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HomeMy WebLinkAbout3.0 Conditions of ApprovalEDWARD MULHALL, JR. SCOTT BALCOMB LAWRENCE R. GREEN TIMOTHY A. THULSON DAVID C. HALLFORD CHRISTOPHER L. COYLE THOMAS J. HARTERT CHRISTOPHER L. GEIGER SARA M. DUNN DANIEL C. WENNOGLE SCOTT GROSSCUP JORDAN MAY Via Hand Delivery BALCOMB & GREEN, P.C. ATTORNEYS AT LAW P.O. DRAWER 790 818 COLORADO AVENUE GLENWOOD SPRINGS, COLORADO 81602 TELEPHONE: 970.945.6546 FACSIMILE: 970.945.8902 www.balcombgreen.com July 6, 2007 Fred Jarman Planning Director Garfield County Building and Planning Dept. 108 8th Street, Ste. 401 Glenwood Springs CO 81601 KENNETH BALCOMB 1920-2005 OF COUNSEL: JOHN A. THULSON 0� -LVED L 06 20 0? rv,�iNG Re: Conditions Precedence to the Issuance of a Special Use Permit Under Resolution 2007-41/A Resolution Concerned with the Approval of a Special Use Permit Application for Extraction, Processing, Storage and Material Handling of Natural Resources for a Property Owned by Gypsum Ranch LLC Dear Fred: The following documents are submitted for your review and in satisfaction of the conditions precedent to the above -referenced Special Use Permit Approval. These documents are as follows: 1. In satisfaction of Condition of Approval Nos. 2 and 16 the following other jurisdictional permits are provided as follows: a. Exhibit Al - City of Rifle Watershed Permit No. 5-06/Silt Gravel Pit b. Exhibit A2 - Colorado Department of Public Health and Environment APEN Permits BALCOMB & GREEN, P.C. ATTORNEYS AT LAW July 6, 2007 Page 2 c. Exhibit A3 - U.S. Army Corps of Engineers Jurisdictional Determination d. Exhibit A4 - Office of the State Engineer Colorado Division of Water Resources Approved Well Permit and Judgment and Decree for Water Right Change of Water Right and Plan for Augmentation, Case No. 06 CW 121 e. Exhibit A5 - Colorado Water Quality Control Discharge Permit No. COG -500000. 2. In satisfaction of Condition of Approval No. 3, the required grading permit application is set forth in Exhibit B. This Exhibit also contains a construction permit for installation of utilities and the public rright-of-way. 3. In satisfaction of Condition of Approval No. 4, the required access permits are contained within Exhibit C. 4. In satisfaction of Condition of Approval No. 19, confirmation of adequacy of the sizing and performance of the ISDS system presently located on site is verified under the correspondence of Paul E. Rutledge and Yancy Nichol contained within Exhibit D. 5. The projects approved Reclamation Plan with bond is provided within Exhibit E. This permit incorporates the same plan contained within the County application. 6. In satisfaction of Condition of Approval No. 31, a fully executed copy of the Agreement between Silt Sand and Gravel LLC, Valley Farms, Inc. and SWD, LLC is contained within Exhibit F. 7. In satisfaction of Condition of Approval No. 32, the Road Impact Royalty Agreement by and between Silt Sand and Gravel LLC and the Town of Silt, Colorado is contained within Exhibit G. Relating to Condition of Approval Nos. 3 and 4, that if is our understanding that Jake Mall of the County Road and Bridge Department has previously communicated to BALCOMB & GREEN, P.C. ATTORNEYS AT LAW July 6, 2007 Page 3 you his approval of all roadway improvements. Finally, in addressing Condition of Approval No. 26, weed eradication and Russian olive removal are all proceeding in accordance with the plan established and mapped out by Steve Anthony. Very truly yours, BALCOMB & GREEN, P. B ulson • ■III hi if 111 ',giNhb«ninitvelM'N 11II Reception## : 723878 00;22;2007 04 5C 33 Pr E 1920 P 0144 Jean R1berico of c Rec Fee $3,00 Doc Fee GARFIELD COUNTY CO STA l OF COLORADO )Ss County of Garfield At a regular meeting of the Board of County Commissioners for Garfield County. Colorado, held in the Commissioners' Meeting Room. Garfield County Courthouse. in Glenwood Springs on, Monday, April 2. 2007. there were present: John Martin Larry. McCown Tresi Houpt Don DeFord Jean Alherico Ed Green . Commissioner Chairman . Commissioner , Commissioner , County Attorney . Clerk of the Board , County Manager when the following proceedings, among others were had and done, to -wit: RESOLUTION NO. 200"_41 A RESOLUTION CONCERNED WITH THE APPROVAL OF A SPECIAL USE • PERMIT APPLICATION FOR EXTRACTION, PROCESSING, STORAGE AND MATERIAL HANDLING OF NATURAL RESOURCES FOR A PROPERTY OWNED BY GYPSUM RANCH, LLC Parcel ID: 2179-093-00-716 WHEREAS. the Board of County Commissioners of Garfield County, Colorado, has received an application from Gypsum Ranch, LLC fora Special Use Permit ("SUP") for Extraction, Storage, Processing, and Material Handling of Natural Resources for a Gravel Extraction Operation in the Agricultural / Industrial (Al) zone district; and WHEREAS, on November 13`h, 2006. the Board of County Commissioners referred the application to the Garfield County Planning Commission for a recommendation in a public hearing: an d WHEREAS, the Garfield County Planning Commission opened the ic hearing on January 10"'. 2006 and continued the hearing to January 158', 2006. upon thequestionof whether the above described SUP should be granted or denied. at which hearing p itereted were given the opportunity to express their opinions concerning the approval ofnsa dsspecialsons use permit; and • • • • ■iii 11111111 L r 11110M iWri«Ve Ci0 III Reception#: 723878 05/22:2007 04.5C 36 PM B, 1929 P 0145 Jean Plberico 2 of 9 Rec Fee:$0.00 Doc Fee. GARFIELD COUNTY CC WHEREAS, on January 15'1'. 2006. the Garfield County Planning Commission voted to recommend approval to the Board of County Commissioners upon the question of whether the above described SUP: and WHEREAS. the Board of County Commissioners held a public hearing on April 2. 2007 upon the question of whether the above described SUP should be granted or denied. at which hearing the public and interested persons were given the opportunity to express their opinions concerning the approval of said special use permit: and WHEREAS. the Board on the basis of substantial competent evidence produced at the aforementioned hearing, has made the following determination of fact as Listed below: 1. Proper posting and public notice was provided as required for the public hearing before the Board of County Commissioners. 2. The public hearing before the Board of County Commissioners was extensive and complete, that all pertinent facts, matters and issues were submitted and that all interested parties were heard at that meeting. 3. The above stated and other reasons, the proposed special use permit has been determined to be in the hest interest of the health, safety, morals. convenience, order, prosperity and welfare of the citizens of Garfield County. 4. The application has met the requirements of Special Use (Sections 5:03, 5:03:07, 5:03.08 and 9:03) the Garfield County Zoning Resolution of 1978. as amended. NOW THEREFORE, BE IT RESOLVED by the Board of County Commissioners of Garfield County, Colorado, that Special Use Permit is approved for Gypsum Ranch, LLC for Extraction, Storage. Processing. and Material Handling of Natural Resources for a Gravel Extraction Operation in the Agricultural / Industrial (AI) zone district with all of the following specific conditions: 1. That all representations of the Applicant, either in testimony or the submitted application materials, shall be considered conditions of approval unless specifically altered by the Board of County Commissioners. 2. The County shall not issue a Special Use Permit until all required local, state. and federal permits have been obtained and submitted to Garfield County including but not Iimited to the City of Rifle Watershed Permit, CDPHE, USACE, NDPES, Division of Water Resources (approved well permits and plan for augmentation), etc. 3. That the Applicant shall construct a 310 -foot deceleration lane for the westbound right turns into the site from CR 346. No mining activity can occur until these improvements have been installed and approved by the County Road and Bridge Department with the • • • ■III h'i i �':�1«'�MJ�,«G�,�IY�L'«�ti I�LI���.li��r' ��� UI II Reception#: 723878 05;22/2007 04.50 36 PM B. 1929 P 0146 Jean Alberico 3 of 9 Rec Fee:$0.00 Doc Fee. GARFIELD COUNTY CO specific exception that Iimited mining may occur prior to the issuance of a SUP only to provide the `*ravel resources necessary to construct the proposed 310 -foot deceleration lane for the westhound right turns into the site from CR 346. In order to construct this deceleration lane, the Applicant shall obtain a grading permit from the County Building Department and also work with the County Road and Bridge Department for improvements within the County ROW. 4. The Applicant shall obtain driveway access permit/s issued by Garfield County Road & Bridge Department at specific locations to he approved by the Road and ridge Department. These permits shall have conditions specific to the driveway/s. This will include stop sign/s at entrance to CR 346 (Rifle -Silt Road). The stop signs and installation shall he as required in the MUTCD (Manual on Uniform Traffi Control Devices). Paved or concrete apron/s shall also he required as specified by the issued permit/s. 5. All truck traffic shall enter and leave the gravel pit site from the east and not go west on CR 346 to the Mamm Creek interchange. This portion of CR 346 has 90 degree corners and narrow road sections and has not been added to the preferred haul routes as designated by Garfield County Road & Bridge Department for heavy truck travel. 6. Garfield County Road & Bridge Department at this time is seeking funding to completely rebuild CR 336 (Jenkins Cutoff) the main cross road between CR 315 ("Hamm Creek) and CR 331 (Dry Hollow Road). If the funding becomes available for 2007 CR 336 (Jenkins Cutoff) will he shut down for construction and CR 331 (Dry Hollow Road.) will become the preferred haul route to access the drilling operations south of Silt. Trucks leaving the gravel pit would only have to go the east for approximately 1 -mile on CR 346 (Rifle Silt Road) to access CR 331 (Dry Hollow Road ). 7. If road damage on CR 346 becomes evident due to the traffic generated from the gravel pit operation, the Road and Bridge Department shall require that repair or replacement of the road surface as determined by Garfield County Road & Bridge Department become the responsibility of the owners or operators of the gravel pit operation. 8. In any mining phase, the mined slope length of 2H:1 V will he backfilled as necessary prior to topsoiling and seeding. Generally. this is a milder slope of at least 3H:1V from 5.o feet below the water line and higher. The amount of mined slope allowed to he present that is not backfilled at any given time is 1000 feet. 9. The amount of backfilled slope that is not topsoiled is limited to 400 feet. Topsoiling is required on all surface areas down to 5.0' below expected water level. 10. Seeding and mulching according to the approved plan will occur on all topsoiled areas each spring (March 15 -April 15) or fall ( September 15 to November 15) no matter- how • • • ■III FL I CAIrin 11 III Reception#: 723878 05/22/2007 04 50 36 PM 8 1929 P 0147 Jean R1bericc 4 of 9 Rec Fee $0 00 Doc Fee GARFIELD COUNTY C0 small the area is. 11. Within 6 months of finishing mining in any designated mining area (5 total), the area must he fully reclaimed including topsoiling. seeding. mulching. sapling planting, and water filling of the lake. 12. The operator will submit an annual report to the County with GPS measurements shown on a map showing the current disturbance, what areas have been backfilled, where topsoil stockpiles are located, all site structures, what areas have been seeded. mulched and what is planned for the ensuing 12 months. 13. All of the above are binding conditions of the County permit. and the State Division of Reclamation, Mining and Safety. The Division of Reclamation. Mining and Safety can withhold the reclamation bond if the final reclamation is not executed according to the plans. 14. The County commits to notifying the Operator of any compliance concern and allows an inspection with site personnel and the designated County inspector prior to contacting any agency. 15. The County can request a site inspection with one day's notice to the Operator. Full access to any part of the site will be granted. On request. all paperwork must be shown. The County cannot request a large number of inspections that would interfere with normal operation without cause. 16. A full list of all other permits shall be provided to the County. Any person at any time can call the following agencies directly and request an inspection if they believe a condition of that agencies permit is being violated. a. CDPHE Air Quality Control 303-692-3150 b. CDPHE Water Quality Control 303-692-3500 c. US Army Corps of Engineers 970-243-1199 d. Division of Reclamation, Mining and Safety 303-866-3567 e. CDOT Grand Junction office 970-248-7000 17. The County will be invited to any bond release inspection of the State Division of Reclamation. Mining and Safety. The County inspector will have the opportunity to demonstrate that any item of the permit hay not been complied with and that bond should not he released. rr- 18. The Operator acknowledges that the Count has performance standards in place could lead to revocation of the Special Use Permit if continued violations of the ORAoccur over a period of time. 4 • • • ■III h'i i NAV* IN 11111 Reception#: 723878 05;2212007 04.50 36 PM B 1929 P 0148 Jean Rlberico E of 0 Rec Fee $C 00 Doc Fee GPRFIELD COUNTY CO ly. The existing residence (proposed to he used as an office for the life of the gravel pit) shall provide potable water and wastewater service to employees of the gravel pit Operation. The sizing and performance of the ISDS system shall he verified by an engineer to the County for the uses expected prior to the issuance of a SUP. 20. The Applicant shall install all landscaping and landscaped berms to aid in visual screening prior to issuance of Special Use Permit. Applicant shall invite the Staff from the County Building and Planning Department to the site to inspect that the installation occurred pursuant to the plan presented to the Board of County Commissioners and attached to the record as Exhibit HH entitled "Revised Berming, Screening, and Buffering Plan" dated March 15, 2007. 21. The gravel pit hours of operation will he 7:00 a.m. to 8:00 p.m. Monday through Saturday with crushing, digging, and heavy hauling allowed from 7:00 am to 6:00 pm allowing for administrative and maintenance activities to take place until 8:00 p.m. No operations shall take place on Sunday. 22. All lighting shall be the minimum necessary, directed inward and downward towards the property. 23. The reclamation plan approved by Garfield County in the Special Use Permit shall he resubmitted to the DRMS to become the only reclamation plan (tasks / timetables) used by both the County and DRMS. Additionally, a new bond shall need to be calculated to cover this plan and secured with DRMS to cover its implementation. 24. Mining operations shall be allowed to progress so long as the previous pit has been reclaimed within 6 months after the commencement of the new pit mining operation. If the reclamation has not occurred in six months. all mining operations on the property shall stop until the reclamation / revegetation has occurred to the satisfaction of the County. 25. The Applicant shall he required to present a yearly review and updateof the gravel operations to the Board of County Commissioners until full mining operations have been completed and full reclamation has been established. 26. The applicant shall provide locations of county listed noxious weeds on a map. Once the inventory is provided the applicant shall develop a weed management plan that addresses all county listed noxious weeds found on site. The applicant shall address the management of Russian olive on site within the first year of operation. This also applies to tamarisk if found on-site. although the applicant's submitted inventory doesn't indicate tamarisk. staff believes that there may he some tamarisk on the proper. This weed management plan shall he submitted to the County Vegetation Manager for approval • • • 1111 111% DIVAN 1111,1 '«1e I411:ing,11 II Reception#: 723878 05/22/2007 04 50 3E PM B 1929 P• 0149 Jean Rlberico E of 9 Rec Fee:$0.00 Doc Fee. GARFIELD COUNTY CO prior to the issuance of a SUP. 27. All mining activities shall he required to comply with the following performance standards: (1) Volume of sound generated shall comply with the standards set forth in the Colorado Revised Statutes at the time any nc'w application is made. (2) Vibration generated: evert' use shall be so operated that the ground vibration inherently and recurrently generated is not perceptible, without instruments, at any point of any boundary line of the property on which the use is located. (3) Emissions of smoke and particulate matter: ever' use shall he operated so as to comply with all Federal, State and Count' air quality laws, regulations and standards. (4) Emission of heat, glare, radiation and fumes: every use shall he so operated that it does not emit heat, glare, radiation or .fumes which substantially interfere with the existing use of adjoining property or which constitutes a public nuisance or hazard. Flaring of gases, aircraft warning signals, reflective painting of storage tanks, or other such operations which may he required by law as safety or air pollution control measures shall be exempted, from this provision. (5) Storage area, salvage yard, sanitary landfill and mineral waste disposal areas: (A) Storage of flanzmable or explosive solids or gases shall be in. accordance with accepted standards and laws and shall comply with the national, state and local fire codes and written recommendations / comments .from the appropriate local protection district regarding compliance with the appropriate codes; (B) At the discretion of the County Commissioners, all outdoor storage facilities mai be required to be enclosed by, fence, landscaping or wall adequate to conceal such facilities from adjacent property; (C) No materials or wastes shall he deposited upon a property in such form or manner that they may be transferred off the property by any reasonably foreseeable natural causes or forces; (D) Storage of Healy Equipment above and the following standards: 1. The miitiliii.irli lot si:e is fipe The equipment storage area any existing residential dwelling. will only be allowed subject to (A) and (C) ( 5) acres and R not a Adieu' subdivision. is not placed any closer than $OU ft. from 6 • • • ■III Pi, Are' Lwir Mali 11 II Recept i ontt : 723878 0E;2212007 04.50.36 PM B 1929 P- 0150 Jean Alberico 7 of 9 Rec Fee.$0.00 Doc Fee. GARFIELD COUNTY CO 3. All equipment storage will he enclosed in an area with screening at least ci,(,,ht (8) feet in height and obscured from vicii• at the same elevation or lower. Screening may include perming, landscaping. sight obscuring fencing or a combination of ally of these methods. 4. Any repair and maintenance activity requiring the use of equipment that wi11 generate noise, odors or glare beyond the properry boundaries tii'ill be conducted within a building or outdoors durin,1; the hours of 7 a.n't. to 6 p.m., Mon. -Sat.. 5. Loadin,, and unloading of vehicles shall he conducted on private property and may not be conducted on any public right -of -war. (E) Any storage area for uses not associated with natural resources, shall not exceed ten (1 0) acres in size. (F) Any lighting of storage area shall he pointed downward and inward to the property center and shaded to prevent direct reflection 017 adjacent property. (6) Water pollution: in a case in which potential hazards exist, it shall be necessary to install safeguards designed to comply with the Regulations of the Environmental Protection Agency before operation of the facilities may begin. All percolation tests or ground water resource tests as may he required by local or State Health Officers trust he nniet before operation of the facilities may begin. 28. The four concerns in the letter from the Loesch and Crann Ditch Company, dated 12/28/06 and attached to this memorandum as Exhibit M, are made conditions of approval by reference. 29. That the Applicant has withdrawn the concrete and/ or asphalt hatch plants from the proposed application and are not presently included in this project. In the event the owner of the subject property wishes to include concrete and/ or asphalt batch plants. a revised application shall be submitted to the County under the rules and regulations in affect at the time of submittal. 30. The Applicant. as represented. shall donate the property once fully mined to the Division of Wildlife. 31. That the Applicant shall enter into an agreement with Stillwater Ranch Development in order to construct and use an internal road between the gravel operation and the adjacent Stillwater Ranch Development to alleviate unnecessary trips onto CR 346 as well as portions of that road system that have been annexed into the Town of Silt. This agreement shall he in place prior to the issuance of a Special Use Permit. • • Clerk ,df the Boar 1111 PA. Ili 1N'r,11011117110:I0i+,ht?ti1ii11111 Reception#: 723878 05/22/2007 04.50 36 PM B 1929 P 0151 Jean Alberico 8 of c Rec Fee.$0.0C Doc Fee. GARFIELD COUNTY CO 32. That in the event the Town (5f Silt de -annexes the roads subject to the 'Road Impact Royalty Agreement", the Operator / Owner of the gravel operation shall agree to enter into a contract that provides the County with the royalties included in the Silt contract if said roads are de -annexed from the Town of Silt. Additionally. any royalties paid to the Town of Silt that have not been spent shall he delivered to Garfield County. 33. That the owner of the subject property shall convey no more than 1.5 cfs of raw irrigation water from the subject property to the contiguous property north of I-70. This conveyance shall be via a ditch during irrigation season only. All other water generated from pit - dewatering shall be disposed of according to CDPHE into the Colorado River. Dated this c21 day of (YL ,,_ , A.D. 20 C 0 AT I'EST: • Upon motion duly made following vote: GARFIELD COUNTY BOARD OF COMMISSIONERS-,,GARFIELD COUNTY, • COLORADO /( Chaiiinan and seconded the foregoing Resolution was adopted 'by the (J COMMISSIONER CHAIR JOHN F. MARTIN COMMISSIONER LARRY L. MCCOWN COMMISSIONER IRESI HOUPT STATE OF COLORADO 1 )ss County of Garfield , Ave , Aye .Ave I, . County Clerk and ex -officio Clerk of the Board of County Commissioners. in and for the County and State aforesaid. do hereby certify that the annexed and foregoing, Resolution is truly copied from the Records of the Proceeding of the Board of County Commissioners for said Garfield County. now in my office. • • • 1111h'i� i':�1L+�IM'�L�I�,L�'�'�L�'��«'L�+�� L�M1'f��� v'' Ci 11111 Reception#: 723878 05/22/2007 04 5C 36 PM B 1929 P 0152 Jear Rlbericc 9 of 9 Rec Fee $0.00 Doc Fee. GARFIELD COUNTY CO IN WITNESS WHEREOF, I have hereunto set niv hand and affixed the seal of said County. at Glenwood Springs, this day of . A.D. 20 County Clerk and ex -officio Clerk of the Board of County Commissioners 9 • LEAVENWORTH & KARP, P.C. ATTORNEYS AT LAW LOYAL I. LEAVENWORTH SANDER N. KARP JAMES S. NEU KARL J. HANLON MICHAEL J. SAWYER tilISAN W. LAATSCH ANNA S. I'rENE3ERG CASSIA R. FURMAN 13ETH E. KINNE CASSIE L. COLEMAN LAURA M. WASSMUTH ('HAD J. LEE Timothy Thulson, Esq. Balcomb & Green, P.C. 818 Colorado Ave. P.O. Drawer 790 Glenwood Springs, CO 81602 201 14"I STREET, SUITE 200 P. O. DRAWER 2030 GLENWOOD SPRINGS, COLORADO 81602 Telephone: (970) 945-2261 Facsimile: (970) 945-7336 JSN@lklawtirm.com April 9, 2007 DENVER OFFICE:* 700 WASHINGTON ST. STE 702 DENVER, COLORADO 80203 Telephone: (303) 825-3995 *(Phase direct ull correspondence n, our Glenwood Springs (Vice) CERTIFIED MAIL RETURN RECEIPT REQUESTED Re: City of Rifle Watershed District Permit No. 5-06/Silt Gravel Pit 41) Dear Tim: Enclosed is City of Rifle Watershed District Permit No. 5-06 issued to Silt Sand and Gravel, LLC for the Silt Gravel Pit signed by the City. Please recall that prior to the con ncement of activities permitted under this Permit, the Applicant must provide the City a $10,01 ,.r.for the benefit of the City to ensure compliance with the Permit. Please let me know if you have any questions. Very truly yours, LEAVENWORT.: KARP, P.C. �i► CGI J%mes S. Neu .1SN: Enclosure cc: Bill Sappington, P.E. (w/o enc.) Michael Erion, P.E. (w/o enc.) I 21.7 i'Iieni.IR i11e' R-1111171SatPi1-3 l,2I udson-1'emul.wpd • BEFORE THE CITY COUNCIL OF THE CITY OF RIFLE, COLORADO CONCERNING THE APPLICATION FOR A WATERSHED DISTRICT PERMIT OF SILT SAND & GRAVEL, LLC TO OPERATE A GRAVEL PIT KNOWN AS GRAND RIVER PARK IN THE COLORADO RIVER WATERSHED FINDINGS OF FACT, CONCLUSIONS OF LAW AND APPROVAL OF WATERSHED DISTRICT PERMIT NO. 5-06 I. BACKGROUND 1. On June 21, 2006, Silt Sand & Gravel, LLC (the "Applicant") applied to the City of Rifle (the "City") for a watershed district permit to operate a gravel pit, including asphalt plant, temporary concrete plant, office, wash facility, crusher/screen facility, scales, and a 5,000 gallon fuel tank for on-site operations (the "Project") on property located in the SW 1/4 of Section 9, T6S., R92W., 6"' PM. The Project is located upstream from the City's Colorado River raw water intake structure and sedimentation pond within the City's Watershed District jurisdiction, and the application was submitted pursuant to City of Rifle Ordinance No. 22, Series of 1994, codified in Article II of Chapter 13 of the Rifle Municipal Code ("RMC"). 2. For the purposes of this permit (the "Permit"), the application shall consist of the watershed permit application prepared by Banks and Gesso, LLC dated June 21, 2006 including a mining plan, reclamation plan, soils report, vegetation report, wildlife report, drainage plan, and SPCC plan, all contained in the Division of Minerals and Geology Permit Application, all correspondence and materials submitted to the City by the Applicant or its agents, as well as all representations, whether oral or written, made as part of the application and public hearing process. These items shall be collectively referred to herein as the "Application." 3. Following the receipt and review of the Application, Michael Erion, P.E. of Resource Engineering, Inc., Consulting Professional Engineer for the City, submitted his findings to the City regarding the Project in a letter dated September 12, 2006, attached hereto as Exhibit A and incorporated herein by this reference (the "Erion Letter"). The Erion Letter concluded that, so long as the Project is operated in compliance with the Application and conditions contained in the Erion Letter, the proposed activity does not present or create a clear or foreseeable risk of significant injury to the City's waterworks or pollution to the City water supply and is therefore classified as a Minor Impact under the RMC. 4. Any and all other permits issued or to be issued by county, state and/or federal agencies in relation to the operation of the Project are incorporated herein by this reference. II. FINDINGS OF FACT 5. The proposed activity is within the defined boundaries of the City's Watershed 1:\20061CIients Vt.itle\R-1(3?4)SiltGravel-7262\WSPermit05-06 wpd -1- • • • City of Rifle, Colorado Watershed District Permit No. 5-06 Grand River Park Project Silt Sand & Gravel, LLC District as defined in RMC § 13-2-20, specifically within five (5) miles of the City's Colorado River municipal water diversion and intake structure. The proposed activities include the operation of a gravel pit. 6. The Application filed by the Applicant is complete. 7. The Applicant has paid the application fee required under RMC §13-2-110. 8. A duly noticed Public Hearing was held before the Rifle City Council (the "Council") on September 20, 2006. At the hearing, testimony was presented by Michael Erion regarding the activities proposed by the Applicant and the applicability of the City's Watershed District Ordinance. City Attorney Lee Leavenworth explained to the Council that its jurisdiction on this matter extended five (5) miles beyond the City's Colorado River intake point, and that its authority was limited to the protection of the City's water quality and supply. Mr. Erion explained the provisions of the Permit and recommended issuance of the Permit subject to the terms and conditions set forth in the Erion Letter, which classified the proposed activities as a Minor Impact pursuant to RMC § 13-2-120. Bill Roberts with Silt Sand & Gravel, LLC, Tim Thulson, attorney for the Applicant, Scott Balcomb with Gypsum Ranch Company, LLC, the landowner, and Alex Schatz with Banks and Gesso, LLC, mining consultants for the Applicant, were present on behalf of the Applicant and provided testimony regarding the Application and the Project. Testimony was opened up for members of the public. 9. Based upon the testimony, the Council finds that the proposed activities do not present or create a clear or foreseeable risk of significant injury to the City's waterworks or pollution to the City water supply so long as the Applicant adheres to all of the conditions stated in the Erion Letter. 10. The Council hereby finds and determines that the issuance of the Permit requires the inclusion of conditions as set forth in the Erion Letter and as outlined above, that such conditions are necessary to prevent a risk of injury to the City's water works and pollution of the City's water supply, and that such conditions are authorized pursuant to RMC § 13-2-140. III. CONCLUSIONS OF LAW AND ISSUANCE OF PERMIT 11. The foregoing Findings of Facts are incorporated herein by reference. 12. The City has jurisdiction over the proposed activity pursuant to RMC § 13-2-20 and City of Rifle Ordinance No. 22, Series of 1994. 