b. The DNRC should consider modifying its administra- 

 tive structure to allow for a unified surface and 

 ground water permitting system. Such a modifi- 

 cation is needed to provide for integrated, 

 conjunctive management of ground and surface 

 waters. The Clark Fork Basin is an area that 

 would benefit from this change. 



Natural Resource Damages Claim 



In December 1980 President Carter signed into law the 

 Superfund legislation to provide for liability compensation, 

 cleanup, and emergency response for hazardous substances 

 released into the environment and for the cleanup of inactive 

 waste disposal sites. 



Liability under Section 107 of the Act not only provided 

 for cleanup of hazardous waste sites, but extended to damages 

 for injury to and destruction of natural resources, including 

 the costs of assessing such damages. Section 107 provides 

 that, after deduction of the State's costs, all such damages 

 recovered from responsible parties are to be deposited into a 

 trust fund for the restoration or replacement of lost 

 resource value. The Montana Legislature, in adopting the 

 Montana "Mini Superfund" law, also included a course of 

 action under state law for assessing natural resource damage 

 claims. 



In 1983 Montana officials recognized the magnitude and 

 complexity of the Butte/Anaconda site and the fact that 

 federal funding was not available to assist in assessing the 

 damages. Because substantial natural resource losses have 

 occurred and are continuing to occur, the state filed a claim 

 against Anaconda Minerals Company/ARCO in December 198 3 in 

 U.S. District Court. The claim addresses the entire Clark 

 Fork watershed upstream from the Milltown Dam at Bonner. As 

 required by the 1986 amendment to Superfund, Montana's 

 Governor has now appointed certain state officials as 

 trustees who have the obligation to assess and pursue natural 

 resource damage claims. 



In 1987 the Montana Legislature appropriated funds from 

 the Resource Indemnity Trust Fund to pursue the natural 

 resources damage assessment for the Clark Fork sites and any 

 other potential sites. Their action was taken with the 

 expectation that the State's claims could begin to be 

 coordinated with any ongoing Superfund investigations. 



5-33 



