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1 . 00333'~ ., . . Economic and Financial Ana1vsis . Annual Project Benefits !i:!!pr salvage. All Naters which Nil1 be salvaged can be beneficially used as described in CHAPTER VII - POTENTIAL USES OF SALVAGED WATER of the .Ju1y 1963 Feasibility Report. The Closed Basin Division of the San Luis Valley project is, estimated to salvage 100,800 acre-feet of water annually from stages 1 through 5. Part of the salvaged water amounting to 5,300 acre-feet annually Nou1d be supplied to the Alamosa 1~i1d1ife Refug() and the rel~aining 95,500 acre- feet would be used to reduce the debi t of Colorado under the terms of the Rio Grande Compact. Anaiyses of water use and cro!, returns on the Rio Grande project in Texas and Ne\1 /Iexico, ~lidd1e Rio Grande project in Ne\1 ~Iexico, and San Luis Vallcy project in Colorado established that the net farm income per acre- foot of water de Ii vcred to the San Luis Valley project Nou1d be less than the comparable values for the NC'1 Hexico and Texas projects primarily because of the shorter grOll1ng season whi ch prevails in the San Luis Valley. It 11as therefore concluded that benefits based on use of the salvaged Naters on the Rio Grande Division lands of the San Luis Valley project would furnish a conservative minimal appraisal of the Imter salvage benefits assignable to the plan of development. Farm income and costs Jor the Rio'Grande Division lands wcre estimated on the basis of six farm budgets which evaluate the effects of land sizcs and classes and agricultural enterprises prevai ling in the Rio Grande Division. On the basis of these budgets, the average annual bencH t assignable to the 224,340 acres of existing 'irrigation in the Rio Grande Division l11th a full water supply 11as estimated to be $59 per acre. The diversion reqdrement to furnish a full water supply was computed to be 2.23 acre-feet per acre. - On this basis, the benefits assignable to salvaged 'vater' delivered to the Rio Grande was estimated to average $26.46 per acre- foot, or $2,527,000, for the estimated average annual 95,500 acre-feet of salva!led water. After adjustment for s:tage construction, this \10uld be $1,843,000 annually, of which $1,074,000 would represent primary benefi ts and. $769,000 secondary bcnefi ts. Area redevelopment. Several Colorado counties adjoining or wi thin commuting distance of the Closed Basin Division, San Luis Valley project, are designated depressed areas in accordance wi th the Public Works and Economic Development Act of 1965, Public La\1 89-136. These counties include Conejos, Costilla, Archuleta, and Saguache. Construction and operation and maintenance costs of the project \10uld provide employme~t opportunities for unemployed \Iorkers 4 ,.