HomeMy WebLinkAbout881778.tiff .;1;, _ 02/20/90 13: 12 2 605 334 3656 L. G.- EVERI ST el 02
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,AIR; STATE OF COLORADO
k ' (4.) ' s' Roy Romer, Governor
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DEPARTMENT OF NATURAL RESOURCES \.
MINED LAND RECLAMATION DIVISION
FRED R. BANTA, Director
J
July 29, 1988
Gary Tuttle
Tuttle Applegate Rindahl, Inc.
11990 Grant Street, Suite 410
Denver, CO 80233
Re: File No. M-88-048, Carr Gravel Resource, APPROVED WITH CONDITIONS
Decision Letter - Financial and Performance Warranty Request
Dear Mr. Tuttle:
On July 28, 1988, the Mined Land Reclamation Board approved with conditions
your 112 mining permit application with the conditions attached as Stipulation
No. 1 . , • i
The amount of financial warranty set by the Board for this operation is •
$42,800.00. You must submit a financial warranty in this amount and a
performance warranty in order for us to issue a permit. In the event yOu have
requested a financial warranty form, we have enclosed it in this letter. If
you have not, please select a type of financial warranty from Rule 7.4. Then
contact us so that we can provide you with the appropriate warranty form. We
have enclosed a performance warranty form with this letter for your use.
PLEASE NOTE THAT MINING OPERATIONS MAY NOT COMMENCE UNTIL A PERMIT HAS BEEN
ISSUED BY THE DIVISION AFTER RECEIPT OF YOUR FINANCIAL WARRANTY AND
PERFORMANCE WARRANTY.
If you have any questions, please contact me.
Sincerely,
ePre
Doerfer
Reclamation Specie ist RECEIVED
Enclosure AUG -4 1988
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S'TAlE OF COLORADO
MINED LAND RECLAMATION DIVISION of =o�
Department of Natural Resources SE__`�. �pyo
1313 Sherman St.,Room 215 �� o
Denver,CO 80203
303 866-3567 �ra76"
FAX: 303 832-8106
Roy Romer,
Govern:
Fred R.Banta,
FINANCIAL WARRANTY Division Director
CORPORATE SURETY •
Operator: Andesite Rock Company
Operation: Carr Gravel Resource .
Permit No: M88-048 ' Bond No: 20 S 100633525 BCA
Warrantor: The Aetna Casualty and Surety Company
KNOW ALL MEN BY THESE PRESENTS, THAT:
WHEREAS, the Colorado Mined Land Reclamation Act, C.R.S. 1973,
34-32-101 et seq. (the "Act"), as amended, provides that no permit may be •
issued under t e Act until the Mined Land Reclamation Board (the "Board")
receives a Financial Warranty (or Warranties) as described in the Act.
WHEREAS, Andesite Rock Company (the "Operator") , a
Colorado corporation, has applied for a permit to conduct a
mining operation known as Carr Gravel Resource (the "Operation).
These lands are described in the permit application, as amended and
supplemented, and are referred to herein as the "Affected Lands".
WHEREAS, in the application for the permit, the Operator has agreed to
be bound by all requirements of the Act and all applicable rules and
regulations of the Board, as amended from time to time.
WHEREAS, in the application for the permit, the Operator has agreed with
the Board to provide for reclamation of the Affected Lands that are now, or
may become, subject to the permit, aS required by law. •
WHEREAS, the Operator and The Aetna Casualty and Surety Coi(1iy
"Warrantor") , a corporation organized and existing under the laws of the State
of Connecticut and duly authorized to transact a bonding and surety
business in the State of Colorado are hereby and firmly bound unto the State
in the sum of Forty Two Thousand Eight Hundred and no/ooDollars
($ 42 , 800 . 00 ) for a period of time from April 1 , 1990
to April 1 , 1991 , for the payment of which sum, well and truly
made, we hereby bind ourselves and our personal representatives, successors
and assigns, jointly and severally, firmly by these presents.
-2-
WHEREAS, the Board has determined, in accordance with the Act, that the
estimated costs of reclamation of the Affected Lands are those amounts for the
stated periods of time as set forth herein. Said amount may be amended from
time to time to reflect revised estimates of said costs of reclamation.
