C153664 Engineering report

• Contract/PO #: C153664
• Contractor Name: Fort Lupton, City of & Fort Lupton Water Utility Enterprise
• Contract Type: Loan
• Water District: 1
• County: Weld
• Bill Number: HB 93-1273
• Loan Projects - Doc Type: Feasibility Study

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In addition, FmHA has requested clarification concerning the following two water
utility operation and maintenance expense items:

. The General Fund transfers that had been shown in the previous
information that has been submitted to FmHA were for administrative
and billing services provided to the water utility. These expenses are
now shown as administrative and billing costs rather than General Fund
transfers. Refer to Line 39 of Table 4.

. The "ICWCD operation and maintenance costs shown on Line 4S of
Table 4 represents NCWCD's estimate of Fort Lupton's share of the
annual operation, maintenance, and administrative expenses related to
the raw waterline. Each participant in the Southern Water Supply
Project will share the operation, administrative, and billing costs related
to the raw waterline in direct proportion to their percentage of exclusive
capacity rights in the pipeline.

D. Thermo Tax Revenues
FmHA is requiring that the Fort Lupton City Council pass a resolution
pledging the Thermo property tax revenues to the proposed water supply and
treatment project. In November 1993, the voters of Fort Lupton approved a
referendum allowing the City to dedicate the Thermo property tax revenues to water
projects, therefore, the City Council will be able to pass such a resolution without
voter approval. After the City receives FmHA's letter of conditions, the City
Council will take action on the resolution. It is important to note at this time that
the value of the Thermo tax revenue is still an estimate at this time. The Thermo
property has not yet been accessed by the State of Colorado and the actual tax will
not be known until later this year.

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