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is excavated and the material spread out we would cap the area with topsoil and reseed. All of this is explained in our <br />TR. This is what Walchle wanted. It is his plan. <br />All of this has been timely: <br />Once we had Walchle's final plan of the 3 acre pond which we received in an email in April 2016 we have had <br />our water engineer revising the 5W5P to change the property from a large lake to a 3 acre pond. We have <br />agreed to incorporate the 3 acre pond into our portion of the Colona Pit SWSP and provide water shares for <br />that plan. At our expense. <br />We obtained a very good source of topsoil and had it tested and it will grow the grass seed mix that is <br />approved for the Colona Pit. The bulk of the topsoil is coming from our Haldorson Pit that has been farmed <br />for years and is very good topsoil. We also tested a small pile of dirt that is on site and we are going to screen <br />the rock out of the dirt pile and use the screened dirt for topsoil. It also was tested and will grow the seed <br />mix approved. This is not an unreasonable process. <br />We just recently submitted the TR to change this portion of the Colona Pit from a large lake to a small 3 acre <br />pond and are waiting for DRMS approval. <br />Walchle wanted us to purchase topsoil from the owners of the new Uncompahgre Pit. We tried to work with them <br />and they are charging a price for their topsoil that makes it economically unfeasible. We are proposing to use <br />excellent topsoil that will grow the approved grass seed. It's just not from the Uncompahgre Pit. Walchle is not happy <br />about this. I discussed the topsoil situation with Walchle on July 26, 2016. 1 believe this prompted the citizen <br />complaint letter. I don't believe there is a directive that specifically states we have to use topsoil from the <br />Uncompahgre Pit. <br />Walchle claims we have no right to expose ground water. We submitted an Amendment in 2006 and subsequently <br />got the approval to be able to dig into the ground water for gravel. Although we never fully executed the plan to dig <br />25' into the ground water on their property we over excavated slightly so that during irrigation season the water <br />table rises and runs across the property into Oldcastle's property. Our TR will rectify this situation. <br />Obviously the lease has expired on the Walchle portion of the Colona Pit and we will need Walchle's permission to <br />enter the property to perform the reclamation. I feel we have been diligently working with Walchle on the project <br />and up until we received this citizen's complaint I thought we were at a point to start reclamation once we received <br />final approval of the recently submitted TR. I'm at a loss of how to proceed. I don't know how we would do anything <br />different. <br />I apologize for this situation elevating to the point that DRMS is getting involved. I am hopeful we can settle this issue <br />amicably. <br />Please let me know how you want to proceed from here and don't hesitate to contact me with any questions you <br />may have. <br />5inc , <br />Peter J. egmund <br />Vice President <br />Oldcastle SW Group, Inc. <br />0 Page 2 <br />