2008-11-17_GENERAL DOCUMENTS - C1980006

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from Phase III Bond Release in order to maintain access to the remaining acreage (8.0 acres) at the mine site. The Division proposes to approve Phase II Bond Release for the Loadout (6.9 acres), Phase II Bond Release for the Marr Pit (96.5 acres), Phase II Bond Release at Pit 1 (3.6 acres) that had previously been excluded from SL2, Phase III Bond Release at Marr Pit (96.5 acres), Phase III Bond Release for Pit 1 (48 acres), and Phase III Bond Release for the 720 Pit (179.5 acres). The Division holds a performance bond of $700,270.00 for the Marr Mine and Loadout. The reclamation liability for the Marr Mine permit was $687,268.00 at the time of the Division's midterm review on September 19, 2008. The Division has estimated the costs of the remaining reclamation work at both the mine site and the Loadout if the work had to be performed by the Division. This work includes possible reseeding of 8.0 acres at the mine site that were seeded in 1999 (720 Pit) and that have achieved Phase II Bond Release. Reclamation tasks that remain include reseeding the 6.9 acres at the loadout, regrading the loadout pond and associated ditch, and mobilization/demobilization of equipment to conduct the remaining tasks at both the mine and the loadout. The estimated cost of the remaining tasks is $19,619.00. The Division is proposing to release a total of $667,649.00, as detailed below. The portion of the bond pertaining to the 720 Pit was $3,618,694.00 (prior to Phase I and Phase II Bond Releases for this area). The Division proposes to release 15% of the 720 Pit bond ($540,036.90) while retaining the cost of reseeding the remaining 8.0 acres. The remaining bond of $5,877.00 is sufficient to assure completion of the remaining reclamation work at the mine site if the work had to be performed by the Division. This work includes possible reseeding of 8.0 acres that were seeded in 1999 and have achieved Phase II Bond Release. The portion of the bond pertaining to Pit 1 was $869,195.00 (prior to Phase I and II Bond Releases for this area). The Division proposes to release approximately 15% of the Pit 1 bond. However, due to the remaining reclamation liability for the remaining tasks at the mine site and the Loadout, the Division cannot release more than $127,612.10.00 for Phase II bond release for 3.6 acres, and Phase III bond release for 48 acres of Pit 1. The Division proposes to release 100% of the liability for certain permanent structures, all ponds that are now approved as permanent, and the costs for sealing monitoring wells. With regard to the 9.0 acres of the mine access road, the Division proposes to release Phase I and II liability, but not Phase III liability. Due to the reclamation liability release costs assigned to the 720 pit and Pit 1, no liability values for retention of the permanent structures are assigned, but the reclamation liability shall be released. The portion of the bond pertaining to the Loadout is $14,120.00. The Division proposes to release 25% of the loadout area reclamation liability. Due to the requirement to retain money sufficient for the State to complete remaining reclamation tasks, no costs are assigned to this Phase II reclamation liability release for the 6.9 acres at the Loadout. The remaining portion of the bond of $13,742.00 is sufficient to assure completion of the remaining reclamation work at the loadout if the work had to be performed by the Division. This work includes reestablishment of vegetation and reclamation of the loadout pond. The remaining bond of $19,619.00 is sufficient to assure completion of the remaining reclamation work at the mine site and Loadout if the work had to be performed by the Division. The remaining permitted acreage not having received Phase III Bond Release following the final approval of this Bond Release will include 11.7 acres at the Load out, 8.0 acres seeded in 1999 at the mine site (720 Pit), and the mine access road consisting of 9.0 acres for a total of 28.7 acres. Marr Mine SL4 15