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IV. PROPOSED DECISION
<br />The Division holds an approved performance bond of $1,640,413.00 in the form of corporate surety
<br /> from the Liberty Mutual Insurance Company for the Roadside Portals Mine. The
<br />Division proposes to release $635,157.00 for the partial Phase 1111/111 Bond Release SL -07. The
<br />release amount is $25,904.00 less than the amount requested by Snowcap Coal Company (of
<br />$661,061.00). The reason for the difference in amounts is because SCC used old reclamation costs
<br />in their estimate submitted with the SL -07 bond release application. The Division used the most
<br />recent reclamation costs that were updated July 15, 2010 with Midterm Review MT -06.
<br />The Division received the SL -07 bond release application July 6, 2010 and was processing the
<br />application within the same timeframe that the Midterm Review MT -06 and Bond Release
<br />Application SL -06 were completed. The new liability calculated for MT -06, based on general cost
<br />increases, was $1,722,908.00 which was $82,495.00 more than the previous liability and bond held
<br />of $1,640,413.00. With the approval of SL -06 (approved on November 4, 2010) the Division
<br />calculated a liability reduction of $68,908.00 to $1,653,000.00, which was still $12,587.00 more
<br />than the current bond held (of $1,640,413.00). With the approval of SL -07, the Division has
<br />calculated the remaining liability for the Roadside Mine to be $1,005,256.00. The Division's
<br />proposed release amount of $635,157.00 is the difference between the current bond held of
<br />$1,640,413.00 and the remaining liability of $1,005,256.00. This is shown on the summary table
<br />below. Following the approval of Partial Phase UII /III Bond Release SL -07 for the Roadside Mine,
<br />the Division will hold adequate bond monies to "assure the completion of the reclamation plan if
<br />the work had to be performed by the Board, through independent contractors, in the event of
<br />forfeiture," pursuant to Rule 3.02.2(1).
<br />Bond Calculation Summary Table
<br />Permitting Action
<br />Liability Change
<br />Bond Required
<br />Pre -2010 Midterm (MR -75)
<br />$
<br />1,640,413.00
<br />2010 Midterm
<br />Recalculated
<br />$
<br />1,722,908.00
<br />SL -06
<br />$
<br />(68,908.00)
<br />$
<br />1,654,000.00
<br />SL -07
<br />$
<br />(648,744.00)
<br />$
<br />1,005,256.00
<br />Current Bond Held
<br />$
<br />1,640,413.00
<br />SL -07 Releasable Amount
<br />$
<br />635,157.00
<br />$
<br />1,005,256.00
<br />Any person with a valid legal interest which might be adversely affected by this proposed decision
<br />may request a formal public hearing before the Mined Land Reclamation Board in accordance with
<br />Rule 3.03.2(6). Public notice of this proposed decision will be published twice in the The Daily
<br />Sentinel as soon as possible. Requests for public hearing must be submitted to the Division in
<br />writing within thirty days of the first publication in the The Daily Sentinel. If no hearing is
<br />requested within those thirty days, the Division's decision will become final.
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