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<br />STATE OF COLORADO <br /> <br />Colorado Water Conservation Board <br /> <br />Department of Natural Resources <br />1313 Sherman Street, Room 721 <br />Denver, Colorado 80203 <br />Phone: (303) 866-3441 <br />FAX: (303) 866-4474 <br />www.cwcb.state.co.us <br /> <br /> <br />DATE: <br /> <br />MEMORANDUM <br />(Revised September 17,2004) <br /> <br />Colorado Water Conservation Board Members <br /> <br />Kirk Russell, P.E. [fGe- <br />Mike Serlet, P.E., Chief L/~f <br />WaterSupply Planning and1=iii"ance Section <br /> <br />September 7, 2004 <br /> <br />Bill Owens <br />Governor <br /> <br />TO: <br />FROM: <br /> <br />Russell George <br />Executive Director <br /> <br />Rod Kuha.rich <br />CWCB Director <br /> <br />Dan McAuliffe <br />Deputy Director <br /> <br />SUBJECT: Agenda Item 4b, September 14-15, 2004 Board Meeting <br />Water Supply Planning and Finance Section - New Loans <br />Lower Bauer West Lateral, Inc. <br />Lower Bauer Reservoir Outlet Pipeline Extensions Project <br /> <br />Introduction <br /> <br />The Lower Bauer West Lateral, Inc. (Company) is applying for an initial loan in the amount of $195,000 <br />from CWCB to install approximately 2.9 miles of new pipeline in the existing ditch corridor for the Lower <br />Bauer Reservoir Outlet Pipeline Extensions Project (Project). The Project will increase ditch efficiency and <br />reduce salinity impacts in the Colorado River. The total Project cost, including engineering and <br />construction, is estimated at $253,500. The Company will receive in-kind engineering services and a grant <br />from NRCS for 75 percent of the final construction cost. NRCS funds will be disbursed to the Company <br />upon completion of the project. The remaining 25 percent of the construction cost will become a 3D-year <br />CWCB loan, not to exceed $48,750. See attached Project Data Sheet. <br /> <br />Backaround <br /> <br />The Company is located in Montezuma County near the Town of Mancos, approximately 30 miles west <br />of Durango. The Company owns, maintains and manages the two irrigations laterals (Laterals) located <br />west of the Lower Bauer Reservoir, also known as Bauer Reservoir No.2, (Reservoir) for the benefit of <br />all sixteen (16) members as an association of owners with water rights and lands served by the <br />Laterals. The western most lateral carries a total flow of 4.9 cfs, and the southerly lateral carries a total <br />flow of 3.4 cfs and delivers irrigation water to the members from the Reservoir. The Reservoir is owned <br />and operated by the Bauer Lakes Water Company (BLWC). All members of the Company are <br />shareholders of the BLWC. <br /> <br />The Mancos Valley was added to the USDAlNRCS Colorado River Basin (CRB) Salinity Control <br />Program. NRCS is administering the Program and providing construction cost sharing and technical <br />assistance using the USDA's Environmental Quality Incentives Program (EQIP). Timothy Ouellette of <br />the NRCS, Cortez Service Center is managing the planning, design, and field engineering services for <br />this Project. In addition, the Mancos Conservation District has provided local assistance by providing <br />informational brochures, funding coordination, project management and legal counsel for this project <br /> <br />Flood Protection. Water Supply Planning and Finance. Stream and Lake Protection <br />Water Supply Protection. Conservation and Drought Planning <br />