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<br />e <br /> <br />e <br /> <br />relevant to the applicable diligence period. The application for findings of reasonable diligence <br />must be considered. on a case-by-case basis in light of all the factors presented. .ld. <br /> <br />40. Applicant has met the "can and will" standard, which requires that the Applicant <br />show, pursuant to C.R.S. ~ 37-92-305(9)(b), a substantial probability that the intended <br />appropriation can and will reach fruition. Oxy USA, Inc., 990 P.2d at 708. SpecificalJyan <br />applicant for a finding of reasonable diligence rnust show that an intended project is currently <br />technically feasible and that, when conditions are more favorable, the appJicantintends to <br />complete the project. ld. Here, as detailed in the Findings of Fact for Diligence, above, the <br />Court has determined that construction of ALP was hindered by conditions outside the <br />Applicant's control. As for the intent to construct the Project, Applicant has established that it <br />had no intent to abandon any portion of the Project and the Court takes judicial notice that <br />significant features ofthe Project are currently under construction. <br /> <br />41. The Court concludes that the Applicant is not engaged in speculation in holding <br />the water rights at issue here. Even a cursory review of the Applicant's authorizing legislation <br />establishes that the Animas-La Plata Project is precisely the kind of water project the Applicant <br />would be expected to develop in fulfilling its statutory responsibilities. As a result, the Court <br />concludes that the Applicant has met the "anti-speculation" requirements, which prohibit <br />obtaining a water right merely for speculative purposes or sale expectaney. OXY USA, 990 P.2d <br />at 708-09. As detailed in the Findings of Fact for Diligence above, the Court has detemrined that <br />during the diligence period the Applicant applied a steady effort to promote the construction of <br />the Project. The Applicant's continued financial investment in promoting Project construction <br />demonstrates that the Applicant intends to pursue completion of the Project in the future when <br />conditions improve, so that the benefits from the Project will inure to the water users and citizens <br />in the District. There is no evidence that the Applicant has a speculative intent for the decreed <br />water rights. <br /> <br />42. As a project supplying water to satisfy the water rights decreed to the United <br />States in trust for the benefit of the Ute Tribes, ALP is not subject to traditional cost-benefit <br />analysis. Thus, the Court finds that factors related to economic feasibility of the ALP, to the <br />extent that it will provide a water supply to the Tribes, are not relevant to diligence. <br />Furthermore, a prima facie case of economic feasibility of the Project is demonstrated by the <br />evidence of congressional appropriations for construction of the Project, Applicant's Ex. 107, <br />and by the Court's judicial notice that the Animas-La Plata Project is being constructed. <br />See OXY USA, 990 P .2d at 707. <br /> <br />43. As detailed in the Court's Findings of Diligence, above, under the particular facts <br />and circumstances of this case, Applicant has established the factors supporting a finding of <br />reasonable diligence articulated by the Colorado Supreme Court. Adverse political, legal and <br />economic conditions outside of Applicant's control prevented construction of ALP during the <br />diligence period, but Applicant worked steadily to overcome those adverse conditions. Activities <br />showing reasonable diligence during adverse conditions may include project planning, <br />enviromnental studies, project design, project financing, and other miscellaneous activities such <br /> <br />18 <br />