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HomeMy WebLinkAboutMemo - Mail Packet - 12/16/2014 - Memorandum From Jon Haukaas And Lance Smith Re: Regionalization Study Phase 2 Final Report2&72%(5 PHASE Imagine Immm Imm Imag aagggg ag aggin in innnneee ee e the th tth thhhhee eee result re reeeesu ssuu suuuuuuulttt 2 FINANCIAL ANALYSIS REPORT Regional Water Treatment Solutions for the Tri-Districts and City of Fort Collins Imagine the result Regional Water Cooperation Committee Regional Water Treatment Solutions for the Tri-Districts and City of Fort Collins Technical Memorandum – Financial Analysis October, 2014 Technical Memorandum Phase 2 – Financial Analysis Prepared for: RWCC Prepared by: ARCADIS U.S., Inc. 600 S. Cherry Street Suite 600 Denver Colorado 80246 Tel 303 316 6500 Fax 303 316 6599 Our Ref.: 04141801.0000 Date: October, 2014 In association with: Raftelis Financial Consultants, Inc. Means Consulting, LLC Spencer, Fane & Grimshaw, LLP This document is intended only for the use of the individual or entity for which it was prepared and may contain information that is privileged, confidential and exempt from disclosure under applicable law. Any dissemination, distribution or copying of this document is strictly prohibited. Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins 1. Executive Summary 1 1.1 Scope of Work 2 1.2 Summary of Non-Financial Analysis Results 3 1.3 Summary of Financial Analysis Results 4 1.4 Recommendations 6 2. Introduction / Background 8 2.1 Phase 1 Scope of Work and Summary 8 2.2 Phase 2 Scope of Work 10 2.2.1 Task 2.1: Conduct Data Development and Analysis 10 2.2.2 Task 2.2: Conduct Workshop 2 – Preliminary Findings Workshop 11 2.2.3 Task 2.3: Prepare TM 2 - Summary of Phase 2 with Recommendations 12 3. Data Development and Analysis 13 3.1 Demand Projections 13 3.2 Financial Analysis Model - eForecast 16 3.3 Scenarios 16 3.4 Analysis and Comparison 19 4. Financial Analysis Results 22 4.1 Key Assumptions for Status Quo and Collaboration Scenarios 22 4.1.1 Plant Investment Fee Revenues (PIF) 22 4.2 Scenario Analysis and Results 23 4.2.1 Scenario 1 - Status Quo 23 4.2.1.1 Additional Assumptions for Status Quo Scenario 23 4.2.1.2 Annual Costs for Status Quo Scenario 24 4.2.1.3 Net Present Value for Status Quo Scenario 26 4.2.2 Scenario 2 - Collaboration 27 4.2.2.1 Additional Assumptions for Collaboration Scenario 27 4.2.2.2 Annual Costs for Collaboration 29 4.2.2.3 Net Present Value for Collaboration 30 i Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins 4.2.3 Scenario 3 – Modified Collaboration 30 4.2.3.1 Additional Assumptions for Collaboration Scenario 31 4.2.3.2 Annual Costs for Modified Collaboration 32 4.2.3.3 Net Present Value for Collaboration 32 4.3 Comparison of Status Quo and Collaboration Scenarios NPV Costs 33 4.4 Sensitivity Analysis 34 5. Summary of Non-Financial Analysis Results 37 5.1 Non-Financial Attributes 37 5.2 Organizational Model Case Studies 38 5.2.1 Case Study 1 - Platte River Power Authority (Title 29) 38 5.2.2 Case Study 2 - South Metro Water Supply Authority (Title 29) 39 5.2.3 Case Study 3 - Southeast Public Improvement Metropolitan District (Title 32) 40 5.2.4 Other Entities Considered 1 - Water Conservation District 40 5.2.5 Other Entities Considered 2 - Title 29 Intergovernmental Agreement 41 5.2.6 Summary of Governance Options 41 6. Recommendations 43 Tables Table 1 Non-Financial Benefits of Developing a Regional Solution 3 Table 2 Net Present Value Cost Comparison ($1,000,000’s) 6 Table 3 Phase 1 Highlight of Goals and Attributes of a Regional Collaboration Scenario 9 Table 4 Current and Projected Peak Day Water Demands 14 Table 5 Capacity Expansions (MGD) Summary 24 Table 6 Status Quo Scenario - 2013 Facility O&M 24 Table 7 Status Quo Scenario - 2014 SCFP O&M 25 Table 8 Status Quo Scenario - Facilities and SCFP Capital Improvement Plan Costs1 26 Table 9 Status Quo Scenario - 2015 – 2045 Costs and Net Present Value 27 ii Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins Table 10 Collaboration Expansions (MGD) Summary 28 Table 11 Collaboration Scenario - Dedicated Plant Value 28 Table 12 Collaboration Scenario 2 and Modified Collaboration Scenario 3 - Plant Allocation and Buy-In Value 29 Table 13 Collaboration Scenario 2 - Capital Improvement Plan 30 Table 14 Collaboration Scenario 2 - 2015 – 2045 Costs and Net Present Value 30 Table 15 Collaboration Expansions (MGD) Summary 31 Table 16 Modified Collaboration Scenario 3 - Capital Improvement Plan 32 Table 17 Modified Collaboration Scenario – 2015 - 2045 Costs and Net Present Value 33 Table 18 Net Present Value Cost Comparison of Status Quo, Collaboration and Modified Collaboration Scenarios ($1,000,000’s) 33 Table 19 Net Present Value Cost Comparison of Status Quo, Collaboration and Efficiency Factor Collaboration Scenario Sensitivity Analysis 35 Table 20 Net Present Value Cost Comparison of Status Quo and Collaboration Scenarios under Base Case and $5.00 Greenfield Plant Sensitivity 36 Table 21 Net Present Value Cost Comparison of Status Quo and Collaboration Scenarios under Base Case and 3% Discount Factor Sensitivity 36 Table 22 Non-Financial Benefits of Developing a Regional Approach 37 Table 23 RWCC Deal Breakers and Governance Options 42 Figures Figure 1 Current and Projected Peak Day Water Demands 15 Figure 2 Current and Projected Annual Water Demands 15 Appendices A Workshop 2 Discussion Summary B Capital Improvement Plans C Budget Information and Annual O&M and Capital Costs D Status Quo and Collaboration Annual Costs and Net Present Value E Modified Collaboration Annual Costs and Net Present Value F Case Studies and Governance Model Information iii Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins List of Units, Abbreviations, and Acronyms City the City of Fort Collins CIP Capital Improvement Plans C.R.S. Colorado Revised Statues DCWRA Douglas County Water Resource Authority eForcast Financial Model ELCO East Larimer County Water District ENR Engineering News Record Facility Fort Collins Water Treatment Facility FCLWD Fort Collins – Loveland Water District IGA Inter-Governmental Agreement JSPIA Joint Southeast Public Improvement Authority MG Million Gallons MGD Million Gallons per Day NPV Net Present Value NWCWD North Weld County Water District O&M Operation and Maintenance PIF Plant Investment Fee PRMPA Platte River Municipal Power Association Project Team ARCADIS US and sub-consultants PRPA Platte River Power Authority R&R Repair and replacement RWCC Regional Water Cooperation Committee SCFP Soldier Canyon Filter Plant SFE Single Family Equivalent SMWSA South Metro Water Supply Authority SPIMD Southeast Public Improvements Metropolitan District Study Board South Metro Water Supply Study Board TABOR Taxpayers Bill of Rights, Colorado Constitution TM Technical Memorandum TMA Transportation Management Association iv Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins 1. Executive Summary The City of Fort Collins (City) and the Tri-Districts are members of the Regional Water Cooperation Committee (RWCC or the Committee). The City owns and operates the City of Fort Collins Water Treatment Plant (Facility) with a rated production capacity of 87 million gallons per day (MGD) serving land within the City boundary. The Tri-Districts own and operate the Soldier Canyon Filter Plant (SCFP) with a rated capacity of 45 MGD serving lands both within the City boundary and lands in the general vicinity of the City boundary including North Weld County Water District. It is estimated that there are total of about 41,227 water service connections within the City boundaries of which about 30,074 (72.9%) are on the City distribution system, 8,587 (20.8%) are on the Fort Collins Loveland Water District, 2,566 (6.2%) are on the East Larimer County Water District distribution system and there are no service connections within the City boundaries on the North Weld County Water District distribution system. The Facility has water production capacity in excess of the City’s long term needs (greater than 30 years); excess capacity totaling approximately 15 MGD. The Tri-Districts have total water production needs in the long term (greater than 30 years) estimated to be approximately 112 MGD. RWCC is exploring the potential for a regional water treatment Collaboration Scenario that would bring a more efficient, long-term and cost effective strategy to the management of both plants that will not only benefit their customers but benefit the Fort Collins and Tri- Districts area beyond the next 30 years. The investigation is limited to the two water treatment plants and does not include the City and Tri-Districts water resources or transmission systems. In order to further evaluate this opportunity, RWCC retained ARCADIS US (Project Team1). The approach included three phases: Phase 1 - Foundation of Regionalization Project, Phase 2 - Financial Analysis, and (if authorized by RWCC) Phase 3 - Strategic Implementation Development of the project. This is the Executive Summary of the Phase 2 Technical Memorandum. 1 In addition to ARCADIS US (prime and technical), the Project Team included the following sub- consultants: Means Consulting, LLC (facilitation), Raftelis Financial Consultants, Inc. (financial analysis), and Spencer, Fain, Britt & Brown, LLP (governance models). 1 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins A foundation for the Phase 2 report is the RWCC agreed to list of “deal breakers” that guided the development of a collaborative solution as follows: 1. Any Collaboration Scenario requires equal representation: 1 entity = 1 vote. 2. Any regional solution can have no decision or say regarding the end use or distribution of water. 3. There must be fair and equitable treatment of all staff. 4. There must be equitable financial representation of all assets that are brought to the table. 5. All charters and other amendments of any regional solution must be made by unanimous decisions by all parties. 6. There must be cost of service clarify (how are expansions to capacity, plant improvements and regulatory issues allotted and paid for). 1.1 Scope of Work Phase 1 of the Regional Water Treatment Solutions for the RWCC project established a vision of a potential Collaboration Scenario for the Committee members. Phase 1 also set clear goals and expectations for this project through completion of the following tasks: 1. Prepared an Integrated Work Plan 2. Conducted Introductory Interviews with Stakeholders 3. Facilitated Workshop 1 on September 27, 2013 4. Prepared TM 1 summarizing the activities of Phase 1 (submitted to RWCC on October 15, 2013) Phase 2 of the project included an evaluation of the potential financial and non-financial implications for RWCC members and stakeholders. The following tasks were completed as part of Phase 2: 1. Conduct Data Development and Analysis 2. In September 2013 the RWCC provided the projected peak day demands over the next forty year for all for utilities participating in the RWCC. 3. Over the period September to November 2013 these projections were reviewed at several working session as well as Workshops 1 (September 27, 2013) and 2 (November 8, 2013) and were used in developing the Financial Model. 4. The Draft 1 ‘Phase 2 Financial Analysis - Technical Memorandum Financial Analysis’ was submitted to RWCC on December 23, 2013. 5. Written comments to Draft 1 were received from the RWCC in January 2014. The RWCC offered a financial model prepared by the City of Fort Collins. 2 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins 6. A RWCC Workshop was held on January 27, 2014 to discuss the Draft 1 report submitted on December 23, 2013 and the RWCC written comments. 7. RWCC provided revised demand projections prepared by each of the four RWCC members. 8. Workshops were held on June 2, 2014 and July 18, 2014 to review the financial model outcomes using the revised demand projections prepared by the four RWCC members. 9. A review and collaboration with the Financial Model prepared by the City of Fort Collins were reviewed at various times during this period ending in September 2014. 1.2 Summary of Non-Financial Analysis Results A number of benefits to a regional water treatment Collaboration Scenario are identified and described in this report. These include the financial benefits in addition to non-financial benefits. Table 1 summarizes non-financial benefits of a regional Collaboration Scenario to RWCC members individually and/or collectively. Table 1 Non-Financial Benefits of Developing a Regional Solution Non-Financial Attributes 1 Each entity’s historical investment is recognized. 2 There is an opportunity to maximize the current treatment plant capital investments estimated to be $192 million for the City of Fort Collins and $115 million for the Tri-Districts. 3 A regional entity will collaboratively identify and plan for the Fort Collins & Tri- Districts area future water capacity needs (greater than 30 years). 4 A regional collaboration will leverage collective bonding authority for treatment improvements. 5 A regional collaboration will send a positive signal to both the customers and the Fort Collins and Tri-Districts area business community. 6 Equal governance representation of the four entities (one entity one vote) will be ensured in the management and operation of the treatment plants. The likely alternative to access the available excess production at the City’s water treatment plant is become a customer of the City of Fort Collins without the benefits afforded by regional collaboration. 7 Each entity will retain individual planning control within their service area but will share regional Fort Collins & Tri-Districts area planning information to make cost effective long term (greater than 30 year) treatment plant improvement decisions. 8 The ability to wield more governmental power as a group than individually. 3 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins Non-Financial Attributes 9 Will leverage individual strengths for the benefit of the region. 10 A regional approach will create treated water supply reliability and flexibility to meet the Fort Collins & Tri-Districts area water demand in the long term (greater than 30 years). Opportunities to maximize water resource portfolios (Poudre River and CBT sources) by matching the capability of each water treatment plant to the available supply which could potentially bring significant budget savings. 11 An opportunity to provide uniform finished water quality to meet regulatory changes and Fort Collins and Tri-Districts area customer needs. 12 An opportunity to leverage the purchasing power of a collaborative approach to better control treatment plant operation and maintenance costs. 13 The ability to optimize staffing and scheduling of the two treatment plants. 14 Provide cross-training benefits to treatment plant personnel. 15 Standardize employee and operation and health & safety approaches between the two treatment plants. 16 Send a positive signal to the public regarding government collaboration to enhance efficiency of investment and operation. As part of Phase 2, the Project Team investigated a number of governing options based on input from RWCC in Phase 1. The case studies and governing body comparisons indicate that there are four alternatives for forming a Collaboration Scenario that could work for RWCC. However, based on the analysis of the four alternatives, RWCC should consider forming a Title 29 Authority as it meets the basic criteria of RWCC for developing a regional Collaboration Scenario and provides the flexibility to address the interests of the parties. 1.3 Summary of Financial Analysis Results The City and the Tri-Districts provided detailed information of their current financial as well as capital programs for proposed long term improvements associated with both plants. The City and the Tri-Districts also provided estimates of their water production needs (demands for treated water) for the next 40 years. The information was used in developing a financial projection that identified the costs as defined by the Net Present Value (NPV) over the 30- year period to both the City and the Tri-Districts (for each of the three Tri-District entities). The scenarios included: Status Quo – No change in the current separate ownership and operation of the Facility and SCFP. The Tri-Districts and City own and operate the two separate water treatment plants 4 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins based on current agreements. This scenario analyzes the projected financial outcome if the Tri-Districts and City continue to operate as separate entities. Under the Collaboration Scenarios, a regional Collaboration entity is formed. The Tri- Districts and City consolidate treatment plant assets, where the Collaborative entity owns and operates the two water treatment plants and is responsible for all expansions and future capacity additions. O&M and capital costs for SCFP and the Facility are also adjusted for comparison between the Status Quo and Collaboration Scenarios. Future capital works are based on meeting the combined projected maximum day water demands of the Tri-Districts and City. Collaboration – a Collaborative treatment entity would have responsibility for the planning for and funding of all treatment plant capacity additions and operations including the assessment and collection of a treatment Plant Investment Fee (PIF). Under this scenario all O&M, minor capital and repair and replacement capital projects are allocated based on relative projected annual demands while expansionary capital costs are allocated based on relative projected annual peak-day demands. Modified Collaboration – Same as Collaboration except the capital cost do not incorporate adjustments for PIF revenues and each entity would be individually responsible for the full capital cost of all future capacity additions; the cost of future capacity is paid for by only the entity needing the capacity. There are no PIF revenues included in this scenario and the entity needing the capacity provides in cash, the funding requirements and the regional Collaborative entity is not issuing debt as is the case under the Collaboration Scenario. The findings are as follows: • The financial analysis determined that there is total NPV benefit to RWCC of approximately $76 million over the 30-year study period with the implementation of the Collaboration Scenario, as opposed to the Status Quo Scenario (i.e., present situation). Table 2 summarizes the regional and individual Net Present Value for the Status Quo and Collaboration Scenario. • A regional Collaboration Scenario has significant non-financial benefits as summarized in Table 1. • On an individual basis there is a positive benefit to two of the four RWCC members to a regional Collaboration Scenario. There is an apparent benefit disparity for ELCO