_GENERAL DOCUMENTS - C1981017 ‎(230)‎

• Permit No: C1981017
• IBM Index Class Name: GENERAL DOCUMENTS
• Doc Name: Bid Documents ‎(IMP)‎ 1999 Correspondence
• Permit Index Doc Type: General Correspondence
• Media Type: D
• Archive: No

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i STATE OF COLORADO
DIVISION OF MINERALS AND GEOLOGY
Department of Natural Resourcesppr',W� ,
1 31 3 Sherman St, Room 215
Denver,Colorado 80203
Phone [phone]
FAY.[phone]
DEPARTMENT OF
NATURAL
RESOURCE-S
March 31, 1999 Roy Romer
Governor
Mr. Michael Mechau lames S Lochhead
President,CVEPA Executive Director
Michael B Long
3542 Front Street Division Director
Palisade, Colorado 81526
RE, Project Management Costs, Coal Basin Mine
Dear Mr.Mechau:
You have requested additional information regarding the cost of managing reclamation activities at the Coal Basin
Mine. In response to your request, the Division provides the following information:
The Division has expended$299,928 in salaries directly related to project management at Coal Basin. This figure
accounts for all personnel related costs(salaries and fringe benefits) for the period of July 1, 1994 through
December 31, 1998.
The cost of the Project Managers transportation relative to managing Coal Basin reclamation is estimated to be
$26,306. This figure represents the cost of leasing the vehicle from the State motor pool,gasoline and mileage for
the period of July 1, 1994 through December 31, 1998.
The cost of the Project Managers per diem is approximately$8,197. This figure represents the cost of motels and
food for overnight stays related to management of the Coal Basin reclamation project, for the period of July 1, 1994
through December 31, 1998.
The approximate cost of the Grand Junction office attributable to the Coal Basin reclamation project is estimated as
follows:
Office Space and utilities @ $6,113
Phone Services @ $12,347
Total @ $18,460
Please note that our phone service provider notified us on March 29, 1999 that the Division has been over charged
as much as twice the appropriate rate for in-state phone service. In-state calls account for over 90%of all of our
long distance calls. The phone service provider stated that a credit for the over charge would be applied. The
amount of the over charge has not yet been reported to the Division. This amount will be subtracted from the
amount reported above to obtain the correct Phone Services expenditure.
The total expenditure for administration of the Coal Basin reclamation, pursuant to your request, is the sum of the
above figures. This amount is $352,891. As noted above, this figure will be reduced by the amount of over charge
by the phone service provider.
Your consultant, Dr. Larry Brown, was presented with erroneous information pertaining to these costs on or about
Friday. March 26, 1999. The figures provided to Dr. Brown were inaccurate, in that they contained costs for work