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04/26/2007 15:35 7198460159 JIM TATUM BEFORI THE MINED LAND RECLAMATION BOARD ~y,`~ PAGE 02 •--yam[{! SIB B!//U~w b~yo ~!si~~a l~~i/~B~Z wI -'~!~J~ JIM AND ANN TA.TUMS RESPONSE TO BASIN RESOURCES, INC. OPPOSITION TO INCREAS)/ TIDE BOND, VACATING NOTICE OF' VInT,ATION CV-2007-001 AND MOTION TO CONSOLIDATE BASIN RESOURCES INC., Permit No. C-1981-013 This matter comes before the Mined Land Reclamation Bnarri ("~oard or "NLRB") for a hearing on the Division of Reclamation, Mining and Safety's issuance of NOV No. CV-2007-001 for Rasin's failure to comply with a performance standard requiring compensation for damage done to an occupied residence by subsidence and Mi.RR's proposed decision to require Basin Resources, Inc. -Westmoreland Coal Company to increase their bond to cover the anticipated cost of compensationz for damage done by subsidence as required by a second, and separate, performance standard. The Tatums would offer the following as a point by point rebuttal of Basin's "Statement of Reasons" subrnitted to the Board on Apri120, 2007: Westxnoxeland purchased Basin Resources, Inc. from Montana Pawer in 2001 and assumed all of Basin Resources, Inc assets and liabilities. The State of Colorado Division of Reclamation, Mining and Safety and the United States Office of Surface Mining acknowledge that Westmoreland Coal Company is the 100°/u shareholder, owner and controller of Basin Resources, Iztc. The I.as Animas County District Coast issued judgment in favor of Tatums for $622,000, costs, interest, and attorneys fees on llecember 19, 2002. Basin/Westmoreland appealed the District Court's judgment to the Colorado Court of Appeals in Case No. U3CA0750. On November 17, 2005, the Colorado Caurt of Appeals affirmed the judgment in all ways. Basin appealed to the Colorado Supreme Court iLn Case No. 06SC99 and the Supreme Court endorsed the lower Courts' rulings. ~