C150321 Feasibility Study

• Contract/PO #: CT2015-055
• Contract/PO #: C150321
• Contractor Name: Georgetown, Town of
• Contract Type: Loan
• Water District: 7
• County: Clear Creek
• Loan Projects - Doc Type: Feasibility Study

program occurred. An audit includes examining, on a test basis, evidence about the Town’s compliance with those requirements and performing such other procedures as we considered necessary
in the circumstances. We believe that our audit provides a reasonable basis for our opinion. Our audit does not provide a legal determination of Town’s compliance with those requirements.
In our opinion, the Town complied, in all material respects, with the requirements referred to above that are applicable to each of its major federal programs for the year ended December
31, 2009. Internal Control Over Compliance The management of the Town is responsible for establishing and maintaining effective internal control over compliance with the requirements
of laws, regulations, contracts, and grants applicable to federal programs. In planning and performing our audit, we considered the Town’s internal control over compliance with the requirements
that could have a direct and material effect on a major federal program in order to determine our auditing procedures for the purpose of expressing our opinion on compliance, but not
for the purpose of expressing an opinion on the effectiveness of internal control over compliance. Accordingly, we do not express an opinion on the effectiveness of the Town’s internal
control over compliance. A control deficiency in an entity’s internal control over compliance exists when the design or operation of a control does not allow management or employees,
in the normal course of performing their assigned functions, to prevent or detect noncompliance with a type of compliance requirement of a federal program on a timely basis. A significant
deficiency is a control deficiency, or combination of control deficiencies, that adversely affects the Town’s ability to administer a federal program such that there is more than a remote
likelihood that noncompliance with a type of compliance requirement of a federal program that is more than inconsequential will not be prevented or detected by the entity’s internal
control.
35 A material weakness is a significant deficiency, or combination of significant deficiencies, that results in more than a remote likelihood that material noncompliance with a type
of compliance requirement of a federal program will not be prevented or detected by the entity’s internal control. Our consideration of internal control over compliance was for the limited
purpose described in the first paragraph of this section and would not necessarily identify all deficiencies in internal control that might be significant deficiencies or material weaknesses.
We did not identify any deficiencies in internal control over compliance that we consider to be material weaknesses, as defined above. This report is intended solely for the information
and use of the Town Board of Selectmen, management, and federal awarding agencies and is not intended to be and should not be used by anyone other than these specified parties. September
21, 2010
36 TOWN OF GEORGETOWN, COLORADO SCHEDULE OF FINDINGS AND QUESTIONED COSTS Year Ended December 31, 2009 Summary of Auditors= Results Financial Statements Type of auditors= report issued:
unqualified Internal control over financial reporting:  Material weaknesses identified? yes x no  Reportable conditions identified that are not considered to be material weaknesses?
yes x none reported Noncompliance material to financial statements noted? yes x no Federal Awards Internal control over major programs:  Material weaknesses identified? yes x no  Reportable
conditions identified that are not considered to be material weaknesses? yes x none reported Type of auditor’s report issued on compliance for major programs: unqualified Any audit findings
disclosed that are required to be reported in accordance with section 510(a) of Circular A-133? yes x no Identification of major program: 66.468 Drinking Water State Revolving Fund -ARRA
66.458 Wastewater Treatment Revolving Funds -ARRA Dollar threshold used to distinguish between type A and type B programs: $300,000 Auditee qualified as low-risk auditee? yes x no Findings
Related to Financial Statements The audit of the financial statements did not disclose any significant deficiencies in internal control that would be considered a material weakness,
and did not disclose any instances of noncompliance with requirements of certain provisions of laws, regulations, and grants that were material to those financial statements. Findings
and Questioned Costs for Federal Awards The audit of federal awards did not disclose any significant deficiencies in internal control that would be considered a material weakness, and
did not disclose any instances of noncompliance with requirements of certain provisions of laws, regulations, and grants that were material to those federal awards
Major TOTAL Program ? CDFA # EXPENDITURES ENVIRONMENTAL PROTECTION AGENCY Passed through the State Department Of Public Health and Environment Capitalization Grants for Drinking Water
State Revolving Funds -ARRA Yes 66.468 $ 4 76,063 Capitalization Grants for Clean Water State Revolving Funds -ARRA Yes 66.458 947,071 Total Federal Financial Assistance $ 1,423,134
NOTES 1. Basis of Presentation The Schedule of Expenditures of Federal Awards includes the federal grant activity of the Town and is presented on the modified accrual basis of accounting.