and FCLWD under the Collaboration Scenario. • Table 2 summarizes the Modified Collaboration Scenario NPV. 5 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins It must be noted that, under the Modified Collaboration Scenario, each entity is responsible for providing the funding for capacity expansions or additions needed to meet its demand. If debt funded, additional costs related to interest or the effect of reducing the NPV by repaying principal over 20 year through debt service payments are not in the NPV analysis. This is significant and makes it impossible to fully compare the NPV results under the Modified Collaboration Scenario to the other two Scenarios. Table 2 Net Present Value Cost Comparison ($1,000,000’s) Entity Status Quo Collaboration Difference Between Status Quo and Collaboration Modified Collaboration Difference Between Status Quo and Modified Collaboration City $ 207.9 $ 109.4 $ 98.5 $ 141.2 66.7 ELCO 33.0 38.3 -5.3 48.3 -15.3 NWCWD 85.8 83.9 1.9 121.5 -35.7 FCLWD 106.3 125.6 -19.3 153.7 -47.4 Total $ 433.0 $ 357.2 $ 75.8 $ 464.7 -31.7 1.4 Recommendations The Phase 2 data analysis illustrates that there is a significant regional benefit to implementing the Collaboration Scenario. These benefits include both financial and non- financial factors that would suggest that the Collaborative Scenario should be adopted. What is at issue is the apparent inequity, between the four entities, of the combined financial benefit of $76 million. The challenge for RWCC is, “How should that benefit be shared?” The Project Team believes this “sharing” can be determined in a number of different ways and RWCC can develop the best method of making the benefits more equitable. The Project Team recommends that RWCC move forward with further investigation of a regional Collaboration Scenario by undertaking Phase 3 - Strategic Implementation Development. Phase 3 provides an opportunity to develop and reach consensus on an approach to the distribution of the estimated $76 million of regional benefits and moving to a collaborative approach for the delivery of treated water to the Fort Collins & Tri-Districts area. The Phase 3 Technical Memorandum would be building on the Phase 2 Technical Memorandum to develop with the RWCC a strategic implementation plan that would 6 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins provide the information to assist the RWCC members on the final decision of the merits of the moving forward or not moving forward with the regional collaboration. Building from the Phase 2 Technical Memorandum, it is recommended in the Phase 3 Technical Memorandum that a strategic implementation plan for consideration by the RWCC members be prepared. Elements should include and address RWCC comments raised in the Phase 2 deliberations including potential organization and staffing structures, governance agreements, service agreements, management authority, as well as implementation phase check list of activities and needed resources with a likely schedule. This would be based on a framework that adheres to the RWCC ‘deal breaker’ list of elements. 7 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins 2. Introduction / Background In August 2013 the City of Fort Collins (City) and the Tri-Districts (Fort-Collins – Loveland Water District (FCLWD), North Weld County Water District (NWCWD), and the East Larimer County Water District (ELCO)) decided to evaluate the potential merits of a regional Collaboration Scenario as it relates to their drinking water treatment solutions. The City currently owns and operates the 87 MGD Fort Collins Water Treatment Facility (Facility). The Tri-Districts own and operate the Soldier Canyon Filter Plant (SCFP) with a rated capacity of 45 MGD serving lands both within the City boundary and lands in the general vicinity of the City boundary including North Weld County Water District. The two treatment plants are located in close proximity and draw from the same water sources. It is estimated that there are total of about 41,227 water service connections within the City boundaries of which about 30,074 (72.9%) are on the City distribution system, 8,587 (20.8%) are on the Fort Collins Loveland Water District, 2,566 (6.2%) are on the East Larimer County Water District distribution system and there are no service connections within the City boundaries on the North Weld County Water District distribution system. The City and the Tri-Districts are members of the Regional Water Cooperation Committee (RWCC2) and currently have water sharing agreements in place. They are exploring the potential for some type of a regional water treatment Collaboration Scenario that may bring a more efficient, long-term arrangement that will benefit their customers. In order to further evaluate this opportunity, RWCC hired the ARCADIS Project Team (Project Team) to assist with Phase 1 - Foundation of Regionalization Project and Phase 2 - Financial Analysis of the project. 2.1 Phase 1 Scope of Work and Summary Phase 1 of the Regional Water Treatment Solutions for the RWCC project established a vision of potential collaboration plan for the committee members. Phase 1 also set clear goals and expectations for this project through completion of the following tasks: 1. Prepared an Integrated Work Plan 2. Conducted Introductory Interviews with Stakeholders 3. Facilitated Workshop 1 on September 27, 2013 4. Prepared TM 1 summarizing the activities of Phase 1 2 Throughout this memorandum the City and the Tri-Districts are collectively referred to as “RWCC members”, “participants”, “entities”, “entity’s” or individually as an “entity”. 8 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins TM 1 was submitted to RWCC on October 15, 2013. A list of Phase 1 outcomes is included in Table 3. Table 3 Phase 1 Highlight of Goals and Attributes of a Regional Collaboration Scenario Category Goals and Attributes Advantages The Facility has excess treatment capacity that is unlikely to be needed by the City. The Collaboration Scenario may maximize the use of the existing assets and deliver economic benefits to the broader region. The Facility and the SCFP could be used in tandem to their full potential. A regional Collaboration Scenario may result in a more positive influence than the individual parties (e.g., attaining environmental and sustainability objectives, regional planning). Control & Cost Coordinating and planning, on a regional level is advantageous. Evaluate existing assets: two options were discussed: 1) historical cost or 2) replacement cost / current engineering design “unit” cost values, e.g., $/MG. RWCC agreed that replacement cost / current engineering design for the existing assets is more appropriate than historical cost. All entities should pay the same rate. Water Quality Participants acknowledged that there is an opportunity to coordinate on water quality goals in the future (whether a formal Collaboration Scenario amongst RWCC members occurs or not). Important to continue collaboratively implementing watershed programs between SCFP and the City. Planning & Operations Either SCFP or the Facility could serve as a peaking plant. Opportunities may exist to leverage City services such as engineering planning and design, legal, health and safety, and human resources. Any potential regional solutions should not influence water demand planning for RWCC members Sources of water and reliability of source that affects treatment should also be considered. Governance Negotiations and governance issues will continue to be deliberated if a Collaboration Scenario moves forward regardless of the financial analysis or recommendations. Any regional entity should have bonding authority; this capability would be essential. Alternatively, taxation capability would not be essential. Phase 2 of the Regional Water Treatment Solutions for the Tri-Districts and City of Fort Collins included an evaluation of the potential financial and non-financial implications for RWCC members and stakeholders. 9 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins Phase 2 included the following tasks summarized below and presented in detail in subsequent sections. 2.2 Phase 2 Scope of Work 2.2.1 Task 2.1: Conduct Data Development and Analysis Task 2.1 included developing a multi-year (30 years) financial planning analysis and tool in Microsoft Excel to support the financial evaluation of the Status Quo and two Collaboration Scenarios including key financial metrics, and a life-cycle cost analyses. This task evaluated how merged assets could be valued and accounted for under Collaboration including fair and equitable cost allocation approaches for wholesale and/or retail charges to the RWCC members. Upon request, the RWCC provided the Project team with the asset information needed to make an appropriate financial estimation of the value of the merged assets. This effort assessed the value of the assets that each entity brings to a potential regional Collaboration Scenario and provides a preliminary “balance sheet” reflecting the credits (or debits) to each entity. The Project Team, from discussions with RWCC, considered the following assumptions as basis for the financial evaluation of two Collaborative scenarios: • Level Playing Field: same rates for each RWCC • Take or Pay Arrangement: subscription (fixed cost) for each RWCC member based on committed or fixed portion of O&M and capital costs • A 30-year window or study period • The financial analysis is critical in the decision process going forward. As part of the data analysis, the Project Team developed three case studies of shared services for RWCC evaluation. RWCC identified the following organizational models for the Project Team to evaluate: 1. Water Conservation District 2. Title 32 Special District 3. Title 29 Water Authority RWCC also identified the following examples for case studies analysis: 1. Platte River Power Authority (Title 29) 2. South Metro Water Supply Authority (Title 29) 3. Southeast Public Improvement Metropolitan District (Title 32) 10 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins 2.2.2 Task 2.2: Conduct Workshop 2 – Preliminary Findings Workshop ARCADIS facilitated Workshop 2 with RWCC members and stakeholders on November 8, 2013, from 8:30 am to 1:00 pm. The workshop took place at the City Facility. Workshop 2 objectives were to: • Present and discuss the draft data analysis results. Present preliminary findings to workshop participants prior to making formal recommendations. • Present key governance options. • Present case studies of shared services including how the services may be structured, financed, and governed. • Discuss key opportunities/constraints from different perspectives -- political, economic/financial, social/ cultural, organizational framework, technical/operational, governance/institutional, regulatory/legal, and environmental/sustainability. • Identify remaining issues associated with the governance and finance options. The discussion topics for the workshop were developed based on information obtained through the financial and case study analysis and input from RWCC. The workshop key agenda items were: 1. Demand Projection Review 2. Summary of Financial Analysis 3. Discussion of Non-Financial Analysis and Key Policies 4. Presentation of Organizational Model Case Studies 5. Summary and Discussion of Required Decision Information and Next Steps A summary of the Workshop 2 discussion and presentation slides was submitted to RWCC on December 12, 2013. A copy is also provided in Appendix A. After issuing the draft TM 2 in December 2013, the Project Team and RWCC members met on January 27, 2014 to review and discuss comments to the draft TM. The Project Team agreed to update the Status Quo and Collaboration scenario analysis based on changes to the underlying demand data, cost allocations and projections. A subsequent meeting was held between Project Team and RWCC members on March 14, 2014 to finalize agreed upon modifications to draft Phase 2 analysis. A summary of the January 27 and March 14, 2014 meetings were submitted to RWCC and are also provided in Appendix A. The Project Team and RWCC members met on June 4, 2014 to review and confirm updated peak-day and average annual demands provided by RWCC members, and to review allocations, and the timing of expansions and new capacity. 11 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins The Project Team and RWCC members met to review updated results as discussed in subsequent sections on July 18, 2014 under three scenarios: • Status Quo • Collaboration • Modified Collaboration 2.2.3 Task 2.3: Prepare TM 2 - Summary of Phase 2 with Recommendations TM 2 (this final report) summarizes the evaluations of Phase 2 with a focus on the financial analysis. 12 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins 3. Data Development and Analysis The Project Team facilitated a working session with RWCC members and the Project Team on October 21, 2013, to develop the basis of the financial analysis. The working meeting was held at FCLWD offices. The methodology and scenarios used are included in the Summary of Financial Analysis Results (Section 4) of this memorandum. Follow-up phone calls and conference calls were conducted where necessary. At the beginning of Phase 2, RWCC provided the Project Team with a list of “deal breakers” that would prevent the development of a Collaborative solution. This list was reviewed with RWCC at the working session on October 21, 2013 to confirm applicability to the data development and analysis. The deal breakers include the following: 1. Any Collaboration Scenario requires equal representation: 1 entity = 1 vote. 2. Any regional solution can have no decision or say regarding the end use or distribution of water. 3. There must be fair and equitable treatment of all staff. 4. There must be equitable financial representation of all assets that are brought to the table. 5. All charters and other amendments of any regional solution must be made by unanimous decisions by all parties. 6. There must be cost of service clarity (how are expansions to capacity, plant improvements and regulatory issues allotted and paid for). The following subsections present the methodology used to conduct the Phase 2 analysis. 3.1 Demand Projections Demand projections were received from RWCC members as part of Phase 1 and were subsequently reviewed and updated by RWCC members in April 2014. The updated demand projections include both peak-day and annual demands and are summarized in Table 4 and Appendix B and illustrated in Figures 1 and 2. Each entity provided demand projections through 2055 or their projected build-out, whichever was expected to come first. The Project Team met with RWCC members on June 4, 2014 to review and confirm their demand projections. Agreement on these numbers was essential as individual and collective capacity needs were identified based on projected peak day demands. Projections as provided by each entity reflect the customer type (e.g., residential, commercial and agriculture) and water use characteristics of their service areas. No 13 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins attempt was made to standardize3 these projections across each of the four entities, e.g., demand per capita varied across each of the entities and is a reflection of the uniqueness of the customer base for each entity. While these differences were noted by participants during Workshop 2, no changes were made. Lastly, RWCC members reviewed the relationship between peak-day demands to average daily demands revising the peaking relationship over time, if such a change was consistent with entity specific master planning analyses. Table 4 and Figures 1 and 2 contain this information for the entities. As previously noted, these projections are critical to estimating the timing of future expansions and capacity additions under the Status Quo and Collaboration Scenarios. Table 4 Current and Projected Peak Day Water Demands Organization Approx. Peak Demands in Last 5 Years (MGD) Projected Peak Day Demand in 30 Years (MGD) % of Total Projected Peak Day Demand in 30 Years Average Annual Demand in Last 5 Years (MG) Projected Annual Demand in 30 years (MG) % of Total Annual Demand in 30 Years City of Fort Collins 46.77 63.80 36% 8,757 11,946 40% ELCO 9.78 17.30 10% 1,466 3,135 11% NWCWD 14.10 48.80 28% 2,497 8,640 29% FCLWD 21.70 46.00 26% 2,755 5,840 20% Total 92.35 175.90 100% 15,475 29,561 100% 3 Demand per capita or per residential equivalents 14 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins Figure 1 Current and Projected Peak Day Water Demands Figure 2 Current and Projected Annual Water Demands 15 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins 3.2 Financial Analysis Model - eForecast The Project Team used data received from the Tri-Districts and the City to populate a long- term financial planning model, eForecast, an ARCADIS proprietary Excel-based financial model. eForecast facilitates scenario analyses of different cost projections and allocations to determine the costs per entity and the net present value of those costs. 3.3 Scenarios The Project Team developed three possible financial scenarios during the development of draft and updated findings in order to provide RWCC with options to compare. 1. Status Quo 2. Collaboration With PIF Funding 3. Modified Collaboration Without PIF and Debt Funding The final analysis documented in this document was limited to the three possible financial scenarios defined and discussed below. Additionally, various sensitivity analyses were completed and these results are discussed in Section 4.4. While there may be a variety of ways to assign future capacity costs to the entities under a Collaboration alternative, the approach described herein is a reasonable approach to the allocation of costs and is very similar to the current approach used by the Tri-Districts and the SCFP. The Scenarios are summarized as follows: 1. Scenario 1 – Status Quo: The Tri-Districts and City own and operate the two separate water treatment plants based on current agreements. This scenario analyzes the projected financial outcome if the Tri-Districts and City continue to operate as separate entities. Current financial reports including Operation and Maintenance (O&M) expense budgets and Capital Improvement Plans (CIP) were provided by the Tri-Districts and the City. O&M and capital costs for the SCFP and the Facility are adjusted so that the two plants treatment functions and costs can be compared between the Status Quo and Collaboration Scenarios. With Scenario 1 – Status Quo, the SCFP is expanded to meet the projected demands of the Tri-Districts with O&M, capital improvement and capital expansion costs allocated based on the SCFP Inter-Governmental Agreement (IGA). Under this scenario, the City continues to operate the Facility separate from SCFP. This 16 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins scenario anticipates FCLWD purchasing, from the City, an additional 5 MGD in 2016 (in addition to the 5 MGD purchased from the City in 2013) and NWCWD purchasing 5 MGD from the City (in 2018). 