15d_Directors Report

• Board Meeting Date: 7/21/2009
• Description: Directors' Report - CWCB Director
• Board Meetings - Doc Type: Memo

D ecember 2002, Colorado ent ered into a Stipulation with Kansas and Nebraska to addres s the
U.S. Supreme Court case of Kansas v. Nebraska and Colorado . Colorado agreed to develop a
ground water model to determine stream flow depletions caused by well pumping in the Basin
and to a fiv e - year running average to determine compliance with the Republican River Compact.
In 2007, the State had exceeded its allocation under the Compact by an average of 11,350 AF/yr.
To solve the problem the District elected to acquire ground water rights with a historical
consumptive of 15,000 AF/yr. This water will be delivered to the North Fork of the Republican
River via a Compact Compliance Pipeline to the stream gage at the Colorado - Nebraska state line
to offset stream depletions. The District is requesti ng a loan from the CWCB in the amount of
$60 million to finance the engineering, construction and water acquisition related to the Pipeline
Project. The loan represents approximately 85% of the estimated $71 million total cost of the
Project. Final design is expected to start in the spring of 2008 and co nstruction is scheduled for
2009 & 2010 . The District has completed the design and bid packet for the project. Prior to
construction and the disbursement of any additional CWCB loan funds, however, the D istrict will
need to resolve compact issues with Kansas regarding the recent concern over the proposed point
of release of compact water on the North Fork of the Republican, which does not address the
depletions on the South Fork of the Republican at the C olorado - Kansas state line and other
related issues. The Republican River WCD did recently address issues of senior surface water
users along the North Fork by the purchase of a 20 - year lease from Yuma County Water
Authority, who recently purchased the Nor th Fork Water Rights under a separate CWCB loan
contract. The District has completed the design plans and construction documents for the
project. On June 19, 2009, utilizing CWCB loan funds, the District successfully closed the
$49,000,000 Cure water p urchase, which was a critical piece to the overall success of the
compliance project.
29 . Ogilvy Augmentation Company – Well Augmentation Project
Authorization: Severance Tax Fund County: Weld
Water Source: South Platte River Project Yield: 60 acr e - feet
Terms of Loan: $1,010,808@2.5% for 3 0 yrs. Projec t Type: Augmentation
The Ogilvy Augmentation Company (Augmentation Company) was established in 2005 to
augment wells that operate under the Ogilvy Irrigating and Land Company service area.
Approxima tely 1,400 acres of land are irrigated by the Augmentation Company members in an
area north of Kersey, Colorado. There are 17 wells in the Augmentation Company that operate
under its temporary subsitute water supply plan (SWSP). The SWSP is currently oper ated using
leased water. A permanent water supply is necessary for the Augmentation Company to obtain a
permanent augmentation plan. Funds are being requested from the CWCB to: purchase water
rights, construct a recharge facility, construct a storage res ervoir,and install monitoring devices.
The Augmentation Company intends to purchase the water rights upon the approval of the CWCB
funding and construct the recharge facility in fall/winter of 2008. It will file for its permanent
augmentation pl an in 2009 . Once the permanent augmentation plan is approved, construction will
begin on the storage reservoir. The Company has purchased the water rights and has constructed
the recharge facility. The Companhy is waiting on approval of their augmentation plan be fore
proceeding with the construction of the reservoir.
3 0 . East Mancos Highline Ditch Company – Ditch Rehabilitation
Authorization: Severance Tax Fund County: Montezuma