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q%ja <br /> �PPSMENT OF Ty�,y� �iw u�a u�uopr a <br /> p United States Department of the Interior <br /> N � <br /> 6 . a <br /> BUREAU OF LAND MANAGEMENT <br /> �r4 CH s San Luis Valley Field Office <br /> 1313 E.Hwy 160 <br /> Monte Vista, Colorado 81144 O <br /> CERTIFIED MAII.—RETURN RECIEPT REQUESTED 11MSt & <br /> M/N��Rfic� <br /> Southway Construction '`1NDl>pN <br /> 117 White Pine Dr. <br /> Alamosa,CO 81101 <br /> On June 18, 2018,the Bureau of Land Management(BLM) San Luis Valley Field Office(SLVFO) <br /> received notice that Southway Construction intends to expand its operations in the King Pit mineral <br /> materials site, located in Alamosa County, Colorado.The BLM SLVFO has determined that the area of <br /> proposed expansion on file with Colorado Department of Reclamation and Mining Services is a split <br /> estate,with private surface and the minerals reserved to the U.S.under the 1916 Stock Raising <br /> Homestead Act. Therefore, Southway will need to obtain a permit from BLM to dispose of federal <br /> minerals in the area of expansion.The BLM cannot guarantee that it will issue disposal authority within <br /> the expansion area for three reasons: <br /> First, Southway Construction no longer has any valid contracts for removal of material within the portion <br /> of the King Pit under federal mineral ownership.Under 43 CFR 3602.11(a)Written request must be made <br /> for sale of mineral materials to the BLM office with jurisdiction over the site(SLVFO). According to 43 <br /> CFR 3601.71(b), as the surface owner of lands with reserved Federal minerals, Southway may only use <br /> mineral materials within the boundaries of the surface estate without additional authority. <br /> Second,based on production verification inspections that BLM conducted on September 13,2017,April <br /> 3, and April 4, 2018,BLM has concluded that both contracts issued in 2013 authorizing material removal <br /> from the south half of the pit have been fulfilled.The contract issued November 13, 2013 contract, serial <br /> number COC-076591, is over contract by 245 tons. Contract COC-076296 has been fulfilled. Under 43 <br /> CFR 9239.0-7, any removal of mineral materials from the south half of the pit without a contract is <br /> considered trespass.The material removed is valued at$0.96/ton.To resolve the overproduction trespass, <br /> the BLM will require Southway to pay$350 to include the value of the material and cost recovery of <br /> $117. <br /> Third, in 2013,BLM SLVFO investigated unauthorized removal of material in 2010 without a valid <br /> contract,in violation of R.S. 2478,43 U.S.C. 1201,and 43 CFR 3402.12.Under 43 CFR 9239.0-7, any <br /> unauthorized extraction, severance, injury, or removal of mineral materials from public lands is an act of <br /> trespass.Trespassers are liable to damages to the United States and are subject to prosecution. <br /> On June 30,2016,BLM Administrative Officer and Southway entered into negotiations to resolve this <br /> issue. However,those negotiations did not result in any official settlement agreement.Therefore,BLM <br /> SLVFO will further investigate this trespass and anticipates calculating a monetary amount that Southway <br /> will have to pay to compensate the United States for damages. A letter addressing this past case will be <br /> forthcoming. <br /> In summary,BLM is asking for payment of$350 in the next 30 days or the material produced will be <br /> included as additional trespass in the 2010-2016 case.BLM will continue to monitor Southway's King Pit <br />