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C150338 Feasibility
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C150338 Feasibility
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Last modified
2/24/2015 11:21:22 AM
Creation date
10/10/2012 8:16:51 AM
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Template:
Loan Projects
Contract/PO #
CT2015-051
C150338
Contractor Name
Eckhardt Farms Inc
Contract Type
Loan
Water District
1
County
Weld
Loan Projects - Doc Type
Feasibility Study
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• 1.3 Previous Studies <br />a. Eckhardt Farms Corporation hired Leonard Rice Engineers, Inc. in the summer of <br />2012 to investigate the possible shares of water being purchased. The engineers <br />came to the conclusion that the historical consumptive use of the Western Mutual <br />Ditch Company shares approximately 7.3 acre -feet per share to 10.2 acre -feet per <br />share. They also came to the conclusion that the market price for water was <br />between $8,000410,000 per acre -foot for senior water rights on the South Platte <br />River. <br />2. Proiect Sponsor <br />• Eckhardt Farms Corporation <br />a. Eckhardt Farms Corporation was established in 1993 as an addition to the <br />partnership, Eckhardt Farms Partnership, which owns all of the farming <br />equipment and land. The corporations was established as a C Corporation and has <br />three directors; Frank Eckhardt, Steven Eckhardt, and David Eckhardt. The <br />corporation is the entity that oversees all of the farming operations. See appendix <br />2 for the Articles of Incorporation and By -laws. <br />b. Eckhardt Farms Corporation consists of three directors; Frank Eckhardt, Steven <br />Eckhardt, and David Eckhardt. All three directors are also partners in Eckhardt <br />Farms Partnership that was also established in 1993. <br />c. The businesses that Eckhardt Farms Corporation usually works with as a source <br />of revenue is 5 Rivers Feedlots, Western Sugar, Northern Feed and Bean, <br />Colorado Commodities, Roggan Elevator, and Western Plains Elevator. <br />d. Description of existing water supply. Table 2.1 <br />Table 2.1 <br />Shares <br />Number of Shares <br />Cost per Share <br />Purchase Price <br />Farmers <br />Independent Ditch <br />Company <br />5 <br />$80,000.00 <br />$400,000.00 <br />Western Mutual <br />Ditch Company <br />21 <br />$70,000.00 <br />$1,470,000.00 <br />Total <br />26 <br />$1,870,000 <br />3. Water Rights <br />• 3.1 Water Availability <br />Eckhardt Farms Corporation 2 <br />
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