Laserfiche WebLink
<br />ST ATE OF COLORADO <br /> <br />Colorado Water Conservation Board <br /> <br />Department of Natural Resources <br />1313 Sherman Street, Room 721 <br />Denver, Colorado 80203 <br />Phone: (303) 866-3441 <br />FAX: (303) 866-4474 <br />www.cwcb.state.co.us <br /> <br /> <br />March 23,2007 <br /> <br />Bill Ritter, Jr. <br />Governor <br /> <br />Mr. Mike Hungenberg, President <br />Lower Poudre Augmentation Company <br />P.O. Box 104 <br />Lucerne, Colorado 80646 <br /> <br />Harris D, Sherman <br />Executive Director <br /> <br />Rod Kuharich <br />CWCB Director <br /> <br />RE: Loan for Lower Poudre Augmentation Company - Reservoir/Water Purchase <br /> <br />Dan McAuliffe <br />Deputy Director <br /> <br />Dear Mike: <br /> <br />I am pleased to inform you that on March 13,2007 the Colorado Water Conservation Board <br />(CWCB) approved your loan request. We understand that the loan will be used to acquire the <br />Timnath Flatiron Reservoir and to acquire 4.5 shares in the Boxelder Ditch Company, for the <br />purpose of providing augmentation water for existing wells. The Board approved a loan in a <br />maximum amount $3,104,053 (including the 1 % loan service charge) with loan terms of2.50% per <br />annum for 30 years. I have attached a copy of the updated Board memo that includes a section <br />"Action taken by the CWCB on March 13,2007." I call your attention to the approval condition <br />that will require the New Cache La Poudre Irrigating Company and the Cache La Poudre Reservoir <br />Company to act as guarantors for the CWCB loan and execute a loan guaranty contract. <br /> <br />When the Board approves a loan there remain several conditions: <br /> <br />a) A Feasibility Study is required. Bruce Johnson has reviewed the study titled "Timnath <br />Flatiron Reservoir, CWCR Loan Application Feasibility Study - Prepared for Lower <br />Poudre Augmentation Company, December 2006," No further action is required of you <br />on this item. The report, in combination with the CWCB board memo dated March 2, <br />2007 will meet the requirements ofthe CWCB Water Project Loan Program Guidelines <br />for feasibility studies. <br /> <br />b) An approved contract must be in place before funds can be advanced. Vaughn <br />McWilliams will place this project on our contracting "hot list" and will initiate the loan <br />contracting process. Once the contract is finalized the Company may request loan funds <br />to cover eligible project expenses. For future reference Vaughn's phone number is <br />303-866-3462. <br /> <br />c) You must adhere to the CWCB Design. and Construction Administration Procedures. <br />Tim Feehan will contact you regarding the CWCB requirements concerning project <br />bidding, design, and construction. Tim will make construction inspections, which will <br /> <br />Flood Protection. Water Supply Planning and Finance * Stream and Lake Protection <br />Water Supply Protection. Conservation and Drought Planning <br />