreement. I f EPA fai I s to take ac ti o n o n any S IP submi ss i o n by the d ea dline provided und er Exh ibits I or 2 to this Settlement Agreement, then Wild Ear th Guardian s' sole r e m e d y under this Agreement s h a ll be th e ri ght t o ask the co urt to reope n the case and establish a sc hedule for further pr oceedin gs . EPA r eserves a ll of its defenses to th e c la im s addressed by th i s Settlem e nt Agreement. 6. EPA's o bli gatio n t o take any action required in P arag r ap hs I a nd 2 by the deadlines set forth in Exhibits I and 2 to this Settl e m ent Agreement s hall become null and void ifth e underlying S IP s ubmi ss ion to which th e d ea dlin e co rr espon d s i s withdrawn in wr i t in g by the r e l

evant Sta te prior to the relevant deadline. EPA shall provide Wild Earth Guardians with a co p y of an y written n o tic e of withdrawal pri or to th e r e levant dead lin e . In add iti o n , t h e Parties
r ecog ni ze th a t EPA ma y receive additional S IP s ubmi s :;io n s that may relate t o the S IP
s ubmi ss i o ns cove r ed by this Settl e m e nt Agreement. It 

### is possib l e that EPA may need to co n s id e r the r e l

e van ce of a particular a dditi o n a l SIP s ubmi ss ion t o a SIP su bmi ss i o n cove r ed by this Se ttl e m e nt Agreement prior t o the time th at E PA ta kes act i on o n the S IP s ubmi ss i o n cove r ed by this Se ttl e m e nt Agree ment. IfE PA b e li e v es it will need to de l ay act i o n o n any SIP submi ss i o n co v er

e d by thi s Sett l ement Agreement b eyo nd the deadline provi ded in Exhibi t I or 2 to thi s
3Case 1 :09-cv-02148-REB-MJW Document 22-2 Filed 04/29/10 USDC Colorado Page 4 of 9

Settlement Agreement due to an additional S IP submission by the relevant State, then EPA shall confer with WildEarth Guardians and req uest that the Parties agree to an extension ofthe relevant deadline. There may be other reasons that are not specifically mentioned in this Settlement Agreement which would potentially warrant an extension of a deadline. 7. Nothing in this Settlement Agreement shall be construed to limit or modify any d iscreti
. on accorded EPA by the Clean Air Act or by general principles of administrative law . 8. The Parties agree and acknowledge that final approval of this Settlement Agreement is subject to the requirements of Clean Air Act§ 113(g), 42 U.S.C. § 7413(g). That subsection provides that notice ofthis Settlement Agreement be given to the public, that the public shall have a reasonable opportunity to make any comments , and that the Administrator or the Attorney General, as appropriate, mu,:;t consider those comments in deciding whether to consent to this Agreement. EPA shall submit public notice of this Settlement Agreement to the Federal Register for publication and public comment within 15 days of execution of this Agreement by the Parties. After this Set1lement Agreement has undergone an opportunity for notice and comment, the Administrator and/or the Attorney General, as appropriate, shall promptly consider any such written comments in determining whether to withdraw or withhold consent to this Consent Decree , in accordance with section I 13(g) of the CAA. 9
. Except as set forth in this Agreement, the Parties retain all rights , claims , defenses , and discretion they may otherwise have. 10. The obligations imposed upon EPA under this Settlement Agreement may only be undertaken using appropriated funds. No provision of this Agreement shall be interpreted as or constitute a commitment or requirement t:hat EPA obligate funds in contravention of the Anti
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D

eficiency Act, 31 U.S
. C. § 1 341, o r any o th e r applicable law or regulation. II. WildEarth Guard ia n s s ha ll fil e a mot i on tor voluntary dismissal, w ith prejudice, in acco rd a n ce w ith Rule 4 1(a)(l) ofth e Fede r al Rul es 1)fCivil Pr oced ure of Wild Earth Guardians v. J ackso n, No
. 09-cv-02148-REB-MJW (D. Co lo .), w ith respect to the c l a im s
r eso l ved by this Settle m e nt Agreeme nt with in 30 d ays after notice appears in the Fede r al R

eg i ster of EPA taking the last rulemaking ac ti o n requ ired under Pa r ag r aph 1 ofth i s Settl ement Agreement. 1 2. WildEarth Guardians agrees that th e amou nt of atto rn eys' fees and costs paid by the Un i ted States to Wild Ea r th Guardians und e r t he related Co n sent Decree in WildEarth Gua rdi ans v. Jackson, No. 09-cv-02148-REB-MJ W (D. Co l o.), shall const itute f ull payment of th

e fees a n d costs up until the time of sig nin g this se tt l eme nt agreement which WildEarth Guard i ans co uld have so ught for the c l a im s add r essed by this Settl ement Agreement. However, WildEarth Guardians r ese r ves the ri g ht to see k fees and costs incurred in the future w ith r espect to the claim s addressed by thi s Settl e m ent Agreemen t i f W i I

dEarth Guardians reopens the litigat i on based upon an a ll eged fail ure by E P A to meet its ob lig at i o ns unde r thi s Sett l eme n t Ag r eement, or if EPA w i thd r aws its conse nt to this Sett l e m e nt Agreement following the noticea nd -comme nt process di scussed in Parag r ap h 8 above. EPA reserves a ll of it s defenses with
r espect to s uc h future fees a nd costs, including WildEarth Guardians' e ntitl eme nt to s u ch fees and costs. 13. The undersigned representative of each P arty certifies t hat he is fu lly aut h o ri zed by the Party he represents to bind th at Party to the terms of thi s Settlement Agreement.
5Case 1 :09-cv-02148-REB-MJW Document 22-2 Fi led 04/29/10 USDC Colorado Page 6 of 9

14
. Any written notices or other written communications between the Parties contemplated under this Settlement Agre-ement shall be sent to the undersigned counsel at the addres s es listed in the signature blocks below unless written notice of a change in counsel and/ or addres s is provided.

