DRC-2011-007741 - 0901a0688029acca

State of Utah
GARY R. HERBERT
Govemor
GREGBELL
Lieutenant Govemor
Department of
Environmental Quality
Amanda Smith
Executive Director
DIVISION OF RADIATION CONTROL
Rusty Lundberg
Director
December 28, 2011
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Re: Final Memo / PG
David C Frydenlund
Denison Mines ( USA) Corp
1050 17th Street, Suite 950
Denver, Co 80265
PS Form 3800. August 2006 See Reverse for Instructions.
David C. Frydenlund, Vice President, Regulatory Affairs and Counsel
Denison Mines (USA) Corp.
1050 17'^ Street
Suite 950
Denver, CO 80265
Subject: Final Memorandum of Agreement between DRC and Denison Mines (USA) Corp.
Regarding URS Services for the White Mesa Nitrate Corrective Action Plan
Review
Dear Mr. Frydenlund:
A copy ofthe Final and Executed Memorandum of Agreement between the Utah Division of
Radiation Control and Denison Mines (USA) Corp for the Nitrate Corrective Action Plan Review,
is enclosed.
Ifyou have any questions or concems regarding this transmittal, please contact Phil Goble at
[phone].
Sincerely,
Rusty Lundberg, Director
Utah Division of Radiation Control
195 North 1950 West • Salt Uke City, UT
Mailing Address: P.O. Box 144850 • Salt Uke City, UT 84114-4850
Telephone (801) 536^250 • Fax (801) 533^097 • T.D.D. (801) 536^14
www.deq. utah.gov
Printed on 100% recycled paper
MEMORANDUM OF AGREEMENT
BETWEEN
UTAH DIVISION OF RADIATION CONTROL
AND
DENISON MINES (USA) CORP.
L General
The Utah Division of Radiation Control (DRC) and Denison Mines (USA) Corp. (DUSA)
hereby enter into this Memorandum of Agreement (MOA).
A. DUSA owns and operates a uranium mill processing and tailings facility near Blanding,
Utah named the White Mesa Uranium Mill.
B. A Stipulated Consent Agreement, Docket No. UGW09-03-A (SCA) was Duly Executed
by DRC and DUSA on September 30, 2011 which addresses corrective actions for
groundwater contamination (nitrate and chloride) in groundwater below and in the
vicinity of the White Mesa Uranium Mill.
C. The SCA requires the submission ofa Corrective Action Plan to DRC by November 30,
2011.
D. The SCA Part 11 .A. specifies 3 phases of activity to be included in the Nitrate CAP.
These include:
1) Phase I - Source control activities at the Ammonium Sulfate Crystal Tanks
2) Phase II - Active near term remediation ofthe ground water contamination
3) Phase III - Long term remediation plan for the ground water contamination
E. The SCA Part 11 .B. outlines minimum performance measures as well as additional
measures, other than those in the 3 phases listed in Part 11 .A., required by the Co-
Executive Secretary, in order to insure that the CAP meets the intention of all applicable
mles and regulations.
F. On November 29, 2011, DRC received the required CAP from DUSA (via e-mail). The
CAP is dated November 30, 2011 and was prepared for DUSA by Hydro Geo Chem Inc.
G. Part 1 l.F.l of the SCA states that DUSA will reimburse DRC for reasonable costs
incurred for ''Consulting services rendered by URS for review of the CAP, including any
document submitted to the Executive Secretary under Item 11 of this Agreement prior to
and in connection with approval of the CAP'''
H. In conformance wdth the SCA, this MOA pertains to project tasks associated with the
following:
1) URS review ofthe DUSA November 30, 2011 CAP and associated activities.
I. This agreement may be extended or modified to include other identified project tasks or
phases of activity (future revisions), if expressly agreed to in writing by both parties to
this agreement at least 30 days prior to its expiration date.
Decembers, 2011, Rev. 0 Pagel
II. Duration
This MOA will become effective immediately upon signature by authorized representatives
ofDUSAandDRC.
This MOA will expire on December 31, 2012.
The DEQ fee schedule allows for reimbursement of actual costs of special projects.
III. Agreement
Per this MOA DRC Agrees to:
A. Engage the services of URS Corporation to accomplish review of the November 30, 2011
CAP under the current contract (State Contract No. 116259). URS will follow the agreed
upon tasks and total costs in Attachment A of this Agreement to the degree possible.
B. Provide DUSA with:
a. A URS technical memorandum detailing the URS review summary and specific
comments regarding review ofthe CAP (which also incorporate any additional
DRC review comments related to the CAP),
b. Any URS invoices for services rendered on the project, including hour's
expended, hourly rates and job classification of URS staff involved, and a
breakdown of any other expenses incurred during project completion.
