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STATE OF COLORADO <br />DIVISION OF RECLAMATION, MINING AND SAFETY <br />Department of Natural Resources <br />1313 Sherman St., Room 215 <br />Denver, Colorado 80203 <br />Phone: (303) 866-3567 <br />FAX: (303) 832-8106 <br />November 3, 2010 <br />Bradford Janes <br />Professional Forester <br />Varra Companies, Inc. <br />8120 Gage Street <br />Frederick, Colorado 80516 <br />RE: Dakolios Pit; DRMS File No. M-1984-036; Technical Revision -04 Adequacy Review #3 <br />Dear Mr. Janes, <br />COLORADO <br />D IV IS I ON OF <br />RECLAMATION <br />MINING <br />SAFETY <br />Bill Ritter, Jr. <br />Governor <br />Mike King <br />Executive Director <br />Loretta E. PiMeda <br />Director <br />The Colorado Division of Reclamation, Mining and Safety (Division) received your response to our first adequacy <br />review of Technical Revision 04. The Division has reviewed the information submitted, and has several items that <br />will need clarification prior to the Division's approval. The decision date for the Technical Revision is December 3, <br />2010. No extension of the decision date will be granted. <br />Item #1-- Agricultural Area: <br />1.) The Division reviewed your response to the Division's concerns raised during the second adequacy review in <br />regards to the agricultural area. The Division does not agree the proposed activities for Areas 1 and 3 were the <br />intent of the original reclamation plan or Technical Revision No. 2. Changing the reclamation plan from a topsoiled <br />and re-vegetated plain to a substantial equipment/material storage area is a significant change in the post mine <br />land use designated for the site and would require an amendment to the permit. The Operator has two options: <br />A.) Revise the submitted map indicating Areas 1 and 3 will be re-soiled and vegetated. Along with this, <br />please indicate the volume of overburden stored on site (in cubic yards) to fulfill the reclamation <br />requirement. Please identify the location of any overburden piles within the permit boundary on the <br />revised map. The Division may consider a request to reduce the amount of overburden to be replaced on <br />these areas with proper justification. <br />-At this time the Division estimates it would need approximately 27,430 cubic yards of topsoil to <br />spread 6 inches of material over Areas 1 and 3. The Division will increase the financial warranty <br />to account for importation of this material unless the operator can demonstrate sufficient topsoil <br />is located within the Dakolios Pit permit boundary. <br />B.) Withdraw this Technical Revision and submit an amendment to the permit and update the <br />reclamation plan outlining the intended uses of Areas 1 and 3 and to address the installation of the clay <br />liners. <br />Item #2 -- Clay liner of the Northwest Pond: <br />2.) Prior to approval of this Technical Revision, please submit evidence from the Office of the State Engineer (SEO) <br />that the Operator has committed sufficient shares of water to the SEO to cover the augmentation plan for the <br />northwest pond. <br />Office of <br />Office of <br />Mined Land Reclamation Denver • Grand junction • Durango Active and Inactive Mines