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u <br />' <br />' <br />' <br />CAI3LSON, HAMMOND 8c PADDOCK, L.L.C. <br />ATTORNEYS AT LAW <br />MARY MEAD HAMMOND <br />WILLIAM A. PADDOCK <br />LEE H.JOHNSON <br />PETER C. FLEMING <br />K. GWEN BEACNAM <br />1700 LINCOLN STREET, SUITE 3900 <br />DENVER, COLORADO 8020 3-45 3 9 <br />September 18, 1996 <br />JOHN UNDEM CARLSON <br />(19a0-1992) <br />TELEPHONE 1303) 861-9000 <br />TELECOPIER 1303) 661 <br />' Via Hand Deliverv <br />William J. Killip, I <br />' Special Proje anager <br />State Boar of Land Commissioners <br />620 C tennial Building <br />13 Sherman Street <br />, enver, Colorado 80203 <br />, <br />Re: San Luis Valley Water Conservancy District <br />Dear Bill: <br />, <br />u <br />' <br />, <br />II <br />' <br />' <br />1 <br />' <br />' <br />I am writing to follow up on our telephone conversation last week. As you <br />requested, I enclose a copy of the proposed lease sent to you by Melanie Backes on <br />February 8, 1994. I have updated that proposed lease to correct the dates and the name of <br />the party who will sign on behalf of the San Luis Valley Water Conservancy District (the <br />"District"), and to expand the project description. <br />I thought it might be helpful if I provide you with some background on this recharge <br />project. The District includes substantially all of Alamosa and Rio Grande Counties and <br />portions of Saguache and Mineral Counties. Much of the lands in the District located north <br />of the Rio Grande are in the area referred to as the "closed basin." It is called "closed" <br />because the surface streams that flow into this area do not naturally flow to the Rio Grande. <br />The closed basin is a very highly-productive agricultural area that contains one of the largest <br />concentrations of center pivot irrigation systems in the United States, if not the world. The <br />majority of those center pivot irrigation systems are supplied with water from wells taping <br />the unconfined aquifer of the closed basin. The unconfined aquifer is a shallow aquifer <br />ranging from tens of feet thick at its edges to approximately 100 feet thick in the central area <br />of the closed basin. The State Land Board has a number of wells that depend upon this <br />aquifer. The District's recharge project is an effort to help sustain and replenish the water <br />supply in the unconfined aquifer for the benefit of water users within the District who rely <br />upon the unconfined aquifer. <br />The unconfined aquifer of the closed basin is unique in that it is essentially an <br />artificial aquifer that has been filled by and is now replenished largely by the efforts of man. <br />In the U.S.G.S.'s 1956 study entitled "Ground Water Resources of San Luis Valley, <br />Colorado," it is reported that prior to the construction of the large irrigation canals bringing <br />' A-8 <br />