March 21, 2018 Mr. Joel Rink Green Diamond Resource Company 900 Riverside Road Korbel, CA 95550 jrink@greendiamond.com Dear Mr. Rink: Subject: Notice of Violation of Order No. R1-2012-0087, Waste Discharge

Requirements for Discharges Related to Green Diamond Resource Company’s Forest Management Activities Conducted Within the Area Covered by its Aquatic Habitat Plan in the North Coast Region, and the Water Quality Control Plan for the North Coast Region

File: Order No. R1-2012-0087 (CW-784168) and Timber Harvest Plan 1-16-120

HUM “TT-100/200” (CW-829760) Green Diamond Resource Company (Discharger) is hereby given notice that by discharging and threatening to discharge sediment to surface waters, it has violated:

1. Waste Discharge Prohibitions 1 and 2 contained in the Action Plan for Logging, Construction, and Associated Activities in the Water Quality Control Plan for the North Coast Region (Basin Plan); and

2. Sections II.D. and IV.A.1-6 of Order No. R1-2012-0087, Waste Discharge Requirements for Discharges Related to Green Diamond Resource Company’s Forest Management Activities Conducted Within the Area Covered by its Aquatic Habitat Plan in the North Coast Region (Forest Management WDR).

Pursuant to California Water Code section 13350, the Discharger is subject to potential enforcement actions and penalties resulting from the violations described in this Notice of Violation (NOV). Violations pursuant to California Water Code section 13350 are subject to potential administrative civil liability penalties of up to $5,000 per day. The North Coast

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Regional Water Quality Control Board (Regional Water Board) assesses violations with a fair, firm and consistent approach that is appropriate to the nature and severity of violations. I. Introduction This NOV applies to the bridge crossing the northernmost Class II watercourse located at mile marker five on Road TT-100 (Site), an appurtenant road to Timber Harvest Plan (THP) 1-16-120 HUM (Attachment A). This NOV is supported by observations made on February 8, 2018, by Regional Water Board staff following the pre-harvest inspection (PHI) of THP 1-17-147 HUM. This NOV is also supported by a CAL FIRE Notice of Inspection (Attachment B) dated February 12, 2018. THP 1-16-120 HUM encompasses 348 acres of timber harvest area in the Upper Tectah Creek Watershed, a tributary to the Klamath River in the Lower Klamath River Hydrologic Area (HA), approximately ten miles southeast of the Town of Orick. The Lower Klamath River HA contains anadromous salmonids listed as threatened or endangered, and is also listed on the Clean Water Act Section 303(d) List for impairment or threat of impairment to water quality associated with temperature, sedimentation/siltation, and nutrients. Regional Water Board staff (Staff) participated in a PHI of THP 1-16-120 HUM on February 2, 2017. This THP was approved by CAL FIRE on May 8, 2017. II. Applicable Requirements

The Total Maximum Daily Load Implementation Policy Statement for Sediment Impaired Receiving Waters in the North Coast Region requires the Regional Water Board to address sediment discharges on a watershed-specific basis and directs Staff to rely on permitting and enforcement actions to ensure attainment of water quality standards. Accordingly, Staff assessed the Discharger’s compliance with the Basin Plan, Forest Management WDR and Aquatic Habitat Conservation Plan (AHCP), and determined that it has violated the following:

1. Basin Plan (page 4-29.00) The Basin Plan contains specific standards and provisions for maintaining high quality waters of the state that provide protection to the beneficial uses of waters in the Lower Klamath River HA. The Discharger violated Waste Discharge Prohibitions contained in the Action Plan for Logging, Construction, and Associated Activities (Action Plan) of the Basin Plan which are incorporated into the Forest Management WDR as Section IV. General Conditions A.1. and A.2.

2. Forest Management WDR

A. Section II. Specific Conditions D. Green Diamond Aquatic Habitat Conservation Plan (page 13):

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Except for discharges described in Condition E below, this WDR provides waste discharge coverage for discharges from Green Diamond’s forest management activities described in finding 5 carried out under the AHCP. All applicable mitigation measured identified in the Operating Conservation Program (AHCP Section 6.2) are requirements under this Order, including those identified in finding 30. Aquatic Habitat Conservation Plan Section 6.2.3.10 Road and Landing Use Limitations (page 6-43): 6.2.3.10.1 Turbidity Restrictions

1. Green Diamond will cease log hauling, road decommissioning, road upgrading,

road construction, and use of landings when the use of any portion of a road or landing results in runoff of waterborne sediment in amounts sufficient to cause a visible increase in turbidity in any ditch or road surface that drains into a Class I, II or III watercourse.

