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III, COMMENTS -COMPLIANCE HG Loadout C-92-081 27 Aug 04 page 1/1 Below are comments on the inspection. The comments include discussion of observations made during the inspection. Comments also describe any enforcement actions taken during the Inspection and the facts or evidence supporting the enforcement action. This was a complete inspection of the Hayden Gulch Loadout conducted by Jim Stark of CDMG. This is a loadout facility only and it is currently in temporary cessation. The weather was warm and clear and the ground was dry. All of the necessary records were available at the offices of Hydro-Environmental Solutions, Inc. in Steamboat Springs, CO. See the records checklist at the end of this report for more detailed information. Mine Identification signs were in place as necessary as were mine permit boundary signs at the loadout, the area along US 40 and the small area across the Seneca Haul Road (south of the loadout itself). The truck loop pond (pond 001) contained water several feet below the discharge pipe. The pond did not appear to have discharged since the last inspection. The pond embankment was well vegetated and appeared to be stable. There were no erosional problems observed on the pond embankment. The rail loop pond (pond 002j was dry at the time of the inspection. The embankment was well vegetated and appeared to be stable at the time of the inspection. There were no erosional problems observed on the pond embankment. All of the ditches were dry at the time of the inspection. The ditches were well vegetated and in overall good condition. The truck loop (haul road), the road around the lower coal stockpile and the loadout access road to the office building were all stable and in good condition. The access road to the site is the Seneca TAHR. This road was stable and in good condition. The facilities area appeared to be stable and in good condition. No erosional problems were observed on the site at the time of the inspection. The topsoil stockpile by the rail loop pond was well vegetated and stable at the time of the inspection. There were no erosional problems noted on the pile. The topsoil sign was in place at the time of the inspection. The Rail Spur along US-40 appeared to be stable at the time of the inspection.