The information in this schedule is presented in accordance with the requirements of OMB Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations . Therefore,
some amounts presented in this schedule may differ from amounts presented in or used in the preparation of the purpose financial statements. TOWN OF GEORGETOWN, COLORADO SCHEDULE OF
EXPENDITURES OF FEDERAL AWARDS For the Year Ended December 31, 2009 See the accompanying Independent Auditors' Report 37
Financial Planning 02/01 The public report burden for this information collection is estimated to average 380 hours annually. Form # 350-050-36 City or County: Georgetown YEAR ENDING
: December 2009 This Information From The Records Of (example -City of _ or County of Prepared by Mary Sims Town of Georgetown Phone: [phone] A. Local B. Local C. Receipts from D.
Receipts from Motor-Fuel Motor-Vehicle State Highway-Federal Highway Taxes Taxes User Taxes Administration 1. Total receipts available 2. Minus amount used for collection expenses 3.
Minus amount used for nonhighway purposes 4. Minus amount used for mass transit 5. Remainder used for highway purposes AMOUNT AMOUNT A. Receipts from local sources: A. Local highway
disbursements: 1. Local highway-user taxes 1. Capital outlay (from page 2) 50,738 a. Motor Fuel (from Item I.A.5.) 2. Maintenance: 47,930 b. Motor Vehicle (from Item I.B.5.) 3. Road
and street services: c. Total (a.+b.) a. Traffic control operations 1,426 2. General fund appropriations 190,051 b. Snow and ice removal 4,583 3. Other local imposts (from page 2) 89,774
c. Other 17,230 4. Miscellaneous local receipts (from page 2) 0 d. Total (a. through c.) 23,239 5. Transfers from toll facilities 4. General administration & miscellaneous 102,710 6.
Proceeds of sale of bonds and notes: 5. Highway law enforcement and safety 100,403 a. Bonds -Original Issues 6. Total (1 through 5) 325,020 b. Bonds -Refunding Issues B. Debt service
on local obligations: c. Notes 1. Bonds: d. Total (a. + b. + c.) 0 a. Interest 7. Total (1 through 6) 279,825 b. Redemption B. Private Contributions c. Total (a. + b.) 0 C. Receipts
from State government 2. Notes: (from page 2) 45,195 a. Interest D. Receipts from Federal Government b. Redemption (from page 2) 0 c. Total (a. + b.) 0 E. Total receipts (A.7 + B + C
+ D) 325,020 3. Total (1.c + 2.c) 0 C. Payments to State for highways D. Payments to toll facilities E. Total disbursements (A.6 + B.3 + C + D) 325,020 Opening Debt Amount Issued Redemptions
Closing Debt A. Bonds (Total) 0 1. Bonds (Refunding Portion) B. Notes (Total) 0 A. Beginning Balance B. Total Receipts C. Total Disbursements D. Ending Balance E. Reconciliation 325,020
325,020 0 Notes and Comments: FORM FHWA-536 (Rev. 1-05) PREVIOUS EDITIONS OBSOLETE (Next Page) 1 ITEM AND STREET PURPOSES LOCAL HIGHWAY FINANCE REPORT I. DISPOSITION OF HIGHWAY-USER
REVENUES AVAILABLE FOR LOCAL GOVERNMENT EXPENDITURE ITEM III. DISBURSEMENTS FOR ROAD V. LOCAL ROAD AND STREET FUND BALANCE ITEM II. RECEIPTS FOR ROAD AND STREET PURPOSES IV. LOCAL HIGHWAY
DEBT STATUS (Show all entries at par) 38 HWY USERS FINANCE REPORT 2009 #2
STATE: Colorado YEAR ENDING (mm/yy): December 2009 AMOUNT AMOUNT A.3. Other local imposts: A.4. Miscellaneous local receipts: a. Property Taxes and Assessments 30,906 a. Interest on
investments b. Other local imposts: b. Traffic Fines & Penalities 1. Sales Taxes 46,671 c. Parking Garage Fees 2. Infrastructure & Impact Fees d. Parking Meter Fees 3. Liens e. Sale
of Surplus Property 4. Licenses f. Charges for Services 5. Specific Ownership &/or Other 12,197 g. Other Misc. Receipts 6. Total (1. through 5.) 58,868 h. Other c. Total (a. + b.) 89,774
i. Total (a. through h.) 0 (Carry forward to page 1) (Carry forward to page 1) AMOUNT AMOUNT C. Receipts from State Government D. Receipts from Federal Government 1. Highway-user taxes
40,118 1. FHWA (from Item I.D.5.) 2. State general funds 2. Other Federal agencies: 3. Other State funds: a. Forest Service a. State bond proceeds b. FEMA b. Project Match c. HUD c.
