HomeMy WebLinkAbout20174015.tiffEXHIBIT INVENTORY CONTROL SHEET
Case USR17-0042 - VARRA COMPANIES, INC.
Exhibit Submitted By Description
A. Planning Commission Resolution of Recommendation
B. Planning Commission Summary of Hearing (Minutes dated 11/21/2017)
C. Planning Services PowerPoint Presentation
Evidence of Financial Warranty Bond, received
D. Planning Services 12/20/2017
E.
F.
G.
H.
J.
K.
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2017-4015
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WELD COUNTY ADMIN
1150 "O" Street
Aapttcanr. i► CC
A SITE SPECIFIC DEVELOPMENT PLAN
AND SPECIAL REVIEW PERMIT FOR
MINERAL RESOURCE DEVELOPMENT
INCLUDING OPEN PIT MINING (SAND,
GRAVEL AND STONE) THE A
(AGRICULTURAL' ZONE DISTRICT
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EXHIBIT
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Public hearings concerning this property will be heard before the
County Planning Commission and
Board of sC-, ty Commissioners.
Both hearings wil'i be held at:
WELD COUNTY ADMINISTRATION BUILDING
1150 "0" Street T_- reel+ CO 80631
Board of County Commis._ _Jr( Hearing will be held on
2o; at: t 711r �
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Applicant. VASaft4 atf,44-•te
Request: A SITE SPECIFIC DEVELOPMENT PLAN
AND SPECIAL REVIEW PERMIT i" FOR
MINERAL RESOURCE DEVELOPMENT
INCLUDING OPEN PIT MINING (SAND, _
GRAVEL AND STONE) THE A
(AGRICULTURAL) ZONE DISTRICT
Case Number:
�,,,,�� FOR FURTHER INFORMATION PLEASE CONTACT
Vii ' vL :+ AT THE WELD COUNTY DEPARTMENT OF
PLANNING SERVICES, AT 970-353-6100, extra)
For .Additional Information visit www.weldcountyplanningcases. Barg
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RECLAMATION PERMIT
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Existing Conveyor from Heitzelman Mine, adjacent to Wes
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View from County Road 28 looking onto Mine Site
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View looking south from County Road 28 into property not to be mined
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View to the southwest from County Road 28
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USRit7-0042 Mine Location NN,
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View from southwest quarter of the Heitzelman Mine looking
across the mine to the future Varra Mine in review here
Esther Gesick
From:
Sent:
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S'u bject®
Attachments:
Kim Ogle
Wednesday, December 20, 2017 6:50 AM
Esther Gesick
BOND FOR VARRA
financial warranty bond for mining activitiesopdf
Esther,
Attached is evidence of a bond for the Financial Warranty for the Varra Mine.
As evidence of financial warranty was a requirement prior to recording the USR Map, Condition of Approval 21 has been
met.
I will address this in my presentation.
Thank you
Kim
Kim Ogle
Planner
Weld County Planning Services
1555 North 17th Avenue
Greeley, Colorado 80631
970.400.3549 Direct
970.3516100 x 3540 Office
kogle@weldgov.com
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STATE OF COLORADO
DIVISION OF RECLAMATION, MINING AND SAFETY
Department of Natural Resources
1313 Sherman St., Room 215
Denver, Colorado 80203
Phone: (303) 866-3567
FAX: (303) 832.8106
FINANCIAL WARRANTY
CORPORATE SURETY
Operator: Varra Companies
Operation: Operation: Parcel 122 - Resource Development Project
Permit No.: M-2015-033
Warrantor: Argonaut Insurance Company
Street: P. O. Box 469011
Bond No.:1111111
COLORADO
DIVISION Of
RECLAMATION
MINING
SAFETY
City: • San Antonio
State: TX Zip Code: 78246
Area Code: 800 Telephone: 470-7958
t4( 1
This form has been approved by the Mined Land Reclamation Board pursuant to sections 34-32-117, C.R.S., of the Mitred Land
Reclamation Ace and 34-32.5-117, C.R.S., of the Colorado Land Reclamation Act for the Extraction of Construction Materials. Any
alteration or modification of this form, without approval by the Board shall result in the financial rvarrarty being invalid and result in
the voiding of any permit issued in conjunction with such invalid financial warranty and subject the operator to cease and desist
orders and civil penalties for operating without a permit pursuant to sections 34-32-123, CRS., of the Mined Land Reclamation Act
and 34-32.5-123, C.R.S., of the Colorado Laud Reclamation Act for the Extraction of Construction Materials.
