Form 3600-9 Contract for the Sale of Mineral Materials

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Form 3600-9
(October 2017)

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FORM APPROVED
OMB NO. 1004-0103
Expires: October 31, 2017

UNITED STATES
DEPARTMENT OF THE INTERIOR
BUREAU OF LAND MANAGEMENT

Office

CONTRACT FOR THE SALE OF MINERAL MATERIALS

Contract Serial Number

The UNITED STATES OF AMERICA acting through the Bureau of Land Management (BLM), and
you, the purchaser, make this AGREEMENT, under the authority of the Act of July 31, 1947 (61 Stat. 681), as
amended at 30 U.S.C. 601 through 604, and the regulations at 43 CFR Group 3600.
We agree:
Sec 1. Contract area – Under the terms and conditions of this contract, the United States sells to you and you buy the mineral materials listed in
Section 2 and contained in the following lands as shown on the map and mining plan attached to this contract:

COUNTY

STATE TOWNSHIP

RANGE

SECTION

ALIQUOT PARTS

MERIDIAN

ACREAGE

Pit Name (if any):
BLM will check this box if this contract is in a Community Pit. Community Pit Serial Number:
Sec. 2. Amount and price of materials – The United States determines the total purchase price by multiplying the total quantity of mineral material
designated by the unit price given below, or as changed through reappraisal.

KIND OF MATERIAL
You may list only one material commodity per
contract

QUANTITY
(Unit of Measure must be
specified in next column)

UNIT OF
MEASURE
Cubic Yards
OR
Tons
(Choose only 1)

PRICE
PER
UNIT

TOTAL PRICE

Select a material type

$0.00

Reclamation Fee, if in a Community Pit:

TOTAL PURCHASE PRICE

$0.00
$0.00

PERFORMANCE BOND
BLM’s determination of the amount of materials that you have taken under the contract is binding on you. You may appeal this determination as
provided in Section 19.
You are liable for the total purchase price, even if the quantity of materials you ultimately extract is less than the amount shown above. You
may not mine more than the quantity of materials shown in the contract.
If you pay in full in advance, BLM will check this box, and Subsections 3(a) through 3(c) do not apply to your contract.
You must pay in full for all sales of $2,000 or less.

Sec. 3. Payments, title, and reappraisals – You may not extract the materials until you have paid in advance for
them in full $
, or paid the first installment of $
.
(a) If you pay in installments, you must pay the first installment before BLM approves the contract.
(b) Once you start removing material, you must pay each subsequent installment payment monthly in an amount equal to the value of materials
removed in the previous month. Payment must be made by the 15th day following the end of the month for which you are reporting. You must pay
the total purchase price not later than 60 days before the contract expires.
(Continued on page 2)

(c) The United States will retain the first installment as security for
your full and faithful performance and will apply it to the last
installment required to make the total payment equal to the total price
given in Section 2.
If you are late making an installment payment, you must not remove
any more material until you have paid. Removing material you have not
paid for is trespass, and for trespass you must pay at triple the appraised
unit price, or at triple the reappraised unit price if BLM has made a
reappraisal. To resume removal operations after you were late making
payments, you must obtain BLM’s written approval.
(d) You must annually produce an amount sufficient to pay to the
United States a sum of money equal to the first installment identified in
this section. In lieu of such production, you may make an annual
payment in the amount of the first installment. If in any contract year
you make production payments that are less than the first installment,
you must pay the difference between the production payments and the
amount of the first installment. These annual payments are due on or
before each anniversary date of the contract.
(e) You receive title to the mineral materials only after you have
paid for them and extracted them.

Sec. 9. Assignments - You may not assign this contract without BLM’s
written approval.
Sec. 10. Modification of the Approved Mining or Reclamation Plan - You
or BLM may initiate modification of these plans to adjust for changed
conditions, or to correct any oversight. The conditions for BLM requiring
you to modify these plans, or approving your request for modification are
found in the regulations at 43 CFR 3601.44.
Sec. 11. Expiration of contract - This contract will expire
months,
days from its
years,
approval date, unless BLM extends the term or renews the contract.
Sec. 12. Extensions of time - BLM may grant you an extension of time in
which to comply with contract provisions under the regulations at 43 CFR
3602.27. For contracts with terms over 90 days, you must apply in writing
no less than 30 or more than 90 days before your contract expires. For
contracts with terms of 90 days or less you must apply no later than 15
days before your contract expires.

Sec. 4. Bonds - (a) You must furnish BLM with a performance
bond in the amount of $
as a
condition of issuing this contract.

BLM will check this box if this contract is a renewable
competitive contract.

(b) If you do not perform all terms of the contract, BLM will deduct
an amount equal to the damages from the face amount of the bond. If
the damages exceed the amount of the bond, you are liable for the
excess. BLM will cancel the bond or return the cash or U.S. bonds you
supplied when you have completed performance under this contract.

Sec. 13. Renewal of renewable competitive contract - BLM will renew
your renewable competitive contract if you apply in writing no less than
90 days before your contract expires and you meet the conditions in the
regulations at 43 CFR 3602.47.

