Laserfiche WebLink
<br />'" <br />\ <br /> <br />Upper Arkansas Water Conservancy District <br />November 9, 2004 <br />Page 4 of 4 <br /> <br />Agenda Item 14c <br /> <br />Table 2 shows the Financial Ratios for the District. Annual operating cost per acre-foot is weak, .' <br />however, all other ratios are average to strong. <br /> <br />Table 2. Financial Ratios <br /> <br />Financial Ratio Without Project With Project <br />Previous Years Future Years. <br />Operating Ratio (revenues/expenses) 215% 257% <br />I weak: <100% 1,1 average: 100%.120% l'lstrong: >120%1 (Strong) (Strong) <br />Debit Service Coverage Ratio 396% 229% <br />(revenues-expenses)/debt service <br />I weak: <100% I, raveraae: 100% -120% 1- 1 strano: >120%1 (Strong) (Strong) <br />Cash Reserves to Current Expenses 200% 93% <br />l weak: <50% 1- I averaQe: 50% . 100% 1- ~ strong: >100%1 (Strong) (Average) <br />Annual Operating Cost per Acre-Ft. (200 AF).. $1,940 $2,770 <br />!weak: >$20 I-I average: $10 - $20 I-I strong: <$101 (Weak) (Weak) <br /> <br />. Ratios are analyzed for year 2008 (based on best possible completion schedule) <br />.. Cost per acre-foot is based on consumptive use for augmentation plan <br /> <br />Collateral: As security for this loan, the District will pledge revenues backed by a rate covenant and <br />annual financial reporting, This'security is in compliance with CWCS Loan Policy #5 (Collateral). <br /> <br />. <br /> <br />Staff Recommendation <br /> <br />Staff recommends a loan not to exceed $3,009,800 ($2,980,000 for project costs and $29,800 for the <br />1 % Loan Service Fee) to the Upper Arkansas Water Conservancy District acting by and through the <br />District's Water Activity Enterprise Fund for engineering and construction costs associated with the <br />North Fork Reservoir Rehabilitation and Expansion Project, from the Severance Tax Trust Fund <br />Perpetual Sase Account. The terms shall be based on a blended rate of 3.0% per annum for a 30-year <br />term, Final approval of the loan shall be conditioned upon all standard contracting provisions of the <br />CWCS Loan Program. Security for the loan shall be collateral in compliance with CWCS Loan Policy <br />#5. <br /> <br />Email copy: <br /> <br />Ralph (Terry) Scanga, General Manager <br />Chad Henderson/Amy Stengel, AGO <br /> <br />Attachment: Water Project Construction Loan Program - Project Data Sheet <br /> <br />. <br />