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<br />~ <br /> <br />\ <br />" <br /> <br />, <br /> <br />5 <br /> <br />flooding problems on the South Platte. This problem was not <br />addressed in the study. With Union Park's highly responsive. <br />1,000 acre feet per day, gravity flow capability to Metro Denver. <br />an environmentally damaging reservoir on the South Platte would <br />not be required. <br /> <br />Economic, Environmental, and political Reality Because of <br />its unique multiplier effect. Union Park can increase Metro <br />Denver's safe yield 40% more than any South Platte alternative <br />for about 60% of the annualized cost per acre foot, while still <br />guaranteeing Taylor River flows 50% higher than required by the <br />Colorado Water Conservation Board. The Collegiate Range and <br />Taylor Park alternatives are not competitive. because their total <br />system cost per unit of yield would be at least 40% higher than <br />Metro Denver's other non-Gunnison options. These options include <br />Two Forks. Green Mountain Exchange. and City - Farm Recycling. <br /> <br />Because of the national controversy over damming the South <br />Platte and its higher environmental and economic cost, we believe <br />Union Park will ultimately be the first major project constructed <br />for Metro Denver. However, if one of these non-Gunnison options <br />is constructed first, the Upper Gunnison will have lost its <br />window of opportunity for basin of origin revenues for at least <br />30 years. <br /> <br />It is a well known fact that the untapped Gunnison has large <br />amounts of surplus flood vaters that are currently being lost to <br />the down river states. Union Park provides a very cost <br />effective. environmentally sound system for both slopes to fully <br />exploit a small portion of these lost water resources. If the <br />Upper Gunnison Study is completed objectively, the Authority. the <br />Upper Gunnison, and the entire state can join in a consensus that <br />fully supports Union Park as Colorado's next major water <br />development project. <br /> <br />Rocky Point vs. Needle Point As a potential source of <br />in-basin revenue, the Gunnison Study also includes a cost <br />comparison of NECO's Rocky Point Pumped Storage Power Project <br />with the study's preferred power project at Needle Point. A <br />preliminary evaluation by our consultants indicates the study's <br />cost differential is off by about $70 million. We also doubt <br />that Needle Point would be permitted in a National Recreation <br />Area. <br /> <br />All parties should be aware that the proposed Taylor Park <br />and Collegiate Range alternatives would conflict operationally <br />and environmentally with our existing Rocky Point water rights. <br />Union Park complements Rocky Point because it stabilizes the <br />level of Taylor Park Reservoir at the near full level to minimize <br />the daily 2 to 3 foot fluctuations when Rocky Point is in the <br />pumping/generating mode. Our engineers and consultants are <br />prepared to discuss these projects in detail. <br /> <br />::'" <br /> <br />I 10003111 <br />