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revegetation success standards. (This may include additional soil <br />preparation, seeding, or mulching, and transplanting of shrubs). Cost <br />estimates for conducting these activities are included in the following <br />section. At this time the Division believes the degree of difficulty to <br />complete these remaining reclamation activities to be low. <br />Monitoring of outfall from the three sediment ponds will continue. Monitoring <br />of ponds No. 3, No. 4, and No. 5 during the past has indicated no problems or <br />pollution was resulting. Past monitoring of pond No. 1 indicated elevated <br />levels of iron and total suspended solids. These levels were largely the <br />result of circumstances beyond the control of Blue Ribbon Coal Company. The <br />elevated iron levels were contributed by high iron spring water that was <br />draining into the pond from an undisturbed area. During construction of the <br />bench water levels in the pond were kept low in order to provide more working <br />space and minimize muddy conditions. Storage of soil and cover materials <br />immediately adjacent to the pond was made possible in this manner. Elevated <br />suspended solids levels resulted from construction disturbance and temporarily <br />reduced storage and settling time and mixing. In addition, effluent <br />limitations had been originally set assuming much higher volume of discharge <br />than has occurred since mining ceased. Therefore, when the limitations were <br />adjusted by the Colorado Department of Health at the request of Blue Ribbon <br />Coal Company, water quality remained within acceptable limits. Sediment pond <br />No. 1 has been reclaimed and surface runoff is being controlled by remaining <br />ponds, No. 3, No. 4, and No. 5. The problems previously associated with <br />sediment pond No. 1 and construction disturbance have been eliminated. <br />No pollution of surface or subsurface water is occurring at the site. The <br />probability of any pollution occurring in the future is very low. <br />Monitoring activities to continue on the site will determine the degree to <br />which water quality and stability of the bench are being protected. <br />Bonding Calculations <br />Currently, the Division is holding a reclamation bond in the amount <br />$110,000.00. Due to the decision to release bond for backfilling and grading <br />of all areas of the mine except the top of the bench and the base of the <br />access road the bond to be retained must be recalculated. This was done by <br />using revegetation costs and sediment pond reclamation costs approved in the <br />mid-term review. Costs for reclamation regrading of the top of the bench and <br />base of the access road, including equipment mobilization, were calculated. <br />Overhead expenses, contractors profit and engineering costs were calculated <br />using the sum of the previous figures. A total cost for remaining reclamation <br />and associated expenses was the result. <br />These figures and calculations follow. As noted at the end of the <br />calculations, the bond proposed to be retained is $80,000.00 which would allow <br />$30,000.00 to be released. <br />SMJ/ddt <br />6691E <br />-3- <br />