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Hohne Roberts & Owen LLP® <br />Attorneys at Law <br />Cheryl Linden, Esq. <br />July 22, 2010 <br />Page 2 <br />level at least 500 feet below the Steve Level, and <br />sufficient to reestablish a hydraulic gradient away from <br />Ralston Creek. Implementation must occur as soon as <br />possible, but no later than July 31, 2010 .... <br />On June 1, 2010, Cotter submitted a technical revision ("TR") request, which <br />agreed to paragraph 1, called Corrective Action #1, and proposed an alternative <br />course of action to the action set forth in paragraph 2. That request is now <br />referred to as TR-12. <br />On June 21, 2010, Cotter submitted a response to a May 21, 2010 letter from <br />DRMS, entitled "Notice of a Reason to Believe a Violation Exists at the <br />Schwartzwalder Mine." In that response, Cotter set forth substantiation for its <br />position that DRMS is not justified in requiring mine dewatering and mine <br />water treatment. That response also specifically stated that, under the <br />applicable regulations, a technical revision cannot be used to require mine <br />dewatering and mine water treatment because a corrective action of this <br />magnitude is not "a change in the permit or an application, which does not have <br />more than a minor effect upon the approved or proposed Reclamation or <br />Environmental Protection Plan." See 2 CCR 407-1 Rule 1.1(52). <br />On June 22, 2010, Tony Waldron advised John Hamrick that DRMS wished to <br />separate out the mine pool issue from TR-12 in order to allow approval of <br />Corrective Action #l, and suggested a 30-day extension of the DRMS deadline <br />to act on TR-12 with respect to the mine pool issue, which would have required <br />DRMS to act on the mine pool issue by July 30. <br />On June 25, 2010, Cotter submitted to DRMS a Rationale for Not Conducting <br />Mine Dewatering and Mine Water Treatment at the Schwartzwalder Mine, by <br />Susan A. Wyman, P.E., P.G., Whetstone Associates ("Rationale"). <br />On June 28, 2010,1 spoke to you about the mechanism to obtain approval for <br />Corrective Action #l. You stated that, despite Mr. Waldron's statement to Mr. <br />Hamrick requesting that Cotter provide an extension until the end of July for <br />#1484743 vi den