C150060A Approval letter

• Contract/PO #: C150060A
• Contractor Name: Julesburg Irrigation District
• Contract Type: Loan
• Water District: 64
• County: Sedgwick
• Bill Number: XB 99-999
• Loan Projects - Doc Type: Approval Letter

Julesburg Irrigation District
November 20-21, 2000

Agenda Item 14b. and 15a.
(Updated November 22, 2000)

the lay down gate to regulate the water level in the Peterson Ditch and prevent flooding
damage.

The implementation schedule calls for completion of financing arrangements by December
2000. The JID must approve the project by vote of its shareholders. Engineering design will be
completed by the NRCS in January 2001, and construction is scheduied to be completed by
April 2001.

Financial Analvsis
The total estimated cost of the project is $ 145,000, and the water is used by the shareholders
for agricultural purposes. Staff is recommending a 30-year loan from the Small Project Account
in amount of $100,000 (approximately 70 percent of the estimated cost.) The maximum
allowable loan amount from the Small Project account is $1 OOK.

Alternative financing sources: The District actively sought alternative financing. They were
able to obtain a grant to cover project planning and design through the NRCS ($11 ,000), but
were not able to obtain cost share for construction through that agency. The JID also requested
a $10,000 grant from the Ernest and Lillian Campbell Foundation, but were turned down. The
District was offered a loan from their local bank at terms of 6.9% for 30 years, primarily
because JID collects its assessments through the county.

Table 2: Proiect Fundina Sources
Funding Source Grant Loan
Naturai resources Conservation Service $11,000
CWCB $100,000
Julesburq Irriqation District $34,000
Total $45,000 $100,000

Table 3 is a summary of the financial aspects of the project. The District will allocate $0.28 of
the current $20.00 per acre assessment to repay the CWCB Small Project Loan of $100,000.
An assessment increase will not be needed. (The annual payment plus 10% reserve
requirement is $6,361.) This represents $0.11 per acre-foot, based on average annual
diversions of 60,000 acre-feet.

Table 3. Financial ummarv
Proiect Cost $145,000
Loan Amount (90% of Proiect Cost) $100,000
CWCB Loan Pavment Amount, includinq 10% loan reserve $6,361
Number of Shareholders 155
Number of Shares/Bonded Acres 19,133
Current Assessment Der Share/Bonded Acre $20.00
Future Assessment per Share $20.00
Annual Project Cost per acre-foot $0.11
(Averaqe annual diversions: 60,000 acre-feet)

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