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Introduction <br /> This document is the proposed decision of the Colorado Division of Reclamation, Mining and Safety(the <br /> Division) for Surety Increase No. 1 (SI1) at the Peabody Sage Creek Mine, Division file number Permit <br /> No. C-2009-087. The package contains three parts. These include: 1) procedures and summary of the <br /> bond increase process; 2) observations and findings of the Division regarding compliance with the <br /> performance bond requirements of the Colorado Surface Coal Mining and Reclamation Act (Act) and <br /> regulations promulgated thereunder; and 3)the Division's proposed decision on the surety increase. <br /> Detailed information about the review process can be found in the Act and the Regulations of the <br /> Colorado Mined Land Reclamation Board for Coal Mining (Rules). All Rules referenced within this <br /> document are contained within the Regulations. Detailed information about the mining and reclamation <br /> operations can be found in the permit application on file at on the Division's website <br /> (https:Hdnns.colorado.gov/). <br /> The Peabody Sage Creek Mine is an underground mine which is permitted and operated by Peabody Sage <br /> Creek Mining, LLC (PSCM). Peabody Sage Creek Mine has been in temporary cessation since 2017. The <br /> ownership of the land for which bond increase has been proposed is Federal, State, and Private. The coal <br /> ownership is also Federal, State, and Private. <br /> I. PROCEDURES AND SUMMARY OF THE INCREASE PROCESS <br /> The Division has initiated this surety increase in order to ensure compliance with Rule 3.02.1, which <br /> requires a performance bond for all requirements of the Act, Rules, and the approved reclamation plan. <br /> Rule 3.02.1(3) requires the performance bond to cover land within the permit area upon which surface <br /> coal mining and reclamation operations are to be initiated and conducted. Rule 3.02.1(4) states that <br /> liability of the performance bond shall continue until the entire reclamation plan has been completed. <br /> Rule 3.02.2(4) requires the Division to adjust the required performance bond as affected land acreages are <br /> increased or decreased or when the cost of future reclamation changes. Procedures for adjustment of the <br /> required performance bond include: <br /> (a) Notification of the permittee of any proposed bond adjustment, providing the permittee with an <br /> opportunity for an informal conference on the adjustment. <br /> On February 16, 2023 the Division provided PSCM notice of the proposed bond adjustment and <br /> provided an opportunity for PSCM to request an informal conference. <br /> (b) Issuance of a written proposed decision by the Division to adjust the bond amount,publication of <br /> notice of the proposed decision in a newspaper of general circulation in the locality of the mining <br /> operation once a week for two weeks following issuance of the decision, and notification of the <br /> permittee the surety and any person with a property interest in the collateral who has requested <br /> notification. <br /> This document serves as the written proposed decision. A publication of the notice of the <br /> proposed decision will be initiated. <br /> (c) An opportunity for a formal hearing pursuant to Rule 2.07.4(3); <br />