PUB00003

• Year: 1982
• Title: Construction Fund Annual Report 1982
• CWCB Section: Finance
• Author: CWCB
• Description: Construction Fund Annual Report 1982
• Publications - Doc Type: CF Annual Report

encompassed front-end cost-sharing for th~ congressionally
authorized Narrows and. Animas-La Plata projects, it being the
Board's recommendation that $25 million be made available in' FY
82-83 for these two projects, said sum to be allocated between
the two p:l:ojects in the same proportion as the CO'st of each
project bears to the combined costs of both projects, with the
state sharing in the returns accruing to a federal project in
proportion to the state.'s financial participation. in a. project.

FOllowing the 'Boal:d's lead, the legislative leade:rsh.-ip and
the Governor conferred concerning the matter of front-end
cc;>st-sharing for federal projects. When it was ultimately
decided to seek authorization for the Colorado Water Resources
and' Power. D9velopme-nt Authority to proceed, the Board . held. a
spec.ial meetinq on January' 5, 1982, torei1iew the project
documents for' the 'Narrows arid Anitllas...r.a Plata projects pursuant
to .37-!lS-107, CRS.1913, as' amended. The Board forwarded these
documents to the .General ASSembly together with its recomm~n-
dation that the Oevelopment Authority besutnorized to proceed
lI!iththe consideration of the two projects. SJ,R 6. has, .of, '
course, been the result of this process.

Given the passage of SJR 6, six proposed projects, as
reflected in the attached' Table 1, remain for the General
~Ilsembly' s consideration at this time. . A brief summ/ilry of each
'of' these projects is attached for your information . The 'projects
for the Town of Erie and the City of Craig 'involve the '
construction. of. new.reservoirs. 'l'heremaining projects entail,
the'repair and rehabilitation of' existing facilities ~

With the exception of the :Rio Grande' Reservoir project, the
Board recommends that it be autborized to expend 'moneys. from the
construo!:ion fund in. an amount not to exceed 50 ,percent of' the
total oost of constructing a project. With' respect to the,
proposed Rio Grande Reservoirprojeot, you wi~l note that the
Boal;d recommends, contrary to PaSt practices, that 100 per cent
of the 'construction .costs of this project ($1, 134 ~500) . be
financed with moneys from the construction' fund a'nd that $619,500
of this sum be l1Qn-reiimbursa~le. .

, This project is a unique ~portunity. which the Board'
believes justifies the investment.. In addition to rehabilitation
for the benefit Of the R.io Grande R,eservoir Coinpa,ny users, the
project will make aV'ailable' to the 'State Engineer about 17,000
acre-feet of reservoir capacity to be used to agminister the 'Rio
Grande Compact. The departure from standard practice is
warranted because the state would be purchasing this reservoir
capacity for the benefit of water use~ throughout the Rio Grande
Basin.

with respect to the project for the Town of Erie, the
Board's recommendation is made expressly contingent upon the

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