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PERMIT #: M- 2014 -061 <br />INSPECTOR'S INITIALS: ERR <br />INSPECTION DATE: January 5, 2015 <br />OBSERVATIONS <br />This was a pre - operational inspection of the Schlosser Pit 1 conducted by Elliott Russell with the Division of <br />Reclamation, Mining and Safety (Division). Tom Schlosser and Todd Schlosser, with Schlosser Incorporated, were <br />present during the inspection. <br />The I I 2 construction materials permit application was received by the Division on October 23, 2014. The application <br />was deemed complete on December 2, 2014. After the Division received a decision date extension request, the decision <br />due date has been set for April 1, 2015. The Applicant published public notice as required by Rule 1.6.2(d) for four <br />consecutive weeks. Based on information provided by the Applicant, the last notice was published on January 1, 2015. <br />The public comment for the application ended on January 21, 2015. No objections were received by the Division. <br />The proposed I I 2 permit will encompass 80 acres with about 50 acres planned for mining disturbance. The proposed <br />post - mining land use for the site is Pastureland. Slopes will be reclaimed at a 3H:1 V or flatter with 12 -18 inches of topsoil <br />replaced during reclamation. The gravel deposits proposed for extraction are located on the south side of the ephemeral <br />channel known as Sandy Creek. This channel enters the proposed permit along the northern half of the western boundary, <br />runs through the northern portion of the site, and leaves the site along the eastern boundary. <br />At 15:30, the Division met the Operator's representatives at the proposed mine site entrance, located 1 mile south of <br />County Road K, on the west side of County Road 49. At the time of the inspection the temperature was cold, the sky was <br />overcast, and the ground was frozen. There was up to 10 inches of snow covering the ground throughout the site. The <br />mine site notice sign was observed at the entrance to the site and was in compliance with Rule 1.6.2(b). The permit <br />boundary had been delineated by metal fence posts at each of the four corners of the rectangular- shaped permit. Based on <br />monuments observed near these markers, the Division assumes these have been surveyed and set by a Professional Land <br />Surveyor delineating the Schlosser's property. <br />The Division observed that pastureland, listed as the current land use of the permit area, was the main use of the southern <br />portion of the site. Along the north side of Sandy Creek, an agricultural field (assumed to be owned by the northern <br />adjacent landowner) was observed extending into the permit area; this area extended approximately 25 acres into the <br />permit boundary. The Division also observed a similar situation along the southern boundary; a long sliver of an <br />agricultural field (assumed to be owned by the southern adjacent landowner) extended approximately 2 acres into the <br />permit boundary. The Applicant stated that these agricultural areas within the permit will not be disturbed. Two fences <br />lines, one along the southern edge of the northern agricultural field and one along the northern edge of the southern <br />agricultural field, were also observed during the pre - operational inspection. The Division addressed these structures, <br />which were missing in the application, in the Division's adequacy review letter dated February 3, 2015. <br />The Division observed a large excavated area and an associated overburden stockpile existing within the proposed permit <br />boundary. This disturbance was once permitted as the Reed Pit (M- 1983 -072) by Schlosser, Inc. and has since been <br />terminated. The pit is approximately 30 feet deep and encompasses 6.5 acres. The overburden pile, located 700 feet west <br />of the pit, is approximately 15 feet high and encompasses 3.5 acres. The overburden pile was stable and consisted of <br />adequate rangeland vegetation. The pit was also adequately vegetated, but comprised of a major erosional feature along <br />the reclaimed slope in the southeast corner of the excavated area. <br />During the inspection, the Applicant asked about activity versus inactivity at the site after the permit has been issued and <br />due to the economy, how could the site be operated. Listed below are a few statements regarding this inquiry: <br />• If the site is left undisturbed and the Operator continues to submit Annual Reports and Fees, there will be no <br />requirements forcing the Operator to terminate the permit. <br />• When mining activities (construction material extraction, processing, or transportation) commence, Operators <br />must continuously engage in these activities. <br />o If mining activity occurs every year, but the activity occurs for less than 180 days in a year, then the <br />permit must be placed in "Intermittent Status" by submitting an application for a Technical Revision that <br />Page 2 of 10 <br />