WHEREAS, the Operator and the Warrantor, in accordance with the Act, has
promised and hereby promises the Board that it will be responsible for all the
estimated costs of reclamation with regard to the Affected Lands.
WHEREAS, the Board has determined that this Financial Warranty by the
Warrantor equals the estimated costs of reclamation, as approved by the Board,
with regard to the Affected Lands.
NOW, THEREFORE, the Operator and the Warrantor are held hereby firmly
unto the State of Colorado in the amount of those sums for those periods of
time as set forth herein, until this Financial Warranty is amended or released
in accordance with applicable law.
The Board may, for good cause shown, increase or decrease the amount and
duration of this Financial Warranty. The Operator shall have sixty (60) days
after the date of notice of any such adjustment to increase the surety amount,
but no such increase shall bind the Warrantor unless and until it shall have
consented thereto in writing by the issuance of an additional Financial
Warranty or by an endorsement to this Financial Warranty.
The Operator and the Warrantor shall notify the Board immediately of any event
which may impair this Financial Warranty. If the Board receives such notice,
or otherwise has reason to believe that this Financial Warranty has been
materially impaired, it may convene a hearing in accordance with the Act for
the purpose of determining whether impairment has occurred.
The obligation of the Operator and the Warrantor shall continue until the
Board has released this Financial Warranty or has ordered it forfeited in
accordance with applicable provisions of the Act. It is understood that
periods of years may necessarily be required before determination can be made
that reclamation of the Affected Lands has been satisfactorily completed. It
is also recognized that, as reclamation is accomplished, the amount of this
Financial Warranty may be reduced with the approval of the Board so that it
reflects the then current estimated cost of the remaining reclamation of. the
Affected Lands. No revision, extension, or renewal of the permit, or of the
time allowed to complete reclamation, shall diminish the Operator' s or
Warrantor's obligation under this Financial Warranty. No misrepresentation by
the Operator which may have induced the Warrantor to execute this Financial
Warranty shall be any defense to demand by the State under this agreement.
In any single year during the life of the permit, the amount of the Financial
Warranty shall not exceed the estimated cost of fully reclaiming all lands to
be affected in said year, plus all lands affected in previous permit years and
not yet fully reclaimed. Reclamation costs shall be computed with reference
to current reclamation costs.
•
-3-
The amount of this Financial Warranty is based upon estimates as to the cost
of reclamation, and does not operate to liquidate, limit, enlarge or restrict
the Operator's obligations to complete reclamation and to comply in all
respects with the permit and with applicable laws and regulations governing
reclamation, even though the actual cost thereof may substantially exceed the
amount of this Financial Warranty.
The Warrantor shall not be liable under this Financial Warranty for an amount
greater than the sum designated herein, unless increased by a later amendment
to this Financial Warranty. This Financial Warranty shall be reviewed by the
Board from time to time, and the Board may require an increase in the
principal sum of this Financial Warranty (and a corresponding increase in the
surety amount) to cover increases in the estimated costs of reclamation, but
no such increase shall bind the Warrantor unless and until it snail have
consented thereto in writing by the issuance of an additional Financial
Warranty or by an endorsement to this Financial Warranty.
The Warrantor reserves the right to cancel this Financial Warranty, effective
only upon an anniversary date, and only by giving written notice to that
effect, mailed by Certified Mail , at least ninety (90) days prior to such
anniversary date, addressed to both the Operator at its address herein stated,
and to the Board at the address herein stated. In the event of such
cancellation, this Financial Warranty shall nevertheless remain in full force
and effect as respects the reclamation of all areas disturbed• prior to the
effective date of such cancellation, unless and until the Operator shall file
a substitute Financial Warranty which: (1 ) assumes liability for all
reclamation obligations which shall have arisen at any time while this
Financial Warranty is in force; and (2) is accepted in writing by the &Board.
In the event of such cancellation, if the Financial Warranty is not fully
released, the amount of the continuing Financial Warranty available for the
reclamation of areas disturbed and unreclaimed at the date of cancellation
shall be fixed by the Board at the amount it determines necessary to complete
such reclamation (which amount may not exceed the sum designated herein) and
the Board shall concurrently identify such areas in writing, and notify the
Warrantor and the Operator thereof. Thereafter, the obligation of the
Warrantor shall be limited to reclamation of the areas so identified.
