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(Page 2) <br />MINE ID # OR PROSPECTING ID # M-1985-023 <br />INSPECTION DATE 9/7/2006 <br />INSPECTOR'S INITIALS SSS <br />This was a routine partial inspection of the Hollenbeck Pit conducted as part of the Division's ongoing inspection program for <br />permitted sites in Colorado. The inspection was also conducted to verify current site conditions for use in updating the <br />reclamation cost estimate, ensuring the State holds enough financial warranty to cover reclamation liabilities at this site. Russ <br />Means (DRMS) accompanied during the inspection. <br />The affected area boundary markers were not observed and must be installed per the requirements of Rule 3.1.12 (2) that <br />state: The boundaries of the affected area will be marked by monuments or other markers that are clearly visible and adequate <br />to delineate such boundaries. The lack of boundary markers is noted as a problem with the corrective action(s) and correction <br />date specified on the last page of this report. <br />No significant infestations of noxious or other problematic weeds were noted on site during this inspection. <br />No significant erosional features were noted on the affected areas of the site. <br />In an effort to ensure the financial warranty remains adequate to reclaim this site per the requirements of the approved <br />reclamation plan, DMG has updated the reclamation cost estimate (copyenclosed). Clearly, the site is currently under-bonded. <br />Therefore, pursuant to Section 34-32.5-117(4) of the Colorado Land Reclamation Act, adequate financial warranty must <br />be submitted to DMG within 60 days of the mailing date of this report. Please review the enclosed figures as soon as <br />possible and contact our office if any calculation errors are noted. <br />The site still has quite a bit of debris from previous asphalt production. Several tanks, drums, hoses, rubber belting, concrete <br />supports, piles of reject, and tires remain on site. Disposal costs for this debris is included in the enclosed reclamation cost <br />estimate, as is ripping and burial costs for the asphalt pad on the lower bench. Removal and proper disposal of the debris and <br />asphalt would reduce the updated bond amount to an amount similar to the current amount of $15,716.00. The operator may <br />consider completing this debris reclamation within the 60 day period allowed for submittal of the increased bond. The <br />reclamation cost estimate could then be reduced to account for this work pertormed. In any case, the operator should contact <br />the Division to specify how they choose to handle the increase in reclamation liability. <br />The site does have intermittent operation status, and has not been active in some time. <br />Responses to this inspection report should be directed to Steve Shuey at the Division of Reclamation, Mining and Safety, <br />Grand Junction Field Office, 101 South 3`tl Street, Room 301, Grand Junction, Colorado 81501, phone number 970-243-6368. <br />I & E Contact Address <br />NAME Gene Hollenbeck <br />OPERATOR Hollenbeck.lnc. <br />STREET P. O. Box 902 <br />CITYlSTATE/ZIP Gunnison. CO 81230 <br />cc: <br />^ CE <br />^ BL <br />^ FS <br />^ HW <br />^ HMWMD (CH) <br />^ SE <br />^ WOCD (CH) <br />^ OTHER <br />