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IV <br />2 of 20 <br />State has put on the New Horizon Mine. <br />New Proposal to Address Post Mine Irrigation Calculations <br />After further discussions with you and analysis of the total water shares available to <br />irrigate your properties, we have determined the following water distribution: <br />Eastern Property: 20 shares <br />Southern Property: 12 shares <br />Western Property: 12 shares <br />The Eastern and Southern properties are irrigated via sideroll, and as such the water <br />there goes farther than the flood irrigation on the Western property. <br />Jim Boyd of the local NRCS has supplied the methodology of calculating the amount of <br />land that can be sprinkled or flood irrigated per share of CCC ditch water. DRMS has <br />adopted the NRCS methodology and ATC has used these calculations to determine the <br />irrigated pasture to be reclaimed on your (Western) property. WFC first calculated the <br />amount of CCC shares for your South field (South of BB Rd and East of 27 Rd), your <br />East field (North of BB Rd and East of 27 Rd) and subtracted those amounts from your <br />total shares of 44. The remaining shares of twelve (12) were then used in the gated <br />pipe/furrow flood irrigation calculations to determine the number of irrigated acres <br />North of BB Rd and West of 27 Rd. WFC did look at a sprinkler design but the natural <br />fall (gravity pressure) was not sufficient to run a sideroll sprinkler. The NRCS <br />calculations show, that if the flood irrigation is intensely managed for 7 days per week, <br />every week, 14.5 acres of flood irrigated lands are possible. We believe that it is <br />reasonable to assume that 1 day per week will be an off day, therefore reducing the <br />amount to 12.4 acres, based on the 12 shares that you have and a simple ratio of 6 <br />days /week. We will also make the same adjustment to shares applied to the reference <br />area. The WFC calculations for your irrigated land are attached. <br />The attached map shows the proposed reclaimed areas and land uses for your (Western) <br />property. The field should be approximate 900ft long (perpendicular to the slope) x <br />600ft wide (parallel to the slope). Exact placement will be determined at time of seeding <br />but should be close to the 27 & BB Rd intersection, where the piped irrigation water will <br />