Laserfiche WebLink
bond release application, and site inspections, the Division finds that SCC has completed <br />backfilling, grading and drainage reestablishment at all of the areas of the Seneca II Mine for which <br />Phase I bond release was requested in accordance with the approved reclamation plan. Backfilled <br />and graded areas and reconstructed drainages throughout the reclaimed areas remain in good <br />condition. <br />IV. PROPOSED DECISION <br />Summary <br />Based on the observations above, the Colorado Division of Reclamation, Mining, and Safety <br />proposes to approve Seneca Coal Company's request for a Phase I bond release for the Seneca II <br />Mine. This proposed decision will release the applicant from liability for backfilling, grading, and <br />drainage reestablishment on 135.3 acres of the site. <br />The Division holds a performance bond of $7,183,489.00 for the Seneca II Mine. Of this amount <br />$285,484.00 applies to pre -law permit 75 -54, and the remaining $4,050,665.00 applies to the <br />permanent program. The required surety for the site prior to this release decision is <br />$7,183,489.00. The Division proposes to release $77,028.00 of the liability on the permanent <br />program lands. The proposed amount to be released is less than the sixty percent of the current <br />required surety which would be eligible for release under Rule 3.03.1(2) (a). The release amount is <br />less than the eligible amount because SCC has not requested release on all disturbance areas, and <br />because the cost to complete remaining tasks exceeds the monetary amount that would remain if <br />a full 60% release were granted. The remaining $4,259,121.00 is sufficient to assure completion of <br />the remaining reclamation work at the site ($3,973,637.00 on interim and permanent lands and <br />$285,484.00 on pre -law lands) if the work had to be performed by a third party for the Division, <br />including the cost of topsoil redistribution and reestablishing vegetation on any revegetated areas, <br />should those areas fail. <br />Reclamation work which remains to be done at the site includes grading to establish positive <br />drainage in the old Wolf Creek Pit (pre -law area); sealing groundwater monitoring wells; backfilling <br />the truck wash ponds and facilities area ditches; demolition of facilities and clearing of debris; <br />regrading of facilities area lands; and site maintenance during the remaining liability period. In <br />addition to the remaining work, the Division is maintaining bond for topsoil redistribution on 755.7 <br />acres and for revegetation of the entire site. The Division will hold bond money for topsoil <br />redistribution until a Phase II release is granted, and for revegetation until a Phase III bond release <br />is granted. A summary of prior release amounts and acreages is provided in the attached table. <br />The revised reclamation cost estimate summary is also attached. <br />Page 13 of 30 <br />