WSP10118 - Laserfiche WebLink

Home Browse Search

. . . '- 0838 Reservoir Project was four years. Interest during construction was computed ~t 2-l/2'percent on first costs for one-half the estimated con- struction period. Amortization and interest on investment were oalou- lated for a period of 75 years at the rate of 2-1/2 peroent. 5. Annual maintenance and operation costs for the projeot inolude an item f0r major replacements in addition to ordinary maintenance and operation. The annual cost for these replacements was determined by applying ~n':;€'re,qt and amortization rates to the present worth of the estimated futlrt'J costs for maj or replacements. Future oosts for maj or replacemsnts were estimated on the assumption that 80 percent of the hwdrauli0, mechanical, and electrical equipment would be replaced onoe every /,0 years. No allowance for salvage value was made, since it was assllined that the expense of salvage would approximately equal the re- sale value of the equipment. 6. Cost estj,mate. - The oost estimate for the Trinidad Reservoir Projeot inoludes an allowance of 20 peroent for oontingenoies and 12-1/2 percent for engjneering, design, supervision of oonstruotion, and overhead. The estimated cost of aoquiring the lands and improve- ments in the projeot area was based on an appraisal made specifically for the purpose. An evaluation of the ooal deposits in the vicinity of the reservoir and an appraisal as to the extent to whioh they would be adversely affeoted by seepage from the reservoir was prepared by a consultant engineer-appraiser. An allowanoe of approximately 10 per- oent was added to land oosts for severance damage and 20 percent was added for administrative and overhead costs. 7. Foundati~reatment. - The foundation grade for the dam was determined from five core borings, and a detailed examination of rock outcrops which are in evidence over most of the foundation area. Sub- surface exploration was by drilling 2-1/2-inch core holes in the rock. 2 APPEND IX E .