13. Based on the evidence presented at the Public Hearing and the Erion Letter, the Council hereby determines that this decision shall constitute a Watershed District Permit for the I.\2006 \Clients \Rifle\ R•3(324)SiltGravel-3262lWSPermitUS-06 wpd -2- • • City of Rifle, Colorado Watershed District Permit No. 5-06 Grand River Park Project Silt Sand & Gravel, LLC operation of the Project as more fully outlined in the Application. The conditions of approval recommended by Mr. Erion in the Erion Letter are hereby approved and adopted by the Council as conditions of approval of this Permit unless expressly amended herein. In addition, all representations, whether oral or written, made by the Applicant and/or its agents as part of the application and public hearing process shall be conditions of approval of the Permit. 14. Pursuant to the recommendation in the Erion Letter, a surety bond in the amount of $10,000 for the benefit of the City of Rifle in a form approved by the City Attorney shall be provided to the City prior to the commencement of any activities to ensure compliance with this Permit. 15. All conditions of approval contained within any permit issued to the Applicant for the Project by any county, state and/or federal agency shall be deemed conditions of approval of this Permit. Any violation of the conditions of any other such permit issued shall be deemed a violation of this Permit subject to all of the remedies provided for herein. 16. A copy of this Permit shall be sent by certified mail, return receipt requested, to the Applicant. 17. Pursuant to RMC §13-2-110, the Applicant shall reimburse the City for all outside professional services, including but not limited to engineering, legal, consulting, publication and copying fees associated with the review of the Application prior to the issuance of this Permit. 18. This Permit shall not be effective until approved by the City and agreed to by the Applicant. Dated this `7 day of AP('' ATTEST: 7:ab-v4 IL/1);(3-).-, City Clerk • 1:12006\CI ients\Ri fle\R-3(324 )SittGravel-3262\ W SPermit05-06.wpd By , 2007. CITY OF RIFLE, COLORADO • City of Rifle, Colorado Watershed District Permit No. 5-06 Grand River Park Project Silt Sand & Gravel, LLC City of Rifle Watershed District Permit No. 5-06 accepted and agreed to this 5.74day of , 2007. 1'.\2006\Clienis\Rifl6R-3(324)SilIGravel-3262\WSPermit05-06.wpd By: -4- SILT SAND & GRAVEL, LLC .7 Bill Roberts, Manager (TRESDURc WIEN WHINE dl5f ENGINEERING I N C. Bill Sappington, P.E. City of Rifle PO Box 1908 Rifle CO 81650 Jim Neu, Esq. Leavenworth & Karp, P.C. PO Box 2030 Glenwood Springs CO 81602 EXHIBIT RECEIVED SEP 2006 Seep eemberr-112; RE: Silt Sand and Gravel, LLC Watershed District Permit Application for Grand River Park Project — Colorado River Intake Watershed Dear Bill and Jim: B. 11. At the request of the City of Rifle, Resource Engineering, Inc. (RESOURCE) has reviewed the Watershed District Permit Application submitted by Silt Sand and Gravel, LLC for the Grand River Park Project. The Applicant proposes to develop a sand and gravel pit operation including approval for a temporary asphalt plant, temporary concrete plant, office, wash facility, crusher/screening facility, scales, and a fuel tank facility for this site. The proposed project is located on property owned by Gypsum Ranch, LLC and is located at the five mile boundary upstream from the City's intake. The proposed project is bounded by the Colorado River and 1-70 to the north and agricultural lands to the southeast and west. The general location map from the application is attached. The application submittal includes a letter report prepared by Banks Gesso, LLC dated June 21, 2006 and supplemental information from the DMG permit application requested by RESOURCE. CLASSIFICATION Based on our review and analysis set forth below, we recommend classifying the project as a minor impact since the proposed activity is part of a cumulative series of impacts from similar activities and gas industry development on both sides of the river upstream from the City's potable water intake. RECOMMENDATION We recommend issuance of a watershed district permit with the following conditions: 1. The Applicant shall maintain and comply with its CDPHE process water and stormwater discharge permit. 2. The Applicant shall notify the City at (east 10 days prior to set up of an asphalt batch plant or concrete batch plant. The Applicant shall provide the City with a copy of the SPCC plan for such facilities. The City of Rifle shall be included on the notification list and emergency contact list in each SPCC for the site. The point of contact shall be the water plant at 970-625-2841. P,PC. Consulting Engineers and Hydrologists 909 Colorado Avenue 3 Glenwood Springs, CO 81 601 ® (970) 945-6777 3 Fax (970) 945-1137 • • Bill Sappington, P.E. September 12, 2006 Jim Neu, Esq. Page 2 3. The project shall be subject to periodic inspections by the City and/or its consultants. This project shall be included in the bi-annual inspection list for active Watershed District Permits. The Applicant shall be responsible for all costs associated with such inspection. 4. Consistent with other Watershed District Permits, a surety bond (or other monetary surety) should be in place to assure complete site clean up. Recommended amount is $10,000. 5. The fuel tank facility must be located outside of the floodplain or on a pad elevated above the 100 year flood elevation. ANALYSIS The proposed activity includes sand and gravel mining activities and associated operations including crusher/screening facilities, washing facilities, office and scales, fueling facility, and the potential for set up of asphalt and concrete batch facilities. The site is located on the south side of the Colorado River approximately 5 miles upstream from the City of Rifle's Colorado River water supply intake. Activities on the site will be ongoing for approximately 10 to 15 years depending on the demand for the mined materials. The site activities will ultimately expose ground water which increases a potential for impact to the ground water resource from both minor and major spills within the project. The ground water flow is in a northwesterly direction and tributary to the Colorado River above the City's intake. The proposed grading and mining activities for Phase 1B, Phase 3A, and Phase 3B are located within the flood fringe of the 100 year flood plain. The floodplain boundary generally follows that Last Chance Ditch. This area is generally subject to slow moving or stagnant back water flooding created by the 1-70 platform. Surface runoff from the project will be contained within the project site. Erosion and discharge of sediment to the river system is not a significant risk for the City. Dewatering operations for the project will discharge high TDS water into the Colorado River via a settling pond. Dewatering operations may also discharge into wetland areas within the project to maintain adequate hydrology for these sites. Such activities are regulated by the Colorado Department of Public Health and Environment and the U.S. Army Corps of Engineers. The application indicates that a diesel fuel storage tank will be maintained on site throughout the life of the project. The fuel storage tank will be moved periodically to be located in the vicinity of mining activities. Upon installation of the fuel storage tank, a specific SPCC plan will be prepared and certified by a registered professional engineer that the plan meets industry standards and the requirements of 40 CFR 112 regarding oil pollution prevention. Such storage tank must be double walled containment facility or shall be located within an area providing secondary containment. It must also be located outside of the 100 year floodplain or on an elevated pad. The Applicant has requested approval from the Colorado Division of Minerals and Geology to allow for set up of asphalt and concrete batch plants. It is anticipated that set up of such portable facilities will be on a temporary basis for specific project. Site N:::: ::::RESOURCE .9/313•■ acorn■ E • Bill Sappington, P.E. September 12, 2006 Jim Neu, Esq. Page 3 • • specific SPCC for each facility is required and will be certified by a registered professional engineer at the time of set up. All certified SPCC plans should be submitted to the City at the time they are prepared for the facilities listed above. These plans shall include the City of Rifle on the notification and emergency contact list. The Applicant is experienced in gravel pit mining doing business under other company names. The Applicant has the training, expertise and equipment to provide immediate response to any type of spill from a small one gallon to rupture of a double wall steel fuel tank. Ground water contamination is a long term potential impact to the City. The Applicant's submittal presents a plan to minimize the risk of impact to the City. The site is also located a significant distance from the City's intake which further minimizes the risk of any impact to the City. However, this activity in conjunction with several other sand and gravel pit operations and gas drilling operations should be viewed as part of a cumulative impact to the watershed of the City's Colorado River intake. Therefore, it has been classified as a minor impact to the City's water works and the City water supply. The location of this project at the outer edge of the five mile boundary along with the Best Management Practices and implementation of SPCC plans for each facility minimizes the potential risk for the City and is the basis for a recommendation for approval of the permit. Several conditions as outlined above are recommended to insure compliance with the permit and to assist in minimizing the potential risk to the City. Please call if you have any questions or need additional information. Sincerely, RESOURCEE.-Et GINE RING NC. //' -777 Michael J. E.n, P.E. Water Reseiurces Engineer MJE/mmm 341-10.19 K:\Ctients1341 CITY OF RIFLE\10.0 Watershed Ordinance Permit\ 10.19 Silt Sand and GraveAbs jn water shed permit 341.doc CC: Paul G. Gesso, Banks and Gesso, LLC ID ae6■F�ESOURCE 2"1: RESOURCE 0N•11311E N G I N E E R ti G .NO • A L ra. E / T -E 5171- MG) • . 6RAPIC SCALE'.' • fl . L. B00••_-_ 10o (It�PEET) 1 itch,. 20011 PRPPERTY nch.20001t PRIPERTY BOUNDARY PERMIT BOUNDAjRY;.1. `: • — -TOS ,g?QF•... • OR DFt ANCE DXrC.e,;> I • Q- RISING '5VS p� ��s +°e-,.•` _ =.eL� ma=y;: F. I• i.. I k N t PREPARED BY: • COT •{. • • C�! • I41 7' ICV5<. •—•- j • -_r C29 BANKS AND GESS0,LLC. 720 MING ST •, SUITE 117 LAKEWOOD, COLORADO 30215 (303) 274-4277 JOB NO DATE APPLICANT: SILT SAND 4 GRAVEL L.L.L. 0304 HI6i1WAY 133 CARIONDALE, CO 61623 (9'70) 963-2296 SCALE DRAWN BY TT;ti-;• - Pi - VICINITY MAP PROJECT: &RAND RIVER PROTECT CITY OF RIFLE PUBLIC WORKS WATERSHED PERMIT APPLICATION 6533 COUNTY ROAD 346, SILT, CO 81632 DESIbNED BY 05021 6/21/06 1':2000' DRF APPROVAL REV SHEE`: J • STATE OF COLORADO COLORADO DEPARTMENT OF PUBLIC HEALTH AND ENVIRONMENT AIR POLLUTION CONTROL DIVISION TELEPHONE: (303) 692-3150 CONSTRUCTION PERMIT PERMIT NO: 00P00350 DATE ISSUED: FEBRUARY 7, 2001 ISSUED TO: Western Slope Aggregates, Inc. THE SOURCE TO WHICH THIS PERMIT APPLIES IS DESCRIBED AND LOCATED AS FOLLOWS: Portable equipment home-based at 0242 County Road 104, Carbondale, Colorado. THE SPECIFIC EQUIPMENT OR ACTIVITY SUBJECT TO THIS PERMIT INCLUDES THE FOLLOWING: One (1) Cedarapids, Model: C54 RCII, S/N: 48887, cone crusher, design rated at 325 tons per hour. One (1) Cedarapids, Model: 56203 DB, S/N: 46513, vibrating screen, design rated at 325 tons per hour. Emissions of particulate matter are controlled with water spray bars. THIS PERMIT IS GRANTED SUBJECT TO ALL RULES AND REGULATIONS OF THE COLORADO AIR QUALITY CONTROL COMMISSION AND THE COLORADO AIR POLLUTION PREVENTION AND CONTROL ACT C.R.S. (25-7-101 et seq), TO THOSE GENERAL TERMS AND CONDITIONS INCLUDED IN THIS DOCUMENT AND THE FOLLOWING SPECIFIC TERMS AND CONDITIONS: 1. AH previous versions of this permit are canceled upon issuance of this permit. 2. Visible emissions from processing equipment and transfer points shall not exceed twenty percent (20%) opacity during normal operation of the source. During periods of startup, process modification, or adjustment of control equipment visible emissions shall not exceed 30% opacity for more than six minutes in any sixty consecutive minutes. Opacity shall be measured by EPA Method 9. (Reference: Regulation 1, Section II.A.1.& 4.) FINAL APPROVAL 3. The permit number shall be marked on the subject equipment for ease of identification. (Reference: Reg. 3, Part B, IV. E.) (State only enforceable) 4. Emissions of point -source air pollutants shall not exceed the following limitations (as calculated in the Division's preliminary analysis): (Reference: Regulation 3, Part B, III.A.4) Particulate Matter (TSP): 0.96 ton per year PM, (Particulate Matter<10 pm): 0.46 ton per year. III 777/1578/001 0 6 eve; A/T • Page 2 Colorado Department of Public Health and Environment Construction Permit Air Pollution Control Division Western Slope Aggregates, Inc.. Cone crusher and screen. Permit No. 00P00350 Final Approval 5. This source is subject to the New Source Performance Standards requirements of Regulation No. 6, Part A, Subpart 000, Standards of Performance for Nonmetallic Mineral Processing Plants, when used at a site with initial crushing capacity of greater than 150 tons per hour (portable sources) or 25 tons per hour (fixed sources) including, but not limited to, the following: a. Visible emissions from crushers shall not exceed fifteen percent (15%) opacity. b. Visible emissions from screens and each transfer point shall not exceed ten percent (10%) opacity. In addition, the following requirements of Regulation No. 6, Part A, Subpart A, General Provisions, apply. a. At all times, including periods of start-up, shutdown, and malfunction, the facility and control equipment shall, to the extent practicable, be maintained and operated in a manner consistent with good air pollution control practices for minimizing emissions. Determination of whether or not acceptable operating and maintenance procedures are being used will be based on information available to the Division, which may include, but is not limited to, monitoring results, opacity observations, review of operating and maintenance procedures, and inspection of the source. (Reference: Regulation 6, Part A. General Provisions from 40CFR60.11) b. No article, machine, equipment or process shall be used to conceal an emission which would otherwise constitute a violation of an applicable standard. Such concealment includes, but is not limited to, the use of gaseous diluents to achieve compliance with an opacity standard or with a standard which is based on the concentration of a pollutant in the gases discharged to the atmosphere. (§ 60.12) c. Records of startups, shutdowns, and malfunctions shall be maintained, as required under § 60.7. d. Written notification of opacity observation or monitor demonstrations shall be submitted to the Division as required under § 60.7. e. Compliance with opacity standards shall be demonstrated according to § 60.11. 6. This permit is for the processing equipment listed above; it is not extended to individual pieces of equipment. Separation of the equipment for operation purposes (i.e., at different sites) constitutes a violation of this permit. Additionally, any substitution/replacement of, or addition to, the equipment as described above constitutes a violation of this permit. A revised Air Pollution Emission Notice (APEN) must be submitted and permit must be revised prior to any separation, substitutions, replacements, or additions. 7. This permit is for the process equipment described above; other process equipment and specific materials mining/handling activities must be permitted separately. 111 777/1578/001 • Page 3 Colorado Department of Public Health and Environment Construction Permit Air Pollution Control Division Western Slope Aggregates, Inc.. Cone crusher and screen. Permit No. 00P00350 Final Approval 8. This source shall be limited to a maximum production rate as listed below and all other activities, operational rates and numbers of equipment as stated in the application. Compliance with the production rate listed below shall be demonstrated by maintaining annual records of the actual production rate, or by maintaining annual records of the actual hours of operation, and then multiplying the annual hours of operation by the design rate (in tons per hour) of the equipment. Annual records of either the actual production rate or actual hours of operation shall be maintained by the applicant and made available to the Division for inspection upon request. (Reference: Regulation 3, Part B, III.A.4) Crushing and screening of rock shall not exceed 650,000 tons per year. 9. Each time this equipment is moved to a new location within the State of Colorado the owner or operator shall file a Relocation Notice. Such notice shall be received by the Division at least ten (10) days prior to the change in location. The Relocation Notice shall include a facility emission inventory of all emission units at the site. (Reference: Regulation 3, Part A,II.C.1.f and Part B. IV. E.) 10. Spray bars shall be used if material moisture content is insufficient to control particulate emissions. 11. A revised Air Pollutant Emission Notice (APEN) shall be filed: (Reference: Reg.3, Part A, 11. C) a. Annually whenever a significant increase in emissions occurs as follows: For any criteria pollutant: By: For sources emitting Tess than 100 tons per year, a change in actual emissions of five tons per year or more, above the level reported on the last APEN; or b. Whenever there is a change in the owner or operator of any facility, process, or activity; or c. Whenever new control equipment is installed, or whenever a different type of control equipment replaces an existing type of control equipment; or d. Whenever a permit limitation must be modified; or e. No later than 30 days before the existing APEN expires. Ram N. Seetharam Permit Engineer Initial Approval: August 17, 2000. This issuance is a Final Approval. 41111 777/1578/001 By: u i J ti,.uvh James S. Geier P.E. Unit Leader • Page 4 Colorado Department of Public Health and Environment Construction Permit Air Pollution Control Division Western Slope Aggregates, Inc.. Cone crusher and screen. Permit No. 00PO0350 Final Approval Notes to permit holder: 1. The production or raw material processing limits and emission limits contained in this permit are based on the production/processing rates requested in the permit application. These limits may be revised upon request of the permittee providing there is no exceedance of any specific emission control regulation or any ambient air quality standard. A revised air pollution emission notice (APEN) and application form must be submitted with a request for a permit revision. 2. This source is subject to the Common Provisions Regulation Part 11, Subpart E, Upset Conditions and Breakdowns. The permittee shall notify the Division of any upset condition which causes a violation of any emission limit or limits stated in this permit as soon as possible, but no later than two (2) hours after the start of the next working day, followed by written notice to the Division explaining the cause of the occurrence and that proper action has been or is being taken to correct the conditions causing said violation and to prevent such excess emission in the future. 3. The emission levels contained in this permit are based on the following uncontrolled emission factors (any change in operations may change these factors): Crushers: Particulate Matter: PM,, (particles Tess than 10 microns): (76.0% control applies for water spray bars.) Screens: Particulate Matter: PM,, (particles less than 10 microns): (94.4% control applies for water spray bars.) 4. This source is classified as a: Minor portable source 0.0050 pounds per ton of aggregate processed 0.0024 pounds per ton of aggregate processed 0.0315 pounds per ton of aggregate processed 0.0150 pounds per ton of aggregate processed JD777/1578/001 • Page 5 Colorado Department of Public Health and Environment Construction Permit Air Pollution Control Division Western Slope Aggregates, Inc.. Cone crusher and screen. Permit No. 00P00350 Final Approval GENERAL TERMS AND CONDITIONS: (IMPORTANT! READ ITEMS 5,6,7 AND 8) 1. This permit is issued in reliance upon the accuracy and completeness of information supplied by the applicant and is conditioned upon conduct of the activity, or construction, installation and operation of the source, in accordance with this information and with representations made by the applicant or applicant's agents. It is valid only for the equipment and operations or activity specifically identified on the permit. 2. Unless specifically stated otherwise, the general and specific conditions contained in this permit have been determined by the APCD to be necessary to assure compliance with the provisions of Section 25-7-114.5(7)(a), C.R.S. 3. Each and every condition of this permit is a material part hereof and is not severable. Any challenge to or appeal of, a condition hereof shall constitute a rejection of the entire permit and upon such occurrence, this permit shall be deemed denied ab initio. This permit may be revoked at any time prior to final approval by the Air Pollution Control Division (APCD) on grounds set forth in the Colorado Air Quality Control Act and regulations of the Air Quality Control Commission (AQCC), including failure to meet any express term or condition of the permit. If the Division denies a permit, conditions imposed upon a permit are contested by the applicant, or the Division revokes a permit, the applicant or owner or operator of a source may request a hearing before the AQCC for review of the Division's action. 4. This permit and any required attachments must be retained and made available for inspection upon request at the location set forth herein. With respect to a portable source which is moved to a new location, a copy of the Relocation Notice (required by law to be submitted to the APCD whenever a portable source is relocated) should be attached to this permit. The permit may be reissued to a new owner by the APCD as provided in AQCC Regulation No. 3, Part B, Section III. B. upon a request for transfer of ownership and the submittal of a revised APEN and the required fee. 5. Issuance (initial approval) of an emission permit does not provide "final" authority for this activity or operation of this source. Final approval of the permit must be secured from the APCD in writing in accordance with the provisions of 25-7-114.5(12)(a) C.R.S. and AQCC Regulation No. 3, Part B, Section IV. H. Final approval cannot be granted until the operation or activity commences and has been verified by the APCD as conforming in all respects with the conditions of the permit. If the APCD so determines, it will provide written documentation of such final approval, which does constitute "final" authority to operate. Compliance with the permit conditions must be demonstrated within 180 days after commencement of operation. 6. THIS PERMIT AUTOMATICALLY EXPIRES IF you (1) do not commence construction or operation within 18 months after either the date of issuance of this permit or the date on which such construction or activity was scheduled to commence as set forth in the permit, whichever is later; (2) discontinue construction for a period of 18 months or more; or (3) do not complete construction within a reasonable time of the estimated completion date. Extensions of the expiration date may be granted by the APCD upon a showing of good cause by the permittee prior to the expiration date. 7. YOU MUST notify the APCD at least thirty days (fifteen days for portable sources) prior to commencement of the permitted operation or activity. Failure to do so is a violation of Section 25-7-114.5(12)(a), C.R.S. and AQCC Regulation No. 3, Part B, Section IV.H.1., and can result in the revocation of the permit. You must demonstrate compliance with the permit conditions within 180 days after commencement of operation as stated in condition 5. 8. Section 25-7-114.7(2)(a), C.R.S. requires that all sources required to file an Air Pollution Emission Notice (APEN) must pay an annual fee to cover the costs of inspections and administration. If a source or activity is to be discontinued, the owner must notify the Division in writing requesting a cancellation of the permit. Upon notification, annual fee billing will terminate. 9. Violation of the terms of a permit or of the provisions of the Colorado Air Pollution Prevention and Control Act or the regulations of the AQCC may result in administrative, civil or criminal enforcement actions under Sections 25-7-115 (enforcement), -121 (injunctions), -122 (civil penalties), -122.1 (criminal penalties), C.R.S. 777/1578/001 STATE OF COLORADO . COLORADO DEPARTMENT OF PUBLIC HEALTH AND ENVIRONMENT AIR POLLUTION CONTROL DIVISION TELEPHONE: (303) 692-3150 • • CONSTRUCTION PERMIT PERMIT NO: 99P00131 FINAL APPROVAL DATE ISSUED: OCTOBER 3, 2000 ISSUED TO: WESTERN SLOPE AGGREGATES, INC. THE SOURCE TO WHICH THIS PERMIT APPLIES IS DESCRIBED AND LOCATED AS FOLLOWS: Portable equipment home-based at 0242 County Road 104, Carbondale, Colorado. THE SPECIFIC EQUIPMENT OR ACTIVITY SUBJECT TO THIS PERMIT INCLUDES THE FOLLOWING: One (1) Cedarapids, Model: 2248, S/N: 44616, jaw crusher, design rated at 350 tons per hour. THIS PERMIT IS GRANTED SUBJECT TO ALL RULES AND REGULATIONS OF THE COLORADO AIR QUALITY CONTROL COMMISSION AND THE COLORADO AIR POLLUTION PREVEN 1 ION AND CONTROL ACT C.R.S. (25-7-101 et seq), TO THOSE GENERAL TERMS AND CONDITIONS INCLUDED IN THIS DOCUMENT AND THE FOLLOWING SPECIFIC TERMS AND CONDITIONS: 1. All previous versions of this permit are canceled upon issuance of this permit. 2. Visible emissions shall not exceed twenty percent (20%) opacity during normal operation of the source. During periods of startup, process modification, or adjustment of control equipment visible emissions shall not exceed 30% opacity for more than six minutes in any sixty consecutive minutes. Opacity shall be measured by EPA Method 9. (Reference: Regulation 1, Section II.A.1.& 4.) 3. The permit number shall be marked on the subject equipment for ease of identification. (Reference: Reg. 3, Part B, IV.E.) (State only enforceable) 4. This source shall be limited to a maximum production rate as listed below and all other activities, operational rates and numbers of equipment as stated in the application. Annual records of the actual production rate shall be maintained by the applicant and made available to the Division for inspection upon request. (Reference: Regulation 3, Part B,III.A.4) Crushing of rock / aggregates / gravel shall not exceed 500,000 tons per year. 5. Each time this equipment is moved to a new location within the State of Colorado the owner or operator shall file a Relocation Notice. Such notice shall be received by the Division at least ten (10) days prior to the change in location. The Relocation Notice shall include a facility emission inventory of all emission units at the site. (Reference: Regulation 3, Part A,II.C.1.f and Part B.IV.E.) 777/1373/001 ver 11/99 • • • Page 2 Construction Permit WESTERN SLOPE AGGREGATES, INC. Permit No. 99PO0131 Final Approval Colorado Department of Public Health and Environment Air Pollution Control Division 6. Emissions of air pollutants shall not exceed the following limitations (as calculated in the Division's preliminary analysis): (Reference: Regulation 3, Part B, III.A.4) Particulate Matter 1.3 ton per year PM,0 (Particulate Matter<10 pm): 0.6 ton per year Particulate Matter -Fugitive. 1.5 tons per year PM,o (Particulate Matter<10 pm): 0.7 ton per year Compliance with fugitive particulate matter emission limits shall be demonstrated by not exceeding the specified process limits, and by application of the control measures. 7. A revised Air Pollutant Emission Notice (APEN) shall be filed: (Reference: Reg.3, Part A,II.C) a. Annually whenever a significant increase in emissions occurs as follows: For any criteria pollutant: For sources emitting Tess than 100 tons per year, a change in actual emissions of five tons per year or more, above the level reported on the last APEN; or For sources emitting 100 tons per year or more, a change in actual emissions of five percent or 50 tons per year or more, whichever is less, above the level reported on the last APEN submitted; or A change in actual emissions, above the level reported on the last APEN submitted, of 50 pounds of lead. For any non -criteria reportable pollutant: If the emissions increase by 50% or five (5) tons per year, whichever is less, above the level reported on the last APEN submitted to the Division. b. Whenever there is a change in the owner or operator of any facility, process, or activity; or c. Whenever new control equipment is installed, or whenever a different type of control equipment replaces an existing type of control equipment; or d. Whenever a permit limitation must be modified; or e. No later than 30 days before the existing APEN expires. 