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PERMIT #: M-1981-022 <br />INSPECTOR'S INITIALS: MAC <br />INSPECTION DATE: December 10, 2015 <br />OBSERVATIONS <br />The inspection was conducted by Michael Cunningham of the Division of Reclamation, Mining and Safety <br />(Division). John Warren and Kevin Anderson were present on behalf of Connell Resources, Inc. and Bill <br />Schenderlein was present on behalf of Blue Earth Solutions. The Glass Gravel Pit is located 1/2 mile north of <br />Fort Collins, Colorado. The site is permitted for 15.4 acres and the post -mining land use is recreation. <br />Reclamation Success <br />The Glass Gravel Pit is in final reclamation; however, no reclamation was occurring at the time of the <br />inspection. The purpose of the inspection was to assess the backfilling activities which are occurring at the <br />southeast corner of the site. The Operator is backfilling an area of exposed groundwater and upon completion <br />of reclamation all areas of exposed groundwater will be eliminated. The Division last inspected the site on <br />January 29, 2013 and found that the area of exposed groundwater was 1.67 acres in size. The Operator had <br />reduced this area to 1.16 acres by March 2014. The current area of exposed groundwater is estimated to be <br />less than one acre, a GPS survey was not conducted during the inspection. The material used for backfilling is <br />imported to the site from other projects as it becomes available. The Operator anticipates that backfilling will <br />be complete next year. The Division will inspect the site in 2016 to ensure that all backfilling activities have <br />been completed. Following the completion of backfilling, the site will be graded and seeded with the approved <br />seed mix. The Operator has been diligently working to eliminate all exposed groundwater on the site since <br />2010. Failure to complete backfilling activities in 2016 may result in possible enforcement actions for failing to <br />complete reclamation within five years from the date mining has ceased as required by Rule 3.1.3. <br />Hydrologic Balance <br />The Division conducted a file review following the inspection and found the Substitute Water Supply Plan <br />(SWSP) on file expired on May 31, 2015. The Division does not have proof that the Operator renewed the <br />SWSP. Pursuant to Rule 3.1.6(1)(a), operations must be in compliance with applicable Colorado water laws and <br />regulations governing injury to existing water rights. The expired SWSP has been cited as a problem and will <br />require corrective action by the Operator. Please see the first page of this report for additional detail <br />regarding the corrective action. <br />Revegetation <br />The Division observed several small Russian olive trees growing between the eastern fence line and the <br />water's edge. The Operator will be able to access the Russian olive trees once backfilling is complete. The <br />Operator understands that Russian olive is on the Colorado Noxious Weed List and must be removed from the <br />site. The Division did not observe any other noxious weeds on site. <br />Financial Warranty <br />The Division holds a financial warranty in the amount of $116,700.00, which has been determined to be <br />adequate to complete reclamation. <br />This concluded the inspection. <br />Page 2 of 4 <br />