BOARD00894

• Board Meeting Date: 3/16/2004
• Description: CF Section - New Loans - Upper Surface Creek Domestic Water Users Assocation - Diversion Structure and Raw Water Pipeline Construction
• Board Meetings - Doc Type: Memo

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STATE OF COLORADO

Colorado Water Conservation Board

Department of Namal Resources
1313 Shennan Street, Room 721
Denver, Colorado 80203
Phone: [phone]
FAX: [phone]
www.cwcb.state.co.u5

MEMORANDUM

Bill Owens
Governor

TO:

Colorado Water Conservation Board Members

Bruce Johnson, P.E. ~~?S.
Mike Serlet, P.E., Chief
Water Supply Planning a ~nce Section

Russell George
Executive Director

FROM:

Rod Kuharich
CWCB Director

DATE:

March 5, 2004

Dan McAuliffe
Deputy Director

SUBJECT: Agenda Item 25h, March 16-17,2004 Board Meeting
Water Supply Planning and Finance Section - New Loans
Upper Surface Creek Domestic Water Users Association - Diversion
Structure and Raw Water Pipeline Construction

Introduction

The Upper Surface Creek Domestic Water Users Association (USCDWUA) is applying for a
$162,180 loan from the Severance Tax Trust Fund Perpetual Base Account, to construct a new
diversion structure and raw water pipeline connecting with a new water treatment plant being built.
The estimated total cost of the raw water portion of the project is $180,200. Please see the attached
project summary and map.

Backaround

The USCDWUA is a rural domestic water provider serving a 40 square mile service area on the
south side of Grand Mesa in Delta County, east of SH 65 and immediately adjacent to the Town of
Cedaredge. They currently serve 770 water customers (existing hook-ups), and provide an
average of 86 million gallons (264 acre-feet) of water per year. USCDWUA owns its raw water
sources, but relies on the Town of Cedaredge for water treatment. Since the formation of
USCDWUA in 1955, collection and treatment of raw water has been through facilities that are jointly
owned by USCDWUA and the Town, of which USCDWUA is a one-fifth owner. Growth in the
USCDWUA service area has caused a demand for water that is now two-fifths of system capacity,
and USCDWUA has been unable to acquire more plant capacity from the Town. Bya shareholder
vote, USCDWUA has decided to construct a new treatment plant and raw water collection system,
and separate themselves from the Town of Cedaredge. The new intake for the treatment plant
would be located northeast of the Town on Surface Creek. The raw water pipeline would extend
southwest from the intake approximately 3000 feet to the new treatment plant. The estimated cost
of the completed water treatment plant project, including the raw water portion, is $1.32 million.

Flood Protection. Water Supply Planning and Finance. Stream and Lake Protection
Water Supply Protection. Conservation and Drought Planning