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Louis Head, New Elk Coal Company <br />Page 6 <br />July 22, 2014 <br />26. Topsoil <br />[See 13.u] <br />Rule 3.02: Performance Bond Requirements for Surface Coal Mining and Reclamation Operations <br />27. Operator Skill Level <br />The operator skill level correction factor has been increased from 0.75 to 0.9. <br />28. Material Consistency <br />The response is sufficient. <br />29. Material Weight Data <br />The response is sufficient. <br />30. Vegetation Failure Rate <br />Unless NECC is able to provide documented data to support a reduction in the revegetation failure rate <br />(e.g. from Las Animas county extension office, NRCS, CPW, etc.) the Division will continue to use a <br />failure rate of 33% when calculating the Reclamation Cost Estimate. <br />31. Disc Harrowing <br />The response is sufficient. <br />32. RCE task details <br />The response is sufficient. <br />Rule 3.02.2 - Determination of Bond Amount <br />The RCE has been updated with 2014 costs. A few tasks will still need to be changed pending the resolution <br />of the few remaining adequacy issues described above. When this is complete the RCE will be finalized and <br />shared with NECC along with accompanying explanatory notes. <br />Finally, the proposed decision due date for TR68 is July 31, 2014. Although the remaining issues <br />are relatively simple and few in number, this date may yet need to be extended again. Please <br />contact me with any questions or problems. <br />Yours sincerely, <br />Leigh Simmons <br />cc. Ron Thompson <br />Gorham Energy Consultants <br />