2013-07-24_REVISION - C1980007 (8)

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undisturbed areas. Since the post-mining soil loss is less than the pre-mining soil loss, the Division finds that the reclaimed Phase II Bond Release lands are not contributing suspended solids to streamflow in excess of premining levels. Summary and Conclusions The Division has completed its review and evaluation of the SL-04 Partial Phase II Bond Release application submitted by Mountain Coal Company, LLC for the West Elk Mine. The Division will propose a partial Phase II Bond Release on 67.6 acres. The Division is not proposing to release any areas or other lands not specifically shown or described in this document and/or the SL-04 application. Based upon a review of the mine permit, the applicant's bond release application, and site inspections, the Division finds that Mountain Coal has completed topsoil replacement and revegetation at the West Elk Mine for which Phase II Bond Release was requested in accordance with the approved reclamation plan. Topsoil has been replaced in accordance with the approved reclamation plan, the areas have been reseeded as required and the bond release areas have been reclaimed for a post-mining land-use of rangeland and wildlife habitat. Mountain Coal has successfully demonstrated that the cover on the Phase II Bond Release areas meets or exceeds the cover standard and that the contribution of suspended solids to streamflow does not exceed that of the pre-mined lands. The Division finds that Mountain has achieved the requirements for Phase II Bond Release on 67.6 acres at the West Elk Mine. V. PROPOSED DECISION Based on the observations in Section IV above, the Colorado Division of Reclamation, Mining, and Safety proposes to APPROVE Mountain Coal Company, LLC's request for a partial Phase II Bond Release for the West Elk Mine. This proposed decision will release the applicant from liability for topsoil replacement and initial seeding on 67.6 acres of the site, as shown on Figure 1 of the SL-04 application. The currently required liability at the West Elk Mine is $14,140,134.00 and the Division currently holds a bond in the amount of $15,000,000.00. The Division proposes to release $196,037.00 for the partial Phase II Bond Release areas included in the SL-04 application for the replacement of topsoil and the initial seeding of these areas. The remaining bond liability at the West Elk Mine, after the proposed release for SL-04 and as updated for current costs, will be $13,944,097.00. Costs proposed for release are associated with topsoil replacement and initial vegetation establishment. The release amount is based on releasing up to 25% of the initial applicable bond amount for the areas included in the Partial Phase II Bond Release application SL-04 pursuant to Rule 3.03.1(2)(b). The proposed amount to be released for the partial Phase II Bond Release is less than the eighty-five percent of the full required surety for the applicable area pursuant to Rule 3.03.1(2) (b). The remaining bond liability of $13,944,097.00 is sufficient to complete all remaining reclamation work Proposed Decision and Findings of Compliance 7 July 2013 Partial Phase II Bond Release SL-04 Page 6