PROJ01950 (3) - Laserfiche WebLink

Home Browse Search

- ~ Agenda Item 17b. November 24, 1997 Page 2 (Updated December 3, 1997) BLOA wants to protect their existing irrigation water right by putting it to beneficial use. The system will cost $1.2 million to construct, or about $3500 for each of the 35Q homeowners. The $900K CWCB loan will have a payment of about $60,000 per year ($17~ per year per household or $14 per month per household), and the Association would have to fund $300K in cash ($850 per household.) The Association is seeking a grant from another sourde to help fund their $300K portion for the project. The average yearly residential water bill for potable water is expected to remain (airly constant, once the new raw water irrigation system is installed. The raw water irrigation s~stem will cost the homeowners an additional $14 per month in assessments paid to their Association, once the one-time fee of $850 per household has been paid. Operation and maintenance co~ts for the new system are expected to be paid from the current $45 per month assessment. The].~e will also be the added advantage that the new system will allow irrigation of portions of parks a,nd open space that were previously either not irrigated, or irrigated with hauled water at great expense. I The new irrigation system will have a capacity sufficient to irrigate ~ 31 acres, i,vith a rotation schedule that allows watering every other day. The system will provide about 400 62 acre feet of water per year for irrigation. ! The service area for the BLOA is primarily residential, and lies generally 7 miles! north-west of Basalt, about 1 mile west of El Jebel, and about 6 miles south-east of Carbondale. All these , towns had a Median Household Income that was greater than 110% of the Statewide MHI for 1990. A loan to the BLOA should thus be at the "High Income" rate for a municip'ality, to be set i by the CWCB on November 24, 1997. The Association has had an initial homeowners meeting to discuss the project, anc.l its cost. The Homeowners were in favor of the project. A formal vote is set for December 4, 11997, at which time the Association is seeking consent to borrow, and to raise assessments by $14 per month to cover debt repayment. BLOA has scheduled construction to start in spring 1998, so that the project can be: completed by fall 1998. A portion of the project will be constructed by the time CWCB Staff can complete the lending contract, about July 1998. A loan to the Association should allow refinancihg of portions of the project already completed. ! COLLATERAL , I The BLOA receives monthly assessments from its Association members. The CWq:B will take a security interest in this stream of revenues. The BLOA can also pledge water rights: as collateral.