C150375 Increase Approval Letter

• Contract/PO #: CT2015-010
• Contract/PO #: C150375
• Contractor Name: Consolidated Home Supply Ditch and Reservoir Company
• Contract Type: Loan
• Loan Projects - Doc Type: Approval Letter

DNR COLORADO 1313 Sherman Street John Hickenlooper, Governor
Denver, CO 80203
CO Colorado Water Mike King, DNR Executive Director
Conservation Board P [phone]
Department of Natural Resources F(303)866-4474 James Eklund,CWCB Director
TO: Colorado Water Conservation Board Members
FROM: Jonathan Hernandez, P.E., Project Manager
Kirk Russell, P.E., Finance Section Chief 1,(,1.--
DATE: September 11-12, 2014 Board Meeting (Updated September 12, 2014)
AGENDA ITEM: Agenda Item 7a - Change to Existing Loans
Consolidated Home Supply Ditch a Reservoir Company - Emergency Big Dam
Diversion Structure Repair
Introduction
The Consolidated Home Supply Ditch and Reservoir Company (Company) received approval of a
$1,616,000 CWCB loan (Contract C150375) to finance the Emergency Big Dam Diversion Structure
Repair (Project) at the October 2013 Special Board Meeting. The purpose of the Project was to repair
the diversion structure in response to the September 2013 flood event in the South Platte River Basin.
During design and construction, additional flood mitigation improvements were identified. The
Company is requesting a loan increase of $240,000 to help fund these additional improvements. This is
15% of the original loan request. See attached Project Data Sheet for a location map and Project
summary.
Staff Recommendation (Board Approved Staff Recommendation on September 11, 2014)
Staff recommends the Board approve a loan increase of $242,400 ($240,000 for project costs and
$2,400 for the 1% Loan Service Fee) for a total loan not to exceed $1,858,400 ($1,840,000 for project
cost and $18,400 for the 1% Loan Service Fee) to the Consolidated Home Supply Ditch and Reservoir
Company for engineering and construction costs related to the Emergency Big Dam Diversion Structure
Repair Project from the Severance Tax Perpetual Base Fund. The loan terms shall remain 3 years of no
interest followed by 27 years at a blended interest rate of 1.95% per annum. Security for the loan shall
be in compliance with CWCB Financial Policy#5.
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