2. Scenario 2: Collaboration Scenario: Under this scenario all O&M costs, minor capital and repair and replacement capital costs are allocated based on relative projected annual demands while expansionary capital costs are allocated based on relative projected annual peak- day demands. A Plant Investment Fee (PIF) revenue stream was modeled as a funding source for future water production expansion costs. 3. Scenario 3: Modified Collaboration Scenario: This scenario is the same as Scenario 2 with significant differences regarding allocation of capital funding requirements, use of PIF revenues and debt to fund expansionary capital requirements. Under this scenario all capacity additions, beyond the current132 MGD capacity of the two facilities is paid for by only the entity needing the capacity. There are no PIF revenues included in this scenario and the entity needing the capacity provides the capacity addition funding requirements; unlike under Scenario 2, the Collaborative entity does not issue any debt under this scenario. Under the Collaboration Scenarios, a regional Collaboration entity is formed. Under the Collaboration Scenarios, the Tri-Districts and City consolidate treatment plant assets, and the Collaborative entity owns and operates the two water treatment plants and is responsible for all expansions and future capacity additions. O&M and capital costs for SCFP and the Facility are also adjusted for comparison between the Status Quo and Collaboration Scenarios to reflect cost savings resulting from the combined operations (total cost savings of 30% achieved in equal increments over the first 10 years of combined operation. Future capital facility expansions and additions are based on meeting the combined projected maximum day water demands of the Tri-Districts and City. 17 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins Under Scenarios 2 and 3 there will be buy-in4 costs where each entity might “buy into” the combined capacity of the Collaborative entity based several capacity alternatives. The alternative capacity buy in scenarios evaluated as part of Phase 2 and presented on November 8, 2013 are as follows: • Equal treatment plant capacity – each entity is allocated 25% of the Collaboration entity assets • Allocated treatment plant capacity in 2029 – each entity’s allocated treatment plant capacity is based on the 2029 projected peak-day demands for each entity. This date reflects the estimated date, updated from Draft Phase 2 analysis to reflect the updated demand analysis, when the existing production capacity of both plants (132 MGD) is needed to meet the total projected maximum day water demands. • Allocated treatment plant capacity in 2036 – each entity’s allocated treatment plant capacity is based on the 2036 projected peak-day demands for each entity or year prior to a projected Greenfield facility being added. This date, updated from the draft Phase 2 analysis to reflect updated demand analysis, represents the estimated date when the existing production capacity of both plants (147 MGD) is needed to meet the projected maximum day water demands. Under any alternative the buy-in cost for an entity will be amortized over 20 years. The draft and final Collaboration and Modified Collaboration Scenarios incorporate the projected capacity values in 2029. Since consensus regarding the buy-in cost approach was received during Workshop #2, the equal cost and allocated capacity based on 147 MGD were not updated or incorporated in the updated financial analysis completed in 2014. 4 For each entity a value was determined for their respective allocated treatment plant capacity in either the SCFP or the Facility. This value was compared to the value of the allocated treatment plant capacity in the combined or collaborative facilities. As a result, an entity may have a deficit that is owed to the Collaboration entity; owed to any entities with a surplus or a surplus where the Collaboration entity or any entities with a deficit owes the entity having the surplus. 18 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins 3.4 Analysis and Comparison The methodology used to calculate and compare the costs from Scenarios 1, 2, and 3 is summarized in the following steps: 1. Projected peak day and annual water demands through 2055, as discussed in Section 3.1, were used to evaluate the timing of plant expansions and were used allocate costs to each entity. 2. The Project Team worked with RWCC to value the Facility and SCFP. All parties agreed to use the same unit cost of $2.33 per MG to value both plants. In addition to assigning a value to the plants, the Project Team identified the treatment plant capacity percentages of the combined plants under the Scenario 1 (Status Quo Scenario) and the Scenarios 2 (Collaboration Scenario) and 3 (Modified Collaboration Scenario) over the study period (30 years). The allocated treatment plant capacity percentages for the combined plants are based on peak day demand projections (from Table 4 in Section 3.2.1). 3. O&M treatment plant expense budgets were provided by the City for the Facility (2013) and by the Tri-Districts for the SCFP (2014). The O&M cost categories did not align exactly between the two entities. In order for the O&M budgets to be more comparable, the following adjustments were made: • Water Resources and Source of Supply costs were removed from the SCFP O&M • Legal, Lab, IT, Safety, and other miscellaneous costs were added to the Facility O&M • Additional costs of $709,046 for City in 2013 were added to Facility O&M. These costs reflect indirect charges for indirect management, financial and other services provided by the General Fund, which are included, but not included in the Facility operating budget. 4. The City also provided their CIP for the Facility, principally related to improvements needed to address possible water quality regulations. These regulatory projects include a Granular Active Carbon Filtration and Disinfection System in 2026 at an estimated cost of $46 million or $0.52 million per MG, adjusted for annual inflation, based on the Facility capacity of 87 MGD. 5. The Project Team developed a 30-year CIP for SCFP based on previous discussions with members of the Tri-Districts. In a manner similar to the City, the CIP included possible projects that may be needed to address possible water quality regulatory changes, e.g., GAC (scaled to the 60 MGD SCFP capacity). O&M expenses, minor capital and R&R capital expenditures were then allocated to each entity based on relative annual demand values. Expansionary capital costs were then allocated based on the relative peak day demand values. 19 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins 6. Annual O&M, capital, and debt service costs were calculated for each entity over the 30-year study period (2015 – 2045). The costs were offset by PIF revenues received in each year and/or in the case of the City Buy-In revenue under the Collaboration Scenario. a. For example, in the Status Quo and Collaboration Scenarios total expansionary capital project costs adjusted for inflation are reduced by the accumulated and available PIF revenue balance in arriving at the net CIP to be debt financed. The annual stream of net O&M, minor and R&R capital and expansionary capital debt service costs were then used to calculate the NPV of costs. b. Under the Modified Collaboration Scenario, PIF revenues are not incorporated as a reduction to capital costs and capital costs reflect cash provided by each of the four entities that does not include debt- related costs or debt service, if any. c. The NPV shows the value of future dollars in today’s dollars using a discount rate of 5%. The discount rate considers the uncertainty of future cash flows and as used within the scenario analysis, the cost of debt. The NPV results are then used to compare each scenario in order to determine the least cost alternative. It must be noted that since, under the Modified Collaboration Scenario, each entity is responsible for providing the funding for capacity expansions or additions needed to meet its specific demand. As such, these costs (the capital funding costs if debt funded, e.g., debt service) are not in the NPV analysis. This is significant and makes it impossible to compare the NPV results under the Modified Collaboration Scenario to the other two Scenarios. Scenarios 1 and 2 and the methodology described above were analyzed and presented at Workshop 2. The results and discussion are included in the Workshop 2 Summary (Appendix A). Based on the preliminary results, Workshop participants agreed that, of the scenarios discussed, the Status Quo and Collaboration Scenarios are the two most realistic scenarios to compare (long term). A third scenario, Modified Collaboration, was subsequently added through discussions with RWCC members in January 27, 2014 and presented during a July 18, 2014 meeting. 1. Status Quo Scenario with PIFs 2. Collaboration Scenario – PIFs included as capital cost offset and all future capacity needs are shared by four entities. 3. Modified Collaboration Scenario – Expansionary capital requirements are allocated based on relative incremental peak-day demands of each entity. Debt is not evaluated as each entity and PIF revenues are not evaluated as an offset to capital 20 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins requirements; each entity provides cash funding for allocated expansionary capital requirements. Additionally, the following adjustments were made to the scenario results presented at Workshop 2 and summarized within the draft TM 2: • PIF revenues were adjusted so that they directly offset eligible capital costs prior to issuing debt. • O&M efficiency factor was increased from 20% to 30% of the combined O&M expenses (applies only to the Collaboration scenarios). Workshop participants agreed that 30% was more realistic. • Asset value was reduced from $2.52 per gallon per day to $2.33 per gallon per day to recognize future Facility regulatory projects (e.g., GAC) already accounted for within the CIP. • Ownership of the combined facilities was based on peak-day demand in 2028, but was adjusted to peak-day demand in 2024. This reflects the year when the current combined facilities capacity (132 MGD) is exceeded. The entities share in the costs to expand the SCFP and increase the combined facilities capacity to 147 MGD. Finally, the following additional adjustments were made to the scenario results summarized within the draft Technical Memorandum 2 based on January 27, 2014 and at the March 14, 2014 meeting with the Project Team and RWCC members: • Updated peak-day capacity requirements for all four entities affecting the: o Timing and amount of capacity purchases and treatment plant expansions o Annual PIF revenues projected based on peak-day capacity requirements o Buy-in amount under the Collaboration and Modified Collaboration Scenarios • Annual O&M, minor and R&R capital expenses allocated among the entities based on relative projected annual demands. • O&M efficiency factor of 30% phased over 10 years rather than taking effect fully in the first year. • Projected annual O&M expenses under the Status Quo Scenario resulting from FCLWD and NWCWD purchases from the City were updated to reflect peak day purchases during a 60-day peak season based on discussions with FCLWD representatives. Additionally, the O&M related to City purchases are expenses to the entity purchasing capacity, but excluded from the projected Facility O&M expenses. 21 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins 4. Financial Analysis Results 4.1 Key Assumptions for Status Quo and Collaboration Scenarios The following key assumptions are incorporated into the cost calculations for the Status Quo, Collaboration and Modified Collaboration Scenarios: 1. The discount rate used to calculate NPV is 5%. 2. CIP inflation is assumed to be 3% per year (representing the average change in Engineering News Record (ENR) construction cost index over the last 30 years). 3. O&M inflation is 4% per year, which consists of 3% general or ENR inflation and 1% growth (to account for flow based increases in demand independent of capacity additions). 4. Additional O&M expenses are added when either the Facility or SCFP is expanded based on the proportional peak-day capacity of expansion to current peak-day capacity. 5. SCFP-related O&M, minor and R&R capital costs are allocated among the Tri- Districts based on relative annual demands. SCFP-related expansionary capital is allocated among the Tri-Districts based on relative peak-day demands in the year before the next expansion. 6. For only the Status Quo Scenario, O&M expenses resulting from City purchases for peak-day requirements are projected over a 60-day peak-day period and included in FCLWD and NWCWD projected O&M expense, but excluded from the projected Facility O&M expense. 7. Annual debt service payments for future bond issues are based on a 20-year repayment term and 5% annual interest rate, and include 2% issuance cost and establishment of a debt service reserve equal to one-year of debt service; the debt service reserve is funded from the proceeds of the debt issue. 8. The PIF for all entities is estimated at $2.33 per gallon per day until SCFP reaches capacity and thereafter at $3.50 per gallon per day. Both values are adjusted for 3% annual CIP inflation. 9. For only the Status Quo and Collaboration Scenarios, PIF revenues are projected based on annual increases in peak-day demand. PIF revenues are used to offset expansion capital costs and if any excess PIF revenue remains it is used to offset debt service. 4.1.1 Plant Investment Fee Revenues (PIF) PIF Revenues are incorporated in the only the Status Quo and Collaboration Scenarios as a source for upfront funding for expansionary capital as well as source for debt service 22 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins payments when excess funds are available. Appendix D summarizes the projected PIF revenues and use of PIF funds by each entity under the Status Quo and the RWCC Entity under the Collaboration Scenario. PIF revenues are not incorporated within the Modified Collaboration Scenario. PIF revenues are projected based on increases in each entity peak-day capacity demands applied to the plant capacity cost per MGD. The treatment plant capacity per MGD of $2.33, adjusted for annual inflation, is used until a Greenfield plant is projected to be required and then at a treatment plant capacity cost of $3.50 per gallon per day, adjusted for annual inflation. Under the Status Quo Scenario, PIF revenues are separately tracked for each entity while under the Collaboration Scenario, PIF revenues are tracked for the RWCC collaboration entity. PIF revenues are accumulated and may be used to offset the capital costs, funded through debt issues, of remaining expansionary capital expenses. If accumulated PIF revenues are available after evaluating allocated capital costs of plant expansions, the PIF revenues are used to pay annual debt service. 4.2 Scenario Analysis and Results 4.2.1 Scenario 1 - Status Quo Under Status Quo Scenario there are no changes in ownership or operation of the two treatment plants – the current manner in which costs are incurred (and the responsibility for payment of those costs) to operate the Facility and the SCFP is maintained. 4.2.1.1 Additional Assumptions for Status Quo Scenario In addition to the assumptions listed in Section 4.1, the following assumptions were used for the Status Quo Scenario: • The sale of capacity in the Facility (to FCLWD and NWCWD) is based on an upfront payment of 20% of total amount. The remaining 80% is debt financed over a 20-year repayment term and 5% annual interest rate. • City capacity sales under Status Quo are estimated for FCLWD and NWCWD before expanding SCFP as summarized in Table 5. • Timing of SCFP and allocation of capacity to each entity is summarized in Table 5. • Additional capacity purchases are needed for each of the Tri-Districts after the expanded SCFP reaches capacity in 2021. The capacity purchase cost is $3.50 per gallon per day, adjusted for inflation. The $3.50 represents the estimated cost per gallon per day of a new facility. The estimated capacity needs are summarized in Table 5. 