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OBSERVATIONS <br />This was an inspection conducted by Tom Kaldenbach of DRMS. The operator was represented by Mike Refer, <br />Kipp Raines and Connie Davis. The ground was dry and the weather was clear. <br />Air Resource Protection: <br />There were no fugitive dust problems. <br />Backfilling and Grading: <br />The Central Quarry is being filled, advancing southward, and is about two - thirds full. <br />Financial Warranty: <br />The most recent reclamation cost estimate was prepared in 1998 (AM -05). The operator currently has <br />$1,595,615 of bond on deposit which equates to $8,729 per acre for the 182.8 -acre affected area (which <br />excludes 35 reclaimed acres, as recognized in the AM -05 estimate). This amount of bond is considered <br />adequate to complete reclamation. <br />Hydrologic Balance: <br />Ditches along roads on the site were in good shape <br />Gen. Compliance With Mine Plan: <br />The Morrison Quarry is beginning Phase III of a four -phase operation plan. Bench development continues in <br />the South Quarry, where mining is advancing to the west. There is no activity in the North Quarry. Water is <br />stored in the North Quarry by the Town of Morrison and the operator. The operation appeared to be <br />following the approved mine plan. <br />Off -site Damage: <br />There did not appear to be any off -site damage around the perimeter of the site. <br />Slides and Other Damage: <br />Highwalls and benches appeared stable, with only local spalling and rockfall. <br />PERMIT #: M- 1973 -021 <br />INSPECTOR'S INITIALS: TAK <br />INSPECTION DATE: January 26, 2012 <br />Reclamation Success: <br />The reclamation plan in Exhibit E of the permit application calls for reclaiming the site to a postmining land use <br />of wildlife habitat. Benches are to be covered with a minimum 12 inches of overburden topsoil, and then <br />graded to a maximum 1:1 slope that will be hydroseeded. Some highwalls will remain. Reclamation has been <br />completed in parts of the North Quarry and in the upper parts of the Central Quarry. <br />Support Facilities On -site: <br />No problems were found in the surfaces facilities areas of the site. Fuel storage tanks were within spill - <br />containment areas. <br />Signs and Markers: <br />A mine i.d. sign was properly displayed at the mine entrance gate. The affected area perimeter was <br />adequately marked. <br />Page 2 of 3 <br />