(c) BLM will require a new bond when it finds any bond you
furnish under this contract to be unsatisfactory.
Sec. 5. Risk of loss - You assume complete risk of loss for all materials
to which you have title. If material covered by this contract is damaged
or destroyed before title passes, you are liable for all loss suffered if you
or your agents are directly or indirectly responsible for the damages. If
you are not responsible for the damage or destruction, you are liable
only to the extent that the loss was caused by your failure to remove the
material under the terms of this contract. You are still liable for breach
of contract or any wrongful or negligent act.
Sec. 6. Liability for damage to materials not sold to you - You are
liable for loss or damage to materials not sold to you if you or your
agents are directly or indirectly responsible for the damage or loss. You
are also liable if you fail to perform under the contract according to
BLM’s instructions and the United States incurs costs resulting from
your breach of any contract term or your failure to use proper
conservation practices. If the damage resulted from willful or gross
negligence, you are liable for triple the appraised value of the damaged
or destroyed materials. If the damage or destruction did not result from
willful or gross negligence, you are liable for lesser charges, but not less
than the appraised value of the materials.
Sec. 7. Stipulations and reserved terms - Your rights are subject to the
regulations at 43 CFR Group 3600 now or hereafter in force and to any
stipulations and the mining plan attached to this contract.
BLM will check this box if there are stipulations attached to this
contract.
Sec. 8. Notice of operations - You must notify BLM immediately when
you begin and end operations under this contract. If BLM has specified
a time frame for notification, you must comply with that time frame.
(Continued on page 3)

Sec. 14. Time for removing personal property - You have
days (not to exceed 90) from the date this contract expires
to remove your equipment, improvements, and other personal
property from United States lands or rights-of-way. You may leave in
place improvements such as roads, culverts, and bridges if BLM consents.
Any property remaining after this period ends, including extracted
materials, becomes the property of the United States. You will remain
liable for any costs of removing and disposing of the property and
restoring the site.
Sec. 15. Violations and cancellations - (a) If you violate any terms or
provisions of this contract, BLM may cancel your contract following the
regulations at 43 CFR 3601.60 et seq., and recover all damages suffered
by the United States, including applying any advance payments you made
under this contract toward the payment of the damages.
(b) If you extract any mineral materials sold under this contract during
a suspension period, or after the contract has expired or been canceled,
you have committed, and may be charged with, willful trespass.
Sec. 16. Responsibility for damages suffered or costs incurred by the
United States - If you, your contractors, subcontractors or employees
breach this contract or commit any wrongful or negligent act, you are
liable for any resulting damages suffered or costs incurred by the United
States. You must pay the United States within 30 days after receiving a
written demand from BLM.
Sec. 17. Equal opportunity clause - The actions you take in hiring must
comply with the provisions of Executive Order No. 11246 of Sept. 24,
1965, as amended, which describe the non-discrimination clauses. You
may get a copy of this order from BLM.
(Form 3600-9, page 2)

Sec. 18. Effective date - This contract becomes effective as indicated below.
If this contract becomes effective on the date BLM signs the contract, BLM will check this box.
If this contract becomes effective only after certain conditions are met, BLM will check this box, list the conditions below, and indicate the
effective date.

Sec. 19. Appeal - You may appeal any decision that BLM makes in regard to this contract under Parts 4 and 1840 of Title 43 of the Code of Federal
Regulations.
The following parties have executed this contract as of:
THE UNITED STATES OF AMERICA

PURCHASER

(Individual or Firm Name)

By

(Address)

(Print Name of BLM Official)

(Signature of BLM Official)

(Phone Number – include area code)

(Title)

(Signature)

(Date)

(Signature)
If you are a corporation, affix corporate seal here:
Title 18 U.S.C. 1001, makes it a crime for any person knowingly or willfully to make to any department or agency of the United States any false, fictitious or fraudulent
statements or representations as to any matter within its jurisdiction, subject to a fine of up to $10,000 and imprisonment up to 5 years.
NOTICES
The Privacy Act of 1974 and the regulation in 43 CFR 2.48(d) provide that you be furnished the following information in connection with information

required by this application.

AUTHORITY: 30 U.S.C. 601 et seq.; 43 CFR Group 3600

PRINCIPAL PURPOSE: BLM uses this information to identify the parties entering into contracts for disposing of mineral materials.

ROUTINE USES: BLM will transfer information from the record or the record itself to appropriate Federal, State, local, or foreign agencies, when

relevant to criminal, civil, or regulatory investigations or prosecutions.

EFFECT OF NOT PROVIDING INFORMATION: If you do not provide this information to BLM, we will not be able to process your application for

a contract.

The Paperwork Reduction Act requires us to inform you that:

The BLM is collecting this information to process your application and effect a binding contract.

The BLM will use this information to identify and communicate with applicants.

You must respond to this request to get a benefit.

You do not have to respond to this or any other Federal agency-sponsored information collection unless it displays a valid OMB control number.

BURDEN HOURS STATEMENT: Public reporting burden for this form is estimated to average about 1 hour per response, including the time for

reviewing instructions, gathering and maintaining data, and completing and reviewing the form. You may submit comments regarding the burden estimate

or any other aspect of this form to: U.S. Department of the Interior, Bureau of Land Management (1004-0103), Bureau Information Collection Clearance

Officer (WO-630), 1849 C Street, N.W., Room 2134LM, Washington, D.C. 20240.

(Form 3600-9, page 3)