Motor Vehicle Registrations 5,077 d. Federal Transit Admin d. Other (Specify) -DOLA Grant e. U.S. Corps of Engineers e. Other (Specify) f. Other Federal f. Total (a. through e.) 5,077
g. Total (a. through f.) 0 4. Total (1. + 2. + 3.f) 45,195 3. Total (1. + 2.g) (Carry forward to page 1) ON NATIONAL OFF NATIONAL HIGHWAY HIGHWAY TOTAL SYSTEM SYSTEM (a) (b) (c) A.1.
Capital outlay: a. Right-Of-Way Costs 0 b. Engineering Costs 50,738 50,738 c. Construction: (1). New Facilities 0 (2). Capacity Improvements 0 (3). System Preservation 0 (4). System
Enhancement & Operation 0 (5). Total Construction (1) + (2) + (3) + (4) 0 0 0 d. Total Capital Outlay (Lines 1.a. + 1.b. + 1.c.5) 0 50,738 50,738 (Carry forward to page 1) Notes and
Comments: FORM FHWA-536 (Rev.1-05) PREVIOUS EDITIONS OBSOLETE 2 III. DISBURSEMENTS FOR ROAD AND STREET PURPOSES -DETAIL II. RECEIPTS FOR ROAD AND STREET PURPOSES -DETAIL LOCAL HIGHWAY
FINANCE REPORT ITEM ITEM ITEM ITEM 39
WATER FUND -20-YEAR CASH FLOW PROJECTION (Unaudited -For Planning Purposes Only) Revised February 20, 2011 YEAR 2008 2009 2010 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
2023 2024 2025 2026 2027 2028 2029 2030 2031 Jan -Jun Jul -Dec FUND REVENUES Operating Revenues Residential EQR Value 2 add'l EQR per year 536.11 536.11 660.12 660.12 674.00 676.00 678.00
680.00 682.00 684.00 686.00 688.00 690.00 692.00 694.00 696.00 698.00 700.00 702.00 704.00 706.00 708.00 710.00 712.00 714.00 Commercial EQR 321.97 337.55 150.07 150.07 191.48 191.48
192.48 192.48 193.48 193.48 194.48 194.48 195.48 195.48 196.48 196.48 197.48 197.48 198.48 198.48 199.48 199.48 200.48 200.48 200.48 Institutional EQR 49.48 49.48 174.83 174.83 174.83
174.83 174.83 174.83 174.83 174.83 174.83 174.83 174.83 174.83 174.83 174.83 174.83 174.83 174.83 174.83 174.83 174.83 174.83 Special Use EQR 0.00 14.37 14.37 14.37 14.37 14.37 14.37
14.37 14.37 14.37 14.37 14.37 14.37 14.37 14.37 14.37 14.37 14.37 14.37 14.37 14.37 14.37 TOTAL EQRs 321.97 873.66 859.67 859.67 1,054.68 1,056.68 1,059.68 1,061.68 1,064.68 1,066.68
1,069.68 1,071.68 1,074.68 1,076.68 1,079.68 1,081.68 1,084.68 1,086.68 1,089.68 1,091.68 1,094.68 1,096.68 1,099.68 1,101.68 1,103.68 Current User Rate (Base Year 2009) 32.00 32.00
37.50 37.50 37.50 44.05 44.05 46.25 46.25 48.57 48.57 50.99 50.99 53.54 53.54 56.22 56.22 59.03 59.03 61.98 61.98 65.08 65.08 68.34 68.34 Annual Rate Adjustment 5.00% 0.00 5.50 0.00
6.55 0.00 2.20 0.00 2.31 0.00 2.43 0.00 2.55 0.00 2.68 0.00 2.81 0.00 2.95 0.00 3.10 0.00 3.25 0.00 3.42 Adjusted Monthly Rate 32.00 37.50 37.50 44.05 46.25 46.25 48.57 48.57 50.99 50.99
53.54 53.54 56.22 56.22 59.03 59.03 61.98 61.98 65.08 65.08 68.34 68.34 71.75 Add'l Use Fees (Base Year 2009)) $ 36.97 42,007 38,992 38,368 39,066 39,177 39,251 39,362 39,436 39,547