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 the Act until the Mined Land Reclamation Board (the "Board") receives a
Financial Warranty (or Warranties) as described in the Act.
WHEREAS, Varra Companies (the "Operator"), a Colorado
corporation, has applied for a permit to conduct a mining operation known as Parcel 122 - Resource Development Project(the
"Operation"), on certain lands in Weld County, Colorado. 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,
Mined Land Reclamation
Office of Office of
Denver • Grand Junction • Durango Active and Inactive Mines
Bond No. SUR0033704
- 2
WHEREAS, the Operator and Argonaut Insurance Company (the "Warrantor"), a corporation
organized and existing under the laws of the State of Illinois
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
One Hundred Eighteen Thousand Five Hundred
Seventy -titre And t /10omS Dollars ($ $118,575.00 ) for the life of mine or until such time as
replacement is received, 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.
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 ofthis 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.
Bond No. SUR0033704
3 -.
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.
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 Mined Land Reclamation Board or the Office of Mined Land Reclamation may recover the necessary costs, including
attorney's fees or fees incurred in foreclosing on or realizing the collateral used in the event this Financial Warranty is forfeited.
The face amount of this Financial Warranty shall be increased by five hundred dollars ($500.00) to cover these costs.
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 shall 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: (I) 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 ifFinancial Warranty
forfeiture procedures required by law have been initiated. No 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 he less than the amount received from the Warrantor, the excess shall be promptly refunded to the
Warrantor.
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 the prime rate in effect from time to
time at The I lnited Bank of Denver for the period commencing at the end of such ninety -day period and ending on the date of
actual payment.
Bond No. SUR0033704
- 4 -
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 frill 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
Act.
4. The Warrantor no longer has the financial ability to carry out its obligations in accordance with the
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. 228.13, 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 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 the financial warranty has been released 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 of Reclamation,
Mining and Safety 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 the financial
warranty has been released 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 Financial 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
Bond No. SUR0033704
- 5 -
that the Operator's obligations to the BLM, for which this Warranty is executed, have been satisfied, and until the financial
warranty has been released 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, SEALED AND DATED this 11th day of
STATE OF CO
May
Argonaut Insurance Company
Warrat
rah Brown, Attorney -in -Fact
Varra Companies
Operator
2017
By: fir
c...7 rc
v -P.
NOTARIZATION OF WARRANTOR'S ACKNOWLEDGEMENT
COUNTY OF Arapahoe
)
) as.
The foregoing instrument was acknowledged before me this 11th day of
by Sarah Brown as Attorney -in -Fact
•
.(SSEAL)
May , 2017
of Argonaut Insurance Co pany
N v1ARY PUBLIC Lee Anne eaux
My Commission expires: 8/12/2018
LEE ANNE MEMDI
NOTARY PUBLIC
STATE OF COLORADO
NOTARY lb 201MO$IK0
MY COMMISSION EXPIRES 12 2018
Bond No. SUR0033704
6
NOTARIZATION OF OPERATOR'S ACKNOWLEDGEMENT
STATE OF Co (O r'ad v
I }� "` ) ss.
