Laserfiche WebLink
<br />.. i .. <br /> <br />or <br /> <br />, <br />. .' <br /> <br />from Steve Witte, the Division 2 Engineer, regarding an administrative order he is drafting to <br />require certain measuring devices, control structures and modifications for Model Reservoir. <br />He is requesting that one of the conditions of CWCB loan approval be a commitment by the <br />borrower to comply with the terms of the order. <br /> <br />r. <br /> <br />The total estimated project cost is $670,000 as reported in the draft feasibility study. This does <br />not include any modifications to the wasteway below the dam as may be required by the Division <br />2 Engineer. <br /> <br />Financial Summary <br /> <br />The Company has submitted balance sheets and profit and loss statements for the years 1997 and <br />1998. Staff is still in the process of analyzing the Company's financial condition but the balance <br />sheets indicate a net worth of about $450,000 with depreciation of assets. Actual net worth is <br />probably much more than this. <br /> <br />Alternative Sources of Financine <br /> <br />Representatives of the Company applied to the First National Bank of~rinidad for a loan for the <br />project and the application was denied. The Company is in the process of exploring other sources <br />of funding. <br /> <br />( . Collateral <br />\ <br /> <br />The Company will pledge revenues from assessments as well as lands and/or water rights <br />equivalent in total value to the principal amount of the loan. Staff has not yet conducted an <br />evaluation of the proposed collateral. <br /> <br />Discussion <br /> <br />Staff is unable to make a final determination of feasibility for the proposed project at this time. <br />Based on the information at hand, however, there would appear to be no reason why the project <br />is not feasiole. <br /> <br />In the absence of the project, the Company will be unable to provide a full supply of water to the <br />6,000 acres of land irrigated by Model Reservoir. Irrigation will be reduced substantially this <br />year even if a small temporary dam is constructed. Waiting until a regular Construction Fund <br />authorization can be obtained in 2000 would entail reduced water supplies for another irrigation <br />season. In addition, there is a continued threat of flooding on Model Ditch without repairs to the <br />dam. Staff believes that the project therefore qualifies under the Emergency Infrastructure <br />Account criteria as necessary to avoid unreasonable risk of injury or damage to human health or <br />well being or to property or crops. <br /> <br />An important consideration here is the amount of moneys remaining in the Emergency <br />Infrastructure Repair Account in this fiscal year. The current account balance is estimated as <br />$890,102. Staff is recommending that the funds in the Emergency Infrastructure Account be <br /> <br />3 <br />