2006-06-12_REVISION - M1978314 (4)

Home Browse Search

conservation. A gravel pit expansion will adversely affect the aesthetics of the ranches and the enjoyment of the surrounding lands. The proposed gravel pit expansion will have a scvero and detriments( impact on the Sage and Sharptail Grouse populations in its vicitrity. These species have been proposed for "Endangered Spacial" designation. Egeria Park is an azea that has had millions of dollars iaveated in it by concerned citizens who west to protect and preserve the last, and beat, bastion of large scale traditional ranching and prime, landscape scale private wildlife habitat is the area. The Board Does Not Xave Jurladictioa On September S0, 2004, the Division of Minerals and Geology (the "DMG'~ approved a transfer of the 110 Permit to King Mountain. Aa a result of that transfer, King Mountain became the `permitted operate(" of the gravel pit. ThereaRer, on Novanber 23, 2004, King Mountain filed its Conversion Conatruetion Materials Application with the DM(i mquesting the addition of 331 scree to the permit boundary, 184 of which ware to bo mined. On that date, King Mountain had been operating rho gravel pit under the 110 Potmit for just over two months. C.R$. Q3432.3=110(5) (aj (the Colorado Mined Land Reclamation Act (rho "Act's) expressly states: "Any operator conducting an operation under a permit issued under this section [Section 110 permit] who has held the perm!( for two consecutive years or more and who subsequantiy desires to expand it to a size is axaeae of the limitation set forth in subsection (1) of this section may request the conversion of the permit... " Under that plain statutory language, King Mountain may not convert the 110 Permit to a 112 Permit until it hoe operated the gravel pit for a minimum of two years, yg, until September 10, 2006. The statute clearly applies to shy operator, not just the original permittee. Conversely, anyone e18e, including a successor operator, who hen held a permit for less than two years, ie not eligible to apply for a convarsioa The requirement that a successor (like any other) operator operate the gravel pit for at least two consecutive years is logical. It provides both rho DMG and the operator time to determine whether the new operator is qualified to manage and run the mine, to establish and confirm the operator's intentions with respeot to rho mina, and to insure that the operator is financially stable for the long-farm life of the mina. Ring Mou>vtairr's Failure Ta Cemply Wl1h The Fieancial Warranty Requtresaent Under C.RS. X34-32.3-117(1) and (3)(a), the Boatel (nay not issue the 112 Permit to King Mountain until King Mountain provides a financial warranty which includes "proof of financial responsibility". She a o Rule 4.1(2). Tha band guarantees campliatua with the operator's roclamation plan and the terms and conditions of tha operating permit. As ouch, the financial warranty raquirotnenta of the Act provide strong economic incentives for the operator to complete reclamation and return the mined land to productive use. This is particularly important when a shall corporation is the operator that doesn't even own the Land but rather leases it for its operations. King Mountain's failed to provide a financial warranty with respect to its initial application for Permit Conversion. King Mountain also did not submit its required annual report or pay the annual fee, Given this pattern, rho Board should be concerned about King Mountain's reliability on the issue of