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• Rule 2.05 <br />2.05.415) Reclamation Costs <br />Details of mine reclamation cost estimates were provided in the initial permit application (Section <br />1.05.E and subsequently revised in January 1985 as part of the mid-term permit review. As part <br />of the Division's August 1994 mid-term review, the outstanding reclamation liability was set at <br />$1,368,313. This amount reflects MLRD approval of Phase I bond release for the approximately <br />320 acres reclaimed in the mine pit area (i.e. south and east of CR 53), It does not, however, reflect <br />elimination of the reclamation liabilities associated with the railroad load out facility (now owned <br />by Hayden Gulch Terminal, Inc. and permitted under C-92-081) or the fact that reclamation has <br />been completed in the former mine facilities area west of CR 53 since 1987. <br />HGCC estimates that mine reclamation and maintenance costs for the duration of this permit will <br />be approximately $55,000 per yeaz through completion of the 10 yeaz liability period (in 1997) and <br />final bond release. This figure is based on actual mine maintenance costs in recent years and <br />assumes that all required work is cazried out by an independent "third" party. Since all backfilling, <br />grading, topsoil replacement, revegetation, and drainage control activities have been successfully <br />completed for all affected areas within the permit boundary, HGCC assumes that future <br />reclamation activities will be limited to routine inspettions, vegetation sampling, environmental <br />monitoring, report preparation and minor site maintenance or remediation work. Site work <br />requirements are anticipated co be limited to occasional thistle or weed control, fence repair, <br />sediment pond/drainage control maintenance, minor erosion control, etc. Table I1 provides a <br />detailed cast estimate for accomplishing these and all other tasks required to maintain full permit <br />• compliance until final bond release is obtained. <br />HGCC assumes that the existing revegetation will be found adequate to fulfill all requirements of <br />the MLRB Coal Mining Regulations and the performance standards specified in Technical Revision <br />No. 62. <br />The costs presented in Table 2.05-11 reflect current equipment operating and labor rates. Estimates <br />of time required (i.e. labor) for monitoring, sampling, and report preparation are based on actual <br />HGCC experience over the last several yeah of performing these casks. Administrative costs are <br />assumed to be 15 percent, based on costs for general expenses and overhead which include costs <br />for contracting, management, engineering, general office supplies, and administrative costs. The <br />15 percent overhead figure is consistent with HGCC bond estimates previously accepted by the <br />MLRD. <br />• <br />7R~~ ~ 94/96 <br />/i~~.6~9.6 suan~-rrAL <br />,..~ 2.05-11 <br />