Dated: 2 / 2/ 20 l 0

Dated: 1/20 / 2010

6 JGNACIA S
. MORENO Assistant Attorney General

s/David A. Carson DA VTD A. CARSON United States Department of Justice E nvironment and Natural Re source s Division 1961 Sto ut Str e et
- 8 1 11 Fl oo r Denver, Colorado 80294 ( 3 03) 844-1 3 49 david
. a . carson <(Jl, usdoj .gov COUNSEL FOR E PA
s/James J. T utchton JAMES J. TUTCHTON WildEarth Guardians 15 3 6 Wynkoo p St. , Suite 3 01 Denver, Colorado 80202 (720) 301- 3 843 j tutchto n (b,)w i ldea rt hgu ardians
. org

s/Robert Ukeiley ROBERT UK E JLEY Law Office o f Robert Ukeiley 435R Ch es tnut Street, Suit e 1 Berea, Kentucky 40403 (859) 986-5402 rukei ley @i gc . org COUNSEL FOR WILDEARTH GUARDIANSCase 1 :09-cv-02148-REB-MJW Document 22-2**Fik~d** 04/29/10 USDC Colorado Page 7 of 9

Montana SIPs Item Gove rnor' s Title/Description No. Letter Dat e I. 04/14/ 1 999 Stack Height Rule s17.8.401-403 Stack Height Rule revisio ns 2
. 04/ 1 9/ 1 999 K raft Pulp Mill rul e Rul e r eco d. a nd opacity 3. 08/25/ 1 999 Subchapter 7 Permit , Co n s truction and Operation of Air Contaminant So urce s 4. 0 3/ 06/2 008 PM2.5 Attainme n t Pl a n fo r Libbv, MT

U tah S IP s Item Gove rnor' s Title/Description No. Letter Date

5. 10 /09/1 998 R307-401 Renumberin g ofNS R rul es 6. 0 1 /08/ 1 999 R307-413 Soi l ventin g and aeration 7. 02/22/ 1 999 1-ho ur ozo n e m

ainte nan ce p la

n 8. 09/20/ 1999 Rul es r eo r g. Grouping of s mall e r material s in to a co h e r

en t s tructure S ignature on Propo s ed

Action 06/30/2011 No ne None None

S ig . nature o n proposed

action 06/30/20 II 06/3 0 /2 011 None 06/3 0 /20 11 Sig nature on Final Action

1 2/30/201 1 06/30/201 1 03/31/20 II 1 2/3 1/2 010

S i gnature on final action 12/30/201 1 12/30/2011 06/30/20 II 12/3 0/20 1 1

EXHIBIT 1 Pa ge I of 2Case 1:09-cv-02148-REB-MJW Document 22-2 Filed 04/29/10 USDC Colorado Page 8 of 9

Uta h SfPs, continu ed Item Governor's Title /Description No. Letter Date

9
. 12/10/1999 R307-202

- 5 Open burning 10
. 03/30/2000 Ogden PM 10 S IP Clean Air Determina-tion II. 04/17/2 008 Utah R3 0 7-401-14 Used Oil Fuel Burned for Energy Rec overy 12. 05/08/2006 Utah Smoke Management Rules 13. 03 /07/2 008 Utah NSR SIP revision NS R R efc)fm. Proposed rul e publ i shed 1 /7/09. Signature on proposed

action 06/3 0 /2 011 12/3112011 06/3 0 /2 011 06/30/2 0 II 06 13 0 12 0 ll 

### if re -proposal

is needed. Otherwise, not

appl icable. Signature on final action
12

/30/2 011 06/3 0/2012 12

/3 0 /20 I I 12/30 /2 01 I 12

/3 0/2011

EXHIBIT 1 Page 2 of 2Case 1 :09-cv-02148-REB-MJW Do c ument 22-2**h~d** 04/29/1 0 USDC Colorado Page 9 of 9

New Mexico S lP s Ite m Gove rnor 's Tit le/Descript io n No
. Letter Date

I. 04/ ll / 2002 

### NM State Pt 73 Em i ss ions In ventories 2. 04/ 11/2002 

### NM St Pt 72 Construction Permits 3. 04/ 11 / 2002 

### NM StAir Quality Control Act 4. 05 /2 9/ 1998 

### NM Revisions to rule s for const ru ction permits S ignature on Propo sed Action 

### None 04/ 0 I /2 012 04/ 0 1 /2 012 04/ 01 / 2012 S ig nature on Final Action

01 / 02 /20 II I 0/0112012 10

/0112012 10

/0112012

EXHIBIT2

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