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e . Memorandum August 15, 1995 Page Two is stored in Gurley Reservoir which has a capacity of about 11,000 acre-feet. The average annual yield of the FWDC system, including both storage and early season flow through the reservoir, is about 24,000 acre-feet per year. By comparison, total annual municipal water use for the Norwood-Wright's Mesa area amounts to less than 180 acre-feet per year. At present there are some problems in distinguishing Norwood's surface rights from Gurley Reservoir releases in the Gurley Ditch during the irrigation season. In addition, there is a lack of long-term records for Norwood's use of its decreed municipal rights. A portion of the proceeds from a Construction Fund loan would be used to establish a flow measurement and recording program to assist in resolving this problem. Based on limited available data, WestWater Engineering derived an estimate of water rights yields as of March 1995 in Table IV -G of the feasibility report (copy attached). The table indicates that for both municipal rights as well as Norwood's shares in the FWDC, the average year yield would amount to 429 acre-feet and the firm, or dry-year, yield would be 206 acre-feet. As documented in my memorandum to the Board of July 17, 1995, Norwood has acquired an additional 50 shares in the FWDC. The new shares should increase the firm yield by about 50 acre-feet to a total of 256 acre-feet assuming the same minimum yield of one acre-foot per share as in Table IV -G of the feasibility report Prooosed Proiect The proposed project consists of a new raw water reservoir with a capacity of about 100 acre- feet. The purpose of the reservoir is to store water during the summer or fall for use in the winter months when, according to the bylaws of the FWDC, water cannot be released from Gurley Reservoir. The feasibility study indicates that the average water use in the Norwood service area for the period October 1988 to July 1991 was about 167 acre-feet per year. Average water use is projected to increase to about 400 acre-feet per year at the end of the next 40 years. At that time, it is estimated that Norwood would be using about 250 acre-feet per year from the FWDC system. Annual supply appears to exceed average annual demands at the present time (256 acre-feet vs. 167 acre-feet). The problem, however, is in the distribution of annual supplies. Norwood's municipal surface and sub-surface rights are inadequate to provide a full supply in the winter months while in the summer months there is an excess of water available from the combination of municipal rights and Norwood's shares in the FWDC released from Gurley Reservoir.