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United States Department of the Interior <br />OFFICE OF SURFACE MINING <br />vp <br />• <br />Reclamation and Enforcement <br />Western Region Office <br />1999 Broadway, Suite 3320 <br />Denver, CO 80202-3050 <br />January 31, 2017 <br />Mike Boulay <br />Coal Program Supervisor <br />Colorado Division of Reclamation, Mining and Safety <br />1313 Sherman Street, Room 215 <br />Denver, CO 80203 <br />Re: Phase III Bond Release Application SL -10, Colowyo Mine, C-1981-019 <br />Dear Mr. Boulay, <br />This letter acknowledges the Office of Surface Mining Reclamation and Enforcement (OSMRE), <br />Denver Field Branch's (DFB) receipt and review of the subject Phase III bond release proposed <br />decision prepared by the Division of Reclamation, Mining and Safety (DRMS) and issued <br />January 12, 2017. DFB agrees with the proposed decision and hereby provides OSMRE's <br />concurrence in accordance with 30 CFR 740.15 (d) (3) and 30 CFR 906.30, Article IX, Section <br />24 of the State -Federal Cooperative Agreement. <br />DFB participated in the bond release field evaluation at the Colowyo Mine September 7, 2016. <br />The surface estate associated with this bond release is a combination of federal, state, and <br />private; the mineral estate was federal and state-owned. Accordingly, the Bureau of Land <br />Management (BLM) notified DFB of its concurrence with the Division's proposed decision by <br />letter dated January 23, 2017. We interpret this letter of satisfaction to mean that Tri-State <br />Generation and Transmission Association, Inc. is in compliance with all applicable BLM <br />stipulations. <br />The Division's proposed decision notes the applicant's compliance with the Colorado approved <br />regulatory program at Rule 3.03.1(2)(c) and recommends authorizing the Phase III bond release <br />of the subject reclaimed parcels. The total bond release recommended by the Division is 202.4 <br />acres at Tri-State Generation and Transmission Association, Inc.'s Colowyo Mine. <br />DFB finds that Tri-State Generation and Transmission Association, Inc. has met or exceeded the <br />requirements for Phase III bond release on the parcels described above. DRMS currently holds a <br />performance bond in the amount of $ $80,517,829.00 for the Colowyo Mine. This amount covers <br />the entire minesite, including the acreage proposed for release under SL -10. Under this action, <br />DRMS proposes to release a total of $140,224.00 from Phase III bond liability. DFB concurs <br />with DRMS's proposed decision and recommends Phase III bond release for the requested areas <br />at the Colowyo Mine. <br />