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.,4 Y iii iiiiiiiiiiiu iii ~`~~ 999 STATE OF COLORADO Roy Romer, Governor DEPARTMENT OF NATURAL RESOURCES MINED LAND RECLAMATION DIVISION DAVID C. SHELTON, Dlreetor May 1, 1987 Mr, Robert Hagen Albuquerque Field Office Office of Surface Mining 625 Silver Avenue, S.W. Suite 310 Albuquerque, New Mexico 87102 RE: G.E,C. Minerals - Ten-Day Notices, File No. C-81-037 Dear Mr, Hagen: This letter addresses the disposition of the Ten-Day Notice (TDN) No. X-87-02-250-001, issued to Colorado on March 30, 1987. As I emphasized during our telephone discussions after the TDN was issued and during our meeting of April 16, 1987, the circumstances surrounding this case do not fit neatly into the normal modes of enforcement. The history of the case is discussed below followed by our recommendation that you find our response to the TDN appropriate. G,E.C. Minerals' permit was revoked by the Mined Land Reclamation Board on October 25, 1984. At that time the Board ordered G.E.C. to conduct reclamation in accordance with an approved schedule. Also reclamation operations were to be conducted in accordance with the performance standards. The Board held bonds at that time in the amount of 5725,000.00, and the bonds were not forfeited due to the permittee's willingness and demonstration that he could complete the reclamation. the Division was not satisfied that G.E.C. would be able to meet the requirements of the Board order given the pace at which reclamation was occurring. Although it was not clear that G.E.C. had violated the Board order, it was evident in 1986 that G.E.C. would fail to meet the schedule unless certain activities commenced. One of the factors for the lack of progress was that G.E.C. was negotiating an agreement with Energy Fuels Corporation (EFC) to allow EFC to dispose of coal processing waste in the East Pit. The idea had potential benefits for both parties and the state, and if it came to fruition a modification in the reclamation schedule would be necessary. G.E,C. delayed reclamation progress which would interfere with the development of the agreement. The Division monitored the site for compliance with the Board order. In 1986 Concerned about the lack of reclamation progress yet aware of a potentially beneficial agreement being negotiated, the Division scheduled a hearing before the Board on October 23, 1986, to discuss the Board order, Among the items to be placed on the agenda for discussion was forfeiture of bond if GEC could not demonstrate an ability to comply with the Board order. 423 Centennial Building, 1313 Sherman Street Denver, Colorado 80203-2273 Tel. (303) 866-3567