PROJ00251

• Contract/PO #: C153375
• Contractor Name: Canon City, City of
• Contract Type: Loan
• Water District: 12
• County: Fremont
• Bill Number: SB 81-439
• Loan Projects - Doc Type: Feasibility Study

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Economic Comparison of Continued Use of Present Facilities vs. Pumping
All Water to Treatment Plant.

For comparing the two alternates the equivalent uniform annual cost for each

alternate over the 20 year design period will be obtained.

For the continued use of the intake facilities and transmission line in
conjunction with the existing pump etation:

Present worth of Capital Expenditures =
Present worth of Future Operating Expenses =
Total
Equivalent Annual Cost over 20 years (@5%) =

$1,014,082

674,535

$l,688,617

$ 135,495

For construction of a year round pu~ping facility to pump all water to the
treatment plant:

Present worth of Capital Expenditures = $ 293,600
Present worth of Future Operating Expenses = 496,230
Total $ 789,830
Equivalent Annual Cost over 20 years (@5%) = $ 63,376

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By comparing the equivalent annual costs of the two alternates it can be

seen that the alternate of pumping all water is substantially less costly.

The reason being that to continue to use the existing facilities over the

next 20 years will necessitate considerable capital expenditures as well as

maintenance and operating expenses. This comparison does not take into account

the safety aspects of the situation. City employees working at the intake

facilities and working on the maintenance of the raw water line are exposed

to potentially unsafe conditions due to the very nature of the location of

these facilities in the Royal Gorge. The alternate of pumping all water to

the treatment plant would virtually eliminate the potentially unsafe working

conditions that now exist. Final recommendations regarding the disposition

of this alternate of pumping all water to the treatment plant will be made

in Section 4. . ()' ~ 0 u. 7

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