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PERMIT #: M-1980-002 <br />INSPECTOR'S INITIALS: PSH <br />INSPECTION DATE: May 6, 2011 <br />Succession of Operator <br />Connell submitted a Transfer of Permit and Succession of Operators Application Form on April 11, 2011 and <br />selected Option B. By selecting Option B, Connell did not waive their right to a 30-day processing period and <br />were required to submit a replacement Financial Warranty for the same dollar amount maintained by the <br />current Operator ($131,400.00). The Division approved the Transfer of Permit and Succession of Operators for <br />the Tucker Aggregate Pit on April 11, 2011. Connell is now the permitted operator of the Tucker Aggregate Pit <br />and Varra Companies, Inc. has been released from reclamation responsibility at the site. <br />The Division is required to recalculate the required reclamation bond within 60-days from the date of the <br />transfer is completed (June 10, 2011). <br />Technical Revision <br />On April 19, 2011, Connell submitted a Technical Revision (TR-04) to change the permit boundaries of the pit <br />in order to mine and reclaim the area in a more resourceful way and incorporate the current disturbance into <br />the permitted acreage. The original total permit acres for the site was 220 acres, however due to the age of <br />the permit file the boundaries were poorly defined. Connell conducted a survey of the site to accurately <br />delineate the permit boundaries and incorporate the current disturbance and future mining areas into a <br />215.077 acre site. <br />Based on the revised permit boundary submitted in the Technical Revision (TR-04) and the observations from <br />this inspection, the current financial warranty in the amount of ($131,400.00) is adequate to reclaim the site <br />per the approved Reclamation Plan. <br />Inspection Observations <br />The Tucker Aggregate Pit is actively mining. A processing plant (crusher) and portable asphalt plant were <br />located at the site during the inspection. Mining is complete in the northern section of the site and the <br />highwalls have been resloped. The asphalt plant was located in this section of the site. Mining restarted in <br />the center of the site and is planned to continue south. Stockpiles of recently stripped topsoil and overburden <br />were observed along the western boundary. Two large and well-vegetated stockpiles of topsoil were located <br />in the northwest corner of the site and will be used -to reclaim the northern portion of the site. Additional <br />topsoil and overburden stockpiles are scattered in the middle of the site. The typical soil profile at the site is <br />three (3) feet of topsoil and overburden and seven (7) feet of sand and gravel. <br />An overhead power line is located along the southern permit boundary. A structure agreement for the power <br />line is not on file with the Division. The Operator will need to provide a structure agreement, per Rule 6.5;- <br />prior to mining within 200 feet of the structure. Mr. Johnson stated Connell is working on obtaining the <br />required agreement. <br />The mine sign and permit boundary markers were not observed, as required by Rule 3.1.12. Mr. Johnson <br />stated the mine sign would be installed at the entry gate after all permit numbers were issued for the site and <br />the temporary wood lath boundary markers would be replaced with metal posts within 30 days. These issues <br />are noted as a problem at the beginning of this report and will require corrective actions by the Operator. <br />Page 2 of 4