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<br />MOSES, WITTEMYER, HARRISON AND WOODRUFF, PoCo <br /> <br />Chad Henderson <br />April 25, 2005 <br />Page 4 <br /> <br />The CWCB should understand that the amount of LA WMA' s Highland Canal water <br />rights that would be subject to the Agreement as proposed would be relatively small because the <br />proposed fixed flow rate of2.3 cfs is a small portion of LA WMA's 55.95 cfs interest in the 62.5 cfs <br />of the Highland Canal water rights. Also, the Agreement would give LA WMA security that the <br />value of its Highland Canal water rights would not be diminished due to the Remaining Shareholders <br />diversion of more water into the Highland Canal than they are entitled to divert based on their <br />ownership interests in the Highland Canal water rights. <br /> <br />LA WMA appreciates the CWCB' s consideration of this matter. I look forward to <br />discussing this matter in more detail with the CWCB once LA WMA and the Remaining <br />Shareholders have agreed upon a specific operational agreement for the Highland Canal. In the <br />meantime, I would appreciate hearing whether the CWCB would generally be willing to consent to <br />the Agreement. Please feel free to contact me should you have any questions or need any additional <br />informati on. <br /> <br />Sincerely yours, <br /> <br />MOSES, WITTEMYER, HARRISON AND <br />WOODRUFF, P.e. <br /> <br />~~aJ. A, ~k.o- <br /> <br />Richard J. Mehrerl <br /> <br />RJMljab <br />Enclosures <br />cc: Donald F. Higbee (w/o enclosures) <br />James Slattery (w/o enclosures) <br />