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<br />STATE 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 /> <br /> <br />TO: <br /> <br />(Revised) <br />Colorado Water Conservation Board <br /> <br />Bill Ritter Jr. <br />Governor <br /> <br />FROM: <br /> <br />Tim Feehan, P.E., project~ M. a er <br />Mike Serlet, P.E., Chief,~ ~ <br />Water Supply Planning and inance <br /> <br /> <br />s <br /> <br />Harris D. Sherman <br />DNR Executive <br />Director <br /> <br />Jennifer 1. Gimbel <br />CWCB Director <br /> <br />DATE: <br /> <br />January 14, 2008 (Updated January 30, 2008) <br /> <br />Dan McAuliffe <br />CWCB Deputy <br />Director <br /> <br />SUBJECT: <br /> <br />Agenda Item 12, January 22-23, 2008 Board Meeting <br />Water Supply Planning and Finance -Revisions to Existing Loans <br />Beaver Reservoir Company - Beaver Reservoir Rehabilitation <br /> <br />Introduction <br /> <br />The Beaver Reservoir Company is requesting an increase of$355,000 to its September 2006 <br />authorization of$155,035, for the rehabilitation of Beaver Reservoir. The requested loan <br />increase is due to unforeseen cost overruns during construction, resulting from the remote <br />location and high elevation of the reservoir, adverse weather conditions, dewatering, and design <br />changes. <br /> <br />Background <br /> <br />The Beaver Reservoir Company is located in Paonia, Colorado, 30 miles east of Delta, Colorado. <br />The Company consists of three corporate shareholders and a total of 1,600 shares, with a service <br />area of 3,400 acres. Beaver Reservoir is located 9 miles southeast ofPaonia on the East Fork of <br />Minnesota Creek, a tributary of the Gunnison River. The reservoir was constructed in 1958 and <br />has a capacity of 1,620 acre-feet, with a 113 foot high earthen dam that is 870 feet long. <br /> <br />The reservoir has had a history of sinkhole problems along the dam face that were corrected in <br />1995 by the installation of a PVC liner. That project was funded by the Colorado Water <br />Conservation Board. The PVC liner has performed well since 1995, but recently has developed <br />erosion problems along the lower portion of the liner. In addition, the outlet works has become <br />unreliable, requiring replacement. <br /> <br />The intent of the project, as approved by the Board in November 2004 for $129,785 and <br />amended in September 2006 for $155,035, was to place additional fill material along the lower <br />section of the existing liner, to eliminate any future erosion in this area by regrading of the dam <br />face, and to replace the outlet works. <br /> <br />Water Supply Protection. Watershed Protection & Flood Mitigation. Stream & Lake Protection. Water Supply Planning & Finance <br />Water Conservation & Drought Planning. Intrastate Water Management & Development <br />