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Water Supply Reserve Account - Grant Application Form <br />Fonn Revised nlay 2007 <br />meets the Evaluation Criteria. See Part 3 of Criteria and Guidelines. <br />Not applicable at this time. <br />4. Please provide an overview of the water project or activity to be funded including - type of activity, statement of <br />what the activity- is intended to accomplish, the need for the activity, the problems and opportunities to be <br />addressed, expectations of the participants, why the activity is important, the service area or geographic location, <br />and any relevant issues etc. Please include any- relevant TABOR issues that may affect the Contracting Entity-. <br />Please refer to Part 2 of Criteria and Guidance docurnent for additional detail on information to include. <br />As stated in Section A.3, the District's ultimate water project or activity is to construct and operate a potable water <br />supply, treatment and distribution system for a 400 square mile service area in La Plata and Archuleta Counties to <br />serve approximately 6,000 homes and businesses. The Initial Infrastructure Phase is expected to include, at a <br />location to be determined by the Board, a river diversion (or extraction gallery-/ies), a treatment plant located near <br />the gallery- (treatment process contingent upon raw water quality), a finished water storage reservoirs (tanks), main <br />and distribution pipelines, and all necessary- pumps, valves and appurtenances. Consecutive phases are expected to <br />expand the system throughout the Service Area and to consist of distribution pipeline, storage tanks (above ground <br />steel tanks, generally), water loading stations, pumps, valves, fire hydrants, and appurtenance. Additional diversion <br />structures and treatment facilities may be provided in fixture phases. <br />The present water supply in the area is individual or community wells primarily based on flood irrigation to <br />recharge the aquifers: however, flood irrigation is declining rapidly to sprinklers and conversion to small tracts. <br />The trend appears to be for more domestic demand as property is subdivided while the ground water supply is <br />decreasing which will increase the number of homes hauling water. Many property owners in the area already <br />must haul water for domestic use because they have no viable well supply or the quality of the groundwater is less <br />than desirable and not potable. The District would provide a reliable and safe supply of water that would address <br />these issues, and would also provide a reliable source of water for fire protection, benefiting all property in the <br />District's service area. <br />This activity has alreadv included years of investigation and support, feasibility studies, preparation of a service phut, <br />Board of County Commissioner review and approval of the service plan, District Court review of the organizational <br />process and findings to allow an organizational election, and a successful organizational election. Many organizations <br />and consultants have been involved in the process to date, either contributing fiends or services. Extensive work and <br />finding ivas provided for the original Vallecito Water Company and included: Pine River Irrigation District who <br />contributed more than $100,000, the Southwestern Water Conservation Distrct who provided $60,000, and the Water <br />Quality Control Division who granted $100,000. Funding or services for the formation of the District has come from: (1) <br />individuals who contributed to the orginal VWC allowed the Task Force to use their finds which arnounted to $160,000, <br />(2) Harris Water Engineering - $42,000, (3) RS Wells - $24,000, and (4) Collins Cockrel and Cole - $150,000. <br />The ultimate construction of the district will be financed fi-om tax revenue, as will much of the permitting and <br />environmental compliance activities. However, much more organizational work and development of the Master Plan <br />must be accomplished prior to the mill levy- ballot measure scheduled for November 2009. The preparation for such <br />6