Cottonwood Creek irrigation meeting

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The Cottonwood Creek Consolidated Irrigation Company held their annual stockholders meeting in January at the Orangeville Community Center. President Clyde Magnuson opened the meeting and after a prayer by Jerry Bott, Magnuson read the minutes of the last years meeting followed by reading the financial report of the Irrigation Company.
At this meeting share holder members elected to represent the Mammoth Canal were Craig Johansen, Clyde Magnuson and Cory Cloward. Representing the Blue Cut Canal are Justice Jorgensen and Dickson Huntington, representing the Clipper Western Canal are Ross Huntington and Carl Justesen. Loren Huntsman represents the industrial and municipal users. Craig Johansen of Johansen and Tuttle Engineering reported on the progress in the construction of the Adobe Wash Dam and the associated canal pipelines. Johansen reported that construction funds have been kept separate from the Irrigation Company funds. He said this report is from the beginning of the project until now. “We have accumulated to date $16.8 million dollars as income from the following sources; The Bureau of Reclamation, PacifiCorp, The Board of Water Resources, and from assessments.
“From the above funds we have spent on the Clipper Western pipeline $6,888,000. On the Adobe Wash Reservoir we have spent just under $5 million. We have spent on the Adobe Wash pipeline close to $5 million. Thus far we have spent $16.8 million dollars. So you can see we are balanced out. The $16.8 million does not completely cover the current contracts. When we’re done with these contracts we will have spent nearly $18 million.
“The Clipper Western pipeline is finished and ready to be charged with water. The Adobe Wash Reservoir and pipeline are nearly complete. We expect to begin filling the Adobe Wash Reservoir early in February of this year. Our plan is to put about 900 acre-feet of water in the reservoir and hold it at that level. The inlet and outlet design of the reservoir is for 140 second feet of water flow. The total cost of all this work will be about $18.2 million and that will complete the contracts that we now have in place.
“To pay for this we expect to receive money from these sources; The Bureau of Land Management Salinity Program, PacifiCorp for their share of the Adobe Wash Dam, to borrow $4.1 million dollars from the Board of Water Resources and the balance to come from company assessments. We applied last fall to the Bureau of Land Management for funds for all three pipeline projects rather than applying for one every three years. That application was approved. It is estimated that our next three pipeline construction phases will cost about $14.5 million,” said Johansen.
The Blue Cut Canal construction phase will begin in the fall of 2013 and will be complete in 2014. Construction on Upper Mammoth Canal will begin the fall of 2014 and will be complete in 2015. The construction on the end of The Mammoth Canal will begin in 2015 and end in 2016.
Johansen explained that the operation and maintenance will be different on the new pipeline system. You will need more than a shovel and a pick to clean your canals. “To take care of this change we have entered into an agreement with Emery Water Conservancy District to operate and maintain the reservoir and our pipe lines. They have the equipment and personnel to manage that maintenance. By doing this we have made it possible for Emery Water Conservancy District to retain employees year-round. This is a win, win situation for both of us. The cost of this operation and maintenance will be included in your total fee per share which will be about $6,” said Johansen.
There are two project areas that are not yet funded and they are the Jorgensen lateral and the Johansen and Swasey ditches. These two projects will be funded through the NRCS and the Basin States Fund. “We will support those two areas where we can. This change from canals to pipelines will necessitate some organizational changes. The bylaws will have to be amended to have the board of directors elected by pipeline districts instead of canal districts. The board will make these changes next year,” said Johansen. “In order to consolidate the first class water rights on the river, we have offered shares in the company for the Jorgensen water right and for the Magnuson water right. This is offered at the rate of 3.5 shares per acre and they would pay the back assessment and their share of the total worth of the company. Jorgensen and Magnuson agreed to this arrangement. The Mill Ditch did not agree to this and have opted out. We currently have more than 1,000 company shares that have never been issued and we have 500 shares that we call treasury stock. We may have to raise the number of shares in the company. By doing this we are acquiring another 6.5 second feet of first class water rights. We are increasing our water rights and increasing our shares. This will be a good thing for the Cottonwood Creek Consolidated Irrigation Company,” said Johansen.
“The board of directors are to be commended for their hard work this past year. They have been meeting monthly to take care of challenging issues and to make contractual payments. They have had to find funding in a world that has changed in the last five or six years. State and Federal Government funding is drying up on all levels. Finding funding for these projects has become a real challenge. By the time all of the projects are completed they will have spent more than $32 million,” said Johansen.
Johansen advised everyone to be patient. “This is going to be a valued investment for all of us,” he said.