BOARD01779

• Board Meeting Date: 1/26/2000
• Description: CF Section - Special Purpose Accounts - Colorado River Recovery Program Loan Account - Additional Funds
• Board Meetings - Doc Type: Memo

Discussion

The CRRPLA will be used to make loans to the Western Area Power
Administration (WAPA) as outlined in currently proposed federal legislation 8,1544 and
H.R.2348. The loans will be paid back from power revenues collected by the W AP A
beginning in fiscal year 2012.

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The CRRPLA has proven to be an effective tool for the State in reserving the
required funds necessary for these federal loans without impacting the annual availability
of funds for Colorado water projects. The need to have loan funds available to the
W AP A in a timely manner is critical to the success of the Colorado River Recovery
Program.

The amount proposed to be transferred to the account is determined based on the
Construction Fund balance available after the Board has considered the list of
recommended modifications to previous loan authorizations, new construction project
loans, and other non-reimbursable expenses in 2000. The total amount available
therefore for the transfer to the CRRPLA in FY 2000 is $4,500,000.

If the proposed fund transfer is approved, the CRRPLA balance would be
$11,500,000.

Initial Account Appropriated in 1998
Additional Appropriation in 1999
Total Account Balance to date
Amount Recommended to be transferred in 2000
Account Balance After 2000 Appropriation
Account Balance Goal per federal legislation
Remaining Future Transfers

$ 2,000,000
$ 5.000,000
$ 7,000,000
$ 4.500.000 <<<<<
$11 ,500,000
$17.000.000
$ 5,500,000

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Recommendation

Staff recommends that the Board consider a motion to recommend to the General
Assembly that the balance in the Colorado River Recovery Program Loan Account in the
CWCB Construction Fund be increased by a transfer of $4,500,000 from unreserved cash
in the Construction Fund.

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Jan2000.15bmemo

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