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STATE OF COLORADO <br />DIVISIION OF MINERALS AND GEOLOGY <br />DepamTNmt of Natural Resources <br />t 313 shennan st., Room z1 s C O L D RA D O <br />Denver', Cotorado 80203 DIVISION O F <br />Phone: (303) &6(.3567 MINERAL S <br />FAx: (303) 832-8106 G E O L O G Y <br /> 0.ECLANATION•NINrNG <br /> EAFETT•SCIENCE <br />Bill Owens <br />/ Goveoar <br />January 20, 2006 Russeu ~r8e <br />Executive Director <br />Mr. Frank Kauffman / Ronald W. Cattarry <br />Jake Kauffman & Sons, Inc. Division Director <br />NaNral Resource Trustee <br />8(18 South County Road 9E <br />Loveland, CO 80537 <br />R]E: Jake Kauffman & Sons Inc., Permit No. M-1978-327, AR-O1/SR-O1 <br />Kauffman Pit; Adequacy Review <br />Dear Mr. Kauffman, <br />The Division received your request for an acreage reduction and fmancial warranty reduction for the <br />Kauffman Pit, Permit No. M-1978-327. Because your request was received within 60-days of the <br />D:ivision's inspection, a site visit will not be necessary. However, the Division has the following items <br />that need to be addressed prior to approval of the release requests. <br />Please provide a map depicting the new permit boundary of the site. This will ensure that the <br />Division has a map depicting the remaining permit area of 26.2 acres. <br />2. The operator proposes to reduce the bond from $292,100.00 to $80,300.00 due to 56.8 acres that is <br />now included in the Wagner/Kauffinan Pit #3 and reclamation that has taken place on site. In order to <br />reduce the bond, the Division has the following questions regarding the esfimate prepared by the <br />operator; <br />o A cost was not included for any reclamation of the processing area (i.e. minor backfilling, <br />ripping, topsoil replacement or reseeding). The estimate will need to include a cost for <br />reclamation of the processing area. <br />o Because the remaining reclaimed areas have not been released, a cost far revegetation and a 20% <br />revegetation failure rate will need to be applied for the remaining areas. <br />Once these items have been submitted and approved by the Division, the acreage and bond reduction <br />requests can be approved. If you have any questions, please do not hesitate to call. <br />~TC~~ <br />G~'~ <br />Erica Crosby <br />Environmental Protection Specialis <br />cc: Carl Mcunt; DMG <br />William B. Schenderlein; Applegate Group, Inc. <br />Office of Office of Colorado <br />Mined Land Reclamation Active and Inactive Mines Geological Survey <br />