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Mr. Steve Renner <br />October 16, 1991 <br />Page 2 <br />Status of Bond Release <br />As of the date of this letter, MLRD holds a total of $134,304 as financial warranty <br />for the site. Under the terms of the Agreement, MLRD is to release the entire financial <br />warranty with the exception of a $50,000 retained amount upon the completion of the <br />required reclamation activities. Rockcastle's bond release request dated November 30,1990, <br />constitutes its formal request for the remaining amount. The public notice required by Rule <br />3.03 was published and proof of publication was forwarded to your office. At the request <br />of your staff, a second public notice was published and proof of publication is attached to <br />this letter (Attachment 1). With this second publication, we believe Rockcastle has <br />complied fully with all administrative and procedural obligations necessary to facilitate the <br />final bond release. <br />Pit 4 <br />In the course of the bond release/reduction described above, your office refused to <br />release $47,842 requested for completed backfilling and topsoiling activities citing its <br />concerns with the "uniformity" of topsoil replacement and oversteepened slopes in the <br />vicinity of pond 4. With respect to the uniformity of topsoil replacement, Rockcastle has <br />confirmed with its contractor that all available topsoil was replaced to an approximate <br />minimum depth of twelve inches (]2") in a manner which was as uniform as possible given <br />normal equipment limitations. Rockcastle has completed a topsoil depth sampling program <br />which confirmed that the topsoil was placed at a greater average depth (approximately 21") <br />in a uniform manner subject to equipment limitation. The results of this survey accompany <br />the Pit 4 responses (Attachment 2) as Appendix C. Please contact me if you have further <br />questions regarding this issue. <br />In the course of recent meetings, representatives of Rockcastle and your staff have <br />reached conceptual agreement concerning an acceptable postmining topography for the <br />oversteepened slopes in the vicinity of Pond 4. A detailed plan depicting the agreed upon <br />configuration along with supporting maps and rationale accompanies this letter in the form <br />of Pit 4 adequacy responses (Attachment 2). Rockcastle will conduct the required perimeter <br />ditch and culvert maintenance activity in conjunction with the slope regrading project. <br />Please review the enclosed designs as soon as possible and contact Jerry Nettleton of ACZ, <br />Inc. (1-879-6260) directly if you have further questions. Your prompt review and approval <br />will facilitate the completion of the work during this field season. <br />Assuming a satisfactory resolution of the topsoil uniformity issue, completion of the <br />Pit 4 regrading would constitute a full resolution of all remaining issues pertinent to the <br />outstanding request of $47,847. ACZ has estimated the cost of implementing the Pit 4 <br />