C150063 Feasibility Study

• Contract/PO #: C150063
• Contractor Name: Jackson Lake Reservoir & Irrigation Company
• Contract Type: Loan
• Water District: 1
• County: Morgan
• Bill Number: SB 94-29
• Loan Projects - Doc Type: Feasibility Study

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with this benefit include loan repayment, annual cost of the $300,000 cash payment,
and annual operations and maintenance costs to operate the Company. These
agricultural related costs and benefits of the project are summarized in Table 14.

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According to Mr. Mike Sevrin, Park Manager at Jackson Lake State Park,
recreational use has averaged approximately 300.000 visitor days per year for the last
several years, excluding the year 2000 when the park w~s locked out of the lake for a
portion of the summer and the lake was drained early in' the year due to the unusually
large dry year water releases. Annual revenue from gate admission, camping and
concessions has been about $280,000. The estimated annual expense to. operate the
park is $400,000. The CDPOR utilizes a value of approximately $131 p~r visitor-day
for the value of the recreational use and spinoff economy due to visitation at the park,
equating to approximately $39.300,000 in annual revenue benefit produced by the
park. It is conservatively estimated that loss of Jackson Lake Reservoir storage wouW ,
reduce park visitations by at least 50% over recent visitations. These park-related costs
and benefits of the project are summarized in Table 14.

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Table 14 provides a benefit-cost evaluation for the project. The estimated
benefit. cost ratio for the agricultural component of the project is 2.2 and for the parks
component is 39.4. Total project benefit-cots ratio is 30.2. All benefits exceed project
cost.

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