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I. Procedures and Summary of the Review Process <br />Lorencito Coal Company, LLC, submitted an application for Phase I Surety Release (SL-O1) to <br />the Division on August 20, 2003. Peak Project Management, LLC on behalf of Lorencito Coal <br />Company, submitted the bond release application. The initial application was reviewed by the <br />Division and found incomplete. The Division notified the applicant of the deficiencies found in <br />the bond release application and sent notification of the same on August 27, 2003. <br />Included in the initial bond release application was the required proof of publication of the <br />newspaper notice required by Rule 3.03.2(1)(b). Following the publication of this notice, <br />beginning on June 18, 2003, the Division received a letter of objection from the Las Animas <br />County Commissioners (LACC) on July 7, 2003. The specific concerns of the LACC were the <br />preservation of their right to a hearing and the amount of bond proposed for release. The <br />Division forwarded this objection to the applicant on July 8, 2003 as required by Rule 3.03.2(3). <br />Following notification of the receipt of a complete bond release application, the Division <br />received an objection from the LACC, restating their previous objection based on the newspaper <br />notice. The Division sent a letter to the LACC on August 28, 2003 explaining the bond release <br />process and informing them that their right to a formal hearing, if necessary, was preserved. <br />However, no request for an informal conference was received from LACC. <br />The applicant submitted additional information, received by the Division on February 27, 2004. <br />Included in the submittal were certified receipts for letters sent to landowners, adjacent <br />landowners, county commissioners, and the county planner. The Division reviewed this <br />additional information and found the application complete on Mazch 10, 2004. Notification of <br />the filing of a complete application was sent to the surface and mineral owner, the applicant, Las <br />Animas County, and the Office of Surface Mining. On March 31, 2004, the Division sent by <br />certified letter, notice to the same parties that the Division would conduct a bond release <br />inspection on April 6, 2004. <br />The inspection was conducted on April 6, 2004 and is documented in the Division records. <br />Minor deficiencies requiring maintenance work were identified. The operator stated their desire <br />to fix these deficiencies and, upon completion of the work, schedule afollow-up inspection. The <br />second inspection was conducted on June 14, 2004 to check that the necessary work was <br />completed as previously identified. All work was successfully completed with one exception. <br />Due to this exception, the Division conducted a third inspection on July 21, 2004 to ensure that <br />this final issue had been resolved, which it had. The results of that inspection were forwarded to <br />Las Animas County and the surface landowner. <br />Due to pending issues associated with changes to the topsoil redistribution plan, the Division and <br />the applicant agreed to withhold any decision on this bond release until the these issues could be <br />resolved. Resolution of these pending issues was reached in January 2004. <br />