BOARD02509

• Board Meeting Date: 7/9/1992
• Description: Agenda or Table of Contents, Minutes, Memos. Partial.
• Board Meetings - Doc Type: Meeting

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COLORADO WATER CONSERVATION BOARD
Department of Natural Resources
721 Slate Centennial Building
1313 Sherman Street
Denver, Colorado 80203
Phone (303) 8&6-3441
FAX [phone]

MEMORANDUM

STATE OF COLORADC
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Roy Romer
Governor

FROM:

Members, CWCB
Sara Duncan ~ OU/~ ({VI1

June 26, 1992

S,1r,l Duncan
Deputy Director

TO:

DATE:

SUBJECf:

Agenda Item lOb, July 9-10, 1992, Board Meeting--
Executive Session
Clinton Reservoir Contract

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As you know SB 87 authorized payment for Clinton Reservoir in the amount of
$5,135,000 to be lent to Summit County and Winter Park in a 10 year payback (6-1/2 percent
for ski areas and 5 percent for public entities) and 5 percent payback for Grand County
entities who were authorized to borrow $3,265,000. A footnote was appended to this portion
of the bill which states, "The monies for this project [Clinton Gulch] shall not be made
available by the board [CWCB] until the board has in its sole discretion determined the
project is technically and financially feasible."

On June 19 staff received a copy of a letter to Jennifer Gimbel along with copies of
the Articles of Incorporation for the Clinton Ditch and Reservoir Company, the bylaws, the
agreement for purchase of the reservoir from the Climax Molybdenum Company, the Clinton
Reservoir - Fraser River Purchasers' Agreement, the June 17 draft of the Denver Water
Board-Clinton Reservoir-Fraser River Water Agreements, and the environmental assessment
for Clinton Reservoir dated November 15, 1991.

The Climax agreement calls for closing on the reservoir purchase no later than
September 18, 1992, although interest may accrue from as early as August 7, 1992.
Therefore, it is critical that financing for the project proceed expeditiously.

The Grand County interests, excluding Winter Park, are no longer a part of the
purchase group for the reservoir and will not borrow money from the construction fund.
Winter Park will be treated the same as the Summit County Ski Areas. The town of
Silverthorne, which is a reservoir purchaser, will not be financing any part of its share of the
purchase price, and therefore will not be contracting with CWCB, Therefore, the only
contract or contracts to be executed will be with the individual entities from Summit County
. and Winter Park as follows: