PUBLIC HEARING ON APPLICATION TO

Staff Report & Agenda Item Details

PUBLIC HEARING ON APPLICATION TO AMEND AN HISTORICAL AND EXISTING USE PERMIT FOR ALVARO MANDUJANO, SR. AND MANDUJANO BROTHERS. i} Call to order at 11:15 a.m. the public hearing on Application to Amend an Historical and Existing Use Permit for Alvaro Mandujano, Sr. and Mandujano Brothers. Party representing application: | Armando Mandujano Protestant to application: None. Public Comment: None. Board Member Recusal: Junior Mandujano The application was declared uncontested. General Manager Ty Edwards: Alvaro Mandujano Sr. and Mandujano Brothers made application to amend an existing H&E permit. No additional volume of water has been requested. The application requests authorization to add: 1) a location of use to the H&E use permits, and 2) 4 existing wells as an additional points of withdrawal from the same aquifer and within the same management zone as authorized under the H&E Use Permits. The H&E Use Permits to be amended are tied to 333 acres which are adjacent to the applicant's property associated with this application (Section 30), both of which are approximately 3 miles South of Coyanosa and 1.5 miles West of FM 1776. There are 4 wells here that are drilled for Oil and Gas which is no longer in the area. Mandujano Brothers has recently just purchased this property. Alvaro Mandujano, Sr. has 333 acres on the South Strubi Farm, and Mandujano Brothers has the North Strubi Farm on section 30. They do not want any more production, they just want to add these wells into the rotation. They already have enough production permits. They just need to add these wells into their current permits that their Dad (Alvaro Mandujano, Sr.) has on the same farm. Alvaro Mandujano, Sr. has given them approval to do so in writing. There are additional permits that the Mandujano Brothers have on this farm on 3 other wells — he is not requesting to amend these. Just these 3 wells that are next to the property. The H&E permit totals 1,303 acre feet, and they have not been using the allocated amount of the permits. Armando Mandujano: (Summary) It’s no secret that we use a lot of water. We put out over 80 million pounds of produce a year, and close to 100 million pounds of food and fiber including cattle. In addition to that we have lost a lot of county to the oil and gas industry. In one section alone, they are taking 120 acres and putting about 100 oil wells right in the middle. Minutes of February 18, 2020 Board Meeting Page 7 I Adjourn Hearing and consider and/or act on Application to Amend a Historical and Existing Use Permit for Alvaro Mandujano, Sr. and Mandujano Brothers. President Jerry McGuairt adjourned the hearing at 11:26 a.m. Allan Childs made a motion to approve the application to amend the Historical and Existing Use Permit for Alvaro Mandujano, Sr. and Mandujano Brothers. Motion seconded by Puja Boinpally. Motion carried. Vote: 7 For. 0 Against. 3 Absent. 1 Recusal/Alvaro Mandujano, Jr. Amended Permit Recap: * 01-18-2006 H&E 656.00 acre feet Irrigation Use. 1 well 2005092313 PV/ET * 01-18-2006 H&E 348.00 acre feet Irrigation Use. 1 well 2005092314 PV/ET * 01-18-2006 H&E 299.00 acre feet Irrigation Use. 1 well 2005092315 PV/ET Note #1: The 3 wells registered on Section 19 S/2 are registered to Alvaro Mandujano, Sr. The H&E permit applications for the 3 wells were submitted as Mandujano Brothers, and the minutes of 01-18-2006 reflect that the permit is granted to Alvaro Mandujano Sr/Thomas Strubi. * 02-18-2020 Amended H&E Permits to 1,303 acre feet for a 7 well system for irrigation Use from the Pecos Valley Aquifer. Note #2: On 02-18-2020 Mandujano Brothers/Alvaro Mandujano Sr. requested to amend the H&E permits by combining the individual permits into a “system-total-permit” of 1,303 acre feet and adding the 4 wells on Sec. 30 (that are registered to Mandujano Brothers and being farmed by Mandujano Brothers) with no additional acre feet requested. The permit is now for a 7-well system. 7-well system: 3 wells on

This motion is scored as RESTRAINS_GOVERNMENT (Impact Weight: 5.1/10). Under the Bastiat Liberty Watchdog Index, voting YES on measures that cap or reduce ad valorem tax burdens, expand taxpayer exemptions, retire debt early, enforce competitive bidding caps, or remove regulatory/zoning barriers to private property rights earns a positive Pro-Liberty score.