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BLUE November 20, 1998 MOUNTAIN ENERGY, INC. ASu6slAleryol Mr. Michael B. Long, Director Dsasret0enentlon8 Division of Minerals and Geology rrnn/mlalon Department of Natural Resources caopentlre 1313 Sherman Street, Room Z15 3607 County Ad. 65 Denver, Colorado 80203 flanpery, CO 91618 970-675-9131 RE: NOV No. CV-98-007 as modified Fu 970.679.5229 Deserado Mine. Permit No. C-81-018. Dear Mike: III IIIIIIIIIIIIIIII Certified Mail NZ 357 107 857 RECEIVED r~~,f ; 3 ~~~a O:vision of Minerals & Geoloa~~ Following our Assessment Conference concerning the above referenced NOV it appears that BME has exhausted the normal avenues to resolve this matter with the Division. Therefore, we formally request that this matter be brought before the Colorado Mined Land Reclamation Boazd. During the course of discussions with the Division, several key items relating to the NOV were agreed on. First, that the storm event of July 27, 1998 was of an intensity which would generate peak runoff exceeding the design criteria of the culverts in question. This would invoke provisions of Section 4.03.2(6)(c), which allows a practicable time to complete repairs. Second, the Division did not oppose the fact that there was little or no environmental risk of increasing sediment loads or otherwise jeopardizing the enviromnent as a result of the culverts being plugged. This reasoning stems from the following facts: • Backup drainage systems were in place and functioning. • The runoff from the steep sparsely vegetated slopes above the culverts is naturally heavily laden with sediment. • The blockage of the culverts would effectively provided additional retention time allowing much of this sediment to deposit prior to entering Scullion Gulch. The single issue that we were not able to come to agreement on was the definition of `practicable' as it pertains to Section 4.03.2(6)(c) and the situation leading to the NOV. The Conference Officer, Jim McArdle, justified the NOV by interpreting the term `practicable' to mean as soon as possible irrespective of costs or lack of environmental risks. His contention was that BME should have hired outside contractors and equipment to immediately perform the work since we had other situations our personnel and equipment were dealing with that did have potential environmental consequences. We remain firm to our stance that such wasteful actions were not warranted given the lack of risk to the environment from the blocked culverts at the East Portal. The degree of environmental risk must be considered when determining what is practicable. Priorities were being properly addressed by BME's personnel in a timely manner. Lazge culverts were being cleared of debris with our backhoe eighteen mile away on BME's rail line at the time of the inspection. While