23 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins Table 5 Capacity Expansions (MGD) Summary Year FCLWD ELCO NWCWD Total Source 2016 5.0 0.0 0.0 5.0 purchase from City 2018 0.0 0.0 5.0 5.0 purchase from City 2021 7.6 2.2 5.2 15.0 SCFP Expansion 2024 8.0 1.0 1.0 10.0 Greenfield 2035 3.0 1.0 6.0 10.0 Greenfield 2042 0.0 1.0 9.0 10.0 Greenfield 2050 0.0 1.0 7.0 8.0 Greenfield Total 23.6 6.2 33.2 63.0 4.2.1.2 Annual Costs for Status Quo Scenario O&M expenses were provided by the City for the Facility and by the Tri-Districts for SCFP. Adjustments were made to the Facility budget to include legal, lab, and other miscellaneous costs that are included in the SCFP budget. The Facility 2013 budget was then inflated to 2014 dollars for the analysis. Table 6 summarizes the Facility 2013 O&M expenses. Table 6 Status Quo Scenario - 2013 Facility O&M Item 2013 Adjustments 2013 Adjusted Personnel (excl. Admin) $2,200,000 $0 $2,200,000 Chemicals 1,198,000 0 1,198,000 Energy 415,000 0 415,000 Administrative 288,000 0 288,000 Legal 0 52,000 52,000 Lab 0 38,000 38,000 Water Resources 0 0 0 Source of Supply 0 0 0 All Other 804,000 710,000 1,514,000 Minor Capital 1,551,000 0 1,551,000 Total $6,456,000 $800,000 $7,256,000 24 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins The Tri-Districts provided 2014 SCFP operating costs. In order to compare, and in an alternate scenario combine, the water resource and source of supply costs were removed from the SCFP budget. Table 7 summarizes the 2014 SCFP O&M. Table 7 Status Quo Scenario - 2014 SCFP O&M Item 2014 Adjustments 2014 Adjusted Personnel (excl. Admin) $1,263,000 $ 0 $1,263,000 Chemicals 825,000 0 825,000 Energy 119,000 0 119,000 Administrative 463,000 0 463,000 Legal 63,000 0 63,000 Lab 50,000 0 50,000 Water Resources 323,000 (323,000) 0 Source of Supply 230,000 (230,000) 0 All Other 291,000 0 291,000 Minor Capital 495,000 0 495,000 Total $4,123,000 ($553,000) $3,570,000 The City provided a 30-year CIP that is included in the financial analysis with costs summarized in uninflated dollars. Major planned projects include installation of GAC Filtration ($46.0 million), a Disinfection System ($10.9 million), a Chlorine Contact Basin ($10.7 million), and an annual replacement program (replacement of old or damaged pipes, meters, and other infrastructure) for 2015 through 2019 as provided by the City that averages $1.9 million per year. Starting in 2020, the annual replacement program assumes $1.5 million per year. All CIP projects are inflated to year of expenditure at 3% per year. The Tri-Districts provided a 2014 repair and replacement plan that the Project Team used to project study period repair and replacement costs of $0.5 million annually. The Team also added SFCP expansion costs calculated by the Project Team and regulatory projects that are comparable to the regulatory projects contained in the Facility’s CIP. These comparable projects include Disinfection system and GAC Filtration added and adjusted based on the proportional peak-day capacity of the SCFP. SCFP R&R CIP costs are allocated to the Tri-Districts based on projected annual demand each year of the study period. SCFP expansionary CIP costs are initially allocated to the Tri-Districts based asset allocations in 2013 and reallocated before the 15 MGD plant expansion projected in 2021 based on proportional peak-day demand when the expanded 25 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins 60 MGD SCFP reaches capacity. Additional capacity needs beyond SCFP 60 MGD provided through Greenfield treatment plant(s) are projected in minimum 10 MGD increments (with the exception of the final expansion in 2050) and funded based on proportional peak-day requirements of the entities requiring the additional capacity. Table 8 summarizes the CIP totals per year for SCFP and the Facility. Totals are prior to inflation, rounded to the nearest $100,000 and include PIF revenue adjustments or reductions, but prior to issuance of debt. Table 8 Status Quo Scenario - Facilities and SCFP Capital Improvement Plan Costs1 Treatment Plant 2015 2016 2017 2018 2019 2020 2021-2045 SCFP FCLWD $ 600,000 $7,200,0002 $ 500,000 $ 1,300,000 $1,400,000 $ 200,000 $ 29,900,000 ELCO3 300,000 100,000 200,000 600,000 600,000 2,800,000 10,000,000 NWCWD 500,000 200,000 400,000 8,000,0002 1,100,000 5,000,000 26,400,000 SCFP Total 1,400,000 7,500,000 1,100,000 9,900,000 3,100,000 8,000,000 66,300,000 Facility 12,000,000 8,900,000 11,600,000 5,300,000 6,200,000 2,600,000 83,500,000 Total $13,400,000 $16,400,000 $12,700,000 $15,200,000 $9,300,000 $10,600,000 $149,700,000 1 The CIP cost is cash funded capital after reductions for PIF revenues. 2 The CIP under the Status Quo Scenario assumes FCLWD and NWCWD purchase 5 MGD in 2016 and 2018 respectively. 3 ELCO is growing slower and has less PIF revenue/accumulated cash. As a consequence, more of ELCO’s capital will be debt funded opposed to FCLWD and NWCWD, especially in the early years of the study period. 4.2.1.3 Net Present Value for Status Quo Scenario The NPV for each entity was calculated using net costs from 2015 – 2045. Table 9 shows the total study period cost and net present value for each entity. 26 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins Table 9 Status Quo Scenario - 2015 – 2045 Costs and Net Present Value Entity Costs1 (2015-2045) Net Present Value1 FCLWD $233,600,000 $106,300,000 ELCO 76,000,000 33,000,000 NWCWD 203,600,000 85,800,000 CITY 482,800,000 207,900,000 Total $996,000,000 $433,000,000 1 Includes R&R CIP, expansionary CIP related capacity reduced for PIF revenues amortized as annual debt service, and operating costs. 4.2.2 Scenario 2 - Collaboration Under the Collaboration Scenario all O&M, capital expansion, and capital improvement costs are shared by each of the four entities. O&M, minor capital and R&R capital improvements are allocated amongst the entities based on relative annual demands. Expansionary capital costs are allocated amongst the entities based on relative peak day demand values. 4.2.2.1 Additional Assumptions for Collaboration Scenario Collaboration costs are based on numerous assumptions. Changes in these assumptions could have a material effect on the findings. The following key assumptions are incorporated into the cost calculations: • O&M, minor capital and R&R capital improvements expenses are allocated based on each entity’s proportional annual demands as summarized in Appendix D. O&M and minor capital expenses are increased proportionally when the SCFP and/or Greenfield plant expansions are projected. • Expansionary capital improvement expenses are allocated based on each entity’s projected proportional peak-day demands in the year prior to the next expansion or when the expanded capacity is fully used. The allocation is based on peak-day requirements of each entity after the initial capacity Buy-in reallocates Collaboration entity treatment plant capacity amongst the four entities. The cost allocations are updated for funding when the collaborative Facility and SCFP are projected to be expanded as summarized in Table 10. • Projected PIF revenues are accumulated by the Collaboration entity and used to offset expansionary capital costs and if any excess PIF revenue remains it is used to offset Collaboration entity debt service. 27 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins • Efficiency factor applied to combined O&M is 30% and is phased over 10 years at 3% per year. The efficiency factor reflects estimated cost savings as a result of combining the operations of both facilities and being able to reduce redundancies and achieve economies of scale. • Future bond issues have a 20-year repayment term and 5% annual interest rate, and include 2% issuance cost and one year debt service reserve (established from the proceeds of the bond issue). • Buy-in costs are debt financed only by the Collaborative entity; the cost is assessed to for a 20-year repayment term and 5% annual interest rate. • The Facility and SCFP are both valued at $2.33 per gallon per day of existing capacity. In 2013 the City sold 5 MGD of the Facility’s 87 MGD capacity to FCLWD at $2.52 per gallon per day. The unit value of $2.33 per gallon per day is based on the current City PIF ($2.52), minus the regulatory CIP component included in the projected Facility CIP ($0.19), so as not to double count for planned capital projects. Table 11 summarizes the combined existing capacity and plant values under the Collaboration Scenario. Table 10 Collaboration Expansions (MGD) Summary Year FCLWD ELCO NWCWD City Total Source 2030 4.8 1.4 5.5 3.3 15.0 SCFP Expansion 2037 2.3 1.0 5.2 1.5 10.0 Greenfield 2043 0.0 1.2 7.6 1.2 10.0 Greenfield 2050 -0.2 1.0 7.8 0.4 9.0 Greenfield Total 6.9 4.6 26.1 6.4 44.0 Table 11 Collaboration Scenario - Dedicated Plant Value Entity Peak-Day Capacity MGD $/gallon per day Value City 82.00 $2.33 $191,060,000 FCLWD1 5.00 $2.33 11,650,000 SCFP 45.00 $2.33 104,850,000 Total 132.00 $2.33 $307,560,000 1 In 2013 the City sold 5 MGD of capacity to FCLWD. 28 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins • The collaborative plant ownership is calculated in the following three steps and summarized in Table 12: 1. Allocate dedicated SCFP value to each of the Tri-Districts. This allocation was provided by the Tri-Districts and based on SCFP asset allocation at 45 MGD. FCLWD combines its SCFP value to the 5 MGD capacity purchase from the City (in 2013). 2. Calculate treatment plant allocations of combined facilities. Ownership of the combined facilities is based on peak-day demand in 2029. This reflects the year when the current combined facilities capacity (132 MGD) is exceeded. The entities share in the costs to expand the SCFP by 15 MGD and increase the combined facilities capacity to 147 MGD. 3. Determine the amount owed or due to each entity. Subtracting the value of the collaborative facilities per entity from the dedicated plan value per entity. Table 12 Collaboration Scenario 2 and Modified Collaboration Scenario 3 - Plant Allocation and Buy-In Value FCLWD ELCO NWCWD City Total Dedicated Plant Value $52,813,000 $27,183,000 $36,503,000 $191,060,000 $307,560,000 Value Per Entity 91,226,251 29,685,013 52,922,335 133,726,401 Amount (Owed) / Due ($38,413,000) ($2,502,000) ($16,419,000) $57,333,000 $307,560,000 SCFP Allocation 39.26% 25.93% 34.81% 0.00% 100.00% Allocation based on demand % at 132 MGD 29.66% 9.65% 17.21% 43.48% 100.00% The resulting Buy-In costs reflect the “132 MGD” alternative as previously discussed and are amortized starting in 2015 over 20 years with an assumed 5% interest rate. 4.2.2.2 Annual Costs for Collaboration The combined 2014 budget is calculated by inflating the City’s adjusted 2013 budget to 2014 dollars and adding that value to SCFP’s 2014 budget. All expense items in the combined budget is then inflated at 4% per year and then reduced by the cumulative annual efficiency factor. Following Workshop 2, the City provided 30% as a reasonable efficiency factor if both facilities are combined. The efficiency factor of 30% is phased over 10 years in equal 3% increments starting in 2015 and fully phased in place by 2024. The annual combined and allocated Facility O&M expenses are summarized in Appendix C. Sensitivity analyses regarding the O&M efficiency factor are presented in Section 4.4. 29 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins All collaborative R&R CIP costs are shared by the four entities based on each entities relative annual demands. All collaborative expansionary CIP costs are shared by the four entities based on relative peak-day capacity demands. Table 13 summarizes the Collaboration Scenario CIP costs by entity. Table 13 Collaboration Scenario 2 - Capital Improvement Plan Entity 2015 2016 2017 2018 2019 2020 2021 - 2045 FCLWD $41,000,0001 $1,800,000 $ 2,500,000 $1,700,000 $1,900,000 $ 700,000 $ 28,800,000 ELCO 3,800,0001 900,000 1,200,000 800,000 900,000 300,000 12,700,000 NWCWD 18,600,0001 1,600,000 2,100,000 1,400,000 1,500,000 500,000 23,600,000 City 7,400,000 5,100,000 6,800,000 4,400,000 4,900,000 1,600,000 62,700,000 Total $70,800,000 $9,400,000 $12,600,000 $8,300,000 $9,200,000 $3,100,000 $127,800,000 1 Includes buy-in costs for asset allocations in 2015 before amortization. Costs reflect net costs before PIF adjustments and debt funding. 4.2.2.3 Net Present Value for Collaboration Table 14 illustrates the total costs during the study period and net present value for each entity. Table 14 Collaboration Scenario 2 - 2015 – 2045 Costs and Net Present Value Entity Costs1 (2015-2045) Net Present Value1 FCLWD $247,500,000 $125,600,000 ELCO 82,500,000 38,300,000 NWCWD 180,200,000 83,900,000 City 257,900,000 109,400,000 Total $768,100,000 $357,200,000 1 Includes net R&R and expansionary CIP after PIF adjustments, annual debt service and operating costs. 4.2.3 Scenario 3 – Modified Collaboration Under the Modified Collaboration Scenario all O&M and capital improvement costs are shared by each of the four entities while expansionary capital costs are allocated to the entity needing the capacity. O&M, minor capital and R&R capital improvements are allocated amongst the entities based on each entity’s proportional annual demands. 30 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins Expansionary capital costs are allocated amongst the entities based on relative peak day demand values and incremental demand requirements of each entity. 4.2.3.1 Additional Assumptions for Collaboration Scenario Modified Collaboration costs are based on numerous assumptions consistent with the Collaboration Scenario. Changes in these assumptions could have a material effect on the findings. The following key assumptions are incorporated into the cost calculations: • Same Buy-in costs, O&M, minor capital and R&R capital improvements as well as the timing and cost of the plant expansions as incorporated within the Collaboration scenario • O&M, minor capital and R&R capital improvements expenses are allocated based on each entity’s proportional annual demands as summarized in Appendix D. O&M and minor capital expenses are increased proportionally when the SCFP is expanded, and/or Greenfield plant capacity additions are projected. • Expansionary capital improvement expenses are allocated based on projected peak-day demands in the year prior to the next expansion or when the expanded capacity is fully used. The allocation summarized on Table 15 is based on the incremental peak-day requirements of each entity associated with each individual expansion, after the initial capacity Buy-in reallocates Collaboration entity treatment plant capacity amongst the four entities. • Projected PIF revenues are not incorporated in the financial analysis nor used to offset expansionary capital costs. • Debt funding and/or resulting debt service and interest costs are not factored into the analysis as the Modified Collaboration scenario assumes each entity provides cash to the Collaboration entity at the time of improvement. The analysis makes no determination as to the source of the funding as provided by the entity nor does the analysis incorporate this cost into the NPV calculation. Table 15 Collaboration Expansions (MGD) Summary Year FCLWD ELCO NWCWD City Total Source 2030 4.9 1.4 5.8 2.9 15.0 SCFP Expansion 2037 1.8 1.1 5.4 1.7 10.0 Greenfield 2043 0.0 1.2 7.6 1.2 10.0 Greenfield 2050 0.0 1.0 7.5 0.5 9.0 Greenfield Total 6.7 4.7 26.3 6.3 44.0 31 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins 4.2.3.2 Annual Costs for Modified Collaboration The same cost information is used for the Collaboration and Modified Collaboration scenarios as previously discussed with small differences attributed to rounding. All collaborative R&R CIP costs are shared by the four entities based on each entity relative annual demands. All collaborative expansionary CIP costs are shared by the four entities based on relative peak day capacity demands. Table 16 summarizes the Modified Collaboration Scenario CIP costs by entity. Table 16 Modified Collaboration Scenario 3 - Capital Improvement Plan Entity 2015 2016 2017 2018 2019 2020 2021 - 2045 FCLWD $41,800,0001 $2,400,000 $ 3,300,000 $2,200,000 $2,500,000 $ 900,000 $ 44,400,000 ELCO 3,900,0001 1,000,000 1,300,000 800,000 900,000 300,000 22,200,000 NWCWD 18,500,0001 1,500,000 2,000,000 1,300,000 1,400,000 500,000 75,300,000 City 6,600,000 4,600,000 6,100,000 3,900,000 4,400,000 1,500,000 69,500,000 Total $70,800,000 $9,500,000 $12,700,000 $8,200,000 $9,200,000 $3,200,000 $211,400,000 1 Includes buy-in costs for asset ownership in 2015 before amortization. Costs reflect do not incorporate PIF revenues and assumes no debt funding. 4.2.3.3 Net Present Value for Collaboration Table 17 illustrates the total costs during the study period and net present value for each entity. Again, it must be noted that the values shown on Table 17 do not reflect the capital funding cost (interest on debt borrowing and timing of principal repayments and PIF revenues funding capital costs or available for repayment of debt service) that would be incurred by each entity participating in the capacity additions over the 30-year study period. As such, it is inappropriate to make any comparison of results of the Modified Collaboration scenario to the other two scenarios. 32 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins Table 17 Modified Collaboration Scenario – 2015 - 2045 Costs and Net Present Value Entity Costs1 (2015-2045) Net Present Value1 FCLWD $ 303,400,000 $153,700,000 ELCO 108,200,000 48,300,000 NWCWD 297,100,000 121,500,000 City 326,900,000 141,200,000 Total $1,035,600,000 $464,700,000 1 Includes total R&R and expansionary CIP cash funded capital, annual debt service related to Buy-In costs only and O&M and minor capital costs. 4.3 Comparison of Status Quo and Collaboration Scenarios NPV Costs Once the Status Quo, Collaboration and Modified Collaboration Scenarios were complete, the NPV of each scenario was compared. As stated earlier, the lead driver of potential collaboration is what the financial benefit is for the individual entity and collaboration as a whole. The NPV comparison of the Status Quo, Collaboration and Modified Collaboration Scenarios are summarized in Table 18. Table 18 Net Present Value Cost Comparison of Status Quo, Collaboration and Modified Collaboration Scenarios ($1,000,000’s) Entity Status Quo Collaboration Difference Between Status Quo and Collaboration Modified Collaboration Difference Between Status Quo and Modified Collaboration City $ 207.9 $ 109.4 $ 98.5 $ 141.2 66.7 ELCO 33.0 38.3 -5.3 48.3 -15.3 NWCWD 85.8 83.9 1.9 121.5 -35.7 FCLWD 106.3 125.6 -19.3 153.7 -47.4 Total $ 433.0 $ 357.2 $ 75.8 $ 464.7 -31.7 The comparison in Table 18 of the Status Quo and Collaboration Scenarios illustrate the following results: • The Collaboration scenario produces $76 million of NPV savings to the combined service area over the 30-year study period. 33 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins • There is an apparent benefit disparity for ELCO and FCLWD under the Collaboration Scenario. This is due to assumptions made in the model: o Status Quo Scenario – Expansion of SCFP occurs earlier and at a lower inflation adjusted cost ($1.33 per MGD) compared to the cost of capacity purchased through the Buy-In fee ($2.33 per MGD) and compared to the timing of the SCFP within the Collaboration and Modified Collaboration. o Consolidation – Capacity of the Facility ($2.33 per MGD) is used first and expansion of SCFP occurs later and at a higher inflation adjusted cost expanding SCFP to 60 MGD compared to the timing and costs under the Status Quo Scenario. o O&M expenses are higher under the Collaboration Scenario for all of the Tri-Districts because they are sharing in the Facility’s higher O&M budget and participating in the costs of Facility R&R CIP improvements. The value of the dedicated treatment plant assets of $2.33 per MGD affects the Buy-In costs for the Tri-Districts. A sensitivity analysis was completed to see if the “negative” NPV difference between the Status Quo and Collaboration Scenarios for FCLWD and ELCO may be eliminated by adjusting the upfront value of the plant for the Buy-In calculation. A dedicated treatment plant asset value of $1.15 per MGD results in a NPV of approximately $0 between the Status Quo and Collaboration for FCLWD while the resulting NPV difference for ELCO is - $4.0 million, NWCWD is $10.5 million and the City is $69.4M. The NPV difference between the two scenarios for ELCO is “negative” using any value for the dedicated treatment plant assets, as at $0.01 per MGD; the NPV difference for ELCO is approximately - $2.8 million. 