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Sly Consulting Service <br />PD Box 586 <br />Leadville, Colorado 80461 <br />719 - 293 -4720 <br />E -mail: gslifta@gmail.com <br />To: Whom it may Con r.� <br />From: Gary Slifka <br />Date: April 8, 2013 <br />Re: Union Milling Company Structure Report <br />Mr. Slifka performed a site inspection of Union Milling Company's Tailing <br />Storage Facility (TSF) and general mill layout on April 4, 2013. The purpose of <br />the inspection was to identify how any structural failure of either component could <br />impact structures of the Leadville Sanitation District (LSD). The structures that <br />could potentially be impacted are namely the polishing pond located east of the <br />TSF and a buried sewer line over 120 feet north of the mill building. <br />In my opinion neither structure owned by Union Milling Company could impact <br />the named structures of LSD. The basis for this judgment is primarily the down <br />gradient location of the TSF with respect to the polishing pond and physical <br />location of the sewer line being up gradient beyond any foreseeable activity. <br />In addition, the TSF storage volume as constructed is primarily below grade. Any <br />structural failure would have minimal effect on the surrounding land. The <br />polishing pond is approximately 460 feet up gradient away and does not lend itself <br />to being eroded or in an otherwise detrimental manner. The rock material itself and <br />area that the TSF is located would not become supersaturated to promote failure of <br />the polishing pond dam. <br />The mill building and the existing sewer line conveying waste water to LSD <br />facility do not appear to support any structural failure potential. The mill <br />foundation is up to code and has recently constructed concrete retaining walls that <br />add to the overall stability of the mill structure. Although the sewer line from the <br />mill connects to the main sewer line a collapse of the building would not affect the <br />main sewer line from a pure practical sense. <br />I find Union Milling Company structures to be in good standing, sound and <br />constructed of above average material. The site is orderly and well thought out. <br />