2010-10-13_ENFORCEMENT - C1981008

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uq-81_008 October 12, 2010 David Berry Director, Coal Regulatory Program Western Fuels-Colorado Colorado Division of Reclamation, Mining and Safety P.O. Box 628 1313 Sherman St. Room 215 Nucla, Colorado 81424 Denver, Colorado 80203 CEIVED QGT 13 2010 Division I1a} of ke" f,8tion, inn?g and Suety Dear David: Telephone 970/864-2165 Fax 970/864-2168 Western Fuels-Colorado, LLC ("WFC") is in receipt of a Ten-Day Notice of Violation, triggered by a citizen complaint (the "Complaint") filed by JoEllen Turner, that the Office of Surface Mining ("OSM") forwarded to the Division. The TDN addresses WFC's suspension of royalty payments to the Morgan family in response to the family's continuing and repeated breaches of the September 10, 1998 Coal Mining Lease between WFC and Frank and Mary Lou Morgan (the "Lease," attached hereto as Exhibit 1). WFC greatly appreciates the opportunity to provide the Division and OSM with additional information as set forth below in this letter. WFC reviewed the Complaint that triggered the TDN and found it filled with the usual invective and personal attacks that characterize JoEllen Turner's correspondence. In addition, the Complaint addressed an issue not raised in the TDN, specifically the issue of whether the Morgan family may continue farming activities on their property during active mining. Because this issue was not raised in the TDN, WFC assumes that it is not of interest to the Division at this time. However, solely to clarify the record, WFC provides the Division with the attached notice to vacate that was sent to the Morgans in 2008 pursuant to paragraph 3(f) of the Lease (letter attached hereto as Exhibit 2). Since the date of the notice to vacate, WFC has allowed the Morgans to farm on the property pursuant to a verbal agreement that allowed them to continue their activities as long as they did not interfere with mining activities. The particular dispute referenced in the Complaint had to do with whether the Morgans' irrigation activities (after the harvest of the last hay crop of the year) on the land that was slated for topsoil removal in the near future was permissible under that verbal agreement. It was not, and the Morgans agreed to discontinue their irrigation activities. Contrary to the impression created by the Complaint, the conversation between WFC`s counsel, JoEllen Turner, and Mike Morgan was civil, polite, and resulted in immediate resolution of that particular issue. See, letter from counsel dated October 4, 2010, attached hereto as Exhibit 3. Turning to the issue that was raised in the TDN, WFC considers this to be a private dispute between WFC and the Morgan family concerning the rights and