4.4 Sensitivity Analysis Sensitivity analyses were completed for the Status Quo and Collaboration Scenarios regarding the following assumptions and outcomes of the change to assumptions: • Efficiency factor phased more quickly over 5 years instead of 10 years o Reduced O&M costs with faster phasing of O&M efficiencies • Efficiency factor of 10%, rather than 30%, phased over 10 years o Increased O&M costs with 20% lower overall efficiency factor • Efficiency factor of 20%, rather than 30%, phased over 10 years o Increased O&M costs with 10% lower overall efficiency factor 34 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins • $5.00 per MGD (uninflated) Greenfield plant cost rather than $3.50 per MGD (uninflated) o Decreased NPV as cost for Greenfield Plant CIP expansions and the basis for PIF revenues are both increased. Net costs after PIF revenue adjustment are lower resulting in reduced overall NPV under both Status Quo and Collaboration Scenarios. • 3.0% discount factor for NPV calculations based on capital cost inflation rather than 5.0% discount factor based on the interest cost of debt o Increased NPV as the costs are discounted by a lower factor. The NPV difference compared to the base case Status Quo and Collaboration Scenarios varies for each entity as the timing of costs subject to the NPV over the 30 year study period varies. The sensitivity analysis related to O&M cost efficiency factor phasing and efficiency factor percent apply only to the Collaboration Scenario results, i.e., there are no efficiencies associated with the Status Quo Scenario. Tables 19 through 21 summarize the NPV for each sensitivity analysis compared to the base case. Table 19 Net Present Value Cost Comparison of Status Quo, Collaboration and Efficiency Factor Collaboration Scenario Sensitivity Analysis Entity Base Case - Status Quo Base Case - Collaboration 5 Year Phase - Collaboration 10% Eff. Factor - Collaboration 20% Eff. Factor - Collaboration City $207,891,977 $109,418,173 $105,399,000 $131,552,080 $120,021,035 ELCO $32,972,374 38,286,665 37,543,547 42,925,451 40,507,576 NWCWD $85,840,651 83,878,979 82,576,633 92,884,960 88,189,047 FCLWD 106,253,401 125,598,878 123,996,001 135,906,419 130,533,223 Total $432,958,404 $357,182,695 $349,515,181 $403,268,910 $379,250,881 35 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins Table 20 Net Present Value Cost Comparison of Status Quo and Collaboration Scenarios under Base Case and $5.00 Greenfield Plant Sensitivity Entity Base Case - Status Quo Base Case - Collaboration $5 Greenfield - Status Quo $5 Greenfield - Collaboration City $207,891,977 $109,418,173 $194,693,955 $ 96,615,601 ELCO 32,972,374 38,286,665 32,475,331 35,776,647 NWCWD 85,840,651 83,878,979 85,840,651 79,374,111 FCLWD 106,253,401 125,598,878 105,035,497 119,812,534 Total $432,958,404 $357,182,695 $418,045,434 $331,578,893 Table 21 Net Present Value Cost Comparison of Status Quo and Collaboration Scenarios under Base Case and 3% Discount Factor Sensitivity Entity Base Case - Status Quo Base Case - Collaboration 3% Discount - Status Quo 3% Discount - Collaboration City $207,891,977 $109,418,173 $282,541,045 $149,428,074 ELCO 32,972,374 38,286,665 44,906,836 50,556,285 NWCWD 85,840,651 83,878,979 118,233,489 110,655,080 FCLWD 106,253,401 125,598,878 141,787,368 160,621,094 Total $432,958,404 $357,182,695 $587,468,738 $471,260,533 36 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins 5. Summary of Non-Financial Analysis Results 5.1 Non-Financial Attributes While it is understood that the financial benefits are a significant driver of developing a regional solution, there are also important non-financial attributes. Table 22 contains a list that the Workshop 2 participants agreed are non-financial benefits of a regional solution. Table 22 Non-Financial Benefits of Developing a Regional Approach Non-Financial Attributes 1 Each entity’s historical investment is recognized. 2 There is an opportunity to maximize the current treatment plant capital investments estimated to be $ 192 million for the City of Fort Collins and $115 million for the Tri-Districts. 3 A regional entity will collaboratively identify and plan for the Fort Collins and Tri- Districts area future water capacity needs (> 30 years). 4 A regional collaboration will leverage collective bonding authority for infrastructure improvements. 5 A regional collaboration will send a positive signal to both the customers and Fort Collins and Tri-Districts area business community. 6 Equal governance representation of the four entities (one entity one vote) will be ensured in the management and operation of the treatment plants. The likely alternative to access the available excess production at the City’s water treatment plant is become a customer of the City of Fort Collins without the benefits afforded by regional collaboration. 7 Each entity will retain individual planning control within their service area but will share regional Fort Collins and Tri-Districts area planning information to make cost effective long term (> 30 year) treatment plant improvement decisions 8 The ability to wield more governmental power as a group than individually. 9 Will leverage individual strengths for the benefit of the collaboration. 10 A regional approach will create treated water supply reliability and flexibility to meet the Fort Collins and Tri-Districts area water demand in the long term (>30 years). Opportunities to maximize water resource portfolios (Poudre River and CBT sources) by matching the capability of each water treatment plant to the available supply which could potentially bring significant budget savings. 11 An opportunity to provide uniform finished water quality to meet regulatory changes and Fort Collins and Tri-Districts area customer needs. 12 An opportunity to leverage the purchasing power of a collaborative approach to better control treatment plant operation and maintenance costs. 37 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins Non-Financial Attributes 13 The ability to optimize staffing and scheduling of the two treatment plants. 14 Provide cross-training benefits to treatment plant personnel. 15 Standardize employee and operation and health & safety approaches between the two treatment plants. 16 Sends a positive signal to the public regarding government collaboration to enhance efficiency of investment and operation. 5.2 Organizational Model Case Studies Based on input received during Phase 1, RWCC asked to see a summary of attributes for the following governance models: 1. Water Conservation District 2. Title 32 Special District 3. Title 29 Water Authority Following is a brief description of the three case studies evaluated for RWCC: Platte River Power Authority, South Metro Water Supply Authority, and Southeast Public Improvement Metropolitan Water district. A detailed write-up and side-by-side comparison of the case studies is included in Appendix D. 5.2.1 Case Study 1 - Platte River Power Authority (Title 29) The Platte River Power Authority (PRPA) was formed over 40 years ago when four Colorado municipalities combined to create a jointly-owned, economically self- sustaining, not-for-profit electric utility. The four municipalities include Estes Park, Fort Collins, Longmont, and Loveland and they look to the PRPA to provide supplemental power beyond their federal hydropower interests. The PRPA is organized under the "Amended and Restated Organic Contract Establishing Platte River Power Authority as a Separate Governmental Entity" dated September 1, 2010; a 1998 amendment that declared Platte River Power an "enterprise" for purposes of Section 20, Article X of the Colorado Constitution (TABOR); and separate contracts of the Supply of Electric Power and Energy with each of the participating municipalities. The statutory authority for the PRPA is § 29-1-204, C.R.S.; providing authority for municipalities to establish a separate governmental entity, specifically a power 38 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins authority. The governing body is an eight member Board of Directors with two board members appointed from each municipality (the Mayor or mayor appointee and a member appointed by the municipality). The Mayors’ term follows the Mayoral term limits and the appointed directors have a rotating 4-year limit. Because there is an even number of directors, a deadlock is a possibility. Weighted voting is established to break the deadlock. The current term of the PRPA contract is 2050. There is no termination or withdrawal allowed prior to 2050. After 2050 withdrawal is allowed with a 12-month notice as long as there are no outstanding bonds. A formula is established for distribution of assets. A unique provision for PRPA includes broad authority, upon receipt of approval of each Municipality, to "provide additional designated function, service, or facility lawfully authorized to any combination of two or more of the Municipalities, provided that these constitute an 'enterprise' " under TABOR. This additional flexibility allows the Authority to adapt without fully amending the Organic Contract. 5.2.2 Case Study 2 - South Metro Water Supply Authority (Title 29) The South Metro Water Supply Authority (SMWSA) was formed in 2004 and includes fourteen (14) water providers located in Douglas and Arapahoe Counties in Colorado. They are organized under the “First Amended and Restated South Metro Water Supply Authority Intergovernmental Agreement” dated January 1, 2006. The statutory authority is § 29-1-204.2, C.R.S.; providing the authority of municipalities, special districts, or other political subdivisions to establish a separate governmental entity, specifically a water authority. The SMWSA Board is comprised of five Board members (four appointed from the 4- largest member water providers and one from the smaller member water providers who vote for their board seat). There are no term limits for large providers but there is 1-year term (with no limit on the number of terms) for small providers. Some decisions (per contract) require unanimous vote. The term of the district contract is perpetual but any entity can withdraw at will under a specified requirement. Additionally, if the contract is terminated, there is a formula for distribution of assets. District dues are split 2/3 to the four largest providers and 1/3 to the remainder. A participation agreement is required for construction projects and there is no obligation to participate. There is a $20,000 limit on projects above which the Board must unanimously approve. 39 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins 5.2.3 Case Study 3 - Southeast Public Improvement Metropolitan District (Title 32) In the early 1980s, the special districts located in the vicinity of I-25 from I-225 south to Surrey Ridge in Douglas County recognized the need for public improvements in the area. The districts formed the Joint Southeast Public Improvement Authority (JSPIA) to jointly fund the improvements and work cooperatively. In the early 2000s, the members of JSPIA wished to leverage the cooperation among their members and allow a mill levy to be used to fund future improvements. Together, they formed the Southeast Public Improvements Metropolitan District (SPIMD). SPIMD has partnered with the Denver South Economic Development Partnership (a traditional economic development entity) and the Transportation Management Association (TMA) to create a "three-legged stool" to support the economic and public improvement health of the Tech Center. SPIMD includes commercial property within Denver, Arapahoe, and Douglas Counties along I-25. Members include commercial property owners within the SPIMD boundaries and approved by all "governing entities" within the District Boundaries. The governing entities include Denver, Arapahoe County, Douglas County, Greenwood Village, City of Centennial, and Lone Tree. SPIMD is organized under a traditional Metropolitan District Service Plan and Intergovernmental Agreement with all of the member counties and municipalities. The statutory authority is 32-1-101 et seq., C.R.S.; the Special District Act. The governing body is a five member Board of Directors elected at-large. Terms of Office are four years as set by statute. Exclusion from the District is governed by statute. Dissolution of the District is governed by statute and requires approval of eligible electors. Residential property is excluded before there are any sales to general homeowners. SPIMD is also permitted to spend tax money on economic development activities. 5.2.4 Other Entities Considered 1 - Water Conservation District A Water Conservation District is potentially the most powerful and uniquely tailored entity. It is created through the normal State of Colorado legislative process. The legislative process gives this entity its flexibility but also makes it one of the most difficult entities to form. 40 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins The Legislative process includes the following: • Caucus with interested parties o Local legislative delegation; o Local counties, municipalities, and special districts; o Local and statewide special interests (Trout Unlimited, conservation groups, etc.) o West Slope interests and legislators o Southern Colorado interests and legislators • A Bill is drafted and introduced in the House • Negotiated through House committees • Passed by the House • Introduced in the Senate • Negotiated through Senate Committees • Passed by the Senate • Reconcile differences between House bill and Senate Bill (if any) • Signed by the Governor As is often the cases with the legislative process, there are many opportunities for laborious legislative changes and the need for compromise. 5.2.5 Other Entities Considered 2 - Title 29 Intergovernmental Agreement A Title 29 Intergovernmental Agreement ("IGA") is nearly identical to a Title 29 Authority (see the discussion regarding the Platte River Power Authority and the South Metro Water Supply Authority, above) except that it is not a standalone governmental entity. As the result of not being a standalone governmental entity, a Title 29 IGA does not allow ownership of property by the group. All assets must be held in the name of one of the signers of the IGA. It also does not allow issuance of revenue bonds. All revenue bonds must be issued by one of the signers of the IGA. 5.2.6 Summary of Governance Options RWCC provided a list of Deal Breakers (discussed earlier) that would prevent the formation of a regional solution. Based on this list, Table 23 compares the deal breakers with each of the governance options evaluated. 41 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins Table 23 RWCC Deal Breakers and Governance Options RWCC Deal Breakers Title 29 Authority Title 32 Special District Title 29 IGA Conservation District 1 Entity = 1 Vote YES NO YES YES No Say on End Use YES YES YES YES Equitable Treatment of Staff YES YES YES YES Equitable Financial Representation of Assets YES NO YES YES Unanimous Decision to Amend YES NO YES YES Cost of Service Equity YES YES YES YES Revenue Bonds YES YES NO YES Easy to Form YES NO YES NO Property Tax Authority NO1 YES NO YES 1 RWCC does not require taxing authority. The case studies and governing body comparisons indicate that there are a number of choices for forming an authority that could work for RWCC. However, based on the analysis, RWCC should consider forming a Title 29 Authority as it meets the basic criteria of RWCC for developing a regional solution and provides the flexibility to address the interests of the parties. 42 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins 6. Recommendations A foundation for the Phase 2 report is the RWCC agreed to list of “deal breakers” that guided the development of a collaborative solution as follows: 1. Any Collaboration Scenario requires equal representation: 1 entity = 1 vote. 2. Any regional solution can have no decision or say regarding the end use or distribution of water. 3. There must be fair and equitable treatment of all staff. 4. There must be equitable financial representation of all assets that are brought to the table. 5. All charters and other amendments of any regional solution must be made by unanimous decisions by all parties. 6. There must be cost of service clarity (how are expansions to capacity, plant improvements and regulatory issues allotted and paid for). The Phase 2 data analysis illustrates that there is a significant regional benefit to collaboration. A regional collaboration would benefit by approximately $76 million. There are also significant non-financial benefits as summarized in Table 22. What is at issue is the apparent inequity of this combined benefit. The question or challenge for RWCC is, “How should that benefit be shared?” The Project Team believes this “sharing” can be determined in a number of different ways and RWCC can negotiate the best method of making the benefits more equitable. 1. The Project Team recommends that RWCC move forward with a regional Collaboration Scenario and Phase 3 based on the outcomes of Phase 2. Potential regional cost savings of $76 million over 30 years. 2. Regional collaboration has significant non-financial benefits as summarized in Table 22. 3. There are structures to accommodate a combined entity. This will provide the RWCC with the opportunity to identify and develop approaches to the distribution of the estimated $76M of regional benefits to the Fort Collins and Tri- Districts area of a collaborative approach to the water treatment over that of maintaining the Status Quo Scenario. Phase 3 includes the development of a Strategic Implementation Plan that specifies key activities required to establish the organizational model identified in Phase 2 (Title 29 Authority). The Phase 3 Technical Memorandum would be building on the Phase 2 Technical Memorandum to develop with the RWCC a strategic implementation plan that would 43 Technical Memorandum 2 Regional Water Treatment Solutions for The Tri-Districts and City of Fort Collins provide the information to assist the RWCC members on the final decision of the merits of the moving forward or not moving forward with the regional collaboration. Building from the Phase 2 Technical Memorandum, it is recommended in the Phase 3 Technical Memorandum that a strategic implementation plan for consideration by the RWCC members be prepared. Elements should include and address RWCC comments raised in the Phase 2 deliberations including potential organization and staffing structures, governance agreements, service agreements, management authority, as well as implementation phase check list of activities and needed resources with a likely schedule. This would be based on a framework that adheres to the RWCC ‘deal breaker’ list of elements. 