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C150464 Application
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C150464 Application
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Last modified
5/29/2014 1:09:24 PM
Creation date
5/29/2014 1:09:23 PM
Metadata
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Template:
Loan Projects
Contract/PO #
C150464
Contractor Name
Fort Morgan Irrigation Company & Groves farms
Contract Type
Grant
Loan Projects - Doc Type
Application
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3. For Applications that include a request for funds from the Statewide Account, describe how the <br /> water activity meets the Evaluation Criteria. See Part 3 of Criteria and Guidelines. <br /> A. This project addresses multiple needs and issues: <br /> 1. FMRICo serves fanners with augmentation water for their agricultural wells. Additionally, the <br /> City of Fort Morgan and the City of Brush are shareholders in FMRICo and they use their pro rata <br /> share of augmentation credits yielded by their FMRICo shares to augment their municipal wells <br /> under separately decreed augmentation plans. Also, there are 5 wells for the XCLL power plant <br /> near Brush that receive augmentation credits from the Fort Morgan Water Company. This project <br /> will firm up the ability of FMRICo to provide adequate augmentation supplies, especially in dry <br /> years,to these uses. <br /> 2. Groves is a family fanning operation that will use water from this project to augment firmer <br /> GASP wells that would be shut down in the absence of an adequate augmentation plan. <br /> 3. Applicants have agreed that a portion of the augmentation credits from this project will be <br /> assigned to the landowners along the pipeline route. Those credits will likely be used to augment <br /> irrigation well depletions that are similar to those of Groves. <br /> 4. Applicants are working with Ducks Unlimited to develop the wildlife habitat potential of the <br /> recharge ponds that will be used as part of this project to maximize the non-consumptive benefits of <br /> this project. <br /> B. This project involves 3 entities that will be directly involved, and at least 5 more that will <br /> receive and use water from this project. These entities are described in detail above. <br /> C. This grant is important to the success of the project. Preliminary engineering indicates the <br /> projected cost of about $2.2 million is a significant price to absorb for the agricultural entities that <br /> will construct and operate this project. If they had to pay the full price themselves, they might not <br /> be able to afford this project. however, this WSRA grant,combined with the other matching grants <br /> that Ducks Unlimited plans to bring to the project and a CWCI3 loan that will be requested to <br /> supplement this WSRA grant, will make the project affordable and practical for the applicants. In <br /> this way,the WSRA grant will also make a nice compliment to the CWCB loan program. <br /> D. There is some urgency associated with this project. For Groves, the development of an <br /> adequate augmentation plan to cover its former GASP wells is urgent. The plan has been operated <br /> !Or the past few years by using water from short term leases, and other sources. This project will <br /> help provide a permanent source of additional augmentation credits for the plan. For FMRICo, <br /> during the recent drought of 2002, the projections for its augmentation plan showed a possible <br /> shortage of adequate replacement supplies, resulting in the FMRICo Board of Directors requiring a <br /> shut-down of irrigation wells under the FMRICo augmentation plan so as not to injure other senior <br /> water rights. FMRICo hopes to use this project to firm up its augmentation base before another <br /> drought hits. <br /> E. This project is a straight-lbrward pipeline project that has already been studied and partially <br /> designed. It can be finally designed and built in approximately 12-18 months from the time final <br /> authorization of the funding is in place. Applicants are farmers who want to build and operate this <br /> S <br />
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