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o <br /> IS T6 <br /> GALE A. NORTON STATE OF COLORA.DO STATE SERVICES BUILDING <br /> Attorney General 1525 Sherman Street-5th Floor <br /> DEPARTMENT OF LAW Denver, Colorado 80203 <br /> STEPHEN K. ERKENBRACK Phone (303)866-4500 <br /> Chief Deputy Attorney General OFFICE OF THE ATTORNEY GENERAL FAX (303) 866-5691 <br /> TIMOTHY N1. TYNIKOVICH <br /> Soliti:or General <br /> July 18, 1994 <br /> Jir.. Holden <br /> 303 East 17th Avenue <br /> Suite 930 <br /> Denver, CO 80203 <br /> RE: Distribution of liquidation funds in Mid-Continent Resour- <br /> ces, Inc. <br /> Dear Jim: <br /> As you are well aware, funds for reclamation are now available <br /> through the sale of the rockdust plant. The issue of how the <br /> funds will be distributed to accomplish reclamation of the site <br /> is now at hand. State law indicates that the funds from the <br /> liquidation plan to perform reclamation are public funds and that <br /> therefore state procurement and expenditure laws apply. <br /> The Procurement Code is applicable to "publicly funded" contracts <br /> entered into by all governmental bodies of the executive branch <br /> of this state. § 24-101-105, C.R.S. (1988) . The Division of <br /> Minerals and Geology is included in the definition of <br /> "governmental body. " § 24-101-301 (10) , C.R.S. (1988) . The <br /> term "contract" is defined as any type of state agreement, re- <br /> gardless of what it is called, for the procurement or disposal of <br /> supplies, services, or construction. § 24-lGl-103 (4) , C.R.S. <br /> (1988) . "Procurement" is broadly defined as buying, purchasing, <br /> renting, leasing, or otherwise acquiring supplies, services, or <br /> construction. § 247101-103 (14) , C.R.S. (1988) _ <br /> The facts of the Mid-Continent case fall within these applicable <br /> definitions contained in the code. The only possible issue is <br /> whether these are public funds. The code does not define the <br /> term "publicly funded. " However, the applicable facts establish <br /> that the funds from the liquidation plan are public funds. <br /> The reclamation of a mine site is done for the health and safety <br /> of the public. The Colorado Surface Coal Mining Reclamation Act <br /> provides that the purpose of the act, among other things, is to <br />