44 Appendix A Workshop 2 Discussion Summary MEMO To: Terry Farrill, PE District Engineer Fort Collins – Loveland Water District South Fort Collins Sanitation District 5150 Snead Drive Fort Collins, CO 80525 From: Jason Kerstiens, PE Date: ARCADIS Project No.: December 10, 2013 04141801 Subject: RWCC Workshop # 2 Discussion Summary As part of Phase 2 of the Regional Water Treatment Solutions for the Tri-Districts and City of Fort Collins, ARCADIS conducted Workshop #2 on November 8, 2013. The workshop was held at the City of Fort Collins Treatment Facility (Facility). The workshop began at 8:30 a.m. Attendance: Facilitators: ARCADIS Jack Bryck, Principal in Charge Jason Kerstiens, Project Manager Clare Haas Claveau, Project Engineer Isalah Rounds, Financial Analyst Raftelis Financial Consultants, Inc. Rick Giardina, Financial Analysis Lead Means Consulting, LLC Ed Means, Lead Facilitator Spencer, Fane & Grimshaw, LLP James Hunsaker, Legal Consultant ARCADIS U.S., Inc. 100 Fillmore Street Suite 200 Denver Colorado 80206 Tel 303 316 6500 Fax 303 316 6599 Page: 1/6 RWCC Members and Guests: Mike DiTullio, FCLWD, District Manager Terry Farrill, FCLWD, District Engineer Kathy Hawkins, FCLWD, Controller/Office Manager Jay East, FCLWD, Operations Supervisor Mike Scheid, ELCO, District Manager Randy Siddens, ELCO, District Engineer Vernon Sunset, ELCO, Vice Chairman Board of Directors Loren Maxey, ELCO, Chairman Board of Directors Rick Pickard, NWCWD, Assistant Manager Chuck Achniger, NWCWD, Director Gerry Horak, City of Fort Collins, Mayor Pro Tem Jon Haukaas, City of Fort Collins, Water Engineering and Field Operations Manager Lisa Voytko, City of Fort Collins, Water Production Manager Kevin Gertig, City of Fort Collins, Water Resources and Treatment Manager Lance Smith, City of Fort Collins, Strategic Financial Planning Manager Gino Campana, City of Fort Collins, City Council Member Carrie Daggett, City of Fort Collins, Attorney’s Office Following are highlights of the workshop discussions. Please refer to the attached Agenda and Presentation Slides for details. Review / Discuss Scope and Objectives Ed Means provided an overview of the project that ARCADIS is performing on behalf of the Regional Water Cooperation Committee (RWCC) and Workshop #2 objectives. Summary of October 21st Working Session Jack Bryck discussed this interim working session that allowed the financial team to form assumptions for the financial analysis. Refer to the workshop slides for details. Deal breakers were also reviewed. Workshop participant comments included: • Require equal representation – 1 entity = 1 vote. RWCC would like to see this point communicated that there are 4 entities so 4 total votes. Mr. Bryck also reviewed the direction received from the October 21st working session. Workshop participant comments included: • FCLWD build-out in 2032 and a growth rate of approximately 6.83% to a total of 59.642 MGD There was disagreement on this number – it may be optimistic despite that the growth projection is based on historical growth patterns. • Shift anticipated SCFP expansion to start in 2017. Rick Giardina noted that this assumption will vary in the financial model. Page: 2/6 Additional discussion included using language like “Joint Action Agency” or “Cooperative” as opposed to “Authority”. Demand Projection Review Jason Kerstiens reviewed the current and projected water demand analysis and its assumptions as critical for the financial analysis. Refer to the slides for details. Workshop participant comments included: • Discussion on if the model should account for some water conservation over time • FCLWD uses about 120 gal/day – a number based on empirical data from the historical data set. Some concern was expressed that each of the four entities were using per capita water use in their respective projections of water demand and that perhaps all should use the same. • Depending on increases in the price of the commodity projected demands may change. • The Demand Graph shows the mid-point of projections; RWCC would prefer to see a range • The data used for water demand projections likely needs more review and agreement between parties Summary of Financial Analysis Rick Giardina led the review and discussion of the Financial Analysis. Refer to the workshop slides for details. • Workshop participants agreed that of the five scenarios listed below, the Status Quo with PIFs and Regionalization #3 with PIFs are the two most realistic scenarios to compare (long term). 1. Status Quo with PIFs 2. Status Quo without PIFs 3. Regionalization #1 – No PIFs included as capital cost offset and all future capacity needs are shared by four entities. 4. Regionalization #2 – No PIFs included as capital cost offset and capacity needs beyond 147 MGD are paid for by only the entity needing capacity. 5. Regionalization #3 – PIFs included as capital cost offset and all future capacity needs are shared by four entities. • Financial assumptions used: Page: 3/6 o $2.52/gallon estimated cost of service is based on the City of Fort Collins calculated treatment PIF. This was the amount used in the recent agreement for the purchase of 5 MGD capacity between the City and FCLWD. The current cost of the next capacity expansion project at SCFP is based on $1.33/gallon o Beyond the next capacity expansion at SCFP, $3.50/gallon was used for all subsequent capacity additions. This cost estimate is for a greenfield plant that requires siting, permitting, etc. (as opposed to a retrofit situation). o Workshop participants agreed on the SCFP asset allocation as provided by ELCO. o Asset valuation shows equitable but not equal distribution o The financial analysis is based on the projected peak day demand for each of the RWCC members. These projections were based on current peak day capacity needs and the estimated build-out dates provided by each RWCC member. o Workshop participants agreed that there should be a provision for a 5-year review process to revise projections if necessary. • Financial Analysis Results o Long term, the status quo scenario is more cost effective for FCLWD and NWCWD o Long term, the Regionalization scenario is more cost effective for the City and ELCO o When combining overall costs for all four entities long term, the regionalization scenario has more cost benefits than the status quo scenario Preliminary Conclusion / Discussion of Key Policy Questions Mr. Means led the discussion on advantages and further considerations to forming a regional solution. Refer to the slides for details. There were no further comments on this topic. Case Studies Jim Hunsaker presented case studies and additional information on governing options. Refer to the slides for details. There were no further comments. Open Discussion Mr. Means encouraged the groups to share and discuss their viewpoints on the analysis and the process. Workshop participant comments included: • The financial results were a bit overwhelming and most present felt they needed time to review the assumptions and results. Page: 4/6 • The group would like to see the financial analysis simplified into a couple of graphs including total regional benefit (vs. just individual benefits and costs). • To take back to their respective Boards, RWCC must have concise information to communicate “What’s the buy-in and what does each RWCC member get?” • Some RWCC members felt that some of the financial and projected water demand assumptions made have yet to be quantified and are subject to review and potential modification. • FCLWD voiced that it looks like they are “taking” and not “giving” and that could distort perceptions. This is a reference to the financial analysis Option 3 and Status Quo that shows a positive NPV for the City and ELCO and a negative NPV for FCLWD and NWCWD. • Why not just buy water rather than consolidate (status-quo)? • From a citizen perspective a regional approach is positive since the water district lines cross City- limit borders. It can provide a more global look at the area. • There is the opportunity to hedge risk – a larger group can deal better with fire, other emergencies, etc. • Some RWCC members recognize a global benefit to consolidation exists but the numbers need to make sense. • A graphic is needed to show how the City could “share” some of the indicated financial advantages to make regionalization more attractive for the Tri-Districts. • A future regionalization could look at distribution since there are connection and metering agreements already. • What is the unit cost? • Workshop participants indicated that the information presented at the workshop was significantly lacking and confusing. ARCADIS needs to provide definitive and specific conclusions, recommendations, costs, benefits, considerations, etc. • Kathy Hawkins and Lance Smith indicated that a meeting is needed with Rick Giardina to discuss financial assumptions, details, how the analysis was derived, the logic behind the valuation and merger of assets analysis, etc. ELCO and NWCWD would like to attend the meeting. Page: 5/6 Mr. Means raised the concept of pursuing a “mini” Phase 3. The workshop participants agreed that they want to finish Phase 2 by making adjustments and showing sensitivity in analysis. Summary of the general messages moving forward: • All four parties need to be ‘financial winners’ despite other advantages to regionalization. • There is a need to find pathways to carve out common financial benefits. • RWCC must think long-term. • Existing governance models work and can be replicated. • Regional approach for water treatment is a springboard for other area issues and a step forward in regional cooperation. • Takes debt off individuals and puts on larger entity. • Unique opportunity right now Next Steps • RWCC members prepare questions on analysis for ARCADIS. • ARCADIS will prepare Phase 2 Technical Memorandum for delivery to RWCC in December. • RWCC members and stakeholders present summary and recommendations to individual boards after receiving the Phase 2 Technical Memorandum. Attachments: November 8th Workshop Agenda November 8th Workshop Presentation Slides Page: 6/6 Appendix B Capital Improvement Plans 1. Status Quo Scenario CIP for both facilities. Two regulatory projects and a regionalization connection project were added for SCFP. PIF revenue adjustments for expansion projects for each entity are shown below the CIPs. 2. Collaboration Scenario CIP. Two regulatory projects and a regionalization connection project were added for SCFP. Additional capacity projects are projected after SCFP is expanded to capacity. PIF revenue adjustments for expansion projects are shown below the CIP. CIP for Status Quo Scenario ($) STATUS QUO CIP 2015 2016 2017 2018 2019 2020 2021 Soldier Canyon (NON-INFLATED COSTS) Plant Expansion (45 MGD to 60 MGD) 0 0 0 0 0 20,000,000 0 Repair & Replacement 500,000 500,000 500,000 500,000 500,000 500,000 500,000 GAC - Granular Active Carbon Filtration 0 0 0 0 0 0 0 Regionalization Connections Project 975,000 0 0 0 0 0 0 Disinfection System 0 0 550,552 2,488,068 2,583,112 0 0 Total SCFP 1,475,000 500,000 1,050,552 2,988,068 3,083,112 20,500,000 500,000 SCFP Improvements 1,475,000 500,000 1,050,552 2,988,068 3,083,112 500,000 500,000 SCFP Expansion 0 0 0 0 0 20,000,000 0 Total SCFP 1,475,000 500,000 1,050,552 2,988,068 3,083,112 20,500,000 500,000 FTC (NON-INFLATED COSTS) Hydro Generation Project 0 0 0 0 0 0 0 Chlorine Contact Basin 5,259,457 5,460,369 0 0 0 0 0 Disinfection System 0 0 1,064,401 4,810,264 4,994,016 0 0 Halligan Reservoir 0 0 0 0 0 0 0 Replacement Program 2015 2,091,205 0 0 0 0 0 0 Replacement Program 2016 0 2,581,182 0 0 0 0 0 Replacement Program 2017 0 0 2,516,995 0 0 0 0 Replacement Program 2018 0 0 0 450,000 0 0 0 Replacement Program 2019 0 0 0 0 1,167,521 0 0 Replacement Program 2020 0 0 0 0 0 2,634,436 0 Replacement Program Beyond 2020 0 0 0 0 0 0 1,500,000 Finished Water Metering 500,000 600,000 0 0 0 0 0 Water Production Division - Master Plan Update 500,000 0 0 0 0 0 0 REP Michigan Ditch Support Structures/Source of Supply 0 0 0 0 0 0 0 Backwash Pump VFD 285,000 0 0 0 0 0 0 GAC - Granular Active Carbon Filtration 0 0 0 0 0 0 0 Solids Handling and Treatment 0 300,000 8,000,000 0 0 0 0 Presedimentation upgrades 3,000,000 0 0 0 0 0 0 Regionalization Connections Project 325,000 0 0 0 0 0 0 Total City Facility 11,960,662 8,941,551 11,581,396 5,260,264 6,161,537 2,634,436 1,500,000 City Facility Improvements 11,960,662 8,941,551 11,581,396 5,260,264 6,161,537 2,634,436 1,500,000 City Facility Expansion 0 0 0 0 0 0 0 Total City Facility 11,960,662 8,941,551 11,581,396 5,260,264 6,161,537 2,634,436 1,500,000 TRI-DISTRICTS COSTS DRIVEN BY PROJECTED DEMAND (INFLATED COSTS) ELCO Additional Capacity Purchased 0 0 0 0 0 0 0 FCLWD Additional Capacity Purchased 0 12,359,485 0 0 0 0 0 NWCWD Additional Capacity Purchased 0 0 0 13,112,178 0 0 0 PIF Adjustments ELCO Expansion Gross SCFP Expansion (after inflation) 0 0 0 0 0 5,518,744 0 PIF Revenue Adjustment 0 0 0 0 0 (2,316,147) 0 Net SCFP Expansion (after inflation) 0 0 0 0 0 3,202,597 0 Net SCFP Expansion (before inflation) 0 0 0 0 0 2,682,125 0 ELCO Expansion Purchases Gross Additional Capacity (after inflation) 0 0 0 0 0 0 0 PIF Revenue Adjustment 0 0 0 0 0 0 0 Net Additional Capacity (after inflation) 0 0 0 0 0 0 0 Net Additional Capacity (before inflation) 0 0 0 0 0 0 0 FCLWD Expansion Gross SCFP Expansion (inflation adjusted) 0 0 0 0 0 10,053,045 0 PIF Revenue Adjustment 0 0 0 0 0 (10,053,045) 0 Net Additional Capacity (after inflation) 0 0 0 0 0 0 0 Net Additional Capacity (before inflation) 0 0 0 0 0 0 0 FCLWD Expansion Purchases Gross Additional Capacity (inflation adjusted) 0 12,359,485 0 0 0 0 0 PIF Revenue Adjustment 0 (3,083,872) 0 0 0 0 0 Net Additional Capacity (after inflation) 0 9,275,614 0 0 0 0 0 CIP for Status Quo Scenario ($) STATUS QUO CIP Soldier Canyon (NON-INFLATED COSTS) Plant Expansion (45 MGD to 60 MGD) Repair & Replacement GAC - Granular Active Carbon Filtration Regionalization Connections Project Disinfection System Total SCFP SCFP Improvements SCFP Expansion Total SCFP FTC (NON-INFLATED COSTS) Hydro Generation Project Chlorine Contact Basin Disinfection System Halligan Reservoir Replacement Program 2015 Replacement Program 2016 Replacement Program 2017 Replacement Program 2018 Replacement Program 2019 Replacement Program 2020 Replacement Program Beyond 2020 Finished Water Metering Water Production Division - Master Plan Update REP Michigan Ditch Support Structures/Source of Supply Backwash Pump VFD GAC - Granular Active Carbon Filtration Solids Handling and Treatment Presedimentation upgrades Regionalization Connections Project Total City Facility City Facility Improvements City Facility Expansion Total City Facility TRI-DISTRICTS COSTS DRIVEN BY PROJECTED DEMAND (INFLATED COSTS) ELCO Additional Capacity Purchased FCLWD Additional Capacity Purchased NWCWD Additional Capacity Purchased PIF Adjustments ELCO Expansion Gross SCFP Expansion (after inflation) PIF Revenue Adjustment Net SCFP Expansion (after inflation) Net SCFP Expansion (before inflation) ELCO Expansion Purchases Gross Additional Capacity (after inflation) PIF Revenue Adjustment Net Additional Capacity (after inflation) Net Additional Capacity (before inflation) FCLWD Expansion Gross SCFP Expansion (inflation adjusted) PIF Revenue Adjustment Net Additional Capacity (after inflation) Net Additional Capacity (before inflation) FCLWD Expansion Purchases Gross Additional Capacity (inflation adjusted) PIF Revenue Adjustment Net Additional Capacity (after inflation) CIP for Status Quo Scenario ($) STATUS QUO CIP Soldier Canyon (NON-INFLATED COSTS) Plant Expansion (45 MGD to 60 MGD) Repair & Replacement GAC - Granular Active Carbon Filtration Regionalization Connections Project Disinfection System Total SCFP SCFP Improvements SCFP Expansion Total SCFP FTC (NON-INFLATED COSTS) Hydro Generation Project Chlorine Contact Basin Disinfection System Halligan Reservoir Replacement Program 2015 Replacement Program 2016 Replacement Program 2017 Replacement Program 2018 Replacement Program 2019 Replacement Program 2020 Replacement Program Beyond 2020 Finished Water Metering Water Production Division - Master Plan Update REP Michigan Ditch Support Structures/Source of Supply Backwash Pump VFD GAC - Granular Active Carbon Filtration Solids Handling and Treatment Presedimentation upgrades Regionalization Connections Project Total City Facility City Facility Improvements City Facility Expansion Total City Facility TRI-DISTRICTS COSTS DRIVEN BY PROJECTED DEMAND (INFLATED COSTS) ELCO Additional Capacity Purchased FCLWD Additional Capacity Purchased NWCWD Additional Capacity Purchased PIF Adjustments ELCO Expansion Gross SCFP Expansion (after inflation) PIF Revenue Adjustment Net SCFP Expansion (after inflation) Net SCFP Expansion (before inflation) ELCO Expansion Purchases Gross Additional Capacity (after inflation) PIF Revenue Adjustment Net Additional Capacity (after inflation) Net Additional Capacity (before inflation) FCLWD Expansion Gross SCFP Expansion (inflation adjusted) PIF Revenue Adjustment Net Additional Capacity (after inflation) Net Additional Capacity (before inflation) FCLWD Expansion Purchases Gross Additional Capacity (inflation adjusted) PIF Revenue Adjustment Net Additional Capacity (after inflation) CIP for Status Quo Scenario ($) STATUS QUO CIP Soldier Canyon (NON-INFLATED COSTS) Plant Expansion (45 MGD to 60 MGD) Repair & Replacement GAC - Granular Active Carbon Filtration Regionalization Connections Project Disinfection System Total SCFP SCFP Improvements SCFP Expansion Total SCFP FTC (NON-INFLATED COSTS) Hydro Generation Project Chlorine Contact Basin Disinfection System Halligan Reservoir Replacement Program 2015 Replacement Program 2016 Replacement Program 2017 Replacement Program 2018 Replacement Program 2019 Replacement Program 2020 Replacement Program Beyond 2020 Finished Water Metering Water Production Division - Master Plan Update REP Michigan Ditch Support Structures/Source of Supply Backwash Pump VFD GAC - Granular Active Carbon Filtration Solids Handling and Treatment Presedimentation upgrades Regionalization Connections Project Total City Facility City Facility Improvements City Facility Expansion Total City Facility TRI-DISTRICTS COSTS DRIVEN BY PROJECTED DEMAND (INFLATED COSTS) ELCO Additional Capacity Purchased FCLWD Additional Capacity Purchased NWCWD Additional Capacity Purchased PIF Adjustments ELCO Expansion Gross SCFP Expansion (after inflation) PIF Revenue Adjustment Net SCFP Expansion (after inflation) Net SCFP Expansion (before inflation) ELCO Expansion Purchases Gross Additional Capacity (after inflation) PIF Revenue Adjustment Net Additional Capacity (after inflation) Net Additional Capacity (before inflation) FCLWD Expansion Gross SCFP Expansion (inflation adjusted) PIF Revenue Adjustment Net Additional Capacity (after inflation) Net Additional Capacity (before inflation) FCLWD Expansion Purchases Gross Additional Capacity (inflation adjusted) PIF Revenue Adjustment Net Additional Capacity (after inflation) CIP for Collaboration Scenario ($) COLLABORATION CIP 2015 2016 2017 2018 2019 2020 2021 2022 Soldier Canyon (NON-INFLATED COSTS) Plant Expansion or New Plant 0 0 0 0 0 0 0 0 Repair & Replacement 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 GAC - Granular Active Carbon Filtration 0 0 0 0 0 0 0 0 Regionalization Connections Project 975,000 0 0 0 0 0 0 0 Disinfection System 0 0 550,552 2,488,068 