PROJ00237

• Contract/PO #: C153400
• Contractor Name: Larkspur, Town of
• Contract Type: Loan
• Water District: 8
• County: Douglas
• Bill Number: SB 79-537
• Loan Projects - Doc Type: Feasibility Study

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The plant is new, unused, and has a capacity of 100,000 gpd (gallons per day).

The elevation difference between the plant and the sewer collection system

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outfall at Larkspur is not sufficient for gravity flow. A lift station and

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11,000 feet of force main would have to be constructed by Larkspur to convey

the wastewater to the_plant site.

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To compare the costs of Alternatives 2 and 3, it is necessary to convert

the PPWS service charges to a present worth and then add the cost of an 11,000

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foot force main. Both alternatives will require a lift station, so its cost

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is not included in the comparison.

The criteria and assumptions used to determine the present worth of the

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District's wastewater service charges are:

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1. Current wastewater service charges for outside users will
remain consistent for twenty years at $21 per month per tap.

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2. Annual Larkspur wastewater bill will be:
$21.00 x 12 x 51 connections = $12,852.00

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3. Interest rate and term similar to a bond issue at
77. and 20 years.

The present worth of buying wastewater treatment services from the PPWS

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District for twenty years at the current rates and for the present number of

connections is $136,000. To this must be added approximately $84,000 for the

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construction (including contingencies, inflation, and services) of the required

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force main. The minimum equivalent cost for this treatment alternative is

$220,000. The actual equivalent cost is probably higher since the service

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charges will probably increase during the next twenty years, the number of

Larkspur connections is projected to increase by fifty percent, and Larkspur's

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project financing will be through grants and lower interest rate loans.

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