CT2017-914 Approval Letter

• Contract/PO #: CT2017-914
• Contractor Name: Dixon Canon Ditch and Reservoir Company
• Contract Type: Loan
• Loan Projects - Doc Type: Approval Letter

Dixon Canon Ditch and Reservoir Company Agenda Item 21a
May 18-19, 2016 Board Meeting(Updated May 20, 2016)
Page 3 of 4
Alternative 2 - Remove and Reconstruct the Dam: This alternative considered reconstructing 180-
feet of the 975-foot dam and replacing the outlet pipe with a new, larger pipe. The estimated cost of
was $975,000 making this alternative more than three times more expensive than Alternative 3.
Selected Alternative 3 - Seepage Collection System Installation: This alternative considered the
placement of a seepage filtration and collection blanket on the downstream face of the existing dam.
In addition to the seepage control, approximately 70-feet of outlet pipe will be added as an extension
to the current outlet pipe. A closed conduit meter will be installed to replace an existing Parshall
flume. The estimated cost is $309,000.
TABLE 2: ESTIMATED PROJECT COST
Task Cost
Construction $208,300
Contingency (approximately 20%) $41,700
Design Engineering $29,500
Project Management and Administration $29,500
Total $309,000
Permitting: All easements and rights-of-way have been secured. The Company expects to be exempt
from 404 permitting by statutory exemption 33 CFR Section 323.4(a)3.
Schedule: Final design and SE0 approval of plans are expected mid-summer 2016, with construction
occurring in fall of 2016. A six-month construction window is expected.
Financial Analysis
The Company qualifies for a blended interest rate of 2.55% for a 30-year term (Ownership: 17%
Agricultural, and 83% Middle-Income Municipal). Table 3 provides a summary of the Project's financial
aspects.
TABLE 3: FINANCIAL SUMMARY
Total Project Cost $309,000
Borrower Match $30,900
CWCB Loan Amount $278,100
CWCB Loan Amount (Including 1% Service Fee) $280,881
CWCB Annual Loan Payment $13,509
CWCB Annual Loan Obligation (Including Reserve Requirement) $14,860
Number of Shares 1,000
Annual Loan Obligation per Share $14.86/share
Previous Assessment per Share (2013 Ft 2014) $10.00/share
Current Assessment per Share (2015+) as increased for Project $15.00/share
Creditworthiness: The Company has no existing debt.