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<br />Pinewood Springs Water District <br />July 20,21 ,2004 <br /> <br />Agenda Item 14e <br /> <br />several years has caused PSWD to conclude that the Little Thompson River cannot be considered <br />as a reliable and continuous supply of raw water. <br /> <br />In addition, in July 2002, a major fire consumed thousands of acres in the Big Elk area, <br />approximately 7 miles upstream on the Little Thompson River from Pinewood Springs. A <br />considerable amount of ash and other fire related debris was deposited in the river from surface <br />water runoff. This ash and debris eventually made it downstream to the PSWD infiltration gallery <br />causing severe plugging, and contaminated the micro-filtration membranes used in the treatment <br />process, adversely affecting plant capacity. This continues to be a problem. <br /> <br />In May 2003, McLaughlin Water Engineers completed a Planning Document Study for Raw Water <br />Storage and Treatment, that evaluated several alternative reservoir sites, and also evaluated an <br />upgrade of the capacity of the existing water treatment plant to be able to accommodate full build- <br />out of the subdivision. In July 2003, the PSWD Board unanimously chose the reservoir site known <br />as Crow Lane #1 (35' high dam) as the preferred plan. In summary, the PSWD has identified the <br />following needs: <br /> <br />1. Construct a raw water storage reservoir to access when the river is not meeting demand, <br />and secure a reliable source of water to fill the reservoir. <br />2. Increase the size of existing treatment facilities to meet future delivery demands (currently <br />36 gpm constant treatment rate with 50 gpm needed at build-out), by adding an identical <br />micro-filtration unit. <br />3. Address the issue of impacts of the Big Elk fire, necessitating modifications to the infiltration <br />gallery. <br />4. Address ongoing distribution line problems by replacing approximately 4000 feet. <br /> <br />Election - On November 4, 2003 PSWD held an election to increase debt by not more than <br />$3,000,000 in principal amount, for the purpose of financing a raw water storage reservoir and <br />related pumping improvement, replacement of distribution mains, acquisition of water rights, and <br />increasing treatment capacity. Approval was given to increase property taxes by an estimated <br />$223,840 in 2004, and as necessary in future years for debt repayment. The question passed 151 <br />votes in favor to 40 opposed (79% approval). <br /> <br />DWRF Loan - On June 4, 2004, the Colorado Water Resources & Power Development Authority <br />(CWRPDA) approved a $875,625 direct loan for the project, with terms of 20 years at an interest <br />rate of 3.5%. <br /> <br />Feasibilitv Studies <br /> <br />PSWD, in conjunction with McLaughlin Water Engineers, has completed a feasibility study in <br />accordance with CWCB guidelines. The study includes an assessment of water supply alternatives <br />to meet current and future demands. <br /> <br />Pinewood Sprinas Water District <br /> <br />PSWD is a Title 32 Special District, and was created by decree of the Larimer County Court on April <br />19, 1978, when the water system was taken over from the original developer. In 2003 the <br />assessed valuation of the PSWD was $6,924,000 and the mill levy was 7.520. The mill levy <br />typically raises about $49,000 in revenue annually that is used to service long-term debt. In 2004, <br />following the election, the mill levy was raised to 10.500. PSWD is governed by a 5 member Board <br />of Directors. At present, the officers are Mr. Andy Sharp, President, Mr. Mark Upton, Vice- <br /> <br />Page 2 of 7 <br />