BOARD00102 ‎(2)‎

• Board Meeting Date: 1/23/2007
• Description: CF Section - Construction and Severance Tax Trust Fund Perpetual Base Acct New Loans - Greeley Irrigation Co. - Greeley Canal No. 3 Rehabilitation
• Board Meetings - Doc Type: Memo

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ST ATE OF COLORADO

Colorado Water Conservation Board

Department of Natural Resources
1313 Sherman Street, Room 721
Denver, Colorado 80203
Phone: [phone]
FAX: [phone]
www.cwcb.state.co.us

MEMORANDUM

Bill Ritter, Jr.
Governor

TO:

Colorado Water Conservation Board Members

Bruce Johnson, P.E. ~~'L-/~
Mike Serlet, P.E., Chief~ .-/
Water Supply Planning a a Finance Section

Dan McAuliffe
Deputy Director

Harris D. Sherman
Executive Director

FROM:

Rod Kuharich
'CWCB Director

DATE: January 12, 2007

SUBJECT: Agenda Item 9a, January 23-24, 2006 Board Meeting
Water Supply Planning and Finance Section - New Loans
Greeley Irrigation Company - Greeley Canal No.3 Rehabilitation

Introduction

The Greeley Irrigation Company (GIG) is applying for a $2,211,750 loan from the Severance Tax
Trust Fund Perpetual Base Account to rehabilitate and upgrade the Greeley Canal NO.3. The
estimated total cost of the project is $2,457,500. Please see the attached Project Data Sheet.

Backaround

GIC provides irrigation water to a service area of approximately 2,367 acres in Weld County,
generally within the City of Greeley and east of the City. Historically, water provided by GIC has
been used to irrigate alfalfa, beans, grain corn and sweet corn, grass hay, potatoes, vegetables,
sugar beets, tomatoes, trees and landscaping. The GIC operates a canal commonly known as
the Greeley Canal No.3, which has been in operation for more than 136 years. The Greeley
Canal NO.3 canal was originally constructed in 1870 by the Union Colony. Enlargements of the
canal with associated additional appropriations of water were made in the period from 1871 to
1873. In 1875, the Union Colony deeded an undivided 3/8ths interest in the canal to the then
Town of Greeley and the canal was then owned in joint tenancy by the Union Colony and the
Town. On July 15, 1882, the Greeley Irrigation Company was incorporated and on August 3,
1882, the Union Colony quit-claimed its remaining 5/8ths interest in the Greeley Canal NO.3 to
the GIC. At that time, GIC then assumed all obligations of the Union Colony, as related to the
canal and the water rights, and this joint ownership of Greeley Canal NO.3 remains in effect to
the present time. In recent years, about 1,100 acres of the 3,500 acres originally irrigated
have been subject to dry-up, and the water converted to augmentation use. Present canal
usage is roughly 1/3 City of Greeley, 1/3 agricultural irrigation, and 1/3 augmentation users.

The Company's facilities consist of a river diversion structure, approximately 13 miles of earthen
canal, check structures, delivery headgates, spill structures, trash screens, and other minor
structures typical of earthen canal irrigation systems. A portion of these facilities are in need of

Flood Protection. Water Supply Planning and Finance. Stream and Lake Protection
Water Supply Protection. Conservation and Drought Planning