2. Use of roads for log hauling, road decommissioning, road upgrading, road

construction, and use of landings, will not resume until the road surface has dried sufficiently to allow use without resulting in runoff of waterborne sediment in amounts sufficient to cause a visible increase in turbidity in any ditch or road surface that drains into a Class I, II or III watercourse. This criterion will apply any time of year (including during summer storms).

6.2.3.10.2 Seasonal Restrictions

1. Green Diamond will carry out hauling or loading during the winter period only

on rocked surfaces.

B. Section IV. General Conditions A. Discharge Prohibitions (page 15):

1. The discharge of soil, silt, bark, slash, sawdust, or other organic and earthen material from any logging, construction, or associated activity of whatever nature into any stream or watercourse in the basin in quantities deleterious to fish, wildlife, or other beneficial uses is prohibited. (Action Plan Prohibition 1)

2. The placing or disposal of soil, silt, bark, slash, sawdust, or other organic and earthen material from any logging, construction, or associated activity of whatever nature at locations where such material could pass into any stream or watercourse in the basin in quantities which could be deleterious to fish, wildlife, or other beneficial uses is prohibited. (Action Plan Prohibition 2)

Mr. Joel Rink - 4 - March 21, 2018

3. Discharges of waste, which are not otherwise authorized by waste discharge requirements, or other orders issued by the Regional Water Board or the State Water Resources Control Board, to waters of the state in violation of Basin Plan standards, are prohibited.

4. Discharges must not cause or threaten to cause pollution, contamination, or nuisance.

5. Discharges must not adversely impact human health or the environment or the beneficial uses of water set out by the Basin Plan.

6. Discharges of waste in the Klamath River Basin that violate any narrative or numeric water quality objective, that are not authorized by waste discharge requirements or other order or action by the Regional Water Board or State Water Resources Control Board, are prohibited.

III. Alleged Violations Staff observed saturated soil conditions, vehicular ruts and sediment-laden riparian vegetation at the Site. These observations indicate: the Discharger did not cease use of Road TT-100 when use was resulting in runoff sufficient to cause a visible increase in turbidity in the ditch and road surface draining to the Class II watercourse; the Discharger carried out hauling during the winter period on an unrocked road surface; and sediment was likely discharged from the Site to the Class II watercourse due to a lack of adequate drainage and road surface protection. Furthermore, the conditions of the Site posed an imminent threat of further discharges of sediment to the Class II watercourse below if not immediately addressed. Photographs of the Site at the time of the PHI are contained within Attachment B. IV. Conclusion On February 20, 2018, Staff informed the Discharger it was required to submit a Discharge Notification pursuant to the requirements in Section II.H. of the WDR. On February 21, 2018, the Discharger submitted the Notice of Discharge to Staff, which documented that the Site was cleaned and re-rocked on February 14, 2018 (Attachment C). As a result, the Discharger is not required to take further action at this time to resolve the conditions that lead to issuance of this NOV. Please note that correcting the conditions of non-compliance does not preclude enforcement for the violations alleged in this NOV. The Regional Water Board reserves its right to fully enforce the law against any violation and threatened violation by taking enforcement actions such as a cleanup and abatement order, time schedule order, administrative civil liabilities and referral to the California Attorney General’s office.

