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.... Mr. Will Burt Page 2 September 25, 1996 B. Review existing available and verified model software with emphasis on proven reliability, documentation, portability, suitability to the task (especially with regard to stream-aquifer interconnection, so that the aquifer's interaction with the South Platte River can be evaluated), ease of use, and ability to incorporate some or all of the existing SB- 5 model database. This would also include a preliminary assessment of the feasibility of a coupled numeric and spreadsheet or database model that could more effectively and easily allow for modeling various scenarios of economic conditions. C. Review availability of existing well pumping data, including that available at the State and any that might be obtainable from other entities such as municipalities, Districts, etc. D. Develop, with your office, a more concise outline of the goals of the economic feasibility study so that the choice and suitability of models can be more appropriately tailored to the task at hand. E. Based on the above Phase II goals definition, identify the key questions to be resolved by Phase II and work with the State in developing a work plan to conduct the Phase II analyses. Inherent in this task will be development of opinions as to the level of detail and scope that will be likely for Phase II under the currently available $40,000 budget (total Phase I and II) and under extended budget scenarios that may be feasible. This would also include an estimation of the budget required to fully carry out a modeling effort that would be able to thoroughly address all of the goals identified for the Phase n portion, if it later appears that the $40,000 will not be sufficient. We estimate that our costs to carry out the above scope of work will be approximately $8,500 to $9,500, and would propose setting that higher figure as a not-to-exceed amount. All work would be for actual time and expenses at the rates presented on the enclosed rate schedule.