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The mine wants to re-designate Dove Gulch from perennial to ephemeral stream. The stream is now listed as perennial on USGS and GMUG Forest maps. We are concerned about the water rights that should be going into Hubbard Creek that may be lost if subsidence disrupts the flow of the water. There are some springs that are part of the system. The original lease stipulations were put in place due to potential loss of water. If there are problems, the water rights need to be protected. Regardless of status as perennial or ephemeral, sometimes water does flow, and there is a claim ort water when it flows. Since there is water in storm events and other cases, there needs to be a plan to replace water (to the people who have water rights) that is lost due to mining activities. Before, during, and after a water monitoring program, there should be a replacement plan showing sources and how it will be delivered to water rights owners. The plan also needs to include ownership and long term lease documents for any water being used, and state water court documents to support this program. The survey used in Bowie's report to justify the reclassification was conducted in August, the driest month of the year. Even at that time, they found several areas of the gulch with running water apparently supplied by springs. While it was assumed that the water disappeared in the alluvium, it went underground. If there is subsidence, the water in the alluvium may end up in the mine. Just because water isn't visible on the surface, it doesn't mean that subsidence doesn't disrupt the flow of water. We would like to know how the mine is going to determine where the water ends up, who owns it, and how they are going to replace it, if necessary. Regarding the Terror Creek Reservoir (Bruce Park Dam): the subsidence area is within 1500 feet of the Reservoir. The closeness of subsidence is based on theoretical projects, A plan needs to be in place if the theory is wrong. What is the emergency plan for catastrophic dam failure? How will water be replaced for users while the reservoir is inoperable? This plan needs to be approved by the State Water Court. Are there plans to repair the dam if necessary? Financial assurances need to be provided that the mine would provide for repairs, even it it might cause bankruptcy. We would like to see a plan to continually monitor the dam and its safety. All of the above regarding the reservoir needs to be approved by Terror Creek Reservoir Company, as represented by a signed agreement by TCRC and Bowie Resources. Thank you for addressing our concerns. We request that we be informed of the progress of this application and any decisions that ensue from your process. Sincerely, Peggy Herzog, Coal Committee Member and Steve Wolcott, Coal Committee Chair Western Slope Environmental Resource Council PO Box 1612 Paonia, CO 81428 970-527-5307 2