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• pIVI510N OF MINERALS AND GEOLOGY Department o(Natural Resources 1317 Sherman 81„ Room 215 Denver, Colorado 80203 Phone: 13031 666-3567 FAX: (303187?-8106 June 21.2000 _ ~T°T~ C~ COLORADO III IIIIIIIIIIIIIIII ,~ `, F q.: .. r~ ~~~\ ' ' l ~ ~ r~ ~ DIVISION OF MINERALS GEOLOGY RECLAMATION MIN ING•SAFETY Bil I Owens Governor Alan Parkerson ~- ~ Greg E. Walther Parkerson Construction, Inc. ~ ~ Executive Dtrecror 7l0 South l5th Street ~''~ Michael B. long Grand Junction, CO 81501 Division Dueaor Re: Orchard Grove Industrial Park Pit, Permit No. M-1990-094, Increase of Financial Warranty Amount Dear Mr. Parkerson. I have finally gotten around to examining some bond amounts which have been long overdue for recalculation, including the bond amount for the above-named pit permitted to you. Enclosed is a bond recalculation packet for the pit. The tasks in the enclosed packet consist of Figures intended to reflect costs of performing final reclamation, based on the approved reclamation plan and the current condition of the site, as reflected in your recent annual reports and the most recent Division inspection. The existing bond amount is $29,000.00. The total figure in this new bond estimate is $135,387.00, indicating an increase in bond amount of $106,387.00. This represents a lazge increase, whose individual tasks will briefly discussed below. As you know, a bond should reflect the cost of all outstanding tasks still to perform, as charged by a contractor hired by the State. Worth noting initially, however, is that over half of the direct costs shown in the packet are associated with the backfilling of the onsite and offsite debris into the existing pit. Another significant portion of the direct costs is related with the "temporary" revegetation of the 34 acres. There are several important items of basis and assumptions used to assemble this estimate, which are listed below. The entire site is to be backfilled to a level surface for eventual development to an industriaUcommercial use, and is to be temporarily seeded to grass until such development is imminent. The entire permitted site contains 34 acres total, though for most reclamation tasks only a portion of the entire site requires that reclamation task. L The pit to be backfilled is estimated to be 700' x 200' x lY deep. Suitable backfill material is assumed to be available for the entire required volume, with an average haul distance of 400 feet. Please note that, due to the shallow depth to water, this will include only "inert" fill, e.g., concrete and earthen materials, but no steel or iron, asphalt or hydrocarbon-containing materials. 2. The scale will be hauled away, as well as the scale house and minor amount of steel and wood debris. The concrete and earthen approaches to the scale will be pushed into the pit. I am not aware of any other structures [o be handled at this time. 3. The disturbed portions of the site which were not mined will be rough graded and ripped to reduce compaction. This assumes about 10 acres needing such treatment. 4. After pit backfilling, rough grading and ripping, an azea of 17 acres of disturbance will receive a layer of the soil that has been stockpiled for reclamation. Prior to revegetation, an estimated area of 3 acres will receive the first of several knapweed control treatments.