1993-11-15_PERMIT FILE - C1981017 (2)

Home Browse Search

pended or revoked. Resources requested a hearing before the Mined Land Reclamation Board ( "Board ") on the matter. In early 1991, while the matter was still pending, Resources ceased mining operations at the Coal Basin Mine and announced an intent to offer the mine for sale. Resources stated that it did not intend to continue mining operations at the site, and has not conducted such operations since that time. 12. On May 22, 1991, Resources and the Division entered into a settlement agreement concerning the order to show cause. The settlement agreement provided Resources with an opportunity to sell the mine, and specified a schedule for reclamation of the site if such sale did not occur. The settlement agreement was incorporated into an administrative order entered by the Board on May 22, 1991. 13. Resources did not sell the Coal Basin Mine and, in February 1992, Resources filed a petition in the United States Bankruptcy Court for the District of Colorado. Exhibit A to the petition lists total assets of $4,708,500, plus an unknown amount, and total liabilities of $54,952,510. There are few, if any, unencumbered assets in the bankrupt estate. 14. Resources and its agents have failed or refused to complete the sealing of the adit /rock tunnel; and to initiate and complete reclamation of Mine 1, 2, 3, 4, and 5 portal areas, in- cluding portal sealing, structural demolition, backfilling and grading, revegetation, and installation of sediment controls, by October 1992 in violation of the final reclamation schedule specified by the Board. Such violation has resulted in a condi- tion at the mine site that poses a danger to the health or safety of the public. 15. The Final Reclamation Schedule ordered by the Board specifies substantial reclamation that must be performed during the period of May to October 1993. Such reclamation, and contin- ued maintenance of the site, must be performed in order to pre- vent significant environmental harm to land and water resources. There are no longer sufficient assets remaining in Resources' es- tate with which to perform such maintenance and reclamation. 16. Defendant Diane Delaney is identified in the 1987 renewal application as the permitting contact for Resources and has acted as the spokesperson for Resources in its dealings with the Division and the Board concerning the mining operation. On numerous occasions, defendant Diane Delaney has met or spoken with representatives of the Division about reclamation require- ments, and compliance thereof, concerning the Coal Basin Mine. -3-