Laserfiche WebLink
Collateral: As security for the CWCB loan the Twenty Two Road Lateral Company can pledge <br />assessment income, any assets the company owns such as GVIC shares and the project itself. <br />Economic Analysis <br />The economic benefit of the project is the long term benefit of having an operating <br />irrigation system in place in a rapidly changing suburban/urban environment. The deteriorating <br />open ditch system will either have to be replaced or abandoned. Future replacement costs are <br />certain to increase and grants from the MRCS may not be available in the future. Replacement at <br />this time is the best option available. Certainly a functioning piped irrigation ditch adds <br />significantly to property values. Without irrigation water this region would revert to being a high <br />desert. <br />Social and Physical Impacts <br />The project has significant social and physical impacts. The risks associated with an <br />open ditch with intervals of pipe next to a roadway and housing are potentially significant. The <br />open ditch represents a physical hazard in an area that is becoming increasingly urbanized. <br />Burying the system virtually eliminates this hazard. This will significantly reduce the risk of <br />flooding. Irrigation water will be readily available for all shareholders when they want it. Tail <br />water discharge is largely eliminated thus conserving water that can be used elsewhere. <br />Conclusions <br />1. The Twenty Two Road Lateral Company is an incorporated entity in the State of <br />Colorado with the ability to enter into contract with the CWCB for the purpose of <br />obtaining a Construction Fund Loan. <br />2. Rights -of -Way easements are adequate for construction of this project. <br />3. The project would replace a deteriorating open ditch system, reduce tail water loss and <br />insure continued delivery of irrigation water to share holders. <br />4. The total estimated cost of the project is $475,100 and this will be financed, in part, by in <br />house financing, in kind services, and a grant from MRCS. The Twenty Two Road <br />Lateral Company is applying for a construction loan of up to $500,000 that will be <br />partially paid by the NRCS Grant of $338,640. The estimated balance of $141,211 will <br />be financed by a 30 year loan from the CWCB Construction Fund. <br />The project would reduce the risk and liability of flooding and the hazard an open ditch <br />system poses in the community. <br />6. The project is technically and financially feasible. <br />14 <br />