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': TOWN OF JOHNSTOWN FINANCIAL ANALYSIS 9/13/96 Introduction The Town of Johnstowm Compendium of Feasibility Study and Feasibility Study Information of August 28 1996 by PRe lists the pipeline and pump station project as well as other proposed capital projects for both raw water and treated water facilities. The estimated costs are listed in Table 1. Table 1. Estimated Capital Costs Pipeline and Pump Station $2,295,000 Raw Water Reservoir $1,380,571 Treated Water Project $ 380,000 Total $4,055,571 The compendium does not outline a funding program for the total cost of the project but lists, in the financial projections, the total authorized amounts of CWCB funding at $2,542,500 and Water & Power Authority funding at $1,785,000 for a total of $4,327,500. The CWCB Construction Fund authorization, however, is for up to 75 percent of the total cost of the pipeline and pump station project only. Thus the $2,295,000 cost would suggest a loan of about $1,721,250 which, when added to the $1,785,000 Water & Power loan, would provide a total of$3,506,250 in currently available funds for the Town. That amount would apparently not be adequate for all of the projects listed in Table 1. CWCB authorization for the reservoir rehabilitation project would require a feasibility study for the reservoir project, a recommendation by the Board, and approval by the legislature. The treated water project (retrofitting of an existing clarifier with a dissolved air flotation unit) is not eligible for CWCB funding. Analysis This analysis considers two approaches for CWCB funding and the resulting financial indicators for the Town's water enterprise fund. The first approach assumes the entire $2,542,500 is available to the Town for the pipeline/pump station project and for the raw water reservoir. The second approach assumes that CWCB funding of $1,721,250 only is provided for the pipeline/pump station project.