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<br /> <br />. <br /> <br />CRAPrER III <br /> <br />BASES FOR ANALYSES <br /> <br />their operating expenses and allowances for return on their labor, man- <br />agement, and equity. A 15 percent allowance also was made for contin- <br />gencies. Derivation of the estimates is shown below. <br /> <br />Selected data in determination of <br /> <br />. <br /> <br />recommended water chaTges <br />Weighted average <br />by tYJle of farm <br />Clas s 3 <br />and 3M <br />240 <br />l60 <br /> <br />Class 2 <br />210 <br />l60 <br /> <br />$41,389 <br /> <br />29,676 <br /> <br />8,783 <br />38,459 <br /> <br />2,930 <br />13.95 <br /> <br />2,490 <br />12.00 <br /> <br />Irrigation benefits <br /> <br />Item <br />Irrigable area per farm ( acres ) <br />Equivalent of class 1 land (acres) <br />Water supply per acre at diversion <br />points (acre-feet) <br />Annual gross income per farm <br />Less costs per farm <br />Operating costs <br />Return to management, labor, <br />and equity <br />Tot al costs <br />Payment capacity <br />Per farm <br />Per acre <br />Recommended water charges!! <br />Per farm <br />Per acre <br />Per acre-foot of project supply <br />at diversion points 3.70 2.85 <br />!/ Payment capacity reduced by l5 percent for contingencies. <br /> <br />Total <br />weighted <br />average <br /> <br />3.26 <br /> <br />$42,830 <br /> <br />3l,105 <br /> <br />9,099 <br />40,204 <br /> <br />2,626 <br />10.95 <br /> <br />2,230 <br />9.30 <br /> <br />lO.50 <br />3.20 <br /> <br />Estimates were made of direct, indirect, and public irrigation bene- <br />fits. The direct benefits represent the increased net farm income made <br />possible by the project. The indirect benefits include increased profits <br />of enterprises off the farm from handling and processing of farm produc- <br />tion. Public benefits represent the value of project-induced economic <br />growth. Benefits were estimated for conditions of full development over <br />a 100-yeaT period of analysis commencing with the first delivery of proj- <br />ect water. Adjustments were made for accrual of only partial benefits <br />during the development period. The estimates of irrigation benefits for <br />each acre-foot of water at diversion points are shown below. <br /> <br />Direct benefits <br />Indirect benefits <br />Public benefits <br />Total <br /> <br />. <br /> <br />25 <br /> <br />$32 <br />5 <br />2 <br />39 <br />