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<br />After weighing all reasonable alternatives, it has been determined <br />that extension of the existing municipal well field should be given <br />the first priority as phase one of the total project. Two wells in the <br />alluvium are reconnnended for initial construction. After reviewing <br />the geophysical work done and studying other relevant data, it appears <br />that these wells should be located north of the city and aligned in an <br />east-west direction in order to intercept migrating ground water stored <br />in the valley alluvium. It is believed that these wells would draw <br />from a different source than now being utilized by the existing wells" <br />It is entirely possible that further wells north of the city, in <br />addition to the two already proposed, could further enhance the future <br />water supply of the city of Gunnison. However, this cannot be deter- <br />mined until the first two wells have been in operation for a period of <br />a year or so. Development of surface water supplies from the Gunnison <br />River as phase two should be delayed until the adequacy and yield of <br />the proposed well field north of the city can be determined. It appears <br />inevitable, however, that the surface water supplies must be developed <br />at sometime in the foreseeable future" <br />FINANCING <br />The city of Gunnison wishes to proceed with the financing of both <br />phases of the project at this time. The city requests that half the <br />cost, to wit, about $1,350,000, be made available during the coming <br />fiscal year from the Colorado Water Conservation Board Construction <br />Fund" The city proposes to issue municipal bonds for the remaining <br />50 percent of the estimated project cost. It is believed that these <br />bonds could be issued for a twenty-year period and marketed at an <br /> <br />-4- <br />