777/1373/001 ver 11/99 • Page 3 Construction Permit WESTERN SLOPE AGGREGATES, INC. Permit No. 99PO0131 Final Approval Colorado Department of Public Health and Environment Air Pollution Control Division 8. This source is subject to New Source Performance Standards requirements of Regulation 6, Part A, Subpart 000, Standards of Performance for Nonmetallic Mineral Processing Plants, when used at a site with initial crushing capacity greater than 150 tons per hour, as follows: a. Visible emissions from crushers shall not exceed 15% opacity. b. Visible emissions from conveyors, transfer points shall not exceed 10% opacity. In addition, the following requirements of Regulation No. 6, Part A, Subpart A, General Provisions, apply. a. At all times, including periods of start-up, shutdown, and malfunction, the facility and control equipment shall, to the extent practicable, be maintained and operated in a manner consistent with good air pollution control practices for minimizing emissions. Determination of whether or not acceptable operating and maintenance procedures are being used will be based on information available to the Division, which may include, but is not limited to, monitoring results, opacity observations, review of operating and maintenance procedures, and inspection of the source. (Reference: Regulation 6, Part A. General Provisions from 40CFR60.11) b. No article, machine, equipment or process shall be used to conceal an emission which would otherwise constitute a violation of an applicable standard. Such concealment includes, but is not limited to, the use of gaseous diluents to achieve compliance with an opacity standard or with a standard which is based on the concentration of a pollutant in the gases discharged to the atmosphere. (§ 60.12) c. Written notification of construction and initial startup dates shall be submitted to the Division as required under § 60.7. d. Records of startups, shutdowns, and malfunctions shall be maintained, as required under § 60.7. e. Compliance with opacity standards shall be demonstrated according to § 60.11. 9. This source is subject to New Source Performance Standards requirements of Regulation No. 6, Part B, Section III.C, Standards of Performance for New Manufacturing Processes as follows: a. Particulate emissions shall not exceed the limitations as calculated by the formulas in this section. Ram N. Seetharam Permit Reviewer Initial Approval: May 24, 1999 This issuance is a Final Approval 777/1373/001 +.'ames S. Geier P.E. Unit Leader ver 11/99 • Page 4 Construction Permit WESTERN SLOPE AGGREGATES, INC. Permit No. 99P00131 Final Approval Notes to Permit Holder: Colorado Department of Public Health and Environment Air Pollution Control Division 1). The production or raw material processing limits and emission limits contained in this permit are based on the production/processing rates requested in the permit application. These limits may be revised upon request of the permittee providing there is no exceedance of any specific emission control regulation or any ambient air quality standard. A revised air pollution emission notice (APEN) and application form must be submitted with a request for a permit revision. 2). This source is subject to the Common Provisions Regulation Part 11, Subpart E, Upset Conditions and Breakdowns. The permittee shall notify the Division of any upset condition which causes a violation of any emission limit or limits stated in this permit as soon as possible, but no later than two (2) hours after the start of the next working day, followed by written notice to the Division explaining the cause of the occurrence and that proper action has been or is being taken to correct the conditions causing said violation and to prevent such excess emission in the future. 3). The emission levels contained in this permit are based on the following emission factors: Crushing: Particulate Matter: PM,, (particulate matter less than 10 microns): Fugitive: Particulate Matter: PM,, (particulate matter less than 10 microns): 0.0050 pound per ton of rock crushed 0.0024 pound per ton of rock crushed 0.0060 pound per ton of material handled 0.0028 pound per ton of material handled 4). This source is classified as a: Minor portable source 777/1373/001 ver 11/99 t Page 5 Construction Permit WESTERN SLOPE AGGREGATES, INC. Permit No. 99P00131 Final Approval Colorado Department of Public Health and Environment Air Pollution Control Division GENERAL TERMS AND CONDITIONS: (IMPORTANT! READ ITEMS 5,6,7 AND 8) 1. This permit is issued in reliance upon the accuracy and completeness of information supplied by the applicant and is conditioned upon conduct of the activity, or construction, installation and operation of the source, in accordance with this information and with representations made by the applicant or applicant's agents. It is valid only for the equipment and operations or activity specifically identified on the permit. 2. Unless specifically stated otherwise, the general and specific conditions contained in this permit have been determined by the APCD to be necessary to assure compliance with the provisions of Section 25-7-114.5(7)(a), C.R.S. 3. Each and every condition of this permit is a material part hereof and is not severable. Any challenge to or appeal of, a condition hereof shall constitute a rejection of the entire permit and upon such occurrence, this permit shall be deemed denied ab initio. This permit may be revoked at any time prior to final approval by the Air Pollution Control Division (APCD) on grounds set forth in the Colorado Air Quality Control Act and regulations of the Air Quality Control Commission (AQCC), including failure to meet any express term or condition of the permit. If the Division denies a permit, conditions imposed upon a permit are contested by the applicant, or the Division revokes a permit, the applicant or owner or operator of a source may request a hearing before the AQCC for review of the Division's action. 4. This permit and any required attachments must be retained and made available for inspection upon request at the location set forth herein. With respect to a portable source which is moved to a new location, a copy of the Relocation Notice (required by law to be submitted to the APCD whenever a portable source is relocated) should be attached to this permit. The permit may be reissued to a new owner by the APCD as provided in AQCC Regulation No. 3, Part B, Section ►II.B. upon a request for transfer of ownership and the submittal of a revised APEN and the required fee. 5. Issuance (initial approval) of an emission permit does not provide "final" authority for this activity or operation of this source. Final approval of the permit must be secured from the APCD in writing in accordance with the provisions of 25-7-114.5(12)(a) C.R.S. and AQCC Regulation No. 3, Part B, Section IV.H. Final approval cannot be granted until the operation or activity commences and has been verified by the APCD as conforming in all respects with the conditions of the permit. If the APCD so determines, it will provide written documentation of such final approval, which does constitute "final" authority to operate. Compliance with the permit conditions must be demonstrated within 180 days after commencement of operation. 6. THIS PERMIT AUTOMATICALLY EXPIRES IF you (1) do not commence construction or operation within 18 months after either the date of issuance of this permit or the date on which such construction or activity was scheduled to commence as set forth in the permit, whichever is later; (2) discontinue construction for a period of 18 months or more; or (3) do not complete construction within a reasonable time of the estimated completion date. Extensions of the expiration date may be granted by the APCD upon a showing of good cause by the permittee prior to the expiration date. 7. YOU MUST notify the APCD at least thirty days (fifteen days for portable sources) prior to commencement of the permitted operation or activity. Failure to do so is a violation of Section 25-7-114.5(12)(a), C.R.S. and AQCC Regulation No. 3, Part B, Section IV.H.1., and can result in the revocation of the permit. You must demonstrate compliance with the permit conditions within 180 days after commencement of operation as stated in condition 5. 8. Section 25-7-114.7(2)(a), C.R.S. requires that all sources required to file an Air Pollution Emission Notice (APEN) must pay an annual fee to cover the costs of inspections and administration. If a source or activity is to be discontinued, the owner must notify the Division in writing requesting a cancellation of the permit. Upon notification, annual fee billing will terminate. 9. Violation of the terms of a permit or of the provisions of the Colorado Air Pollution Prevention and Control Act or the regulations of the AQCC may result in administrative, civil or criminal enforcement actions under Sections 25-7-115 (enforcement), -121 (injunctions), -122 (civil penalties), -122.1 (criminal penalties), C.R.S. 777/1373/001 ver 11/99 09/14/2003 13:45 9702412358 USAGE PAGE 01/03 Fax Header Sheet U.S. Army Corps of Engineers, Sacramento District Colorado/Gunnison Basin Regulatory Office 400 Rood Avenue, Room 142 Grand Junction, Colorado 81501-2563 Phone: 970-243-1199 Fax: 970-241-2358 Date: I 1-1 , 7.0 C II)) To: OR, Dav6e. S PC(aii 1(61 From: CI 14- 67 f f r /( Colorado/Gunnison(Basin Regulatory Office Releaser's Signature: M4--C-- Number of pages including cover: ra yylQ-1 be Comments: • ---0 1 e,1 --('? • fruft,e,t a _COY, ( 1/,'61 0101 .1 in This is a Department of Defense system subject to monitoring of communications. Use of this resource constitutes consent to said monitoring. 09/14/2006 16:45 9702412358 • • NEPLY TO ATTENTION OF Regulatory Branch (200675282) USACE DEPARTMENT OF TFIE ARMY U.S. ARMY ENGINEER DISTRICT, SACNAMFNTO CORPS OF ENGINEERS COLORADO/GUNNISON BASIN REGULATORY OFFICE 400 ROOD AVENUE, ROOM 142 GpASeptember COLOR14,ADO20 150 061-2563 612563 PAGE 82/03 Mr. Dan Fillipi 0 & G Environmental 11 Inverness Way South Englewood, Colorado 80112 Dear Mr. Fillipi: We are responding to your request and submittal information for an approved jurisdictional determination for the Hangs Ranch project site. This approximately 210 -acre site is located at the Colorado River within Section 9, Township 6 South, Range 92 West, Latitude 39° 32' 8.11", Longitude 107° 40' 17.8", Garfield County, Colorado. Rasedon available information, we concur with the estimate of waters of the United States, as depicted on the September 6, 2006, Hangs Ranch Project Site, 2006 Wetland Delineations map, Figure 4 drawings prepared by 0 & G Environmental Consultants. There are approximately 950 feet of waters of the United States (Colorado River) bordering the north portion of this property. There are also approximately 7.31 acres of wetlands, within the mapped area. We regulate these waters under Section 404 of the Clean Water Act since they are interstate waters of the United States and adjacent wetlands to the Colorado River. We also concur with the estimate of waters of the United States that are artificially irrigated areas. Areas identified as Section 9; Wet 03, Wet 02, Wet 04 and Wet 01 that total approximately 10.03 acres would revert to upland if irrigation ceased. We appreciate the additional monitoring well data supplied by Colorado River Engineering, dated June 5, 2006 (Table 2 of your Addendum) to verify that these areas are solely supported by irrigation. We also understand that the area, identified on Figure 4 of the September 6, 2006 Wetland Delineation Map exists as Potential wetland/Not Yet Delineated and may be evaluated at a later date. Additionally, property areas north of Interstate Highway 70 and within the highway right-of-way (approximately 98.3 acres) were not delineated and remain un -verified by this office. • • 09/14/2006 16:45 9702412358 USACE PAGE 03/03 This verification is valid for five years from the date of this letter, unless new information warrants revision of the determination before the expiration date. A Notification of Administrative Appeal Options and Process and Request for Appeal form is enclosed. If you wish to appeal this approved jurisdictional determination, please follow the procedures on the form. You should provide a copy of this letter and notice to all other affected parties, including any individual who has n identifiable and substantial legal interest in the property. This determination has been conducted to identify the limits of Corps of Engineers' Clean Water Act jurisdiction for the particular site identified in this request. This determination may not be valid for the wetland conservation provisions of the Food Security Act of 1985. If you or your tenant axe USDA program participants, or anticipate participation in USDA programs, you should request a certified wetland determination from the local office of the Natural Resources Conservation Service, prior to starting work. Please refer to identification number 200675282 in correspondence concerning this project. if you have any questions, please contact me at the letterhead address, email Mark.A.Gilfillanausace.army.mil, or telephone 970-243-1199, extension 15. You may also use our website: www.spk.usace. army.m,il/regulatory.html. Enclosure Sincerely, PlioJ 1/ Mark Gilfil an Acting Acting Chief, Colorado/Gunnison Basin Regulatory Office 4 Copy furnished without enclosure: Mx. Mark Bean, Garfield County, 108 8th Street, Suite 201, Glenwood Springs, Colorado 81601 9 c w - n m cD y vc m Z (DD o a (D N 7 co 0) CD a fuepuno8 pafoJd J8 WOZakd r tD 0 0. (D V NJ 5 3 < v n(0 ,( 3 cu co u, 3iD'RI Form No. GWS -25 • APPLICANT OFFICE OF THE STATE ENGINEER COLORADO DIVISION OF WATER RESOURCES 818 Centennial Bldg., 1313 Sherman St., Denver, Colorado 80203 (303) 866-3581 LIC WELL PERMIT NUMBER 65751 - F DIV. 5 WD 45 DES. BASIN MD JO GYPSUM RANCH CO LLC (.,, ® 0/0 BALCOMB & GREEN PC .. ZQQ? PO DRAWER 790 GLENWOOD SPRINGS, CO 81602-N tf NG (970) 945-6546 PERMIT TO EXPOSE WATER IN A PIT APPROVED WELL LOCATION GARFIELD COUNTY NW 1/4 SE 1/4 Section 9 Township 6 S Range 92 W Sixth P.M. DISTANCES FROM SECTION LINES 1950 Ft. from South Section Line 2100 Ft. from East Section Line UTM COORDINATES (Meters,Zone:13,NAD83) Easting: Northina: ISSUANCE OF THIS PERMIT DOES NOT CONFER A WATER RIGHT CONDITIONS OF APPROVAL 1) This well shall be used in such a way as to cause no material injury to existing water rights. The issuance of this permit does not ensure that no injury will occur to another vested water right or preclude another owner of a vested water right from seeking relief in a civil court action. 2) The construction of this well shall be in compliance with the Water Well Construction Rules 2 CCR 402-2, unless approval of a variance has been granted by the State Board of Examiners of Water Well Construction and Pump Installation Contractors in accordance with Rule 18. 3) Approved pursuant to CRS 37-90-137 (2) and (11) for the construction and operation of a well (gravel pit pond) in accordance with the plan for augmentation approved by the Division 5 Water Court in Case No. 06CW121, for the Grand River Park Project, Division of Reclamation, Mining •and Safety Permit Number M-2006-046. The well (pond) shall not be operated unless it is included in a substitute water supply plan approved by the State Engineer or a plan for augmentation approved by the Water Court. This pit is known as the Grand River Park Lake Well 1 B. During gravel mining operations the use of ground water is limited to industrial purposes and evaporation. Upon completion of gravel mining operations the use of ground water is limited to evaporation, recreation and piscatorial. No other use of water is allowed unless a permit therefor is approved. 5) The combined average annual amount of ground water to be appropriated by this well and Grand River Park Lake Wells 1A, 2, 3A and 3B shall not exceed 316 acre-feet, with the surface area of this proposed ground water pond limited to 16.2 acres. 6) The combined pumping (dewatering) rates of this well and Grand River Park Lake Wells 1A, 2, 3A and 38 shall not exceed 4488 GPM (10 cfs), with 448.8 gpm (1 cfs) to be used for sand and gravel washing (122.76 acre-feet per year), 224.4 gpm (0.5 cfs) to be used for dust control (11.54 acre-feet per year) and 224.4 gpm (0.5 cfs) to be used for truck and equipment washing (0.38 acre-feet per year). 7) Dewatering of the Grand River Park Lake Wells shall be measured by the owner by a meter or by extrapolation from pump specifications and electrical use upon prior approval of the Division Engineer. Permanent records of all diversions from the gravel pit pond, tonage of mined product, and the surface area of ground water exposure shall be maintained by the well owner (recorded at least annually) and submitted to the Division Engineer upon request. 8) Pursuant to Rule 10.1.6 of the Water Well Construction Rules, gravel pit wells are exempt from the minimum well construction standards except for contamination considerations as stated in the Rule. The owner of the gravel pit shall take necessary means and precautions to prevent contaminants from entering the gravel pit well. 9) Pursuant to Rule 17.1.4 of the Water Well Construction Rules, the owner shall submit, after initiation of construction, site plan and cross section drawings on 8-1/2" x 11" paper showing the extent of intended excavation, the maximum depth of the pit, and the initial static water level. 10) The boundaries of the gravel pit pond shall be more than 600 feet from any existing well, completed in the same aquifer, that is not owned by the applicant. 11) Pursuant to Policy 2000-4 of the State Board of Examiners of Water Well Construction and Pump Installation Contractors (Board), no pumping equipment shall be installed in the gravel pit well to withdraw water for any beneficial use, unless a separate written request for a variance has been approved by the Board. 12) The owner shall mark the well (gravel pit pond) in a conspicuous place with well permit number(s) and court case number(s) as appropriate. The owner shall take necessary means and precautions to preserve these markings..', L .-:/c,20,07 APPROVED CJL Receipt No. 3606408 State Engineer 44) B DATE ISSUED 05-18-2007 By DATE 05-111-7nnR l • • • DISTRICT COURT, WATER DIVISION 5, COLORADOI09 8T11 O v, rri O .0MBiNED cap i GLENWOA,D r:.rtit,Lr 10 - tri or:, a full, true STREET, SUITE 104 GLENWOOD SPRINGS, CO 81601 PHONE NUMBER: (970) 945-5075 CONCERNING THE APPLICATION FOR WATER RIGHTS OF: GYPSUM RANCH Co. LLC, A COLORADO LIMITED LIABILITY COMPANY AND SILT SAND & GRAVEL LLC, A COLORADO LIMITED LIABILITY COMPANY CASE No. 06CW121 IN GARFIELD COUNTY, COLORADO. WATER DIVISION 5 JUDGMENT AND DECREE This Matter came before the Court upon the Application for Water Right Change of Water Right and Plan for Augmentation filed by Gypsum Ranch Co., LLC and Silt Sand & Gravel LLC, in Garfield County, Colorado. The Court having reviewed the Application and the other pleadings in this case, and now being fully advised with respect to this matter, enters the following Judgment and Decree: I. FINDINGS OF FACT 1. The Applicants in this case are Gypsum Ranch Co. LLC, c/o Scott Balcomb, Esq., Balcomb & Green, P.C., P.O. Drawer 790, Glenwood Springs, CO 81602, and Silt Sand & Gravel LLC, c/o William M. Roberts, 0304 Highway 133, Carbondale, CO 81623. 2. Applicants filed the Application for Underground Conditional Water Right, Change of Water Rights, and Approval of Plan for Augmentation, on June 29, 2006. This application requested: confirmation of an underground well water right and conditional water rights for five lake wells; approval of changes of Applicants' interest in the Rising Sun Ditch to allow the Applicants to use this water for industrial, augmentation, recreational, and aquatic habitat and irrigation uses; and approval of their plan for augmentation to allow out -of -priority diversions made from the underground water rights claimed herein. 3. The Application was properly published. All notices required by law have been made, and the Court has jurisdiction over the Application and over all of the parties in this case. Applicants have paid all publication costs. 4. Timely Statements of Opposition to the Application were filed by Valley Farms, Inc. and SWD, LLC. Said objectors have consented to entry of this decree by way of • • Stipulations with the Applicants on file with and approved by the Court. No other Statements of Opposition were filed. The time for filing such statements has expired. 5. Subsequently, Applicants filed a motion to re-refer the matter to the Water Judge which motion was granted by Order of the Referee dated March 26, 2007. The undersigned judge was appointed pursuant to C.R.C.P. 122 to preside over all matters related to this Application by Order of the Chief Justice, Colorado Supreme Court, dated March 19, 2007. 6. The State and Division Engineers filed a Motion to Intervene on April 5, 2007. The Engineers and Applicants subsequently stipulated to the entry of a decree herein, and the motion to intervene was withdrawn. 7. A [one -day] trial on the matter was held May 3, 2007 before the undersigned Judge. All parties of record and the Division Engineer, Water Division 5, were served with notice of the proceedings before the Court. 8. The Court finds that the relief requested herein is consistent with the relief sought in the Application for which notice was provided. FIRST CLAIM: UNDERGROUND WATER RIGHT 9. Name of structure: Hangs Well No. 1 Well Permit Number 148025-A. a. Legal description: The well is located in the SE1/4, SW1/4 of Section 9, Township 6 South, Range 92 West of the 6th P.M. at a point 2734 feet from the east line and 122 feet from the south line of said Section 9. b. Source: Alluvial aquifer tributary to the Colorado River. c. Depth: 70 feet d. Date of initiation of appropriation: June 29, 2006 e. How appropriation was initiated: Filing of application. f. Amount claimed: 15 g.p.m. conditional, with annual diversions totalling 2.85 acre feet per year. g. Proposed Use: Domestic, commercial, fire protection, livestock and irrigation of up to one acre. h. Name(s) and address(es) of owner upon which new structure will be constructed: Applicant, Gypsum Ranch Co. i. Remarks: This well will provide water to the existing residence that is located on the property to be mined. During mining operations, the residence will be CASE No. 06CW121 - 2 - JUDGMENT AND DECREE • • • converted to a temporary office and the well will be used for domestic and commercial uses by employees of the gravel pit. Estimated diversions from the well will be 350 gallons per day (ten employees each using 35 gallons per day) 26 days per month, with maximum annual diversions of 0.335 AF. Once mining operations cease, the dwelling unit may be reconverted to a residence and the well will serve domestic uses including irrigation of up to 0.85 acre. At this time, estimated annual diversions from the well will not exceed 2.85 acre feet. A map showing the area to be irrigated will be provided to the Division Engineer prior to using the Hangs Well No. 1 for irrigation uses. SECOND CLAIM: CONDITIONAL UNDERGROUND WATER RIGHTS 10. Name of structure: Grand River Park Lake Well lA a. Legal description: The lake well is located in the SW1/4, SE1/4 of Section 9, Township 6 South, Range 92 West of the 6th P.M at a point 500 feet from the south line and 2475 feet from the east line of said Section 9. b. Source: Alluvial aquifer tributary to the Colorado River. c. Depth: 25 feet (20 feet below groundwater level) d. Date of appropriation: June 29, 2006 e. How appropriation was initiated: Filing of the application herein, formation of intent to appropriate groundwater through purchase of property, and entry into gravel lease, inspection of property and water for proposed uses, and calculation of water use. f. Amount claimed: 10 c.f.s, conditional, with maximum total annual depletions of 316 acre feet per year for Grand River Park Lake Wells 1A, 113, 2, 3A and 3B. Dewatering of one or more wells during mining operations shall not exceed 10 c.f.s. Of the 10 c.f.s., up to 1 c.f.s. may be used for sand and gravel washing, 0.5 c.f.s. for dust control, and 0.5 c.f.s. for truck and equipment washing. g. Proposed Use: Industrial, recreation, and piscatorial. h. Well permit: Pursuant to § 37-90-137(11), upon the issuance of a decree in this case, the Applicants will submit an application for a well permit to the Colorado Division of Water Resources. i. Name(s) and address(es) of owner upon which new structure will be constructed: Applicant, Gypsum Ranch Co. CASE No. 06CW 121 - 3 - JUDGMENT AND DECREE • • J. Remark: The total surface area of exposed groundwater for the Grand River Park Lake Well 1A is estimated to be 1 acre. Once mining is complete, the combined total surface area of the Lake Wells identified herein is estimated to be 90 acres. Exhibit A shows the total consumptive use during mining operations and Exhibit B shows the total consumptive use after the completion of all mining operations and when the maximum surface area of the ponds is exposed. 11. Name of structure: Grand River Park Lake Well 1B a. Legal description: The lake well is located in the NW1/4, SE1/4 of Section 9, Township 6 South, Range 92 West of the 6th P.M at a point 1950 feet from the south line and 2100 feet from the east line of said section 9. b. Source: Alluvial aquifer tributary to the Colorado River. c. Depth: 25 feet (20 feet below groundwater level) d. Date of appropriation: June 29, 2006 e. How appropriation was initiated: Filing of the application herein, formation of intent to appropriate groundwater through purchase of property, and entry into gravel lease, inspection of property and water for proposed uses, and calculation of water use. f. Amount claimed: 10 c.f.s, conditional, with maximum total annual depletions of 316 acre feet per year for Grand River Park Lake Wells 1A, 1B, 2, 3A and 3B. Dewatering of one or more wells during mining operations shall not exceed 10 c.f.s. Of the 10 c.f.s., up to 1 c.f.s. may be used for sand and gravel washing, 0.5 c.f.s. for dust control, and 0.5 c.f.s. for truck and equipment washing. g. Proposed use: Industrial, recreation, and piscatorial. h. Well permit: Pursuant to § 37-90-137(11), upon the issuance of a decree in this case, the Applicants will submit an application for a well permit to the Colorado Division of Water Resources. i. J. Name(s) and address(es) of owner upon which new structure will be constructed: Applicant, Gypsum Ranch Co. Remark: The total surface area of exposed groundwater for the Grand River Park Lake Well 1B is estimated to be 16.2 acres. Once mining is complete, the combined total surface area of the Lake Wells identified herein is estimated to be 90 acres. Exhibit A shows the total consumptive use during mining operations and Exhibit B shows the total consumptive use after the completion of all mining operations and when the maximum surface area of the ponds is exposed. CASE No. 06CW 121 - 4 - JUDGMENT AND DECREE • • 12. Name of structure: Grand River Park Lake Well 2 a. Legal description: The well is located in the SE1/4, SW1/4 of Section 9, Township 6 South, Range 92 West of the 6th P.M at a point 500 feet from the south line and 3050 feet from the east line of said section 9. b. Source: Alluvial aquifer tributary to the Colorado River. c. Depth: 25 feet (20 feet below groundwater level) d. Date of appropriation: June 29, 2006 e. How appropriation was initiated: Filing of the application herein, formation of intent to appropriate groundwater through purchase of property, and entry into gravel lease, inspection of property and water for proposed uses, and calculation of water use. f. Amount claimed: 10 c.f.s., conditional, with maximum total annual depletions of 316 acre feet per year for Grand River Park Lake Wells 1A, 1B, 2, 3A and 3B. Dewatering of one or more wells during mining operations shall not exceed 10 c.f.s. Of the 10 c.f.s., up to 1 c.f.s. may be used for sand and gravel washing, 0.5 c.f.s. for dust control, and 0.5 c.f.s. for truck and equipment washing. g. Proposed use: Industrial, recreation, and piscatorial. h. Well permit: Pursuant to § 37-90-137(11), upon the issuance of a decree in this case, the Applicants will submit an application for a well permit to the Colorado Division of Water Resources. J. Name(s) and address(es) of owner upon which new structure will be constructed: Applicant, Gypsum Ranch Co. Remark: The total surface area of exposed groundwater for the Grand River Park Lake Well 2 is estimated to be 13.76 acres. Once mining is complete, the combined total surface area of the lake wells identified herein is estimated to be 90 acres. Exhibit A shows the total consumptive use during mining operations and Exhibit B shows the total consumptive use after the completion of all mining operations and when the maximum surface area of the ponds is exposed. 13. Name of structure: Grand River Park Lake Well 3A a. Legal description: The well is located in the NEI/4, S W 1 /4 of Section 9, Township 6 South, Range 92 West of the 6th P.M at a point 1650 feet from the south line and 3475 feet from the east line of said section 9. • b. Source: Alluvial aquifer tributary to the Colorado River. CASE No. 06CW121 - 5 - JUDGMENT AND DECREE • • • c. Depth: 25 feet (20 feet below groundwater level) d. Date of Appropriation: June 29, 2006 e. How appropriation was initiated: Filing of the application herein, formation of intent to appropriate groundwater through purchase of property, and entry into gravel lease, inspection of property and water for proposed uses, and calculation of water use. f. Amount claimed: 10 c.f.s., conditional, with maximum total annual depletions of 316 acre feet per year for Grand River Park Lake Wells 1A, 1B, 2, 3A and 313. Dewatering of one or more wells during mining operations shall not exceed 10 c.f.s. Of the 10 c.f.s., up to 1 c.f.s. may be used for sand and gravel washing, 0.5 c.f.s. for dust control, and 0.5 c.f.s. for truck and equipment washing. g. Proposed use: Industrial, recreation, and piscatorial. h. Well Permit: Pursuant to § 37-90-137(11), upon the issuance of a decree in this case, the Applicants will submit an application for a well permit to the Colorado Division of Water Resources. i. Name(s) and address(es) of owner upon which new structure will be constructed: Applicant, Gypsum Ranch Co. j. Remark: The total surface area of exposed groundwater for the Grand River Park Lake Well 3A is estimated to be 33.57 acres. Once mining is complete, the combined total surface area of the lake wells identified herein is estimated to be 90 acres. Exhibit A shows the total consumptive use during mining operations and Exhibit B shows the total consumptive use after the completion of all mining operations and when the maximum surface area of the ponds is exposed. 