GENERAL54813

• Permit No: C1980006
• IBM Index Class Name: General Documents
• Doc Date: 3/9/1987
• Doc Name: CORRECTION TO MARR MINE INSPECTION REPORT DATED 2/26/1987 FN C-80-006
• From: KERR COAL CO
• To: MLRD
• Permit Index Doc Type: GENERAL CORRESPONDENCE
• Media Type: D
• Archive: No

BEFORE THE MINED AND
DEPARTMENT OF NATURAL
STATE OF COLORADO
Settlement Agreement
RECLAMATION BOARD
RESOURCES
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IN RE: Kerr Coal Company --
Review of Mined Land Reclamation Division's
Proposed Reclamation Bond for the Marr Strip Mine
Permit No. C-80-006
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The Mined Land Reclamation Division ("the Division") of the Colorado
Department of Natural Resources and Kerr Coal Company ("Kerr") hereby enter
into a Settlement Agreement in the above captioned matter.
Findings of Fact and Agreement
1, On October 2, 1986 tht Division proposed a detisicn that Karr -~st 'n
E8,850,000 total reclamation bond for the Kerr Marr Strip Mine,
2. On October 24, 1986 Kerr requested a Formal Board Hearing to contest
the facts and methods employed by the Division to estimate the Marr
Strip Mine reclamation cost.
3. On November 21, 1986 a Formal Board Hearing was held and the matter was
continued to the March 25-26, 1987 Board meeting pending completion of
discovery and hearing preparation in accordance with the schedule
approved by the Board.
4, On December 19, 1986 James T. Cooper, Vice President of Kerr, David
Gossett, Chief Mining Engineer of Kerr, David C. Shelton, Director of
the Division and Fred Banta, Supervisor of the Coal Program for the
Division met to discuss possible means for resolving the dispute.
5. On January 15. 1987 the parties identified in 4) above met and agreed
to undertake structured discussions to review ,)olntly the facts and
assumptions pertaining to the reclamation cost estimate.
6. On January 21, 1981 all the parties identified in 4) above met to
examine the reclamation cost estimate. Subsequent meetings took place
on January 23, 1987, January 27, 1987 and January 28, 1987 between Fred
Banta and David Gossett to examine further the facts and assumptions.
On February 11, 1987 all the parties met again to examine the
recalculation of the r~eclamatian cost estimate. The examination
resulted in agreements pertaining to significant facts and assumptions
within the following parts of the reclamation cost estimate:
a. The method for calculating equipment ownership costs;