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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 />Denver, Colorado 80203 <br />Phone: (303) 866-3567 <br />FAX: (303) 832-8106 <br />December 3, 2008 <br />Stephen Malouff <br />Malouff Construction, Inc. <br />6496 Malouff Road <br />Alamosa, CO 81101 _ <br />1) <br />??'w/ ,1 <br />a <br />i&CAIS® <br />JAN t? 5 ?Q?? <br />DMsoo 0 and ga eW n, <br />tw <br />DEC 3 0"1000 <br />r> '? titer <br />()WijrJS1 G r' °GtMe? n. <br />p?lis .. ? Sa <br />?J,nmg an <br />Re: Reason to Believe a Violation Exists; Malouff Construction, Inc.; <br />DRMS File No. M-1982-033; Malouff Pit <br />Dear Mr. Stephen Malouff: <br />COLORADO <br />D I V I S I ON OF <br />RECLAMATION <br />MINING <br />SA ETY <br />Bill Ritter, Jr. <br />Governor <br />Harris D. Sherman <br />Executive Director <br />Ronald W. Cattany <br />Division Director <br />Natural Resource Trustee <br />On January 23, 2008, the Division of Reclamation, Mining, and Safety (Division) increased the financial <br />warranty amount for the Malouff Pit, File M-1982-033 from $1,714.00 to $4,035.00, based on <br />conditions observed during an inspection of the site conducted on September 26, 2007. The Division <br />had not received a response to the surety increase notice and had not received the increased bond <br />amount, and sent a reminder notice regarding the surety increase on September 30, 2008. As of the date <br />of this notice, the Division still has not received the additional bond amount. Therefore, the Division <br />has reason to believe a violation exists to the Law and Rules and has scheduled this matter before the <br />Mined Land Reclamation Board (MLRB). <br />The Division believes this is a possible violation of C.R.S. 34-32.5-117(4)(b)(I) for failure to maintain <br />sufficient financial warranty to assure the completion of reclamation on the affected land, and C.R.S. 34- <br />32.5-117(4)(c)(II) for failure to submit a financial warranty within 60 days of adjustment. A Formal <br />Public Hearing will be held at the January 7 and 8, 2009 MLRB meeting for consideration of a possible <br />violation. The hearing will be held in Room 318 of 1313 Sherman Street, Denver, Colorado beginning <br />at 9:00 a.m. on January 7 h and January 8t' or as soon thereafter as the matter can be considered. At that <br />hearing you will have the opportunity to be represented and heard. It will be reiterated that there is <br />reason to believe that you are in violation of the provisions noted above. <br />If the Board finds a violation at this hearing, it may issue a Cease and Desist Order, assess a Civil <br />Penalty in the amount of $100.00 to $1000.00 for each day of violation. If you have evidence indicating <br />that the possible violations noted above do not exist or has been corrected, please provide it to us as soon <br />as possible or bring it to the hearing. <br />Following the hearing, the parties will have an opportunity to review and comment on a draft of the <br />Board's order if requested. If you wish to do so, you must provide the Board with a written request to <br />review the draft order at or before your hearing, or you may request to review the draft order at the <br />hearing. An oral request to review the draft order must be made on the record during the hearing. You <br />must include your mailing address and, if possible, a fax number or email address. You will be provided <br />a copy of the draft order for your review as soon as it is available. Please note that the Division has <br />requested the opportunity to review the draft order in this matter. The Board must receive any written <br />comment within seven days following the mailing of the draft order, unless that deadline is extended for <br />gog &q*se. Submit a comments in writing to Jillian Allison, Assistant Attorney General A1t52 5 d i arrive Mines <br />Mined Land Reclamation Denver • Grand Junction • Durango