The consideration for the Warrantor's execution of this agreement is the
promise of the Operator to pay the premiums, but failure by the Operator to
pay such premiums shall not invalidate or diminish the Warrantor's obligation
hereunder.
The Board may make demand upon the Warrantor for payment hereunder if the
Board determines that reclamation which ought to have been performed by the
Operator, or its successors or assigns, remains unperformed, and if Financial
Warranty forfeiture procedures required by law have been initiated. Ho other
condition precedent need be fulfilled to entitle the State to receive the
amount so demanded. However, if, upon completion of reclamation by the State,
the amounts expended for reclamation shall be less than the amount received
from the Warrantor, the excess shall be promptly refunded to the Warrantor.
-4-
If demand is made upon the Warrantor for payment of an amount due to the Board
hereunder, and if the Warrantor fails to make payment of such amount within
ninety (90) days after the date of receipt of such demand, or if it should
thereafter be determined, by agreement of the Warrantor or by final judgment
of court, that the amount demanded was properly payable, the Warrantor agrees
to pay to the Board, in addition to the amount demanded, interest at Lie prime
rate in effect from time to time at The United Bank of Denver for the period
commencing at the end of such ninety-day period and ending on the date of
actual payment.
If the Board shall notify the Warrantor that the Operator is in default, and
if the Board shall initiate any Financial Warranty forfeiture procedures
required by law or regulation, the Warrantor may, in lieu of making payment to
the Board of the amount due hereunder, cause the reclamation to be timely
performed in accordance with all requirements of the Act and all applicable
rules and regulations. In such event, when and if the reclamation has been
timely performed to the satisfaction of the Board or Division, this Financial
• Warranty shall be released. If the reclamation shall not be so performed to
the satisfaction of the Board or Division, this Financial Warranty shall
remain in full force and effect.
This Financial Warranty shall be subject to forfeiture whenever the Board
determines that any one or more of the following. circumstances exist:
1 . A Cease and Desist Order entered pursuant to Section 34-32-124
of the Act has been violated, and the corrective action proposed in such Order
has not been completed, although ample time to have done so has elapsed; or
2. The Operator is in default under its Performance Warranty, and
such default has not been cured, although written notice and ample time to
cure such default has been given; or
3. The Operator and/or the Warrantor has failed to maintain its
Financial Warranty in good standing as required by the Act; or
4. The Warrantor and/or Operator no longer has the financial
ability to carry out its obligations in accordance with the Act.
The description of lands herein is for convenience of reference only, and no
error in such description, nor any revision of the permitted mining area, nor
the disturbance by the Operator of lands outside of the permitted mining area
shall alter or diminish the obligations of the Operator and/or Warrantor
hereunder, which shall extend to the reclamation of all such lands disturbed.
If this Financial Warranty applies to National Forest System lands, and if
this Financial Warranty is accepted by the United States Forest Service
("U.S.F.S. ") as the bond required under 36 C.F.R. 252. 13, then the Operator,
having requested that the Board and the U.S.F.S. accept this single Financial
Warranty in lieu of the separate bonds which would otherwise be required by
Q! O;
-5-
applicable law, hereby agrees that, notwithstanding any other provision
hereof, or of law, this Financial Warranty shall remain in full force and
effect until U.S.F.S. has advised the Board by written notice that the
Operator's obligations to U.S.F.S. , for which this Warranty is executed, have
been satisfied and, until its release, has been approved by the Board.
If this Financial Warranty applies to lands under the jurisdiction of the
State Board of Land Commissioners ("Land Board" ), and if this Financial
Warranty, in whole or in part, is accepted by the Land Board as the bond
required under its applicable law and procedures, then the Operator, having
requested that the State accept this Financial Warranty in lieu of the
separate bonds which would otherwise be required by the Colorado Mined Land
Reclamation Board or Division and by the Land Board, hereby agrees that,
notwithstanding any other provision hereof, or of law, this Financial Warranty
shall remain in full force and effect until the Board is notified in writing
by the Land Board that the Operator's obligations to the Land Board, for which
this Warranty is executed, have been satisfied and, until its release, is
approved by the Board.