14. Name of structure: Grand River Park Lake Well 3B a. Legal description: The lake well is located in the SW1/4, SW1/4 of Section 9, Township 6 South, Range 92 West of the 6th P.M at a point 900 feet from the south line and 4175 feet from the east line of said section 9. b. Source: Alluvial aquifer tributary to the Colorado River. c. Depth: 25 feet (20 feet below groundwater level) d. Date of appropriation: June 29, 2006 e. How appropriation was initiated: Filing of the application herein, formation of intent to appropriate groundwater through purchase of property, and entry into CASE No. 06CW 121 - 6 - JUDGMENT AND DECREE • • gravel lease, inspection of property and water for proposed uses, and calculation of water use. f. Amount claimed: 10 c.f.s., conditional, with maximum total annual depletions of 316 acre feet per year for Grand River Park Lake Wells 1A, 1B, 2, 3A and 3B. Dewatering of one or more wells during mining operations shall not exceed 10 c.f.s. Of the 10 c.f.s., up to 1 c.f.s. may be used for sand and gravel washing, 0.5 c.f.s. for dust control, and 0.5 c.f.s. for truck and equipment washing. g. Proposed use: Industrial, recreation, and piscatorial. h. Well permit: Pursuant to § 37-90-137(11), upon the issuance of a decree in this case, the Applicants will submit an application for a well permit to the Colorado Division of Water Resources. i. Name(s) and address(es) of owner upon which new structure will be constructed: Applicant, Gypsum Ranch Co. Remark: The total surface area of exposed groundwater for the Grand River Park Lake Well 3B is estimated to be 20.27 acres. Once mining is complete, the combined total surface area of the lake wells identified herein is estimated to be 90 acres. Exhibit A shows the total consumptive use during mining operations and Exhibit B shows the total consumptive use after the completion of all mining operations and when the maximum surface area of the ponds is exposed. J. THIRD CLAIM: CHANGE OF WATER RIGHTS 15. Names of structures: Applicants own an interest in the Rising Sun Ditch, Rising Sun Ditch 1St Enlargement, and Rising Sun Ditch 2"d Enlargement as described in the following table: WATER RIGHT PRIORITY NO. ADJUDICATION DATE APPROPRIATION DATE USE CASE NO. AMOUNT APPLICANTS' OWNERSHIP Rising Sun Ditch 16 5/5/1888 12/5/1883 Irrigation C.A. 89 3.33 c.f.s. 1.03 c.f.s Rising Sun Ditch, 1st Enlargement 64 5/5/1888 12/1/1886 Irrigation C.A. 89 8.5 c.f.s 2.64 c.f.s. Rising Sun Ditch, 2nd Enlargement 226 7/9/1965 04/15/1953 Irrigation and other beneficial uses C.A. 4954 9.0 c.f.s 1.27. c.f.s. Total 20.83 c.f.s 4.94 c.f.s. CASE No. 06CW 121 -7- JUDGMENT AND DECREE 1 • • a. Decreed location: The decreed location for the headgate of the Rising Sun Ditch is situated on the southerly bank of the Colorado River at a point whence the Southwest Corner of Section 11, Township 6 South, Range 92 West of the 6th P.M. bears South 16 degrees 31' West 1589.1 feet. b. Source: Colorado River c. Historical use: Applicants' interest in the Rising Sun Ditch and Rising Sun Ditch First Enlargement was historically used to irrigate land formerly known as the Hangs Ranch. A portion of this land, roughly 28.7 acres, now lies under Interstate 70. The Exhibit C and D show the location of the Rising Sun Ditch and areas of land historically irrigated by these water rights. This land includes 146 acres south of Interstate 70 and 28.7 acres lying under the Interstate, of which 26.5 acres were irrigated. This area under Interstate 70 as depicted on Exhibit C shall not be subject to any future credits or historical use claim. Thus, a total of 1725 acres of lands have been historically irrigated by these water rights. The average amount of water diverted under these priorities is 6,080 acre-feet per year or 1,089 acre-feet being used annually on the property shown in Exhibit D. Applicants have conducted an historical use analysis of the water rights applied to this property using the modified Blaney-Criddle method for pasture grasses developed by the Soil Conservation Service in Technical Release No. 21, and determined that the net consumptive use of the Rising Sun Ditch and Rising Sun Ditch ls` Enlargement on the property totals 1.75 acre-feet per acre. This amount was reduced by seven percent to account for groundwater subirrigation resulting in a net consumptive use of 1.6275 acre feet per acre. The water budget balances available diversions, demands application efficiency and moisture carry over. The results, which include delayed subsurface retum flows, show annual depletions averaging 261 acre feet or 1.58 acre feet per acre. The monthly amounts are shown in the attached Exhibit F. Thus, the available historical consumptive use credits attributed to this use are distributed between the 146 acres south of the interstate (1.58 x 146 = 231 acre feet) and the 26.5 acres under the interstate which is further reduced by 28.4 percent to account for roughly 34 years of non-use (1.58 x 265 x 0.716 =30.0 acre feet). 16. Proposed change: Applicants propose to change the type of use of the water rights in the Rising Sun Ditch and Rising Sun Ditch 1st Enlargement and as described above to include augmentation, industrial, recreational, irrigation, and piscatorial uses. Excess consumptive use credits attributable to Rising Sun Ditch and Rising Sun Ditch 1St Enlargement and not used in the plan for augmentation below, will be used to irrigate the Property upon the completion of mining operations pursuant to paragraph 20(a). CASE No. 06CW 121 - g - JUDGMENT AND DECREE 1 • Applicants will continue to irrigate that portion of Applicants' property lying North of Interstate 70 as shown m Exhibits C and D with Applicants' interest in the Rising Sun Ditch 2nd Enlargement Priority No. 226, which is not changed herein. FOURTH CLAIM: APPROVAL OF PLAN FOR AUGMENTATION 17. Name of structures to be augmented: The Hangs Well No. 1 and the Grand River Park Lake Wells as described in paragraph 6 through 11 above. 18. Previous decrees for water rights to be used for augmentation: Applicants propose to use their interest in the water rights described in the Rising Sun Ditch and Rising Sun Ditch First Enlargement as described in paragraph 12 above. Applicants have also obtained a water service contract through the West Divide Water Conservancy District (WDWCD), to replace out -of -priority depletions of up to 17.1 acre-feet with up to an additional 10% to cover conveyance losses annually under the Grand River Park Wells and Hangs Well No. 1, Contract # 060720HRGP(a). Contract water may come from Ruedi Reservoir, Green Mountain Reservoir (as described below) or other facilities available to West Divide Water Conservancy District that may serve as the water supply source to the District. The Applicants shall submit any changes or amendments to said contract, other than periodic changes in the consideration paid under the contract, to the Division Engineer for review and approval prior to operating under a changed or amended contract. a. Ruedi Reservoir i. Legal description: Ruedi Reservoir is an on -channel reservoir located in Sections 7, 8, 9, 11, and 14 through 18, Township 8 South, Range 84 West of the 6th P.M. The Reservoir is located in portions of Eagle and Pitkin Counties. ii. Source: Fryingpan River, tributary of Colorado River. iii. Date of appropriation: July 29, 1957. iv. Date of adjudication: June 20, 1958, v. Case No.: C.A. 4613, Garfield County District Court vi. Amount: 102,369 acre feet. vii. Uses: Generation of electric energy, domestic, municipal, industrial, irrigation, and stock watering. b. Green Mountain Reservoir i. Legal description: Green Mountain Reservoir is an located in all or parts of Sections 11, 12, 13, 14, 15 CASE No. 06CW 121 - 9 - on -channel reservoir and 24, Township 2 JUDGMENT AND DECREE • • t South, Range 80 West and Sections 17, 18, 19, 20, 21, 28, 29, 33 and 34, Township 2 South, Range 80 West of the 6th P.M. The Reservoir is located in Summit County. Station 0+00 on the dam axis bears South 36°31'45" West a distance of 11,165 feet from the SW Comer of Section 1, Township 2 South, Range 80 West, 6th P.M., thence the axis bears North 21°00'00" East. ii. Source: Blue River and all tributaries of the Blue River upstream from the dam and Elliot Creek by means of its diversion canal, all of which are within the Colorado River Basin. iii. Date of appropriation: August 1, 1935. iv. Date of adjudication: October 12, 1955 v. Case No.: 2782, 5016 and 5017, United States District Court, District of Colorado vi. Amount: 154,645 acre feet. vii. Uses: Green Mountain Reservoir provides storage to supply water for use as replacement water for senior downstream diversion rights, hydroelectric power generation, irrigation, municipal/domestic, and industrial uses. 19. Water requirements: The attached Exhibit E describes the general location and layout for the gravel pit operations and general location of the Grand River Park Lake Wells. Mining of the aggregate will expose groundwater resulting in evaporative depletions. At maximum build -out the surface area of the ponds will not exceed 90 acres. The groundwater will also be used for aggregate washing and other needs related to the operations of the gravel pit. This Plan for Augmentation accounts for depletions during mining operations and for evaporative loses from the Grand River Park Lake Wells after the completion of mining operations. a. Hangs Well No. 1. During mining operations this well will provide water to a temporary office for use by employees of the mining operation. Estimated diversions from the well will be 350 gallons per day (10 employees x 35 gallons per day) with annual diversions of 0.335 acre feet per year. Depletions of 0.05 acre feet will occur assuming 15% of diversions are consumed through ISDS waste treatment. Once mining operations cease, commercial uses will cease and the temporary office may be reconverted to a residence and the well will serve domestic uses including irrigation of up to 0.85 acre. At this time, estimated annual diversions from the well will be 2.85 acre feet. Of these diversions, 2.46 acre feet shall be for the irrigation of the 0.85 acre, and 0.39 acre feet shall be for domestic use. CASE No. 06CW121 - 10 - JUDGMENT AND DECREE • • t Irrigation depletions are assumed to be 80 percent of diversions, or 1.95 acre feet, and domestic depletions are assumed to be 15 percent of diversions, or 0.059 acre feet based on diversions of 350 gallons per day for one residence. b. Gravel Operations. Mining of the area will be conducted chronologically, in phases, beginning with Well 1A and ending with Well 3B as generally depicted in Exhibit E. Water may be required for sand and gravel washing, dust control, truck washing, pond evaporation and domestic uses as described in Exhibit A. During mining operations, total depletions will be less than the total depletions projected for full build -out. i. Sand and Gravel Washing will require 200 gallons per ton for an estimated 200,000 tons per year of production or 122.76 acre feet per year and are assumed to be 4.4 percent by weight consumptive (12 gallons per ton depletion) for maximum depletions of 7.37 acre feet per year. ii. It is estimated that 20,000 gallons of water per day will be required for dust control during the period from March through November 15 of each year for mining operations or 1.35 acre feet per month. The water use is 100 percent consumptive for total dust control depletions of 11.54 acre feet per year at maximum build out. iii. Water will also be used for truck and equipment washing from March through November 15 of each year for an average of 650 gallons per day or 0.04 acre feet per month. The water use is 100 percent consumptive, for a total depletion of 0.38 acre feet per year at maximum build out. c. Pond Evaporation. At full build -out, when all of the ponds are mined, the consumptive use attributable to pond evaporation will total 284.4 acre feet per year as described in Exhibit B. Evaporation was calculated using procedures developed by the Colorado Division of Water Resources. The net evaporation was calculated by reducing the gross evaporation by the effective precipitation and totals 3.16 acre feet per acre per year with total yearly depletions at full build out of 284.4 acre feet (3.16 x 90 acres). d. Groundwater Depletions — Delayed Impact. A Glover analysis was used to measure the delayed impacts to the Colorado River from groundwater depletions from the wells. The analysis was based on the first well being constructed 200 - feet from the Colorado River having a hydraulic conductivity of 1,000 feet per day, a saturated depth of 10 feet, and yield of 0.22. The percentage of depletions are spread out over three months due to the groundwater delay times with monthly depletions of 85 percent, 12.6 percent, and 2.4 percent. These estimated delayed impacts are reflected in Exhibits A and B attached hereto. For the purpose of calculating delayed impacts for the lake wells, subject to the prior approval of the Division Engineer, Applicant shall either use the point on the edge CASE No. 06CW 121 -11- JUDGMENT AND DECREE 1 • • of the maximum surface area of each lake well that is closest to the stream upon completion of the lake well to calculate the delayed impacts for each individual lake well, or use one average distance -to -the -stream centroid for the combined delayed impacts of all of the lake wells constructed. The approved edge point for any individual lake well or the single average distance -to -the -stream centroid for all lake wells may be relocated upon prior approval of the Division Engineer. The Division Engineer may also approve an alternate point or centroid for calculating the combined delayed impacts of all of the lake wells constructed. 20. Statement of Plan for Augmentation: a. Nature and Purpose of Plan: The purpose of the augmentation plan described herein is to protect the water supply for the Grand River Park Wells during the pendency of gravel mining operations and during the post -reclamation phase. The Hangs Well No. 1 and Lake Wells have junior water rights that may be subject to a call by downstream senior water rights. Therefore, out -of -priority depletions caused by evaporation from the lake wells and from the industrial uses associated with the gravel mining operation must be augmented. It is estimated that out -of -priority depletions from the Hangs Well No. 1 and Grand River Park Wells will occur during the irrigation season from April 1 though October 31 of each year. Generally, calls on the Colorado River are expected to be placed primarily or exclusively by the so-called "Cameo Call" collection of senior rights that divert in DeBeque Canyon upstream from Grand Junction. Out -of -priority depletions will be augmented using historical consumptive use credits available from the dry -up of lands historically irrigated by the Rising Sun Ditch and Rising Sun Ditch 1st Enlargement and augmentation storage water purchased from the West Divide Water Conservancy District. Based upon historical records maintained by the Colorado Division of Water Resources, augmentation water may be required in the months of April, September, October and November to replace out -of -priority depletions that could not otherwise be met by the Applicants' interest in the Rising Sun Ditch and Rising Sun Ditch 1st Enlargement. Exhibit F describes the reservoir augmentation requirements at full build -out and during mining operations when the last pond is being mined and accounts for the delayed impacts of these depletions, subject to paragraph 19(d) above. Based on maximum lake well surface area of 90 acres, full build -out will result in 48.4 acre feet of excess credits spaced, as follows, through the irrigation season: May 4.5 AF; June 10.15 AF; July 19.26 AF; and August 14.53 AF. These excess consumptive use credits attributable to the Rising Sun Ditch and Rising Sun Ditch 1st Enlargement will be applied to irrigate up to 44 acres of land surrounding the lake wells as generally depicted in Exhibit E. Applicants will provide a map to CASE No. 06CW121 - 12 - JUDGMENT AND DECREE • • • the Division Engineer of the area to be irrigated by the remaining consumptive use credits prior to this irrigation use. b. Dry -up: Construction of Interstate 70 and of the gravel mine will result in the removal of the property described in Exhibit D from irrigation. A modified Blaney-Criddle calculation determined the annual net consumptive use of the pasture grasses historically grown on the property is 1.75 feet per acre. This amount was further reduced by 7 percent to account for groundwater irrigation for a net consumptive use of 1.6275 feet per acre. The water budget considers available diversions, demands, efficiency and moisture carry over and results m annual average depletions of 1.58 acre feet per acre for a total of 261 acre feet of consumptive use credits available as a result of the dry -up of the historically irrigated land. As shown in Exhibits A and B, out -of -priority depletions described above will be augmented using historical consumptive use from the dry -up of the 172.5 acres historically irrigated by the Rising Sun Ditch and Rising Sun Ditch lst Enlargement. During the months of April through August there will be sufficient water to augment all depletions and will result in a credit of approximately 48.4 acre feet. These credits will entitle the Applicants to continue to irrigate up to 44 acres in the amounts described in paragraph 20(a) above. Out of priority depletions that occur in April and November will be replaced using the West Divide Water Conservancy District Contract described above. II. CONCLUSIONS OF LAW 1. The foregoing Findings of Fact are fully incorporated herein, to the extent they contain conclusions of law. 2. All notices required by law have been properly made, including as required under C.R.S. § 37-92-302(3). The Court has jurisdiction over the Application and over all persons or entities who had standing to appear, even thought they did not do so. 3. The Application is complete, covering all applicable matters required pursuant to the Water Right Determination and Administration Act of 1969, C.R.S. §§ 39-92-101 through 602. 4. The Court has given due consideration to the Division Engineer's Summary of Consultation dated March 6, 2007. See C.R.S. § 37-92-302(4). Copies of the Summary of Consultation were properly served on all parties to the case. 5. Applicants have fulfilled all legal requirements for a decree for the requested conditional ground water rights including C.R.S. §§ 37-92-302 and 305. CASE No.06CW121 - 13 - JUDGMENT AND DECREE • 6. Applicants have fulfilled all legal requirements for a decree for the requested change of water rights and plan for augmentation including C.R.S. § 37-92-302 and 305. 7. The Court hereby concludes that the Applicants have established that water can and will be diverted under the subject conditional water rights and will be beneficially used, and that this water supply project can and will be completed with diligence and within a reasonable time. 8. The conditional water rights decreed herein are individual components of Applicants' integrated mining operation and resulting water system. Consequently, in subsequent diligence proceedings work on any one lake well shall be considered in finding that reasonable diligence has been shown in the development of water rights for all features of Applicants' mining operation and resulting water system. See C.R.S. § 37-92-301(4)(b). 9. The change of water rights described herein will not injuriously affect the owner of or persons entitled to use water under a vested water right or a decreed conditional water right. See C.R.S. § 37-92-305(3). 10. Pursuant to C.R.S. § 37-92-305(8), the plan for augmentation is sufficient to permit the continuation of diversions when curtailment would otherwise be required to meet a valid senior call for water to the extent that the Applicants provide adequate replacement water necessary to meet the lawful requirements of a senior diverter at the time and location and to the extent that the senior would be deprived of his or her lawful entitlement by the Applicants' diversion. 11. If operated and administered in accordance with the terms and conditions of this decree, the plan for augmentation described herein will prevent injury to senior vested or decreed conditional water rights. 12. The subject application is in accordance with Colorado law. Applicants have fulfilled all legal requirements for entry of a decree in this case. III. JUDGMENT AND DECREE 1. The foregoing Findings of Fact and Conclusions of Law are incorporated herein. 2. The Court hereby approves and decrees a conditional water right for the Hangs Well No. 1 as described herein. 3. The Court hereby approves and decrees conditional water rights for the Grand River Park Lake Wells as described herein. 4. The Court hereby approves and decrees the plan for augmentation as described herein. In addition to the sources described above, Applicants may include additional or alternative sources of replacement water provided the use of said additional or alternative sources is part of a substitute water supply plan approved pursuant to C.R.S. § 37-92-308 or if CASE No.06CW121 - 14 - JUDGMENT AND DECREE t • such sources are decreed for such use. For sources decreed for such use, Applicants shall obtain the prior approval of the Division Engineer before using such sources under this plan for augmentation. 5. The Court hereby recognizes and affirms that Applicants may continue to irrigate that portion of Applicants' property lying north of Interstate 70 with Applicants' interest in the Rising Sun Ditch 2"d Enlargement Priority No. 226, which is not changed herein. Applicants shall use no more than 0.75 c.f.s of the Rising Sun Ditch 2nd Enlargement to irrigate these lands lying north of Interstate 70. Applicants' interest in the Rising Sun Ditch 2"d Enlargement totals 0.88 c.f.s. which includes an assumed transit loss of 15 %. Applicants remaining interest in the Rising Sun Ditch 2nd Enlargement, totalling 0.39 c.f.s., shall be and is hereby abandoned and relinquished to the stream. 6. During gravel operations, to the extent there is any standing water due to groundwater infiltration in a lake well that is being actively mined, Applicants shall account on a daily basis for evaporative out -of -priority depletions for that lake well using the estimated maximum surface area projected for each lake well. Once gravel operations in a particular lake well end and the lake well is allowed to fill, Applicants will conduct a survey of the surface lake well to establish the final maximum surface area. The actual surveyed maximum surface acreage shall be used for purposes of calculating out -of -priority evaporative depletions. 7. Prior to using Hangs Well No. 1 for commercial uses, Applicants shall obtain, a new well permit to allow for commercial uses, which shall be issued by the State Engineer's Office pursuant to C.R.S. §§ 37-92-137(2) and 37-92-305(6)(a). 8. Well permits shall be issued by the State Engineer for the Grand River Park Lake Wells described in Section I above pursuant to C.R.S. § 37-92-305(6)(a) and C.R.S. § 37-90- 137(11) prior to exposing groundwater. 9. Actual transit losses will be determined and assessed at the time releases are made. Pursuant to C.R.S. § 37-83-102(4), actual transit losses will be determined by the State Engineer. 10. Dewatering of the Lake Wells shall be measured by the Applicants by a meter or by extrapolation from pump specifications and electrical use upon prior approval of the Division Engineer. During mining operations and once mining operations cease for a particular phase, dewatering of the Lake Well shall continue until free river conditions exist or if the Applicants demonstrate to the Division Engineer that excess water is available through Applicants' West Divide Water Conservancy District Contract or excess consumptive use credits are available from the plan for augmentation described above including additional or alternative sources of replacement water to be included in the plan after this decree is entered. Applicants shall notify the Division Engineer prior to allowing the ponds to fill. • 11. Applicants shall install and maintain at their expense necessary meters, gauges, or other measuring devices as required by the Division Engineer and shall report at reasonable CASE No. 06CW121 - 15 - JUDGMENT AND DECREE • • • times as required by the Division Engineer the readings of such meters, gauges or other measuring devices. 12. Applicants will prepare and periodically provide to the Division Engineer monthly accounting forms that document diversions and sources of augmentation, all releases from storage, the return flow replacement requirement and the replacement by location in such form as may be required by the Division Engineer. 13. In consideration of the specific findings and conclusions made herein, and in conformance with C.R.S. § 37-92-304(6), the change of water rights and plan for augmentation decreed herein shall be subject to reconsideration by the Water Judge on the question of injury to the vested water rights of others for a period of five years after either the last of the Lake Wells is constructed and surveyed or the Applicants inform the Division Engineer that the Applicants will not construct all five lake wells and all constructed ponds have been surveyed. If no petition for reconsideration is filed within said five years, retention of jurisdiction for this purpose shall automatically expire. Any party who wants the Court to reconsider the question of injury must file a verified petition with the Court, setting forth the facts that cause or may cause such injury and explaining the claimed injury. The party filing the petition shall have the burden of going forward to establish the prima facie facts alleged in the petition. If the Court fords those facts to be established, the Applicants shall thereupon bear the burden of proof to show (a) that any modification sought by the Applicants will avoid injury to other water rights, or (b) that any modification sought by the petitioner is not required to avoid injury to other water rights, or (c) that any term or condition proposed by Applicants in response to the petition does avoid injury to other water rights. 14. Pursuant to C.R.S. § 37-92-305(8), the State Engineer shall curtail all out -of - priority diversions, the depletions from which are not so replaced as to prevent injury to vested water rights. 15. Review of determinations made by the State Engineer in administration of the subject water rights is a "water matter" over which the Water Court has exclusive jurisdiction. 16. Pursuant to Rule 9 of the Uniform Local Rules for All State Water Court Divisions, upon the sale or other transfer of the conditional rights, the transferee shall file with Division 5 Water Court a notice of transfer which shall state: A. The title and case number of this Case No. 06CW121; B. The description of the conditional water right transferred; C. The name of the transferor; D. Name and mailing address of the transferee; and E. A copy of the recorded deed. CASE No. 06CW121 - 16 - JUDGMENT AND DECREE • The owner of said conditional water rights shall also notify the Clerk of Division 5 Water Court of any change in mailing address. The Clerk shall place any notice of transfer or change of address in the case file of this Case No. 06CW121 and in the case file (if any) in which the Court first made its finding of reasonable diligence. It is accordingly ordered that this Judgment and Decree shall be filed with the Water Clerk and shall become effective upon such filing. It is further ordered that a copy of this Judgment and Decree shall be filed with the State Engineer and the Division Engineer for Water Division 5. The conditional water rights decreed herein shall be in full force and effect until �a 2013. If the Applicants wish to maintain the conditional water rights thereafter, they shall file an application for finding of reasonable diligence on or before that date, or make a showing on or before then that the conditional water rights have become absolute water rights by reason of the completion of the appropriation. Done this day of ✓j ' 2007. BY THE COURT: DATE �._5`.�� 4, 7 CASE No.06CW121 Thomas W. Ossola, District Jubge Water Division No. 5, State of Colorado - 17 - JUDGMENT AND DECREE • • • N N N N N N N N N N Nr11 .. E W co c O E 7 S&G Concrete Pond Production Production Evaporation Process;ng Tons Cu Yds ft Days/Month 5..000 0 0.06 0 5.000 0 0.09 0 22,500 0 0.16 22 22,500 0 0.29 22 22.500 0 0.40 22 22.500 0 0.51 22 22,500 0 0.52 22 22,500 0 0.45 22 22,500 0 0.32 22 22,500 0 0.20 22 5,000 0 0.10 12 5.000 0 0.06 0 co 0, of O O N V to ' a IA 8 ;, Ea e c� 1- J QQ�1 ,P^ b W ti q 41 hp O1 N f ti ti ,' 'b —• vz - N H 2 of N �r p < b r N N Sand & Nangs No.1 Harps No.1 Gravel Dust Concrete Truck Pond Well Well Washing Control Production Washing Evaporation Domestic Irrigation Total (1) (2) (3) (4) (5) (6) (7) (8) tp pppp O 6141 S S ry I'' N m .M -V S� V' ((i c4 N N rO 41 41 (��7 N om^ -7. N P] c'h CO 43 101003 WM 03010141C0 -G C' 1Ca22-a ? C2 C O Q O 0 4 O 0 0 0 0 0 0 o p g M y p t-mMti a]8i U181 Of v mm r i (O O o0 N (+f Qi O N (G (�l t7 (h N N •--IV D 0 0 0 0 0 0 0 0 0 0 0 4 S S O O O S S O O S O 000000OOO Ci 000 D O 41 43 2 A 43 2 (h M ti 0'r? as a q- �.-e-v- �d p^ a d 0 d 0 d 0 r 0 0 0 orr 1 0 0 cy O N 0 O E Z Z 11 .2 n 7 g m 3 E E a T a r S (m,e Q -, 070ZL,SP I i - z O u n N E • 0 N 1 O m 2 a A E C • ti O (0 V O. � N o5 m 9 a 0 (I a'0(0I-corn 419/2007 7:47 AM Colorado River Engineering, Inc. • • 0 ti W 0 O W Z UI a.0 � U U) W Z CO O < U a < J • Q 1— • Q- .,- _i W W J c 0 Input Data Pond CU irrg Evaporation (feet) (feet) 0.00 0.06 0.00 0.09 0.00 0.16 020 0.29 0.33 0.40 0.46 0.51 0.49 0.52 0.39 0.45 0.28 0.32 0.15 0.20 0.00 0.10 0.00 0.06 6 ri 0 M N 10 tO Q A R M ha I h Ci O Ca V 7.; 13. 