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Non-reimbursable Investment Application-CWCB Construction Fund <br /> Form Revised August 8,2003 <br /> member Greg Hoskins stated at the meeting that it looks like its working at relatively low <br /> costs and the CWCB should invest some of its resources in this as it benefits the state as a <br /> whole. This is a one-time one-year grant request. Future year's grant requests will only <br /> come after evaluation and a report from the CWCB staff that illustrates the success and <br /> continued need. The development of guidelines and criteria will be needed for the CWCB <br /> to fund projects that are related to meeting water needs in Colorado. <br /> 5. Please explain why you are requesting a non-reimbursable, instead of a loan. (The <br /> Construction Fund exists primarily to provide low interest loans for the construction or <br /> rehabilitation of Raw Water Projects.Non-reimbursable Investments are approved only <br /> when the project or study is of Statewide interest and benefits a wide range of people and <br /> organizations,and/or a large geographical area. The applicant(s)must also show that they <br /> are financially unable to repay a loan): <br /> • <br /> The primary reason for this application is drought mitigation assistance on behalf of the <br /> Colorado water users to augment snowpack for the 2004-2005 snow season. There have <br /> been many requests at public hearings and over the phone by water users sponsoring these <br /> projects for state financial assistance(Gunnison County, Southwestern WCD, San Juan <br /> WCD,Upper Gunnison WCD). The funds will be a small state cost share in the programs to <br /> assist water users in paying contractors for cloud seeding programs. A typical 20-generator <br /> program has a yearly operating budget of about$80,000. A$3,333 grant from the CWCB <br /> will act as about a 4%cost share in that size of program. An evaluation by Denver Water <br /> stated that the cost for producing this water was between$13-15 AF with a very high <br /> benefit- cost ratio. Testimony at the CWCB,July 2003 in Pagosa Springs,by John Devore <br /> Gunnison County Manager,stated that every year it is tough for water users to come up <br /> with the funding for these programs and it would be nice for the project managers that raise <br /> these funds to have some state cost share as assistance as they start to put the funding <br /> together to start the year. <br /> S <br /> 4 <br />