2007-09-27_GENERAL DOCUMENTS - P1992026

• Permit No: P1992026
• IBM Index Class Name: General Documents
• Doc Date: 9/27/2007
• Doc Name Note: Mogul Tunnel Durango Metal Closeout-BF
• Doc Name: IMP Closeout Files
• From: DRMS
• To: DRMS
• Media Type: D
• Archive: No

Closeout Report
Mogul Tunnel Durango Metals-P 1992-026
P.O. # OE-PKA-06-049
Awarded to:
McCollum's Excavating
P.O. Box 790
Nederland CO, 80466
[phone]
Construction Summary
The Mogul Mine is located in Boulder County in the Town of Eldora. The site is directly
adjacent to Boulder Creek and numerous residences. Two concurrent permits existed for the site;
P 1992-026-Durango Metals Inc. and P 1992-043- Franklin Consolidated Mining Co., Inc.
(Franklin). The Durango Metals (Durango) permit was revoked and the money forfeited in 2005.
The Franklin permit is still pending revocation. The bonding company for Franklin, RLI
Insurance Company (RLI) plans to complete the reclamation.
In June of 2005, I conducted an inspection of the Mogul Mine site. The site contained numerous
oil spills, abandoned buildings and trailers, a breached closure for the mine portal, trash and a
steep unvegetated slope directly above Boulder Creek. After review of both permits, a list of
reclamation tasks were compiled for the site. In June of 2006, attorneys for the Division of
Minerals and Geology advised the Abandoned Mined Land Reclamation Program (AML)to
divide the bond monies and proceed with reclamation under the Durango bond. The remaining
items that were not accomplished with the Durango bond would be assigned to RLI, Franklin's
bonding company. Please see attached summary document for additional information pertaining
to the site.
On June 13th, 2006, I spoke to Steve McCollum of McCollum's Excavating (McCollum) and
obtained bids for the highest priority items relating to health and safety. These items were:
1. Safeguarding the mine portal.
2. Demolition and removal of old buildings, collapsed portal shed,trailers, trash and debris.
3. Testing of chemical/oil spill areas and removal of contaminated soils to an authorized waste
disposal facility.
McCollum submitted a bid of$19,000 for the preceding items. The bids were $8,000.00 for
demolition and removal of trash,trailers/buildings; $5,000 for safeguarding portal with locking
steel grate; $6,000 for the testing of soil where chemical spills were identified. This item also
included following established procedures for removal and disposal of contaminated soil. The
bid met the provisions of the Division of Purchasing and was awarded to McCollum's. I also
discussed the prices with other contractors that work with AML and they agreed that the
McCollum's bid was reasonable. The site had become a nuisance to the Town of Eldora, and the
Durango bond had been available for over a year. Consequently, I considered the work time
critical. Steve McCollum had an opportunity to complete this work immediately. I contacted
Erica Crosby, Tanya Light, Bill Gorton of RLI and John Miner who was the representative for