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~NVER <br />0~'"F'FCE <br />STATE OF COLORADO <br />DIVISION OF MINERALS AND <br />Department of Natural Resources <br />1313 Sherman St., Room 21 S <br />Denver, Colorado 80203 <br />Phone: (303) 866-3567 <br />FAX: (303) 832-8106 <br />July 25, 2002 / <br />Alan Pazkerson <br />b'?'j;A~ <br />~. <br />/G ,., r~ <br />~, k~l~` ..:. <br />Q`~ ~ <br />~t9/~ _ .~ <br />~d~aa <br />pig <br />~f/y <br />DIVISION Of <br />MINERALS <br />GEOLOGY <br />RECLAMATION <br />MINING•SAFETY <br />Bill Owens <br />Governor <br />710 S. 15a' Street ~6p Greg E. Walther <br />Executive Director <br />Grand Juncti n, Colorado 81501 / Ronald W. Catlany <br />I// Acing Division Dire or <br />Re: 32 Road Pit, Permit No. M-1985-219, Reclamation Clarification and Bond Review for AM-O1. <br />Deaz Alan: <br />This Office has begun the reclamation cost estimate for the above referenced amendment. A brief on- <br />site visit was conducted on this date to access current conditions in the disturbed azea with Milt Derrick. <br />A question of how Parkerson intended to fmish the mining in the amended area was asked. The method <br />used obviously impacts the cost estimate for reclamation. It is this Office's understanding that as <br />Parkerson approaches the disturbance boundary, it will cut the final slope to 3H:1 V to facilitate no <br />backfilling. If this is not correct please advise this Office as soon as possible. <br />Two other issues that Pazkerson should be awaze of have also been brought to light. First, no <br />reclamation cost estimate has been done at this site since 1992. As Parkerson is all to awaze, [he cost of <br />fuel and equipment has risen quite dramatically in the past ten yeazs. A review of the current bonded <br />azea shows a big increase, even though 8.1 acres has been released. This Office has broken down the <br />reclamation cost estimate into tasks pertaining to the current site and the amended area for easier <br />comparisons. As soon as the full bond calculation is done it will be forwazded to Parkerson for review. <br />Staff will be happy to review any issues that arise from the estimate.. <br />The second issue is that DMG must bond for some kind of cover for the pit floor even if it is to be <br />agricultural. The review of the conversion from a 110 to 112 should have caught this error, however it <br />is easy to forget. The recalculated bond amount for the current disturbance reflects that cost. This <br />Office used common alfalfa as it was the most inexpensive cover and meets the minimum requirements. <br />Parkerson needs to commit to some kind of ground cover for the pit floor. Please remember that the cost <br />estimate is for IF the Division had to assume reclamation responsibility. <br />Since no objections have been received, staff can approve the permit at anytime. All other issues appeaz <br />to have been resolved and as soon as staff and Parkerson's can agree on the Reclamation Cost the permit <br />will be approved. <br />