24. 34. 44. 46. 41. 30. 20. 10. 6.' 286 Sand & Hangs No.1 Hangs No.1 Gravel Concrete Truck Pond Well Weil Washing Dust Control Production Washing Evaporation Domestic irrigation Total (1) (2) (3) (4) (5) (6) (7) (8) O h O O N QQ et M .4 p d Np M N aO O O a e ��Npp C (o a0 ei N M 6 ti O 6 00 O) (o O ? ..t V' N r N 0 0 0 O .- .•- N Cy co a0 O O (0 0 O O fr OO Cr) '- M M N O O tel 000. -NM V' MN, - 000 0 0 0 0 0 0 0 0 0 0 0 0- 6 )A .0 (n (0 CA u0 (o (0 (0 u0 (0 6) 0 0 0 0 0 0 0 0 0 0 0 0 ((7 0 0 0 0 0 0 0 0 0 0 0 0 0 O O O O O O O O O O O O 0 0 0 0 0 0 0 0 0 0 0 o 0 Tr V sr 0603 ul00 CD 85 6 N 06 ' sr N m -- — VO ui ao R co COui ') .1 VON N C O 0 Z. N C5 cl CD O O O O O O CD CD O O CO cs 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 00 0 0 0 0 0 0 a 0 0 C7 0 0 0 0 0 06 0 0 O 0 O O 8OOo0 0 0 0 000000 0 0 0 0 0 000 O 0 0 0 0 Cp 0000 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 6 0 0 0 0 0 0 0 0 0 0 0 0 Month XiMild U O(7,c d >- 1) , T - > U as at -LL Q2 -7Q<0zot- zO Glover Delayed Depletion analysis - retum factors X N C C3) O) 0) 0) m V1 c C C c cg c c c c a) E E E E U c +n in n n 't v a. d QID- en 4-3v u u n 0 Oa 00 Cr) N M V (A CO (- 00 1.0 X ASHOIMISMontlit 4/9/2007 7:46 AM Colorado River Engineering, Inc. • • • .1 :\ • LMN.1 OMR a s .f; v. 1,:, '.. a '3 O— ,,:,; I I•11, w 4, 4-. :11 1. '''. .. 447: , ',to * ; 4 '1■ r _• • 1S_;4rt ' it"7l til • Irrigated Area Dry up includes 28.7 acres under ul interstate of which 26.5 acres were historically irrigated. Colorado ..+s Irrigated Area Dry up South of I-10 Multiple year Anal 48.0 aures r •�R otcyk l S+a` 1000 0 .100 PO Boa 1301 Rifle, CO R1650 tel 970-62.54033 Fax 970.6254564 COLORADO RIVER ~`ENGINEERING Mel Enpn ...ru 0.3.4•4- RV*..Supmwdeto rl. iCLo octe. a'. kMP.InaiV 41µ1,06QV, FbOQ RYnAM'no !'Yvi Pp.4r rams Hangs Ranch Irrigated Acreage Dry Up hie Name: CRE04009-02.dwg I kb No: 645 Drawn b :CM A rvd b : CM Due: 4-1L 2007 Exhibit D • i1 Phase 1B Well Pond (16.2 ac) 1 1 • ase 1A WeI1 Pond � = -/ - - . - •• .. µ(1f.99 ac) �:N,` 4�^, _ .__—• `/ •<_::7e,. j 1r` --.- S'. � 44 0.i i 1` .. \�� Phase 2 Well Pond `' '; Hangs '!j' \ �+ (13.76 ac) Office i I' /lt..1 Phase 3A Well Pond 33.57 ac) j..., .`\ �� I '1 ,f y Phase 3B Well Pond I. (20.27 ac) r ::ums AW sesso, LLC +wwaana XS ©(Fahr F: RECLAMATION PLAN MAP MET SAW 4 GAVEL L L.C'_ ' TRAM RIPE# PAR* PROJECT m„w,�DNA 112 'MT Am.XCATLfSi 0601 i 5/8/Of wee j4}mCif arwr .mw. n Pond Area from banks and Gesso asap updated January,2 2007 Pond Area = 84.79 Acres, use 90.0 acres as maximum per augmentation plan `. -• ----- rnuftMa 1 PO Box' Rpt C Tel 976 Fa 970 Exhibit E (1) (2) (3) (4) (5) (6) (6) Table 7 - Hangs Ranch Augmentation Balance (acre-feet) JAN [ FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC Total (At Full Build Out = 90 acres ponds + residential well 8.7 Rising Sun Ditch Credits (depletions) 261.1 Rising Sun Ditch Credits (depletions) 12.4 39.0 54.7 66.1 56.3 30.4 8,7 -6.5 0.0 261.1 Groundwater depletions (all demands) 5.5 7.7 13.4 24.3 34.5 44.6 46.8 41.8 31.0 20.1 10.6 6.2 286.4 Period of Historic calling downstream rights 0% 0% 0% 17% 23% 23% 100% 100% 100% 100% 10% 0% Shortages Shortages 1.2 2.0 0.6 11.4 1.7 0.0 15.7 Reservoir Augmentation Plus 10% transit los: - - - 2.23 - - - - 0.63 12.49 1.89 - 17.2 Excess Credits 12.24 4.50 10.15 19.26 14.53 94.2 48.4 Irrigable area using excess credits (acres) 56 20 28 44 40 JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC f Total (2/3rds through project = 64.5 acres ponds + internal mining production 8.7 usesL -6.5 261.1 Rising Sun Ditch Credits (depletions) 12.4 39.0 54.7 66.1 56.3 30.4 Groundwater depletions (all demands) 4.1 5.7 11.5 19.5 26.8 33.9 35.5 31.9 24.2 16.5 8.7 4.7 223.1 Period of Historic calling downstream rights 0% 0% 0% 17% 23% 23% 100% 100% 100% 100% 10% 0% Shortages 1.2 7.8 1.5 0.0 10.5 Reservoir Augmentation Plus 10% transit los. - - - 1.33 - - - - - 8.57 1.68 - 11.6 Excess Credits 12.24 20.81 30.60 24.39 6.17 94.2 Irrigable area using excess credits (acres) 56 58 70 68 (1) Irrigation of 172.5 acres including 26.5acres under the Interstate. Depletions include adjustment for nonuse and lagged subsurface river return flaws (calculated in soil moisture model) (2) Evaporation of pond surface area and well uses, with fagged well depletion factors (Table 1b & 1d) (3) Historic calling period from Division of Water Resources (4) =if (1) <(2) Then = ((2)-(1)}"(3) (5) = (4) + 10% loss (6) =(1)-(2) (7) = positive (1)-(2)/ Net irrg demands Jet Irrg Demands (ft) 0.1 0.22 0.36 0.44 0.36 0.2 0.07 1.75 4/27/2007 Colorado River Engineering Exhibit F Permit No. COG -500000 Futility No. COG -500493 Page I Colorado Discharge Permit System Regulations CERTIFICATION under GENERAL PERMIT FOR SAND AND GRAVEL MINING AND PROCESSING (SIC No: 1440,1442) Category 07, Subcategory 1A, General Permits, Current fee $193 a year per CRS 25-8-502 This certification specifically authorizes the named construction activity to discharge as d scribed below. -500493. All correspondence relative to this facility should reference the specific facility numb Legal Contact Silt Sand and Gravel, LLC Bill Roberts, President 304 Highway 133 Carbondale, CO 81623 Phone: 970-963-9424 Owner Contact Gypsum Ranch Co. 818 Colorado Ave. Glenwood Springs, CO 81601 970-945-6546 65; < • 4- c Project Name, Activity and Location Grand River Park Project—Stormwater and process water discharges from the sand and gravel pit located at County Road 346 in Silt (Garfield County), Colorado. Discharge Point The potential discharge point (OO1A, Figure 1) is located at Latitude 390 6341"N, Longitude 108° 1400"W. .Outfall Description and Treatment Flows 001A Discharges will go through settling ponds and pump filters before discharging to the Colorado River. Avg. = 14.4 MGD 'discharge is to the Colorado River, Segment 01 of the Lower Colorado River Sub -Basin, Lower Colorado River Basin, which can be found in the Classifications and Numeric Standards for the Lower Colorado River Basin (Regulation 37; last update effective Julyl, 2007). Segment 01 has been designated Reviewable and classified for the following beneficial uses: Recreation, Class la; Aquatic Life, Class 1 (Cold); Agriculture; and Water Supply. Permit Limitations and Monitoring Requirements Parameter Discharge Limitations Maximum Concentrations Monitoring Frequency Sample Type 30 -Day Average 7 -Day Average Daily Max. Flow, MGD Report NA Report Weekly Instantaneous or Continuous Total Suspended Solids, mg/1 30 45 NA Monthly Grab Oil and Grease, mg/1 NA NA 10* Weekly Visual* pH, s.u. (Minimum- Maximum) NA NA 6.5-9.0 Monthly In-situ Total Dissolved Solids mg/1 NA NA Report Weekly Grab Total Phosphorus mg/1 ** ** ** ** ** *There shall be no visible sheet ** Not required, applicable only to waters with a control regulation for Phosphorus *SUED AND EFFECTIVE JULY 3, 2007 EXPIRATION DATE SEPTEMBER 30, 2007 Although this is a reviewable stream segment, Antidegradation review as described in Regulation No. 31, does not apply to this permit as this is considered a temporary discharge. ilkConditions time of application, the permittee certified that they had developed and implemented a Stormwater Management Plan (SWMP) for this facility. As a condition of this permit, a copy of the SWMP must be kept on site and provided to the Division upon request. The permittee is encouraged to read the general rationale for an understanding of how this permit was developed and read the permit to see what requirements exist. The General Sand and Gravel Mining and Processing Permit is attached. If the permittee has questions related to this certification, contact the permit writer. Permit Writer Nicole Smith 303-692-3217 June 29, 2007 This facility permit contains 21 pages. • • • Permit No: Job Address: • GARFIELD COUNTY GRADING PERMIT APPLICATION 108 8th Street, Suite 201, Glenwood Springs, CO 81601 phone 97Q.W4$ 8212/Fax: 970-384-3470 / Inspection Line: 970-384-5003 Parcel/Schedule No: /Y 4 6 533 County Road 346, Silt, Colorado Lot No: Block No: 6 Owner: Silt Sand & Gravel LLC Contractor: Earth Wbrks Ca st nut7rn, .Inc. Engineer: Banks & Ce=oTrr Sq. Ft. Grading 33,01f Describe Work: Address 0334 Highhay 133 Cartcniale,C0 81623 Address: 0304 Hicj ay 133 Garb:noble 81623 Address: 720 Ki 7 im, aiite 117 Cu.Yd. of Grading 25,` any Subd. / Exemption: Ph: 970-963-2296 Ph: Ph: 970-963-2296 303-274-4277 Grading for site imixcmans-ts for new gravel. (ie. r 3s,pds, tum lanes.) THIS PERMIT BECOMES NULL AND VOID lF WORK OR CONSTRUCTION AUTHORIZED IS NOT COMMENCED WITHIN 180 DAYS, OR, IF CONSTRUCTION OR WORK IS SUSPENDED OR ABANDONED FOR A PERIOD OF 180 DAYS AT ANY TIME AFTER WORK LS COMMENCED. Wk Ph: Lic. No. I HEREBY CERTIFY THAT I HAVE READ AND EXAMINED THIS APPLICATION AND KNOW THE SAME TO BE TRUE AND CORRECT. ALL PROVISIONS OF LAW GOVERNING THIS TYPE OF WORK WILL BE COMPLETED WITIIIN WHETHER SPECIFIED HEREIN OR NOT. THE GRANTING OF A PERMIT DOES NOT PRESUME TO GIVE AUTHORITY TO VIOLATE OR CANCEL THE PROVISIONS OF ANY OTHER STATE OR LOCAL LAW REGULATING CONSTRUCTION OR THE PERFORMANCE OF CONSTRUCTION. BU P •ING AND APPROVAL/DA Fee: )0 , Dated Permit Issued: Conditions to Permit: Loc.s,Zi (41I t I rri.3 PG -.07f '7o G°KS t?t0 . `'--t R w4.p1_,t�. hC27Tp 14S rite S71,4-- . AGREEMENT. IN CONSIDERATION OF THE ISSUANCE OF THIS PERMIT, THE SIGNER HEREBY AGREES TO COMPLY WITH ALL CODES AND LAND USE REGULATIONS ADOPTED BY GARFIELD COUNTY PURSUANT TO AUTHORITY GIVEN IN 30.28101 CRS AS AMENDED. THE SIGNER FURTHER AGREES THAT IF THE ABOVE SAID ORDINANCES ARE NOT FULLY COMPILED WITH IN 1'Hh LOCATION, ERECTION, CONSTRUCTION, AND USE OF THE ABOVE DESCRIBED WORK, THE PERMIT MAY BE R.EVOICED BY NOTICE FROM rub, COUNTY AND THAT THEN AND THERE IT SHALL BECOME NULL AND VOID. 1HE ISSUANCE OF A PERNIT BASED UPON PLANS, SPECIFICATIONS AND OTHER DATA SHALL NOT PREVENT 1 HE BUILDING OFFICIAL FROM THEREAFTER REQUIRING THE CORRECTION OF ERRORS IN SAID PLANS, SPECIFICATIONS AND OTHER DATA OR FROM PREVENTING OF THIS JURISDICTION. CONSTRUCTION OPERATION BEING CARRIED ON THEREUNDER WHEN IN VIOLATION OF THS CODE OR ANY OIHER ORDINANCE OR REGULATION 1HE REVIEW OF SUBMITTED PLANS AND SPECIFICATIONS AND INSPECTIONS CONDUCTED THEREAP-TER DOES NOT CONSTITUTE AN ACCEPTANCE OF ANY RESPONSIBILITIES OR LIABLITIES BY GARFIELD COUNTY FOR ERRORS, OMISSIONS OR DISCREPENCIES. THE RESPONSIBILITY FOR THESE ITEMS AND IMPLEMENTATION DURING CONSTRUCTION RESTS SPECIFICIALLY WITH THE ARCHITECT, DESIGNER, BUILDER, AND OWNER. COMMENTS ARE INTENDED 'fO BE CONSERVATIVE AND IN SUPPORT OF THE OWNERS INTEREST. m.003 APR 1. 7 2007 I HEREBY ACKNOWLEDGE THAT I HAVE READ AND UNDERSTAND THE AGREEMENT ABOVE (INITIAL): • i • • • Garfield County Road and Bridge Department P.O. Box 426 Rifle, CO 81650 Phone -(970)625-8601 Fax- (970)625-8627 Utility Permit Invoice Invoice Number: GRB07-U-36 Invoice Date: 5/1/2007 I Bill To: Silt Sand And Gravel 304 Highway 133 Carbondale , CO 81623 Utility Permit Number: GRB07-U-36 Utility Permit Footage: 50 Utility Permit Fee: $150.00 Footage times $.25: $12.50 Total Due: $162.50 Please Remit Payment, Promptly, to the Above Address. Thank You! • Garfield County i Construction Permit for Installation of Utilities in Public Riht-of-Wa 's Applicant Name: Silt Sand And Gravel Address: 304 Highway 133 Carbondale, CO 81623 Type of Installation: Open Road Cut Purpose: Electrical Bore Length of Installation: 50 feet County Road: 346 Nearest Intersection or Address: 6533 CR 346 Distance from Intersection or Address: In front of Address Direction from Intersection or Address: South Side of Road: South Estimated Construction Schedule: Start: 5/1/2007 Permit Number: GRB07-U-36 Finish 5/31/2007 Request for permission to make the above installation at the location specified is hereby granted, subject to the following terms, conditions and special provisions: 1. It is understood that the Applicant will cause the installation to be made at no expense whatsoever to Garfield County and that the Applicant will own and maintain the installation upon completion of work 2. The Applicant shall maintain the installation at all times and agrees to hold harmless the County of Garfield and its representatives, agents or employees from any and all liability, loss and damage which may arise out of or be connected with the installation, maintenance, alteration, removal or presence of the installation above described or any work or facility connected therewith, within the area covered by this permit. 1411.. The entire installation repairs and clean up shall be completed prior to: 5/31/2007. 4. The traveling public shall be protected during the installation with proper warning signs or signals both day and night, and warning signs and signals shall be installed by and at the expense of the Applicant and in accordance with directions given by the Board of County Commissioners or their representative. No open trench shall be permitted in the traveled roadway after dark, unless otherwise specified in the Special Provisions below. 5. If the Board of County Commissioners so requires, Applicant shall mark the installation at the designated locations in a manner acceptable to the Board of County Commissioners or their Representative. 6. In the event any changes are made to this county road in the future that would necessitate removal for relocation of this installation, Applicant will do so promptly at its own expense upon written request from the Board of County Commissioners. The County will not be responsible for any damage that may result in the maintenance of the county road to installation placed inside Public Right -of -Ways Limits. 7. Applicant will be required to shut off lines and remove all combustible materials from the right-of-way when requested to do so by The Board of County Commissioners because of necessary road construction or maintenance operations. 8. Where the installation crosses the roadway, it shall be encased in pipe of larger diameter and the crossing shall be as nearly perpendicular to the roadway as physically possible. This installation shall be installed by the method of boring or jacking through beneath the road surface: however, open cut shall be allowed up to the edge of the surfaced portion of the county road. No water shall be used in the boring, and no tunneling shall be permitted. If boring is not successful then arrangements should be established with the County for possible excavation methods. t Where the installation crosses any ditches, canals or water carrying structures, wherever possible it shall be pushed through and beneath a pipe of larger diameter thereby eliminating the necessity of trenching with a minimum bury of 4 foot. In no case shall the flow of water ever be impaired or interrupted, without arrangements having been made with the effected water company or ditch association. 10. The installation must be accomplished in accordance with accepted good practices and conform to the recommendations of the National Electric Safety Code and to such Colorado statues as are applicable. The above-described Open Road Cut shall be installed beneath the surface of the right-of-way at a minimum depth of 48" and the disturbed portion of the right-of-way will be restored to its original condition. Any backfilling in the roadway shall be made in six-inch lifts and mechanically tamped and packed and the last twelve inches of backfill shall be of stable granular material such as crushed rock or gravel. 11111. A plicant shall be responsible for anyrepairs to roadway or right-of-way necessitated by the installation. P P P g 12. Applicant's installation shall be made at a location mutually agreed upon by Applicant and the Board of Commissioners or their representative, and in accordance with details and specifications shown on the construction plans, a copy of which shall be furnished to Garfield County. 13. Applicant shall inform the Board of County Commissioners of c onstruction methods, equipment and operational procedures that will be utilized and shall obtain the occurrence of the Board of County Commissioners. 14. Applicant shall advise the Board of County Commissioners or their representatives at least 48 hours in advance of the time at which work on the installation will commence. 15. Any materials from excavation as the result of the installation will be removed from the road way surface each day. 16. Under no condition is an asphalt surface to be cut unless otherwise specified in the attached Special Provisions 17. Where reference is made herein to the representative of the Board of County Commissioners, such representative shall be the District Road Supervisor, unless otherwise specified in writing by the Board of County Commissioners. 18. This permit shall be valid during the estimated construction schedule set forth above. Neither the Owner, nor the Applicant shall conduct any work pursuant to this permit at anytime other than that set forth in the estimated construction schedule. IN THE ROADWAY BETWEEN THE DITCHES 95% COMPACTION, BETWEEN DITCH AND FENCE LINE 85% COMPACTION. TRENCHLINE INSIDE ROADWAY, LAST LIFT NEEDS TO BE 2 FT. OF CLASS 6 ROADBASE, APPLICANT WILL BE REQUIRED TO MAINTAIN THE AREA WHEREIN UTILITY INSTALLATION IS MADE DURING CONSTRUCTION AND TWO YEARS AFTER •PLETION DATE. IT WILL BE THE APPLICANT'S RESPONSIBILITY, WHEN REQUESTED, TO SUPPLY AT THE ICANT'S EXPENSE, COMPACTION TESTS AND RESULTS OF TESTS FORM A LICENSED PROFESSIONAL ENGINEER. Special Provisions: 1. For road bore, road bore will be attempted 3 times before and open road cut will be permitted or boring tool is stuck_ Permit holder will contact person issuing permit prior to cutting road surface. 2. Installations within in the County Right -of -Way over 1000ft in length require a survey and BOCC Approval and as - built upon completion. 3. Type of Backfill: Roadbase If back fill is road base or excavated material, backfill will be compacted to 95% with water to include shoulders, drainage ditches and pits used for road bore. All rocks 10 inches or larger will be removed from site. No wet material removed from excavation will be used for backfill. 4. Asphalt Replacement: False. If true, asphalt will be 4 inches of hot compacted asphalt. Asphalt will be saw cut 2 feet larger than excavation area. Replacement of asphalt will be 1 lane minimum width the size of the cut or full road width if the cut crosses the centerline of road. 5. Replacement of Magnesium Chloride Surface: False. If true, person issuing permit will give specification on replacement. The length of the road surface damaged by utility installation will require replacement. This will include the hauling of equipment and materials. 6. Certified Traffic Required? False 7. Work Zone Signs Required? True 9. Contractor Agrees to all Provisions in Exhibit A. 10. Garfield County Road and Bridge Department 41111 Special Provisions for Excavation of Road Surface and Installation Utility Permit Number: GRB07-U-36 Applicant: Silt Sand And Gravel Inspector, Jake Mall Sub -Contractor: 1. tiny oversized material (larger than 10 inches in diameter) that is not utilized in backfill will be removed from site by ,Applicant. Further, Applicant will remove any frozen material from site. 2. -Vhen a paved or chipped surface is cut, it is to be replaced with a minimum of three (3) inch hot mix asphalt patch. A temporary patch with cold mix asphalt would be allowed, which would be replaced with hot mix asphalt when the weather or availability of materials allows the work to be completed. An asphalt or chipped surface cut would require the road to be straight cut and squared by means of a pavement cutter or saw. A chipped surface cut will require a seal coat of the patch that -mill be full width or half width of roadway when trenches run with the road. For trenches across the road, the edges of the seal coat will overlap the existing edge. All Seal coats will overlap edges by a two -foot minimum to insure adequate seal over Ile undisturbed portion of the roadway in the vicinity of the excavation. Asphalt hot mix or cold patches will be completed in amaximum of five working days, weather permitting. 3. When possible, all installations should avoid the top edge of a' fill slope. 4. Installation in drainages subject to flash flooding will have a minimum bury of four feet deep that normal flow line at nearest abutment, wing wall, or culvert. 5. Installations at culvert crossings will be buried beneath the culvert with a minimum separation of 18 inches between installation and the bottom of the culvert. 6. Open trenches adjacent to the traveled roadway shall be backfilled daily to within 100 feet of the working area of the trench,. •and shall be barricaded with warning devices after dark. A 3 foot high orange plastic fence will be installed daily to keep livestock out of the open trench after hours. 7. In areas being disturbed where vegetation is established, reseeding with a mixture either by broadcasting, drilling, and mulching with seed mixtures suitable to the climatic conditions or existing vegetation will be performed. Use only certified weed -free seed. Noxious weed control will be ongoing along with re -vegetation. 8. The Applicant should check the right-of-way of surrounding landowners to see if other permits are required, I.E., BLM, Forest Service. • Garfield County ' epresentative Silt Sand And Grave BOARD OF COUNTY COMMISSIONERS OF GARFIELD COUNTY • CERTIFICATION AND AFFIDAVIT REGARDING ILLEGAL ALIENS The Contractor, whose name and signature appears below, certifies and agrees as follows: 1. The Contractor shall comply with the provisions of C.R.S. 8-17.5-101 et seq. rhe Contractor shall not knowingly employ or contract with an illegal alien to perform work for the Board of County Commissioners of Garfield County, Colorado ("BOCC") or enter into a contract with a subcontractor that knowingly employs or contracts with an illegal alien. 2. The Contractor represents, warrants, and agrees that it has verified that it does not employ any illegal aliens; that it has participated or attempted to participate in the Basic Pilot Employment Verification Program administered by the Social Security Administration and Department of Homeland Security; and otherwise shall comply with the requirements of C.R.S. 8-17.5-102(2)(b). 3. The Contractor shall comply with all reasonable requests made in the course of an investigation under C.R.S. 8-17.5-102 by the Colorado Department of Labor and Employment. If the Contractor fails to comply with any requirement of this provision or C.R.S. 8-17.5-101 et seq., the BOCC may terminate work for breach and the Contractor shall be liable for actual and consequential damages to the State. 4. If the Contractor is a sole proprietor, the undersigned hereby swears or affirms under penalty of perjury under the laws of the State of Colorado that (check one) : I am a United States citizen, or I am a Permanent Resident of the United States, or I am lawfully present in the United States pursuant to Federal law. I understand that this sworn statement is required by law because I an a sole proprietor entering into a contract to perform work for the BOCC. I understand that state law requires me to provide proof that I am lawfully present in the United States prior to starting work for the BOCC. I further acknowledge that I will comply with the requirements of C.R.S. 24-76.5-101 et seq. and will produce the required form of identification prior to starting work. I acknowledge that making a false, fictitious, or fraudulent statement or representation in this sworn affidavit is punishable under the criminal laws of Colorado as perjury in the second degree under C.R.S. 18-8-503. CERTIFIED and AGREED to this J day of P/1471 , 2007. CONTRACTOR: 44 vNt. a. -t -'j --t?.,r S z n.✓ c,sv� .—j C= (Contractor Legal Name) FEIN or Social Security Number By: V(cts en sS(D�.c T Sature of Authorize. Rep Title Permit Number: GRB07-U-36 Exhibit A 0n111 accepting this permit, the undersigned, representing the Applicant, verifies that he has read and understands all of the foregoing provisions: that he has the authority to sign for and bid the Applicant: and that by virtue of his signature, the Applicant, is bound by all the conditions set forth herein. esentative of the Board of County Commissioners of Garfield County, Colorado THE COUNTY DOES NOT VERIFY THAT THERE IS AN EXISTING COUNTY OR PUBLIC RIGHT-OF-WAY WITHIN TO PLACE PROPOSED UTILITY. THE APPLICANT IS RESPONSIBLE FOR VERIFYING THE EXITENCE OF ALL NECESSARY RIGHT-OF-WAY FOR THE PLACEMENT OF THE UTILITY. Utility Permit Applicant - Silt Sand And Gravel • • Garfield County Road and Bridge Department P.O. Box 426 Rifle, CO 81650 Phone -(970)625-8601 Fax- (970)625-8627 Invoice Driveway Permit Number: GRB07-D-48 Invoice Date: 4/30/2007 Bill To: Silt Sand And Gravel 304 Highway 133 Carbondale , CO 81623 $75.00 per Driveway Permit. Driveway Permit Fee: $75.00 Total Due: $75.00 Thank You! 5- 5 Garfield C©z:tn Application Person Obtaining Permit: Silt Sand And Gravel Application Date: 4/30/2007 County Road Number: 346 District: Silt for Driveway Permit Permit Number: GRB07-D-48 Termination Date: 5/30/2007 Inspector: Jake Mall hereby requests permission and authority from the Board of County Commissioners to construct a driveway approach (es) on the right-of-way off of County Road, 3461 at address South of 6533 CR 346, located on the North side of road for the purpose of obtaining access to property. Applicant submits herewith for the consideration and approval of the Board of County Commissioners, a sketch of the proposed installation showing all the necessary specification detail including: 1. Frontage of lot along road. 2. Distance from centerline of road to property line. 3. Number of driveways requested 4. Width of proposed driveways and angle of approach. etDistance from driveway to road intersection, if any. Size and shape of area separating driveways if more than one approach. 7. Setback distance of building(s) and other structure improvements. 8. No unloading of equipment on county road, any damage caused to county road will be repaired at subdivision expense. 9. Responsible for two years from the date of completion. General Provisions 1) The applicant represents all parties in interest, and affirms that the driveway approach (es) is to be constructed by him for the bona fide purpose of securing access to his property and not for the purpose of doing business or servicing vehicles on the road right of way. 2) The applicant shall furnish all labor and materials, perform all work, and pay all costs in connection with the construction of the driveway(s). All work shall be completed within thirty (30) days of the permit date. 31 The type of construction shall be as designated and/or approved by the Board of County Commissioners or their representative and all materials used shall be of satisfactory quality and subject to inspection and approval of the Board of County Commissioners or their representative. 4) The traveling public shall be protected during the installation with proper warning signs and signals and the Board of County Commissioners and their duly appointed agents and employee shall be held harmless against any action for personal injury or property damage sustained by any reason of the exercise of the Permit. •5) The Applicant shall assume responsibility for the removal or clearance of snow, ice, or sleet upon any portion of the driveway approach (es) even though deposited on the driveway(s) in the course of the County snow removal operations. 6) In the event it becomes necessary to remove any right-of-way fence, the posts on either side of the entrance shall be surely braced before the fence is cut to prevent any slacking of the remaining fence and all posts and wire removed shall be turned over to the District Road Supervisor of the Board of County Commissioners. 407) No revisions or additions shall be made to the driveway(s) or its appurtenances on the right-of-way without written permission of the Board of County Commissioners. 8) Provisions and specifications outlined herein shall apply on all roads under the jurisdiction of the Board of County Commissioners of Garfield County, Colorado, and the Specifications, set forth on the attached hereof and incorporated herein as conditions hereof. 9) Final inspection of driveway will be required upon completion and must be approved by person issuing permit or representative of person issuing permit. The inspection and sign off must be done prior to any CO from the Building and Planning Department being issued. 10) Contractor agrees to all Provisions in Exhibit A. Special Conditions: 1. Driveway Width- 30ft 2. Culvert required? True Size: 15 inch by 30ft 3. Asphalt or concrete pad required? True Size of pad: 30ft Wide x loft long x 4in thick 4. Gravel portion required? True Length: 40ft 5. Trees, brush and/or fence need to be removed for visibility? True 6. Distance and Direction:Remove brush and fence for visability on both sides if driveway 7. Certified Traffic Control Required? False 8. Work zone signs required? True SIn signing this application and upon receiving. authorization and permission to install the driveway approach (es) ribed herein the Applicant signifies that he has read, understands and accepts the foregoing provisions and conditions and agrees to construct the driveway(s) in accordance with the accompanying specification plan reviewed and approved by the Board of County Commissioners. Signed: Address: if Sand AndGravel G 3 o ct Kw"( 1.3 Telephone Number: 11,-) 9 Permit granted 4/30/2007, subject to the provisions, specifications and conditions stipulated herein. For Board of County Commissioners' of Garfield County, Colorado: epresenative of Garfield County Road and Bridge Signature • Specifications • 1. A driveway approach roach is understood to be that portion of the county road right -of way between the pavement edge and the property line that is designed and used for the interchange of traffic between the roadway and abutting property. 