REV94191

• Permit No: C1981032
• IBM Index Class Name: Revision
• Doc Date: 1/16/1987
• Doc Name: WILSON-LOUDY LOADOUT BOND RELEASE & TRANSFER OF PERMIT FN C-81-032
• From: MLRD
• To: AXIAL BASIN RANCH CO
• Type & Sequence: HR2
• Media Type: D
• Archive: No

Ti
C
i
Ricaaro D. Lamm
Governor
DEPARTMENT OF NATURAL RESOURCES
Davitl H. Getches. ERecutive Director
MINED LAND RECLAMATION DI\
DAVID C. SHELTO N, Director
January 16, 1987
III III III III IIII III
999
Mr. Dale Thompson
Ranch Manager
Axial Basin Ranch Company
5731 State Hwy 13
Meeker, Colorado 81641
Re: Wilson-Loudy Loadout, Bond Release and Transfer of Permit, File C-81-032
Dear Mr. Thompson:
In response to recent inquiries by yourself and Mr. Greg Lewicki, I have
reviewed the Divisions' records and have the following comments on the above
referenced issues.
Northern Coal Company currently retains all bonding liabilities for the
Wilson-Loudy Loadout. In September, 1985, the Division approved a request for
partial bond release for successful completion of backfilling and grading.
However, Northern Coal did not complete the actual release of monies due to
procedures involving transfer of ownership which were occurring at the time.
Therefore, Northern Coal could immediately receive E76,134.00 (60% of the
loadout bond) by sibmitting a rider which reduces their current bond to
y773,866.00. Additional bond release could be obtained upon request by
Northern and demonstration that the requirements of Rules 3.03.1(2)(b) and
3.03.1(3] have been met. Northern would need to show that the revegetation
has mec the requirements of Rule 4.15.10, and prove that the industrial land
use has been attained. This land use determination could be provided either
by the possible permitting of the Elam gravel pit, or by submitting evidence
that the County has rezoned the area for industrial use. If the land use
could not be proven, then Rule 4.15.8 would be the appropriate revegetation
standard.
Regarding the transfer of ownership to Axial Basin Ranch, the Division still
requires additional information to approve the transfer. As set forth in the
Divisions' letter of July 3, 1986, information as required by Rules 2.03.4,
2.03.5, 2.03.6, 2.03.7(3), 2.03.9 and 2.03.10 must be provided. Upon approval
of the transfer, Axial Basin would assume the remaining bond liability of
550,756. Porthern Coal could then apply for additional bond release in that
amount, and be free of all bonding liability for the loadout. It shou'.d be
noted that upon transfer of ownership, the same standards for bond release as
listed above would apply to Axial Basin.
423 Centennial Building, 1313 Sherman Street Denver, Colorado 80203 Tel. [phone]