V COUNTY OF t
Theforegoing instrument was acknowledged before me
ef by l' Alte tt Vcoor4k as
JESSICA HOOVER
NOTARY PUBLIC
STATE OF COLORADO
NOTARY ID 20044036571
MY COMMISSION EXPIRES OCTOBER 04, 2020
APPROVED:
State of Colorado
Mined Land Reclamation Board
Division of Reclamation, Mining and Safety
By:
Division Director
L day of 1\t&'(, 2011
ofOD?iSi r'tAL •
4L
NCI ARX P IC
My Commission expires: / a
'`,-- Date: 5 / g
M.dnintsbarelbendforms\Corporoic Surety REVISED 10116/07
Argonaut Insurance Company
Deliveries Only: 225 W. Washington, 24th Floor
Chicago, IL 60606
United States Postal Service: P.O. Box 469011, San Antonio, TX 78246
POWER OF ATTORNEY
KNOW ALL MEN BY THESE PRESENTS That the Argonaut Insurance Company, a Corporation duly organized and existing under the lasts of the State
of Illinois and having its principal office in the County of Cook, Illinois does hereby nominate, constitute and appoint
Donald E Apnteby. Mark II Sweigart. Todd 1) Bengford. Sarah Brown Susan' Lattarut4
Their true and law ful agent(s) and attorney(s)-m-fact, each in their separate capacity if more than one is named above, to make, execute, seal and deliver for
and on its behal f as surety, and as its act and deed any and all bonds, contracts, agreements of indemnity and other undertakings in suretyship provided,
hosteler. that the penal sum of any one such instrument executed hereunder shall not exceed the sum of
;39.000.00000
This Power of Attorney is granted and is signed and sealed under and by the authority of the following Resolution adopted by the Board of Directors of
Argonaut Insurance Company
"RESOLVED, That the President, Senior Vice President, Vice President, Assistant Vice President, Secretary, Treasurer and each of them hereby is
authorized to execute powers of attorney, and such authority can be executed by use of facsimile signature, which may be attested or acknowledged by any
officer or attorney, of the Company, qualifying the attorney or attorney s named in the given power of attorney, to execute in behalf of, and acknowledge as
the act and deed of the Argonaut Insurance Company, all bond undertakings and contracts of suretyship, and to affix the corporate seal thereto "
IN WITNESS WHEREOF, Argonaut Insurance Company has caused its official seal to be hereunto affixed and these presents to be signed by its duly
authorized officer on the 18th day of July, 2013
STATE OF TEXAS
COUNTY OF HARRIS SS
.............�� Argonaut Insurance Company
SEAL! if_. 1918 /FS
by.
AS -0O94182
Joshua C Betz , Senior Vice President
On this 18th day of July, 2013 A D., before me, a Notary Public of the State of Texas, in and for the County of Harris. duly commissioned and qualified.
came THE ABOVE OFFICER OF THE COMPANY, to me personally known to be the indiv [dual and officer described in, and who executed the preceding
instrument, and he acknowledged the execution of same, and being by me duly sworn, deposed and said that he is the officer of the said Company aforesaid,
and that the seal affixed to the preceding instrument is the Corporate Seal of said Company, and the said Corporate Seal and his signature as officer were
duly affixed and subscribed to the said instrument by the authority and direction of the said corporation, and that Resolution adopted by the Board of
Directors of said Company, referred to in the preceding instrument is now its force
IN TESTIMONY WHEREOF, I have hereunto set my hand, and affixed my Official Seal at the County of Harris, the day and year first above written
KATHLEEN M MEEKS
NOTARY PUBLIC
STATE OF TEXAS
MY COMM. EXP. 01.15201T
4hWr1s n,`iYL.JutY/a
INoian Public)
I. the undersigned Officer of the Argonaut Insurance Company, Illinois Corporation, do hereby certify that the original POWER OF ATTORNEY of which
the foregoing is a full, true and correct copy is still in full force and effect and has not been revoked
IN WITNESS WHEREOF, I base hereunto set my hand, and affixed the Seal of said Company. on the/ day of ./1/
0/7
- Sarah `teinetrtan VP-Underssriling Surety
THIS DOCUMENT IS NOT VALID UNLESS TIIE WORDS ARGO POWER OF AITORIC `\ 4r D ruE SERIAL NUMBER IN THE UPPER
RIGHT HAND CORNER ARE IN BLI[E, AND TIIE DOCUMENT IS ISSUED ON WATERMARKED PAPER. IF YOU HAVE. QUESTIONS ON
AUTHENTICITY OF THIS DOCUMENT CALL (210) 321 -8400,
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