PROJ01850

• Contract/PO #: C150006
• Contractor Name: Palisade, Town of
• Contract Type: Loan
• Water District: 72
• County: Mesa
• Bill Number: HB 95-1155
• Loan Projects - Doc Type: Contract Documents

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Colorado Water Conservation Board
Deparnnent of Natural Resources

721 State Centennial Building
1313 Sherman Street
Denver. Colorado 80203
Phone [phone]
FAX [phone]

STATE OF COLORADO

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Roy Romer
Governor

MEMORANDUM

James S. Lochhead
Executive Director, DNR

Daries C. Lile. P.E.
Director, CWCB

TO: The Town of Palisade File

FROM: Bill Green

DATE: November 30, 1995

SUBJECT: Cottonwood Creek Pipeline Feasibility Report

I have reviewed the preliminary Feasibility Report, Replacement of Cottonwood Creek
Pipeline by WestWater Engineering dated September 20, 1995 and have the following
comments and questions:

1. In Table 111-4, are the units gallons? Annual totals should be expressed in acre-feet as
well as gallons.

2. The per capita water use figures on page 111-9 look fairly high, as noted later in the
report. Is the Town working on or does it have a water conservation program and
could a conservation program be included in the alternatives possibly reducing
proposed pipeline capacities and the costs of the alternatives?

3. We will need copies of the Town's three most recent financial statements. We should
also have an updated loan application at the completion of the feasibility study.

4. The first paragraph on page 111-11 states that the Utility Fund is an enterprise fund but
the data in Table 111-8 indicates that approximately 42 percent of fund revenues came
from Mesa County sales taxes in 1993 which may mean the fund does not qualify as
an enterprise under Amendment 1.

5. In the debt schedule in Table III -10, a date is needed for the "Principal Remaining"
item; i.e., remaining as of what date.

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