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permit area than will untreated drainage from the natural surrounding area. <br />Sediment Pond A and the associated collection ditch were reclaimed in late 2010, during the <br />process of the Division's review of the SL-2 application. The operator has not yet requested <br />Phase I or Phase II bond release for Sediment Pond A and associated structures. <br />The landowners (David and Terri Andrews) have requested that Sediment Pond B be <br />retained as a permanent impoundment to serve as a stock watering pond. In February 2011, <br />Pond B was recognized as a permanent impoundment with the Division's approval of <br />Technical Revision No. 9 (TR-09). With TR-09, Honeywood provided supporting <br />correspondence from Montrose County stating it has no objection; from the Colorado <br />Division of Water Resources stating there are no water administration problems; and from <br />the landowners stating that they will perform any required maintenance on the pond. These <br />letters were incorporated into Exhibit 8 of the permit. <br />No bond release request has yet been submitted for Sediment Pond B and associated <br />structures. <br />Summary and Conclusions <br />Based upon a review of the mine permit, the applicant's bond release application, and site <br />inspections, the Division finds that Honeywood has replaced topsoil in accordance with the <br />approved reclamation plan. Honeywood has established vegetation which supports the approved <br />post mine land use of improved rangeland and wildlife habitat and meets the approved success <br />standard for vegetative cover. The Division also finds that the reclaimed area subject to this bond <br />release is not contributing suspended solids to streamflow or runoff outside the permit area in excess <br />of premining levels or in excess of adjacent nonmined areas. <br />Sedimentation Pond B will remain as a -permanent impoundment, for use as a stock pond, as <br />requested by the landowner. Other stock ponds are present on the property; Pond B will be <br />maintained in like manner. The pond retains water only occasionally, and there are no downstream <br />water rights which would require periodic releases of water from the pond. <br />IV. PROPOSED DECISION <br />Based on the observations above, the Division proposes to Approve Honeywood Coal Company's <br />request for a Phase II bond release for the Hamilton Mine. This proposed decision will release the <br />applicant from liability for topsoil redistribution and establishment of vegetation,. <br />Phase II bond release is proposed for 86.8 acres. <br />PHASE II <br />The original performance bond for the Hamilton Mine in January 1992 was $600,000.00. The value <br />of the bond was increased to $650,000.00 in December 1992. With the approval of SL-01 in <br />7