C150274 Feasibility Study - Laserfiche WebLink

Home Browse Search

and/or change the water rights for in-stream flow purposes, but these are expected to be small and will be covered by sources other than the loan proceeds. 5.0 PERMITTING, APPROVAL BY RRCA, OR CHANGE OF WATER RIGHT No permits are required for Transaction or the North Fork Lease. The North Fork Lease does not require approval of the RRCA in order for Colorado to benefit from the reduction in consumptive use from the North Fork Lease. No change of rights is necessary for the Water Rights, although the YCWA PID (or the RRWCD WAE, pursuant to the North Fork Lease) may request the CWCB to seek an instream flow right utilizing the water rights included in the North Fork Lease during the term of the North Fork Lease. 6.0 IMPLEMENTATION SCHEDULE If the conditions precedent to the Transaction are satisfied then the closing of the Transaction is scheduled to occur before the end of 2008. If the closing does occur then the North Fork Lease will commence in 2009. The key contingency is a bond election in November 2008 pursuant to the purchase and sale agreement between Yuma County and the surface right owners. 7.0 INSTITUTIONAL CONSIDERATIONS YCWA PID expects to service the debt incurred under the requested loan as a general obligation of the YCWA PID and, as such, the loan and the Transaction are subject to an affirmative vote ratifying the formation of the YCWA PID and approving its issuance of debt in the amount of $15,375,000 as a referred measure on the November 4, 2008 general election ballot. A portion of the Water Rights are held by the Pioneer Irrigation District, Colorado (the "Pioneer District") which is an irrigation district formed under the Irrigation District Law of 19214 hereinafter, the "Irrigation Act". Pursuant to the Irrigation Act, the Pioneer District may not convey its interests in the Water Rights without dissolving and/or approving the sale under as provided for under the Irrigation Act and other applicable statutes. As such, the Transaction is subject to the successful dissolution and approval of the Pioneer's sale of its portion of the Water Rights. The board of directors of the Pioneer District has posted notice of its intent to sell the Water Rights and dissolve the district and has scheduled a special election of the electorate of the Pioneer on November 7, 2007 to approve those actions. As a condition to closing the Transaction, the surface owners will enter a joint motion for substitution of parties in the litigation which will substitute YCWA PID for the petitioners in the litigation. This substitution will give YCWA PID control over the ligation and thereby remove the threat of a curtailment of the wells as discussed in this study. 4 C.R.S. 37-42-160 12368\1 \1204400.5 8