2012-11-07_INSPECTION - M2000041

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OBSERVATIONS PERMIT #: M- 2000 -041 INSPECTOR'S INITIALS: TC1 INSPECTION DATE: July 27, 2012 This inspection was a follow -up to the February 2012 site visit. The focus of this inspection was to field check the permit boundary, delineate off -site impacts and meet with the Operator and Mr. John Sliman to discuss water use problems. The Operator, Fremont Paving & RediMix, Inc. was represented during the inspection by John Ary & Denise Gonzales. John Van Oort was also present for the meeting, representing the Colorado Division of Water Resources (DWR). The Evans #2 Pit is located approximately 10 miles east of Pueblo, CO. The access road is Z/3 mile east of the intersection of U.S. Hwy 50 and State Hwy 231. The site entrance is located off the access road about 2 miles southeast of State Hwy 50. Meeting: This inspector met with Mr. Sliman, Mr. Ary, and Mr. Van Oort to discuss options for supplying an adequate amount of water for Mr. Sliman's sod farm. A potential solution was reached involving the Operator pumping water from the site settling ponds to the Excelsior Ditch near Highway 50, which could in turn be utilized by Mr. Sliman for irrigation water. This inspector then took a short tour with Mr. Sliman to observe the location and alignment of the ditch and the sod farm (see Figure 1). Inspection: A permit sign was prominently displayed at the site entrance (see Photo 1). Permit boundary markers were labeled and found around the site boundary (see Photo 2). The site was active at the time of inspection. Wash water is discharged to part of the open pit (see Photo 3) and is pumped to a settling pond prior to release (76 see Photo 4). Groundwater was exposed at the time of the inspection (see Photos 5 and 6). Permit Boundary — Field Delineation: This inspector used a Trimble Juno GPS receiver for field data collection. A total of 17 boundary marker field locations were collected. These were in turn placed on a 2011satellite image of the site using ArcGIS (see Figure 2). The topsoil stockpiles observed near the north boundary of the permit area during the February 1, 2012 inspection were confirmed to be outside the permit boundary. This is cited as Problem 2 on page one of this report. These stockpiles are outlined in red on Figure 2 and estimated to encompass approximately 10.5 acres. File Review: • The total permitted area is 448 acres of which 80 acres may be affected area. The 80 -acre affected area history is as follows: 1. The approval of TR -02 (11/8/2004) increased the allowed disturbance of 15 acres to 50 acres. 2. The 7/25/07 inspection cited a problem that was subsequently resolved with the approval of SI -01: a. The financial warranty was inadequate to cover the cost of reclamation. (Note: the affected area was increased to 80 acres.) • There is a $226,196 financial warranty (corporate surety) for the site. This amounts to $2,827.15 per acre. • Annual fees and reports are up to date through 2012. The 2012 annual report indicates mining activity has disturbed a total of 80 acres. • The post -mine land use is water storage for recreation. • An analysis using a satellite image of the site and ArcGIS software indicates at least 115 acres have been Page 2 of 4