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Mr. Mark McLean, P.E. <br /> April 20, 2016 <br /> Page 2 of 5 <br /> trench. Stonewall Springs is not planning on mining nor is it providing water for dust control <br /> during this plan year. <br /> In accordance with the letter dated April 30, 2010 from the Colorado Division of Reclamation, <br /> Mining, and Safety ("DRMS"), all sand and gravel mining operators must comply with the <br /> requirements of the Colorado Reclamation Act and the Mineral Rules and Regulations for the <br /> protection of water resources. The April 30, 2010 letter from DRMS requires that you provide <br /> information to DRMS to demonstrate you can replace long term injurious stream depletions <br /> that result from mining related exposure of ground water. According to the renewal request, <br /> the long term plan for the site is to construct reservoir liners adequate to prevent the <br /> infiltration of tributary ground water. According to the 112c Annual Report received by DRMS <br /> on June 4, 2015 (available from the DRMS website at the following link: <br /> http://drmsweblink.state.co.us/drmsweblink/O/doc/1070247/Electronic.aspx?searchid=630e <br /> Odl5-6426-4bea-a388-d4228679d6bc), Fremont Paving currently holds a bond in the amount of <br /> $2,095,000.00 for reclamation at the site. Therefore, please provide an explanation and/or <br /> documentation that the financial warranty in the amount $2,095,000.00 is sufficient to <br /> cover the cost of installing a clay liner or slurry wall that meets the Division of Water <br /> Resources requirements for preventing ground water exposure, in accordance with <br /> approach no. 3 of the April 30, 2010 letter from DRMS, with the next SWSP renewal <br /> request. Please provide explanation or documentation specific to this portion of the mine <br /> site, being Phase I-Parcel 4. <br /> DEPLETIONS <br /> Well permit no. 54064-F (WDID 1406561) was obtained to expose water in this pit. Depletions <br /> under this plan consist of evaporation from 3.5 acres of exposed ground water within Phase (- <br /> Parcel 4 of the mine site. The total of 3.5 acres of exposed ground water will result in 12.07 <br /> acre-feet of evaporative loss (see attached Table 1) under this SWSP. <br /> A Glover analysis was utilized to determine lagged depletions to the stream from exposure of <br /> 3.5 acres of ground water. The Glover analysis utilized the following parameters: <br /> • Transmissivity - 100,000 gallons/day/foot <br /> • Storage Coefficient - 0.20 <br /> • Distance to the Stream - 2,090 feet <br /> • Distance to No-Flow Boundary - 5,460 feet <br /> Based on the tagging described above and as shown in Tables 3-4, attached, lagged stream <br /> depletions occurring during this SWSP plan year were determined to total 12.05 acre-feet. <br /> Projected post-2016 plan year depletions are calculated to be 2.56 acre-feet. <br /> REPLACEMENT <br /> During April 2016 through March 2017, 15 acre-feet of fully consumable replacement credits <br /> from the Arkansas Groundwater Users Association ("AGUA") available pursuant to a 2-year <br /> Lease (April 1, 2016 - March 31, 2018), will be provided to cover mining depletions. The <br /> credits wilt be generated through the delivery of fully consumable water available to AGUA <br /> 1313 Sherman Street, Room 821,Denver,CO 80203 P 303.866.3581 F 303.866.3589 www.water.state.co.us <br /> John W. Hickenlooper, Governor I Robert Randall, Interim Executive Director �" 01 <br />