C153808 Contract Member Shares

• Contract/PO #: C153808
• Contractor Name: Arkansas Groundwater Users Association
• Contract Type: Loan
• Water District: 14
• County: Pueblo
• Bill Number: ARA
• Loan Projects - Doc Type: Contract Documents

6ct-10-97 11:23A IDEAL VALLEY REALTY LTD

719 462 5755

P.06

AGUA's amended 1997 Replacement Plan, as submitted to the Division 2 Engineer. is
for 19.452 acreafeet of well pumping for the current member wells. The estimated long-
tcnn replacement requirement for this level of pumping is about 8,950 acre-feet. AGUA
does' not own any water rights at the present time but lcases, [rom various sources, all of
the water uscd to replace member pumping depletions.

J?roposed Purch~ne
AGUA has submitted a feasibility study, prepared by Rocky Mountain Consultants of
Lonpnont, describing the pumping and replacement requirements of AGUA's member
wells and six possi~1e. water rights acquisitions to offset a portion of the replacement
requirements. AGUA intends to acquire, through water rights purchases, 50 to 60 percent
of its augmcntation requirements over the next 25 to 30 years.

Six waler rights have been offered to AGUA for purchase. The feasibility study included
a prelimimuy screening 0 f the six water rights to: (1) estimate average annual
replacement credits, (2) evaluate timing and location characteristics oCthe water rights,
and (3) evaluate the purchase price and other costs associated with use of the rights for
augmentation purposes. The results of the evaluation are shown in Table 1, attached.

Table 1 clearly shows that the Excelsior water rights at a purchase price of $864 per acre-
foot and a total estimated implementation cost of$1,183 per acre-foot are the most cost-
effective alternative. The location of the ditch on the mainstem of the Arkansas River
between Pueblo and John Martin reservoirs also makes it very suitable for AGUA's
augmentation program.

The Excelsior Ditch diverts from the north bank of the Arkansas River about four miles
east of Pueblo and has water rights priorities of May 1, 1887 for 20 cubic feet per second
(efs) and January 6, 1890 for 40 cfs. The average annual diversion of the Excelsior Ditch
for the years 1908 to 1985 was about 4,000 acre-feet.

AGUA is proposing to purchase 1,007 shares (a 30-percent interest in the ditch) from
Dick Evans. Mr. Evans is both the prospective seller of the water rights and the president
of AGUA. Table 2 summarizes the major characteristics of the proposed acquisition.

Table 2. Summary for Excelsior Ditch Purchase

Water Rights Priorities
May 1,1887 20 cfs
Jan.S.1890 40 cfs
Averaae Annual Diversion, entire ditch (1908-1985) = 4,070 acre-feet
1.007 Shares at a total price of $650.000
Consumptive Use Credit for 1 007 Shares::::; 752 acre-feet
Cost per Acre-Foot = $864

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