C150150 Feasibility Study

• Contract/PO #: C150150
• Contractor Name: Lower Arkansas Water Management Association
• Contract Type: Loan
• Water District: 67
• County: Bent
• Loan Projects - Doc Type: Feasibility Study

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greatly assist LA WMA in building-up a' substantial cushion of replacement water in the Offset
Account.

VI. Financial Plan

A. LA WMA's current CWCB Loans.

LA WMA currently has four loans with the CWCB as shown below:

Loan No. Date of Principal Terms Current Annual
Contract Balance Payment'
C153715 05/01/1997 $3,688,567 3% - 40 yrs $3,849,313 $122,0002
C153678 05/11/1994 $ 65,000 4Y4% - 10 yrs $ 30,525 $ 11,052
C153756 09/18/1997 $ 65,000 3Y4% - 10 yrs $ 49,181 $ 9,154
C1537683 OS/28/1997 $2,300,000 3% - 40 yrs $2,300,000 $ 67,2004
Totals $6,118,567 $6,229,019

B. LA WMA's CWCB Loan Deferrals Related to its Participation in the Kansas v.
Colorado litigation.

In the late summer of 200 1 the State of Colorado and LA WMA determined that it
would be in their best interest if LA WMA and its consultants took an active roll in the final phase of
the Kansas v. Colorado trial in order to respond to Kansas' allegations against LA WMA' s Arkansas
River Use Rules replacement plan. Accordingly, LA WMA and its consultants worked directly with
Colorado on preparing detailed expert reports related to LA WMA's Arkansas River Use Rules
replacement plan and replacement water sources in response to Kansas' allegations. Those expert
reports were submitted by Colorado to the Special Master and Kansas as part of Colorado's defense

1 These annual payment figures account for the loan payment deferrals LA WMA was granted
by the CWCB in 2002 and 2003.

2 This is the annual payment on the loan for the first ten years of payments. The loan payment
increases to $ 199,184, in 2008 for the remaining thirty years of payments.

3 This loan is not yet completed and there is approximately $ 234,473 in accrued interest.
Approximately $ 1,875,584 has been disbursed to LA WMA leaving $ 424,416 available.

4 This is the annual payment on the loan for the first ten years of payments. The loan payment
increases to $118,398 for the final thirty years of payments.

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