39,620 39,731 39,805 39,916 39,990 40,101 40,175 40,286 40,360 40,471 40,545 40,656 40,730 40,804 Total Operating Revenues 371,510 388,893 425,219 597,629 613,330 628,517 645,067 661,080
678,524 695,406 713,793 731,593 750,974 769,740 790,169 809,955 831,488 852,347 875,045 897,036 920,961 944,146 968,486 Non-Operating Revenues Annual Tap/Development Fees $ 6,000 7,800
4,000 4,000 12,000 12,000 12,000 12,000 12,000 12,000 12,000 12,000 12,000 12,000 12,000 12,000 12,000 12,000 12,000 12,000 12,000 12,000 12,000 12,000 Interest Income 9 0 0 0 0 0 0
0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 Late Charges 7,532 11,120 8,567 9,000 9,000 9,000 9,000 9,000 9,000 9,000 9,000 9,000 9,000 9,000 9,000 9,000 9,000 9,000 9,000 9,000 9,000 9,000 9,000
Other Charges 2,292 1,887 2,030 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,001 Water Meters 2,819 850 1,060 15,000
15,000 15,000 15,000 15,000 15,000 15,000 15,000 15,000 15,000 15,000 15,000 0 0 0 0 0 0 0 0 Other Intergovernmental 5,819 4,774 5,192 5,200 5,200 5,200 5,200 5,200 5,200 5,200 5,200
5,200 5,200 5,200 5,200 5,200 5,200 5,200 5,200 5,200 5,200 5,200 5,200 2009 ARRA-DWRF (Debt Forgiveness) 234,025 1,765,975 2009 ARRA-DWRF (Loan) 1,340,000 2011 DWRF (Loan) Other Grants
(CWRPDA & DOLA) 14,609 205,000 Transfers from Water Fund Reserves Total Non-Operating Revenues 40,880 461,656 3,126,824 43,200 43,200 43,200 43,200 43,200 43,200 43,200 43,200 43,200
43,200 43,200 43,200 28,200 28,200 28,200 28,200 28,200 28,200 28,200 28,202 TOTAL REVENUES 412,389 850,549 3,552,043 640,829 656,530 671,717 688,267 704,280 721,724 738,606 756,993
774,793 794,174 812,940 833,369 838,155 859,688 880,547 903,245 925,236 949,161 972,346 996,688 FUND EXPENDITURES Operating ExpensesOperations & Maintenance 124,238 138,562 146,917 156,594
161,432 166,271 171,109 175,948 180,786 185,625 190,463 195,301 200,140 204,978 209,817 214,655 219,494 224,332 229,170 234,009 238,847 243,686 248,524 General & Administrative 95,371
104,660 87,611 93,866 96,993 100,121 103,248 106,375 109,502 112,630 115,757 118,884 122,012 125,139 128,266 131,394 134,521 137,648 140,776 143,903 147,030 150,158 153,285 Annual Capital
Improvement 110,723 96,000 63,798 92,659 99,590 106,521 113,451 120,382 127,312 134,243 141,174 148,104 155,035 161,966 168,896 160,827 167,757 174,688 181,619 188,549 195,480 202,411
209,341 Other Expenses EQRs $/EQR/mo. Backwash payment to Wastewater Fund 45 $ 42.00 0 0 0 24,178 25,775 27,477 29,292 31,227 33,290 35,488 37,832 40,331 42,995 45,835 48,862 52,090
55,530 59,198 63,108 67,276 71,720 76,457 81,507 Total Operating Expenses 243,619 339,221 298,326 367,297 383,791 400,389 417,101 433,932 450,891 467,986 485,226 502,621 520,182 537,918
555,842 558,965 577,302 595,866 614,673 633,738 653,078 672,711 692,657 Capital Project Expenses WTF Improvements Project (WWE-3) Planning & Engineering $ 692,250 410,709 281,541 Construction
