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<br />n" ""l-..,....3 <br />~L ('oJ. <br /> <br />(3) Canal lining is the alternative that reduces the most salt loading to <br />the San Juan River (27,700 tons); <br /> <br />'\ <br /> <br />(4) Environmental impacts are least with this alternative; <br /> <br />(5) This alternative represents the approach preferred by the local <br />water users; and <br /> <br />(6) The social and regional economic effects of this alternative are minor <br />but beneficial. <br /> <br />PREFERRED PLAN <br /> <br />PROJECT FACILITIES <br /> <br />The Hammond Project system has 26.95 miles of canal and 10.25 miles of <br />laterals. The preferred plan would line all remaining sections of the <br />Hammond Project system with either a concrete or membrane lining; the <br />Hammond Conservancy District prefers concrete canal lining to the <br />membrane lining option. Costs are similar for either of the two lining <br />systems, and the final decision on which lining system is to be used would <br />be determined in preconstruction activities. Component reaches are shown <br />on the accompanying map, and cost data are cited in tables S-4 and S-5. <br /> <br />) <br /> <br />PROJECT COST AND REPAYMENT <br /> <br />Total costs for concrete or membrane lining the canals and laterals are <br />essentially the same, totaling approximately $10,493,000 (October 1991 <br />prices). Total annual operation, maintenance, and replacement (OM&R) <br />costs are approximately $55,000; however, the Hammond District has been <br />paying $116,000 annually of OM&R, in addition to farmers' collective <br />payment of $40,000 annually for pumping costs. Because farmers are not <br />expected to reimburse the Federal Government for the theoretical net <br />decrease, OM&R charges are calculated at zero. <br /> <br />Annual reimbursement over a 50-year repayment period at 8 percent <br />interest (the 1991 repayment rate for the Colorado River Basin Salinity <br />Control Act) would include $43,000 from the Upper Colorado River Basin <br />Fund and $243,000 from the Lower Colorado River Basin Fund, under <br />proportionate payment established by P.L. 98-569. Annual nonreimbursable <br />costs total $667,000. <br /> <br />S-6 <br />