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or existing independent~eration. The United States shall rive the fair market value <br />of the coal contained in the modification and the R/W. <br />The BLM prepares an environmental assessment to analyze the potential impacts of the <br />proposed lease modification and R/W and then develops mitigating measures to be <br />included as lease and R/W stipulations. The BLM must also evaluate lease proposals <br />with respect to the coal unsuitability criteria developed by the Department of the Interior <br />in compliance with Section 522 of the Surface Mining Control and Reclamation Act of <br />1977 (SMRCA) and 43 CFR 3461. The coal unsuitability criteria was also applied to the <br />proposed R/W area. This evaluation was done in conjunction with the Uncompahgre <br />Basin Resource Management Plan (1989) and the Uinta Southwest Utah EIS (1983). <br />See Appendix A for the application of the coal unsuitability criteria. The stipulations <br />resulting from the application of the criteria are included in the mitigation measure section <br />of this EA. <br />Following completion of the final EA, the Montrose District Manager will make the <br />decision to authorize or reject the R/W. The District will forward the modification <br />application, the EA, maximum economic recovery report (MER), Record of Decision <br />(ROD), Finding of No Significant Impact (FONSI), proposed lease terms and conditions, <br />and preliminary recommendations to the BLM State Director in Denver. The Colorado <br />State Director will make a determination on the leasing action, the proposed lease terms <br />and conditions and bonding requirements, and the adequacy of the FONSI or the need <br />for an environmental impact statement. <br />The State Director then makes the decision approving the bond and issuing the lease. <br />Copies of the decision are then distributed to the BLM District Office, the Office of <br />Surface Mining Reclamation and Enforcement and the Minerals Management Service <br />(MMS). <br />The Office of Surface Mining Reclamation and Enforcement (OSM) has agreed to <br />cooperate in preparing this EA. In addition, OSM has jurisdiction in recommending <br />approval of any mining plan that might result from BLM's leasing decision. The BLM, <br />though, must concur with OSM's recommendation to the Assistant Secretary concerning <br />the mining plan submitted to OSM by a successful bidder (lessee). <br />SMCRA gives OSM primary responsibility to administer programs that regulate surface <br />coal mining operations on federal lands and the surface effects of underground coal <br />mining operations on federal lands. Pursuant to Section 503 of SMCRA, the Colorado <br />Division of Minerals and Geology (CDMG) developed, and the Secretary of the Interior <br />approved, a permanent program authorizing CDMG to regulate surface coal mining <br />operations and surface effects of underground coal mining on non-federal lands within <br />the State of Colorado. In September 1982, pursuant to Section 523(c) of SMCRA, <br />CDMG entered into a cooperative agreement with the Secretary of the Interior <br />authorizing CDMG to regulate surface coal mining operations and surface effects of <br />underground mining on federal lands within the state. <br />Pursuant to the cooperative agreement, federal coal lease holders in Colorado must <br />submit permit application packages to OSM and CDMG for proposed mining and ^""' <br />reclamation operations on federal lands in the State. The CDMG reviews the packages <br />2 <br />