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STATE OF COLORADO <br />DIVISION OF MINERALS AND GEOLOGY <br />Department of Natural Resources <br />1313 Sherman St., Room 215 C O L O RA D O <br />Denver, Colorado 80203 DIVISION D F <br /> MIN <br />A L $ <br />Phone: (303) 866-3567 & <br />FAX: (303) 832-8106 G E O L O G Y <br />-- RECLAM ATION•M IN ING <br /> SAFETY•SUEN CE <br />January 7, 2005 Bill Owens <br />GGVemor <br />Ed Settle Russell George <br />Executive Director <br />Grand Junction Pipe and Supply <br />P.O. Box 1849 Ronald W. Cattany <br />Division Director <br />Grand Junction, Colorado 81502 Natural Resource Trustee <br />Re: South Fiuita Pit, Permit No. M-1981-243, Rec/amation Costs Update and Notice of /ncrease. <br />ST-o9. <br />Dear Mr. Settle: <br />In an effort to ensure the financial warranty remains adequate to reclaim this site per the <br />requirements of the approved reclamation plan, DMG h.as updated the reclamation cost estimate. <br />(copy enclosed). Staff estimates clearly show the site is currently under-bonded. Therefore, <br />pursuant to Section 34-32.5-117141 of the Colorado Land Reclamation Act, adequate financial <br />warranty must be submitted to DMG within 60 days of the mailing date of this report. Please <br />review the enclosed figures as soon as possible and contact our office if any calculation errors are <br />noted. Otherwise, the increased bond needs to be accepted prior to March 8t", 2005. <br />Staff calculations estimate the costs to reclaim the site to be 553,850.00. This is an increase of <br />58216.00 over the 545,634.00 currently held by the Division. The fact that the last bond <br />estimate was done in 2001 played a major role in the increase due to inflationary costs in fuel and <br />revegetation costs. All volumes and tasks used are accepted amounts from the 2001 estimate. <br />If you need additional information, please contact me at the Division of Minerals and Geology, <br />Grand Junction Field Office, 101 S. 3rd St., Suite 301, Grand Junction, Colorado 81501, <br />telephone no. 970.241.1117. <br />Sincerely, <br />~' .!%Z~~~/vf <br />G. Russell Means /! <br />Environmental Protection Specialist <br />Office of Office of Colorado <br />