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The surface disturbance of the entire mine site covered 294 acres. Of the total disturbed acreage, 65 <br />acres are currently located on private land and 229 acres are on public land administered by the White <br />River National Forest. <br />During the period between 1994 and 2000, Mid Continent Resources exchanged portions of its <br />property with the U. S. Forest Service. These trades generally involved a private in-holding located in <br />a long band of land which encompassed the mine entry azeas at elevation 10,000 feet. By exchanging <br />these properties with the U.S. Forest Service, the private in-holding was eliminated. Therefore, all of <br />the property located above the Lamphouse is now public property managed by the U.S. Forest Service. <br />At least two smaller land exchanges occurred neaz the confluence of Coal and Dutch Creeks. As a <br />result of these exchanges, the majority of the Old Refuse Pile and the Sutey Refuse Pile are now <br />located on public property managed by the U.S. Forest Service. <br />II. Reclamation Fundine <br />Reclamation was substantially funded by proceeds of the Mid Continent Resources bankruptcy <br />proceeding and a subsequent District Court action. The bankruptcy plan provided funds for <br />reclamation of the site; however, funds were available only as liquidation of the company assets was <br />completed. As a result, funding for reclamation work was limited, and only became available on a <br />periodic basis. Reclamation work was completed on a priority basis within the constraints of <br />available funding. The District Court action (Boazd of County Commissioners v. Mid-Continent <br />Resources, Inc v. MidCon Realty, LLC v. State of Colorado; 97 CV 131-1), (Pitkin County District <br />Court), resulted in a Settlement Agreement which, consistent with the statutory reclamation <br />requirements of the Colorado Surface Coal Mining Reclamation Act, specified the reclamation <br />activities that the Division would undertake on private property. The tabulation of specific <br />reclamation tasks to be accomplished on private property was attached to the Settlement Agreement. <br />Additional reclamation projects at the Coal Basin Mine were funded with grants provided by the <br />Colorado Water Quality Control Division through the Non-Point Source Program and the Office of <br />Surface Mining with funds from the Civil Penalty fund. Weed control on the reclaimed areas was <br />partially funded through a weed control partnership the Division entered into with Pitkin County and <br />the U.S. Forest Service. <br />The Water Quality Control Division Non-Point Source Program provided partial funding to help <br />mitigate sediment generation and transport from the steep slope located below the mine entry pads. A <br />grant provided by the Oflice of Surface Mining (OSM) allowed the replacement of the failing Dutch <br />Creek Flume with a naturally functioning stream channel which was constructed neaz the former <br />location of the mine office complex. <br />Coal Basin Mine Reduced Inspection Frequency September 10, 2007 <br />2 <br />