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J <br />Reclamation Cost Estimation - Rules 2.05.4(2)(b) and 3.00 <br />The Division reviewed Peabody's cost estimate to reclaim the Hayden <br />Gulch Loadout Facility. The Division has the following Concerns <br />Backfillina and Rouqh Grading <br />1. Peabody's performance bond estimate basis the operating <br />cost for backfilling and rough grading using dozers on a double <br />shift. For a reclamation project the size of Hayden Gulch <br />Terminal, the Division feels that a single shift is more <br />appropriate. The Division has contacted several contractors <br />regarding shift selection and has been verified that single shifts <br />are the most ideal and realistic for this size project. Please <br />change the equipment hourly cost to reflect single shifts rather <br />than double shifts. The Division feels that an appropriate cost is <br />$159.67/dozer. The Breakdown is as follows: <br />Ownership cost/hr: $68.72 <br />Operating & overhaul/hr: $69.38 <br />Operator cost/hr: $21.58 <br />Please see the attached cost report and labor rates report for <br />further clarification. <br />2. Using a single shift for backfilling and rough grading <br />rather than a double shift, the correction factor for visibility <br />can be change from a 0.90 to a 1.00. Please change this correction <br />factor accordingly in the performance bond estimate. <br />3. Peabody estimated the volume of material to be backfilled <br />using several cross sections of the HG Loadout Facility. Please <br />submit a copy of the cross sections to allow the Division to verify <br />the volume moved in the backfilling tasks. <br />4. Based on the Facility Map 12-1 submitted to the Division, <br />there appears to be on average a 0$ grade. In Peabody's bond <br />calculation a grade of -l0$ was used to regrade all aspects of the <br />mine. Please verify this grade with the Division. In submitting <br />the cross sections as mentioned in item 2, the -10~ grade may be <br />more apparent. <br />5. Please indicate the average push distance to reclaim the <br />Loop Track, the Spur Track, and the Facility Area. This push <br />distance was not included in the performance bond estimate. <br />6. Please include a cost for ripping the facility area. <br />