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PERMIT #: M -1999 -073
<br />NSPECTOR'S INITIALS: WHE
<br />INSPECTION DATE: January 18, 2013
<br />INSPECTION TOPIC: Financial Warranty
<br />PROBLEM: The Division has reviewed the current cost of reclamation totaling $15,504.59. Therefore, the
<br />existing $8,500 financial warranty is not adequate to reclaim the site in accordance with the approved
<br />reclamation plan. This is a failure to maintain the proper financial warranty amount to complete reclamation of
<br />the affected lands pursuant to C.R.S. 34- 32.5- 117(4)(b) of the Construction Materials Act.
<br />CORRECTIVE ACTIONS: Pursuant to Construction Materials Rule 4.2.1(2), the Operator shall submit adequate
<br />financial warranty, totaling not less than $15,504.59, within 60 days, due March 28, 2013.
<br />CORRECTIVE ACTION DUE DATE: March 28, 2013
<br />OBSERVATIONS
<br />This inspection occurred as part of the Division's routine monitoring program for permitted operations. The
<br />permit is approved for 9.8 acres affected lands for the extraction of construction materials. Affected lands will
<br />be reclaimed to support pastureland post- mining land use. During final reclamation affected lands shall be
<br />graded to ensure no slopes are steeper than 3H:1V; topsoil shall be replaced at six to eight inch depth; and a
<br />revegetation seed mix composed of Crested wheatgrass, Yellow sweet clover, Milk vetch, and Salt bush shall
<br />be applied. The Division holds $8,500 financial warranty. This report is accompanied by five photographs and
<br />an updated reclamation cost estimation totaling $15,504.59.
<br />Mining activities were dormant during the inspection. On -site equipment included one small bulldozer, two
<br />tandem axel end dump trucks and one belly dump trailer. A near vertical highwall, approximately ten feet
<br />high and 100 feet long, was located at the approximate center of affected lands. Excavation activity had
<br />created a smaller highwall, approximately six feet high at 1H:1V, along the west side of affected lands. Various
<br />stockpiles of mined materials were scattered within the permit boundary. Affected lands were estimated at
<br />five acres.
<br />The Division last reviewed the cost of reclamation on December 26, 2006, totaling $7,926. The cost estimation
<br />dated December 26, 2006, was based on approximately one acre affected lands. As noted above, the area
<br />affected by mining and reclamation activities has increased considerably and an updated reclamation cost
<br />estimation is warranted. The Division has reviewed the current cost of reclamation totaling $15,504.59.
<br />Please find enclosed 12 pages of summary, drawing and task sheets utilized by the Division to estimate the
<br />current cost of reclamation. Therefore, the existing $8,500 financial warranty appears insufficient to ensure
<br />the completion of reclamation. Pursuant to Rule 4.2.1(2), the Operator has 60 days, due March 28, 2013, to
<br />post $7,004.59 additional financial warranty, to ensure a total financial warranty not less than $15,504.59, or
<br />complete portions of the reclamation plan and thereby ensure the sufficiency of the existing financial
<br />warranty.
<br />Response to this inspection report should be addressed to Wally Erickson at the Division's office in Durango at
<br />691 County Road 233, Suite A -2, Durango, CO 81301, phone (970) 247 -5469.
<br />Inspection Contact Address
<br />Evan L. Melby, Inc.
<br />P.O. Box 4159
<br />Ventura, CA 93007
<br />Attachment: Certificate of Service
<br />Enclosure: 5 photos and reclamation cost estimation totaling $15,504.59
<br />ecw /enclosure: Russ Means, DRMS GJFO
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