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which approximately 70% reaches the Uncompahgre River for distribution throughout the entire UPA. There are six direct lateral water diversions off the South Canal serving 320 water users and irrigating 13,600 acres in the southeast part of the UPA. In addition, the South Canal provides 172 cfs to the West Canal. Technically speaking, the Gunnison Tunnel and South Canal function to move water from the Gunnison River to the Uncompahgre River for distribution throughout the entire Uncompahgre Project Area and provide half of the irrigation water supply needed. Credit Worthiness UVWUA has entered into a number of contracts with the U.S. government and other entities. Historical repayment contracts include: • Uncompahgre Valley Project Construction Contracts • U.S. Bureau of Reclamation/Uncompahgre Valley Water Users Association Repayment Contract,Symbol 11r-1530,dated December 13, 1948. Contract Symbol I1r-1530, aka the Government/Association Contract, replaces and supersedes ten previous repayment contracts. It describes the irrigation works of the Uncompahgre Valley Project, the repayment obligation, and the general description of the operation and maintenance obligations by both the UVWUA and the U.S. government. The UVWUA agreed to pay installment payments of$60,000 per year for the Gunnison Tunnel,the Project distribution system and the construction of Taylor Park Reservoir for the total construction cost of $10,150,000.00. This contract was subsequently reduced and adjusted for lands deemed non-irrigable. Rehabilitation and Betterment Contracts(R&B Contracts) • U.S. Bureau of Reclamation - Rehabilitation and Betterment, Uncompahgre Valley Project Contract No. 14-06-400-1067,June 20, 1960. • U.S. Bureau of Reclamation - Rehabilitation and Betterment, Uncompahgre Valley Project; Contract No. 14-06-400-4419, dated March 16, 1966, amended March 13, 1967 and May,27, 1970. 5