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Mr. Peter Wayland Page 3 of 7 <br /> Challenger SWSP <br /> November 17, 2016 <br /> replacement source, Loveland shall comply with the Interim Rule issued by the Northern <br /> Colorado Water Conservancy District ("Northern District") in May 2005, regarding the use <br /> of C-BT Project water in substitute water supply plans. Prior to the use of C-BT Project <br /> water, Loveland is required to notify this office, the division engineer and the water <br /> commissioner of the amount of C-BT Project water dedicated to this plan and provide a copy <br /> of the Northern District's approval letter as required by paragraph I(g) of the Northern <br /> District's May, 2005 Interim Rule. <br /> A review of the irrigation practices at Challenger Farm indicates that 20 shares of the <br /> Hill lr Brush were used to irrigate approximately 100 acres, of which 37 acres have been dried <br /> up due to the mining project. The dry up of 37 acres is associated with 7.4 shares of the <br /> water right. The average year analysis shows that on an average year the historic net stream <br /> depletions as a result of the 7.4 shares are 59.88 acre-feet per year. This would provide a <br /> credit of 61.81 acre-feet during the irrigation season, and a return flow obligation of 1.93 <br /> acre-feet during the non-irrigation season (see attached Table All.2). The dry year analysis <br /> shows modeled the results of the 2002 irrigation year. This analysis showed that on a dry year <br /> the historic net stream depletion as a result of the 7.4 shares is only 28.66 acre-feet. This <br /> would provide a credit of 33.25 acre-feet during the months of May and June only, and a <br /> return flow obligation of 4.59 acre-feet during the remainder of the year (See attached Table <br /> A11.3). During a future dry year, the current 25-year lease with Loveland would not be <br /> sufficient during the months of July, August, and September. The Applicant has stated they <br /> are currently negotiating with the City of Loveland to lease a storage water right, which could <br /> be released in real time during dry years to provide coverage to this gap. Any final lease or <br /> agreements with the Applicant and Loveland must be forwarded to this office. Otherwise, <br /> this plan is subject to cancellation during dry years which could subject the Applicant to <br /> enforcement by the Division Engineer. <br /> Return flows have been projected based on the average year analysis. The pit <br /> operator shall not divert water in excess of the average farm delivery on a monthly basis <br /> unless return flows are reanalyzed as appropriate. These shares were required by the <br /> previous SWSP to continue to be diverted in priority at the ditch then measured back to the <br /> Big Thompson River. Additionally adequate measuring devices acceptable to the water <br /> commissioner were to be installed. Communications with the Applicant revealed this <br /> measurement structure was not installed. This SWSP will not allow any historic consumptive <br /> use credits from these shares to be applied to this plan until such time as a these shares are <br /> adequately diverted, measured, recorded, and accounted for to the satisfaction of the Water <br /> Commissioner. Because the Applicant depends on these shares to provide replacement in <br /> the summer, this plan will expire on March 31, 2017 but will automatically be extended_ <br /> to December 31, 2017 or December 31, 2018 (subject to condition no. 1) upon Water <br /> Commissioner approval of the measurement structure. <br /> Long Term Depletions <br /> In accordance with the letter dated April 30, 2010 from the Colorado Division of <br /> Reclamation, Mining, and Safety ("DRMS"), all sand and gravel mining operators must comply <br /> with the requirements of the Colorado Reclamation Act and the Mineral Rules and Regulations <br /> for the protection of water resources. The April 30, 2010 letter from DRMS required that you <br /> provide information to DRMS to demonstrate you can replace long term injurious stream <br /> depletions that result from mining related exposure of ground water. A response to the DRMS <br />