15c

• Board Meeting Date: 7/11/2007
• Description: CF Section - New Project Loans - Montezuma Valley Irrigation Company - May Lateral Pipeline Project
• Board Meetings - Doc Type: Memo

STATE OF COLORADO

Colorado Water Conservation Board

Department of N aturaI Resources
1313 Sherman Street, Room 721
Denver, Colorado 80203
Phone: [phone]
FAX: [phone]
\Vww.cwcb.state.co. us

MEMORANDUM

Bill Ritter, Jr.
Governor

TO:

Colorado Water Conservation Board Members

Harris D. Sherman
Executive Director

FROM:

Kirk Russell, P.E.
Mike Serlet, P.E., Chief
Water Supply Planning and Finance Section

Dan McAuliffe
CWCB Acting
Director

DATE: July 2, 2007

SUBJECT: Agenda Item 15c, July 11-12, 2007 Board Meeting
Water Supply Planning and Finance Section - New Project Loans
Montezuma Valley Irrigation Company - May Lateral Pipeline Project

I ntrod uction

The Montezuma Valley Irrigation Company (Company) is applying for a loan in the amount of
$5,240,000 from CWCS to install approximately five (5) miles of new pipeline in the existing ditch
corridor of the May Lateral. The project is called the May Lateral Pipeline Project (Project) and will
increase ditch efficiency and eliminate seepage. The Project is estimated to cost $5,820,000 and
will be constructed in the fall of 2007. The Company will construct a majority of the Project with
Company staff and equipment. See attached Project Data Sheet for a location map and project
summary,

BackQround

The Company is located in Montezuma County north of the Town of Cortez. The Company
diverts water from the Dolores River, just west of the Town of Dolores. Water deliveries are
made through the Company's ditches and the McPhee Reservoir Project to the service area,
The May Lateral is an open ditch approximately 5 miles long. The canal carries approximately
18 cfs and delivers water to approximately 105 of the Company's shareholders. The canal has
been repaired several times in recent years to reduce leakage and improve delivery of irrigation
water. The water loss from this canal is estimated to be between three and seven cfs per day.

The May Lateral was constructed in the early 1900's. In the 1970's, approximately one-half mile
of the lower portion of the Canal was lined with concrete, This concrete section has developed
several large cracks and large holes, which has added to the leakage problem. This canal
delivers water to 105 shareholders out of the 1358 shareholders (7%) within the MVIC system.

Flood Protection. Water Supply Planning and Finance. Stream and Lake Protection
Water Supply Protection. Conservation and Drought Planning