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12596 W.Bayaud Ave.•Ste 330 <br /> 28 <br /> Lakewood, Colorado TZA 80230 Water Engineers, InC. Telephone: 303-971-0030 <br /> Facsimile: 303 971-0077 <br /> May 18,2013 <br /> Huerfano County Water Conservancy District <br /> Mr. Kent Mace-President <br /> C/O Felt Monson&Culichia <br /> 319 N. Weber Street <br /> Colorado Springs,CO 80903 <br /> Re: Engineering Services—CWCB Loan Program <br /> Dear Kent: <br /> This letter has been prepared to provide a budget cost estimate for engineering services for Huerfano <br /> County Water Conservancy District (HCWCD) required to: (1) evaluate the feasibility of the <br /> construction of an approximate 25 acre foot water storage structure in the upper Huerfano River <br /> Basin in Huerfano County which will be used by HCWCD for the operation of its county-wide <br /> "blanket" plan for augmentation; (2) assist the HCWCD in the acquisition of an irrigated ranch in <br /> Huerfano County and conduct a historic consumptive use quantification of the senior irrigation water <br /> rights on the ranch and analysis of the feasibility of storing the transferred water rights in the <br /> District's storage facility; and (3) prepare a Loan Feasibility Study for HCWCD. The Loan <br /> Feasibility Study will be prepared in accordance with Colorado Water Conservation Board(CWCB) <br /> loan program guidelines. The Loan Feasibility Study will be used by HCWCD to prepare and file an <br /> application for a water project loan with the CWCB. <br /> The cost estimate has been prepared based on the following assumptions: <br /> A. TZA Water Engineer's Inc. (TZA) will perform engineering services necessary to assist <br /> HCWCD with preparation of a Loan Feasibility Study. <br /> B. TZA will utilize the current CWCB Water Project Loan Program guidelines for all <br /> engineering services. <br /> C. TZA will work closely with HCWCD staff and legal counsel during preparation of all <br /> technical reports. <br /> D. This cost estimate does not include costs for field services perfonned by others that will be <br /> needed once a selected alternative is identified. Based on previous experience, we anticipate <br /> that the following field work may be required once a selected alternative is identified: <br /> a. Site Surveys <br /> b. Test Hole Drilling/Monitoring Well Installation <br /> e. Test Pit Construction <br />