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Katherine R. Griffin March 1, 2004 Page 2 As required by Section 8 of Senate Bill 89-120, this substitute water supply plan has been provided to an outside consultant for review. I hereby approve the proposed substitute water supply plan in accordance with §37-90-137(11), C.R.S., C,R.S., subject to the following conditions: 1. This plan shall be valid through December 31, 2004, unless otherwise revoked or modified. This plan will be extended Through December 31, 2005 if a copy of the 2005 lease agreement with the Consolidated Mutual Water Company is submitted to the State Engineers office by December 31, 2004. 2. If this plan will not be made absolute by a water court action by the plan's expiration date, a renewal request must be submitted to this office with the statutory fee (currently $217) at least 45 days prior to the expiration date of this plan. 3. A well permit must be issued for the gravel pit in accordance with Section §37-90- 137(2) and (11), C.R.S prior to the exposure or use of groundwater. A well permit application was submitted to this office under receipt no. 457219, and this application is pending evaluation. The provisions of §37-90-137(2) C.R.S. prohibits the issuance of a permit for a well to be located within 600 feet of any existing well, unless the State Engineer finds that circumstances so warrant after a hearing held in accordance with the procedural rules in 2CCR402-5. This hearing may be waived if you are able to obtain statements from the owners of all well within 600 feet, verifying that they have no objection to your use of the proposed well. Should a new well permit be denied for reasons of 600 foot spacing, or any other legitimate reason, approval of this substitute supply plan will be cancelled. 4. The losses associated with this mining operation must not exceed a total of 19.5 acre-feet annually for the duration of this permit approval. These losses include 5.96 acre-feet of evaporation from the proposed exposure of 2.18 acres of groundwater, 0.53 acre-feet of water used for dust suppression and 13.01 acre-feet of water lost in 442,113 tons of mined aggregate. Should the annual losses at the site exceed 19.5 acre-feet prior to the expiration date of this plan, an amendment will need to be filed 5. Approval of this plan is for the purposes as stated herein. Any additional uses of this water must first be approved by this office. 6. All pumping for dust control shall be measured in a manner acceptable to the Division Engineer. 7. Dewatering at this site will produce delayed depletions to the stream system. Once dewatering at the site ceases the delayed depletions must be addressed. At least three years prior to completion of dewatering, a plan must be submitted that specifies how the post pumping dewatering depletions will be replaced, in time, place and amount.