WSP04510 - Laserfiche WebLink

Home Browse Search

C"'? <o::t' C"'? CHAPTER VII FINANCIAL ANALYSIS Sunmary of costs. The annual costs of the Silt project are sum- marized in the following tabulation. Annual cost Construction costs $ 87,200 Operation, maintenance, and replacement costs 5,850 Assignment of Colorado River Storage project costs 13,600 Total $106,650 Benefi t-Cost Ratio The total annual benefits ($172,810) would compare with the total annual equivalent costs ($106,650) in a ratio of 1.62 to 1.00. Thus each dollar expended for project development and recreational facilities would result in a National benefit of $1.62. Cost Allocations and Repayment i :! Of the total construction cost (estimated at $3,190,000 exclusive of nonreimbursable expenditures from the Colorado River Development Fund) approximately $73,600 has been tentatively allocated to fish and wildlife conservation on a nonreimbursable basis. This allocation represents the capitalized value of the estimated annual benefit to fish and wildlife conservation over a 100-year period at 2.5 percent interest. The remain- ing portion of the construction cost (estimated at $3,116,400) and all of the operation, maintenance, and replacement costs (estimated at $6,250 annually over a 50-year repayment period) are allocated to irri- gation. The irrigation allocation of construction costs would be reim- bursable without interest in accordance with reclamation law. The following tabulation summarizes the cost allocations. , "I Operation, maintenance, Construction cost and replacement costs Irrigation $3,116,400 7J . 600 $6,250 Fish and wildlife conservation Total ~3,l90,000 $6,250 51