Board Meeting 03/03/1983

• Board Meeting Date: 3/3/1983
• Description: Minutes, Agenda, Memorandums March 3, 1983
• Board Meetings - Doc Type: Meeting

In view of the fact that Colorado-Ute has no
present need for such water, the . . .
Distict, after it has contracted for the sale
of an additional 9,000 acre-feet per annum,
will thereafter until such time as otherwise
notified by Colorado-Ute, use its best efforts
to resell such water to other users . . . .
The District estimates that 1 ,000 to 2 ,000 acre-feet may be
needed for municipal uses, while it is estimated that 4,000
acre-feet will be used for irrigation. There are no agreements
or contracts in effect at this time for such deliveries.
The lands needed for the dam site and reservoir pool, and
the water rights for the project, are presently owned by
Colorado-Ute. The letter agreement between the District and
Colorado-Ute specifies that Colorado-Ute will :
( 1 ) sell and convey to the District the actual land needed
for the Reservoir ( approximately 980 acres) for the sum
of $1 ,000,000, payable upon closing ,
( 2 ) sell and convey to the District the water rights
appurtenant to the reservoir for the sum of
$2,200 ,000, payable without interest on July 15 of the
first year the reservoir is filled, but no later than
July 15, 1988, and
( 3) on July 15 of the first year the reservoir is filled ,
convey title to the remaining acreage owned by
Colorado-Ute which is contiguous to the actual reservoir
site, consisting of approximately 1 ,000 acres, to a
joint venture consisting of Colorado-Ute and the
District. The letter agreement states that :
It is assumed that the value of this land
will increase substantially upon completion
of the construction of the reservoir.
Colorado-Ute and the Upper Yampa District
will, at that time, jointly sell such
remaining land--with Colorado-Ute to first
receive the sum of $570,000 from the
proceeds, and the remaining balance to be
divided equally between the Upper Yampa
District and Colorado-Ute.
Proposed Financing
The District is proposing that financing for the project
come from three sources :
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