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Page 2 • • <br />November 27, 2000 <br />Berhan Keffelew <br />Schlage Lack Treatment Facility <br />In the event the facility is still in place when Transit Mix desires to mine this area, Paragraph 6 addresses <br />the procedures that must be followed. Transi[ Mix must notify Schlage Lock of the desire to mine [his area <br />so the facility could be moved to another location and the treatment continue. Paragraph 11 goes on to <br />state [hat if the treatment ends prior to Transit Mix moving into the area for extracting the sand then the <br />facilities mus[ be removed wi[hin 180 days of the termination of the [reatment program. <br />Paragraphs 8 and 9 are especially important with respect [o providing pro[ection to Transi[ Mix and, <br />potentially, [he State of Colorado. These passages state that this agreement is binding upon the successors <br />[o Transit Mix and also protects Transi[ Mix and successors from any liability that resul[s from the <br />treatment processes. In effec[, if Transit Mix were to go out of business and the State of Colorado, through <br />the Division of Minerals and Geology, were to assume responsibility for [he reclamation of the si[e this <br />agreement and all of its requirements would still apply. Therefore, this agreement no[ only protects <br />Transit Mix but also the State in the event of bond forfeiture. The State would not incur any additional <br />reclamation costs for the removal of the facility, if that was desired, because [hose costs, including <br />disturbance reclamation, are required to be paid for by Schlage Lock. <br />In conclusion, it appears tha[ a Technical Revision to address possible effec[s of the mining on [hese <br />facilities is no[ necessary. That is because the facilities will no[ even be [here when the mining occurs. They <br />will need to be moved somewhere else prior to any possible adverse effec[s occurring. Transit Mix <br />cer[ainly has no desire to interfere R•ith the Compliance Order on Consen[ that Schalge Lock must <br />comply with, but that does not include foregoing the mining of sand in Phase 4e. It is clear by the terms of <br />this agreement that it was formulated with a full awareness of the eventual mining of Phase 4e and that <br />Schlage Lock, by agreeing to the terms, is in agreement with these procedures. It also appears to be quite <br />clear [hat the agreement protects the State in the event Transit Mix were [o forfeit the bond. <br />Sincerely, <br />~~~i~ <br />Mark A. Heffner <br />ca Transit Mix Concrete <br />