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h <br />MINED LAND RECLAMATION DIVISION <br />Department or Natural Resources <br />1313 Sherman SI.. Room 2t6 <br />Denver, CO 80203 <br />303 866-3567 <br />Fn%: 303 832 8706 <br />Roy Foner, <br />Governor <br />November 14, 1990 <br />Ms. Kay James <br />Walden Coal Company <br />P.O. Box 229 <br />Boulder, CO 80306 <br />III III III IIIIIII III <br />999 <br />STATE OF COLORADO <br />~F. ~~_~O <br />ti~/_- 9 <br />Fc<,p da j;0 <br />u <br />r ~iy~ <br />~ r876 ~ <br />Fretl R. Barra. <br />Division Duector <br />Re: Transmittal of Inspection Reports, November 7, 1990, Bourg Mine, C-81-021 <br />Dear Ms. James: <br />submittals to the Jackson County Courthouse to ensure the completeness of your <br />files there, <br />I am enclosing the Inspection Reports written as a consequence of the <br />November 7, 1990 inspection at the Bourg Mine. As a reminder, please send <br />copies of the 1990 Annual Reclamation Report, the 1990 Annual Hydrology <br />Report, the certificate of insurance and the last Bond Reduction request <br />I also noticed that the sign at the loadout had the previous phone number <br />listed. Please have the correct phone number put on the sign at both the mine <br />and the loadout. <br />Lastly, you asked if the bond would stay at the value agreed to in this <br />Bond Reduction Request until Phase II Bond Release occurred. I had answered <br />affirmatively, but after some thought on the subject it occurred to me that <br />the Division reviews bonds every 2 1/2 years, at the Midterm and at Permit <br />Renewal, and that conceivably your bond might increase at the Permit Renewal <br />if you had not gone through the Phase II Bond Release process by then. Our <br />current calculations have not been adjusted to reflect the higher fuel prices <br />which have developed since Iraq invaded Kuwait. I have enclosed a copy of <br />Susan's bond calculations for your review. <br />The following excerpt from Dan Mathews' minutes from the May 21, 1990, <br />Vegetation Task Force meeting as pertained to Vegetation Failure Bonding, <br />"Further, we concluded that no monetary release should be applied to <br />revegetation costs until an operator has demonstrated successful <br />establishment of cover, production, species diversity and woody plant <br />density, and the area in question has met the 10-year liability period <br />requirement. In other words, the total cost of revegetation should be <br />retained until complete success is demonstrated at the end of the <br />liability period. This approach would apply to bond readjustment as well <br />as phased bond releases, In essence, upon demonstrating compliance with <br />Phase II release criteria, bond funds tied up in topsoil replacement <br />could be released as long as the amount remaining is at least 15% of the <br />original bond amount. Bond funds associated with revegetation cost would <br />not be released at Phase II or in the context of a bond readjustment <br />prior to the end of the liability period, <br />