2011-04-20_REVISION - C1982057 - Laserfiche WebLink

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fN_ V& Division of Reclamation, Mining and Safety Department of Natural Resources 1313 Sherman St., Room 215 Denver, CO 80203 RE: Proposed Decision to Approve Phase I Bond Release, Seneca II-W Mine, Permit No. C-1982-057, Bond Release Application No. 3 (SL-3) Dear Ms. Pineda: OF&' ur This letter acknowledges the Office of Surface Mining (OSM), Denver Field Division's (DFD) receipt and review of the above Phase I Bond Release Proposed Decision document prepared by the Division of Reclamation, Mining and Safety (DRMS) dated March 21, 2011. DFD agrees with the findings and decision document and hereby provides OSM concurrence for the above bond release action in accordance with 30 CFR 740.15(d)(3) and 30 CFR 906.30, Article IX, Section 24, of the State-Federal Cooperative Agreement. DRMS's Proposed Decision documents the applicant's compliance with the Colorado Approved regulatory program at rule 3.03.2, and DRMS's bond release guidelines dated April 18, 1995. No written objections or requests for an informal conference regarding the bond release application have been received by DRMS. This Phase I bond release applies to 414 acres within the South Extension Area, as well as areas previously excluded from the SL-2 bond release request. The SL-2 bond release was submitted on August 17, 2009 and partially approved on May 7, 2010. The majority of the areas excluded from the SL- 2 approval were included in the SL-3 request. DRMS conducted the SL-3 Phase I Bond Release inspection September 21-23, 2010. As a result of the September 21-23 inspection, DRMS has chosen to exclude 0.85 acres of Channel PM-2D and 0.80 acres of Channel PM-4D. These sections exhibited excessive gullying and must be repaired before Phase I bond release can be granted on the combined 1.65 acres. Reclamation work was conducted as contemporaneously as possible during the life of the mine (1990 to 2006). All pits have been backfilled and graded and topsoil redistribution, seeding and planting has been completed. DFD understands the release application applies to 412.35 acres (414 acres less the two exclusion areas). Seneca Coal Company (SCC) holds a self-bond in the amount of $9,078,860.00 for the Seneca 11- W Mine and has requested a release of $2,641,250. DRMS proposes to release $2,335,430.00 after adjusting the bond liability for current costs and the excluded areas. The remaining bond liability will be $6,743,430.00.OSM concurs with the proposed bond release amount. llm1 United States Department of the Interior OFFICE OF SURFACE MINING Reclamation and Enforcement Q Western Region Office 1999 Broadway, Suite 3320 Denver, CO 80202-3050 ON +C?49V PAR 2p , c?a,?`O?• v •',?'?o??n9 fled os Q S??Ce APR 1 8 2011 I Loretta Pineda, Director