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Last modified
1/26/2010 12:50:21 PM
Creation date
10/11/2006 11:43:28 PM
Metadata
Fields
Template:
Water Supply Protection
File Number
8220.111.O
Description
Central Utah Participating Project
State
UT
Basin
Colorado Mainstem
Date
9/9/1985
Author
US Gen. Accounting
Title
Report to the Honorable Howard M. Metzenbaum US Senate Bureau of Reclamation's Central Utah and Central Valley Projects Repayment Arrangements
Water Supply Pro - Doc Type
Report/Study
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<br />APPENDIX I <br /> <br />APPENDIX I <br /> <br />$302 million, of which $177.6 million was allocated to irrigation <br />water, $76.3 million to M&I water, and $48.2 million to power. <br />The remaining project costs were for nonreimbursable purposes <br />such as fish and wildlife, flood control, and recreation. <br /> <br />The Central Utah Water Conservancy District was organi2ed in <br />1964 under state law to contract with the federal government for <br />water to be supplied by the Central Utah project. The district's <br />repayment obligation for the Bonneville Unit is outlined in a <br />contract signed in 1965 between the district and the federal <br />government. The district obligated itself to repay ($130.7 <br />million) all of the costs allocated to M&I water and 31 percent <br />of the costs allocated to irrigation water. <br /> <br />Repayment for M&I water would come from charges to M&I users <br />($57.2 million) and an ad valorem (percentage of value) tax <br />($19 million) on property owners within the district's <br />boundaries. An irrigation repayment obligation of $54.4 million <br />(31 percent of $177.6 million) was to be repaid from ad valorem <br />property taxes ($38 mill'ion) and charges to irrigation water <br />users based on their ability to pay ($16.4 million). <br /> <br />In addition to the $130.7 million obligation, a 20-percent <br />escalation factor was included for potential cost increases, <br />project modifications, and increases or adjustments in water <br />supply. The escalation factor increased the maximum repayment <br />obligation to $156.8 million. The Bureau added the entire <br />escalation factor to the M&I repayment obligation, while leaving <br />the irrigation obligation constant at $54.4 million. Thus, <br />$102.4 million became the M&I repayment obligation, or ceiling, <br />beyond which funds for M&I costs could not be spent. <br /> <br />The remaining irrigation costs ($123.2 million) and all of <br />the commercial power costs ($48.2 million) were to be repaid by <br />power revenues from the Bonneville Unit ($59.7 million) and the <br />Colorado River Storage project ($111.7 million). <br /> <br />Along with a delayed completion, Bureau estimates show that <br />the Bonneville Unit's reimbursable costs have increased from <br />$302 million to $1.852 billion. Costs allocated to irrigation- <br />and M&I water supply are now estimated at $1.556 billion <br />(compared with the $254 million shown in the 1964 definite plan <br />report). <br /> <br />4 <br />
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