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PERMIT #: M-2001-018 <br />INSPECTOR’S INITIALS: JLE <br />INSPECTION DATE: December 15, 2016 <br /> <br /> <br />Page 3 of 6 <br /> <br />OBSERVATIONS <br /> <br />This was monitoring inspection of the Schumacher II mine site, DRMS Permit No. M -2001-018, operated by <br />Nienhueser Construction Excavating Co. I, Jared Ebert of the Colorado Division of Reclamation, Mining and <br />Safety (Division) conducted the inspection. Mr. Ronnie Christensen with Nienhueser Construction Excavating <br />Co. accompanied me during the inspection. Using the ArcCollector application, the affected area was <br />measured to be about 3.9 acres in size. Please see the attached map. <br /> <br />Backfilling and Grading: <br />Mining has been completed at this site and the affected area has been re-graded. The operator had excavated <br />into a hillside leaving gentle mine slopes that are about at a 3:1 horizontal to vertical ratio or less. The mine <br />slopes have a southern and western aspect. The hill slope consists of very sandy material and the slopes have <br />some rills that have formed that will need to be re-graded and stabilized. The sediment generated from this <br />rilling does not appear to have left the excavated area. <br /> <br />Financial Warranty: <br />The reclamation cost estimate was last calculated in 2001 when the permit was applied for. In accordance <br />with Rule 4.2.1(2), the Division has reviewed the estimated cost to reclaim the site and found that the current <br />bond of $8,800.00 is an inadequate amount. The Division calculated the cost to reclaim the affected area of <br />3.9 acres to be $16,470.90. Attached for the Operator review, is a copy of the reclamation cost summary. By <br />January 9, 2017, the Division will issue a Surety Increase (SI) revision; please contact the Division prior to <br />January 9, 2017 to discuss any questions regarding the cost estimate. When the SI is issued, the Operator <br />will then have 60 days to submit the additional financial warranty. <br /> <br />Hydrologic Balance: <br />Where the access road enters the excavation area, a large gully has formed on the west side of the road. Mr. <br />Christensen indicated the company had intended to fully reclaim the site this fall but ran out of time and will <br />likely conduct reclamation this spring. When reclamation is initiated, the operator will need to repair and <br />stabilize this area. This issue is cited as a problem at the beginning of this report. <br /> <br />Off-site Damage: <br />Off-site damage was not observed, however due to recent snow cover the ground visibility was obscured. <br /> <br />Roads: <br />The reclamation plan calls for reclaiming a 500 foot portion of the access road. At the time of the inspection <br />other than the gully cited in the Hydrologic Balance section of this report, the access road has been graded <br />and maintained. <br /> <br />Revegetation: <br />The mine excavation slopes have been graded, however the affected area has not been top soiled. Given this, <br />the site has not been revegetated at this time. <br /> <br />Sediment Control: <br />Please see the Hydrologic Balance section of this report regarding a gully observed at the site. <br />