C150156 FS

• Contract/PO #: C150156
• Contractor Name: Arkansas Groundwater Users Association
• Contract Type: Loan
• Water District: 14
• County: Pueblo
• Loan Projects - Doc Type: Feasibility Study

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consumptive use factor. We have used average annual diversions for the pre-Compact period of 1908 to
1947 to correspond with the analysis provided in the Blatchley appraisal report. Typically when
projecting replacement credit, as used in AGUA's annual plans submitted to the State, we will
conservatively use the longer period of 1908 through 1985 which estimates average monthly
consumptive use credits for 1,792 shares at approximately 1,300 acre-feet.
TABLE 5
Excelsior Average Monthly Diversions & Consumptive Use Credits for 1,792 Shares
Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Total
Avg. Diversions 179.8 626.8 1496.2 1012.2 702.6 209.0 116.6 166.9 159.0 159.0 117.4 74.2 5019.7
1908 - 1947
Consumptive 0.53 0.58 0.59 0.63 0.62 0.63 0.54 0.52 0.54 0.57 0.59 0.56
Use Factors
Average
CU Credit 51.2 195.5 474.6 342.9 234.2 70.8 33.9 46.7 46.2 48.7 37.2 223 1604.2
Purchase of the 785 Excelsior Ditch shares would require AGUA to: 1) pay annual assessments of the
Excelsior Ditch Company including repayment of a previous loan for capital improvements to the ditch
(2003 assessments were $6.89 per share), 2) change the use from irrigation to augmentation in a Water
Court proceeding, and 3) lease water to replace winter return flow obligations. AGUA will be required to
change the 1,007 shares they currently own and the 785 shares could easily be included in that change
case.
It is estimated that approximately $5,407 will be required for the annual ditch assessment on 785
Excelsior Ditch shares. The ditch assessment cost converted to a present worth cost with a projected life
of 30 years and a three percent discount rate would be approximately $106,000. For comparison
purposes, we have estimated the engineering and legal costs to change the Excelsior Ditch water rights
from irrigation to augmentation use to be approximately $100,000. (However, as mentioned above,
AGUA will be able to include the 785 shares in one application for a change of use with their 1,007
existing shares at essentially no additional cost.) We have estimated winter return flow obligations
associated with the 785 Excelsior Ditch shares to be approximately 48 acre-feet per year. Assuming the
winter return flow obligation is paid back to the Arkansas River by leasing replacement water at a current
average cost of replacement water of $12 per acre-foot, the annual leased water cost is $576. The present
worth cost of leasing 48 acre-feet of winter return flow obligation water, assuming a 30-year project life
AGUA - 2003 Feasibility Study - 16 - August 15, 2003