•
If all or any part of the Affected Lands are under the jurisdiction of the
Bureau of Land Management, United States Department of the Interior (the
"BLM") , and if, at the request of the Operator on this Financial Warranty, the
BLM has, pursuant to 43 C.F.R. 3809.1-9, accepted this Financial Warranty in
lieu of requiring a separate reclamation bond payable to the United States,
then, notwithstanding any other provision of this Financinal Warranty, or of
law, the Operator and Warrantor hereby agree that this Financial Warranty
shall not be released until the Board is advised in writing by the BLM that
the Operator's obligations to the BLM, for which this Warranty is executed,
have been satisfied and, until its release, is approved by the Board. •
This Financial Warranty may be executed in multiple copies, each of which
shall be treated as an original , but together they constitute only one
agreement, the validity and interpretation of which shall be governed by the
laws of the State of Colorado.
The provisions hereof shall bind and inure to the benefit of the parties
hereto and their successors and assigns.
Signed and dated this 30th day.of March , 1990
The Aetna Casualty and Surety Company
Warrantor
j ^w1
1l
By r t5^. : i J ..9., q
% kepha(3. May, AEtor n'y-IhLFact
\\ Anjlesite Rock Compa
Operator
By •
H.J. chmidt, Secretary-Treasurer
•
-6-
NOTARIZATION OF OPERATOR'S ACKNOWLEDGEMENT
STATE OF South Dakota
COUNTY OF Minnehaha ) ss.
The foregoing instrument was acknowledged before me this, j/1 day of
March , 1990 by I-1.J. Schmidt
as
Secretary—Treasurer of Andesite 'Rock Company
NUTAR PU L •
-,al %
My Commission expires:
-V 7 /957r
NOTARIZATION CF WARRANTOR'S ACKNOWLEDGEMENT
STATE OF NEBRASKA - )
COUNTY OF DOUGLAS . . ) ss.
The foregoing instrument was acknowledged before me this 30th day of
March , 1990 , by - Stephan J. May
Attorney-in-Fact of The Aetna Casualty and Surety Company as
CATHERINE
ry:0 rNebt �•
` CroneralNota ;ry Sfafoof;�l,hG '
AJ"Ms+n My alum.Eap.Mar.2179!0 NOTARY PUBLIC Catherine R. Bruneteau
Miy'Commission expires:
APPROVED:
State of Colorado
Mined Land Reclamation Division
Mined Land Reclamation Board
Date:
By
Division Director
(Rev. 10/83)
Doc. No. 6181
THE/ETNA CA LTY AND SURETY COMPANY'
• • •1 4�1 Hart? "onnecticut 06156
'�r.
LIFE&CASUALTY
POWER OF ATTORNEY AND CERTIFICATE OF AUTHORITY OF ATTORNEY(S)-IN-FACT
KNOW ALL MEN BY THESE PRESENTS.THAT THE'ETNA CASUALTY AND SURETY COMPANY,a corporation duly organized under the laws of the
• State of Connecticut.and having its principal office in the City of Hartford.County of Hartford,State of Connecticut,hath made.constituted-and
appointed,and does by these presents make,constitute and appoint Frederick C. Campau, Mark S. Costello, William
A. Everett, Thomas M. Kunkel, Stephan J. May or Catherine Bruneteau - -
of Omaha, Nebraska ,its true and lawful Attorney(s)-in-Fact with full power and authority herssv co referred
• to sign,execute and acknowledge,at any place within the United States,ar.if the following line be filled in,within the area there desig-
nated ,the following instrument(s):
by his/her sole signature and act,any and all bonds,recognizances,contracts of indemnity,and other writings obligatory in the nature of a bond.
recognizance,or conditional undertaking,and any and all consents incidents thereto .
•
•
and to bind THE'ETNA CASUALTY AND SURETY COMPANY,thereby as fully and to the same extent as if the same were signed by the duly
authorized officers of THE/ETNA CASUALTY AND SURETY COMPANY,and all the acts of saidAttorney(s)-in-Fact,pursuant to the authority herein
•
given,are hereby ratified and confirmed.
