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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 /> <br />Feasibility of the Rehabilitation <br />of the <br />Excelsior Ditch <br /> <br />PROJECT SPONSOR <br /> <br />The Excelsior Irrigating Company (EIC) is a Colorado Mutual Ditch Company and a non-profit <br />Corporation. The Articles ofIncorporation and By-Laws are included in Appendix A. <br /> <br />The company's facilities, built initially in the early 1860's, are located on the Arkansas River, 7 <br />miles east of Pueblo. They include a concrete block diversion structure to divert water from the <br />river, a headgate structure on the river, two wasteways to return the water to the river, and <br />approximately 7 miles of open ditch. <br /> <br />The shares of the EIC are owned by C. R. Evans (Stonewall Springs Ranch), the majority <br />stockholder with 1876 shares, by Western Mobile Inc.(formerly Southwest Ready-Mix, Inc.) <br />with 450 shares, and by Arkansas Groundwater Users Association (AGUA) with 1007 shares. <br />All shares were purchased from the Travelers Insurance Company, which had acquired them <br />through bankruptcy proceedings. Western Mobile/Southwest Ready-Mix has already, or will, <br />build and pay for its portion of the improvements. C.R. Evans (Stonewall Springs Ranch) is the <br />primary sponsor of the project, and the water is for agricultural use in the service area. <br /> <br />PROJECT SERVICE AREA <br /> <br />The service area of the Excelsior Ditch includes approximately 2,200 acres offarmland in <br />Pueblo County. Irrigated crops consist of sorghum-sudan, alfalfa and turf grass. See map on <br />page 7. <br /> <br />NEED FOR THE PROJECT <br /> <br />The Excelsior Irrigating Company is undertaking this project in order to continue providing <br />irrigation water to the majority shareholder for the irrigation of crops, in compliance with the <br />new Rules and regulations on the Arkansas River. <br /> <br />Under previous ownership the ditch system fell into disrepair. A portion of the ditch was filled <br />in and replaced with central sprinklers, the river diversion facility was allowed to deteriorate, <br />and silt allowed to accumulate throughout the length of the ditch. Instead of using the ditch, <br />wells were used to provide irrigation water, and the ditch rights were leased to well <br />augmentation companies. <br /> <br />Feasibility Study <br />Rehabilitation of the Excelsior Ditch <br />July 1996; Updated March 1998 <br /> <br />Page 6 <br />