CONTACTS 
0201 - O-0395 0301 Department of Natural      406 444 6699 fax   406 444 6721
020101 - Ms. Sarah Bond,
020102 - Legal Department

SUBJECTS
Sletten claim settlement
Review draft agreement

0504 -
0504 -    ..
0505 - Summary/Objective
0506 -
050601 - Follow up
050602 -
050603 - Sarah advised Sletten has so far refused to include CO 14 and 3.15 in
050604 - the settlement.  The Director has not decided whether to proceed with
050605 - the agreement under these terms.
050607 -  ..
050608 - Sarah will call me after lunch.  She called back at 1610.
050610 -  ..
050611 - Sarah understands Hal made a verbal agreement with Sletten to remove
050612 - CO 3.15 from Sletten's contract.  Sarah said Norm has advised her that
050613 - he is skeptical that such agreement occurred.  I concurred with that
050614 - position.  Sarah said she talked to Hal and he recalls discussing with
050615 - Paul Robinson Tudor's intent to remove the work from Sletten's con-
050616 - tract.  Sarah feels DNRC should accept this position, and also accept
050617 - the settlement without CO 14 and 3.15.  It will require DNRC to pay an
050618 - additional $100K to complete the work which Sarah said DNRC may
050619 - attempt to recover from Tudor.
050621 -  ..
0507 -
0508 - Analysis
0509 -
050901 - I did not discuss this with Sarah, but it seems difficult to see how
050902 - DNRC could recover the $100K from Tudor.  DNRC makes a management
050903 - decision to forgo its claim against Sletten in order to avoid liti-
050904 - gation expense.  The cost to perform the work in question has to be
050905 - paid to somebody, if Sletten does not do it.  The only question is
050906 - whether DNRC wishes to link settlement with Sletten to getting the
050907 - money for the work within the settlement price.  Sletten may find
050908 - this attractive or it may choose to arbitrate.  I would expect they
050909 - would ultimately compromise and pay half or two thirds of the price
050910 - even the entire amount in order to avoid the risk of DNRC's claim.
050911 - Since DNRC chooses not to apply its leverage, there is no basis to
050912 - recover from Tudor.
050913 -
0510 -

SUBJECTS
Sletten/Voith claim
notices to mitigate

0704 -
070501 -  ..
070502 - Sarah doesn't know the status on this.  She doesn't think Voith has
070503 - responded, nor that anyone has followed it up.  Wayne and Norm will
070504 - report on it following the Wednesday progress meeting today at the
070505 - site.
070506 -
070507 -
070508 -
0706 -
0707 -

SUBJECTS
Gracon settlement

0803 -
080401 -  ..
080402 - There has been no further movement on this.  Gracon is seeking six
080403 - figures, and DNRC is offering five.
080404 -
080405 -
0805 -

SUBJECTS
Tudor Management

0903 -
090401 -  ..
090402 - Sarah advised Harold Cook had a heart attack.  He is in Boulder
090403 - Colorado resting.  Kurt Scholz is on the job.
090404 -
090405 -     On 890215 Norm was concerned about pressures on the job were hard
090406 -     to handle. ref SDS 3 P116
090407 -
090408 -     On 890328 DNRC was concerned that Tudor management was falling
090409 -     behind. ref SDS 4 6948
090411 -  ..
090412 - John Williams will be in Helena tomorrow to meet with DNRC management.
090413 -
090414 -     [On 890427 JoAnn reported that Kurt Shultz took over as the
090415 -     permanent RE. ref SDS 5 0001
090416 -
090417 -
090418 -
090419 -
090420 -
090421 -
0905 -
0906 -

SUBJECTS
Computer Lease

1103 -
1104 - Sarah said Jim Madden is drafting a lease agreement between me and DNRC
1105 - for the computer.
1106 -
1107 -
1108 -