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Colorado Division of Water Resources <br />June 23, 2011 <br />Page 5 <br />Augmentation Credits <br />Depletions associated with the West Pit and alluvial pumping have historically been offset with <br />water from the Rocky Mountain Farms well (Permit No. 8324). While this augmentation supply is <br />still available, BMRI requests that the Salazar Ranch water rights (the subject of 07CW42) also be <br />allowed to be used for augmenting depletions under this SWSP. Historic consumptive use was <br />quantified for these rights in the January 2011 Lytle Water Solutions, LLC (LWS) report entitled <br />Expert Report in Support of Battle Mountain Resources, Inc. 's Augmentation Plan in Case No. <br />0CW42 (Expert Report). That analysis is summarized below. <br />The Salazar Ranch has been operated historically as a ranch for cattle operations and irrigation. This <br />ranch has been in operation since the early 1900s and originally operated with surface water rights <br />and surface water storage rights for flood irrigation of lands. Over the years, some of the irrigation <br />has been converted to pivot sprinklers served by ground water wells and there are currently two pivot <br />sprinklers on the Salazar Ranch (East and West Pivots), as well as flood - irrigated lands below <br />Salazar Reservoir (Reservoir Parcel) (Figure 3). <br />There is a long period of record of use for the Salazar Ranch, with evidence to indicate that <br />approximately 1,030 ac have historically been irrigated at the ranch under various surface water <br />rights, storage rights, and ground water rights (testimony in CA -885). A summary of the surface <br />water rights associated with the Salazar Ranch is presented in Table 1, and include the Salazar Ditch, <br />the AA Salazar Ditch No. 1, the AA Salazar Ditch No. 2, the Salazar Reservoir, and the Salazar <br />Reservoir No. 2. <br />The Water Court application in Case No. 07CW42 seeks the Court's approval of a change of water <br />rights and to quantify historic consumptive use for a change the use of all the Salazar Ranch water <br />rights, including valley -fill aquifer wells, the Salazar Ditch and Salazar Reservoir to include, among <br />other uses, augmentation. This will allow water from the Salazar Ditch and/or the valley -fill aquifer <br />wells to be used directly for augmentation and/or to be stored in Salazar Reservoir when these rights <br />are in priority for the subsequent release of water to offset depletive effects associated with the <br />ongoing West Pit and alluvial pumping on Rito Seco. <br />Currently, the Salazar Ranch historically - irrigated lands receive their water supply from a number <br />of the water rights adjudicated for the Salazar Ranch, including direct flow surface water rights <br />(Salazar Ditch), reservoir storage rights (Salazar Reservoir), and valley fill aquifer wells (Permit <br />Nos. 19564 -F and 21590 -F). These water rights are proposed to continue to be used for their historic <br />uses; however, for this SWSP, BMRI seeks to use or store excess consumptive use credits from the <br />Salazar Ranch rights for augmentation use, in conjunction with the consumptive use credits from the <br />existing Rocky Mountain Farms well (Permit No. 8324), as necessary. <br />