BOARD02365

• Board Meeting Date: 11/22/1999
• Description: CF Section - Non-Reimbursable Projects - Closed Basin Project - Land Acquisition Additional Funds
• Board Meetings - Doc Type: Memo

As of June 1993, the entire $810,500 had been expended for the enhancement and
recreation facilities and $162,090 had been expended to the land Board, leaving a balance of .a
$118,410. The expenditures to the Land Board were only used for land purchases in Stages 1 .
and 2 of the 5 Stage Closed Basin project. Almost 3,000 acres remains to be purchased from
the Land Board in project Stages 3-5 at the contractual (Contract #C153421 Amended August
28, 1992) amount of $85/acre.

Discussion

The BOR is contractually required to provide legal descriptions and as-built drawings
of the Closed Basin project right-of-way requirements to the CWCB I.or purposes of right-of-
way acquisition from the State Land Board and subsequent assignmc..t.of the right-of-way to
the BOR. From the preliminary legal descriptions provided by the BOR, it appears that almost
3,000 acres remains to be purchased at this time. This number could change however in the
next several months when the BOR finalizes their as-built drawings.

Based on the $85/acre cost agreement with the State Land Board, it appears that the
appropriated funds for completion of this project is approximately $137,000 short. Given the
expenditures to date for the right-of-way in Stages 1 and 2 it seems that any future
_appropriations should include a contingency amount for cost overruns. A clause allowing this
specific appropriation to be increased or decreased as may be justified by reasons of changes
made in the project plans if those changes are required by final engineering drawings and
specifications or by Federal or State requirements should also be included in the appropriation.
This clause would preclude the need to return to the legislature for further appropriations in
the event that the final right-of-way drawings showed additional acquisition requirements. A
similar clause is now typically included in all CWCB Construction Fund authorizing
legislation.

e.

The funding request would therefore be calculated based on tht following:

Estimated funds required = 3,000 acres x $85/acre=
Plus 20% Contingency = $255,000 x .20 =
Total estimated funds required
Less funds currently available
Total Requested Appropriation Increase

$255,000
$ 51.000
$306,000
$118.000
$188,000

Recommendation

Staff recommends that the Board consider a motion to recommend to the General
Assembly that:

1. The balance in the Closed Basin project appropriation in the CWCB Construction Fund be
increased by the amount of $188,000.

2. A clause be specifically added to the appropriation that the amount appropriated may be
increased or decreased as may be justified by reasons of changes made in the project plans
if those changes are required by final engineering drawings and specifications or by Federal
or State requirements.

_.