Mr. Joel Rink - 5 - March 21, 2018

Administrative liabilities may be assessed beginning with the date that a violation first occurred. Should you have any questions regarding this matter, please contact Devon Jorgenson or Carley Dunleavy of my staff at Devon.Jorgenson@waterboards.ca.gov or (707) 576-2701, or Carley.Dunleavy@waterboards.ca.gov or (707) 570-3770. Sincerely, Fred Blatt Division Chief Nonpoint Source and Surface Water Protection Division 180321_DCJ_mc_1-16-120HUM_GWDRCoWDR_NOV Attachments: Attachment A - Site Location Map Attachment B - February 12, 2018, CAL FIRE Notice of Inspection Attachment C - February 20, 2018, Discharger Notice of Discharge

Certified Return Receipt Requested cc: Jay Fazio, CAL FIRE- jay.fazio@fire.ca.gov Robert Hurst, Discharger- rhurst@greendiamond.com Diana Henrioulle, Regional Water Board-Diana.Henrioulle@waterboards.ca.gov

“The Department of Forestry and Fire Protection serves and safeguards the people and protects the property and resources of California.”

STATE OF CALIFORNIA THE NATURAL RESOURCES AGENCY Edmund G. Brown Jr., Governor

DEPARTMENT OF FORESTRY AND FIRE PROTECTION PO Box 749 Trinidad, CA 95570 707-677-0761Website: www.fire.ca.gov

February 12, 2018

GREEN DIAMOND RESOURCE COMPANY P O BOX 1089 ARCATA, CA 95518-1089

NOTICE OF INSPECTION

Section 4604 of the Public Resources Code (PRC) requires the department to inspect timber operations for compliance with the Forest Practice Act and rules of the Board of Forestry and Fire Protection.

Harvest Document: 1-16-116-HUM GDRCO 56-1602 Inspection Date: February 08, 2018 Inspection Type: Inactive Inspection Number: 4 Person Contacted: ROBERT HURST

Comments:

The TT100 road was inspected. The bridge at the water drafting site was exhibiting saturated soil conditions and is not in compliance with the Winter Operating Plan:

Road and Landing Use Limitations (AHCP 6.2.3.10) Turbidity Restrictions 1. Green Diamond will cease log hauling, road decommissioning, road upgrading, road construction,and use of landingswhen the use of any portion of a road or landing results in runoff of waterborne sediment inamounts sufficient to cause a visible increase in turbidity in any ditch or road surface that drains into aClass I, II or III watercourse.2. Use of roads for log hauling, road decommissioning, road upgrading, road construction, and use oflandings, will not resume until the road surface has dried sufficiently to allow use without resulting inrunoff of waterborne sediment in amounts sufficient to cause a visible increase in turbidity in any ditchor road surface that drains into a Class I, II or III watercourse. This criterion will apply any time of year(including during summer storms) AHCP 6.2.3.10.1.

Sur facing for Roads and Landings 1. Green Diamond will not use roads during the winter period for hauling (logs and rock) unless theyhave surfacing specifications of a minimum compacted depth of 12 inches of rock.2. Only rock that is durable and does not break down with vehicle or heavy equipment use will beapplied to road surfaces.3. During the winter period, Green Diamond will not use vehicles on roads for administrative purposesunless the roads have rock applied as needed to prevent runoff of waterborne sediment in amountssufficient to cause a visible increase in turbidity in any ditch or road surface which drains into a ClassI, II, or III watercourse.

Saturated Soil Conditions means that soil and/or surface material pore spaces are filled with water to such an extent that runoff is likely to occur. Indicators of saturated soil conditions may include, but are not limited to: (1) areas of ponded water, (2) pumping of fines from the soil or road surfacing material during timber operations, (3) loss of bearing strength resulting in the deflection of soil or road surfaces under a load, such as the creation of wheel ruts, (4) spinning or churning of wheels or tracks that produces a wet slurry, or (5)

inadequate traction without blading wet soil or surfacing materials. At the time of inspection, a visible increase in turbidly was not observed but there is a high potential to discharge at this location. It appears a trailer off tracked over the corner of the bridge and created a rut that directs road surface run off into the watercourse. The surface of the bridge is in need of grading to remove soil and debris from the rails and durable rock needs to be applied. At a minimum erosion control devices shall be applied prior to the next rain event. Jeremy Drakeford, GDRCo Chief Forester has been notified and is aware of the situation. If you have any questions about this matter, please contact Jay Fazio at 707-677-0761. _______________________________ Signature Jay Fazio Forester I Humboldt Del Norte Unit cc: Unit, Region, RPF, TLO

Attachment B Site Location Map

Excerpt from page 72 in Section II of the THP.

Site location

Tectah Creek