2017-01-04_REVISION - C1981041 (7)

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tO,"T %>yF, United States Department of the Interior A�w OFFICE OF SURFACE MINING Reclamation and Enforcement Western Region Office 1999 Broadway, Suite 3320 Denver, CO 80202-3050 JAN 0 4 2017 Mike Boulay, Director Office of Mined Land Reclamation Division of Reclamation, Mining and Safety 1313 Sherman Street, Room 215 Denver, CO 80203-2273 RE: Approval of SL -9 Phase II and III Bond Release, Roadside Mine, Permit No. C-1981- 041 Dear Mr. Boulay, This letter acknowledges the Office of Surface Mining Reclamation and Enforcement (OSMRE), Denver Field Division (DFD) receipt and review of the above Phase II and III Bond Release Proposed Decision document prepared by the Division of Reclamation Mining and Safety (DRMS) dated November 23, 2016. The Proposed Decision documents the applicant's compliance with the approved Colorado regulatory program at Rule 3.03.2. The Division is concurrently processing a bond reduction in the amount of $44,985.57 due to its recent recalculation of the required reclamation liability amount. DRMS's proposed decision approves 2.8 acres of Phase II, 10.3 acres of Phases n and III, and 0.5 acres of Phase III bond release. This bond release applies to portions of the Roadside Mine northeast of Palisade, Colorado. OSMRE participated in the bond release inspection held on October 6, 2016. The Bureau of Land Management did not participate in the inspection. By letter dated December 6, 2016, the BLM provided its concurrence with the SL -9 bond release (attached). OSMRE interprets the BLM's concurrence to mean the Roadside Mine is in compliance with all BLM coal lease stipulations. The BLM's concurrence letter indicates a $97,202.20 reduction in liability. This number includes the $52,216.63 proposed for bond release under SL -9 in addition to the $44,985.57 bond reduction amount which not is subject to the procedures of Rule 3.03.2. Therefore the BLM number differs from the amount listed for bond release in the Division's findings and decision documents as well as in this concurrence letter from OSMRE. OSMRE agrees with DRMS that Snowcap Coal Company, Inc. has met or exceeded the requirements for Phase II and/or III bond release on the specified 13.6 acres of land as described in DRMS Proposed Decision document. The Division currently holds a performance bond in the amount of $805,952.60 for the Roadside Mine. DRMS proposes to release $52,216.63 with this bond release action ($6,415.15 less than the amount Snowcap Coal Company requested). OSMRE agrees with the findings and decision document and hereby provides OSMRE concurrence for the above bond release action in accordance with 30 CFR 740.15 (d) (3), and 30 CFR 906.30, Article IX, Section 24, of the State -Federal Cooperative Agreement.