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STATE OF <br />DIVISION OF MINERALS AND GEOLOGY <br />Depar6r~en[ of Natural Resoun:es <br />1313 Sherman 5[., Raom 215 <br />Clenver, Colorado 80203 <br />Phone: (303)86rr3567 <br />FA%: (303) 832-8106 <br /> <br />January 2Q 2006 <br />Mr'. Frank Kauffinan / <br />Jal':e Kauffman & Sons, Inc. <br />808 South County Road 9E <br />Loveland, CO 80537 <br />RE;: Jake Kauffman & Sons Inc., Permit No. M-1978-327, AR-OI/SR-01 <br />Kauffman Pit; Adequacy Review <br />Dear Mr. Kauffman, <br />COLORADO <br />DIVISION O F <br />MIN SRALS <br />GEOLOGY <br />REC LAMATION•NININ6 <br />EAFETT•SCIENCE <br />Bill Owens <br />Governor <br />Russell Georg¢ <br />Executive Director <br />Ronald w. vrv+r <br />Division Director <br />Natural Resource Tnsstee <br />The Division received your request for an acreage reduction and financial warranty reduction for the <br />Kauffman Pit, Permit No. M-1978-327. Because your request was received within 60-days of the <br />Division'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/Kauffman 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 estimate prepazed by the <br />operator; <br />o A cost was not included for any reclamation of the processing azea (i.e. minor backfilling, <br />ripping, topsoil replacement or reseeding). The estimate will need to include a cost for <br />reclamation of the processing azea. <br />o Because the remaining reclaimed areas have not been released, a cost for revegetation and a 20% <br />revegetation failure rate will need to be applied for the remaining areas. <br />Cmce 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 />~,c/~ <br />G,~ <br />Erica Crosby <br />Environmental Protection Specialis <br />cc: Carl Mount; DMG <br />William B. Schenderlein; Applegate Group, Inc. <br />Office o/ Office of Colorado <br />Mined Lsnd Reclamation Active and Inactive Mines Geological Survey <br />25~~ e ~~~ <br />COLORADO <br />