LPPD000275

• Contract/PO #: C150144
• Contractor Name: Upper Platte and Beaver Canal Company
• Contract Type: Loan
• Water District: 1
• County: Morgan
• Loan Projects - Doc Type: Approval Letter

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STATE OF COLORADO

Colorado Water Conservation Board

Department of Natural Resources
1313 Sherman Street, Room 721
Denver, Colorado 80203
Phone: [phone]
FAX: [phone]
www.cwcb.state.co.us

Bill Owens
Governor

May 27, 2003

Greg E. Walcher
Executive Director

Rod Kuharich
CWCB Director

Mr. Philip Mortensen, President
Upper Platte and Beaver Canal Co.
P.O. Box 581
Brush, CO 80723

Dan McAuliffe
Deputv Director

RE: Badger Creek Augmentation Project
Loan Approval

Dear Philip,

I am pleased to inform you that the Colorado Water Conservation Board (CWCB) has
approved your request for a Small Project Loan from the Construction Fund. I understand
the loan will be used to construct a well augmentation project on Badger Creek.

The Board approved a loan from the. Construction Fund in a maximum amount of
$67,500 at the loan terms of 2.25% for 10 years. The approval includes the provision for a
1 % ($675) loan service charge, which may be paid at closing, or financed into the loan. I
have attached a copy of the updated Board memo concerning the Upper Platte and
Beaver Canal Company. Please refer to page 3 of that memo and to the section "Action
taken by the CWCB May 20, 2003."

When the Board approves a Small Project Loan from the Construction Fund there remain
several conditions:

a) A Feasihility Study is required We have reviewed the April 2003 study titled
"Feasibility of Construction of the Upper Platte and Beaver Canal Company
Badger Creek Augmentation Project" by Brent Nation, P.E., of Nation Engineering
Services, Inc. The report meets the requirements of the CWCB Construction Fund
Guidelines for feasibility studies, and has been accepted.