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<br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />II <br />I <br />I <br /> <br />OD1~26 <br /> <br />,~ :: {' <br /> <br />subtracting $35.00 per acre from the preliminary residual repayment <br />capacity. This adjustment, along with a $3.00 land clearing charge, <br />still leaves an adjusted residual repayment capacity of $17.00 for <br />that parcel. Thus, Parcel 590 remains as potential PIA after the <br />Level B economic analysis. <br />A larger adjustment was made to Parcel 591 because that parcel <br />was initially projected to achieve climatic zone D yields. The yield <br />adjustment, combined with the economy of scale adjustment, results in <br />a total farm efficiency adjustment of -$65.00 for Parcel 591. This <br />adjustment, combined with'a $3.60 annualized land clearing charge, <br />results in a residual repayment capacity of -$50.60 for Parcel 591. <br />This parcel should not receive further consideration as PIA. <br />6.0 Conclusions <br />The preliminary analysis of potentially irrigable parcels in the <br />5an Juan Watershed identified two parcels, totalling 288 acres, as <br />potential PIA. The Level B economic analysis of these parcels <br />resulted in the elimination of one parcel, 591, from further <br />consideration. The remaining parcel, 590, consisting of 260 net <br />acres, continues to show positive residual repayment capacity. Prior <br />to finalizing PIA recommendations for this parcel, an on-site <br />inspection should be made to determine whether the assumptions made <br />concerning its characteristics are accurate. <br /> <br />9 <br /> <br />:M,. <br />