Phase $ 2,926,750 102,316 2,824,434 Replace Existing Tank $ 900,000 Total Project Expenses $ 4,519,000 513,025 3,105,975 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Debt Service Principal
Interest Term Existing Debt Service Argentine St (water portion) $ 5 5,000 5.00% 20 4,413 4,413 4,413 4,413 4,413 4,413 4,413 4,413 4,413 4,413 4,413 4,413 4,413 4,413 939 Water Rights
$ 190,000 5.25% 30 12,714 12,714 12,714 12,714 12,714 12,714 12,714 12,714 12,714 12,714 12,714 12,714 12,714 12,714 12,714 12,714 12,714 3,830 Rose St $ 200,000 5.00% 20 20,061 20,061
20,061 20,061 20,061 20,061 20,061 20,061 20,061 20,061 20,061 20,061 20,061 20,061 Subtotal 37,188 37,188 37,188 37,188 37,188 37,188 37,188 37,188 37,188 37,188 37,188 37,188 37,188
37,188 13,653 12,714 12,714 3,830 0 0 0 0 0 Internal Fund Transfer Repayment to Wastewater Fund $ 250,000 0.00% 10 25,000 25,000 25,000 25,000 25,000 25,000 25,000 25,000 25,000 0 0
0 0 0 0 0 0 0 0 0 Debt Service 2009 ARRA-DWRF Loan $ 2,000,000 na na ----------------------------------------------2009 ARRA-DWRF Loan $ 1,340,000 0.00% 20 67,000 67,000 67,000 67,000
67,000 67,000 67,000 67,000 67,000 67,000 67,000 67,000 67,000 67,000 67,000 67,000 67,000 67,000 67,000 2011 DWRF Loan $ 900,000 2.00% 20 55,041 55,041 55,041 55,041 55,041 55,041 55,041
55,041 55,041 55,041 55,041 55,041 55,041 55,041 55,041 55,041 55,041 55,041 55,041 55,041 Total Debt Service 37,188 37,188 37,188 184,229 184,229 184,229 184,229 184,229 184,229 184,229
184,229 184,229 159,229 159,229 135,694 134,755 134,755 125,871 122,041 122,041 122,041 122,041 55,041 TOTAL EXPENSES 367,520 889,435 3,441,490 551,526 568,020 584,619 601,330 618,161
635,120 652,215 669,455 686,851 679,411 697,147 691,536 693,721 712,058 721,737 736,714 755,779 775,119 794,752 747,698 NET OPERATING REVENUE (PROJECTED) 89,303 88,510 87,099 86,937
86,118 86,604 86,391 87,538 87,942 114,763 115,793 141,834 144,434 147,631 158,810 166,531 169,458 174,043 177,594 248,990 Debt Service Coverage >= 1.10 4.54 13.75 87.49 1.48 1.48 1.47
1.47 1.47 1.47 1.47 1.48 1.48 1.72 1.73 2.05 2.07 2.10 2.26 2.36 2.39 2.43 2.46 5.52 129,188 Notes 1 add'l EQR every other year Complete in 13 years $900,000 $1,340,000 $2,000,000 Dam
Gages 25,000 4,413 12,714 20,061 37,188 0 67,000 1,383,751 1.54 69,995 9,000 2,000 900,000 900,000 900,000 --Annually avg per EQR Scenario 2A 5,200 2011 based on add'l Res EQRs/yr only
15,000 510,546 38,368 44.05 12,000 0 EQR increase/Yr 943,200 1,453,746 151,756 90,739 100,729 354,563 3.5% 11,340
WATER FUND -20-YEAR CASH FLOW PROJECTION (Unaudited -For Planning Purposes Only) Revised February 20, 2011 YEAR 2008 2009 2010 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
