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Varna Companies, Inc. <br />8120 Gage Strcet Frederick. CO 80516 Telephone (30316666657 Fax (303) 666-6743 <br />Wednesday 12 May 2004 <br />Chris Pauley, Civil Engineer <br />Anderson Consulting <br />Ft. Collins, Colorado <br />Subject: Varna Companies, Inc.; DMG Permit M1978-056; Durham Sand & Gravel Pit; DMG <br />Inspection of 23 January 2004 enforcement of interim measures. <br />Dear Chris: <br />The attached empirical design of spillways are at the urging of the Colorado Division of <br />Minerals and Geology, and is intended to be interim to a final solution determined by your <br />office. It seemed appropriate to offer it to you fnr your thoughts and any comments you <br />may have on the matter, or the intended interim design and solution. As we have <br />previously discussed, we were both of one mind that until the data comes in, no interim or <br />final solution at this location is possible from an engineered perspective. To my <br />understanding this perspective has previously been verbally detailed to the Division by both <br />of us at diverse time since 23 January 2004. <br />It appears to be the intention of the DMG to take enforcement action against us ff we have <br />not satisfied their demands for an tnterim solution within 30 days of yesterday, Tuesday 11 <br />May 2004. The location and design of the spillways shown was mutually determined <br />between Varna Companies, Inc. (Christopher L. Varna, and myself present) and Thomas <br />Schreiner, Colorado Division of Minerals and Geology. The proposed survey locations in red <br />dots, also include the proposed spillway locations, with some concem for the elevations of <br />surrounding structures should directing floodwaters into the property actually occur. It has <br />been my contention that the long established elevations along the South bank of the Poudre <br />may be benefiaal or benign, and that nothing should be done until the data and engineering <br />is finalized. Further, with the lower snow pack and unsaturated soils from the drought, it <br />would appear that flooding this year is dependent upon an unusual, or series of unusual, <br />precipitation events. It is the Division's concem that some interim measure be provided to <br />abate this potential risk. <br />The spillway locations shown are empirical low points that can be taken advantage of to <br />lower elevations along the South bank to accommodate the establishment of temporary <br />spillways to accommodate high water from a flood event. Empirically, the 1999 flood came <br />into our property from the East, backing up from the County Bridge on Fern Street. This <br />flood did not impact the Bliss Produce lands to our knowledge. This empirical knowledge <br />projects the possible direction of flood flows from high water during a flood event. Given <br />the arcumstances, it is khe best we can come up with to accommodate the expectations <br />being made on the Division, and the Division's corresponding demands on us. <br />The Division's inspection report of 23 January 2003, which I believe you have a copy of, lays <br />out their corrective action, due 30 April 2004, which is what they are enfordng. Their <br />demands place us in a catch 22, since engineered evaluations are underway and <br />pending, presently dependent upon missing data; leaving the empirical answer as the only <br />Immediate potential remaining to us if we are to avoid the Division's enforcement action. <br />Since the present interim solution is empirical, we intend to prop it up with survey <br />