C150273 Approval Letter - Laserfiche WebLink

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Ogilvy Augmentation Company Updated September 19,2008 Page 2 of7 Agenda Item 23a 2) Bridge loan for $55,000 water rights purchase to be paid in full with proceeds from CWCB loan. 3) CWCB will cap the initial disbursement of $523,584 (including the 1 % Loan Service Fee) for: preliminary engineering; the water rights purchase of 6.0 shares of Greeley Irrigation Company; the purchase and installation of measuring control structures on the wells; and the construction of the recharge facility. Upon water court approval of augmentation plan, $487,224 (including the 1 % Loan Service Fee) for the 50 acre-ft lined storage reservoir can be disbursed. CWCB has the option of executing two contracts as deemed necessary by CWCB staff. 4) Borrower shall make annual payments of interest accrued prior to substantial completion of project. 5) If the water court application is denied or otherwise unsuccessful the Project will be deemed substantially complete and the Borrower shall repay the amount of funds disbursed, along with interest, in accordance with the loan contract provisions. Background The Augmentation Company was established in 2005 for the purpose of augmenting wells that operate under the Ogilvy Irrigating and Land Company (Land Company) service area, located in Weld County. Wells within the irrigation service area provide supplemental irrigation water supplies to farms owned by stockholders of the Land Company. Prior to 2003, the irrigation well depletions were covered under the Groundwater Appropriators of the South Platte (GASP) augmentation plan. In 2003, the Land Company elected to pursue an independent augmentation plan for 19 wells included within the Land Company service area. The wells have operated under State Engineer approved annual substitute water supply plans (SWSPs) since 2003 using leased water supplies. When the Augmentation Company was established, the development and administration of the augmentation plan and annual SWSP was conveyed from the Land Company to the Augmentation Company. The Land Company owns and operates the Ogilvy Ditch and Seeley Lake for the benefit of the shareholders of Land Company by providing direct flow and storage of irrigation water. The Ogilvy Ditch diverts from the Cache La Poudre River east of Greeley and delivers water through a 15-mile ditch system to a service area of approximately 3,600 acres located north of Kersey, Colorado. Members ofthe Augmentation Company own 208 shares (57.8 percent) ofthe Land Company and irrigate approximately 1,400 acres of land under the Land Company system. There are currently 17 active wells within the 2008 Augmentation Company SWSP. All wells within the SWSP and the augmentation plan are utilized exclusively for irrigation purposes. Within the SWSP, the well depletions were determined using a water budget methodology which established the total stream replacement obligation to be 60 acre-feet during the 2008 plan year (April 2008 through March 2009).