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PERMIT#: M-2000-115 <br /> INSPECTOR'S INITIALS: CID <br /> INSPECTION DATE:February 23,2022 <br /> OBSERVATIONS <br /> This was a monitoring inspection of the Mulletts Excavating Pit #1, Division of Reclamation, Mining and Safety <br /> (DRMS or Division) permit number M-2000-115, operated by Mullett Excavating, LLC. I, Connor Drinkard and <br /> Jared Ebert with DRMS conducted the inspection. The permit was in temporary cessation for a 5-year period <br /> 2/1/2014 - 2/1/2019 but the 2022 annual report indicates the last activity at the mine was 9/1/2016. The <br /> property owner of the permit area Mr. Gary Hill accompanied us as well as Mr. Paul Bottini with Southway <br /> Construction. Mr. Hill and Mr. Bottini informed us that the permittee would like the permit transferred to <br /> Southway Construction. Mr. Bottini informed us that the owner of Mullett Excavating, LLC (Permittee or <br /> Operator) Myron Mullett, has passed away. Southway Construction will have to work with the owner and <br /> controller now of Mullett Excavating, LLC. in order to transfer the permit (M-2000-115). <br /> Hydrologic Balance: <br /> No water observed. All water appears to be directed to the pit floor where percolation in the pit appears to <br /> remain functional. <br /> Gen. Compliance With Mine Plan: <br /> The mined area, topsoil stockpiles, and product stockpile locations matched what is shown on the 2022 annual <br /> report map. The affected area was plotted and shown to be 6.42 acres which is within the maximum allowed <br /> disturbance area of 9 acres. <br /> We measured the height of the highwall on the north side of the pit and found it to be about 35 feet. The <br /> current mine plan states that the pit will not exceed a 25 foot depth. The mine plan needs to be updated and <br /> clarified pursuant to C.R.S. 34-32.5-112 (1)(c)(VI).This issue is cited as a problem at the beginning of this <br /> report. <br /> Rule 1.13.5 states, if an Operator temporarily ceases production of the mining operation for one hundred <br /> eighty (180) days or more, the Operator must file a Notice of Temporary Cessation in writing to the Office. <br /> The permit was in temporary cessation for a 5-year period 2/1/2014 - 2/1/2019 but the 2022 annual report <br /> indicates the last activity at the mine was 9/1/2016. Given this, it appears the operation resumed production <br /> during the first term of Temporary Cessation and did not inform the Division. However, it has been over five <br /> years since the last production activity was reported at the site. Given the passing of Mr. Mullett, and the <br /> possible transfer of the permit to Southway Construction, DRMS will not have Mullett Excavating, LLC. request <br /> a second period of temporary cessation at this time to allow for the permit to be transferred. If however, the <br /> permit is not in the process of being transferred by September 1, 2022 DRMS will then request that Mullett <br /> Excavating, LLC seek a second period of temporary cessation in accordance with Rule 1.13.5(3) or begin <br /> reclamation of the site. <br /> Signs and Markers: <br /> The mine entrance sign has fallen over and does not meet the standards required by Section 3.1.12(1) of the <br /> rule. The permit boundary is properly marked and appears accurate. <br /> Backfill & Grading: <br /> The pit walls were at a near vertical angle. No backfill or grading of the highwalls has occurred. <br /> Page 3 of 10 <br />