2009-05-11_REVISION - C1980004 (2)

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J.E. Stover & Associates, Inc. May 11, 2009 Page 2 McClave to Munger, can be removed. The Division has provided an updated copy of the cost estimate summary sheet with task 040 removed. The indirect costs associated with Task 040 have also been removed. Please replace the summary sheet in the McClane estimate with the updated summary sheet (three pages, attached) and please remove the task sheet for Task 040 from the McClane estimate. 4. The Division does not agree that the haul distance for Task 041, Replace Topsoil from Stockpile to Coal Mine Waste Pile, is overstated. In the Technical Revision 16 estimate as well as the 2009 Midterm Review estimate, the Division used 1,000 feet for the haul distance for this task. This haul distance is based on a probable haul route, based on Figure 2.2-2, to move the material from the topsoil stockpile to the coal mine waste pile. While the centroid-to-centroid distance from the stockpile to the waste pile may be closer to the 650 feet proposed by McClane, the Division does not believe that the on the ground circumstances warrant this simple approach. The steepness of the outslopes of the topsoil stockpile (2.5:1) and the steepness of the outslopes of the coal mine waste pile (3:1) will necessitate a longer haul route, as the scrapers will not be able to travel directly up or down the outslopes of either pile. As such, the Division has created a haul route that it feels is more realistic. The haul distance of this route is 1,000 feet. The Division will leave task 041 as estimated. In summary, the Division agrees with Items 2 and 3 of your April 15th responses, and will remove those tasks from the estimate (it was determined that these tasks could be removed from the estimate since the referenced road was removed at an earlier date), but does not agree with Items 1 and 4, and will leave those tasks as estimated. Based on the Divisions review of the aforementioned letter, the estimate has been updated. I have attached a new summary sheet (four pages) with tasks 015 and 040 removed. These tasks pertain to the McClane to Munger haul road which was removed from the permit at an earlier date. Tasks 009 and 041 have not been updated (Items I and 4, respectively). In MCM's copy of the estimate, please replace the summary sheet and remove and discard tasks 015 and 040. Following these changes the new liability for the McClane Canyon Mine is $367,256.00. This amount is $47,976.00 more than the current bond held (of $319,280.00). MCM will need to submit a minimum of $47,976.00 in additional bond monies based on the updated midterm review cost estimate. Please let me know if you have any questions or need any additional information. Sincerely, M i 4VO P, baLk's Michael P. Boulay Environmental Protection Specialist Enclosure C: Gary Isaac/MCM w/attachments Denver Project File w/o attachments