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<br />mine permit into the federal coal lease to the north, among other things. <br />Permittees are not required to have right of entry to lands they anticipate mining <br />during the life of operation of a mine. Right of entry is required for lands within <br />the permit boundary. <br />We believe the BRL has complied with the requirements of Rules 2.03.6 and <br />2.05.2 in their PR-03 submittal. If DMG approves the proposed production <br />increase in PR-03, that approval will be based on compliance with the relevant <br />regulations concerning right of entry and operation plans. It will not be based on <br />assumed, but not yet granted federal coal leases. <br />Your letter recommended a joint review process with federal agencies. The <br />DMG and the BLM have been communicating with each other frequently with <br />regard to BRL's mine permit and their plans for obtaining the Iron Point coal <br />lease. We are aware of the BLM's EIS process and have participated in that <br />process appropriately. The DMG always notifies and solicits the input of federal <br />land management agencies whenever federal lands or coal are involved in <br />mining plans presented to the DMG. Despite the fact that no federal lands or <br />coal are involved in PR-03, the BLM was notified of BRL's PR-03 application, as <br />well as other permitting actions proposed this year. However, tFiere is no legal <br />basis for conditioning approval of the revision upon issuance of the federal coal <br />lease, as suggested in your letter, because no federal lands or coal are involved <br />in PR-03. <br />WATER DEPLETIONS AND WATER QUALITY <br />Sufficient year round water rights must be in place to protect existing senior <br />water users from water losses.... Similarly, water depletions should be charged <br />against the applicant and fees assessed for the Colorado Endangered Fish <br />Recovery Fund. <br />The Colorado Division of Water Resources (DWR) indicated that BRL may need <br />an augmentation plan to compensate for evaporative losses from the proposed <br />sedimentation pond. DWR forwarded comments to DMG in a memo regarding <br />Technical Revision No. 6, received on December 22, 1998. DWR has told DMG <br />they have no additional concerns about PR-03 other than the issue raised in that <br />memo, which dealt with evaporative losses from the pond. In BRL's latest <br />adequacy response letter, dated October 4, 1999, they indicated that such a plan <br />is being prepared for submittal to the DWR. Any requirements that DWR has <br />relevant to water rights and use will need to be satisfied by BRL prior to approval <br />of PR-03. <br />DWR recently submitted comments to the DMG regarding the Bowie No. 1 Mine <br />TR-32, which includes discussion of water augmentation plans associated with <br />increased coal handling at the loadout. Those comments are being forwarded to <br />