PROJ00005 - Laserfiche WebLink

Home Browse Search

I I I I I I I I I I I I I I I I I I I 2.2 Orqanization, Powers, and Authorities The Fort Lyon Canal Company is a mutual ditch company, organized under special statutes now codified os C.R.S. 1973, Section 7-42-10 I et. seq. (as amended). Such corporations are orgonized as nonprofit corporations and have the rights and powers granted under the Colorado Nonprofit Corporation Act. C.R.S. 1973, Section 7-20-101 et. seq. through 7-29-101 et. seq. Specifically, such companies have the power to make contracts and incur binding liabilities through loans, and to receive grants of property. C.R.S. 1973, Section 7-22-101. Mutual ditch companies' provide water to their stockholders based on proportion of stock ownership. . See generally C.R.S. 1973, Section 7-42-106. Mutual ditch companies roise money for operation and maintenance of facilities and for the repayment of indebtedness through ossessments on outstanding shares of stock. Such stock assessments ore determined onnually by vote of the stockholders. Procedures exist for collecting unpoid assessments. See C.R.S. 1973, Section 7-42-104. 2.3 Physical Assets and Financial Status The finoneiol position of the Fort Lyon Canal Company, asof October 31,1982, is given in Appendix A. This information was taken directly from the 1982 "Annual Reports of The Officers of The Fort Lyon Canal Company," and was prepared by William J. Trainor, CPA. The financial report was presented to the Boord of Directors and Stockholders of the Company at their annual meeting on December 21, 1982. Presently, the Fort Lyon Canal Company has 93,989.42 shares of Common Mutual Stock issued and outstanding, with a par value of five dollars per share. With average annual diversions of 199,542 acre-feet at the Fort Lyon Canal headgate, and average annual releases from the storage system into the Fort Lyon Canal of I 1,485 acre-feet, the Canal Company diverts an average of 2.25 acre-feet per share per year into the Fort Lyon Canal. After accounting for canal and lateral losses, this represents an annual overage of about 1.5 acre-feet per share available for delivery to the irrigators. As reported in the Company's 1982 Anrlual Report (Appendix A), total maintenance and delivery expenses for the year ending October 31, 1982 were $624,060, or about $6.64 per shore. This represents a net increase since 1970 (total expenses of $279,311) of about $3.67 per share, or just under 125 percent. This is equivalent to on average increase of about seven percent per year. 4