2023 2024 2025 2026 2027 2028 2029 2030 2031 Jan -Jun Jul -Dec Scenario 2A 2011 DISTRIBUTION OF OTHER OBLIGATIONS RESERVE OBLIGATIONS Real Rate of Return = 2.9% O&M Reserve2 3,184 4,123
4,150 4,178 4,208 4,240 4,274 4,310 4,349 4,390 4,434 4,481 781 4,584 4,641 4,702 4,766 4,835 4,908 4,987 Repair & Replacement Reserve3 Target of: $ 200,000 17,527 17,527 17,527 17,527
17,527 17,527 17,527 17,527 17,527 26,792 26,792 26,792 26,792 26,792 26,792 26,792 26,792 26,792 26,792 26,792 Contingency/Emergency Reserve4 Target of: $ -0 0 0 0 0 0 0 0 0 0 0 0 0
0 0 0 0 0 0 0 Capital Improvement Reserve5 Target of: $ 2,500,000 53,405 53,405 53,405 53,405 53,405 53,405 53,405 53,405 53,405 53,405 53,405 53,405 53,405 53,405 53,405 53,405 53,405
53,405 53,405 53,405 Water Resource Development Reserve6 Target of: $ 312,500 11,749 11,749 11,749 11,749 11,749 11,749 11,749 11,749 11,749 11,749 11,749 11,749 11,749 11,749 11,749
11,749 11,749 11,749 11,749 0 TOTAL RESERVE OBLIGATIONS 85,864 86,804 86,830 86,858 86,888 86,920 86,954 86,990 87,029 96,335 96,379 96,426 92,726 96,529 96,586 96,647 96,711 96,780
96,854 85,183 NET RESERVE FUNDS AVAILABLE (=NET OPERATING REV -RESERVE OBLIGATIONS) 3,439 1,706 269 79 (770) (316) (563) 548 913 18,428 19,414 45,408 51,708 51,101 62,224 69,884 72,746
77,262 80,740 163,807 RECOMMENDED RESERVES O&M Reserve2 O&M Reserve -Min. Target 74,582 91,824 95,948 100,097 104,275 108,483 112,723 116,996 121,307 125,655 130,045 134,479 138,960
139,741 144,326 148,967 153,668 158,434 163,269 168,178 173,164 O&M Reserve -Current 85,500 91,824 95,948 100,097 104,275 108,483 112,723 116,996 121,307 125,655 130,045 134,479 138,960
139,741 144,326 148,967 153,668 158,434 163,269 168,178 173,164 % difference Repair & Replacement Reserve3 Repair & Replacement Reserve -Min. Target 18,035 36,593 55,689 75,339 95,558
116,364 137,774 159,804 182,473 0 27,569 55,937 85,127 115,164 146,073 177,877 210,604 244,280 278,933 314,590 Repair & Replacement Reserve -Current 35,561 54,119 73,215 92,865 113,085
133,891 155,300 177,331 200,000 26,792 54,360 82,728 111,919 141,956 172,864 204,669 237,396 271,072 305,724 341,382 % difference Contingency/Emergency Reserve4 Contingency/Emergency
Reserve -Min. Target 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Contingency/Emergency Reserve -Current 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 % difference Capital Improvement Reserve5
Capital Improvement Reserve -Min. Target 54,954 111,501 169,688 229,563 291,174 354,572 419,808 486,936 556,011 627,089 700,228 775,489 852,932 932,620 1,014,620 1,098,998 1,185,822
1,275,165 1,367,098 1,461,698 Capital Improvement Reserve -Current 108,359 164,906 223,093 282,968 344,579 407,977 473,213 540,341 609,416 680,494 753,633 828,894 906,336 986,025 1,068,025
