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' <br />LJ <br />' <br />' <br />� <br />' <br />, <br />' <br />, <br />' <br />u <br />'J <br />' <br />' <br />' <br />' <br />Location of the proposed pond further from the Arkansas River than the existing pond provides for good <br />combination of timing of lagged recharge credits. An additional $20,000 of costs are included for <br />construction of any appurtenant diversion and/or measurement structures that might be necessary to <br />allow for proper control and accounting of water sent to recharge. <br />AGUA has been in contact with the Army and has begun negotiations for an easement agreement. Upon <br />approval of the construction loan, AGUA will continue to pursue securing the easement agreement. If <br />AGUA is unable to obtain the agreement, an alternate site southwest of the existing ponds located on Mr. <br />Dick Evans property will be used and an easement agreement will be obtained from Mr. Evans. AGUA <br />does not anticipate requiring any permits for construction of the pond. If a grading permit is required, <br />AGUA will obtain one from Pueblo County. Operation and accounting for the recharge pond has been <br />negotiated with the Division of Water Resources in Pueblo and approved in AGUA's 2003 Plan. <br />The estimated costs for enlargement of the Excelsior Ditch and construction of a 15-acre recharge pond <br />are summarized in Table 7 and total $189,000 including a 30 percent contingency (primarily to allow for <br />the possibility of greater than four feet of overburden thickness) and 15 percent design cost. It is our <br />opinion that enlargement of the ditch and construction of an additional 15-acre recharge pond would be a <br />cost effective way for AGUA to provide a means to utilize what would otherwise be excess replacement <br />water, provide credits during months of the year when AGUA may have difficulty securing replacement <br />water and increase the value of their Excelsior Ditch shares. <br />TABLE 7 <br />Excelsior Ditch Enlargement & Recharge Pond Construction Costs <br />Excelsior Ditch Enlar ement $25,000 <br />Recharge Pond Construction $81,000 <br />Structures $20,000 <br />Subtotal $126,000 <br />30% Contingency $38,000 <br />15% Design Cost $25,000 <br />Total Construction Costs $189,000 <br />LJ <br />' <br />' AGUA — 2003 Feasibility Study - 19 - August 15, 2003 <br />