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Implementation Plan . We have outlined the following tasks as part of our implementation strategy "evaluate options, recommend action(s) by 1/2K:" . Develop and evaluate several options. . Review options with the appropriate constituencies, including the Colorado Municipal League, the Special Districts Association, the Colorado Water Congress and Colorado Counties, Inc. . Present options for consideration by the Board and interested constituencies. . Present Board recommendations to the General Assembly by January I, 2000. Discussion Staff has previously recognized the value of credit reports to evaluate collateral and ability to pay. In 1992, the CWCB staff developed two financial matrices for evaluating municipal projects [see Guidelines, Appendix A]. In August 1993, we engaged the Division of Local Government (DOLG) to evaluate the credit of a local governmental applicant (Town of Erie) on a trial basis. The idea was to see if we could develop the capability to prepare credit reports for local government applicants on a routine basis. The DOLG prepares such reports for the Colorado Water Resources and Power Development . Authority which administers the Colorado Water Pollution Control Revolving Fund. It was estimated at the time that it would take approximately 0.5 FTE at DOLG to prepare the reports for the local governmental applicants, and DOLG did not possess the institutional knowledge to prepare credit reports for private sector applicants. We also contacted Dun & Bradstreet Analytical Services to estimate the cost to prepare credit reports on other types ofloan applicants (districts, associations, ditch & reservoir companies, etc.). Once you become a subscriber (for a fee), the cost for a credit report in one of several standard formats ranged from $20 to $90 depending on the level of detail, but the Construction Fund Loan Program needs would probably require a special report at additional expense. These efforts did not proceed because the loan program did not have the FTEs or any readily available way to pay for the services of a private company. Recommendation I recommend that the Board provide feedback to the staff on the issue of evaluating the relative credit worthiness and financial need of applicants either during a brief discussion at the November meeting and/or through written comments and continued discussion at the January meeting. L:\BOARDMEM\NOV98\12c - Credit.doc .