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<br />, <br /> <br />, <br /> <br />e <br /> <br />e <br /> <br />e <br /> <br />COLORADO WATER CONSERVATION BOARD <br /> <br />Town of Ignacio <br />Landscaping Water Supply <br />January, 1992 <br /> <br />Introduction <br /> <br />The Town of Ignacio is a statutory town in Southwest Colorado and it has <br />applied for a loan from the CWCB Construction Fund to install a municipal raw <br />water irrigation system. This proposed system would supply raw water to each <br />residential lot in town for lawn and garden irrigation. <br /> <br />Problem <br /> <br />Currently about 65 percent ofIgnacio's total annual water usage is for outside <br />irrigation and the remaining 35 percent is used inside. All of the Town's water is <br />treated water which is purchased from the Southern Ute Indian Tribe and the Town <br />felt that it could save money by using raw water for all outside irrigation. <br /> <br />Proposed Project <br /> <br />Davis Engineering of Del Norte, Colorado prepared a feasibility study for <br />Ignacio addressing the raw water irrigation system as well as other street and <br />drainage improvement projects. This study showed that the cost of water from a <br />separate raw water system would be about one dollar per thousand gallons. <br />Subsequent review of the cost for this separate system shows that the cost for this <br />water would range from sixty-five to eighty-five cents per thousand gallons. As the <br />current cost of treated water from the Tribe is $1.25 per thousand gallons, this <br />appears to be a viable project. <br /> <br />Ignacio has requested to perform the construction for this project with its own <br />maintenance crew but there is a question about the legality of this so this matter has <br />been referred to the Attorney General's Office for an informal opinion. <br /> <br />The estimated cost of this project is $180,000. <br /> <br />Proposed Financing <br /> <br />The Town of Ignacio is requesting a $180,000 loan for this project. The Town <br />will increase its water charges by 10 percent to fund this project (if approved); <br />however, the Town currently has a $227,000 reserve in its Gas Fund which it will <br />pledge, by ordinance, as security for this project. If the $180,000 loan is approved <br />the Town would have to repay CWCB $10,490.40 per year for 40 years for a total <br />repayment of $419,616.00. <br />