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04/26!2007 15:35 7198460159 JIM TATIJM <br />06 <br />As stated in the preamble to the 1995 Federal Regulations the 99 days from <br />occurrence is considered a "grace period" during which no bond would be <br />required if the permittee completed xepairs or paid compczxsativ~l. After the <br />grace period the regulatory authority must require the additional bond. <br />Outside of a limited time extension duc to ongoing subsidence activity (not <br />applicable to this case), the preamble clearly talks to the need for a permittee <br />to post the additional bond after the 90 day period even if repairs are <br />underway. "OSM believes that if delays in repair are likely, then nortnalIy <br />bond amounts should be adjusted to ensure that funds will be available later <br />to pay for the repairs, since delays increase the risk that permittee funds may <br />not ba avnilablc," Fage 16742, Federal Register, Vol. 60, No.62, (Friday, <br />March 31, 1995. Basin/Westmoreland continues its efforts to disobey and <br />thwcut the law. <br />In addition, the Federal Preamble clearly states that subsidence damage <br />constitutes a reclamation obligation for which bond must be posted: "The <br />current rules at 30 CPR Part X00 already require the permittee to adjust the <br />amount of the bond when the costs of future reclamation increase or when a <br />reclamation obligation is established: for example, when material <br />damage from subsidence occurs." Page 16742, Federal Register, Vol. 60, <br />No.62, Friday, March 31, 1995. Coal mine subsidence or material damage is <br />a final judgment as reflected in the District Court, the Colorado Court of <br />Appeals, and the Colorado Supreme Court. <br />"Therefore, contrary to Basin/Westmoreland assertions the subsidence <br />damage sustained by the Tatum residence is characterized by both Federal <br />and State law as a "cost of future reclamation" and as a "reclamation <br />obligation". As such, Rule 3.02.2(4) clearly requires the adjusttx~.ent of the <br />current bond to cover the proposed cost of that reclamation. <br />if Basin, or any other permittee, were to £ai.l in their obligations and <br />ultimately forfeit all or a portion of their bonds N1I..R.D is empowered and <br />required to utilize that bond, through means available to MLRB, to meet the <br />"reclamation obligations" of the permittee. Tt is for this very reason that the <br />bond amount must be sufficiently adjusted, from time to time, to caver all of <br />the reclamation obligations created by the pornuttee to protect the interests <br />of both MLRD and the public. y <br />5 <br />