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<br />G'rand Valley Irrigation Co.
<br />Shareholders Question BuRet
<br />
<br />Cost, control, coercion: Farmer's concerns on salinity program
<br />
<br />Reprinted
<br />1m..
<br />October 30 1986
<br />Cost, control, and coerCIOn (the possi-
<br />bility of forced participation) - those
<br />were the major concerns expressed by
<br />farmers attending an information meet-
<br />ing on Stage 2 ofthe Grand Valley Salini-
<br />ty Control Program on Oct 24.
<br />The meeting, hosted by the Bureau of
<br />Reclamation, was designed to give area
<br />farmers, mostly shareholders of the pri-
<br />vate Grand Valley Irrigation Company, a
<br />chance to get information and voice con-
<br />cerns on the second phase of the pro-
<br />gram designed to reduce salt load in the
<br />Colorado River by improving the laterals
<br />from which irrigators take their water.
<br />Following presentations by BuRec
<br />personnel outlining the overall program
<br />and Stage 2, the meeting was turned over
<br />to questions from the 80 people in atten-
<br />dance for answers by BuRec personnel.
<br />One of the major concerns was the cost
<br />to fanners.
<br />Question: Who will pay for the in-
<br />creased operation and maintenance of
<br />the proposed piped lateral system?
<br />Answer: The Bureau will determine
<br />the amount of actual dollar costs in-
<br />volved in maintainence of the present
<br />dirt and cement laterals, and the federal
<br />government will pay any costs over and
<br />above that amount.
<br />For instance, if a fanner has done
<br />work equal to $400 per year in maintain-
<br />ing his unimproved laterals and the
<br />costs of maintaining the improved, piped
<br />laterals is $600 per year, the federal gov-
<br />ernment will pay the additional $200.
<br />However if the fanner has done the
<br />$400 'worth 'of maintenance work himself,
<br />once the laterals are improved he will
<br />. have to pay the $400 and will not be able
<br />to do the work himself.
<br />Earlier in ihe meeting farmers were
<br />told that the federal gOVi:i'jjment would
<br />bear 100% of the costs of construction.
<br />Question: How long will the federal
<br />government pay for the increased opera-
<br />tion and maintenance?
<br />. Answer: According to Walt Fite, Grand
<br />Junction Office projects manager" for
<br />BuRec, the legislation mandating the
<br />salinity control work says "forever". But
<br />
<br />
<br />the Congress will not obligate money
<br />past the current fiscal year. If Congress
<br />does not continue to pay, the congres-
<br />sional delegations from California and
<br />Arizona will use their political power to
<br />force the federal government to pay in
<br />order to clean up the river water coming
<br />across their borders, farmers were told.
<br />
<br />Question: Is it true that BuRec esti-
<br />mates the costs of maintaining laterals at
<br />$86,000 per year and that it estimates
<br />only $3,000 per year in additional main-
<br />tenance will be required for the pro-
<br />posed improved system?
<br />Answer: Yes. That is correct BuRec
<br />estimates that overall maintenance will
<br />eventually fall below the $86,000 per
<br />year base for an improved system. Those
<br />costs are now substantially higher in im-
<br />proved laterals under the Government
<br />Highline Canal. "We are in the research
<br />and development realm there now,"
<br />farmers were told at the meeting. But
<br />those costs are expected to begin going
<br />down as bugs are worked out of the sys-
<br />tem.
<br />
<br />Question: Why are the costs of mainte-
<br />nance on the Government Highline sys-
<br />tem so much higher than on the private
<br />Grand Valley system?
<br />Answer: The Government Highline lat-
<br />erals are generally longer and serve
<br />more acreage.
<br />
<br />Question: Will farmers have to pay
<br />their share of the maintenance costs in
<br />cash?
<br />Answer: Yes. The maintenance cost
<br />figure for cement and dirt laterals being
<br />used by BuRec is $605 per mile. But offi-
<br />cials admit they came up with that figure
<br />out of thin air and don't know the actual
<br />costs. The final cost of maintenance on
<br />an improved system will have to be nego-
<br />tiated with the Grand Valley Irrigation
<br />Board of Directors if shareholders vote
<br />to approve preliminary negotiations in
<br />December at the GVIC annual meeting.
<br />Question: So, farmers will have to
<br />come up with additional cash flow to pay
<br />their share of maintenance on an im-
<br />proved system?
<br />Answer: Yes.
<br />Question: Farmers will not have to
<br />come up with this additional cash flow
<br />until after the lateral improvement
<br />
<br />project is completed?
<br />Answer: Yes:
<br />Question: If a farmer's laterals are al-
<br />ready improved he won't be included in
<br />the program. But if GVIC takes over
<br />maintenance won't t.hat farmer still be
<br />paying to maintain the other farmer's
<br />laterals?
<br />Answer: Not as the project is currently
<br />envisioned. BuRec will work with each
<br />of the laterals to determine the cost of
<br />maintenance and then will assess the in-
<br />dividuallateral users that amount.
<br />Other questions asked by farmers at
<br />the meeting involve<,l control and owner-
<br />ship of the improved laterals.
<br />The Grand Valley Irrigation Company
<br />has never been actively engaged in the
<br />ownership, maintenance, or control of
<br />laterals. A motion at last December's
<br />GVIC annual meeting to change the com-
<br />pany's bylaws to include control of later-
<br />als was tabled and has not been taken up
<br />again. Irrigators under the GVIC canals
<br />have historically operated, maintained,
<br />and controlled theil: own laterals either
<br />individually or by association.
