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Delinquent Farm Rate Account Options

Dear Valued Constituent:

As long as you have water-righted acreage, you are legally responsible for paying the annual EBID assessments. If you fail to pay assessments, you are not entitled to use water. However, if you do not use water, or if there is no water available, you are still liable for the assessment every year. This is because your assessment is not a payment for water, but instead it is payment for operation and maintenance of the physical water delivery system. EBID offers several options with regard to payment or non-payment of assessments:

1 . Pay the balance due in full. If you wish to retain the right to irrigate with EBID water on your property, you must pay the full amount of the cumulative assessments, plus interest. Once paid, you will be entitled to irrigate your property with EBID water. Until the assessments are paid, you cannot use EBID water.

2 . Sell the water to other EBID constituents. Water is in short supply and high demand within the District. EBID can assist constituents in selling the water allotted to their account. EBID accounts must be paid, and this can be accomplished by allowing other EBID constituents to pay your past due assessment balance, plus interest, acquire the water and transfer it to their account for use during the irrigation season. This opportunity provides for current paid status of your account, maintaining the right to EBID water, yet allowing opportunity for use of the water by other EBID constituents.

Constituents interested in selling water should contact the EBID tax department to indicate their desire in selling water. Constituents interested in purchasing water may contact the EBID tax department and obtain the name of constituents that have indicated an interest in selling water so water may be acquired through the seller.

3. Voluntary Suspension of the water rights on your property. The District does allow, under certain circumstances, the voluntary suspension of water rights on your land and their transfer to other lands within District boundaries. This is a simple process, requiring your signature on the EBID Voluntary Suspension Form agreeing to the suspension of water rights on your property. This process releases you of the debt created by unpaid assessments and terminates the water rights on your property. Following the approval of a suspension and transfer by the EBID Board of Directors, you would no longer be liable for the EBID assessment on your property and the water rights appurtenant to your property will be terminated. (You will continue to be responsible for payment of Local Improvement District (LID) tax assessments, if applicable, which relate to flood protection.)

4. Other options. While EBID does have certain legal remedies available by which it may seek to collect past due assessments; however, EBID would prefer to work with constituents in an effort to prevent the need for such action. Please contact EBID to discuss your options based on your particular situation.

Note: Elephant Butte Irrigation District urges you to consider the importance of keeping the surface water rights secure while the Lower Rio Grande stream adjudication case is ongoing. Failure to pay the annual assessments can certainly weaken your ability to prove up the surface water rights attached to your property.

By paying now, or suspending the water rights, you will save the interest accruing on your account. Full payment will maintain the water rights and provide the opportunity to transfer water, or sell it to another EBID constituent. Please contact EBID at 526-6671 as soon as possible to make arrangements for payment of your account or voluntary suspension of your water rights.

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