ConsentAgenda2a

• Board Meeting Date: 5/20/2008
• Description: CF Section - Consent Agenda - Changes to Existing Loans - Orchard Mesa Irrig. District - Stokes Gulch Siphon Replacement
• Board Meetings - Doc Type: Memo

STATE OF COLORADO
Colorado Water Conservation Board
Department of Natural Resources
1313 Sherman Street, Room 721
Denver, Colorado 80203
Phone: [phone]
Fax: [phone]
www.cwcb.state.co.us
Bill Ritter, Jr.
TO: Colorado Water Conservation Board Members
Governor
Harris D. Sherman
FROM: Tim Feehan, P.E., Project Manager
DNR Executive Director
Mike Serlet, P.E., Chief
Jennifer L. Gimbel
Water Supply Planning and Finance Section
CWCB Director
Dan McAuliffe
DATE: May 13, 2008
CWCB Deputy Director
Consent Agenda Item 2a, May 20-21, 2008 Board Meeting
SUBJECT:
Water Supply Planning and Finance – Changes to Existing Loans
Orchard Mesa Irrig. District – Stokes Gulch Si phon Replacement
Introduction
At the May 2005 Board Meeting, the Board authorized staff to present revisions to existing loans, totaling
less then 20% of the original loan , as Consent Agenda Items. The Orchard Mesa Irrigation District
(District) loan increase presented below represents an approximate 11% increase to their original loan
authorization
At the March 2006 board meeting, the Colorado Water Conservation Board (CWCB) approved a loan to the
District in the amount of $540,000 from the Severa nce Tax Trust Fund Perpetual Base Account. The
$540,000 loan was for the construction of 300 foot long, cast-in-place, 12 foot by 12 foot concrete box
culvert, at a total estimated cost of $600,000.
The Company is requesting an increase of $60,000 to the District’s 2006 authorization of $540,000, to
complete the replacement of the siphon. The requested loan increase is due to higher then anticipated bid
results, canal rehabilitation, and additi onal concrete and embankment material. The final cost to complete
the project will be approximately $745,000, The Distri ct has elected to only pursue an additional $60,000
from CWCB with the remaining construction costs being covered directly by the District.
Staff Recommendation
Staff recommends a loan increase not to exceed $60,000( $59,400 for project costs and $600 for the 1% Loan
Service Fee) to the District for engineering and co nstruction costs associated with the Stokes Gulch Siphon
Replacement Project, from the Severance Tax Trust Fu nd Perpetual Base Account. The District’s amended
total loan amount will be $600,000($594,060for the total project costs and $5,940 for the 1% loan
origination fee). The terms shall be based on their prev ious interest rate of 2.5% per annum for 30-years.
Final approval of the loan shall be conditioned upon al l standard contracting provisions of the CWCB Loan
Program. Security for the loan shall be colla teral in compliance with CWCB Loan Policy #5.
Water Supply Protection • Watershed Protect ion & Flood Mitigation • Stream & Lake Protection • Water Supply Planning & Finance
Water Conservation & Drought Planning • In trastate Water Management & Development