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Sl -i <br />STATE OF COLORADO <br />DIVISION OF MINERALS AND GEOLOGY '~ <br />Department of Natural Resources <br />1313 Sherman St., Room 215 <br />Denver, Colorado 80203 <br />Phone: (303) 866-3567 <br />FAX: (303) 832-8106 <br />February 2, 2005 <br />COLORADO <br />D [VISION O F <br />MINERALS <br />GEOLOGY <br />REC LA MATION•NINING <br />SA FETY•SCIENCE <br />Mr. Daryl R. Webster <br />Webster Sand & Gravel <br />P.O. Box 541704 <br />Grand Prairie, TX 75054-1704 <br />RE: West Tennessee Pit; Permit No. M-1981-235 / <br />Webster Sand & Gravel; Financial Warranty Increase <br />Deaz Mr. Webster, <br />Bill Owens <br />Governor <br />Russell George <br />Executive Director <br />Ronald W. Cattany <br />Division Director <br />Natural Resource Trustee <br />On August 26, 2004, the Division of Minerals and Geology conducted an inspection of the West Tennessee Pit, <br />Permit No. M-1981-235. An aerial inspection was also conducted on September 17, 2004. Based on the two <br />inspections, mining related disturbance is approximately 70-acres of the 139-acre permit azea. <br />The Division currently holds a bond in the amount of $33,500.00 for 33 acres of distuubance. The $33,500.00 <br />bond was calculated when the permit was issued in 1982. As a result of the 2004 inspections the Division adjusted <br />the bond to reclaim 70-acres of disturbance (including a 30-acre pond), remove and demolish mining debris noted <br />on site, and address the topsoil shortage noted in the Division's inspection of August 26, 2004. The Division <br />estimates that 12,000 cy of topsoil is stored on site, whereas 37,000 cy is needed for reclamation (8" topsoil depth <br />required by the permit over 35 acres). <br />According to Rule 4.2.1(1) and (2), the Division may review a financial warranty at any time to determine if She <br />amount is sufficient to perform reclamation. The Division recalculated the bond to factor in the current disturbance <br />and to achieve the approved postmining land use of forest and wildlife habitat. The result of the recalculation <br />indicates that the site is currently underbonded. This letter is to inform you that your financial warranty will need <br />to be revised from its current amount of $33,500.00 to $358,800.00 within 60 days of receipt of this letter. A copy <br />of calculations used to detemilne this cost is attached for your review. The operator has three options regazding the <br />amount of required bond; <br />1. submit additional financial warranty in the amount of $325,300.00, <br />2. perform some reclamation on the site to reduce the reclamation liability, or <br />3. revise the reclamation plan. If the operator can adequately demonstrate that sufficient topsoil is present on site <br />for an 8" replacement depth, then the bond can be significantly reduced. <br />One of the three options must be completed by Apri18, 2005. Failure to do so maybe considered a violation of the <br />Construction Material Rules and Regulations. If you have any questions about this process or how the bond was <br />calculatesiR please contact me at (303) 866-4943. <br />Sin rely, ~I <br />/ Erica S. osby <br />Environmental Protection Specialist <br />~ cc: Cazl Mount; DMG <br />/ Bazb Chiappone; DMG <br />Enclosure(s) <br />Certified Mail # 7004 1350 0001 1635 8778 <br />Office of Office of Colorado <br />Mined Land Reclamation Active and Inactive Mines Geological Survey <br />