C. Bill DUSA for URS work efforts in completion of the project described above, up to
$27,336, These costs are based on the work elements and schedule assumptions found iri
Attachmerit A of this Agreement (Note that the cost estimate projects that the initial
November 30, 2011 CAP be reviewed, as well as 2 additional revisions, the costs for
review of revisions will only apply if needed). Additionally, the cost estimate provides
for three telephone conferences between DRC and URS; and three telephone conferences
or face-to-face meetings amongst URS, the DRC and DUSA. This agreement may be
amended, for any reason, after consent by both parties.
DUSA Agrees to:
Provide DRC with timely payment of any invoice(s) for URS Corporation consulting
services related to completion of the activities referenced in this Agreement.
SIGNATURES:
Rusty Lund'l2prg, Director Q Amnqrizeti Representative
Division of Radiation Control Denison Mines (USA) Corp.
Date Date
December 8, 2011, Rev. 0 Page 2
Attachment A - Cost Estimates for URS by task and staff time
NITRATE PLUME CORRECTIVE ACTION PLAN REVIEW;
BASIS FOR COST ESTIMATE
Person Hours
Baird 16
Hydro 44
Admin-01 12
Bitter 32
Cox 46
Brown-Gustin 62
Greenwood 4
Admln-02 9
Total Hours 225
Labor Cost $27,275
Other Direct Costs $61
Total Cost $27,336
Activity Hours £ss!
Review draft Corrective Action Plan 122 $14,291
Review revised draft Corrective Action Plan 64 $7,841
Review final Corrective Action Plan 39 $5,205
Totals 225 $27,336
December 8, 2011, Rev. 0 Page 3
MEMORANDUM OF AGREEMENT
BETWEEN
UTAH DIVISION OF RADIATION CONTROL
AND
DENISON MINES (USA) CORP.
I. General
The Utah Division of Radiation Control (DRC) and Denison Mines (USA) Corp. (DUSA)
hereby enter into this Memorandum of Agreement (MOA).
A. DUSA ovms and operates a uranium mill processing and tailings facility near Blanding,
Utah named the White Mesa Uranium Mill.
B. A Stipulated Consent Agreement, Docket No. UGW09-03-A (SCA) was Duly Executed
by DRC and DUSA on September 30,2011 which addresses corrective actions for
groundwater contamination (nitrate and chloride) in groundwater below and in the
vicinity of the White Mesa Uranium Mill.
C. The SCA requires the submission of a Corrective Action Plan to DRC by November 30,
2011.
D. The SCA Part 1 I.A. specifies 3 phases of activity to be included in the Nitrate CAP.
These include:
1) Phase I - Source control activities at the Ammonium Sulfate Crystal Tanks
2) Phase II - Active near term remediation ofthe ground water contamination
3) Phase III - Long term remediation plan for the ground water contamination
E. The SCA Part 11 .B. outlines minimum performance measures as well as additional
measures, other than those in the 3 phases listed in Part 11.A., required by the Co-
Executive Secretary, in order to insure that the CAP meets the intention of all applicable
mles and regulations.
F. On November 29, 2011, DRC received the required CAP fi:om DUSA (via e-mail). The
CAP is dated November 30, 20IT and was prepared for DUSA by Hydro Geo Chem Inc.
G. Part 11 .F.I ofthe SCA states that DUSA will reimburse DRC for reasonable costs
incurred for "Consulting services rendered by URSfor review of the CAP, including any
document submitted to the Executive Secretary under Item 11 of this Agreement prior to
and in connection with approval ofthe CAP."
H. In conformance with the SCA, this MOA pertains to project tasks associated with the
following:
1) URS review ofthe DUSA November 30,2011 CAP and associated activities.
I. This agreement may be extended or modified to include other identified project tasks or
phases of activity (future revisions), if expressly agreed to in writing by both parties to
this agreement at least 30 days prior to its expiration date.
Decembers, 2011, Rev. 0 Pagel
Attachment A - Cost Estimates for URS by task and staff time
NITRATE PLUME CORRECTIVE ACTION PLAN REVIEW;
BASIS FOR COST ESTIMATE
Person Hours
Baird 16
Hydro 44
Admin-01 12
Bitter 32
Cox 46
Brown-Gustin 62
Greenwood 4
Admin-02 9
Total Hours 225
Labor Cost $27,275
Other Direct Costs $61
Total Cost $27,336
Activity HOUrS £i2St
Review draft Corrective Action Plan 122 $14,291
Review revised draft Corrective Action Plan 64 $7,841
Review final Corrective Action Plan 39 $5,205
Totals 225 $27,336
December 8, 2011, Rev. 0 Page 3