GENERAL50474

• Permit No: C1981015
• IBM Index Class Name: General Documents
• Doc Date: 9/30/1992
• Doc Name: PROPOSED DECISION AND FINDINGS OF COMPLIANCE
• From: Reclamation Only
• Permit Index Doc Type: FINDINGS
• Media Type: D
• Archive: No

In June of 1978, Dorchester Colomine Joint Venture announced plans to open a
new coal mine north of Fruita at the Anchor-Tresner site (Fruita No. 1 and 2
Mines). Entries were begun in the summer of 1978. Dorchester applied for and
was issued permit 79-60/UG/C under the Colorado state interim program. Soon
after entries were completed, spontaneous combustion problems became evident
in the mine. In 1980, the mine ceased operations. Afire occurred in the
Fruita Mine during June and July 1983 while the mine was idle.
In 1981, Dorchester applied for a permit but later withdrew the application.
(This submittal correlates with DMG File No. C-81-015.> Later, three
applications were submitted reflecting three separate coal leases. File
C-83-061 referred to the Center Lease Unit, while C-84-064 and C-84-066
referred to the Eastern and Northern Lease Units respectively.
In 1984, the Division requested Dorchester address a list of adequacy concerns
in regard to baseline information for these three application submittals. In
July 1985, Dorchester submitted baseline data for all three lease areas as one
unit. In July 1986, the Division once again requested additional information
from the operator. American Shield took over the lease rights in April 1486
and has continued as the operator from that time on.
In August 1989, a Colorado Mined Land Reclamation Board Agreement was issued
requiring the operator to 1) Seal the portals by August 31, 1989 and submit a
reclamation permit application by September 20, 1989 or forfeit the bond; and
2) begin reclamation within 15 days after approval of the reclamation plan or
forfeit the bond.
On September 20, 1989, an application for a reclamation plan was submitted by
American Shield. The Division approved American Shield's plan for reclaiming
the site in February 1990, although no permit was issued.
In May 1990, the Division contacted American Shield regarding its failure to
initiate reclamation as agreed upon during the August 1989 Board Agreement.
The Division required work to begin by July 9, 1990. Notice of Violation
C-90-30 was issued in July 1990 for failure to reclaim. Reclamation work at
the Fruita Mine site was started during the summer of 1990.
In July 1990, American Shield requested a reduction in bond liability from
2141,000 to 290,000, since a portion of bonded disturbance had never
occurred. The Division caltulated a revised reclamation cost estimate and
agreed with the 290,000 figure. The Division proposed to reduce the bond
required by American Shield in September 1990.
American Shield submitted an application for Phase I bond release at the
Fruita Mine in July 1990. The Division conducted a bond release inspection in
February 1991. As a result of this inspection, the Division proposed to
release 60 percent of the remaining bond for completion of backfilling and
grading work. This left a balance of 236,000 bond held by the Division. The
Office of Surface Mining Reclamation and Enforcement objected to the
Division's approval of highwall retention in the Fruita Mine reclamation plan
in June 1991.
In September 1991, the Division issued a notice of violat'son For failure to
reclaim to approximate original contour and failure to eliminate the
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