C150157 approval letter

• Contract/PO #: C150157
• Contractor Name: Grand Mesa Reservoir Company
• Contract Type: Loan
• County: Mesa
• Loan Projects - Doc Type: Approval Letter

Grand Mesa Reservoir Co. Agenda Item 5b
September 22-23, 2003 (Updated September 25, 2003)
Recommendation
Staff recommends a CWCB Small Project loan from the Construction fund in amount up to
$90,900 ($90,000 for project costs and $900 for the 1% Loan Service Fee, in accordance with
CWCB Loan Policy #16) to the Grand Mesa Reservoir Company. The loan is for up to 90% of
the cost to rehabilitate the outlet systems on the Grand Mesa Reservoirs #1 and #9. The
recommended terms of the loan are 20 years at 2.4%, OR 30 years at 2.7%, at the Company's
option. (Annual Percentage Rates of 2.51 % and 2.78% respectively.) Security for the loan will
be a pledge of assessment revenues backed by assessment covenant and other Company
property adequate to assure repayment of the loan, in accordance with CWCB Loan Policy #5.
Staff further recommends that final approval of the loan be conditioned upon standard
contracting provisions of the CWCB.
Action taken bv the CWCB Seatember 22, 2003
The CWCB discussed the loan and decided to provide sufficient funding to allow completion of
Alternative #3. The CWCB approved the Staff Recommendation with the following revisions:
(1) The loan amount will be $181,800 ($180,000 for project costs and $1,800 for the 1%
Loan Service Fee.)
(2) The loan will be for up to 90% of the cost to rehabilitate the outlet systems on the Grand
Mesa Reservoirs #1 and #9, and to complete spillway and seepage control work on
Grand Mesa Reservoir #1.
cc: Rod Bonnell, Secretary-Treasurer, Grand Mesa Reservoir Company.
Bret Guillory, Project Engineer, City of Grand Junction
Linda Bassi, AGO
Attachment
C:\Proj-New\GMRC 903 memo
L:\boardmem\Sept03\5b — Grand Mesa Reservoir Co.