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c. The obligation for Aid to Irrigation to repay PP Ag. construction obligations does <br />not accrue at the same rate as the apportionment formula, and <br />d. Any aid to irrigation revenues coming into the Basin Fund must be apportioned <br />AND the rate set accordingly, <br />e. THEN a surplus will accrue when power revenues are collected for Aid to <br />Irrigation when there is an imbalance among the states of PP Ag. repayment <br />obligations that must be met by § 5(e) (Aid to Irrigation) revenues. <br />PRESENT ISSUE BACKGROUND: <br />1. The Duchesne Unit PP Ag. Aid to Irrigation requirement to meet the 50 year repayment <br />mandate will be approx. $98.4 million between 2015 and 2025. <br />2. The proportional revenue requirement necessitates collection of approximately $465 million of <br />revenues during the time that the $98.4 million is required for Duchesne. (The $98.4 is included <br />in the $465.) <br />3. The proportional revenue requirement results in: <br />a. And increase in the power rate <br />b. Surplus Aid to Irrigation funds being collected with no present repayment obligation <br />against which they could be applied. <br />c. Accelerated repayment of PP Ag. Aid to Irrigation obligations that are not presently due <br />under the PRS or the 50 year repayment obligation. <br />