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API=,°.OM:natural III III III 1111111111 T0: 303 B32 8106 <br />sss <br />August ]5, 1994 <br />RUG 16. 1994 2:20PM #527 P.02 <br />The Corley Company <br />Pnene 833-6050 P.O Bw 1B7~ <br />L'OLORAUO 6PRINGa COLORA00 BOYO1 <br />Mr. Step}ICn M. Brown <br />Assistant Attorney General <br />Stage Services Building <br />1525 Sharman Street <br />llenver, Colorado 80203 <br />llear Mr. Brown: <br />aL~~C~OMC~D <br />AUG 1 6 1994 <br />A V7, 1GF T <br />NABdfALRi~RC~686Y,7~V <br />1'lte Corley Company did enter into an agreement with the Division of <br />Minerals and Geology (Division) regarding cert.ai.n reclamation require- <br />wents of Harrison Western in the Weet Pit on April 19, 1993. Paragraph <br />4 stated chat the Division had determined the actual cost of completing <br />the reclamation of the area covered by the Harrison Western performance <br />bond would not exceed $]8,500. Paragraph 7 specified the drainage <br />design and other taskx such as erosion and gulley repair within the West <br />Pit. Paragraph 10 provided that the Division would not be required to <br />expend funds of}ter than the $18,500 or to perform tasks once the $).8,500 <br />was exhausted. <br />however, the ltivisi.on accepted a bid for the performance of the <br />agreement tasks of $29,000 for the drainage construction and pond <br />enlargement and $4000 for gulley repair including some of the West Pit <br />Area. We notified the Division that acceptance of that bid exceeded the <br />available funds. The Division did allow the gulley repair and has spent <br />,ome of clte $4000 for the Weat Pit Area. <br />We have never agreed verbally or in vriting that the original drainage <br />diversion was potentially unstable. <br />We gave the Division the opportunity to construct a lesser drainage <br />diversion to correct their error of acceptance of the bid which exceeded <br />the available monies if the Division would notify the Mined Land <br />itecl.amation Board of clteir error. which The Division did write the <br />Uoard a ]et ter stating that t'he $18.500 amount was available for the <br />drainage diversion without ncc:otuttittg for the amount that had been spent <br />for gulley repair. Y'lte Division told us that if we wanted that <br />misconception to the Roard corrected, we would have co confect the Roard <br />ourselves. Ac tltac point we withdrew the offer to rosolve the issue <br />unless the Division would account for the correct balance of funds <br />remaining from the $]8,500 Harrison Western payment. <br />In order to avoid any dispute over the portion of the $4000 gul.l.ey <br />repairs that have bean spent, particularly since about 90X of clte gulley <br />repairs have been destroyed by deer and elk in less than 8 months, we <br />are staking this offer. Expend $17,700 for the drainage diversion and <br />