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This was an inspection requested by the operator for the final release of approximately 8 acres on the east side of the Pit #3/East <br />Reservoir area (the the last remaining part of "Phase I" within the permitted area). Daniel Giroux submitted a final release request for <br />this acreage, which included a letter of concurrence from the property owner, on behalf of the Kauffman & Sons operation on <br />November 7, 2012. No bond adjustment was requested. When released, the property would be turned over to the owner for likely use <br />as cattle pasture. The inspection was conducted by Eric Scott of DRMS on November 28, 2012. DRMS met Mr. Todd Kauffman of <br />Kauffman and Sons at the site office at approximately 0915. The site entrance is located off the east side of Larimer County Road 9E <br />approximately/ mile north of Highway 402 in Larimer County. Access to the area inspected required travel through the operations <br />of the site, so DRMS accompanied Mr. Kauffman to the reclaimed area, which is still under their control. <br />The primary focus of this inspection was to observe the existing conditions of the 8 acre reclaimed area, and to determine if <br />reclamation activities have been successfully completed so that the area may be released from the permitted area of the site. The site <br />has been reclaimed as pastureland per the approved reclamation plan, and the revised permit boundary has been surveyed and staked <br />for the placement of a new fence along the property line. Mr. Kauffman stated that the property owner likely intended to use the area, <br />along with previously released acres, as cattle pasture but that for the last several years no grazing had taken place on the released <br />property. It was noted that all mining activity had long since ended in the area, and the backfilling and re- grading /leveling of the area <br />had been well done. Vegetation in the area appeared to be well started and healthy. It was noted that the acreage previously released <br />was also still in good condition with only minor weeds and very good vegetative coverage. <br />The site topography has been well restored and the pasture vegetation is establishing well. DRMS believes that the 8 acre area meets <br />the requirements for release from the permit at this time. If no objections are received within the 15 day comment period, DRMS will <br />approve the release of this area, which will then become final at the end of the 30 day appeal period. <br />Inspection Contact Address <br />Mr Kauffman <br />JAKE KAUFFMAN & SON INC <br />808 SCR 9E <br />Loveland, CO 80537 <br />OBSERVATIONS <br />PERMIT #: M -1999 -069 <br />INSPECTOR'S INITIALS: ECS <br />INSPECTION DATE: November 28, 2012 <br />Page 2 of 2 <br />