Unlicensed gold mining (PETI) in Gampong Paya Ateuk, Pasie Raja Subdistrict, South Aceh Regency, still relies on traditional amalgamation using mercury, which has the potential to cause environmental pollution, land degradation, landslides, and health risks to the community. This phenomenon is driven by limited job opportunities and the community's high economic dependence on mining, while oversight and enforcement at the village level remain weak. This study aims to analyze and evaluate the implementation of local government policies and the role of health officials in environmental conservation. The study employs a descriptive qualitative method with an evaluative case study design based on the Input-Process-Output-Outcome (IPOO) framework, conducted from April to May 2026 with informants selected through purposive sampling. Data were collected through structured interviews, field observations, and document reviews, then analyzed using triangulation of sources, techniques, and theories. Findings on inputs indicate no regulations, dedicated personnel, or budgets at the village level. Regarding process, cross-sectoral oversight and coordination have been carried out but have not effectively controlled mining activities because the community considers the area a community-managed mine. In terms of outputs and outcomes, the study found land degradation, unreclaimed mine pits, declining river water quality, and potential health risks from mercury exposure. Overall, policy implementation has not been optimal due to weak village-level policy instruments and high economic dependence on mining. This study recommends strengthening village regulations, enhancing oversight, and providing economic alternatives for the community.