C150266 Approval Letter - Laserfiche WebLink

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Granby Ditch & Reservoir Company Updated May 22, 2008 Page 2 of 5 Agenda Item 18 Background The Company owns and operates the Granby Ditch and six reservoirs in Delta Cormty located within the Grand Mesa National Forest. It provides storage and delivery of irrigation water to approximately 2,400 acres through the Granby Ditch. The distribution system on the Grand Mesa involves a unique system of exchange decrees, so the area serviced by the Company ranges across the Surface Creek and Tongue Creek drainage areas. One of the six reservoirs owned by the Company is Granby Reservoir #12 (Reservoir). This Reservoir is a headwater reservoir and is filled by snow melt and seasonal springs. It was originally constructed in 1910 with a storage capacity of814 AF. It was enlarged in 1949 to a capacity of838 AF. This Reservoir has been restricted by five feet due to a slump on the downstream face of the dam. The restriction has been in place since 1976 and reduces the storage capacity of the Reservoir by 250 AF. The Company intends to repair the dam and bring the Reservoir back to full capacity; thereby enabling the Company to maintain their storage rights and meet the needs of its shareholders, especially during dry years. LoaD Feasibility Study The Loan Feasibility Study titled "Feasibility of Repair and Rehabilitation of Granby #12 Dam, April 2008" was prepared by the Company with support from Norm Aufderheide at Buckhorn Geotech, Montrose. The study was prepared in accordance with the CWCB guidelines and includes preliminary engineering design and cost estimates. The Company, through its engineer, has been in contact with the State Engineer's Office (SEO). Final plans have not yet been submitted; however a drilling program was approved by the SEO. Information from this drilling will be used by Buckhorn Geotech for the final design of the project. Granby Ditch & Reservoir Company The Company is located in Cedaredge and is a registered Ditch Company in the State of Colorado. The Company was incorporated in April 1894, for the purpose of providing irrigation water storage. There are currently 81 shareholders and 700 shares of stock. The Company is governed by a 5- member Board of Directors. The Company has the authorization to set annual assessments and the authority to shut off water delivery to shareholders that fail to pay assessments, and the authority to rescind and resell shareholder stock to pay back assessments. Water Rights The source of water for the Company's storage rights is Dirty George Creek. There are two storage decrees for the Reservoir totaling 838 AF.