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Tom Hatton December 9, 2010 Page 3 as decreed in case no. 82CW202A, and Colorado Big Thompson Project ("C-BT") water. In the event that the City plans to use C-BT water as a replacement source, the City shall comply with the Interim Rule issued by the Northern Colorado Water Conservancy District ("Northern District") in May 2005, regarding the use of Colorado-Big Thompson ("CBT") Project water in substitute water supply plans. Prior to the use of C-BT Project water, the City is required to notify this office, the division engineer and the water commissioner of the amount of C-BT Project water dedicated to this plan and provide a copy of the Northern District's approval letter as required by paragraph l(g) of the Northern District's May, 2005 Interim Rule. The monthly depletion and replacement requirements are indicated on the attached Table 3. Conditions of Approval I hereby approve the proposed substitute water supply plan in accordance with §37-90-137(11), C.R.S., subject to the following conditions: 1. This plan is approved with the effective date of January 1, 2011 and shall be valid through December 31, 2011 unless otherwise revoked or modified. 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 $257) no later than November 15, 2011. 3. Well permit no. 65258-F was obtained for the current use and exposed pond surface area of the gravel pit in accordance with §37-90-137(2) and (11), C.R.S. 4. The total surface area of the groundwater exposed at the Wagner/Kauffman Pit No. 3 must not exceed 2.6 acres resulting in 6 acre-feet per year of evaporative loss. 5. The total amount of product mined at the Wagner/Kauffman Pit No. 3 shall not exceed 350,000 tons per year, which results in 10.3 acre-feet of water lost with the mined product. 6. Total consumption at the pit(s) must not exceed these aforementioned amounts unless an amendment is made to this plan. 7. Approval of this plan is for the purposes as stated herein. Any additional uses for which the water may be used must first be approved by this office. 8. The replacement water that is the subject of this plan cannot be sold or leased to any other entity. As a condition of subsequent renewals of this substitute water supply plan, the replacement water must be appurtenant to this site until a plan for augmentation is obtained. All replacement water must be concurrent with depletions in quantity, timing and locations. 9. In the event Loveland plans to use C-BT Project water as a replacement source, Loveland shall comply with the Interim Rule issued by the District in May 2005 regarding the use of C-BT Project water in substitute water supply plans. Prior to the use of the C-BT Project water, Loveland shall notify this office, the division engineer and the water commissioner of the amount of C-BT Project water dedicated to this plan and provide a copy of the District's approval letter as required by paragraph l(g) of the District's May, 2005 Interim Rule. 10. The name, address and phone number of the contact person who will be responsible for the operation and accounting of this plan must be provided with the accounting form to the division