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Mr. Todd Williams SerFer SWSP March 27, 2013 Page 2 • Distance from the gravel pit centroid to the river (X) = 600 ft • Alluvial aquifer width (W) = 4,300 ft • Specific yield (S) = 0.2 • Transmissivity (T) = 45,000 (gpd /ft) The stream depletion model shows that the SerFer Pit's stream depletion will equal approximately 8.47 acre -feet during the approval period as shown in the attached Table 3. Replacements The source of replacement water for this plan is excess recharge credit from Connell Resources Timnath - Connell Pit (M -1999 -050, WDID 0303018) SWSP (WDID 0302526). As outlined in the Timnath - Connell SWSP, 2.5 shares of the Box Elder Ditch, owned by Connell Resources, will be diverted into a recharge site (WDID 0302059) at the Timnath - Connell Pit. The evaporation losses and operation of the recharge site are covered by the Timnath - Connell Pit SWSP. This recharge site is located approximately 4 miles upstream of the SerFer Pit location. Both the recharge site and the SerFer Pit impact the Cache La Poudre River. As such, a transit loss of 1.0% (0.25% per mile) is assessed to the recharge credits to be used to at the SerFer Pit site. Conveyance loss for delivery of augmentation water is subject to assessment and modification as determined by the division engineer Long Term Augmentation In accordance with the letter dated April 30, 2010 from the Colorado Division of Reclamation, Mining, and Safety ( "DRMS "), all sand and gravel mining operators must comply with the requirements of the Colorado Reclamation Act and the Mineral Rules and Regulations for the protection of water resources. The April 30, 2010 letter from DRMS required that you provide information to DRMS to demonstrate you can replace long term injurious stream depletions that result from mining related exposure of ground water. The final reclamation plan for this site is to create a lined lake of approximately 20 acres and does not include the creation of unlined ground water lakes. Successful completion of the reclamation plan will eliminate any long term evaporative losses that would necessitate a long term augmentation plan. In 2008 you obtained a bond for $328,445 through DRMS to cover your reclamation plan in the unforeseen event where the operator is unable to complete the reclamation plan. A site inspection on August 31, 2012 by DRMS confirmed the bond was sufficient to complete the reclamation plan. Conditions of Approval I hereby approve this substitute water supply plan, in accordance with § 37 -90- 137(11), C.R.S., subject to the following conditions: 1. This SWSP shall be valid for the period of April 1, 2013 through March 31, 2014, unless otherwise revoked, modified, or superseded by decree. 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 February 15, 2014. 2. Well permit 75825 -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 3. The total surface area of the groundwater exposed at the SerFer Pit must not exceed 0.58 acre during the approval period of this SWSP resulting in an annual evaporative loss of 1.50 acre -feet.