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Jared Dains <br />February 3, 2011 <br />Page 6 <br />may be aggregated to maximize beneficial use. The Water Commissioner(s) and/or Division <br />Engineer shall determine the rate and timing of an aggregated release. <br />8. The replacement water, which is the subject of this plan cannot be sold or leased to any other <br />entity. As a condition of subsequent renewals of this substitute water supply plan, the <br />replacement water must be appurtenant to this site until a plan for augmentation is obtained. <br />All replacement water must be concurrent with depletions in quantity, timing, and locations. <br />The use of replacement water must be in compliance with all agreements with the providers of <br />replacement water. <br />9. Dewatering of Riverbend East site will produce delayed depletions to the stream system. As <br />long as the pit is continuously dewatered, the water returned to the stream system should be <br />adequate to offset the depletions. However, once dewatering at the site ceases, the delayed <br />depletions must be addressed. At least three years prior to completion of mining, a plan must <br />be submitted that specifies how the post pumping dewatering depletions (including refilling the <br />pit) will be replaced in time, place and amount. The Applicant is hereby notified that if <br />dewatering at any of the sites included in this plan occurs only during the summer months <br />and the pond is allowed to fill during the winter months the depletions that will have an <br />effect on the stream as a result of refilling the pit, must be addressed in any subsequent <br />SWSP renewal for this pit. <br />10. In accordance with the letter dated April 30, 2010 (copy attached) from the Colorado <br />Division of Reclamation, Mining, and Safety ("DRMS"), all sand and gravel mining <br />operators must comply with the requirements of the Colorado Reclamation Act and the <br />Mineral Rules and Regulations for the protection of water resources. The April 30, 2010 <br />letter from DRMS requires that you provide information to DRMS to demonstrate you can <br />replace long term injurious stream depletions that result from mining related exposure <br />of ground water. The DRMS letter identifies four approaches to satisfy this requirement. <br />For the Riverbend Operation and the Lupton Lakes Pit (Riverbend East), to assure that <br />depletions from groundwater evaporation do not occur in the unforeseen event, or <br />events, that the dewatering is discontinued at the Riverbend East or it would lead to the <br />abandonment of the Riverbend East and Riverbed Operation it is our understanding that <br />approach no. 1 or no. 3 will be utilized as evidenced by the Applicant's bond in the <br />amount of $808,415.87 through DRMS for the Riverbend East and $3,150,000.00 through <br />DRMS for the Riverbend Operation. <br />11. Approval of this plan is for the purposes as stated herein. This office must first approve any <br />additional uses for which the water may be used. <br />12. The approval of this substitute water supply plan does not relieve the Applicant and/or <br />landowner of the requirement to obtain a Water Court decree approving a permanent plan for <br />augmentation or mitigation to ensure the permanent replacement of all depletions, including <br />long-term evaporation losses and lagged depletions after gravel mining operations have <br />ceased. If reclamation of the mine sites will produce a permanent water surface exposing <br />groundwater to evaporation, an application for a plan for augmentation must be filed with the <br />Division 1 Water Court at least three (3) years prior to the completion of mining to include, but <br />not be limited to, long-term evaporation losses and lagged depletions. If a lined pond results <br />after reclamation, replacement of lagged depletions shall continue until there is no longer an <br />effect on stream flow.