Fesability Study

• Contractor Name: Pine River Irrigation District
• Contract Type: Loan
• Loan Projects - Doc Type: Feasibility Study

The initial service area is generally from the Pine River on the east, US Highway 150 on the
west, about 2 miles north of US Highway 160 on the north and the LaPlata/Durango Airport on
the south; a treatment plant will be constructed near Bayfield for the initial service area. The
attached location map shows the ultimate and initial service areas with possible major pipeline
routes. The pipeline routes shown on Figure 1 have not been constructed; the entire VWC water
distribution system must be constructed.
The ultimate service area will begin at Vallecito Reservoir in the upper Pine River valley, about
13 miles north of Bayfield. The reservoir is at elevation 7,600 feet MSL in an alpine setting.
The service area will extend south in a relatively narrow corridor about 8 miles wide (east-west)
through the Pine River valley to Bayfield where the service area will expand to cover an area
approximately 22 miles (east-west) by 11 miles (north-south).
The initial service area south of U.S. Highway 160 (the major east-west highway through
southwest Colorado) is generally flat with a slight slope to the south. Most of the land is
irrigated with water from the Pine River Project (Vallecito Reservoir) serving land east of the
Florida River and from Florida Project (Lemon Reservoir) serving land west of the Florida
River. The elevation along U.S. Highway 160 is about 6,900 feet with elevations at the south
end of the service area being 6,600 feet.
The Town's of Bayfield and Ignacio are in the service area but will not receive water from VWC.
The Southern Ute Tribal headquarters (adjacent to Ignacio) and some Tribal lands are also within
the service area but will not be served unless the Tribe needs water at locations presently not
served by the Tribal water system.
STATUS OF RURAL WATER SYSTEM
The project has received: LaPlata County Master Plan approval; a 404 permit from the Corp of
Engineers; funding as explained below; an agreement in principal with the Town of Bayfield that
addresses VWC taps within the Town planning area; an agreement in principal with the City of
Durango that address VWC taps within the City urbanizing area.
USDA Rural Development determined the service area to be low income and qualified for
grants.
USDA Rural Development (RD) has committed $8 million for construction of which $6 million
is loan and $2 million is grant; however, prior to closing the loan with RD, there must be 920
taps. At the present time there are about 700 taps committed in the initial service area to be
served with $8 million. The RD funding is for construction and cannot be used for pre-
construction designs and other pre-construction activities which will cost about $600,000. VWC
has obtained a $300,000 loan from LaPlata Electric Association for designs and right-of-way
acquisition; however, an additional $300,000 is needed. The purpose of this application is to
request the additional $300,000.
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