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C150117 Approval Letter
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C150117 Approval Letter
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Last modified
3/11/2011 3:06:38 PM
Creation date
11/22/2006 10:43:11 AM
Metadata
Fields
Template:
Loan Projects
Contract/PO #
C150117
Contractor Name
Central Colorado Water Conservancy District
Contract Type
Loan
Water District
0
County
Weld
Bill Number
SB 03-110
Loan Projects - Doc Type
Approval Letter
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<br />-" <br /> <br />Central Colorado WCD <br />November 25.26, 2002 <br /> <br />Agenda Item 20e, <br />(Updated December 4, 2002) <br /> <br />Proiect Description <br />Three alternatives were analyzed in the feasibility study: <br /> <br />1. The no-action alternative. <br />2. Purchase senior water rights and construct new storage to cover a 300-day <br />period of call ($22 million estimated cost.) <br />3. Purchase senior water rights and construct new storage to cover a 365-day <br />period of call ($30 million estimated cost.) <br /> <br />Alternative No.1: No Action. This alternative is unacceptable because it will result in <br />all of the Subdistrict's current members (966 wells) being shut off in years when <br />augmentation water suppiies are inadequate. It is estimated this could occur, on <br />average, two or three years out of ten. The economic impact of the "no action" <br />alternative would be devastating to local growers, communities, and the entire state. <br /> <br />Alternative No.2: Purchase senior water rights and construct new storage to <br />cover a 300-day period of call. This action was selected, as it would result in existing <br />member wells being shut off approximately two out of fifty years. Approximately 7,500 <br />acre-feet of gravel pit storage and 2,800 acre-feet of senior water rights would be <br />needed. <br /> <br />Alternative No, 3: Purchase senior water rights and construct new storage to <br />cover a 365-day period of call. This action was not selected due to the extreme cost <br />involved. The drought of the 1950s resulted in a call period of approximately 600 days <br />(nearly two years), and would require an expenditure of funds of about $30 million to <br />accumulate the necessary augmentation water. This amount of water (approximately <br />4,000 acre-feet of gravel pit storage and 12,500 acre-feet of senior water rights) would <br />create a severe financial burden on growers in the area, and would not be economical <br />even during a good farm economy. <br /> <br />Selected Alternative No, 2 <br />The Subdistrict would use the loan from the CWCS to purchase senior water rights in <br />the Fort Morgan area, and to develop lined gravel pit storage reservoirs and recharge <br />facilities. Since the cost of senior water rights around Greeley is holding at <br />approximately $3,OOO/acre-foot consumptive use, the Subdistrict has chosen to <br />purchase water in the Fort Morgan area where the cost is closer to $1,300/acre-foot <br />consumptive use. The cost of lined gravel pit storage reservoirs is apprOXimately <br />$2,OOO/acre-foot of storage. Senior and junior water rights would be utilized to fill these <br />storage structures. The Subdistrict would work with local irrigation companies to deliver <br />the water rights back to the South Platte River in a manner acceptable to both the <br />company and the State Engineer. <br /> <br />Cost estimate: <br />Senior water rights----------------- 2,800 acre-feet at $1 ,300 per acre-foot: $ 7,000,000 <br />Storage and recharge facilities ---7,500 acre-feet at $2,000 per acre-foot: $15,000,000 <br />Total 10,300 acre-feet $22,000,000 <br /> <br />The GMS-CCWCD plans to start acquiring senior water rights in winter 2002-2003 using <br />funds from bond anticipation financing authorized by their November 5,2002 TABOR <br />election. The exact rights that the GMS-CCWCD will purchase are yet to be determined, <br />because of the uncertainties of availability and purchase price. CWCB loan funds would <br />4 <br />
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