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recommendations to repair the slope, riprap armor, the dam crest and install a toe drain. No <br />technical proposals were provided. <br />In 2007, the Company retained Kumar and Assoc., Inc., geotechnical engineers, to prepare <br />a geotechnical study and subsurface investigation with respect to seepage and slope <br />stability, and to develop technical recommendations for proposed improvements to the dam. <br />This study included: <br />• A geologic reconnaissance <br />• Field exploration including exploratory bore holes and pits in the dam fill and <br />foundation <br />• Installation of piezometers <br />• Laboratory testing of samples from the pits and bore holes to characterize material <br />properties <br />• A seismicity evaluation <br />• Slope stability analyses based on the results of the testing programs <br />• Seepage evaluations <br />• Recommendations for seepage control system, reconstruction of the upstream slope <br />and dam crest, and upstream slope armoring. <br />Results and recommendations of this investigation are incorporated in the design for this <br />project. <br />PROJECT SPONSOR <br />CORPORATE STRUCTURE <br />The Joseph W. Bowles Reservoir Company is a mutual ditch and reservoir corporation <br />organized under the laws of the State of Colorado. The Company was formed in 1906. Refer to <br />Appendix A which contains the Articles of Incorporation and By-laws of the Company. <br />The Joseph W. Bowles Reservoir Company has the following powers and authorities: <br />1. The Company has the right of eminent domain. Reference the Colorado Revised <br />Statutes (C.R.S.) §38-2-101. <br />2. Taxing or assessing authority. The Company is not a governmental body and does not <br />have a power to impose real estate taxes. The Company has the authority to make an <br />assessment on stock as is provided in C.R.S. §7-42-104. The Company's bylaws also <br />permit it to foreclose on shareholders with delinquent assessments. <br />4 <br />