1,152,403 1,239,227 1,328,570 1,420,503 1,515,103 % difference Water Resource Development Reserve Water Resource Reserve -Min. Target 12,089 24,529 37,330 50,502 64,056 78,003 92,355
107,122 122,318 137,955 154,045 170,602 187,639 205,169 223,209 241,771 260,872 280,527 300,751 321,563 Water Resource Reserve -Current 23,838 36,278 49,079 62,251 75,805 89,752 104,103
118,871 134,067 149,704 165,794 182,350 199,387 216,918 234,957 253,520 272,621 292,275 312,500 321,563 % difference 1 Increase in Commercial EQRs from 2008 to 2009 is due to 2008 EQR
audit results and is not predicted forward 2 25% of annual Operating Expenses (O&M, G&A and Annual Capital Replacement) to be held as a restricted asset 3 Per Town correspondence, provide
reserve with cap of $100,000 for equipment and $100,000 for distribution system replacement and repair. 4 This reserve has been removed from required reserves (as of Feb 17, 2011); proposed
reserve amount is insurance annual premium plus deductible for capital improvements 5 Amount necessary to meet projected upgrades 6 Amount established by Town for future investments
to secure additional water supply resources and facilities. * Inter-fund transfers are not included in expenses or revenues 88,641 88,641 0 17,527 000 53,405(15,826) 85,821 3,141 17,527-53,405
11,749 0 11,749 in yrs in 10 yrs in 30 yrs in 20 yrs
361 2nd Ave., Suite 201 – PO Box 443 ● Niwot, CO ● 80544 V: +1.303.652.3200 ● F +1.303.652.8555 ● E: [e-mail] Date: 13 June 11 To: Anna Mauss Cc: Tom Hale From: Todd Ficken RE:
GTWN – Response to CWCB Loan Application Packet ______________________________________ Per your email of 9 June 11, referencing some questions associated with Georgetown’s feasibility
report and the CWCB loan process, we have prepared the following responses. If after your review of the responses, you have any follow up questions or new questions please do not hesitate
to contact either myself or Tom Hale. Question #1: Can you describe the water service area to me? Is it strictly within the Town limits? According to the application there are 1,054
EQRs. Do you have a feel for how many people this services? Response #1: Water Service is coincident with the political boundaries of the Town of Georgetown. The State Demographer estimate
is 1,066 residences which does not include the Clear Creek County jail that hold 100 trustees Question #2: Can you give me an idea of the water system facilities owned by the Town, i.e.,
the lake, treatment plant, # of storage tanks, etc.? Response #2: Georgetown’s water system facilities consist of the following: (a) Water treatment facility. (b) Water conveyance and
distribution system. (c) SCADA (d) Two water storage tanks, a 400K and 600K gallon tank. (e) Georgetown Lake (acting as a reservoir) (f) Georgetown Lake Dam and associated control mechanisms.
