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June 19, 1998 <br />Mr. Jeff Gregg <br />Hall-Irwin Construction Company <br />P.O. Box 659 <br />Greeley, Colorado 80632 <br />Re: Augmentation Water for Shores Pit <br />Dear Mr. Gregg: <br />At the request of your engineer, Rocky Mountain Consultants, Inc., I am writing to inform you that <br />Stromquist Farms will agree to provide augmentation water for your substitute water supply plan for <br />gravel mining operations at the Shores Pit. It is my understanding that you need approximately 19 <br />acre-feet per year of replacement water in St. Vrain Creek, approximately one mile east of I-25. <br />Stromquist Farms can deliver this volume of water from Stromquist Pond Nos. 1 and 2 into Boulder <br />Creek below the Rural Ditch to satisfy your water replacement needs. Stromquist Ponds 1 and 2 <br />were decreed in Case No. 88CW219 with three other ponds. The ponds are decreed for <br />augmentation and replacement uses among other water uses, and therefore can be used to replace <br />depletions associated with gravel mining. <br />It is my understanding that gravel mining operations at the Shores Pit may start in August or <br />September of 1998 depending upon when all of the permits are approved. Stromquist Farms will <br />agree to provide water to Hall-Irwin on an annual basis to be released monthly (or at the direction <br />of the Water Commissioner) in an amount equal to depletions as set forth by Hall-Irwin or your <br />engineer, beginning at the time gravel mining commences in 1998. The water lease agreement will <br />be renewable at the option of both Stromquist Farms and Na11-Irwin. <br />Please call at your earliest convenience so we can formalize an agreement. <br />Sincerely, <br />Luke StromquisN' <br />cc: Bob Carlson <br />Mike Ballantine <br />CN1yFiles\OEPT43\Hall Irvrin.agr.ltr.wpd _ _ _ _ _ _ _ . __ _ _ _ <br />