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• Board Meeting Date: 11/19/2008
• Description: Director's Report - Colorado Water Resources & Power Development Authority
• Board Meetings - Doc Type: Memo

Members, Colorado Water Conservation Board and Jennifer Gimbel
November 13, 2008
Page 2 of 3
Although uncertain at this time, the economic stimulus plan currently being considered by Congress may
rnclude $I bmlhon for drinking water fundrng nationwide. -1'hrs would translate into a 517 nullmon
caprtalizatmon grant fire the I)WKF.
timall Water Resources Proleets and ~1'•tter Revenue Bonds
"I'he City of~ }~uuntam has been approved fire a $9.000,000 loan to purchase land for a reservoir site and to
purchase a building for the Fountain lrtrlrhes I)epartmcnt. 7~he bonds are scheduled to sell inn early
I)ccember. A loan application fire X9 rmllwn (prpclme work) from North Weld County Water I)rstrrct
will he reviewed by the Board tin Uecentber ~"'. East 1_arimer County Water District was approved
earlier this year fora $4.25 rmllrun loan tier a pipeline protect. Both loans will be funded Isom bond
issues scheduled fire early 2009.
~l'he Authority received a request lrom the L_a Plata West Water Authority to provide an rnterirn loan ($4.5
million) for the construction of an intake structure within Lake Nighthorse. The Authority Board
approved an interim loan of $4.5 rmllrun .+~rth an interest rate of 4.75 percent. The loan is secured by a
commitment of Resource Funds being requested by the Southern lltes ($3.U million) and the Ute
Mountain l Ices ($1.5 million). "l~hc loan rs expected to be repaid within the next six numth..
Animas -- L.a Plata I'roiect / 1 •il PI•rt•t River Future Proiectti F'ticr~~r~
-fhr Animas-La Plata Protect sponsors have been working on an intergovernmental agreement ("I(~A") to
create anon-profit organization to take over the operation of the project and to establish operating criteria.
The agreement was appnn•ed by the I;card at its August 22id meeting. All project sponsors are expected
to have approved the 1(.:'1 by the end of January 2009.
The Aromas-La Plata Project was dedicated by the Secretary of the Interior, kirk Kempthorne, on
October IG`i'. Since the AI.P Protect was declared to be 97 percent complete, Secretary Kempthornc
announced the release of the Resource Funds ($40 million) for use by the Southern lJtes and Ute
Mountain Utes on various protects. ]nitial requests from the Resource Funds are expected to be used on
the La Plata West Water Authority's intake tower rn Lake Nmghthorse ($4.5 million) and to fund the
Variable OM&It Fund ($3 mrllion) as proposed under the Animas-La Plata I(iA.
With reference to Lung hollow Kesrnurr. the I.a Plata WCI) expect, the issuance of the 404 permit to
occur at any hmc.
timall Hvdropo~~er Loan h'und
At its June 6°i meeting, the Board authorised the creation of a Small Hydropower Loan bond to assist
governmental agencies with the evaluation and construction of small hydropower facilities. A loan fund
of $10 million was authorized for 2009. "I~he loans will have an interest rate oft%, a term not to exceed
2U years and a maximum loan amount o1'$2 millmon. "I'he Board also approved the creation of a snatching
grant program to assist local governments with the development of small hydropower projects. Matching
t,~rants of up to $15,000 for feasmbrlrry studies, design or permitting well be available to assist