PROJ00484 App Letter - Laserfiche WebLink

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continue to deliver their decreed water rights to their shareholders in the most expeditious manner. Staffhas reviewed and approved the plan of study, The study is expected to result in a recommendation for a comprehensive program of improvements to the two systems over a period of several years, The feasibility work is expected to begin in February and to be completed in July of this year at which time a final report will be submitted to the Company and to staff of the CWCR Following staff review of the report, the Company hopes to apply to the Board in November of this year for the first increment of funding for a comprehensive rehabilitation program The cost of the study is eslimated by ECI at $66,773, In accordance with standard Board policy, 50 percent of the cost of the feasibility study, or $33,369, would be eligible for a combination of loan and grant funding, The Greeley and Loveland Company will act as project sponsor for the feasibility study and will make arrangements with the Seven Lakes Reservoir Company for the sharing of study costs, RECOMMENDATION Staff recommends a Construction Fund loan of $23,400 and a Small Dam Site grant of$IO,OOO for a total amount of $33,400, not to exceed 50 percent of actual costs, to the Greeley and Loveland Irrigation Company for the purpose of conducting a system evaluation and feasibility study of the Company's water storage and distribution system, . The $23,400 loan would have a term often years and a lending rate of3,25 percent which is the Board's 1997 agricultural rate for a ten year loan, It is recommended that this loan could be repaid as part of any future Construction Fund loan which the Board might make to the Company, As security for the loan, the Company is offering a pledge of revenues, cc: David Bernhardt, Greeley and Loveland Irrigation Company Ed Toms, ECI Linda Bassi, AGO 1:lboardmem~an97\jan9..doc