Final Draft ALP Marketing Supply and Demand Study

Animas -La Plata Water Marketing Supply and Demand Study
Summary of Potential Alternatives
Table 2.7 is a summary of the alternatives for payment of the State's water.
Section 2
REPAYMENT ALTERNATIVE
CAPITAL REPAYMENT ALTERNATIVES
1. Three Payments of $12 Million
Approx. $36.4 million
10,460 AF
is estimate is based on currently available cost data
2. State assigns all or a portion of
State responsible only for the
and will change as data is updated
2. Purchase Full Allocation of State
Approx. $36.4 million assuming
10,460 AF
is estimate is based on currently available cost data
Water OverTime
no additional interest charges
and will change as data is updated
3. Purchase of $12 Million Worth of
No cost for water that reverts
This estimate is based on currently available cost data
data is
A -LP Project Water
$12 million
3,450 AF
and will change as updated and assumes no
4. Fund an escrow account that will
........ __....- .......... _
_ .....
additional funding will be provided.
generate $72,000 annually
a 3% rate of return
State would purchase a portion of State's Waterwith $12
4. 3120 Altemative
$10.8 Million
3,120 AF
million that is appropriated, and retain a portion of this
fund for an escrow account to pay future OM &R costs.
5. 1560 Alternative
$5.4 Million
1,560 AF
State would retain a seat on the Association Manage-
ment Committee .
6. Allow State Water to Revert to
$0
OAF
State's Water would revert to Tribes and State would not
Tribes
have a seat on the Association Management Committee
FIXED OM &R REPAYMENT ALTERNATIVES
1. State assumes full responsibility
Estimated to be $71,400 /year
less payments received from
entities using State allocation
Based on acquisition of all 10,460 AF and a fully
operational project
2. State assigns all or a portion of
State responsible only for the
the Fixed OM &R costs
costs associated with water it
Based on using up to the full allocation of 10,460 AF
retains
3. State allows all or a portion of its
No cost for water that reverts
Any water not sold or leased by State would revert to the
allocation to revert to the Tribes
Tribes. See Table 2.5 for incremental costs.
4. Fund an escrow account that will
Requires $2.4 Million assuming
Based on acquisition of all 10,460 acre feet
generate $72,000 annually
a 3% rate of return
Fund an escrow account or establish
other mechanism to pay for Variable
OM &R costs if the $3,000,000
Variable OM &R Fund established by
the Association is not adequate
FINAL ALP Repo rt_1_13_11_LL. Docx
VARIABLE OM &R COSTS
payment or cost estimates
developed and presented
:ause of the uncertainty
Diving the need and
gnitude of pumping required.
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