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o-1co� COLORADO DIVISION OF RECLAMATION MINING AND SAFETY <br />MINERALS PROGRAM INSPECTION REPORT <br />PHONE: (303) 866-3567 <br />*.1876 <br />The Division of Reclamation, Mining and Safety has conducted an inspection of the mining operation <br />noted below. This report documents observations concerning compliance with the terms of the permit <br />and applicable rules and regulations of the Mined Land Reclamation Board. <br />MINE NAME: <br />MINE/PROSPECTING ID#: <br />MINERAL: <br />COUNTY: <br />Loloff Mine <br />M-1985-112 <br />Sand and gravel <br />Weld <br />INSPECTION TYPE: <br />INSPECTOR(S): <br />INSP. DATE: <br />INSP. TIME: <br />Monitoring <br />Peter S. Hays <br />June 11, 2015 <br />11:30 <br />OPERATOR: <br />OPERATOR REPRESENTATIVE: <br />TYPE OF OPERATION: <br />Loloff Construction, Inc. <br />Doug Derr, J.C. York <br />112c - Construction Regular Operation <br />REASON FOR INSPECTION: <br />BOND CALCULATION TYPE: <br />BOND AMOUNT: <br />Citizen Complaint <br />None <br />$689,552.00 <br />DATE OF COMPLAINT: <br />POST INS NTAC <br />JOINT INSP. AGENCY: <br />NA <br />None <br />None <br />WEATHER: <br />INSPE URE: <br />IGNATURE DATE: <br />Raining <br />June 15, 2015 <br />The following inspection tonics were identified as having Problems or Possible Violations. OPERATORS <br />SHOULD READ THE FOLLOWING PAGES CAREFULLY IN ORDER TO ASSURE COMPLIANCE <br />WITH THE TERMS OF THE PERMIT AND APPLICABLE RULES AND REGULATIONS. If a <br />Possible Violation is indicated, you will be notified under separate cover as to when the Mined Land <br />Reclamation Board will consider possible enforcement action. <br />INSPECTION TOPIC: Hydrologic Balance <br />PROBLEM/POSSIBLE VIOLATION: Problem: The dewatering activity at the Loloff Mine has caused disturbances <br />to the prevailing hydrologic balance of the surrounding area and to the quantity of water in the groundwater <br />system. <br />CORRECTIVE ACTIONS: Loloff Construction, Inc. must implement the approved mitigation plan for the site and <br />drill a new well, deepening the existing well or provided water service from the City of Greeley or North Weld <br />Water within 30 days of the mailing date of this inspection report. Failure to comply with the corrective action <br />will result in the problem escalating to possible violations and an enforcement hearing being scheduled in front <br />of the Mined Land Reclamation Board. <br />CORRECTIVE ACTION DUE DATE: 7/15/15 <br />OBSERVATIONS <br />The Loloff Mine was inspected by Peter Hays with the Division of Reclamation, Mining and Safety <br />(Division/DRMS) in response to a citizen complaint (CT -04) received on May 27, 2015 from Mr. Clarence Lopez <br />on behalf of Marcos Hernandez and Maria de Lourdes Palma. This complaint is a continuation of the previous <br />complaint (CT -03) regarding possible impacts to the well owned by Mr. Hernandez. <br />The Hernandez property, 160 N. 1st Avenue, Greeley, CO 80631, is located northwest of the Loloff Mine. The <br />complaint letter states the source of water for the house is the domestic water well located on the property. <br />The latest complaint letter states the problems with the well have continued, the well goes dry for longer <br />Page 1 of 5 <br />