<br />Question: How will GVIC get the money
<br />to buy the laterals, or will they seize
<br />them?
<br />Answer: GVIC will not need money to
<br />buy laterals, and BuRec hopes participa-
<br />tion in the program will be voluntary.
<br />The federal government will not have
<br />ownership of the laterals. The federal
<br />government wants a single entity, prefer-
<br />ably, to deal with in construction and op-
<br />eration and maintenance. Since farmers
<br />have expressed concerns about this,
<br />BuRec hopes that farmers will allow a
<br />maintenance access on improved later-
<br />als.
<br />Question: Who will own the laterals?
<br />Answer: The answer to that question is
<br />still up in the air. It. will hopefully be
<br />resolved in the next two years, but own-
<br />ership of improved laterals will be non-
<br />federal.
<br />Question: What other entity might take
<br />over control of the laterals if GVIC
<br />doesn't want to? The Ute Water Conserc
<br />vancy District?
<br />Answer: Yes. Ute is one entity that
<br />said they may if the Gvrc shareholders
<br />agreed. There are probably some others
<br />who would, also.
<br />
<br />Farmers in attendance also voiced
<br />concerns about being forced to partici-
<br />pate in the improvements program.
<br />Question: If the GVIC shareholders de-
<br />cide not to participate, what will the
<br />state and fed'eral governments do?
<br />Answer: If G"VIC says "no", then Colo-
<br />rado and the other basin states will push
<br />for some other entity to come in and do
<br />the project. Colorado can't develop its
<br />remaining rights on the Colorado River
<br />without decreasing the salt load it con-
<br />tributes to the river's downstream flow.
<br />Question: Couldn't that lead to vio-
<br />lence?
<br />Answer: Yes it could.
<br />Question: In !Jther words, you will be
<br />forced to participate eventually, regard-
<br />less?
<br />Answer: BuRec hopes that the merits
<br />of the program will be sufficient that
<br />people will Come in. "Some people
<br />won't, and that's Ok," a BuRec spokes-
<br />man said. "We hope for volunteer partic-
<br />ipation. If GVrc says 'no.' we'll have a
<br />problem."
<br />~uestion: 11' a farmer's laterals are al-
<br />ready improved, can he be excluded
<br />from the final agreement in 1988? If he
<br />wants his improved laterals to be left
<br />alone, who will say his improvements al-
<br />ready in place' are sufficient? Can the
<br />GVIC do an inventory io see which later-
<br />als need improvement?
<br />Answer: We would have to think about
<br />that alot more.
<br />There were some other questions
<br />asked about the program at the meeting.
<br />Question: Why not finISh-- lining the
<br />canals first before beginning work on
<br />farmers' laterals?
<br />Answer: Though BuRec spokesmen
<br />said they don't believe GVIC canals leak
<br />as much as laterals, determining that
<br />was "something between a guess and an
<br />estimate."
<br />QuesUon: How will piped laterals be
<br />kept clean ifcanals are not lined first?
<br />Answer: New turnout structures will
<br />be installed to reduce trash flowing into
<br />headgates, and there will be no meters
<br />placed on the laterals of GVIC share-
<br />holders (as they were on the Highline
<br />Stage 1 project) because they contribute
<br />to trash problems.
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<br />Question: Will you have to put trash
<br />cleaners in the lower end of the Grand
<br />Valley canal system?
<br />Answer: We may have to, but at this
<br />point we think we can ~et around it.
<br />Question: One person at the meeting .
<br />was concerned if local laterals were im- - ~
<br />proved to reduce salt load that the addi- . '
<br />tional fresh water created would simply
<br />be diverted to the Eastern Slope., "We ~
<br />would be going against our own self in- .-'
<br />teres!," he said.
<br />Answer: That's a judgement, and you
<br />know that Look at the benefits of salirii-
<br />tycontrol.
<br />BuRec sponsored two of the informa- .
<br />tion meetings last week Another meet~
<br />ing has been scheduled for Nov. 19 at a :
<br />location to be announced for concerned,
<br />farmers to come back with ideas on how
<br />their concerns can be best addressed,.
<br />and to get a majority opinion of GVIC
<br />shareholders on how to proceed, .
<br />BuRec has not entered into agree-
<br />ments with any other valley irrIgation: :
<br />entities that will also fall under the im- .
<br />provements plan. Finding a solution to
<br />concerns of GVrc shareholders is key to .
<br />the BuRec's plans because GVIC is a pri~ .
<br />vate company and not a government enti.
<br />ty or subdivision, as are other irrigation'
<br />districts in the valley.
<br />Don Clay, chief ofBuRec's pl!l;nning di-
<br />vision, said that he hopes construction
<br />can begin by 1991 or 1992. Before then
<br />GVIC shareholders will be asked to voi~ .,
<br />three times on their company's partici-
<br />pation in the project. .
<br />The first vote is scheduled to take
<br />place at the GVIC annual meeting in De-
<br />cember. At that time the board Of direc-
<br />tors is expected to ask the shareholders '
<br />to enter into a "cooperative agreement" .
<br />with BuRec to allow BuRec to fund GVIC
<br />for costs incurred in a year-long effort to
<br />get to the point that a contract can begin'
<br />to be negotiated.
<br />In December of 1987, according to the
<br />. current timeline, shareholders will be
<br />asked to give the board permission to en-
<br />ter into negotiations for a tentative con-
<br />tract.
<br />In December, 1988, a GVIC sharehold-
<br />er vote to approve or reject an actual
<br />contract for construction is scheduled to
<br />take place.
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