2,583,112 0 0 0 Total SCFP 1,475,000 500,000 1,050,552 2,988,068 3,083,112 500,000 500,000 500,000 SCFP Improvements 1,475,000 500,000 1,050,552 2,988,068 3,083,112 500,000 500,000 500,000 SCFP Expansion 0 0 0 0 0 0 0 0 Total SCFP 1,475,000 500,000 1,050,552 2,988,068 3,083,112 500,000 500,000 500,000 FTC (NON-INFLATED COSTS) Hydro Generation Project 0 0 0 0 0 0 0 0 Chlorine Contact Basin 5,259,457 5,460,369 0 0 0 0 0 0 Disinfection System 0 0 1,064,401 4,810,264 4,994,016 0 0 0 Halligan Reservoir 0 0 0 0 0 0 0 0 Replacement Program 2015 2,091,205 0 0 0 0 0 0 0 Replacement Program 2016 0 2,581,182 0 0 0 0 0 0 Replacement Program 2017 0 0 2,516,995 0 0 0 0 0 Replacement Program 2018 0 0 0 450,000 0 0 0 0 Replacement Program 2019 0 0 0 0 1,167,521 0 0 0 Replacement Program 2020 0 0 0 0 0 2,634,436 0 0 Replacement Program Beyond 2020 0 0 0 0 0 0 1,500,000 1,500,000 Finished Water Metering 500,000 600,000 0 0 0 0 0 0 Water Production Division - Master Plan Update 500,000 0 0 0 0 0 0 0 REP Michigan Ditch Support Structures/Source of Supply 0 0 0 0 0 0 0 0 Backwash Pump VFD 285,000 0 0 0 0 0 0 0 GAC - Granular Active Carbon Filtration 0 0 0 0 0 0 0 0 Solids Handling and Treatment 0 300,000 8,000,000 0 0 0 0 0 Presedimentation upgrades 3,000,000 0 0 0 0 0 0 0 Regionalization Connections Project 325,000 0 0 0 0 0 0 0 Total City Facility 11,960,662 8,941,551 11,581,396 5,260,264 6,161,537 2,634,436 1,500,000 1,500,000 City Facility Improvements 11,960,662 8,941,551 11,581,396 5,260,264 6,161,537 2,634,436 1,500,000 1,500,000 City Facility Expansion 0 0 0 0 0 0 0 0 Total City Facility 11,960,662 8,941,551 11,581,396 5,260,264 6,161,537 2,634,436 1,500,000 1,500,000 Total Regional Improvements 13,435,662 9,441,551 12,631,948 8,248,332 9,244,649 3,134,436 2,000,000 2,000,000 Total Regional Expansion Gross Expansion (after inflation) 0 0 0 0 0 0 0 0 PIF Revenue Adjustment 0 0 0 0 0 0 0 0 Net Regional Expansion (after inflation) 0 0 0 0 0 0 0 0 Net Regional Expansion (before inflation) 0 0 0 0 0 0 0 0 Total Remaining Regional Facility 13,435,662 9,441,551 12,631,948 8,248,332 9,244,649 3,134,436 2,000,000 2,000,000 Buy-In Regional Facility ELCO 2,501,680 0 0 0 0 0 0 0 FCLWD 38,412,918 0 0 0 0 0 0 0 NWCWD 16,419,002 0 0 0 0 0 0 0 City (57,333,599) 0 0 0 0 0 0 0 B - 5 CIP for Collaboration Scenario ($) COLLABORATION CIP Soldier Canyon (NON-INFLATED COSTS) Plant Expansion or New Plant Repair & Replacement GAC - Granular Active Carbon Filtration Regionalization Connections Project Disinfection System Total SCFP SCFP Improvements SCFP Expansion Total SCFP FTC (NON-INFLATED COSTS) Hydro Generation Project Chlorine Contact Basin Disinfection System Halligan Reservoir Replacement Program 2015 Replacement Program 2016 Replacement Program 2017 Replacement Program 2018 Replacement Program 2019 Replacement Program 2020 Replacement Program Beyond 2020 Finished Water Metering Water Production Division - Master Plan Update REP Michigan Ditch Support Structures/Source of Supply Backwash Pump VFD GAC - Granular Active Carbon Filtration Solids Handling and Treatment Presedimentation upgrades Regionalization Connections Project Total City Facility City Facility Improvements City Facility Expansion Total City Facility Total Regional Improvements Total Regional Expansion Gross Expansion (after inflation) PIF Revenue Adjustment Net Regional Expansion (after inflation) Net Regional Expansion (before inflation) Total Remaining Regional Facility Buy-In Regional Facility ELCO FCLWD NWCWD City 2023 2024 2025 2026 2027 2028 2029 2030 0 0 0 0 0 0 20,000,000 0 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 0 0 0 31,724,138 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 500,000 500,000 500,000 32,224,138 500,000 500,000 20,500,000 500,000 500,000 500,000 500,000 32,224,138 500,000 500,000 500,000 500,000 0 0 0 0 0 0 20,000,000 0 500,000 500,000 500,000 32,224,138 500,000 500,000 20,500,000 500,000 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 CIP for Collaboration Scenario ($) COLLABORATION CIP Soldier Canyon (NON-INFLATED COSTS) Plant Expansion or New Plant Repair & Replacement GAC - Granular Active Carbon Filtration Regionalization Connections Project Disinfection System Total SCFP SCFP Improvements SCFP Expansion Total SCFP FTC (NON-INFLATED COSTS) Hydro Generation Project Chlorine Contact Basin Disinfection System Halligan Reservoir Replacement Program 2015 Replacement Program 2016 Replacement Program 2017 Replacement Program 2018 Replacement Program 2019 Replacement Program 2020 Replacement Program Beyond 2020 Finished Water Metering Water Production Division - Master Plan Update REP Michigan Ditch Support Structures/Source of Supply Backwash Pump VFD GAC - Granular Active Carbon Filtration Solids Handling and Treatment Presedimentation upgrades Regionalization Connections Project Total City Facility City Facility Improvements City Facility Expansion Total City Facility Total Regional Improvements Total Regional Expansion Gross Expansion (after inflation) PIF Revenue Adjustment Net Regional Expansion (after inflation) Net Regional Expansion (before inflation) Total Remaining Regional Facility Buy-In Regional Facility ELCO FCLWD NWCWD City 2031 2032 2033 2034 2035 2036 2037 2038 0 0 0 0 0 0 69,075,528 0 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 500,000 500,000 500,000 500,000 500,000 500,000 69,575,528 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 0 0 0 0 0 0 69,075,528 0 500,000 500,000 500,000 500,000 500,000 500,000 69,575,528 500,000 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 CIP for Collaboration Scenario ($) COLLABORATION CIP Soldier Canyon (NON-INFLATED COSTS) Plant Expansion or New Plant Repair & Replacement GAC - Granular Active Carbon Filtration Regionalization Connections Project Disinfection System Total SCFP SCFP Improvements SCFP Expansion Total SCFP FTC (NON-INFLATED COSTS) Hydro Generation Project Chlorine Contact Basin Disinfection System Halligan Reservoir Replacement Program 2015 Replacement Program 2016 Replacement Program 2017 Replacement Program 2018 Replacement Program 2019 Replacement Program 2020 Replacement Program Beyond 2020 Finished Water Metering Water Production Division - Master Plan Update REP Michigan Ditch Support Structures/Source of Supply Backwash Pump VFD GAC - Granular Active Carbon Filtration Solids Handling and Treatment Presedimentation upgrades Regionalization Connections Project Total City Facility City Facility Improvements City Facility Expansion Total City Facility Total Regional Improvements Total Regional Expansion Gross Expansion (after inflation) PIF Revenue Adjustment Net Regional Expansion (after inflation) Net Regional Expansion (before inflation) Total Remaining Regional Facility Buy-In Regional Facility ELCO FCLWD NWCWD City 2039 2040 2041 2042 2043 2044 2045 0 0 0 0 82,479,793 0 0 500,000 500,000 500,000 500,000 500,000 500,000 500,000 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 500,000 500,000 500,000 500,000 82,979,793 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 0 0 0 0 82,479,793 0 0 500,000 500,000 500,000 500,000 82,979,793 500,000 500,000 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Appendix C Budget Information and Annual O&M and Capital Costs 1. Allocated O&M under Status Quo and Collaboration Scenarios 2. Total O&M Under Status Quo and Collaboration Scenarios 3. Summary Facility and SCFP Budget 4. 2013 Facility budget 5. 2014 SCFP budget 6. Historical and Projected Peak-Day, Annual and Peaking Factors by Entity Budget Allocation Based on Annual Demand SCFPBudget Split Fort Collins - Loveland Water District (FCLWD) East Larimer County Water District (ELCO) North Weld County Water District (NWCWD) Combined Facilities Budget Split City of Ft. Collins (City) Fort Collins - Loveland Water District (FCLWD) East Larimer County Water District (ELCO) North Weld County Water District (NWCWD) Fort Collins - Loveland Water District (FCLWD) North Weld County Water District (NWCWD) Status Quo - O&M and Minor Capital Excluding Incremental Purchases from City City of Ft. Collins (City) Fort Collins - Loveland Water District (FCLWD) East Larimer County Water District (ELCO) North Weld County Water District (NWCWD) Status Quo - O&M and Minor Capital Including Incremental Purchases from City City of Ft. Collins (City) Fort Collins - Loveland Water District (FCLWD) East Larimer County Water District (ELCO) North Weld County Water District (NWCWD) Collaboration - O&M and Minor Capital City of Ft. Collins (City) Fort Collins - Loveland Water District (FCLWD) East Larimer County Water District (ELCO) North Weld County Water District (NWCWD) 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 42.31% 42.86% 43.36% 43.81% 44.21% 44.57% 44.90% 45.19% 45.45% 45.67% 45.44% 45.20% 44.96% 44.72% 44.47% 44.23% 43.98% 21.33% 21.10% 20.89% 20.68% 20.49% 20.30% 20.13% 19.95% 19.79% 19.63% 19.62% 19.61% 19.60% 19.57% 19.55% 19.51% 19.47% 36.37% 36.04% 35.76% 35.51% 35.30% 35.12% 34.98% 34.86% 34.77% 34.70% 34.94% 35.19% 35.44% 35.71% 35.98% 36.27% 36.56% 55.03% 54.48% 53.96% 53.45% 52.96% 52.48% 51.98% 51.50% 51.03% 50.58% 50.33% 50.00% 49.67% 49.34% 49.02% 48.70% 48.32% 19.03% 19.51% 19.96% 20.39% 20.80% 21.18% 21.56% 21.92% 22.26% 22.57% 22.57% 22.60% 22.63% 22.65% 22.67% 22.69% 22.73% 9.59% 9.60% 9.62% 9.63% 9.64% 9.65% 9.66% 9.68% 9.69% 9.70% 9.75% 9.81% 9.86% 9.92% 9.96% 10.01% 10.06% 16.35% 16.40% 16.46% 16.53% 16.61% 16.69% 16.79% 16.91% 17.02% 17.15% 17.35% 17.59% 17.84% 18.09% 18.34% 18.61% 18.89% 438,479 611,526 797,219 991,968 1,161,092 1,342,158 1,395,844 1,451,678 1,509,745 1,570,135 1,632,941 1,698,258 1,766,188 1,836,836 1,910,309 1,986,722 2,066,191 - - - 740,275 769,886 800,681 832,708 866,017 900,657 936,684 974,151 1,013,117 1,053,642 1,095,788 1,139,619 1,185,204 1,232,612 $ 7,847,314 $ 8,161,207 $ 8,487,655 $ 8,827,161 $ 9,180,248 $ 9,547,457 $ 9,929,356 $ 10,326,530 $ 10,739,591 $ 11,169,175 $ 11,615,942 $ 12,080,580 $ 12,563,803 $ 13,066,355 $ 13,589,009 $ 14,132,569 $ 14,697,872 $ 1,570,896 $ 1,655,105 $ 1,741,333 $ 1,829,735 $ 1,920,463 $ 2,013,664 $ 2,109,482 $ 2,208,062 $ 2,309,544 $ 2,815,872 $ 2,913,470 $ 3,014,195 $ 3,118,145 $ 3,225,418 $ 3,336,118 $ 3,450,346 $ 3,568,208 $ 791,849 $ 814,783 $ 838,791 $ 863,873 $ 890,029 $ 917,261 $ 945,573 $ 974,970 $ 1,005,458 $ 1,210,082 $ 1,258,318 $ 1,308,027 $ 1,359,232 $ 1,411,951 $ 1,466,205 $ 1,522,011 $ 1,579,389 $ 1,350,376 $ 1,391,759 $ 1,435,988 $ 1,483,148 $ 1,533,335 $ 1,586,655 $ 1,643,228 $ 1,703,183 $ 1,766,661 $ 2,139,797 $ 2,240,594 $ 2,346,654 $ 2,458,255 $ 2,575,687 $ 2,699,256 $ 2,829,285 $ 2,966,111 $ 11,560,435 $ 12,022,853 $ 12,503,767 $ 13,003,918 $ 13,524,074 $ 14,065,037 $ 14,627,639 $ 15,212,744 $ 15,821,254 $ 17,334,926 $ 18,028,323 $ 18,749,456 $ 19,499,434 $ 20,279,411 $ 21,090,588 $ 21,934,211 $ 22,811,580 $ 7,847,314 $ 8,161,207 $ 8,487,655 $ 8,827,161 $ 9,180,248 $ 9,547,457 $ 9,929,356 $ 10,326,530 $ 10,739,591 $ 11,169,175 $ 11,615,942 $ 12,080,580 $ 12,563,803 $ 13,066,355 $ 13,589,009 $ 14,132,569 $ 14,697,872 $ 2,009,375 $ 2,266,631 $ 2,538,552 $ 2,821,703 $ 3,081,555 $ 3,355,822 $ 3,505,327 $ 3,659,740 $ 3,819,290 $ 4,386,007 $ 4,546,410 $ 4,712,453 $ 4,884,333 $ 5,062,254 $ 5,246,427 $ 5,437,068 $ 5,634,399 $ 791,849 $ 814,783 $ 838,791 $ 863,873 $ 890,029 $ 917,261 $ 945,573 $ 974,970 $ 1,005,458 $ 1,210,082 $ 1,258,318 $ 1,308,027 $ 1,359,232 $ 1,411,951 $ 1,466,205 $ 1,522,011 $ 1,579,389 $ 1,350,376 $ 1,391,759 $ 1,435,988 $ 2,223,423 $ 2,303,221 $ 2,387,337 $ 2,475,937 $ 2,569,200 $ 2,667,318 $ 3,076,481 $ 3,214,745 $ 3,359,771 $ 3,511,897 $ 3,671,474 $ 3,838,875 $ 4,014,489 $ 4,198,723 $ 11,998,914 $ 12,634,379 $ 13,300,986 $ 14,736,161 $ 15,455,052 $ 16,207,877 $ 16,856,192 $ 17,530,439 $ 18,231,657 $ 19,841,745 $ 20,635,415 $ 21,460,831 $ 22,319,264 $ 23,212,035 $ 24,140,516 $ 25,106,137 $ 26,110,383 $ 6,170,720 $ 6,163,232 $ 6,157,367 $ 6,153,020 $ 6,150,096 $ 6,148,506 $ 6,143,693 $ 6,140,104 $ 6,137,667 $ 6,136,812 $ 6,351,675 $ 6,561,967 $ 6,779,357 $ 7,004,073 $ 7,236,351 $ 8,326,028 $ 8,592,434 $ 2,133,482 $ 2,206,896 $ 2,278,274 $ 2,347,759 $ 2,415,480 $ 2,481,555 $ 2,548,103 $ 2,613,218 $ 2,676,986 $ 2,738,732 $ 2,847,563 $ 2,965,795 $ 3,088,347 $ 3,215,370 $ 3,347,020 $ 3,879,304 $ 4,041,124 $ 1,075,434 $ 1,086,421 $ 1,097,433 $ 1,108,448 $ 1,119,442 $ 1,130,394 $ 1,142,184 $ 1,153,866 $ 1,165,423 $ 1,176,932 $ 1,229,853 $ 1,287,024 $ 1,346,243 $ 1,407,553 $ 1,470,996 $ Budget Allocation Based on Annual Demand SCFPBudget Split Fort Collins - Loveland Water District (FCLWD) East Larimer County Water District (ELCO) North Weld County Water District (NWCWD) Combined Facilities Budget Split City of Ft. Collins (City) Fort Collins - Loveland Water District (FCLWD) East Larimer County Water District (ELCO) North Weld County Water District (NWCWD) Fort Collins - Loveland Water District (FCLWD) North Weld County Water District (NWCWD) Status Quo - O&M and Minor Capital Excluding Incremental Purchases from City City of Ft. Collins (City) Fort Collins - Loveland Water District (FCLWD) East Larimer County Water District (ELCO) North Weld County Water District (NWCWD) Status Quo - O&M and Minor Capital Including Incremental Purchases from City City of Ft. Collins (City) Fort Collins - Loveland Water District (FCLWD) East Larimer County Water District (ELCO) North Weld County Water District (NWCWD) Collaboration - O&M and Minor Capital City of Ft. Collins (City) Fort Collins - Loveland Water District (FCLWD) East Larimer County Water District (ELCO) North Weld County Water District (NWCWD) 2032 2033 2034 2035 2036 2037 2038 2039 2040 2041 2042 2043 2044 2045 43.73% 43.47% 43.22% 42.96% 42.71% 42.45% 42.19% 41.92% 41.66% 41.06% 40.46% 39.87% 39.29% 38.71% 19.42% 19.36% 19.30% 19.23% 19.15% 19.07% 18.98% 18.88% 18.78% 18.78% 18.77% 18.75% 18.72% 18.68% 36.86% 37.17% 37.48% 37.81% 38.14% 38.48% 38.84% 39.19% 39.56% 40.16% 40.77% 41.38% 41.99% 42.61% 47.95% 47.58% 47.22% 46.86% 46.49% 46.13% 45.77% 45.42% 45.07% 44.80% 44.53% 44.26% 43.98% 43.71% 22.76% 22.79% 22.81% 22.83% 22.85% 22.87% 22.88% 22.88% 22.88% 22.66% 22.45% 22.23% 22.01% 21.79% 10.11% 10.15% 10.18% 10.22% 10.25% 10.27% 10.29% 10.31% 10.32% 10.37% 10.41% 10.45% 10.49% 10.52% 19.18% 19.48% 19.78% 20.09% 20.41% 20.73% 21.06% 21.39% 21.73% 22.17% 22.61% 23.06% 23.52% 23.99% 2,148,838 2,234,792 2,324,184 2,417,151 2,513,837 2,614,390 2,718,966 2,827,725 2,940,834 3,058,467 3,180,806 3,308,038 3,440,359 3,577,974 1,281,916 1,333,193 1,386,521 1,441,982 1,499,661 1,559,647 1,622,033 1,686,915 1,754,391 1,824,567 1,897,549 1,973,451 2,052,390 2,134,485 $ 15,285,787 $ 15,897,218 $ 16,533,107 $ 17,194,432 $ 17,882,209 $ 18,597,497 $ 19,341,397 $ 20,115,053 $ 20,919,655 $ 21,756,441 $ 22,626,699 $ 23,531,767 $ 24,473,037 $ 25,451,959 $ 3,689,812 $ 3,815,266 $ 3,944,682 $ 4,757,867 $ 4,918,492 $ 5,084,138 $ 5,254,943 $ 5,431,045 $ 5,612,586 $ 5,753,080 $ 6,879,290 $ 7,050,148 $ 7,224,541 $ 7,402,504 $ 1,638,354 $ 1,698,924 $ 1,761,116 $ 2,129,102 $ 2,205,494 $ 2,283,830 $ 2,364,124 $ 2,446,392 $ 2,530,648 $ 2,631,764 $ 3,191,360 $ 3,315,337 $ 3,442,330 $ 3,572,343 $ 3,110,090 $ 3,261,595 $ 3,421,019 $ 4,186,903 $ 4,392,841 $ 4,609,533 $ 4,837,533 $ 5,077,427 $ 5,329,825 $ 5,627,138 $ 6,930,555 $ 7,315,767 $ 7,721,632 $ 8,149,195 $ 23,724,043 $ 24,673,005 $ 25,659,925 $ 28,268,304 $ 29,399,036 $ 30,574,997 $ 31,797,997 $ 33,069,917 $ 34,392,714 $ 35,768,422 $ 39,627,903 $ 41,213,019 $ 42,861,540 $ 44,576,001 $ 15,285,787 $ 15,897,218 $ 16,533,107 $ 17,194,432 $ 17,882,209 $ 18,597,497 $ 19,341,397 $ 20,115,053 $ 20,919,655 $ 21,756,441 $ 22,626,699 $ 23,531,767 $ 24,473,037 $ 25,451,959 $ 5,838,650 $ 6,050,058 $ 6,268,866 $ 7,175,018 $ 7,432,329 $ 7,698,528 $ 7,973,909 $ 8,258,770 $ 8,553,419 $ 8,811,547 $ 10,060,095 $ 10,358,186 $ 10,664,900 $ 10,980,478 $ 1,638,354 $ 1,698,924 $ 1,761,116 $ 2,129,102 $ 2,205,494 $ 2,283,830 $ 2,364,124 $ 2,446,392 $ 2,530,648 $ 2,631,764 $ 3,191,360 $ 3,315,337 $ 3,442,330 $ 3,572,343 $ 4,392,006 $ 4,594,788 $ 4,807,540 $ 5,628,885 $ 5,892,502 $ 6,169,180 $ 6,459,567 $ 6,764,341 $ 7,084,216 $ 7,451,705 $ 8,828,104 $ 9,289,218 $ 9,774,021 $ 10,283,680 $ 27,154,798 $ 28,240,990 $ 29,370,629 $ 32,127,436 $ 33,412,534 $ 34,749,035 $ 36,138,997 $ 37,584,556 $ 39,087,939 $ 40,651,456 $ 44,706,258 $ 46,494,508 $ 48,354,288 $ 50,288,460 $ 8,867,464 $ 9,151,381 $ 9,444,454 $ 9,746,956 $ 10,058,197 $ 11,085,452 $ 11,439,396 $ 11,804,575 $ 12,181,312 $ 12,593,433 $ 13,018,342 $ 14,313,463 $ 14,793,699 $ 15,288,602 $ 4,208,871 $ 4,382,745 $ 4,562,954 $ 4,749,708 $ 4,943,641 $ 5,494,553 $ 5,716,891 $ 5,947,210 $ 6,185,765 $ 6,371,454 $ 6,562,225 $ 7,188,644 $ 7,402,727 $ 7,622,565 $ 1,868,827 $ 1,951,621 $ 2,037,146 $ 2,125,451 $ 2,216,771 $ 2,468,191 $ 2,571,949 $ 2,678,897 $ 2,789,088 $ 2,914,641 $ 3,044,270 $ 3,380,465 $ 3,527,231 $ 3,678,542 $ 3,547,597 $ 3,746,722 $ 3,957,215 $ 4,179,724 $ 4,415,303 $ 4,981,635 $ 5,262,789 $ 5,559,984 $ 5,874,127 $ 6,231,975 $ 6,611,127 $ 7,459,481 $ 7,912,078 $ 8,391,454 $ 18,492,759 $ 19,232,469 $ 20,001,768 $ 20,801,839 $ 21,633,912 $ 24,029,831 $ 24,991,025 $ 25,990,666 $ 27,030,292 $ 28,111,504 $ 29,235,964 $ 32,342,052 $ 33,635,734 $ 34,981,164 C - 2 Budget Summary Personnel (excludes Administrative) Chemicals Energy Administrative Legal All Other Minor Capital Annual City Budget - Status Quo Personnel (excludes Administrative) Chemicals Energy Administrative Legal All Other Minor Capital City Total Annual SCFP Budget - Status Quo Personnel (excludes Administrative) Chemicals Energy Administrative Legal All Other Minor Capital City Total Combined Budget - Collaboration Before Efficiency Factor Personnel (excludes Administrative) Chemicals Energy Administrative Legal All Other Minor Capital Combined Total O&M Efficiency - Cumulative O&M Efficiency - Incremental Combined Budget - Collaboration After Effiency Factor Personnel (excludes Administrative) Chemicals Energy Administrative Legal All Other Minor Capital Combined Total City Facility SCFP 2014 Combined Efficiency Efficiency 2013 Budget % of Total 2014 Budget % of Total Budget Factor Phasing $ 2,199,828 30% $ 1,263,047 35% $ 3,550,868 30.00% 10 years $ 1,198,000 17% $ 825,464 23% $ 2,071,384 $ 415,000 6% $ 119,274 3% $ 550,874 $ 288,233 4% $ 462,854 13% $ 762,616 $ 52,026 1% $ 63,000 2% $ 117,107 $ 1,551,184 21% $ 341,450 10% $ 1,954,681 $ 1,551,012 21% $ 495,220 14% $ 2,108,272 $ 7,255,283 100% $ 3,570,309 100% $ 11,115,803 $ - 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 $ 2,379,334 $ 2,474,507 $ 2,573,488 $ 2,676,427 $ 2,783,484 $ 2,894,824 $ 3,010,617 $ 3,131,041 $ 3,256,283 $ 3,386,534 $ 3,521,996 $ 3,662,875 $ 3,809,390 $ 3,961,766 $ 4,120,237 $ 4,285,046 $ 4,456,448 Budget Summary Personnel (excludes Administrative) Chemicals Energy Administrative Legal All Other Minor Capital Annual City Budget - Status Quo Personnel (excludes Administrative) Chemicals Energy Administrative