BOARD00022 ‎(2)‎

• Board Meeting Date: 9/19/2006
• Description: CF Section - Revisions to Existing Loans - Beaver Reservoir Company - Reservoir Rehabilitation
• Board Meetings - Doc Type: Memo

~

.

.

.

STATE OF COLORADO

Colorado Water Conservation Board

Department of Natural Resources
1313 Sherman Street, Room 721
Denver, Colorado 80203
Phone: [phone]
FAX: [phone]

Memorandum

Bill Owens
Governor

Russell George
Executive Director

TO:

Colorado Water Conservation BOard~embe s

Tim Feehan, P.E., Project Manager '"
Mike Serlet, P.E., Chiet-d/J
Water Supply Planning anfrFiiiance Section

Rod Kuharich
CWCB Director

Dan McAuliffe-
Deputy Director

FROM:

DATE: September 1, 2006

SUBJECT: Consent Agenda, Item 2a, September 19-20, 2006, Board Meeting
Water Supply Planning and Finance - Revisions to Existing Loans
Beaver Reservoir Company - Reservoir Rehabilitation

INTRODUCTION
At the May, 2005 Board Meeting, the Board authorized staff to present revisions to existing
loans totaling less then 20% of the original loan as Consent Agenda Items. The Beaver
Reservoir Company loan increase presented below is less than 20%.

The Beaver Reservoir Company is requesting an increase of $25,250 to their November 2004
authorization of$129,785, for the rehabilitation of Beaver Reservoir. The requested loan
increase is due to unforeseen cost overruns during construction and adverse weather conditions.

BACKGROUND
The Beaver Reservoir Company is located in Paonia, Colorado, 30 miles east of Delta, Colorado.
The Company consists of three shareholders and a total of 1,600 shares, with a service area of
3,400 acres. Beaver Reservoir is located 9 miles southeast ofPaonia on the East Fork of
Minnesota Creek, a tributary of the Gunnison River. The reservoir was constructed in 1958 and
has a capacity of 1,620 acre-feet, with a 113 feet high earthen dam that is 870 feet long.

The reservoir has had a history of sinkhole problems along the dam face which were corrected in
1995 by the installation of a liner. This project was funded by the Colorado Water Conservation
Board. The liner has performed well since 1995, but recently has developed erosion problems
along the lower portion of the liner. In addition, the outlet works have become unreliable,
requiring replacement.