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<br />I. PROCEDURES AND SUMMARY OF THE REVIEW PROCESS
<br />MINREC, INC., applied for complete bond release under the Colorado Surface Coal Mining
<br />Reclamation Act following reclamation of the Red Canyon Mine. The mine is located in Delta
<br />County, approximately 5 miles northwest of Cedaredge, Colorado, in portions of Sections 2,
<br />11, 12, 13, and 14, of Township 13 South, Range 95 West of the 6th Principal Meridian.
<br />There have been two previous bond release actions associated with the Red Canyon Mine. On
<br />June 9, 1987, the Division approved a fmal bond release application for the rail loadout facility
<br />located in Delta, Colorado. This action reduced the bond amount held by the Division from
<br />$190,000.00 to $185,000.00. On October 13, 1984, the Division's decision for Phase I bond
<br />release for the mine site became final. Sixty percent of the $185,000.00 bond was released,
<br />resulting in the current bond amount of $74,000.00.
<br />An application for Phase II and III bond release was received by the Division on November 12,
<br />1998. The application was deemed complete on November 17, 1998, after the Division
<br />received proof of publication of the applicant's public notice. MINREC, INC., published
<br />notice of the bond release application in the Delta County Independent once weekly for four
<br />consecutive weeks, beginning October, 14, 1998. MINREC, INC., also notified land owners
<br />within and adjacent to the mine permit area, and other interested parties of the application for
<br />bond release, as required by Rule 3.03.2(1).
<br />The Division scheduled and conducted a bond release inspection on December 1, 1998. The
<br />site inspection was conducted in accordance with Rule 3.03.2(2). The inspection was
<br />conducted following proper notification of all permit area surface landowners. Individuals
<br />present during portions or all of the inspection were Jim Stover, of MINREC, INC.; surface
<br />owners Greg and Fran Lazear, Leslie Truitt, Joe Beldon, James Hudson, and Jack Arney;
<br />Randy Pair of the Office of Surface Mining Reclamation and Enforcement (OSM), and Dan
<br />Mathews of DMG.
<br />The primary interest of Mr. Truitt, Mr. Hudson, and Mr. Arney related to features on their
<br />property which they were concerned might have been caused by subsidence attributable to the
<br />Red Canyon Mine. The inspection included a thorough walkover throughout the surface
<br />disturbance area, as well as observation of potential subsidence related features within portions
<br />of the permit and adjacent area, outside the approved surface disturbance area. The
<br />participation of Mr. Truitt, Mr. Hudson, and Mr. Arney, was limited to the inspection of
<br />possible subsidence features on their property. The Lazears participated in the entire
<br />inspection; Joe Beldon participated only in the inspection of the reclaimed surface disturbance
<br />area. Neither the Lazears nor Mr. Beldon expressed any specific concerns or objections with
<br />the reclamation observed, and no problems relating to reclamation of the disturbed surface area
<br />were noted during the inspection.
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