2002-05-01_REVISION - M1983067

• Permit No: M1983067
• IBM Index Class Name: Revision
• Doc Date: 5/1/2002
• Doc Name: Responses to 2nd adequacy review
• From: Lafarge
• To: DMG
• Type & Sequence: AM1
• Media Type: D
• Archive: No

LAFARGE
NORTH AMERICA
Construction Materials
6.4.12 Exhibit L -Reclamation Costs

It is our intention to bond our reclamation costs at the 100 percent level initially, and then seek
the 20 percent level once we are able to satisfy the Office of the State Engineer on the
acceptability of the slurry wall installation.
Based on our understanding of the requirements for the reclamation bond, the DMG must add 5
percent to the costs as an administrative fee. Our understanding is based on the following:
Section 34-32.5-117(4)(a) and (b) provide (see also Rule 4.2.1(3)-(5)):
(a) The board shall prescribe the amount and duration of financial warranties, taking
into account the nature, extent, and duration of the proposed mining operation and the magnitude, type,
and estimated cost of planned reclamation.
(b) (~ In a single year during the life of a permit the amount of required financial
warranties shall not exceed the estimated cost of fully reclaiming all lands to be affected in such year plus
all lands affected in previous permit years and not yet fully reclaimed. For purposes of this paragraph
(b), reclamation costs shall be computed with reference to current reclamation costs. A financial
warranty shall be sufficient to assure the completion of reclamation of affected lands if, because of
forfeiture, the office has to complete such reclanation and shall include an additional amount equal to
five percent of the amount of the financial warranty to defray administrative costs incurred by the office
in conducting the reclamation.
With this in mind, the reclamation bonding would calculate to be approximately:
Cost Center Estimated Costs ($)
Backfilling 109,256
Re-spreading Topsoil 9,582
Final Grading/Contouring 11,200
Grass seeding, Mulching, Fertilizing 4,950
Slurry Wall Installation 515,844
French Drain Installation 10,000
Equipment Mobilization/Demobilization 1,250
Sub-total 662,082
5 percent Administrative Fee 33,104
Grand Total 695,186
LAFARGE WEST, INC.
1590 W. 12th Ave., Denver, Colorado 802043410
Office: [phone] Fax: [phone]
Rin~etl on Pecy[letl Vaper