2. At any intersection, a driveway shall be restricted for a sufficient distance from the intersection to preserve the normal and safe movement of traffic. (It is recommended for rural residence entrances that a minimum intersection clearance of 50 feet be provided and for rural commercial entrances a minimum of 100 feet be provided.) 3. All entrances and exits shall be so located and constructed that vehicles approaching or using them will be able to obtain adequate sight distance in both directions along the county road in order to maneuver safely and without interfering with county road traffic. 4. The Applicant shall not be permitted to erect any sign or display material, either fixed or movable, on or extending over any portion of the county road right-of-way. 5. Generally, no more than one approach shall be allowed any parcel or property the frontage of which is less than one hundred (100) feet. Additional entrances or exits for parcels having a frontage in excess of one hundred 100) feet shall be permitted only after showing of actual convenience and necessity. 6. All driveways shall be so located that the flared portion adjacent to the traveled way will not encroach upon adj oining property. S7. No commercial driveway shall have a width greater than thirty (30) feet measured at right angles to the centerline of the driveway except as increased by permissible radii. No noncommercial driveway shall have a width greater than twenty (20) feet measured at right angles to the centerline of the driveway, except as increased by permissible radii. 8. The axis of an approach to the road may be at a right angle to the centerline of the county road and of any angle between ninety (90) degrees and sixty (60) degrees but shall not be less than sixty (60) degrees. Adjustment will be made according to the type of traffic to be served and other physical conditions. 9. The construction of parking or servicing areas on the county road right-of-way is specifically prohibited. Commercial establishments for customer vehicles should provide off -the -road parking facilities. 10. The grade of entrance and exit shall slope downward and away from the road surface at the same rate as the normal shoulder slope and for a distance equal to the width of the shoulder but in no case less than twenty (20) feet from the pavement edge. Approach grades are restricted to not more than ten percent (10%). 11. All driveways and approaches shall be so constructed that they shall not interfere with the drainage system of the street or county road. The Applicant will be required to provide, at his own expense, drainage structures at entrances and exits, which will become an integral part of the existing drainage system. The Board of County Commissioners or their representative, prior to installation, must approve the dimensions and types of all drainage structures. Note: This permit shall be made available at the site where and when work is being done. A work sketch or drawing of the proposed driveway(s) must accompany application. No permit will be issued without drawing, blueprint, or sketch. BOARD OF COUNTY COMMISSIONERS OF GARFIELD COUNTY CERTIFICATION AND AFFIDAVIT REGARDING ILLEGAL ALIENS Contractor, whose name and signature appears below, certifies and agrees as follows: 1. The Contractor shall comply with the provisions of C.R.S. 8-17.5-101 et seq. The Contractor shall not knowingly employ or contract with an illegal alien to perform work for the Board of County Commissioners of Garfield County, Colorado ("BOCC") or enter into a contract with a subcontractor that knowingly employs or contracts with an illegal alien. 2. The Contractor represents, warrants, and agrees that it has verified that it does not employ any illegal aliens; that it has participated or attempted to participate in the Basic Pilot Employment Verification Program administered by the Social Security Administration and Department of Homeland Security; and otherwise shall comply with the requirements of C.R.S. 8-17.5-102(2)(b). 3. The Contractor shall comply with all reasonable requests made in the course of an investigation under C.R.S. 8-17.5-102 by the Colorado Department of Labor and Employment. If the Contractor fails to comply with any requirement of this provision or C.R.S. 8-17.5-101 et seq., the BOCC may terminate work for breach and the Contractor shall be liable for actual and consequential damages to the State. 4. If the Contractor is a sole proprietor, the undersigned hereby swears or affirms under penalty of perjury under the laws of the State of Colorado that' (check one) : 4110— I am a United_States citizen, or I am a Permanent Resident of the`United States, or I am lawfully present in the United States pursuant to Federal law. I understand that this sworn statement is required by law because I am a sole proprietor entering into a contract to perform work for the BOCC. I understand that state law requires me to provide proof that I am lawfully present in the United States prior to starting work for the BOCC. I further acknowledge that I will comply with the requirements of C.R.S. 24-76.5-101 et seq. and will produce the required form of identification prior to starting work. I acknowledge that making a false, fictitious, or fraudulent statement or representation in this sworn affidavit is punishable under the criminal laws of Colorado as perjury in the second degree under C.R.S. 18-8-503. -bE- CERTIFIED and AGREED to this day of 2c, , 200 !. CONTRACTOR: (Contractor Full Legal Name) Cs->c`s $ r!1, JLTL., J L By: FEIN or Social Security Number P2s-S�o._� •r Signature of Authorized Rep Title 1111 Permit Number: GRB07-D-48 Exhibit A 1 • • Garfield County Road and Bridge Department P.O. Box 426 Rifle, CO 81650 Phone -(970)625-8601 Fax- (970)625-8627 Invoice Driveway Permit Number: GRB07-D-49 Invoice Date: 4/30/2007 Bill To: Silt Sand And Gravel 304 Highway 133 Carbondale , CO 81623 $75.00 per Driveway Permit. Driveway Permit Fee: $75.00 Total Due: $75.00 Thank You! r arfiel ounty Application for Driveway Permit Person Obtaining Permit: Silt Sand And Gravel Application Date: 4/30/2007 County Road Number: 346 District: Silt Permit Number: GRB07-D_49 Termination Date: 5/30/2007 Inspector: Jake Mall hereby requests permission and authority from the Board of County Commissioner on the right-of-way off of County Road 346 At Address East of 6533 CR 346, located of obtaining access to roes to construct a driveway approach (es) property. riy. on the North side of road for the Applicant submits herewith for the consideration and approval of the Board proposed installation showing all the necessary specification detail including: f County Commissioners, a sketch of the 1. Frontage of lot along road. 2. Distance from centerline of road to property line. 3. Number of driveways requested 04. Width of proposed driveways and angle of approach. 5Distance from driveway to road intersection, if any. 6. Size and shape of area separating driveways if more than one approach. 7. Setback distance of building(s) and other structure improvements. 8. No unloading of equipment on county road, any damage caused expense. to county road will be repaired at subdivision 9. Responsible for two years from the date of completion. General Provisions 1) The applicant represents all parties in interest, and affirms that the drivewayapproach him for the bona fide purpose of securing access to his roe eu poof is to be businessnor by servicing vehicles on the road right of way. property rh' and not for the purpose rpose of doing or 2) The applicant shall furnish all labor and materials, perform all work, and payall construction of the driveway(s). All work shall be completed within thirty costs in e permit date.n with the 3) The type of construction shall be as designated (30) days of the permit and/or approved by the Board of County Commissioners or their representative and all materials used shall be of satisfactory quality and subject to ins Board of County Commissioners or their representative. ectio P nand approval of the 4) The traveling public shall be protected during the installation with proper warning of County Commissioners and their duly offor personal injury Commissioners roe appointed agents and employee shall be be held harmless against ne Boardaction P p rty damage sustained by any reason of the exercise of the Permit. Y •S) The Applicant shall assume responsibility for the removal or clearance the driveway approach (es) even though deposited on the driveway(s) the course or sleet upon any operations. ine of the County snow portion of 6) In the event it becomes necessary to remove any right-of-way fence, the posts on either side of the entrance shall be surely braced before the fence is cut to prevent any slacking of the remaining fence and all posts and wire • removed shall be turned over to the District Road Supervisor of the Board of County Commissioners. 7) No revisions or additions shall be made to the driveway(s) or its appurtenances on the right-of-way without written permission of the Board of County Commissioners. 8) Provisions and specifications outlined herein shall apply on all roads under the jurisdiction of the Board of County Commissioners of Garfield County, Colorado, and the Specifications, set forth on the attached hereof and incorporated herein as conditions hereof. 9) Final inspection of driveway will be required upon completion and must be approved by person issuing permit or representative of person issuing permit. The inspection and sign off must be done prior to any CO from the Building and Planning Department being issued. 10) Contractor agrees to all Provisions in Exhibit A. Special Conditions: 1. Driveway Width- 40ft 2. Culvert required? False Size: by 3. Asphalt or concrete pad required? True Size of pad: 40ft wide x loft long x 4in thick 4. Gravel portion required? True Length: 40ft 5. Trees, brush and/or fence need to be removed for visibility? False 6. Distance and Direction: 7. Certified Traffic Control Required? False 8. Work zone signs required? True In signing this application and upon receiving authorization and permission to install the driveway approach (es) 1111 In herein the Applicant signifies that he has read, understands and accepts the foregoing provisions and conditions and agrees to construct the driveway(s) in accordance with the accompanying specification plan reviewed and approved by the Board of County Commissioners. Signed: � 1 t Sand And Grav 1 Address: 3," ti `3 n Telephone Number: c7 Z+0 5 (, 3 Zy Permit granted 4/30/2007, subject to the provisions, specifications and conditions stipulated herein. FRr Board of County Commissioners' of Garfield County, Colorado: • ly epresenthtive of Garfield County Road and Bridge Signature wi Specifications A driveway approach is understood to be that portion of the county road right -of way between the pavement edge and the property line that is designed and used for the interchange of traffic between the roadway and abutting property. 2. At any intersection, a driveway shall be restricted for a sufficient distance from the intersection to preserve the normal and safe movement of traffic. (It is recommended for rural residence entrances that a minimum intersection clearance of 50 feet be provided and for rural commercial entrances a minimum of 100 feet be provided.) 3. All entrances and exits shall be so located and constructed that vehicles approaching or using them will be able to obtain adequate sight distance in both directions along the county road in order to maneuver safely and without interfering with county road traffic. 4. The Applicant shall not be permitted to erect any sign or display material, either fixed or movable, on or extending over any portion of the county road right-of-way. 5. Generally, no more than one approach shall be allowed any parcel or property the frontage of which is less than one hundred (100) feet. Additional entrances or exits for parcels having a frontage in excess of one hundred 100) feet shall be permitted only after showing of actual convenience and necessity. 6. All driveways shall be so located that the flared portion adjacent to the traveled way will not encroach upon adjoining property. No commercial driveway shall have a width greater than thirty (30) feet measured at right angles to the centerline of the driveway except as increased by permissible radii. No noncommercial driveway shall have a width greater than twenty (20) feet measured at right angles to the centerline of the driveway, except as increased by permissible radii. 8. The axis of an approach to the road may be at a right angle to the centerline of the county road and of any angle between ninety (90) degrees and sixty (60) degrees but shall not be less than sixty (60) degrees. Adjustment will be made according to the type of traffic to be served and other physical conditions. 9. The construction of parking or servicing areas on the county road right-of-way is specifically prohibited. Commercial establishments for customer vehicles should provide off -the -road parking facilities. 10. The grade of entrance and exit shall slope downward and away from the road surface at the same rate as the normal shoulder slope and for a distance equal to the width of the shoulder but in no case less than twenty (20) feet from the pavement edge. Approach grades are restricted to not more than ten percent (10%). 11. All driveways and approaches shall be so constructed that they shall not interfere with the drainage system of the street or county road. The Applicant will be required to provide, at his own expense, drainage structures at entrances and exits, which will become an integral part of the existing drainage system. The Board of County Commissioners or their representative, prior to installation, must approve the dimensions and types of all drainage structures. •Note: This permit shall be made available at the site where and when work is being done. A work sketch or drawing of the proposed driveway(s) must accompany application. No permit will be issued without drawing, blueprint, or sketch. BOARD OF COUNTY COMMISSIONERS OF GARFIELD COUNTY CERTIFICATION AND AFFIDAVIT REGARDING ILLEGAL ALIENS The Contractor, whose name and signature appears below, certifies and agrees as follows: 1. The Contractor shall comply with the provisions of C.R.S. 8-17.5-101 et seq. The Contractor shall not knowingly employ or contract with an illegal alien to perform work for the Board of County Commissioners of Garfield County, Colorado ("BOCC") or enter into a contract with a subcontractor that knowingly employs or contracts with an illegal alien. 2. The Contractor represents, warrants, and agrees that it has verified that it does not employ any illegal aliens; that it has participated or attempted to participate in the Basic Pilot Employment Verification Program administered by the Social Security Administration and Department of Homeland Security; and otherwise shall comply with the requirements of C.R.S. 8-17.5-102(2)(b). 3. The Contractor shall comply with all reasonable requests made in the course of an investigation under C.R.S. 8-17.5-102 by the Colorado Department of Labor and Employment. If the Contractor fails to comply with any requirement of this provision or C.R.S. 8-17.5-101 et seq., the BOCC may terminate work for breach and the Contractor shall be liable for actual and consequential damages to the State. 4. If the Contractor is a sole proprietor, the undersigned hereby swears or affirms under penalty of perjury under the laws of the State of Colorado that (check one): 111 I am a United States citizen, or I am a Permanent Resident of the United States, or I am lawfully present in the United States pursuant to Federal law. I understand that this sworn statement is required by law because I am a sole proprietor entering into a contract to perform work for the BOCC. I understand that state law requires me to provide proof that I am lawfully present in the United States prior to starting work for the BOCC. I further acknowledge that I will comply with the requirements of C.R.S. 24-76.5-101 et seq. and will produce the required form of identification prior to starting work. I acknowledge that making a false, fictitious, or fraudulent statement or representation in this sworn affidavit is punishable under the criminal laws of Colorado as perjury in the second degree under C.R.S. 18-8-503. CERTIFIED and AGREED to this 3) day of A -( n -L"- , 200 7. CONTRACTOR: Cr (Contractor Full Legal Name) FEIN }or Social Security Number By: r✓ V k.C.Z P�v j t,- . J Signature ormuthorize Rep Title • Permit Number: GRB07-D-49 Exhibit A oi2l (JAL June 26, 2007 iii • can Mello roject Manager Earthworks Construction, Inc. 0304 Highway 133 Carbondale, Colorado 81623 RE: Existing Onsite Wastewater System Evaluation, Office Facility Silt Sand and Gravel, 6533 County Road 346, Silt, Garfield County, CO, Garfield County Special Use Permit Application SE Job No. 27149.01 Dear Sean: Pursuant to your request, attached is a letter/report presenting our findings and analysis in regard to the existing Onsite Wastewater System (OWS) at the above referenced Site. This evaluation is based on our understanding and limited observation of the site conditions, septic tank and review of available system maintenance information for use in supporting your discussions and application to Garfield County. Our evaluation and opinion is provided as a response to item No. 3 in the written request for additional information contained in the Special use permit application review document from Garfield County, dated January 10, 2007. Our opinions and recommendations are in accordance with Garfield County and the State of Colorado ISDS Regulations. Conclusions The existing house has not been used for approximately 2 years therefore the existing septic system has not been in Ovirrent use however it appears to be adequately functioning. According to the Garfield county records the system as permitted in 1987. Therefore we recommend that its use continue to accept wastewater from the existing single family home that will be used as an office for 2 full time employees. The existing septic tank is a 1000 gallon two compartment tank that will be adequate for the estimated design flows for the office with its estimated usage. No evidence has been observed to suggest that the tank may be functionally compromised. No problems have been reported or observed regarding the function of the interior or exterior drain lines, septic tank or absorption field. The tank appears to be in good shape and has two access lids. There does not appear to be a need to pump the tank in the very near future. We assume that the absorption field is a gravel and pipe bed typical at the time of construction. Based on our site observations and review of the permit, we believe the field envelope is adequately sized for the 3 -bedroom house and is located west of the tank approximately 20-30 feet west of the house and 40-50 feet north of County Road 346. Due to the lack of evidence or reports of surfacing or backups we assume that treatment and absorption is occurring and adequate for the time being. We do not believe that the system requires any immediate upgrades for continued function or capacity with anticipated usage. We understand that the property will be utilized as a gravel pit in the near future and that the existing house will be an office for 2 full time employees. The personnel in the pit and all transient drivers will be using portable toilets. Therefore we recommend that use of the OWS continue with periodic inspection. There exist adequate landscaped area adjacent to the existing field west of the structure and north of the expanded access drive for a replacement system if needed in the future. Based on the review of the County Permit Records the peak flow was calculated to be 675 gpd for a 3 bedroom house. The field was size recommendation was 1159 S.F. based on a 45 mpi percolation rate. The proposed decrease in usage for the office facility results in a calculated peak flow of 90gpd based on a maximum population of 4 office employees. The required field size assuming higher strength waste from restroom usage only is 502 Main Street • Suite A3 • Carbondale, CO 81623 • (970) 704-0311 • Fax (970) 704-0313 SOPRIS ENGINEERING • LLC civil consultants Sean Mello SE Job No. 27149.01 • June 26, 2007 Page 2 calculated to be approximately 170 S.F. based on the same 45 mpi percolation rate. The existing 1000 gallon septic tank is adequate to provide primary treatment for the calculated peak day effluent flow. Findings We inspected the septic tank and believe that it is functioning normally with no evidence of elevated liquid levels. No maintenance records of tank service are available. The septic tank is a modern style two compartment concrete tank with two 24 inch diameter concrete access risers and lid assemblies. The tank was observed to be level; structurally sound and installed with the top tank lid approximately 14 -inches below the existing ground surface. The top of the riser access lids are 3" above the ground surface and are in good condition. The interior tank side walls appear to be smooth, the riser is tight, properly sealed and grouted, sanitary tees are in place and the liquid level is normal. The primary compartment appears to be as expected with a minimal sludge depth, clear zone and slight scum layer. The secondary compartment appears to contain only liquid effluent at the normal liquid level. No suspended solids were evident. The outlet sanitary tee is set in close to the port with limited access however it is clear and functioning. No evidence has been observed to suggest that the tank may be functionally compromised. Free flow of waste water into the septic tank was observed. No evidence of backup between the tank and the house was observed in the tank. We calculated the average and peak effluent flows for the office to be 90 gpd based on a maximum of 4 full time employees; however the anticipated population is only 2 employees using the facilities in the former house. orWe assume that the absorption field is a gravel and pipe bed. Based on our field observations, including the ientation of the tank, grading, vegetative evidence, we believe the field envelope is located approximately 30 feet est of the house begins 5-10 feet west of the tank. The area is currently a landscaped area with partial vegetation. We would recommend that the area be maintained as a landscaped area and protected from heavy wheel load traffic. Inspections of the surface soils within the flat graded and surrounding areas at or lower grade areas do not suggest or provide any evidence that effluent surfacing is occurring or has occurred in the past. The area is relatively isolated, not irrigated, contains dry pasture grasses with weeds and field appears to be located within acceptable setback distances. Therefore we assume that treatment and absorption is adequate for the time being and the system is functioning within general performance specifications. Existing Absorption System Based on the review of the County Permit Records the peak flow was calculated to be 675 gpd for a 3 bedroom house. The field was size recommendation was 1159 S.F. based on a 45 mpi percolation rate. The proposed decrease in usage for the office facility results in a calculated peak flow of 90gpd based on a maximum population of 4 office employees. The existing 1000 gallon septic tank is adequate to provide primary treatment for the calculated peak day effluent flow. Based upon the assumed Long Term Acceptance Rate, the LTAR absorption area equation yields the area required for the receiving soils in the field; A=Q/LTAR = 90/0.3 = 300 S. F. The required field size assuming higher strength waste from restroom usage only is calculated to be approximately 300 S.F. based on the same 45 mpi percolation rate. Based on our knowledge of the general area and observations of onsite soils we believe that conditions allow for effective conventional systems. The subsoils expected at the site generally consist of approximately 1/2 foot of topsoil overlying silty, clayey sand to sandy silty clay underlain Illy colluvium with cobbles. Groundwater is expected to be at a depth over 30 feet below the surface. Sean Mello SE Job No. 27149.01 June 26, 2007 Page 3 The existing absorption field system is assumed to be adequate to serve the needs of the facility. It is noted that no problems have been reported or observed to indicate failure of the assumed pipe and gravel leach field. No seepage, surfacing, unusual soil conditions, depressions or other evidence indicating poor function or failure has been observed. Based on our general knowledge of the geotechnical conditions in the area we assume that the soils are adequate for subsurface secondary treatment of effluent utilizing a conventional absorption system. Therefore we recommend that the use of the system be continued with periodic inspections and maintenance until redevelopment of the site occurs. System Recommendations We have reviewed the information forwarded to us, observed certain OWS system components, inspected indoor plumbing fixtures and have presented recommendations for the continued use of the system to accommodate existing uses on the property as a part of our scope of work. The septic tank and sewage effluent line should be periodically inspected, maintained and repaired as needed. All fixtures should be maintained leak free. The expected life of absorption systems vary per use. Additional inspections and maintenance may be needed if physical or functional problems arise. We recommend that the tank be pumped within 1 to 2 years and inspected again in November then every six months until pumped. We recommend that the full time occupancy be maintained at the current anticipated 2 persons and no more than 6 people maximum. This evaluation provides analysis of the existing system based on, observed, reported and assumed information only. SE has not verified the as -built conditions of all the systems components. Sopris Engineering, LLC does not rovide or infer any legal opinion of the use of the existing system. you have any question or need any additional information, please call. Sincerely, SOPRIS ENGINEERING, LLC Paul E. Dein utledg ,, ngineer Yancy. Nicho Principal °10N 't11PjjV • •r STATE Or COLORADO DIVISION OF RECLAMATION, MINING AND SAFETY 11 artment of Natural Resources s Sherman St., Room 215 Denver, Colorado 80203 Phone: (303) 866-3567 FAX: (303) 832-8106 MINING AND RECLAMATION PERMIT CONSTRUCTION MATERIAL MINING OPERATIONS Permit Number: M-2006-046 Type of Permit: 112c Permit Date: April 27, 2007 (Anniversary date for annual report and fees purposes) COLORADO DIVISION OF RECLAMATION MINING —&— SAFETY Bill Ritter, Jr. Governor Harris D. Sherman Executive Director Ronald W. Cattany Division Director Natural Resource Trustee THIS PERMIT is issued by the Mined Land Reclamation Board, Department of Natural Resources, State of Colorado. • RECITALS A. The Permittee, Silt Sand & Gravel, LLC desires to conduct a mining operation known as Grand River Park Project, for the purpose of extracting Sand and gravel. Unless this permit is modified or a separate permit is issued to cover the mining and/or recovery of other minerals or extractive products, the Permittee will not mine or recover any other commodities at this site. B. On January 9, 2007 the Mined Land Reclamation Board (the "Board") approved the Permittee's application for this permit, fixed the amount of the financial warranty and directed that this permit be issued upon the filing with the Division of Reclamation, Mining and Safety (the "Division") of performance warranty and financial warranty (or warranties) in the amount so fixed in form and substance approved by the Division. Said warranties have been filed with the Division. C. If the Permittee desires to extract materials other than those listed in (A), a separate permit or a permit modification may be required. D. On January 9, 2007 the Board made the following findings: 1. The application for this permit complies with the requirements of the Colorado Mined Land Reclamation Act for the Extraction of Construction Materials, C.R.S. 34-32.5-101 et sec ., as amended, and with all applicable local, state and federal laws; 0„i 2. The operation will not adversely affect the stability of any significant, valuable, and permanent n -made structure located within two hundred feet of the Affected Land, except where there is an agreement between the Operator and the persons having an interest in the structure that damage to the structure is to be compensated for by the Permittee or if such an agreement cannot be reached, an engineering analysis establishes no damage will occur to the structure to the satisfaction of the Division; and; Office of Office of Denver • Grand Junction • Durango Active and Inactive Mines Mined Land Reclamation • -2- 3. The proposed mining and reclamation operations can be carried out in conformance with the requirements of the Act, and the Construction Material Rules and Regulations. E. The Permittee has made a showing satisfactory to the Board: 1) that it will employ, during and after its underground mining and/or surface operations, procedures designed to minimize environmental disturbance from such operation; 2) that it will provide for reclamation of the Affected Lands appropriate to the subsequent beneficial use of such lands; and 3) that, in the event of the failure of its proposed reclamation plan, it will take whatever measures may be necessary to assure the success of reclamation of the lands affected by such operations in accordance with the Act. F. A copy of the Permittee's application, as amended and supplemented, has been approved by the Board and is, by this reference, incorporated herein. G. The issuance of this permit does not relieve the Permittee from having to comply with all applicable Federal, State and County statutes, including State water law. GRANTS, CONDITIONS AND AGREEMENTS The Board, in reliance upon the representations and promises made in the permit application, as amended and 0 pplemented, and the performance warranty, hereby issues a life of the mine permit to the Permittee, to engage in the erations described in the application on certain lands lying in the County of Garfield, State of Colorado. These lands are described in the permit application, as amended and supplemented, and are referred to herein as the "Affected Lands". This permit is issued subject to the following conditions and agreements: 1) The Permittee will be bound by all applicable requirements of the Act, and all applicable rules and regulations of the Board, as amended from time to time, the terms of the permit application, the terms of the performance warranty, and the terms of the financial warranty filed with the Division. 