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outstanding in the Company. The Company was originally set up with 100 shares per quarter- <br />section of land. <br />Limitations on Share Use <br />Shares in the Company can be moved around the canal system but must be used within the <br />"District." The District is defined as the area where shares have been historically applied. There <br />has been little movement of shares over the history of the Company. Share owners must also <br />have at least 50 shares to be entitled to water deliveries. <br />Water Rights of the Company <br />The Company owns 20 different water appropriations on the Rio Grande totaling 574.76 cfs. <br />Included are rights originally owned by the Blanca Canal totaling 69.68 cfs (priorities 1903-22F, <br />1903-24G, 1903-34H, 1903-37F, 1903-45G and 1903-49H) and rights originally owned by the <br />Kenilworth Canal totaling 4.1 cfs (priorities 357 and 362). Also included in the 574.76 cfs total is <br />a 50.00 cfs right for water from Blackmoore Slough (priority number 1916-30). <br />Priority Number Amount Cumulative <br /> (cfs) Amount <br />270 92.90 92.90 <br />357 0.70 93.60 <br />362 3.40 97.00 <br />1903-22B 161.46 258.46 <br />1903-22 F 5.21 263.67 <br />1903-24D 44.27 307.94 <br />1903-24G 11.07 319.01 <br />1903-34D 31.25 350.26 <br />1903-34H 15.63 365.89 <br />1903-37c 10.42 376.31 <br />1903-37f 13.02 389.33 <br />1903-41 c 7.81 397.14 <br />1903-45d 18.23 415.37 <br />1903-45g 14.33 429.70 <br />1903-46d 20.84 450.54 <br />1903-49e 26.04 476.58 <br />1903-49h 10.42 487.00 <br />1903-52d 10.42 497.42 <br />1903-57B 27.34 524.76 <br />1916-30 50.00 574.76 <br />Flow conditions in the Rio Grande are such that the San Luis Valley Canal is typically able to <br />divert between 350 and 450 cfs in the early irrigation season, and the Company prefers to run at <br />the 450 cfs flow level. By late June the Company's more junior priorities begin getting called out <br />and the Company is typically out of priority entirely by the beginning of July. <br />Water Right Changes, Transfers and Agreements <br />There are two significant legal actions that affect water supply and operations of the Company: <br />C:Acdss\SLVCanal.doc San Luis Valley Canal Company Interview July 16, 1999 -Page 2 of 5 <br />