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~ . • 'llI III III ~'nII IIII'll 999 OF'GO ~w ~~~ _ STATE OF COLC,~ ~ ~~~~'~ 2 Roy Romer, Governa~ eM~\ 9 ~ ~° DEPARTMENT OF NATURAL RESOURCES MINED LAND RECLAMATION DIVISION DAVID C. SMELTON, Dlredor March 26, 1987 Mr. Joe Blais Manager tdi ned Land CF & I Steel Corporation P. O. Box 316 Pueblo, Colorado 81002 Re: Bond No. SLR 638-3738, File No. M-77-37fi~ £61,000.00 Bond No. SLR 632-1649, File No. M-77-377, $110,000.00 Dear Mr. Blais; The formal public hearing for consideration of notice of violation, cease and desist order, civil penalties and corrective action for failure to maintain financial warranty in good standing held before the Mined Land Reclamation Board on March 25, 1987, was continued to the April 22-?.3, 1987 Board Meeting. The purpose for the continuation in this matter is to allow a clear determination from your insurance company what coverage exists for the above referenced bonds. It is the position of the Division that as of the dates of cancellation as noted on the enclosed notice, October 19, 1986 and February 22, 1987, respectively, the bonds cover only the disturbances at the sites prior to those dates. Any activity at the sites, whether it be mining or reclamation, is not covered after those dates, and in fact, financial warranty is not being maintained in good standing for the entire life of the permit. It was indicated at the Board meeting that you, CF & I Steel Corporation, have paid premiums on these policies and have received notices of reinstatement. We need to determine if the notices of reinstatement indicate coverage for activity at the sites after the dates indicated above and if the premiums you have paid are for that continued coverage or are the premiums for continued coverage for the activity prior to those dates. 423 Centennial Building, 1313 Sherman Street Denver, Colorado 80203-2273 Tel. (303) 866-3567