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<br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br /> <br />At this time, the CRPOA does not have any rights under contract for <br />purchase. There was an attempt last March to purchase Fulton Ditch shares but <br />that negotiation fell through. Recent quotation on the price per share for Fulton <br />Ditch water has increased by about 25 percent since last March to its current <br />value of $5300 - $5800 per share. The price for a paired share of Burlington- <br />Wellington water now is over $15,000. Prices apparently will continue to <br />increase with time. <br />If CRPOA can get preliminary approval of a loan to purchase senior water <br />rights they would proceed to purchase rights that would have a consumptive use <br />of 84 acre feet. The shares to be purchased would have to come from land that <br />could be dried up to yield that amount of consumptive use. <br />It is not possible to say which rights CRPOA might try to purchase. They <br />would likely have to negotiate several purchases in order to buy enough to meet <br />their demand. The total cost for the water purchase is estimated to be less than <br />$400,000. For example, if the shares to be purchased were from the Fulton <br />Ditch at $5500 per share, and assuming one share of Fulton Ditch would yield <br />1.7 acre-feet of consumptive use, then it would be necessary to purchase 50 <br />shares for $275,000. If the price is $6,000 per share, the purchase price would <br />be $300,000. <br />Because of the makeup of the various different components in the <br />Burlington-Wellington system, it is difficult to assume how much consumptive <br />use might be available per share. Assuming the entire $400,000 in the loan <br />application was spent and the shares cost $15,000 each, this would allow the <br />purchase of 26 shares which might not yield the full 84 acre-feet of consumptive <br /> <br />use. <br /> <br />It does appear however, that with diligent efforts it would be possible to <br />purchase 84 acre-feet of consumptive use credit for the $400,000. <br /> <br />FINANCIAL ANALYSES FOR COST TO OPERATE AND REVENUES NEEDED <br />TO REPAY LOAN <br /> <br />Financial records from CRPOA for the 1995-98 period are summarized in <br />Table 3 and provide some insight to estimate future costs to operate, repair, and <br /> <br />I~ <br />