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EXHIBIT L <br /> Reclamation Cost <br /> Slurry walls have been constructed around Phases 1 through 4 and around Phases 5-12 and <br /> have been tested to ensure they meets the design standard in the "State Engineer Guidelines <br /> for Lining Criteria for Gravel Pits". See the attached approval letters from the State of Colorado <br /> Division of Water Resources. Prowers Aggregate Operators will provide the financial warranty <br /> for the remainder of the slurry wall construction required to close Phases 13 through 17 prior to <br /> exposing groundwater in those phases. 20% of the construction cost of the slurry walls has <br /> been included in the bond calculations for the slurry walls that are adjacent to active mining <br /> areas. <br /> A phased and cumulative bonding approach is proposed for the remainder of the West Farm Pit <br /> operation reclamation items. The financial warranty required for each phase is the warranty <br /> required to completely reclaim that phase. <br /> The financial warranty required for each phase of mining includes cost components for the <br /> cumulative areas of scarification of ground, topsoil placement, and revegetation required to <br /> close the current mined area should the project be stopped. Because these cumulative areas <br /> change for each phase of mining, new areas required to close the mined area as the next phase <br /> of mining occurs were calculated, and the financial warranty required for these areas for the <br /> previous phase is credited back in each phase's required financial warranty calculation. This <br /> accurately calculates the additional financial warranty required for any given phase of mining <br /> and for the current limit of disturbance, as well as accounts for the financial warranty that has <br /> already been posted to ensure that the Division has sufficient cumulative financial warranty to <br /> complete the reclamation. <br /> Direct costs related to the construction of the reclamation components that have been included <br /> in the financial warranty calculations include: Scarifying disturbed ground surfaces, re-applying <br /> topsoil over disturbed areas, revegetating disturbed areas, slurry wall construction, and <br /> contractor mobilization. The slurry wall costs are based on the average depth of the wall to <br /> calculate the per lineal foot cost. <br /> Overhead, profit, and project management costs were then calculated and added to the direct <br /> construction costs to arrive at the required financial warranty for each phase. <br /> As each new phase is started, the financial warranty for that phase will be posted with the <br /> Division. When a phase has been reclaimed, inspected, and accepted by the Division, the <br /> associated financial warranty for that phase can then be released. <br /> Please see the attached calculations for details of the costs and quantities used to determine <br /> the financial warranty required for each phase of mining. <br /> The following table summarizes the financial warranty required for each phase, and the <br /> cumulative financial warranty that will be provided during any given phase. <br /> J&T Consulting,Inc. Prowers Aggregate Operators,LLC. <br /> West Farm Pit—M-2008-078 <br /> DRMS 112 Permit Amendment Application <br />