BOARD00401

• Board Meeting Date: 3/10/1998
• Description: CF Section - General and Financial Matters - Delinquent Payments
• Board Meetings - Doc Type: Memo

.

.

.

Colorado Water Conservation Board
Department of Natural Resources
721 Centennial Building
1313 Sherman Street
Denver, Colorado 80203
Phone: [phone]
FAle 13031 866.4474

STATE OF COLORI\DO
~
WJ

Roy Romer
Governor

James s. lochhetld
Executive Diredor, DNR

Oaries Cli/e, RE.
Director, eWeB

MEMORANDUM

TO:

Colorado Water Conservation Board Members
. . I O'?
WIlham P. Stanton, P.E. '{'J~.
Chief, Project Planning and Construction Section

FROM:

DATE:

March 2, 1998

SUBJECT:

Agenda Item 16b, March 10-11, 1998, Board Meeting-
Water Project Construction Loan Program
General and Financial Matters, Delinquent Payments

Staff has identified the Town of Starkville and the Coon Creek Reservoir and Ditch Company as
being delinquent in making payments on Construction Fund loans.

. In November 1997 the Board approved a request by the Town of Starkville for a deferment
of their 1997 payment. Staff will negotiate an amendment to their contract.

. In 1989, the Coon Creek Reservoir and Ditch Company borrowed $55,000 at 5.0% interest
over 25 years to rehabilitate Coon Creek Reservoir Dams No. 1 and No.2 located in Mesa
County. The annual payment is $3,902.25 due in September. Their first payment was due
in September 1991. However, payments from the beginning were typically 6 to 9 months late.
They paid $1,500 July 1997, which was credited toward interest on their 1996 payment. Then
they paid $2,000 in January 1998 which, as instructed by accounting, was applied first to pay
off interest in 1996 and then towards interest in 1997. Thus the company is delinquent by
$1,470.81 for the principal on their 1996 payment, $l,289.34 remaining in interest on their
1997 payment and $1,544.35 for principal and on their 1997 payment. The balance due on the
loan remains at $48,632.09.

L:IBOARDMEMIMAR9819803.16B.DOC