Laserfiche WebLink
<br />CHAPTER VII <br /> <br />PROJECT EVALUATION <br /> <br />General <br /> <br />. <br /> <br />Hany studies have been conducted which estimate the ability of farmers to PIlY <br />for II supply of irrigation water for land in various areas, no such study has <br />been conducted for the Paradox Valley. Prices on agricultural products have <br />remained stable over the years, but have not increased at the same rate of the <br />costs of goods and services to farmers. In interviewing various farmers through- <br />out the Paradox Valley a review of the return farmers may expect on their invest- <br />ment has been made and a figure in which farmers can afford to pay for irrigation <br />water has been determined. This figure, the figure in which farmers can afford <br />to pay for irrigation water, is called payment capacity. Recommended water <br />charges are 80% of the payment capacity. <br /> <br />Recommended Water Charges and Payment Capacity <br /> <br />Recommended water charges in the Paradox Valley have been derived from interviews <br />with farmers and ranchers in the Valley and an analysis of all overhead costs <br />including shipping of the farm products. This amount is tabulated in Table XII <br />and is entitled Recommended Water Charge. <br /> <br />TABLE XII <br /> <br />Recommended Water Charge <br /> <br />. <br /> <br />!A1fal_f4~;~~;_I_s_~~:;e __!pastur:,_ <br />: 18.60%1 7.75% 16.86% ! 13.76% <br />1-' ,ui'. - ---i-----'-j-'---- <br />! $7.68 '\$10.20 I $8.00 I <br />, , <br />I I <br />I I $3.20 <br /> <br />I I <br /> <br />Small Land Class <br />Grains by Percentage <br />-. ------ ------ <br /> <br />Weighted <br />Average <br /> <br />43.02% <br /> <br />$5.38 <br /> <br />Class II 86.24% <br /> <br />$5.88 <br /> <br />Class III 2.79% <br /> <br />$0.44 <br /> <br />$2.18 <br /> <br />Class VI 10.97% <br /> <br />$0.30 <br /> <br />Weighted Average (per acre) -, - - - <br />Per Acre Foot of Irrigation Water' <br /> <br />1- <br />- - -1-- <br /> <br />$5.12 <br />$2.22 <br /> <br />In reviewing the tabulation of Table XII it is determined that recommended water <br />charges to the water users in the Paradox Valley is considerably lower than re- <br />commended water charges in other farming areas. The low figure for recommended <br />water charges can be attributed to the geographic location of Paradox Valley as <br />goods and services must be shipped at considerable distance from any urban area <br />of significant size. As previously mentioned, the recommended water charges is <br />80% of the payment capacity, therefore; the payment capacity is $5.12/0.80 = $6.40. <br /> <br />VII-l <br />