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Feasibility Study Silt Water Conservancy District Transformer Replacement Project Introduction (Need for the Project) The Silt Water Conservancy District, located in Garfield County, operates the Silt Pump Station for the benefit of the shareholders by providing direct flow irrigation water into the Silt Pump Canal. The Pump Station is located near the Colorado River, two miles east of the Town of Silt and has a capacity of 36 c.f.s. Power for the pumping plant is currently fed at 69,000 volts to our transformer and then reduced to 2,400 volts to run our four irrigation pumps. X-Cel Energy has informed us that due to tremendous growth in the area, they will be upgrading their transmission line from 69k V to 115k V in the year 2006. Once this occurs our transformer will become obsolete, leaving us without the capability to deliver nearly 5,000 acre feet of Project water annually. Therefore, it is essential that our transformer be replaced before this happens. Project Sponsor The Silt Water Conservancy District was incorporated June 3, 1957 for the purposes of: (l) managing the District and it's assets for the landowners whose properties are irrigated from the ditch, and (2) maintaining, repairing and, when necessary, reconstructing the ditch. Dues are assessed based on shares and acre feet of water owned. Under the by-laws of the District, "No loans shall be contracted on behalf of the District... unless authorized by the Board of Directors. The purpose of said loan must have been approved by a vote of the membership." Members of the District are property owners, in good standing, who own water rights in the Silt Water Conservancy District and whose properties are located in the service area of the ditch Copies of the Silt Water Conservancy District articles of incorporation and by-laws are included in Appendix A. 1