2020-06-17_INSPECTION - M1996076

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PERMIT#: M-1996-076 INSPECTOR'S INITIALS: ACY INSPECTION DATE:June 1,2020 water distribution lines, risers and grade ditches used to convey water within the permit boundary. Corrective Action 2: By November 1, 2019, reseed all lands within the permit boundary, affected by the water conveyance system, with the seed mix in the approved reclamation plan; and Corrective Action 3: Submit a financial warranty increase in the amount of$172,184 for a total bond amount of$260,435.00 to be held to cover the cost of reclamation of the affected lands disturbed by the installation of the water conveyance system within the permit area and inflationary costs to the current bond within 60 days of the date of the Board's August 21, 2019 hearing. To date, only the first corrective action of MV-2019-023 has been complied with. The other two corrective actions remain outstanding. Additionally, pursuant to C.R.S. 34-32.5-124(7), at the hearing, if the Board determines that a violation of the provisions of a permit, the Act, or these Rules has occurred, the Board shall assess a Civil Penalty. A civil penalty in the amount of$43,000 was assessed. The payment was due within 30 days of the Board Order which was October 26, 2019 and remains unpaid. The site remains under a permanent Cease and Desist Order prohibiting any application of water within the permit boundary(with the exception of water that may be applied with water trucks per the approved mine plan for dust suppression to the affected lands). On May 6, 2020, the Division received a letter via email from Mr. Henderson regarding irrigation of the site. The Division formally responded on May 21, 2020, stating that a Technical Revision JR) Request would be required to review any requests for any water applications to occur within the permit boundary. Ben Krause of the Division of Water Resources (DWR) inspected the site on May 27, 2020 and indicated in his report that the middle field within the permit boundary was actively being irrigated and that Mr. Fontanari stated that water has been applied to the middle field for approximately three weeks. A combination of these events triggered a follow-up monitoring inspection to ensure compliance with the Act, Rules, Regulations and Board Order. This was a follow-up monitoring inspection of the permitted site. ACY June 1, 2020 @ 9:10 Rudolph Fontanari Sr. and Rudolph Fontanari Jr. accompanied Amy Yeldell of the Division on the inspection. The mine was accessed via the east side haul road. The switchback portion of the road has recently been widened and reworked (See Photos 1 and 2). Mr. Fontanari Jr. indicated that widening and reworking the mine access road was necessary due to rocks falling and material sloughing onto the road. The material that was scaled from the highwall was placed over the edge and used to build up the embankment. The large boulders that were removed from the scaling are stockpiled at the top of the road on the northern tip. The majority of the road is now approximately 20 ft. wide with one large pull off area. The entire road surface has been graded and material added to smooth it. Previously the road was generally 10-16 feet wide with loose rock and rough patches typical for a steep private road that does not see daily use. At the end of the inspection Mr. Fontanari Sr. insisted I revisit the road cut with them so that he could point out water that was seeping out of the highwall (See Photo 3). Mr. Fontanari Sr. stated that the seeping occurs every year during high run-off times and was not related to irrigation. Both of the northern pits appear to be dry and in similar condition as compared to observations documented in the cumulative inspection report from August 6 to 16, 2019 (See Photo 4). No new material stockpiles have been created. The two existing stockpiles appear to have little to no material removed from them since the Page 4 of 22