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<br />
<br />'Control Program. Ifa participating lateral determines
<br />that it is necessary to exercise the power of eminent
<br />domain to obtain necessary easements and right.of.
<br />ways, then it will be the participating laterals determi.
<br />nation to exercise such power,
<br />
<br />17. Who will own the easements or rights-of-
<br />way?
<br />
<br />Answer: Legal title to all easements and rights.of.
<br />way will be in the name of the participating lateral.
<br />The easements and rights-of-way will, however, be
<br />made available for use by GVIC in connection with its
<br />construction and 0 & M activities pursuant to the
<br />agreements.
<br />
<br />18. Who pays for land or crop damage inci-
<br />dent to construction?
<br />
<br />Answer: Property or crop damages caused by con.
<br />si'ruction will be paid by Reclamation, as determined
<br />by Reclamation's appraisers or appraisers approved by
<br />them.lfa disagreement occurs as tothe determination
<br />of crop or land damage, and a lawsuit results, Reclama-
<br />tion will reimburse GVIC for all of its legal costs and
<br />expenses in connection with such a suit.
<br />
<br />19. Who is responsible to detennine the size,
<br />design and specification of salinity improve-
<br />ments, including field turnouts?
<br />
<br />Answer: Reclamation will provide technical assis-
<br />tance in determining sizing criteria, design, specifica-
<br />tion and field turnouts using information it has as well
<br />as information provided by GVIC and the participat-
<br />ing lateral. No construction will occur, however, until
<br />the sizing criteria, design, specification and field turn-
<br />out data is finally approved by Reclamation, GVIC and
<br />the participating lateral.
<br />
<br />20. Who actually constructs the salinity im-
<br />provements?
<br />
<br />Answer: All salinity improvements will be con-
<br />structed by GVIC personnel using GVIC equipment
<br />funded by Reclamation. Limited aspects of construc-
<br />tion may be subcontracted provided Reclamation
<br />approves ihe subcontractor. In any event, GVIC is
<br />responsible for the quality of construction performed
<br />by itself and its subcontractors.
<br />
<br />21. Is GVIC qualified to construct salinity im-
<br />provements?
<br />
<br />Answer- Although GVIC's main purpose is to de-
<br />liver irrigation water to its shareholders, over the life
<br />of the company GVIC has continually engaged in all
<br />manner of construction activities, some of which have
<br />been heavy construction. Reclamation and GVIC be-
<br />lieve that GVIC is not only qualified to construct
<br />
<br />salinity improvements of this type of construction, but
<br />uniquely situated to do so because of its familiarity
<br />with GVIC's canals and distribution facilities.
<br />
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<br />
<br />22. Who owns the salinity improvements af-
<br />ter construction?
<br />
<br />Answer: Participating laterals will be the owners of
<br />all of the salinity improvements. This ownership will
<br />be subject, however, to GVIC's right and obligation to
<br />operate and maintain the facilities.
<br />
<br />23. Won't GVIC's construction of salinity im.
<br />provements increase the risk of legal liability?
<br />
<br />Answer: Any expanded operation can increase the
<br />risk ofliability, However, GVIC can insure against the
<br />liabilities that may arise from the construction and 0
<br />& M of salinity improvements just the same as it now
<br />insures itself for its existing risks of liability. Insur-
<br />ance premiums to insure against GVIC's risk ofliabil-
<br />ity in salinity control improvement construction, and
<br />0& M will be paid by Reclamation.
<br />
<br />24. What is "base cost"?
<br />
<br />Answer: Base cost is a term to describe the cost a
<br />participating lateral would annually pay to operate
<br />and maintain its ditch and distribution systems before
<br />the construction of salinity improvements assuming a
<br />thorough and timely maintenance.
<br />
<br />25.How is base cost determined?
<br />
<br />Answer: GVIC and Reclamation have identified the
<br />basic factors constituting thorough and timely 0 & M.
<br />Using these factors, GVIC and Reclamation have esti,
<br />mated average man hours and expected labor costs to
<br />perform thorough and timely 0 & M. These factors will
<br />be applied to each participating lateral to determine its
<br />base cost.
<br />
<br />26. Why should the participating laterals pay
<br />base costs?
<br />
<br />Answer- Base costs are those costs that the partici-
<br />pating lateral would have spent without salinity con-
<br />trol improvements assuming the thorough and timely
<br />maintenance of its ditches and distribution facilities.
<br />Hence, Reclamation would only pay those costs ex-
<br />ceeding base cost as a result of salinity improvements.
<br />Since 0 & M on the salinity improvements will be
<br />performed by GVIC, GVIC must collect the funds to
<br />cover these costs.
<br />
<br />7
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