between May 5, 1978 and September 23, 1981, are subject to interim program requirements. The
<br />Seneca II Mine was permitted under the Colorado permanent program on September 23, 1981, and
<br />all lands mined after that date are subject to permanent program requirements.
<br />Mining operations have been completed at the Seneca II Mine. Strip pits have all been backfilled and
<br />graded, topsoil has been redistributed on interim and permanent program reclamation areas, and all
<br />graded areas have been seeded and planted. Remaining activity is limited to reclamation of long term
<br />facility areas and site maintenance.
<br />Five successive permit renewals have been approved subsequent to the initial permanent program
<br />permit approval; the most recent, Permit Renewal No. 5, was issued May 3, 2007, for a permit term to
<br />expire February 17, 2012. The Division currently holds a total reclamation, bond amount of
<br />$7,183,489.00, in three corporate surety bonds. Exhibit A (Phase II Bond Release Area) of the SL-3
<br />application, shows the permit area covered by the reclamation bonds, as well as the total disturbed
<br />area, and portions of the disturbed area for which Phase II release was requested in the initial
<br />application submittal.
<br />Bond Release History
<br />The total permit area at the Seneca II Mine encompasses 3,457 acres. The total disturbed acreage is
<br />2,295.3 acres (326.5 acres of pre-law disturbance, 1968.8 acres of interim and permanent program
<br />disturbance). The Division has processed two previous bond release applications for !the mine.
<br />SL-1 was called complete on July 18, 2006 and approved December 27, 2006. This resulted in Phase I
<br />release on 2,054.5 acres of disturbed land; 259.1 acres of pre-law, and 1,795.4 acres of interim and
<br />permanent program lands.
<br />SL-2 was called complete on August 15, 2007 and approved on November 29, 2007. SCC requested
<br />final bond release on 259.1 reclaimed acres of pre-law lands within the permit area, and the Division
<br />granted full bond release for 257.71 acres. In the SL-2 findings, it was determined -that Bond 9264191
<br />issued by the National Fire Insurance Company of Hartford for Permit No. 75-54 C/A, in the amount of
<br />$1,355,000.00 was dedicated solely to the pre-law lands. Based on reclamation cost assessment
<br />performed in association with SL-1 and SL-2, the Division determined that reclamation liability
<br />associated with remaining pre-law lands (68.79 acres) was $285,484.00. Thus, the Division approved
<br />release of up to $1,069,516.00 from Bond 9264191.
<br />SL-3 Review Summary
<br />The SL-3 application for Phase II bond release was received by the DRMS on May 19, 2008. The
<br />application was deemed complete on June 18, 2008, after the DRMS received proof of publication of
<br />the applicant's public notice. Seneca Coal Company published notice of the bond release application in
<br />Steamboat Pilot once weekly for four consecutive weeks, beginning May 11, 2008. Seneca Coal
<br />Company also notified land owners within and adjacent to the mine permit area, and other interested
<br />parties of the application for bond release, as required by Rule 3.03.2(1). No comments, written
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