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7 The specific manner in determWng the ma>dmum acreage available far extraction where water may be exposed is what remains before us. How an when to apply the water held in trust, and what to do with water held in trust at is not needed for the year in advance. For example, should the accounting be based upon arrears. Also, the development of reservoirs will eventually dimi ish if not eliminate the need for purchasing Winter water. As backfilling occurs over portions of Pit 1 and Dakolios operations, th existing substitute supply plan will liberate portions of the Hayseed water ri ht. Until then, there is an abundant water resource available for diverse urposes, including coverage under a Master Substitute Supply Plan. How and u der what structure, and by what entity management under Trust will occur is under investigation [refer to Les Williams - St. Vrain and Left Hand Cre k Water Conservancy District, below.]. n. Dlck ~ Wolfe, P.E. Colorado Division of Water ~ Resources Office of the State Engineer [OSE]• 1313 Sherman St., #818 Denver, Colorado 80203 (303)866-3581 Contacted on Friday 31 January, and in follow-up to a Telephone C nference with Carl Mount, Senior Specialist, DMG, on Wednesday 5 February 1 97, Dick indicated that the concept of a Master Plan has merit and is worth purs ing, and has in fact been under discussion within the Division prior to this initiati e. Dick requested that the Fir Sip is to frame a direction and concept for th Master Plan, and describe how it might work. Specific benefits to others s ould be detailed. Suggest a time frame, show connections to the DMG, a d state specific short and long term goals to be attained. Determine what the ' Ian' will facilitate, and discuss the preliminary concept with Water Commissi Hers in affected Districts prior to submitting. Based upon Dick's input, this Letter of Intent is designed to answer ors ggest a course of action that will answer those basic concerns and i terests. Additionally, the contacts below grew from the suggestion to initiate a ialogue with the Water Commissioners. IIi. Carl Mount, Senior Specialist Colorado Division of Minerals and Geology Office of Mined Land Reclamation 1313 Sherman St., Room 215 Wednesday 5 March 1997 Letter of Intent to Form a Master Temporary Substitute Suppl~ Plan for the Colorado Office of the State Engineer and Varra Companies, Inc.