2) The Permittee will file with the Division its annual report and fees on each anniversary date of this permit. 3) If analyses of the mining and reclamation operation and the data collected through monitoring and experimentation by the Permittee or monitoring by the Division indicate that the operation will not be able to comply with the requirements of the Act and applicable rules and regulations of the Board, the Permittee hereby agrees to exercise its best efforts, after consulting with the Division, to modify the plans to correct such deficiencies in the future. Such modifications may require technical revisions or amendments to the permit. 4) The Board, or its authorized representative may enter upon the lands of the permitted operation at all reasonable times for the purpose of inspection to determine whether the provisions of the Act, Rules and Regulations, and permit have been complied with pursuant to C.R.S. 34-32.5-121. 5) This permit may be revoked or suspended for non-compliance with the Act or applicable rules or •ulations promulgated by the Board, the permit, or by violation of a Board Order. 6) a) Pursuant to 34-32.5-118(5) of the Act, the Board has a right of entry to reclaim the lands affected by the operation, or to respond to an emergency as defined by C.R.S. 34-32.5-121(2). -3- b) The Board will enter the lands to perform reclamation only if the Board has determined: i. that reclamation required the permit, statute, or regulations to be performed upon such lands has not been performed, or ii. that financial warranty forfeiture proceedings described in the Act or similar provisions of subsequent laws, if any, have been initiated. c) The Division, acting for the Board, will enter lands to respond to an emergency only where the Division determines that any of the conditions of Construction Material Rule 8.4.2. exist. 7) The additional conditions set forth in the attached rider, if any, are incorporated herein by reference. / / a) Rider is attached. / XX / b) No rider is attached. MINED LAND RECLAMATION BOARD COLORADO DEPARTMENT OF NATURAL RESOURCES RONALD W. CATTANY Division Director • •ISION 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 Operator: Operation: Permit No: STATE OF COLOJADC PERFORMANCE WARRANTY SILT SAND & GRAVEL, LLC GRAND RIVER PARK PROJECT M-2006-046 COLORADO DIVISION OF RECLAMATION MINING — &— SAFETY Bill Owens Governor Russell Geor$e Executive Director Ronald W. Cattany Division Director Natural Resource Trustee This form has been approved by the Mined Land Reclamation Board pursuant to sections 34-32-117, C.R.S., of the Mined Land Reclamation Act 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 warranty being invalid and result in the voiding of any permit issued in flitnjunction with such invalid financial warranty and subject the operator to cease and desist orders and civil for operating without a permit pursuant to sections 34-32-123, C.R.S., of the Mined Land Reclamation Act and 34-32.5-123, C.R.S., of the Colorado Land 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. 34-32-101 et sea. (the "Act"), as amended, and the Colorado Land Reclamation Act for the Extraction of Construction Materials, C.R.S. 34-32.5-101 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 perforrnance warranty (or warranties) that is a written promise to comply with all applicable requirements of the Act. WHEREAS, SILT SAND & GRAVEL, LLC (the "Operator"), has applied for a permit to conduct a mining operation known as GRAND RIVER PARK PROJECT (the "Operation") on certain lands in GARFIELD 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 its 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, the Board has determined, in accordance with the Act, that the estimated costs of rlamation with regard to those affected lands in GARFIELD County which are now ormaybecome ject to the permit are those amounts for the stated periods of time as set forth in the financial warranty, which may be amended from time to time to reflect revised estimates of said costs of reclamation. Office of Office of Mined Land Reclamation Active and Inactive Mines • 2 WHEREAS, the Operator hereby gives the Board a performance warranty pursuant to Section 34-32-117(2) or Section 34-32.5-117(2) of the Act, and herein promises the Board that it will comply with all applicable requirements of the Act with regard to those Affected Lands. NOW, THEREFORE, the Operator hereby promises the Board that it will comply with all applicable requirements of the Act and rules and regulations of the Board with respect to the Affected Lands. FURTHER, the Operator hereby promises the Board that it will comply with all of the terms of the application for a permit, as amended and supplemented, as well as any conditions attached to the permit by the Board. FURTHER, the Operator promises the Board, pursuant to 34-32-112(2)(d) or 34-32.5-112(1)(c)(iv) of the Act, that it has the lawful authority to enter upon the Affected Lands to conduct mining operations, including, but not limited to, reclamation. The Operator further recognizes the right of the Board to enter to reclaim lands affected by the operation. 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 Warrantor of lands outside of the permitted mining area shall alter or diminish the Operator's obligation hereunder, which shall extend to the reclamation of all such lands disturbed. IIIThe obligation of the Operator hereunder is such that, if the Operator shall successfully comply with the requirements of the Act, applicable rules and regulations, and the permit, then the Board, upon a finding that the Operator has so complied, shall release this performance warranty, and the Operator from its obligation hereunder, to the extent that the Board determines that such compliance has been accomplished. The obligation of the Operator hereunder shall continue until released in whole or in part by the Board in accordance with applicable law. In further satisfaction of the requirements of the Act, the Operator promises to be responsible for the cost of reclamation up to the amount established by the Board and has attached hereto its financial warranty, which may be amended from time to time. The Operator agrees that it will maintain a financial warranty (or warranties) for the estimated costs of reclamation in good standing for the entire life of the permit. Please note that under the provisions of the Colorado Mined Land Reclamation Act and the Colorado Land Reclamation Act for the Extraction of Construction Materials, any Applicant or Operator that submits proof, acceptable to the Board or Division of Reclamation, Mining and Safety, that an Applicant or Operator is a unit of County or Municipal government, or is a department or division of State government, the Applicant or Operator is not required to submit or post any other instrument of financial responsibility but hereby promises to be responsible for the cost of reclamation up to the amount specified by the Board. If the Board determines that the Operator is in default under this performance warranty and has failed to cure such default, although written notice of such default and ample time to cure such default have been given, the Operator's financial warranty shall be subject to forfeiture. ElThis performance warranty may be executed in multiple copies, each of which shall be treated as an iginal, but together they constitute only one agreement, the validity and interpretation of which shall be governed by the laws of the State of Colorado. • -3- The provisions hereof shall bind and inure to the benefit of the parties hereto and their successors -and assigns. SIGNED, SEALED AND DATED this 26 day of April NOTARIZATION OF OPE STATE OF �-� PO , 2007 SILT SAND & GRAVEL LLC (SEAL) Operator Lt � 711 By: William M. Roberts Title: Member TOR'S ACKNOWLEDGEMENT ) ss. COUNTY OF C-�-A -R, The foregoing instrument was acknowledged before me this `T" day of fay (P.-1 t LA..% os. (M 2a ;L" f& -c-- as M r3of S%Sµ.Jo APPROVED: State of Colorado Mined Land Reclamation Board Division of Reclamation, Mining and Safety Ara '.A'.(.. . 1405)Aly PUBLIC r.. 1 PN • •p t j L y Mnmission expires: 11.1...1 t. 4 o ai kyr.-. . • By: Division Director 41:'.nun:share'bondfonnsTerronronce Warranty.doc (05+26/2004) • Date: DIVISION OF MINERALS AND GEOLGY �ment of Natural Resources erman St., Room 215 Denver, Colorado 80203 Phone: (303) 866-3567 FAX: (303) 832-8106 Operator: Operation: Permit No.: Bond No.: ST\TE CSF COLO FINANCIAL WARRANTY CORPORATE SURETY SILT SAND & GRAVEL, LLC GRAND RIVER PARK PROJECT M-2006-046 COLORADO DIVISION OF MINERALS G EOLOGY R E CIA M ATIO N•MI NI NG SAFETY•SCIENCE Bill Owens Governor Russell George Executive Director Ronald W. Cattany Division Director Natural Resource Trustee S9039324 Warrantor: WASHINGTON INTERNATIONAL INSURANCE COMPANY Street: 1200 ARLINGTON HEIGHTS ROAD, SUITE 400 City: I TAS CA te: ILLINOIS Zip Code: 60143 Telephone: (630)227-4817 ea Code: (630) 227-4700 KNOW ALL MEN BY THESE PRESENTS, THAT: WHEREAS, the Colorado Mined Land Reclamation Act, C.R.S. 1973, 34-32-101 et sem. (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, S ILT SAND &GRAVEL, LLC COLORADO (the "Operator"), a corporation, has applied for a permit to conduct a mining operation known as GRAND RIVER PARK PROJECT (the "Operation"), on certain lands in GARFIELD 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. • Office of Mined Land Reclamation Office of Active and Inactive Mines Colorado Geological Survey • 2 WASHINGTON INTERNATIONAL WHEREAS, the Operator and INSURANCE COMPANY (the "Warrantor"), a corporation organized and existing under the laws of the State of ARIZ ONA 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 SIXTY * Dollars ($ 162,454.00- - - ) 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. Saidamount 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. SW.); THEREFORE, the Operator and the Warrantor are held hereby firmly unto the State of Colorado in the amount of th 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. Recion costs shall be computed with reference to current reclamation costs. * TWO THOUSAND FOUR HUNDRED FIFTY FOUR AND 00/100 • _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 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: (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. event of such cancellation, if the Financial Warranty is not fully released, the amount of the continuing Financial ty available for the reclamation of areas disturbed and unreclaimed at the date of cancellation shall be fixed by the Board at i e 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. 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 be 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 United Bank of Denver for the period commencing at the end of such ninety -day period and ending on the date ()factual 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 li di eunder, cause the reclamation to be timely performed in accordance with all requirements of the Act and all applicable n d 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. • 4 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 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. 228.13, then the Operator, having requested that the B. • and the U.S.F. S. accept this single Financial Warranty in lieu of the separate bonds which would otherwise be required b licable law, hereby agrees that, notwithstanding any other provision hereof, or of law, this Financial Warranty shall re "r . 1 i 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 Minerals and Geology 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 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. • • 5 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 20TH day of APRIL • 2007 WASHINGTON INTERNATIONAL A INSURANCE7„IMP A Warr TIMI HY 1111 B ANCHARD, ATTORNEY—IN—FACT (SEAL) SILT SAND & GRAVEL, LLC Operator By: WILLIAM M. ROBERTS, MEMBER NOTARIZATION OF WARRANTOR'S ACKNOWLEDGEMENT STATE OF COLORADO ) ) ss. COUNTY OF MESA ) The foregoing instrument was acknowledged before me this 20TH by TIMOTHY J. BLANCHARD as ATTORNEY—IN—FACT • (SEAL) day of APRIL , 2007 of WASHINGTON INTERNATIONAL INSURANCE COMPANY 1 -- fir. / / NOTARY PUBLIC VIRGINE KORNBLtiTH My Commission expires: AUGUST 24, 2009 • 6 NOTARIZATION OF OPERATOR'S ACKNOWLEDGEMENT STATE OF CoLona-90 ) ) ss. COUNTY OF ,Arz•Pt� _ ) The foregoing instrument was acknowledged before me this 2 c ' day of A P 2 — by DJ <<A.R . _ rNlrziACet.T S S �1 t ra c3 of S s,. • O T A R ":01'...:NOTARY PUBLIC • =�� :• J U B L I C S3S My Commission expires: N1 a -7u ^..1a ri2AVt L APPROVED: State of Colorado Mined Land Reclamation Board •on of Minerals and Geology By: Date: Division Director M:\minlvhffie\bondfoims\Corpstaety.bnd REVISED 02/25/04 • NAS SURETY GROUP •NORTH AMERICAN SPECIALTY INSURANCE COMPANY WASHINGTON INTERNATIONAL INSURANCE COMPANY GENERAL POWER OF ATTORNEY KNOW ALL MEN BY THESE PRESENTS, THAT North American Specialty Insurance Company, a corporation duly organized and existing under laws of the State of New Hampshire, and having its principal office in the City of Manchester, New Hampshire, and Washington International Insurance Company, a corporation organized and existing under the laws of the State of Arizona and having its principal office in the City of Itasca, Illinois, each does hereby make, constitute and appoint: EILEEN A. BLANCHARD, TIMOTHY J. BLANCHARD, ANITA C. KELLER and VIRGINE KORNBLUTH JOINTLY OR SEVERALLY Its true and lawful Attorney(s)-in-Fact, to make, execute, seal and deliver, for and on its behalf and as its act and deed, bonds or other writings obligatory in the nature of a bond on behalf of each of said Companies, as surety, on contracts of suretyship as are or may be required or permitted by law, regulation, contract or otherwise, provided that no bond or undertaking or contract or suretyship executed under this authority shall exceed the amount of: TEN MILLION (10,000,000.00) DOLLARS This Power of Attomey is granted and is signed by facsimile under and by the authority of the following Resolutions adopted by the Boards of Directors of both North American Specialty Insurance Company and Washington International Insurance Company at meetings duly called and held on the 24th of March, 2000: "RESOLVED, that any two of the President, any Executive Vice President, any Vice President, any Assistant Vice President, the Secretary or any Assistant Secretary be, and each or any of them hereby is authorized to execute a Power of Attorney qualifying the attorney named in the given Power of Attorney to execute on behalf of the Company bonds, undertakings and all contracts of surety, and that each or any of them hereby is authorized to attest to the execution of any such Power of Attorney and to attach therein the seal of the Company; and it is FURTHER RESOLVED, that the signature of such officers and the seal of the Company may certificate relating thereto by facsimile, and any such Power of Attorney or certificate bearing such binding upon the Company when so affixed and in the future with regard to any bond, undertaking • B be affixed to any such Power of Attorney or to any facsimile signatures or facsimile seal shall be or contract of surety to which it is attached." Steven P. Anderson, President & Chief Executive Officer of Washington International Insurance Company & Vice President of North Ameeisan Specialty Insurance Company By David M. Layman, Vice President of Waslisinglon International Insurance Company & Vice President of North American Specialty Insurance Company *,ft{111r1,nlil� '' 5'ttONAt 4 ! CORPORATE i A5 el SEAL h ARIZONA r°laa IN WITNESS WHEREOF, North American Specialty Insurance Company and Washington International Insurance Company have caused their official seals to be hereunto affixed, and these presents to be signed by their authorized officers this 7th day of March 2007 State of Illinois County of Du Page ss: North American Specialty Insurance Company Washington International Insurance Company On this 7th day of March , 20, before me, a Notary Public personally appeared Steven P. Anderson , President and CEO of Washington International Insurance Company and Vice President of North American Specialty Insurance Company and David M. Layman , Vice President of Washington International Insurance Company and Vice President of North American Specialty Insurance Company, personally known to me, who being by me duly sworn, acknowledged that they signed the above Power of Attorney as officers of and acknowledged said instrument to be the voluntary act and deed of their respective companies. "OFFICIAL SEAL" SUSAN ANSEL Notary Pt/tic. Staled lifxis tty Commission Es res 7i6J2C08 1, James A. Carpenter the duly elected Assistant Secretary of North American Specialty Insurance Company and Washington International Insurance Company, do hereby certify that the above and foregoing is a true and correct copy of a Power of Attorney given by said North American Specialty Insurance Company and Washington International Insurance Company, which is still in tieli force and effect. Susan Ansel, Notary Public •WITNESS WHEREOF, I have set my hand and affixed the seals of the Companies this2Othiay nf April , 20 07 . James A. Carpenter, Vice President & Assisrar,i Secretary of W''eshmgton International Insurance Compose & North American Specialty Comc,nl • • • AGREEMENT This AGREEMENT ("Agreement") entered into on May = !`, 2007 is made by and between Silt Sand & Gravel, LLC ("Silt Sand and Gravel"), Valley Farms, Inc. ("Valley Farms") and SWD, LLC ("SWD") (collectively the "Parties"). WHEREAS, Silt Sand & Gravel is the lessee of that parcel of real property more particularly described on Exhibit A ("Gypsum Ranch Property"); WHEREAS, as allowed by its lease, Silt Sand & Gravel received Special Use Permit approval from the Garfield County Board of County Commissioners on April 2, 2007, to operate a gravel pit on the Gypsum Ranch Property; WHEREAS, Valley Farms owns property as described on Exhibit B which property is adjacent to the property owned by Gypsum Ranch Co("Valley Farms Property"); WHEREAS, SWD is under contact to purchase the Valley Farms Property and develop the property as a high amenity golf course residential community; and WHEREAS, the parties desire to set forth their agreement as to matters of common interest between the Gypsum Ranch Property and the Valley Farms Property. Now, Therefore for and in consideration of the mutual covenants and promises contained herein and other good and valuable consideration, the sufficiency and receipt of which is hereby acknowledged, the parties hereby agree as follows. 1. Berming and Landscaping. Silt Sand and Gravel agrees at its cost and expense to construct or cause to be put into place, those berms and screens located along the common boundary of the Gypsum Ranch Property and Valley Farms Property as depicted and more particularly set forth within Exhibit C. Silt Sand and Gravel shall landscape the the berms with native, non -weed, non -noxious vegetation (i.e. no tamarisk, napweed or Russian olive), comparable to the vegetation which will be removed from mined area. SWD and Silt Sand & Gravel shall work cooperatively to finalize a landscape plan for the berm and to identify a topsoil source. The berm and screening work shall be completed within six (6) months of recordation of the First Final Plat by SWD. 2. Noise. Silt Sand and Gravel agrees to mitigate noise impacts by undertaking the following: a. Utilizing its best efforts to establish within the Gypsum Ranch Property a direct electrical power source thus obviating or minimizing the need for the operation of diesel generators; and b. Where utilized, to locate all such diesel generators as far from the Valley Farms Property as is operationally feasible. 3. Lighting. All lighting fixtures shall be "down -cast" lighting to minimize glare off -property. Agreement - Silt Sand & GravelNalley Farms/SWD Page 1 of 3 E:\G\Gypsum Ranch }fangs Properly 1Silt Sand & Gravel\Stillwater Agreement II Ial.wpd • • • 4. Traffic. Silt Sand and Gravel has entered into an agreement with the Town of Silt to address impacts to those roads used by Silt Sand and Gravel between I-70 and the Town of Silt municipal boundary. This agreement provides that Silt Sand and Gravel shall pay a per ton charge to the Town to defray the costs of road reconstruction, repair and maintenance. In the event the Valley Farms Property is de -annexed from the Town of Silt, Silt Sand and Gravel has agreed, under its Special Use Permit, to pay said royalty to Garfield County. Silt Sand and Gravel agrees to pursue, in good faith, the use a conveyor belt to move aggregate to the north side of 1-70 for loading and hauling to points north and west of the property. To the extent that Garfield County permits County Road 346 to be used for gravel truck traffic to travel to the Mamm Creek Interchange, Silt Sand and Gravel agrees to redirect its western and southern -bound traffic along that route. 5. Mine Phasing. Silt Sand and Gravel shall mine the Gypsum Ranch Property from east to west in accordance with the phasing plan set forth under its approved Garfield County Special Use Permit. 6. Dust. Silt Sand & Gravel, for the purpose of dust mitigation, agrees to install and operate water sprayers on all crushers and stacker belts. Additionally, Silt Sand and Gravel shall maintain a water truck on-site for the purpose of watering down all haulage roads within the Gypsum Ranch Property as shall be required. 7. Permits. Silt Sand & Gravel shall provide Valley Farms and SWD, LLC with a full list of permits obtained for the project. Silt Sand & Gravel shall also provide Valley Farms and SWD, LLC with permit applications (or applications to modify any existing permit) within 14 days of filing said application with a government entity 8. Pad Site Access. Silt Sand & Gravel agrees that it will have its Surface Use Agreement with Gypsum Ranch Co. LLC and Antero Resources, Inc. amended to allow access to the Valley Farms A pad (depicted on Exhibit C) across the Gypsum Ranch Property in the dimensions and at the location approved under Silt Sand & Gravel's approved Mine Plan, a copy of which is attached hereto as Exhibit D. Such access shall be for the purpose of allowing vehicles, pipeline(s), drilling and production equipment, and operation and maintenance activities to reach the Valley Farms A pad and for the purpose of the delivery by Silt Sand & Gravel of its sand and gravel products to the Valley Farms Property. 9. Attorneys' Fees. If a party shall commence any action or proceeding against another party in order to enforce the provisions of this Agreement or to recovery damages as a result of the alleged breach of any of the provisions contained in this Agreement, the prevailing party shall be entitled to recover all reasonable costs in connection therewith, including reasonable attorneys' fees. 10. Amendment or Modification. No extension, supplement, modification, or amendment of this Agreement shall be binding unless executed in writing by the party or parties to be bound thereby. Agreement - Silt Sand & Gravel/Valley Farms/SWD Page 2 of 3 E.\G\Gypsum Ranch\Hangs Property\Silt Sand & Gravel\Stillwater Agreement 11 (4).wpd III below. • WHEREFORE, the parties hereto have entered into this Agreement on the last date listed SILT SAND & GRAVEL, LLC By: („);_u_-___ ATTEST: Name, Title: o w By: De//04 Date: 6t130--07 Date: .j .30 —067 VALLEY FARMS, INC. By: Name, Title: `7 /7 Dat SWD, LLC By: frN'Is 74 ,_51)-(h7 Name, Title: Date: ATTEST: By: Date: ATTEST: 7 By: C Date: S/f/i Agreement - Silt Sand & GravelNalley Farms/SWD Page 3 of 3 E:\G\Gypsum Ranch\Hangs Property \Silt Sand & Gravel \Stillwater Agreement 11 (4).wpd EXHIBIT A Legal Description: All of that portion of the following described property lying southerly of the right-of-way for Highway Interstate 70: Parcel No. 1 T. 6 S., R. 92 W., 6th P.M. Section 9: Lot 3, WISW1/4, and NW%4NE%4SW1/4 ; EXCEPT that part conveyed to the Colorado Department of Highways for Highway Interstate 70 in special warranty deed recorded Jan. 31, 1974 in Book 454 at Page 440, Clerk and Recorder's Office, Garfield County, Colorado, as corrected, namely: A tract of land Parcel No. 501 of the State Department of Highways, Division of Highways, State of Colorado, Project No. I 70-1(12) Sec. 5 containing 18.452 acres, more or less, in the NW%4SW'/4, Lot 3 and the NW%4SE%4SW1/4 of Section 9, T. 6 S., R. 92 W., 6th P.M., in Garfield County, Colorado, said tract or parcel being more particularly described as follows: Beginning at a point on the west line of Sec. 9, from which the SW corner of Sec. 9 bears S. 0°26'30" E., a distance of 1,470.5 feet; 1. Thence N. 56°00' E. a distance of 2,099.6 feet to the north line of the NW%4NE%4SW%4 of Sec. 9; 2. Thence S. 89°16'30" W., along said north line, a distance of 427.8 feet to the SE corner of Lot 3; 3. Thence N. 0°30'30" W., along said Lot line, a distance of 198.2 feet; 4. Thence S. 75°18' W. a distance of 227.0 feet; 5. Thence S. 56°00' W. a distance of 1,322.0 feet to the west line of Sec. 9; 6. Thence S. 0°26'30" E., along said section line, a distance of 570.0 feet, more or less, to the point of beginning. Parcel No. 2 T. 6 S., R. 92 W., 6t`' P.M. Section 9: • Lot 4, SE1ASW1/4, S%ZNEI4SW1/4 , and • • • NEl/4NE' SW'/4; EXCEPT that part conveyed to the Colorado Department of Highways for Highway Interstate 70 in special warranty deed recorded Feb. 6, 1974 in Book 455 at Page 10, Clerk and Recorder's Office, Garfield County, Colorado, more particularly described as follows: A tract of land Parcel No. 502 of the State Department of Highways, Division of Highways, State of Colorado, Project No. I 70-1(12) Sec. 5 containing 10.194 acres, more or less, in Lot 4 of Sec. 9, T. 6 S., R. 92 W., 6th P.M., in Garfield County, Colorado, said tract or parcel being more particularly described as follows: Beginning at a point on the south line of said Lot 4, Sec. 9, from which the NW corner of Sec. 9 bears N. 34°14'30" W., a distance of 3,145.5 feet; 1. thence N. 56°00' E. a distance of 953.3 feet to the centerline of the Colorado River; 2. Thence N. 54°08' W., along said centerline, a distance of 426.0 feet; 3. Thence S. 56°00' W. a distance of 1,055.0 feet to the west line of said Lot 4; 4. Thence S. 00°30'30" E., along said west line, a distance of 198.2 feet to the SW corner of Lot 4; 5. Thence N. 89°16'30" E., along the south line of said Lot 4, a distance of 427.8 feet, more or less, to the point of beginning. SUBJECT To that Permanent Easement conveyed by instrument recorded Feb. 6, 1974 in Book 455 at Page 14, Clerk and Recorder's Office, Garfield County, Colorado, more specifically: A tract of land Parcel No. E-502 of the State Department of Highways, Division of Highways, State of Colorado, Project No. I 70-1(12) Sec. 5 containing 0.197 acres, more or less, in Lot 4 of Sec. 9, T. 6 S., R. 92 W., 6`h P.M., in Garfield County, Colorado, said tract or parcel being more particularly described as follows: Beginning at a point on the west line of Lot 4, from which the NW corner of said Sec. 9 bears N. 29°06'30" W., a distance of 2,755.5 feet; 1. Thence N. 0°30'30" W., along said west line, a distance of 24.0 feet; 2. Thence N. 56°00' E. a distance of 422.6 feet; 3. Thence S. 34°00' E. a distance of 20.0 feet; 4. Thence S. 56°00' W. a distance of 435.8 feet, more or less, to the point of beginning. • Parcel No. 3 FINALLY EXCEPTING that part conveyed to Bobby L. Bradley and Mary Lee Bradley in warranty deed recorded Nov. 28, 1990 in Book 560 at Page 957 more particularly described as follows: A tract of land situate in the SE%4SW1/4 of Sec. 9, T. 6 S., R. 92 W., 6th P.M., containing 1.998 acres of land, more or less, being further described as: Beginning at a point on the West line of said SE1/4SW1/4 of said Sec. 9, also being a point on the Northerly right-of-way line of a county road, whence the Southwest corner of said Sec. 9 bears S. 88°08'20" W. 1317.85 feet; 1. thence N. 00°40'54" W. a distance of 478.92 feet also the West line of said SEl/4SW1/4; 2. thence N. 89°20'56" E. a distance of 169.96 feet; 3. thence S. 03°32'20" E. a distance of 479.53 feet to a point on said Northerly right-of-way line of a county road; 4. thence S. 89°20'56" W. a distance of 193.86 feet along said Northerly right-of-way line of said county road to the point of beginning. 