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<br />STATE OF COLORADO <br /> <br />Colorado Water Conservation Board <br /> <br />Department of Natural Resources <br />1313 Sherman Street, Room 721 <br />Denver, Colorado 80203 <br />Phone: (303) 866-3441 <br />FAX: (303) 866-4474 <br />www.cwcb.state.co.us <br /> <br /> <br />March 22, 2004 <br /> <br />Bill Owens <br />Governor <br /> <br />Mr. Dan Hawkins, Manager <br />Upper Surface Creek Domestic Water Users Association <br />P.O. Box 70 <br />Cedaredge, Colorado 81413 <br /> <br />Russell George <br />Executive Director <br /> <br />Rod Kuharich <br />CWCB Director <br /> <br />RE: Loan to Construct Diversion Structure and Raw Water Pipeline <br /> <br />Dan McAuliffe <br />Deputy Director <br /> <br />Dear Mr. Hawkins: <br /> <br />I am pleased to inform you that on March 17,2004 the Colorado Water Conservation Board (CWCB) <br />approved your loan request. We understand that the loan will be used to construct a new diversion <br />structure and raw water pipeline connecting to the new Spalding Pe3:k Water Treatment Plant. <br /> <br />The Board approved a loan in a maximum amount of $163,802 (including the 1 % loan service charge) <br />with loan terms of3.25% per annum for 20 years. I have attached a copy of the updated Board memo <br />that includes a section "Action taken by the CWCB on March 17, 2004." <br /> <br />When the Board approves a loan there remain several conditions: <br /> <br />a) A Feasibility Study is required. Bruce Johnson has reviewed the study titled <br />"Feasibility of the Spaulding Peak Diversion Structure & Raw Water Pipeline - <br />February 2004." No further action is required of you on this item. The report, in <br />combination with the CWCB board memo dated March 5, 2004 will meet the <br />requirements of the CWCB Construction Fund Guidelines for feasibility studies. <br /> <br />b) An approved contract must be in place before funds can be advanced. Jan lllian will <br />place this project on our contracting "hot list" and will initiate the loan contracting <br />process. Once the contract is finalized the Company may request loan funds to cover <br />eligible project expenses. For future reference Jan's phone number is 303-866-3462. <br /> <br />c) You must adhere to the CWCB Design and Construction Administration Procedures. <br />Tim Feehan will contact you regarding the CWCB requirements concerning project <br />bidding, design, and construction. Tim will make construction inspections, which will <br />be the basis of the monthly pay estimates for disbursement of your loan funds. Tim's <br />phone number is 303-866-3480. <br /> <br />Flood Protection. Water Supply Planning and Finance. Stream and Lake Protection <br />Water Supply Protection. Conservation and Drought Planning <br />