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STATE OF COLORADO <br />DIVISION OF RECLAMATION, MINING AND SAFETY <br />Department of Natural Resources <br />1313 Sherman St., Room 215 <br />COLORADO <br />Denver, Colorado 80203 OF <br />F <br />DIVISION <br />Phone: (303) 866-3567 INTERNAL MEMORANDUM RECLAMATION <br />FAX: (303) 832-8106 MINING <br /> -&- <br /> I <br />SAFETY <br />TO: Dan Mathews sill r, Jr. <br />Goveern rnor, <br />- ^ n Harris D. Sherman <br />FROM: Mike Boulay Executive Director <br /> Ronald W. Cattany <br />DATE • October 3 <br />2008 Division <br />s <br />rector <br />, <br />' ? ourc <br />Reesourc <br />e Trustee <br />Natural <br />SUBJECT: Yoast Mine Permit No. (C-1994-082) <br />Technical Revision No. 37 (TR-37) <br />I have reviewed Seneca Coal Company's (SCC's) responses to our adequacy review for TR-37 for the <br />Yoast Mine. My original comments were items 1 through 24. Overall they did a good job responding <br />to our comments and concerns. I have remaining comments for items 20 and 23 listed below. <br />1. through 19. Responses accepted. <br />20. Regarding Permanent Impoundment Demonstrations Appendix 20-1.2, SCC has adequately <br />addressed all of our concerns except water rights required by Rule 4.05.9(13)(d). Please note <br />that SCC removed Pond 012 from the permanent pond request. For Pond 010 they have a <br />conditional water right Case No. 95 CW 72, Water Division No. 6. On July 31, 2008 SCC <br />applied for an absolute water right on this pond. Please have SCC update the PAP with the <br />water right decree if obtained. For Ponds 013 and 014 SCC does not have water rights. <br />For all three permanent pond requests (010, 013, and 014) appropriate application materials <br />should be submitted to the Office of the State Engineer for their approval of these permanent <br />structures. All impoundments that are intended to be retained as permanent postmining <br />features shall comply with applicable State Engineer rules and regulations. Under the State <br />Engineers rules a permit is required but water rights are not required for Livestock Water Tanks <br />or Erosion Control Dams, which maybe applicable to Ponds 013 and 014. State Engineer and <br />DRMS approval shall be obtained before bond release can occur. <br />On 6/13/08, I spoke with Craig Lis of the Office of the State Engineer regarding the Yoast <br />Mine Permanent pond requests. Craig indicated that SCC had a couple of options as follows. <br />He recommends that SCC submit a Notice of Intent to Construct a Non-Jurisdictional Water <br />Impoundment Structure (even though it is already constructed legally under our jurisdiction), or <br />file for permits for a Livestock Water Tank or Erosion Control Dam. <br />My recommendation is to resolve the water rights issues for Ponds 010, 013, and 014 before <br />approving them as permanent. This will require SCC to contact the State Engineers Office and <br />comply with their requirements. I spoke with Jay James of JEC, Inc. (SCC's consultant) on <br />October 3, 2008 and he has been in contact with the local Division of Water Resources office in <br />Steamboat Springs and is working toward obtaining the proper approval of these structures in <br />accordance with applicable State Engineer requirements. <br />Office of Office of <br />Mined Land Reclamation Denver • Grand junction • Durango Active and Inactive Mines