110 T. 6 S., R. 92 W., 6th P.M. Section 9: The West 10 acres of the W%2S1/2SE1/4; All that part of Lot 5 and that part of NW1/4SE1/4 lying Southerly of the Colorado River and Westerly of a line fence constructed and in place, which fence runs North and South through said Lot 5 and said NW1ASE1/4, said line fence being more fully described as follows: Beginning at a point on the South line of said NW1ASE'/4 whence the Witness Corner to the Southeast Corner of said Section 9 bears S. 51°04' E. a distance of 2144.3 feet; thence North along said line fence parallel to the East line of said Section 9 to the Southerly bank of the Colorado River. COUNTY OF GARFIELD STATE OF COLORADO Practical Description: 6533 County Road 346, Silt CO 81652 • EXHIBIT B VALLEY FARMS PROPERTY LEGAL DESCRIPTION A TRACT OF LAND SITUATE IN SECTIONS 9, 10, 11, 12, 13, 14, 15 AND 16, TOWNSHIP 6 SOUTH, RANGE 92 WEST OF THE 6TH PRINCIPAL MERIDIAN, GARFIELD COUNTY, COLORADO, BEING MORE PARTICULARLY DESCRIBED AS FOLLOWS: BEGINNING AT THE SOUTHWEST CORNER OF MINEOTA RIDGE ESTATES, FILING NO. 3, COUNTY OF GARFIELD, STATE OF COLORADO; THENCE N 00deg31'27" W 1184.42 FEET ALONG THE WEST LINE OF SAID MINEOTA RIDGE ESTATES, FILING NO. 3, COUNTY OF GARFIELD, STATE OF COLORADO; THENCE N 85deg22'50" W 891.82 FEET ALONG THE NORTH LINE OF MINEOTA RIDGE ESTATES, FILING NO. 1; THENCE S 81deg37'09" W 12.16 FEET ALONG THE SOUTH LINE OF A TRACT OF LAND DESCRIBED IN BOOK 801 AT PAGE 838 OF THE RECORDS OF THE CLERK AND RECORDER OF GARFIELD COUNTY, COLORADO; THENCE S 70deg27'55" W 123.14 FEET ALONG SAID SOUTH LINE; THENCE S 70deg27'55"W 506.91 FEET ALONG THE SOUTH LINE OF A TRACT OF LAND DESCRIBED IN BOOK 801 AT PAGE 837 OF THE RECORDS OF THE CLERK AND RECORDER OF GARFIELD COUNTY, COLORADO; THENCE S 66deg29'49" W 680.62 FEET ALONG THE NORTH LINE OF SAID MINEOTA RIDGE ESTATES, FILING NO. 1; THENCE S 80deg22'31" W 1559.15 FEET ALONG THE NORTH LINE OF SAID MINEOTA RIDGE ESTATES, FILING NO. 1; THENCE N 41) 37deg57'33" W 1649.17 FEET ALONG THEOF COLORADO; HENCALONG SAID O RIDGE FILING NO. 2, COUNTY OF GARFIELD, STATE NORTHERLY LINE, AS AMENDED, THE FOLLOWING COURSES: N52deg07'28"W 520.19 FEET; THENCE N46deg07' 15"W 310.14 FEET; THENCE N65deg55'50"W 154.28 FEET THENCE N38deg20'25"W 8.05 FEET; THENCE ALONG SAID NORTHERLY LINE THE FOLLOWING COURSES: N 66deg30'39" W 835.52 FEET; THENCE S 82deg40'12" W 998.62 FEET; THENCE S 59deg20'42" W 1388.77 FEET; THENCE N 60deg50'38" W 808.15 FEET; THENCE S 31deg58'09" W 265.00 FEET ALONG SAID NORTHERLY BOUNDARY TO THE WEST LINE OF SAID SECTION 15; THENCE N 00deg25'45" W 111.98 FEET ALONG SAID SECTION LINE TO THE WEST RIGHT OF WAY LINE OF COUNTY ROAD NO. 331; THENCE S 31deg58'09" W 257.28 FEET ALONG SAID RIGHT OF WAY LINE; THENCE 403.90 FEET ALONG THE ARC OF A CURVE TO THE LEFT HAVING A RADIUS OF 550.18 FEET, A CENTRAL ANGLE OF 42deg03'42", AND SUBTENDING A CHORD BEARING S l0deg56'18" W 394.89 FEET ALONG SAID RIGHT OF WAY LINE; THENCE S10deg05'33" E 332.30 FEET ALONG SAID RIGHT OF WAY LINE; THENCE S 89deg36 50�� W 1159.60 FEET ALONG THE SOUTH LINE OF THE E1/2 OF THE NE1/4 OF SAID SECTION 16; THENCE N 00deg21'54" W 1302.88 FEET ALONG THE WEST LINE OF THE E1/2 OF THE NE 1 /4; THENCE 5 89deg3 8' 13" W 629.37 FEET ALONG THE SOUTH LINE OF THE E1/2 OF THE NW1/4 OF THE NE1/4 OF SAID SECTION 16; THENCE N 00deg22'02" W 1301.72 FEET ALONG THE EAST LINE OF THE AMENDED GIOMI MINOR SUBDIVISION EXEMPTION, COUNTY OF GARFIELD, STATE OF COLORADO TO THE NORTH LINE OF SAID SECTION 16; THENCE S 89deg40'44" W 0.47 FEET • (:\2007 Clients\ VallcyFarms\I-Gen-113 O\Documcnts\E,ItIbit B VF Legal Description svpd • • • ALONG THE NORTH LINE OF SECTION 16; THENCE N 00deg37'48" W 1326.09 FEET ALONG A LINE PARALLEL TO AND 30 FEET EAST OF THE WEST LINE OF THE E1/2 OF THE SWI/4 OF THE SE 1 /4 OF SAID SECTION 9 TO THE NORTH LINE OF SAID E1/2 OF THE S W 1 /4 OF THE SE 1 /4; THENCE N 89deg32' 14" E 279.75 FEET ALONG SAID NORTH LINE OF SAID E1/2 OF THE SW 1/4 OF THE SEI/4 TO A FENCE LINE; THENCE N 00deg32'34" W 1649.50 FEET ALONG SAID FENCE LINE AND A NORTHERLY EXTENSION OF SAID FENCE LINE TO THE CENTER OF THE COLORADO RIVER; THENCE N 83deg46'02" E 251.93 FEET ALONG THE CENTER OF THE COLORADO RIVER; THENCE S 85deg06'16" E 984.78 FEET ALONG THE CENTER OF THE COLORADO RIVER; THENCE S 76deg23'17" E 1838.73 FEET ALONG THE CENTER OF THE COLORADO RIVER; THENCE S 13deg02'34" W 850.00 FEET TO TERMINUS OF DRY HOLLOW CREEK; THENCE ALONG THE CENTER OF DRY HOLLOW CREEK THE FOLLOWING COURSES: S 24deg01'03" W 98.59 FEET; THENCE S Oldegl5'45" W 130.61 FEET; THENCE S 18deg55'56" E 118.94 FEET; THENCE S 09deg39'59" E 98.62 FEET TO THE CENTER OF THE RISING SUN DITCH; THENCE ALONG THE CENTER OF THE RISING SUN DITCH THE FOLLOWING COURSES: N 89deg36'18" E 186.76 FEET; THENCE S 59deg43'23" E 133.90 FEET; THENCE S 52deg17'32" E 203.54 FEET; THENCE S 25deg29'05" E 157.11 FEET; THENCE S 41 deg54' 19" E 114.99 FEET; THENCE S 67deg37'50" E 241.92 FEET TO THE EAST LINE OF THE WEST 1/2 OF LOT 11 OF SAID SECTION 10; THENCE S 00deg34'33" E 687.20 FEET ALONG SAID EAST LINE OF THE WEST 1/2 OF LOT 11 TO THE SOUTH LINE OF SAID SECTION 10; THENCE N 89deg22'33" E 1034.80 FEET ALONG THE SOUTH LINE OF SAID SECTION 10; THENCE N 03deg39'37" E 543.11 FEET ALONG THE EAST LINE OF A PARCEL OF LAND DESCRIBED IN BOOK 757 AT PAGE 665 OF THE RECORDS OF THE CLERK AND RECORDER OF GARFIELD COUNTY, COLORADO AND A NORTHERLY EXTENSION OF SAID LINE TO THE CENTER OF THE RISING SUN DITCH; THENCE ALONG THE CENTER OF SAID DITCH THE FOLLOWING COURSES: N 80deg42'48" E 151.24 FEET; THENCE N 75deg41'18" E 191.98 FEET; THENCE N 70deg27'39" E 206.82 FEET; THENCE N 64degl F28" E 47.44 FEET; THENCE N 72deg04' 10" E 251.29 FEET; THENCE N 68deg12`45" E 107.32 FEET; THENCE N 73deg43'34" E 42.22 FEET; THENCE N 63deg57'05" E 93.27 FEET; THENCE N 61 deg09' 12" E 79.66 FEET TO THE WEST LINE OF A PARCEL OF LAND DESCRIBED IN BOOK 420 AT PAGE 576 OF THE RECORDS OF THE CLERK AND RECORDER OF GARFIELD COUNTY, COLORADO; THENCE S 09deg57'32" E 40.00 FEET ALONG SAID WEST LINE TO THE SW CORNER; THENCE N 82deg44'43" E 510.83 FEET ALONG THE SOUTH LINE OF SAID PARCEL DESCRIBED IN BOOK 420 AT PAGE 576 TO THE SE CORNER; THENCE N 77deg42'44" E 95.65 FEET TO A FENCE DESCRIBED IN EXCEPTION TO BOOK 420 AT PAGE 150 OF THE RECORDS OF THE CLERK AND RECORDER OF GARFIELD COUNTY, COLORADO; THENCE ALONG SAID FENCE THE FOLLOWING COURSES: N 89deg04'28" E 793.46 FEET; THENCE N 83degl0'05" E 1219.09 FEET; THENCE S 03deg28'41" E 390.69 FEET ALONG SAID FENCE AND A SOUTHERLY EXTENSION OF SAID FENCE TO THE SOUTH RIGHT OF WAY LINE OF COUNTY ROAD NO. 335; THENCE ALONG SAID SOUTH RIGHT OF WAY LINE THE FOLLOWING COURSES: N 81deg39'09" E 124.18 FEET; THENCE N 82deg30'39" E 282.34 FEET; THENCE 142.44 FEET ALONG THE ARC OF A CURVE TO IA2007 \ClienlsWalleyFanns\I-Gen-13301Docume tslEshibit B VF Legal Description wpd • • • THE LEFT, HAVING A RADIUS OF 414.73 FEET, A CENTRAL ANGLE OF 19deg40'43", AND SUBTENDING A CHORD BEARING N 72deg40'17" E 141.74 FEET; THENCE N 62deg49'56" E 357.75 FEET; THENCE 376.52 FEET ALONG THE ARC OF A CURVE TO THE RIGHT, HAVING A RADIUS OF 2594.93 FEET, A CENTRAL ANGLE OF 8degl8'49", AND SUBTENDING A CHORD BEARING N 66deg59'21" E 376.19 FEET; THENCE N 71 deg08'45" E 1231.32 FEET; THENCE N 67deg40'48" E 355.23 FEET; THENCE N 67deg44'38" E 265.70 FEET; THENCE N 65deg50' 18" E 185.32 FEET; THENCE N 62deg42'04" E 441.57 FEET; THENCE N 59deg46'00" E 305.67 FEET; THENCE 296.18 FEET ALONG THE ARC OF A CURVE TO THE RIGHT, HAVING A RADIUS OF 494.60 FEET, A CENTRAL ANGLE OF 34deg18'36", AND SUBTENDING A CHORD BEARING N 76deg55'18" E 291.77 FEET; THENCE S 85deg55'25" E 169.01 FEET; THENCE 139.92 FEET ALONG THE ARC OF A CURVE TO THE LEFT, HAVING A RADIUS OF 488.33 FEET, A CENTRAL ANGLE OF 16deg25'03", AND SUBTENDING A CHORD BEARING N 85deg52'04" E 139.45 FEET; THENCE N 77deg39'33" E 14.08 FEET; THENCE 78.89 FEET ALONG THE ARC OF A CURVE TO THE LEFT, HAVING A RADIUS OF 558.34 FEET, A CENTRAL ANGLE OF 8deg05'36", AND SUBTENDING A CHORD BEARING N 73deg36'40" E 78.83 FEET; THENCE N 69deg33'48" E 125.64 FEET; THENCE 128.07 FEET ALONG THE ARC OF A CURVE TO THE RIGHT, HAVING A RADIUS OF 212.38 FEET,A CENTRAL ANGLE OF 34deg33'01 ", AND SUBTENDING A CHORD BEARING N 86deg50'18" E 126.14 FEET; THENCE S 23deg31'02" E 386.47 FEET ALONG THE CENTER OF DIVIDE CREEK; THENCE S 06deg17t 4111 W 192.58 FEET ALONG THE CENTER OF DIVIDE CREEK; THENCE S 15deg09'18" E 125.39 FEET ALONG THE CENTER OF DIVIDE CREEK; THENCE S l 5deg05'02" W 643.72 FEET ALONG THE WEST LINE OF A PARCEL OF LAND DESCRIBED IN BOOK 542 AT PAGE 720 OF THE RECORDS OF THE CLERK AND RECORDER OF GARFIELD COUNTY, COLORADO; THENCE ALONG THE WEST LINE OF A PARCEL OF LAND DESCRIBED IN BOOK 781 AT PAGE 682 OF THE RECORDS OF THE CLERK AND RECORDER OF GARFIELD COUNTY, COLORADO THE FOLLOWING COURSES; S 24deg59'09" E 26.42 FEET; THENCE S 50deg23'08" W 15.14 FEET; THENCE S 33deg26'35" W 117.40 FEET; THENCE S 29deg06'53" E 37.16 FEET; THENCE N 51 deg27'28" E 22.92 FEET; THENCE N 56deg37'21" E 9.91 FEET; THENCE S 33deg22'05" E 12.04 FEET; THENCE S 56deg37'54" W 9.66 FEET; THENCE S 23deg18'16" E 16.75 FEET; THENCE S 47deg24'44" W 39.44 FEET; THENCE S 37deg59'30" E 29.20 FEET; THENCE N 51deg53'59" E 42.95 FEET; THENCE S 43deg00'37" E 42.12 FEET; THENCE S 37deg29'01" E 25.10 FEET; THENCE S 42deg29'31" E 233.99 FEET; THENCE N 76deg40'36" E 9.71 FEET; THENCE S 43deg43'43" E 264.70 FEET; THENCE S 36deg30'49" E 305.33 FEET; THENCE S 37deg15'11" E 168.12 FEET; THENCE S 25deg33'16" E 108.49 FEET; THENCE S 26deg26'48" E 385.54 FEET; THENCE S 89deg59'15" E 399.90 FEET; THENCE S 21deg22'14" E 65.38 FEET; THENCE N 74deg07'33" E 111.06 FEET; THENCE S 71deg00'22" E 69.22 FEET; THENCE S 59deg14'45" E 122.49 FEET; THENCE S 65deg52'46" E 116.94 FEET; THENCE S 46deg04'47" E 76.99 FEET; THENCE S 89deg59'15" E 30.12 FEET TO THE WEST RIGHT OF WAY LINE OF COUNTY ROAD NO. 31 1; THENCE ALONG SAID WEST RIGHT OF WAY LINE THE FOLLOWING COURSES: S 43deg00'04" E 177.21 FEET; THENCE 860.24 FEET ALONG THE ARC OF A CURVE TO THE RIGHT, C\200TCIicnls\ValleyFarnu\I-Gen-13.30\Davmems\Exhibil B VF Legal Description wpd • • • HAVING A RADIUS OF 1611.66 FEET, A CENTRAL ANGLE OF 30deg34'55", AND SUBTENDING A CHORD BEARING S 27deg42'36" E 850.06 FEET; THENCE S 12deg25'09" E 393.97 FEET; THENCE S 1 ldeg30'00" E 90.63 FEET; THENCE 138.15 FEET ALONG THE ARC OF A CURVE TO THE LEFT, HAVING A RADIUS OF 494.70 FEET, A CENTRAL ANGLE OF 16deg00'00", AND SUBTENDING A CHORD BEARING S 19deg30'00" E 137.70 FEET; THENCE 122.21 FEET ALONG THE ARC OF A CURVE TO THE RIGHT, HAVING A RADIUS OF 511.09 FEET, A CENTRAL ANGLE OF 13deg42'00", AND SUBTENDING A CHORD BEARING S 20deg39'00" E 121.92 FEET; THENCE S 13deg48'00" E 203.76 FEET; THENCE 298.06 FEET ALONG THE ARC OF A CURVE TO THE RIGHT, HAVING A RADIUS OF 4856.26 FEET, A CENTRAL ANGLE OF 03deg31'00", AND SUBTENDING A CHORD BEARING S 12deg02'30" E 298.02 FEET; THENCE S 10deg17'00" E 239.30 FEET; THENCE 209.70 FEET ALONG THE ARC OF A CURVE TO THE LEFT, HAVING A RADIUS OF 495.47 FEET, A CENTRAL ANGLE OF 24deg15'00", AND SUBTENDING A CHORD BEARING S 22deg24'30" E 208.14 FEET; THENCE S 34deg32'00" E 61.81 FEET; THENCE 183.10 FEET ALONG THE ARC OF A CURVE TO THE RIGHT, HAVING A RADIUS OF 406.63 FEET, A CENTRAL ANGLE OF 25deg48'00", AND SUBTENDING A CHORD BEARING S 21deg38'00" E 181.56 FEET; THENCE S 08deg44'00" E 177.30 FEET; THENCE 195.51 FEET ALONG THE ARC OF A CURVE TO THE RIGHT, HAVING A RADIUS OF 1408.02 FEET; A CENTRAL ANGLE OF 7deg57'21 ", AND SUBTENDING A CHORD BEARING S 04deg45'19" E 195.36 FEET; THENCE S 00deg46'39" E 299.58 FEET; THENCE 97.60 FEET ALONG THE ARC OF A CURVE TO THE RIGHT, HAVING A RADIUS OF 1247.08 FEET, A CENTRAL ANGLE OF 4deg29'03", AND SUBTENDING A CHORD BEARING S Oldeg27'53" W 97.58 FEET; THENCE S 03deg42'24" W 134.51 FEET; THENCE 210.65 FEET ALONG THE ARC OF CURVE TO THE LEFT, HAVING A RADIUS OF 432.03 FEET, A CENTRAL ANGLE OF 27deg56'12", AND SUBTENDING A CHORD BEARING S 10deg15'42" E 208.57 FEET; THENCE S 24deg13'47" E 271.62 FEET; THENCE 136.15 FEET ALONG THE ARC OF A CURVE TO THE RIGHT, HAVING A RADIUS OF 343.75 FEET, A CENTRAL ANGLE OF 22deg41'36", AND SUBTENDING A CHORD BEARING S 12deg52'59" E 135.26 FEET; THENCE S Oldeg32111" E 107.57 FEET; THENCE 206.20 FEET ALONG THE ARC OF A CURVE TO THE LEFT, HAVING A RADIUS OF 864.80 FEET, A CENTRAL ANGLE OF 13deg39'42", AND SUBTENDING A CHORD BEARING S 08deg22'03" E 205.72 FEET; THENCE S 15deg1F54" E 23.71 FEET TO THE SOUTH LINE OF SAID SECTION 13; THENCE S 89deg09'00" W 1328.03 FEET ALONG THE SOUTH LINE OF SAID SECTION 13 TO THE SOUTH 1/4 OF SAID SECTION 13; THENCE N 00deg41'19" W 1315.58 FEET ALONG THE WEST LINE OF THE SE1/4 OF SAID SECTION 13 TO THE SOUTH BOUNDARY OF MINEOTA RIDGE ESTATES, FILING NO. 3; THENCE S 89deg17'01" W 2635.36 FEET ALONG SAID SOUTH LINE; THENCE S 89deg49'01" W 1324.02 FEET ALONG SAID SOUTH LINE TO THE POINT OF BEGINNING, CONTAINING 1471.89 ACRES MORE OR LESS. 1:\2007\Clients\VaIlcyFarnu\V-GenrI330\Docamcnts\Eshibil B VF Legal Description wpd ■III PI Il:1«51. 11i,iiR 11 II Receptiontl 717783 07'77121107 04 49 73 uM B '396 P 0734 Jean Albar<<:o 31 1 Rec Fee 5.:6 CO Out: Vee C 00 GµRC'1Et 0 cot" v CC • ROAD IMPACT ROYALTY AGREEMENT • • THIS ROAD IMPACT ROYALTY AGREEMENT ("Agreement") is made and entered into on this 12:11".day of 47 r a , 2007, being the date last approved by Resolution and/or Ordinance of the parties hereto, effecti a as of the Effective Date set forth below, between SILT SAND & GRAVEL LLC, a Colorado limited liability company, whose address is 0304 Highway 133, Carbondale, Colorado 81623, and TILE TOWN OF SILT, COLORADO ("Town"), a municipal corporation in the State of Colorado, whose address is 231 North Seventh, P.O. Box 70, Silt, Colorado 81652. RECITALS WHEREAS, Operator owns Silt Sand and Gravel LLC, a Colorado limited liability company; WHEREAS, the Operator will remove sand and gravel from the proposed Grand River Park Project gravel pit, located in Garfield County on the western boundary of the Town ("Property"); WHEREAS, the Operator is willing to pay a royalty to the 'town for the road impacts associated with sand and gravel extraction in accordance with the terms of this Agreement for the reasons set forth herein; WHEREAS, the Operator desires to satisfy certain recommendations issued by the Garfield County Planning and Zoning Commission pertaining to road impacts affecting the Town; WHEREAS, pursuant to C.R.S. section 29-20-101 et seq., the Town has the authority to accept such payments for impacts to assist with the maintenance, operation, repair and replacement of municipal infrastructure; and WHEREAS, the Town has the authority as a Home Rule Municipality to accept such payments for impacts to municipal infrastructure. NOW, THEREFORE, based upon the foregoing and in exchange for the consideration recited herein, the parties desire to reduce this agreement to writing. ROYALTY PROVISIONS I. ROYALTY. Subject to the provisions hereinafter set forth, the Operator shall pay to the Town for all sand and gravel extracted from the Property during each calendar month a royalty at the rate of Ten Cents ($.10) per product ton of two thousand (2000) pounds. The Operator shall keep and maintain adequate and accurate records of the quantities of sand and gravel extracted from the Property. The royalty payments shall be accompanied by a monthly statement with the royalty calculation that includes an accounting of the tons of sand Road Impact Royalty Agreement Page 1 of 7 Silt Sand & Gravel, LLC and the Town of Silt E \,\Gypsum RanchlUang+ Propetty\Slit Sand & Gravel\Final CIen Road Impact Royalty Agri Joc ■III 11n I:1 i14 M4 Int i41Aber1i41`'titWA1 111111 Receptiontl. 717783 2/22/200' (34 49 23 PM B 1896 P 4)735 .lean Alberico 2 of 7 9ec Fen 5,t6 00 Doc Fee 0 00 GARI IELI) COUNTY CO and gravel extracted or deemed extracted as hereinafter defined for the month. The Town shall have the right at all reasonable times during business hours and upon reasonable prior notice to examine such records of the Operator at the offices of the Operator and to verify the quantities of sand and gravel extracted and the accuracy of the scales used to weigh the same. Sand and gravel "extracted" or "deemed extracted" for purposes of calculating the royalty due shall mean all sand and ravel removed from the Property, subject to the following exclusions: A. Sand and gravel "extracted" or "deemed extracted" shall not include sand and gravel used by the Operator in constructing, maintaining or repairing roadways within the Property or used in other areas of the Property or the construction, maintenance and repair of roadways and driveways on or in connection with the Property, including but not limited to any such road construction, maintenance or repair required under Operator's approved permits. B. Sand and gravel "extracted" or "deemed extracted" shall not include tailings or washed fines nor shall such terms included materials brought onto the Property for use in recycling operations or used on the Property for reclamation purposes in accordance with Operator's approved permits. C. Sand and gravel "extracted" or "deemed extracted" shall not include sand and gravel removed and transported from the Property over and across roadways other than those identified in Paragraph 4., hereinbelow. 2. WEIGHING OF SAND AND GRAVEL. For the purpose of calculating the royalty due, pursuant to Paragraph I, hereinabove, quantities of the sand and gravel extracted from the Property on which said royalty is due shall be measured as follows: All sand and gravel shall be weighed on a certified scale upon its removal from the Property. Accuracy of the scale shall be checked and adjustments made at least as often as is required to continue to be certified. Records of the accuracy check and adjustments shall be preserved and made available in the same manner as other records. 3. TERM AND PAYMENT. This Agreement shall start and remain in effect for the duration of commercial sand and gravel mining operations within the Property unless otherwise terminated as hereinafter set forth. Operator shall pay the royalty due within thirty (30) days after the close of such calendar month. All royalties paid under this Agreement shall be maintained by the Town in a separate enterprise fund, managed in accordance with current GASB accounting requirements. Any royalty not paid when due shall bear interest at the annual rate of interest of ten percent (10%). Should any royalty remain unpaid thirty (30) days beyond the receipt by the Operator of written notice of default as provided in Paragraph 9., hereinbelow, said royalty shall thereafter bear interest at the default rate of fourteen percent (14%), compounded annually. Road Impact Royalty Agreement Page 2 of 7 Silt Sand & Gravel, LLC and the Town of Silt E \G\Gypsum Ranch\Hangs Property\Silt Sand & Gravel\Final C'ean Road Impact Royalty AgrI hoc ■IIIIV1 P:�iIh�,MNt� L '��1�4( ti��,��1i�11 �L 11111 Reccptiontf• 717753 02/22/2007 l:4 49 23 PM B 1096 P 0736 Jean Qlbe'=co 3 ul 1 Rec Fr• Sa6.U0 Doc Kae 0 40 GHRFIELO C0JNFV CO In the event that a dispute arises between the Town and Operator as to the amount of the royalty due, the Operator shall pay to the Town the amount claimed by the Town; provided however, that the "Town shall place such disputed amount into a separate escrow account. Thereafter the Town and Operator shall mediate their claims as to the applicable royalty to he paid. If the Town and Operator are unable to resolve their claims as to the escrowed royalty through mediation within thirty (30) days of the date the disputed funds are escrowed, the parties may thereafter pursue their respective civil claims thereto as hereinafter provided. 4. APPLICATION OF ROYALTY PAYMENTS. The royalty(ies) shall be applied by the Town to the maintenance and/or improvement of the following municipal roads: County Road 346 from the western boundary of the Town limits east to its intersection of County Road 311; County Road 311 from its intersection of County Road 346 north to the Frontage Road; County Road 331 from the southern boundary of the Town limits north to its intersection of County Road 346, and such other roads within the Town limits which are utilized by the Operator as haul routes. 5. OTHER FEES, CREDITS. The parties acknowledge that the royalty(ies) contemplated in Section one (1) is by agreement, and that the Town has not performed an impact analysis to determine the actual road impacts associated with sand and gravel extraction operations on the Property, and is basing this royalty amount due to it on the best information it has before it at this time. If the Town performs a road irnpact analysis in the future, as the Town now is contemplating and as is permitted in C.R.S. section 29-20-101, et seq., and pursuant thereto adopts by ordinance of general applicability, a road impact fee for a such uses or similar uses, Operator shall be responsible for the payment of the established impact fee; provided however, that as against said impact fee, Operator shall receive a credit as to all royalty amounts paid by the Operator to the Town under this Agreement. In the event that the impact analysis demonstrates an impact of less than ten cents ($.10) per ton, the Town shall not be required to provide a refund to the Operator. 6. DEANNEXATION. If the Town de -annexes all of the roads enumerated in Section three (4), the Town shall remit the remaining balance of the enterprise fund to the Operator, not including the value of any expenditures made or committed for expenditure prior to the date of de -annexation and this agreement shall terminate and be of no further force or effect. 7. DEFAULT BY TOWN. A "breach" or "default" by the Town under this Agreement shall be defined as the Town's failure to fulfill or perform any material obligation of the Town contained in this Agreement. A. DEFAULT BY OPERATOR. A "breach" or "default" by Operator shall be defined as Operator's failure to fulfill or perform any obligation of Operator contained in this Agreement. 9. NOTICES OF DEFAULT. In the event of a default by either party under this Agreement, the non -defaulting party shall deliver written notice to the defaulting party of such default, at the address and in the manner specified in Section 21, and the defaulting party shall have thirty (30) days from and after receipt of such notice to cure such default. Road Impact Royalty Agreement Page 3 of 7 Silt Sand & Gravel, LLC and the Town of Silt E \G\Gypsum Ranch\Hangs PropertylSilt Sand &Gravel1Final Clean Road Impact Royalty Agrl doc 11111 14''''4 h.,"I�� { f lii�'f1��:1�14r'I>fi'll' I'il 1 �L 11 III Reception#'. 717783 )2122 -?.007 )4 49 23 PM 9 1096 P 0737 Joan 01Oar ico y jl iter Fee $3h 00 Doc Foe 0 00 GRNFIELD 000111Y 00 10. REMEDIES. If any default under this Agreement is not cured as described above, the non -defaulting party shall, subject to the mediation procedures hereinabove contained, have the right to enforce the defaulting party's obligations hereunder by an action for specific performance and/or an action for damages. Venue for such action shall lie exclusively in the [District and County courts, Garfield County, Glenwood Springs, Colorado as applicable. 11. ASSIGNMENT. The Parties agree and acknowledge that the rights and obligations of Operator under this Agreement may be assigned by the Operator to persons or entities without the prior consent of the Town; provided, however, such assignee agrees in writing to be bound by the terms and conditions of this Agreement, and the Operator shall give notice to the '['own pursuant to Paragraph twenty-one (21) of any such conveyance, together with the assignee's written agreement to be bound by the terms and conditions of this Agreement. 12. WAIVER OF DEFECTS. In executing this Agreement, Operator waives all objections it may have concerning defects, if any, in the formalities whereby it has executed, or concerning the power of the Town to impose conditions on Operator as set forth herein, and concerning the procedure, substance and form of the ordinances or resolutions adopting this Agreement. 13. MODIFICATIONS. This Agreement shall not be amended, except by subsequent written agreement of the Town and the Operator. 14. RELEASE OF LIABILITY. Neither the Town nor Operator shall be legally bound by any representation of any of its officers, agents, members or designees not contained within this Agreement except as is otherwise allowed under the Municipal Code and, Municipal Ordinances of the "Town of Silt, Colorado. The Operator, when dealing with the Town, acts at its own risk as to any representation or undertaking by Town officers or agents or their designees, which is subsequently held to be unlawful by a court of law. 15. CAPTIONS. The captions of this Agreement are inserted only for convenience and in no way define or limit the scope or intent of this Agreement or any part thereof. 16. BINDING EFFECT. This Agreernent shall be binding upon and inure to the benefit of the parties hereto and their respective heirs, successors and assigns. 17. INVALID PROVISION. If any provision of this Agreement shall be determined to be void by any Court of competent jurisdiction, then such determination shall not affect any other provision hereof, all of which other provisions shall remain in full force and effect. It is the intention of the parties hereto that, if any provision of this Agreement is capable of two constructions, one of which would render the provision void, and the other of which would render the provision valid, then the provision shall have the meaning which renders it valid. 18. GOVERNING LAW. The laws of the State of Colorado shall govern the validity, performance and enforcement of this Agreement. Should any party institute legal suit or action for enforcement of any obligations contained herein, it is agreed that the venue of such suit or action shall be in C;artield County, Colorado. 19. ATTORNEY'S FEES; SURVIVAL. Should this Agreement become the subject of litigation between the Town and the Operator, the Court shall award to the prevailing party Road Impact Royalty Agreement Page 4 of 7 Silt Sand & Gravel, LLC and the Town of Silt E G\Gvpswn Ranch\Hangs Property\Silt Sand & Gravel\Final Clean Road impact Royalty Agrl doe ■1111101 111.110 1111,41014 IOWA11 Ill�l'.N�'1 1111 Recepttornt*: 717783 02::1'200" )4 4q '.3 PM 8 1I4Hi P 0718 .)wan Rlberlco 01 Rec -or $36 00 'iA3c Fee 0 00 0RE IELD COUNTY CO attorney's fees and costs of suit actually incurred, including expert witness fees. All rights concerning remedies and/or attorney's fees shall survive any termination of this Agreement. 20. AUTHORITY. l .ach person signing this Agreement represents and warrants that they are Billy authorized to enter into and execute this Agreement and to bind the party it represents to the terms and conditions hereof. 2L COUNTERPART. This Agreement may be executed in counterparts, each of which shall be deemed an original, and all of which, when taken together, shall be deemed one and the same instrument. 22. NOTICE. All notices required under this Agreement shall be in writing and shall be hand delivered or sent by facsimile transmission or registered or certified mail, return receipt requested, postage prepaid, to the addresses of the parties hereinafter set forth. All notices by hand delivery shall be effective upon receipt. All facsimile transmission shall be effective upon transmission receipt. All notices by mail shall be considered effective seventy-two (72) hours after deposit in the United States mail with a proper address as set forth below. Either party by notice so given may change the address to which future notices shall be sent. Notice to Town: Notice to Counsel: Notice to Operator: Notice to Counsel: Town of Silt Town Administrator 231 North 7th Street P. O. Box 70 Silt, CO 81652 Telephone: (970) 876-2353 Facsimile: (970) 876-2937 Town of Silt Attn: Pamela Barber 231 North Seventh P.O. Box 70 Silt, CO 81652 Telephone: (970) 876-2353 Facsimile: (970) 876-2937 Silt Sand & Gravel LLC Inc. Attn: William M. Roberts 0304 Highway 133 Carbondale, CO 81623 Telephone: i 970) 963-9424 Timothy A. Thulson 818 Colorado Avenue Glenwood Springs, CO 81601 Telephone: (970) 945-6546 Facsimile: (970) 945-8902 Road Impact Royalty Agreement Page 5 of 7 Silt Sand & Gravel, LLC and the Town of Silt I :G'Gypsum Ranchdiangs Property'Sdt Sand & Gtavel\Final ('lean Road Impact Royalty .Agri doe VIIIF.11111;JULIKHIL►Ytti MOWN% I10,I1tt1 1111 R�ceptianp' 717783 02 r 1112007 04 14 11.3 {,M 8 t096 P 07.19 Jean A l ber u;o G ut : Roc Few 1,36 JO Doc Fee 0 L)O UORFIE0U COUNFY CO 23. GENDER. Whenever the context shall require, the singular number shall include the plural, the plural the singular, and the use of any gender shall be applicable to all genders. 24. RECITALS. For the purposes of clarity, the parties state that all recitals set forth in this agreement explicitly constitute a part of the agreement of the parties and that the parties agree to be hound by the same. WHEREFORE, the parties hereto have executed duplicate originals of this Agreement on the day and year first above written. TOWN OF SII), COLORADO, a Colorado 13y: Ric By: Tod '1 .1_ unikipal Corporatiop' d J. Luise, To Manager ATTEST: tts, Mayor Pro Tem Sheila McIntyre, Town Clerk SILT SAND & GRAVEL LLC a Colorado limited liability company By: [JILL__ri William M. Roberts, Manager Road Impact Royalty Agreement Page 6 of 7 Silt Sand & Gravel, LLC and the Town of Silt E .V Gypsum Ranch }fangs Property\.Silt Sand & Gravel\Final Clean Road Impact Royalty Agri doe ■III II:1 X1/11 VItYLIV1.14CG04K, 141,M11111111 Reception$' 717783 117)2212007 04 49 13 PM 8 1096 P 0740 Jain Plbertco of i Rea Fele $36 00 Jac toe 0.00 GARFIELD COUNTY CO STATE OF COLORADO COUNTY OF GARFIELD The Foregoing instrument was acknowledged, subscribed and sworn to before me this 2L4r day of11 i , 2007, by Richard J. Aluise, as Town Administrator, and Tod Tibbetts, as Mayor Pro Tem, on behalf of the Town of Silt, Colorado, a Colorado Municipal Corporation. Witness my hand and official seal. ``++A++11t1111I11� MM �4 ublic = •• My b ivission expires: _co NOTARy•c� SI •PUBLIC • VS, ).4)>,. • O IC - \��`\ 4,0„L STATE OF COLORADO ) ) ss. COUNTY OF GARFIELD ) The foregoing instrument was acknowledged, subscribed and sworn to before me this .2-5C14 day of r E6Re+AZ `t , 2007, by William Roberts, Manager of Silt Sand & Gravel LLC. Witness my hand and official seal. Notary Public My commission expires: Road Impact Royalty Agreement Page 7 of 7 Silt Sand & Gravel, LLC and the Town of Silt I .C; Gypsum Ranch'',Hangs Prcperty\Silt Sand do ('rave Final l Ivan Road Impact Royalty Agri Joc: 1 o c,