Nevada state regulators have accused Elon Musk’s Boring Co. of violating environmental regulations nearly 800 times in the last two years as it digs a sprawling tunnel network beneath Las Vegas for its Tesla-powered “people mover.” The company’s alleged violations include starting to dig without approval, releasing untreated water onto city streets and spilling muck from its trucks, according to a new document obtained by City Cast Las Vegas and ProPublica. The September 22 cease-and-desist letter from the state Bureau of Water Pollution Control alleged repeated violations of a settlement agreement that the company had entered into after being fined five years ago for discharging groundwater into storm drains without a permit. That agreement, signed by a Boring executive in 2022, was intended to compel the company to comply with state water pollution laws. Instead, state inspectors documented nearly 100 alleged new violations of the agreement. The letter also accuses the company of failing to hire an independent environmental manager to regularly inspect its construction sites. State regulators counted 689 missed inspections. The Boring Co. is disputing the violation letter, a state spokesperson said. The Nevada Division of Environmental Protection could have fined the company more than $3 million under the 2022 agreement, which allowed for daily penalties to be assessed. But regulators knocked down the total penalty to $242,800. For example, the bulk of the total possible fine was linked to the alleged missed inspections, but the agency chose to levy just a $10,000 penalty for each of the company’s 11 permits. “Given the extraordinary number of violations, NDEP has decided to exercise its discretion to reduce the penalty to two $5,000 violations per permit, which it believes offers a reasonable penalty that will still serve to deter future non-compliance conduct,” regulators wrote in the letter. Payment of the penalty isn’t required until after the dispute resolution process is complete, a state spokesperson said. In the letter, the agency reminded the company that it “reserves the right to direct TBC to cease and desist construction activities” under the agreement.