Laserfiche WebLink
<br />Town of Kremmling <br />November 25-26, 2002 <br /> <br />Agenda Item 20d. <br /> <br /> <br />Table 4. Financial Ratios <br /> <br />e <br /> <br />Financial Ratio Without the Droiect With the Droiect <br />Operating Ratio (revenue/expense) 135% (strong) 128% (strong) <br />weak: less than 100% <br />average: 100% - 120% <br />strona: oreater than 120% <br />Debit Service Coverage Ratio 152% (strong) 129% (strong) <br />(revenues-expenses)/debt service <br />weak: less than 100% <br />average: 100% - 125% <br />strona: oreater than 125% <br />Cash Reserves to Current Expense 44% (weak) 40% (weak) <br />weak: less than 50% <br />average: 50% - 100% <br />strong: areater than 100% <br />Monthly Residential Water Bill $25.00 (strong) $33.60 (average) <br />weak: greater than $60 <br />average: $30 - $60 <br />strona: less than $30 <br /> <br />As security for the loan the Town will pledge revenues backed by rate covenant. (This <br />security is in compliance with CWCB Loan Policy #5 (Collateral). <br /> <br />Recommendation <br />Staff recommends a Small Project Loan in a maximum amount of $1 million to the Town <br />of Kremmling, acting by and through its water activity enterprise. The loan is for up to a <br />75% of the costs of a project to construct a supplemental water supply system for the ., <br />Town. The recommended loan terms are 30 years at 4.25%. As security for the loan, <br />the Borrower will pledge revenues in accordance with CWCB Loan Policy #5. <br /> <br />Staff further recommends that final approval of the loan be conditioned upon all other <br />standard contracting provisions of the cweB. <br /> <br />cc: Don Van Wormer, Town Manager <br />Linda Bassi, AGO <br /> <br />Attachment <br /> <br />C:\Kremmling 1102 memo <br /> <br />L:\wctrans\boardmem~nov02\20d Kremmling <br /> <br />e <br /> <br />4 <br />