C150341 Increase 1 Approval letter

Home Browse Search

DNR COLORADO 1313 Sherman Street John Hickenlooper,Governor Denver, CO 80203 CO 11. Colorado Water Mike King, DNR Executive Director Conservation Board P(303)866-3441 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 V 0,-- November 19-20, 2014 Board Meeting (Updated on November 21, 2014) AGENDA ITEM: 28a - Change to Existing Loans Pisgah Reservoir and Ditch Company- Mount Pisgah Dam/Wrights Reservoir Outlet Works Rehabilitation Project Introduction The Pisgah Reservoir and Ditch Company (Company) received approval of a $161,345 CWCB loan (C150341) and a matching $161,345 WSRA grant (C150505) to finance the Mount Pisgah Dam/Wrights Reservoir Outlet Works Rehabilitation Project (Project) at the September 2012 CWCB Board Meeting. The purpose of the Project is to make improvements to the Pisgah Dam outlet works, per the State Engineer's Office (SEO) direction, to avoid a restriction order. The loan and grant together funded approximately 90% of the Project's estimated cost of $362,690. During final engineering, it was determined that the cost to rehabilitate the dam has increased and the current estimated cost is now $745,000. The Company is requesting a loan increase of $382,310 to fund these additional costs. See attached Project Data Sheet for a location map and Project summary. Staff Recommendation(Board Approved Staff Recommendation on November 20,2014) Staff recommends the Board approve a loan increase of $386,133 ($382,310 for Project costs and $3,823 for the 1% Loan Service Fee) for a total loan not to exceed $549,091 ($543,655 for Project cost and $5,437 for the 1% Loan Service Fee) to the Pisgah Reservoir and Ditch Company for engineering and construction costs related to the Mount Pisgah Dam/Wrights Reservoir Outlet Works Rehabilitation Project from the Construction Fund. The loan terms shall remain at 30 years at a blended interest rate of 1.75% per annum. Security for the loan shall be in compliance with CWCB Financial Policy#5. oF'Coto P Interstate Compact Compliance •Watershed Protection • Flood Planning a Mitigation • Stream a Lake Protection T6,Water Project Loans Et Grants •Water Modelin g • Conservation Et Drought Plannin g •Water Supply Planning I ''11876''