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(Page 2) <br />MINE ID # OR PROSPECTING ID # M-2006-069 & M-2010-003 <br />INSPECTION DATE 6/3/10 INSPECTOR'S INITIALS WHE <br />OBSERVATIONS <br />This inspection occurred as part of the Office's review process of a 110(2) permit application for the Idaho Mine, <br />File No. M-2010-003; to verify compliance with the Cease and Desist Orders for Violations MV-2009-007 and MV- <br />2009-033, issued previously to the Idaho Mill, File No. M-2006-069; and in response to a citizen's complaint from <br />Dave Linden, dated May 8, 2010 and received by the Office on May 10, 2010. <br />On May 26, 2010, the Office also received a complaint from Lisa Giovanniello, by email, which was addressed to <br />Marianna Spishock (La Plata County Code Enforcement), and copied to the Office. As a matter of policy, the Office <br />conducts investigations in response to written complaints and this investigation occurred in response to the <br />written complaint submitted by Mr. Linden. As a point of clarification the Office is forwarding copy of this <br />inspection report to Ms. Giovanniello and Ms. Spishock. <br />Mr. Linden raised issues at the Idaho Mill, M-2006-069; Idaho Mine, M-2010-003; and the May Day Mine, M- <br />1981-185. This report is limited to observations for the Idaho Mill and Idaho Mine. Observations specific to the <br />May Day Mine are recorded in a separate report for that file. This report is accompanied by copy of the complaint <br />from Mr. Linden, email correspondence from Ms. Giovanniello and 12 photos. <br />Illegal Access Road from County Road 124 to Bridge for La Plata River - Construction of the unapproved access <br />road, portions of which are shown in photos one through nine, resulted in Violation MV-2009-007. Violation MV- <br />2009-007 was issued March 11, 2009, to Wildcat Mining Corporation (Operator) for the Idaho Mill. Subsequent to <br />the issuance of Violation MV-2009-007, the Operator continued to use the illegal road to support mining <br />activities, which resulted in Violation MV-2009-033. Violation MV-2009-033 was issued December 10, 2009. The <br />Cease and Desist Order for Violation MV-2009-033 reiterated that the illegal road cannot be utilized to support <br />mining related activities until the Operator incorporates the road into an approved reclamation permit. <br />On May 4, 2010, the Mine Safety & Health Administration (MSHA) conducted a site inspection of the May Day <br />Mine, located nearby the Idaho Mine. Apparently, the MSHA inspector utilized the unpermitted road to access <br />the"May Day Mine. The vehicle tracks, observed by Mr. Linden on May 7th and reported to the Office on May 10th, <br />appear to have resulted from the MSHA inspection. <br />During a May 13, 2010 hearing, the Board modified the Cease and Desist Order for Violation MV-2009-033 to <br />allow the Operator to conduct a geotechnical reconnaissance on the illegal road. The geotechnical <br />reconnaissance work was necessary to develop an engineering plan, which was to address repair and stabilization <br />of the poorly constructed road. The geotechnical reconnaissance occurred on May 22, 2010, and included the <br />digging of three test pits in the road fill material. The Office received the report from the geotechnical <br />reconnaissance but never received the engineering plan whereby the road might be fixed. <br />The correspondence from Ms. Giovanniello, dated May 26th, correlates with the May 22"d geotechnical <br />reconnaissance work. However, the geotechnical work utilized a rubber-tired backhoe and not tracked <br />equipment. During this June 3rd inspection, the Office observed grouser marks, evidence of tracked equipment, <br />on the unpermitted road and is investigating the potentially unapproved use of the road. <br />As shown in photo eight, an unapproved water bar has been constructed in the illegal road. The water bar will