(g) Wastewater treatment plan Program Management Firm
Question #3: On page 11 of the feasibility study you have the cost breakdown. Can you expand on the construction costs? I noticed in the AECOM/TCB report, the selected alternative was
estimated to be $1.1M. I’m curious about the increase in costs from their estimate to the current estimate. Please break out the contingency as a line item. Also, some of the “other
costs” might not be CWCB eligible. In the description it calls out “legal fees” and our program does not allow legal/water court fees to be paid for by CWCB funds. Response #3: The referenced
report (AECOM/TCB report) was completed in 2007 and was based upon 2007 dollars. Resultantly, based upon current conditions, i.e., economically and technically, we believe the proposed
budget is prudent and realistic. Also, we felt the 2007 estimate did not accurately reflect anticipated conditions and was lacking a prudent contingency, inclusive of contractor, owner,
and estimating contingencies. It is Georgetown’s position to be conservative while contemporaneously being prudent with respect to the proposed forward-looking proforma budget. As such,
we feel the budget represented in the pending application is reasonable based upon what is presently known. Description 07 Dollars (AECOM #) 12 Dollars (AECOM #) Revised Est. (GWTN)
12 dollar Bulkhead Gate (52") $25,500 $32,545 $55,000 Gate Valve $90,000 $114,865 $175,000 Actuator $3,000 $3,829 $7,500 Trashrack $1,500 $1,914 $2,500 Concrete $26,000 $33,183 $85,000
Bubbler System $2,000 $2,553 $8,250 Excavation & Plug Remove $22,000 $28,078 $55,600 Gate Installation $40,500 $51,689 $75,000 Dirt Trenching $8,500 $10,848 $75,000 Backfill $72,500
$92,530 $250,000 Pipe $211,500 $269,934 $350,000 Crane $46,500 $59,347 $85,000 Sump Pumps $2,000 $2,553 $30,000 Shoring $2,200 $2,808 $45,000 Saw Cut Road & Repair $2,500 $3,191 $100,000
Survey $14,000 $17,868 $15,000 Geotechnical $0 $12,000 Third Party Inspections $0 $25,000 Traffic Control $3,000 $3,829 $12,000 Sewer Pipe Realignment $36,000 $45,946 $200,000 SCADA
Services $2,000 $2,553 $10,000 Contractor Contingency $0 $500,000 Subtotal (construction) $611,200 $780,063 $2,172,850 Engineering /Design $183,360 $234,019 $225,000 Program Management
$0 $175,000 Permitting /Legal (AECOM) $61,120 $78,006 Permitting $0 $40,000 Legal $0 $35,000 Mobilization/Demobilization $30,560 $39,003 $50,000 Contingency (AECOM Model) $223,760 $285,581
Owner Contingency $0 $350,000 Estimating Contingency $225,000 Project Est. Totals $1,110,000 $1,416,673 $3,272,850 Forward-Looking, Pro-Forma, Probable Cost Estimate (base on AECOM Alternative
#3)
Yr ac-ft 2008 241,876 2009 186,661 2010 194,387 With respect to your specific questions regarding “legal” the legal as contemplated by the forward-looking proforma budget anticipates
legal services in reference to contract review and not “water court” related matters. Specifically, Georgetown will want to seek legal advice and counsel associated with design contracts,
construction contracts, close out procedures, review of “request for proposals”, and similar project related consultation. There is no “water court fee” contemplated in that particular
category. Question #4: On the existing debt (noted in the application), what was the CWRPDA loan ($1.34M) for? I thought there was a 2nd CWRPDA loan for $900K that wasn’t listed (perhaps
because it was executed after the application was submitted?). Response #4: The first Colorado Water Resources & Power Development loan was for the new water treatment plant and the
second $900,000 is for replacement of a 40 year old water storage tank Question #5: From the financial notes, it looks like the water and sewer enterprise are run as one business entity.
Are separate bills sent out to users or is it one bill? Do you know when the enterprise was established? Response #5: One bill is sent out monthly with separate water and sewer charges
per EQR and separate accounting is done for water and sewer. The enterprise was established in 1998 Question #6: Does the Town have any additional water rights other than the Georgetown
Ditch and Reservoir right and FHL shares noted in the feasibility study? Response #6: [Note, we are verifying with the Town’s Water Attorney that the water right information presented
in the report is indeed complete. The information in the report in reference to water rights did come directly from the Town’s water attorney when the report was prepared] Question #7:
How much water does the Town deliver annually (in acre-feet)? Response #7:
Other: (a) In reference to additional financial statement questions and your suggestion that it would probably be easier to address over the phone, please feel free to contact Mr. Hale,
for he would be your best (b) Facility Study note about final engineering CWCB Comment: one. The CWCB approves loans on a “per project” basis. alternative is within the same we should
be okay; but if our construction manager feels it varies too much, we may have to bring it back before our board to approve a large change in scope. GTWN Response: the “project” similar