PROJ02062

• Contract/PO #: C150211
• Contractor Name: Highland Ditch Company
• Contract Type: Loan
• Water District: 5
• County: Boulder
• County: Weld
• Loan Projects - Doc Type: Feasibility Study

34.
annual assessments.
Revenue for operations and payment of loans is rived from assessments on 725 -' /, shares of
outstanding stock. Of the total shares of stock, 16.75 shares are owned by the City of Longmont. At
this time the water is owned by the City but has never been used for M &I purposes and has been rented
for agricultural use. Assessments are presented to stockholders and approved at the annual
stockholders meeting held in February of each year. The assessment for the past five years are as
shown in the table below.
TABLE 5
ASSESSMENTS PER SHARE OF STOCK
YEAR
ASSESSMENT
2001
$ 125.00
2002
$ 125.00
2003
$ 100.00
2004
$ 100.00
2005
$ 150.00
The financial condition of the company is solid at the present time. The company has no other
obligations other than those listed in the financial statement found in Appendix D. There are no current
long term loan obligations.
Table 6 shows the cash flow and annual financial schedule for the Company's operations which
includes the proposed $540,000 CWCB loan at 2.25 % interest over a 20 -year repayment period. The
schedule also includes the10% share of the project which will have be funded by the stockholders
during design and construction
In 2003 the Company had CASH ASSETS of $311,624 and at the end of 2004 they had cash assets of
$214,545 after repaying the balance of a previous loan from the CWCB. This amount is used as the
starting "Net Fund Reserve" for the analysis. Due to this reserve the Company will not have to borrow
money to pay their portion of the project.
-Table 6 shows the "Annual Financial Schedule" of the Company starting with the cash balance in 2003
continuing through 2025 which would be to the end of the loan period. The 2003 and 2004 financial
statements were utilized as a starting point to determine the income and expenses for the Company to
determine the yearly cash flow.
In Table 6, the column indicated as "Assessments Per Share" indicates the base assessment for the
shareholders with over one share of stock. The assessments for those owning less than one share of
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