relocating the top portion of the Alder waste rock dump to the North Alabama pit and 

 covering and revegetating both areas. Reclamation at Landusky is complete under the 

 L4 alternative with the exception of partially backfilling portions of the pit with the 

 85-86 leach pad, which is currently being removed from the headwaters of Montana 

 Gulch, and the completion of some ongoing contracts. As of August 2004, the DEQand 

 its contractors determined that there were sufficient funds available to complete the 

 L4 reclamation alternative for Landusky by the end of 2005, but that the agencies 

 were still $1 .423 million short in the amount of funds necessary to complete the Z6 

 alternative at the Zortman mine.^° 



F 



uture Needs - Reclamation and water 

 Quality 



Reclamation 



Through March 2004, the DEQhad spent approximately $37,281,163 to reclaim the 

 Zortman and Landusky mines including $33,666,658 in bond settlement funds, 

 $2,017,905 in federal dollars, and $1,596,600 in state funds. ^' The agency's efforts at 

 source control through mine reclamation appear to be nearing completion with the 

 reclamation of the mines in accordance with the preferred alternatives Z6 and L4 

 despite the initial shortage of bond money. 



The asencies determined they are 

 short $1,423 million in the amount 

 of funds necessary to complete the 

 16 alternative at the Zortman Mine. 



Recently, the BLM was able to obtain an 

 additional $1.2 million through its 

 abandoned mine program to complete 

 the L4 alternative and remove and 

 reclaim the Landusky 85-86 heap leach 



pad and use the material to help backfill 



and further isolate materials in the 



Landusky pit." This leaves the reclamation project short by the $1 .423 million for 

 completion of the Z6 alternative at Zortman. The DEQhas submitted an application to 

 the Department of Natural Resources and Conservation (DNRC) for a $300,000 

 Reclamation and Development Grant (RDG) to help cover some of those costs. Grant 

 applications are ranked by the DNRC, and the priority projects will be recommended 

 to the 2005 Legislature for approval and funding in House Bill 7. The revenue is 

 generated from interest on the Resource Indemnity Trust Fund. 



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