This appointment is made under and by authority of the following Standing Resolutions of said Company which Resolutions are now in full force
and effect:"
VOTED:That each of the following officers:Chairman,Vice Cha'anon,President,Any Executive Vice President Any Senior Vice President Any Vice
President,Any Assistant Vice President Any Secretary,Any Assistant Secretary.may from time to time appoint Resident VicePresidents,Resident
Assistant Secretaries.Attorneys-in-Fact,and Agents to actfor and on behalf of the Company and may give any such appointee such authority as his
certificate of authority may prescribe to sign with the Company's name and seal with the Company's seal bonds,recognizances.contracts of
indemnity,and other writings obligatory in the nature of a bond,recognizance,or conditional undertaking,and any of said officers or the Board of
Directors may at any time remove any such appointee and revoke the power and authority given him.
VOTED:That any bond,recognizance,contract of indemnity,or writing obligatory in the nature of bond,recognizance,or conditional undertaking
shall be valid and binding upon the Company when(al signed by the Chairmen,the Vice Chairman,the President,an Executive Vice President.a
Senior Vice President.a Vice President,an Assistant Vice President or by a Resident Vice President.pursuant to the power prescribed in the
• certificate of authority of such Residentvice President,and duly attested and sealed with the Company's seal by a Secretary or A„ -:.S. ^^
or by a Resident Assistant Secretary,pursuant to the power prescribed in thecertificate ofauthority of such Resident Assistant Secretary;or(b)duly
• executed(under seal,if required)by one or more Attorneys-in-Fact pursuant to the power prescribed in his or their certificate or certificates of
authority.
This Power of Attorney and Certificate of Authority is signed and sealed by facsimile under and by authority of the following Standing Resolution
voted by the Board of Directors of THE/ETNA CASUALTY AND SURETY COMPANY which Resolution is now in full force and effect:
VOTED: That the signature of each of the following officers:Chairman,Vice Chairman,President Any Executive Vice President.Any Senior Vice
President,Any Vice President.Any Assistant Vice President,Any Secretary,Any Assistant Secretary,and the seal of the Company maybe affixed by
facsimile to any power of attorney or to any certificate relating thereto appointing Resident Vice Presidents,Resident Assistant Secretaries or
Attorneys-in-Fact for purposes only of executing and attesting bonds and undertakings and otherwritings obligatory in the nature thereof,and any
such power of anarney or certificate bearing such facsimile signature or facsimile seal shall be valid and binding upon the Company and any such
power so executed and certified by such facsimile signature and facsimile seal shall be valid and binding upon the Company in the future with
respect to any bond ar undertaking to which it is attached.
IN WITNESS WHEREOF,THE'ETNA CASUALTY AND SURETY COMPANY has caused this instrument to be signed by its Senior
Vice President ,and-its corporate seal to be hereto affixed this 6th
• day of April ,t9 9O .
'."'+1••b�`t1 THE /ETNA CASUALTY' ANDSURETY COMPANY
• It rims II
J Pf'
By
State of Connecticut J eph Kierna
ss.Hartfordsenior"Vice President
County of Hartford
On this 6th day of April ,19 90 ,before me personally came JOSEPH P. KIERNAN
to me known,who,being by me duly sworn,did depose and say:that he/she is Senior Vice President of
THE/ETNA CASUALTY AND SURETY COMPANY.the corporation described in and which executed the above instrument:that he/she knows the
seal of said corporation;th at the seal affixed to the said Instrument is such corporate seal;and that he/she executed the said instrument on behalf
of the corporation by authority of his/her office under the Standing Resolutions thereof. ,z
ter'-°-a CeZMA XC 'ark(
=mission mivian expires March 31. Notary Public
Rosalind R. Christie
CERTIFICATE
I,the undersigned. Secretary of THE/ETNA CASUALTY AND SURETY COMPANY,a stock coroo.adc^of the
State of Connecticut.00 HEREBY CERTIFY that the foregoing and attached Power of Attorney and Certificate of Authority remains in lull force and
has not been revoked:and furthermore.that the Standing Resolutions of the Board of Directors,as set forth in the Certificate of Authority,are now
in force.
Signed and Sealed at the Home Office of the Company,in the City of Hartford.State Connecticut.Dated this 30th day of
• March .19 90. • I
WW.
"• PRINTED IN U.S.A.I$-19]2�FIIM191a9 '�^•�•�" etary
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