Legal All Other Minor Capital City Total Annual SCFP Budget - Status Quo Personnel (excludes Administrative) Chemicals Energy Administrative Legal All Other Minor Capital City Total Combined Budget - Collaboration Before Efficiency Factor Personnel (excludes Administrative) Chemicals Energy Administrative Legal All Other Minor Capital Combined Total O&M Efficiency - Cumulative O&M Efficiency - Incremental Combined Budget - Collaboration After Effiency Factor Personnel (excludes Administrative) Chemicals Energy Administrative Legal All Other Minor Capital Combined Total 2032 2033 2034 2035 2036 2037 2038 2039 2040 2041 2042 2043 2044 2045 $ 4,634,706 $ 4,820,094 $ 5,012,898 $ 5,213,414 $ 5,421,950 $ 5,638,828 $ 5,864,381 $ 6,098,957 $ 6,342,915 $ 6,596,632 $ 6,860,497 $ 7,134,917 $ 7,420,313 $ 7,717,126 $ 2,524,005 $ 2,624,966 $ 2,729,964 $ 2,839,163 $ 2,952,729 $ 3,070,838 $ 3,193,672 $ 3,321,419 $ 3,454,276 $ 3,592,447 $ 3,736,144 $ 3,885,590 $ 4,041,014 $ 4,202,654 $ 874,342 $ 909,316 $ 945,689 $ 983,516 $ 1,022,857 $ 1,063,771 $ 1,106,322 $ 1,150,575 $ 1,196,598 $ 1,244,462 $ 1,294,240 $ 1,346,010 $ 1,399,850 $ 1,455,844 $ 607,263 $ 631,554 $ 656,816 $ 683,089 $ 710,412 $ 738,829 $ 768,382 $ 799,117 $ 831,082 $ 864,325 $ 898,898 $ 934,854 $ 972,248 $ 1,011,138 $ 109,611 $ 113,995 $ 118,555 $ 123,297 $ 128,229 $ 133,358 $ 138,693 $ 144,241 $ 150,010 $ 156,011 $ 162,251 $ 168,741 $ 175,491 $ 182,510 $ 3,268,111 $ 3,398,835 $ 3,534,789 $ 3,676,180 $ 3,823,227 $ 3,976,156 $ 4,135,203 $ 4,300,611 $ 4,472,635 $ 4,651,541 $ 4,837,602 $ 5,031,106 $ 5,232,351 $ 5,441,645 $ 3,267,748 $ 3,398,458 $ 3,534,397 $ 3,675,772 $ 3,822,803 $ 3,975,716 $ 4,134,744 $ 4,300,134 $ 4,472,139 $ 4,651,025 $ 4,837,066 $ 5,030,548 $ 5,231,770 $ 5,441,041 $ 15,285,787 $ 15,897,218 $ 16,533,107 $ 17,194,432 $ 17,882,209 $ 18,597,497 $ 19,341,397 $ 20,115,053 $ 20,919,655 $ 21,756,441 $ 22,626,699 $ 23,531,767 $ 24,473,037 $ 25,451,959 $ 2,985,152 $ 3,104,558 $ 3,228,740 $ 3,917,538 $ 4,074,240 $ 4,237,209 $ 4,406,697 $ 4,582,965 $ 4,766,284 $ 4,956,935 $ 6,014,415 $ 6,254,991 $ 6,505,191 $ 6,765,399 $ 1,950,945 $ 2,028,983 $ 2,110,142 $ 2,560,306 $ 2,662,718 $ 2,769,227 $ 2,879,996 $ 2,995,196 $ 3,115,003 $ 3,239,604 $ 3,930,719 $ 4,087,948 $ 4,251,466 $ 4,421,524 $ 281,898 $ 293,174 $ 304,901 $ 369,947 $ 384,745 $ 400,135 $ 416,140 $ 432,786 $ 450,097 $ 468,101 $ 567,962 $ 590,681 $ 614,308 $ 638,881 $ 1,093,933 $ 1,137,691 $ 1,183,198 $ 1,435,614 $ 1,493,039 $ 1,552,760 $ 1,614,871 $ 1,679,465 $ 1,746,644 $ 1,816,510 $ 2,204,032 $ 2,292,193 $ 2,383,881 $ 2,479,236 $ 148,898 $ 154,853 $ 161,048 $ 195,404 $ 203,221 $ 211,349 $ 219,803 $ 228,595 $ 237,739 $ 247,249 $ 299,995 $ 311,995 $ 324,475 $ 337,454 Budget Summary City Facility SCFP 2013 Budget % of Total 2014 Budget % of Total Personnel (excludes Administrative) $ 2,199,828 34% $ 1,263,047 35% Chemicals $ 1,198,000 18% $ 825,464 23% Energy $ 415,000 6% $ 119,274 3% Administrative $ 288,233 4% $ 462,854 13% Legal $ - 0% $ 63,000 2% Lab $ 37,500 1% $ 50,250 1% All Other $ 804,188 12% $ 291,200 8% Minor Capital $ 1,551,012 24% $ 495,220 14% $ 6,493,761 100% $ 3,570,309 100% Check OK OK C - 5 CITY OF FORT COLLINS WATER TREATMENT FACILITY 2013 ANNUAL BUDGET WTF MINOR CAPITAL 2013 Actual Facility Minor Capital Budget Consulting Services $ - Building Improvements $ 50,000 Construction Contracts $ 450,657 Compute Hardware $ 88,000 Computer Software $ 10,000 Motor Vehicles & Access $ 7,076 Mechanical & Heavy Equip $ 51,017 Security Equipment $ 183,887 Communications Equipment $ 8,000 Other Equipment $ 206,226 Water Filter Material $ 65,000 Other Capital Outlay $ 431,149 Total WTF Minor Cap $ 1,551,012 2013 2013 O&M Operations Maintenance Budget Budget Personnel Salaries-Regular $ 1,036,515 $ 308,298 Salaries-Hourly $ 13,192 $ 13,520 Salaries-OT $ 17,501 $ 10,496 Salaries-Standby $ 10,955 $ 40,000 Termination Pay $ - $ - Holiday Pay $ - $ - Bonuses $ - $ - Health Insurance $ 119,460 $ 38,880 Dental Insurance $ 7,536 $ 2,452 Retirement Contributions / 401K Match $ 34,769 $ 14,644 GERP / PERA $ 59,124 $ 11,870 Social Sec & Medicare $ 78,457 $ 29,783 Unemployment Tax $ - $ - Workers Compensation $ 17,963 $ 7,110 Employees Group Life Ins / Life Ins PERA $ 1,821 $ 540 Long-term Disability $ 4,799 $ 1,424 Total Personnel $ 1,402,092 $ 479,017 Utilities, Equipment, and Other Testing Services $ 15,000 $ - Consulting Services $ - $ - Medical Services $ 1,000 $ - Security Services $ 24,378 $ 7,000 Education & Training $ 6,500 $ - Disposal of Haz Mat $ 10,000 $ - HVAC Service $ - $ - Contract Labor $ 60,000 $ - Other Prof & Tech Services $ 53,286 $ - Natural Gas $ 150,000 $ - Electricity $ 265,000 $ - Refuse Collection / Solids Removal $ 2,100 $ - Recycling Serv $ 550 $ - Janitorial Serv $ 22,000 $ - Trash Removal $ - $ - Vehicle Repair $ 24,000 $ - Software Mtn & Support $ 1,500 $ - Maintenance Contracts $ 74,480 $ - Other Repair & Maint $ 20,000 $ - CITY OF FORT COLLINS WATER TREATMENT FACILITY 2013 ANNUAL BUDGET Total Utilities, Equipment, and Other $ 780,694 $ 17,000 Supplies and Chemicals Motor Fuel & Oil $ 25,000 $ - Vehicle Parts $ - $ - Machinery & Equip Parts $ 7,056 $ 80,000 Tools & Related Supplies $ - $ 15,000 Maintenance Materials $ 17,000 $ 13,000 Paint & Painting Supplies $ 12,000 $ - Plumbing & Irrigation Supplies $ 1,000 $ 3,000 Janitorial Supplies $ - $ - Electrical Parts $ 68,972 $ 16,300 Operational Supplies $ - $ - Shop Supplies $ - $ 21,679 Sand & Gravel Supplies $ 4,000 $ - Admin. / Oper. Misc $ - $ - Office Supplies $ 100 $ - Computer Hardware $ 5,000 $ - Computer Software $ 2,500 $ - Health & Safety Supplies $ 26,000 $ - Chlorine $ 50,000 $ - Sodium Bisulfite $ 8,000 $ - Aluminum Sulfate $ 500,000 $ - Calcium Hydroxide $ 175,000 $ - Fluoride $ 200,000 $ - Carbon $ 60,000 $ - Flocculent Aid $ 40,000 $ - Filter Aid $ 20,000 $ - Chlorine Dioxide $ 75,000 $ - Carbon Dioxide $ 60,000 $ - Coagulants $ - $ - Disinfectants $ - $ - Corrosion Control $ - $ - Pre Treatment - Chlorite $ - $ - Other Chemical Supplies $ 10,000 $ - Meals- Business, Non Travel $ - $ - Food & Related Supplies $ - $ - Educational Programs $ 2,500 $ - Books & Periodicals $ 3,500 $ - Clothing Supplies / Uniforms $ 12,000 $ - Laboratory Supplies $ 30,000 $ - Other Supplies $ 15,000 $ - Total Supplies and Chemicals $ 1,429,628 $ 148,979 Total O & M $ 3,612,414 $ 644,996 2013 Budget Administrative Personnel Salaries- Regular $ 148,659 Salaries- OT $ - Bonuses $ - Health Insurance $ 15,600 Dental Insurance $ 984 PERA $ - Retirement Contributions / 401K Match $ 10,116 Unemployment Tax $ - Social Sec & Medicare $ 11,373 Workers Compensation $ 298 CITY OF FORT COLLINS WATER TREATMENT FACILITY 2013 ANNUAL BUDGET Other Education & Training $ 1,500 Employee Testing $ 100 Contract Labor $ 2,000 Other Prof & Tech Services $ 11,130 IT/SCADA Support $ - Water $ 5,000 Wastewater Services $ 1,500 Storm Drainage Services $ 10,000 Telephone & Internet $ - Vehicles $ - Vehicle Repair $ - Software Mtn & Support $ 115 Maintenance Contracts $ 1,584 Other Repair & Maint $ 1,500 Fleet Service Equip Charges $ - Copier Rental Services $ 4,300 Mileage $ 250 Conference & Travel $ 11,000 Other Employee Travel $ - Postage & Freight $ - Dues & Subscription Services $ 16,000 Insurance, Property, Liability $ - Total Other $ 65,979 Supplies Motor Fuel & Oil $ 1,000 Vehicle Parts $ - Admin./Oper. Misc $ - Office Supplies $ 10,430 Office Equipment $ 2,500 Communication Supplies $ - Computer Hardware $ 7,000 Computer Software $ - Health & Safety Supplies $ - Meals-Business, Non Travel $ 200 Food & Related Supplies $ - Educational Programs $ 1,000 Books & Periodicals $ 2,325 Clothing Supplies $ 582 Other Supplies $ 6,384 Total Supplies $ 31,421 Total Admin $ 288,233 2013 Budget ICE (SCADA) Personnel Salaries-Regular $ 249,527 Salaries-Hourly $ - Termination Pay $ - Health Insurance $ 23,400 Dental Insurance $ 1,476 Retirement Contributions $ 8,850 GERP $ 13,815 Social Sec & Medicare $ 19,091 Workers Compensation $ 965 Employees Group Life Ins $ 440 Long-term Disability $ 1,155 CITY OF FORT COLLINS WATER TREATMENT FACILITY 2013 ANNUAL BUDGET Mileage $ 283 Conference & Travel $ 15,450 IT & SCADA Support $ - Total Other $ 30,226 Supplies Motor Fuel & Oil $ 876 Health & Safety Supplies $ - Meals- Business, Non Travel $ - Food & Related Supplies $ - Other Supplies $ 9,785 Total Supplies $ 10,661 Total ICE $ 359,606 2013 Budget Lab / Regulatory Personnel Wages - Permanent $ - Salaries-Hourly $ - Termination Pay $ - Health Insurance $ - Dental Insurance $ - Retirement Contributions / 401K Match $ - PERA $ - Social Sec & Medicare $ - Workers Compensation $ - Employees Group Life Ins $ - Unemployment Tax $ - Total Personnel $ - Other Education & Training $ - Contract Lab / UCMR 3 $ - Vehicle Repair $ - Hardware Mtn & Support $ - Software Mtn & Support $ - Fleet Service Equip Charges $ - Mileage $ - Conference & Travel $ - IT & SCADA Support $ - Total Other $ 37,500 Supplies Motor Fuel & Oil $ - Office Supplies $ - Lab Supplies $ - Uniforms $ - Other Supplies $ - Total Supplies $ - Total Lab / Regulatory $ 37,500 Total Budget $ 6,456,261 Add: Lab for City $ 37,500 Less: Source of Supply for SCFP $ - Less: Water Resources for SCFP $ - Total Adjusted Budget (excl. Water Resources and Source of Supply) $ 6,493,761 C - 9 Tri-Districts Soldier Canyon Filter Plant 2014 Budget WTF MINOR CAPITAL 2014 Proposed SCFP Minor Capital Budget General Equipment $ 32,200 Lab Equipment $ 18,000 Sludge Conditioning Equipment $ 41,000 WTP Improvements $ 315,020 Security Improvements $ 20,000 Control System Improvements $ 5,000 Source of Supply Construction $ 50,000 Safety Equipment $ 14,000 $ - $ - $ - $ - $ 495,220 2014 2014 Operations Maintenance Budget Budget Personnel Salaries-Regular $ 413,761 $ 388,547 Salaries-Hourly $ - $ - Salaries-OT $ 10,000 $ 8,000 Salaries-Standby $ - $ - Termination Pay $ - $ - Holiday Pay $ 13,979 $ - Bonuses Health Insurance $ 72,000 $ 72,000 Dental Insurance $ - $ - Retirement Contributions / 401K Match $ 12,328 $ 11,656 GERP / PERA $ 56,298 $ 53,231 Social Sec & Medicare $ 5,959 $ 5,634 Unemployment Tax $ 822 $ 777 Workers Compensation $ 11,095 $ 10,491 Employees Group Life Ins / Life Ins PERA $ 936 $ 936 Long-term Disability $ - $ - Total Personnel $ 597,178 $ 551,272 Utilities, Equipment, and Other Testing Services $ - $ - Consulting Services $ - $ - Medical Services $ - $ - Security Services $ - $ - Education & Training $ 3,000 $ 3,000 Disposal of Haz Mat $ - $ - HVAC Service $ - $ 5,000 Contract Labor $ - $ - Other Prof & Tech Services $ - $ - Natural Gas $ 31,209 $ - Electricity $ 88,065 $ - Refuse Collection / Solids Removal $ 8,000 $ - Recycling Serv $ - $ - Janitorial Serv $ - $ - Trash Removal $ 3,700 $ - Vehicle Repair $ 1,000 $ 3,500 Software Mtn & Support $ - $ - Maintenance Contracts $ - $ - Other Repair & Maint $ - $ - Tri-Districts Soldier Canyon Filter Plant 2014 Budget Total Utilities, Equipment, and Other $ 141,974 $ 137,500 Supplies and Chemicals Motor Fuel & Oil $ 4,000 $ 4,000 Vehicle Parts $ - $ - Machinery & Equip Parts $ - $ - Tools & Related Supplies $ - $ - Maintenance Materials $ - $ - Paint & Painting Supplies $ - $ - Plumbing & Irrigation Supplies $ - $ - Janitorial Supplies $ 2,000 $ - Electrical Parts $ - $ - Operational Supplies $ 50,000 $ 10,000 Shop Supplies $ - $ 6,000 Sand & Gravel Supplies $ - $ - Admin. / Oper. Misc $ 5,000 $ - Office Supplies $ 500 $ 500 Computer Hardware $ - $ - Computer Software $ - $ - Health & Safety Supplies $ 5,000 $ 5,000 Chlorine $ - $ - Sodium Bisulfite $ - $ - Aluminum Sulfate $ - $ - Calcium Hydroxide $ - $ - Fluoride $ 44,398 $ - Carbon $ - Flocculent Aid $ 21,617 $ - Filter Aid $ 37,905 $ - Chlorine Dioxide $ - $ - Carbon Dioxide $ - $ - Coagulants $ 399,382 $ - Disinfectants $ 48,789 $ - Corrosion Control $ 136,672 $ - Pre Treatment - Chlorite $ 133,701 $ - Other Chemical Supplies $ 3,000 $ - Meals- Business, Non Travel $ - $ - Food & Related Supplies $ - $ - Educational Programs $ - $ - Books & Periodicals $ - $ - Clothing Supplies / Uniforms $ 1,500 $ 1,500 Laboratory Supplies $ - $ - Other Supplies $ - $ - Total Supplies and Chemicals $ 893,464 $ 27,000 Total O & M $ 1,640,616 $ 787,772 2014 Budget Administrative Personnel Salaries- Regular $ 266,201 Salaries- OT Bonuses Health Insurance $ 36,000 Dental Insurance PERA $ 36,470 Retirement Contributions / 401K Match $ 7,986 Unemployment Tax $ 532 Social Sec & Medicare $ 3,860 Workers Compensation $ 7,187 Tri-Districts Soldier Canyon Filter Plant 2014 Budget Other Education & Training $ 1,500 Employee Testing $ - Contract Labor $ - Other Prof & Tech Services $ - IT/SCADA Support $ 12,000 Water $ - Wastewater Services $ - Storm Drainage Services $ - Telephone & Internet $ 7,400 Vehicles $ 500 Vehicle Repair $ - Software Mtn & Support $ - Maintenance Contracts $ - Other Repair & Maint $ - Fleet Service Equip Charges $ - Copier Rental Services $ - Mileage $ - Conference & Travel $ - Other Employee Travel $ - Postage & Freight $ - Dues & Subscription Services $ 2,000 Insurance, Property, Liability $ 65,000 Total Other $ 88,400 Supplies Motor Fuel & Oil $ 2,000 Vehicle Parts $ - Admin./Oper. Misc $ 5,000 Office Supplies $ 6,000 Office Equipment $ - Communication Supplies $ - Computer Hardware $ - Computer Software $ - Health & Safety Supplies $ - Meals-Business, Non Travel $ - Food & Related Supplies $ - Educational Programs $ - Books & Periodicals $ - Clothing Supplies $ 750 Other Supplies $ 2,000 Total Supplies $ 15,750 Total Admin $ 525,854 2014 2014 Budget Budget ICE (SCADA) Personnel Salaries-Regular $ - $ - Salaries-Hourly $ - $ - Termination Pay $ - $ - Health Insurance $ - $ - Dental Insurance $ - $ - Retirement Contributions $ - $ - GERP $ - $ - Social Sec & Medicare $ - $ - Workers Compensation $ - $ - Employees Group Life Ins $ - $ - Long-term Disability $ - $ - Tri-Districts Soldier Canyon Filter Plant 2014 Budget Mileage $ - $ - Conference & Travel $ - $ - IT & SCADA Support $ 16,000 $ 20,000 Total Other $ 16,000 $ 20,000 Supplies Motor Fuel & Oil $ - $ - Health & Safety Supplies $ - $ - Meals- Business, Non Travel $ - $ - Food & Related Supplies $ - $ - Other Supplies $ - $ - Total Supplies $ - $ - Total ICE $ 16,000 $ 20,000 2014 Budget Personnel Wages - Permanent $ 84,627 Salaries-Hourly $ - Termination Pay $ - Health Insurance $ 12,000 Dental Insurance $ - Retirement Contributions / 401K Match $ 2,539 PERA $ 11,594 Social Sec & Medicare $ 1,227 Workers Compensation $ 2,285 Employees Group Life Ins $ 156 Unemployment Tax $ 169 Total Personnel $ 114,597 Other Education & Training $ 500 Contract Lab / UCMR 3 $ 37,000 Vehicle Repair $ - Hardware Mtn & Support $ - Software Mtn & Support $ - Fleet Service Equip Charges $ - Mileage $ - Conference & Travel $ - IT & SCADA Support $ - Total Other $ 37,500 Supplies Motor Fuel & Oil $ - Office Supplies $ 500 Lab Supplies $ 12,000 Uniforms $ 250 Other Supplies $ - Total Supplies $ 12,750 Total Lab / Regulatory $ 314,847 Total Budget $ 4,122,843 Add: Lab for City $ - Less: Source of Supply for SCFP $ (230,000) Less: Water Resources for SCFP $ (322,534) Total Adjusted Budget (excl. Water Resources and Source of Supply) $ 3,570,309 C - 13 Demand Assumptions Organization Approximate Peak Demands in Last 5 Years (MGD) Projected Peak Day Demand in 30 Years (MGD) Projected Peak Day Demand at Build-out (MGD) Approximate Year of Build-out (e.g., Peak Demand) FCLWD 21.70 46.00 46.00 2040 ELCO 9.78 15.60 22.37 ? NWCWD 14.10 36.30 52.00 >40 years City 46.77 62.55 63.75 2055 Total 92.4 160.5 184.1 Load Factor = Avg. Daily Demand / Max Daily Demand Entity FCLWD ELCO NWCWD City Avg. Daily Demand (MGD) 7.548 3.070 6.840 23.927 Max Daily Demand (MGD) 21.700 9.783 14.100 46.769 Load Factor 0.348 0.314 0.485 0.512 City of Fort Collins Annual Demands 2009-13 Daily Deliveries (MG) 2009 2010 2011 2012 2013 5 yr Max Year Max Daily Demand 37.10 40.77 39.75 46.77 42.95 46.77 2012 Annual Demand 7,391 7,830 7,621 8,757 7,560 8,757 Avg Daily Demand 20.25 21.45 20.88 23.93 20.71 23.93 FCLWD Annual Demands 2009-13 Daily Deliveries (MG) 2009 2010 2011 2012 2013 5 yr Max Year Max Daily Demand 17.30 18.80 19.80 20.20 21.70 21.70 2013 Annual Demand 2,437 2,877 2,946 3,411 2,755 2,755 Avg Daily Demand 6.68 7.88 8.07 9.32 7.55 7.55 ELCO Annual Demands 2009-13 Daily Deliveries (MG) 2009 2010 2011 2012 2013 5 yr Max Year Max Daily Demand 6.96 8.73 9.78 8.13 8.58 9.78 2011 Annual Demand 1,119 1,225 1,121 1,408 1,328 1,121 Avg Daily Demand 3.06 3.36 3.07 3.85 3.64 3.07 NWCWD Annual Demands 2009-13 Daily Deliveries (MG) 2009 2010 2011 2012 2013 5 yr Max Year Max Daily Demand 10.01 12.00 13.20 13.10 14.10 14.10 2013 Annual Demand 2,097 2,309 2,567 2,760 2,497 2,497 Avg Daily Demand 5.75 6.33 7.03 7.54 6.84 6.84 SCFP 2009 2010 2011 2012 2013 5 yr Max Annual Demand (MG) 5653 6411 6634 7579 6579 7579 Avg Daily Demand 15.49 17.56 18.18 20.76 18.03 20.76 FCLWD % of Annual Demand 0.43 0.45 0.44 0.45 0.42 0.45 ELCO % of Annual Demand 0.20 0.19 0.17 0.19 0.20 0.20 NWCWD % of Annual Demand 0.37 0.36 0.39 0.36 0.38 0.39 C - 14 Peak Demand - MGD Year FCLWD (1) ELCO (2) NWCWD (3) City (4) Total Demand 2013 21.7 9.8 14.1 46.8 92.4 2014 23.0 10.0 14.5 46.8 94.3 2015 24.3 10.1 15.0 47.6 97.0 2016 25.6 10.3 15.4 48.4 99.7 2017 26.8 10.5 15.9 49.2 102.4 2018 28.1 10.7 16.3 50.0 105.1 2019 29.4 10.9 16.8 50.8 107.9 2020 30.7 11.1 17.3 51.6 110.7 2021 32.0 11.2 17.9 52.3 113.4 2022 33.3 11.4 18.4 53.0 116.1 2023 34.6 11.6 18.9 53.7 118.8 2024 35.8 11.8 19.5 54.4 121.5 2025 36.5 12.0 20.1 55.1 123.7 2026 37.1 12.1 20.7 55.6 125.6 2027 37.7 12.3 21.3 56.2 127.5 2028 38.4 12.5 22.0 56.7 129.5 2029 39.0 12.7 22.6 57.2 131.5 2030 39.6 12.9 23.3 57.7 133.5 2031 40.3 13.1 24.0 58.1 135.4 2032 40.9 13.2 24.7 58.4 137.3 2033 41.5 13.4 25.5 58.8 139.3 2034 42.2 13.6 26.2 59.2 141.2 2035 42.8 13.8 27.0 59.6 143.2 2036 43.5 14.0 27.8 59.9 145.2 2037 44.1 14.1 28.7 60.3 147.2 2038 44.7 14.3 29.5 60.7 149.3 2039 45.4 14.5 30.4 61.0 151.3 2040 46.0 14.7 31.3 61.4 153.4 2041 46.0 14.9 32.3 61.6 154.8 2042 46.0 15.1 33.2 61.9 156.2 2043 46.0 15.2 34.2 62.1 157.6 2044 46.0 15.4 35.3 62.3 159.0 2045 46.0 15.6 36.3 62.6 160.5 2046 46.0 15.8 37.4 62.7 161.9 2047 46.0 15.9 38.5 62.9 163.3 2048 46.0 16.1 39.7 63.0 164.8 2049 46.0 16.3 40.9 63.2 166.3 2050 46.0 16.5 42.1 63.3 167.9 2051 46.0 16.6 43.4 63.4 169.4 2052 46.0 16.8 44.7 63.5 171.0 2053 46.0 17.0 46.0 63.6 172.6 2054 46.0 17.1 47.4 63.7 174.2 2055 46.0 17.3 48.8 63.8 175.9 (2) Peak-day demand of 15.60 in 2045 provided by ELCO staff per April 28, 2014 email to RWCC members. (3) Peak-day demand of 36.30 in 2045 and 48.80 in 2055 provided by NWCWD per April 30, 2014 email to RWCC members. (4) Annual peak-day demand projections provided by the City per April 29, 2014 email to RWCC members. Cells in blue are hard coded. All other cells are interpolated from the blue cells. (1) Peak-day demand of 46.0 MGD projected to occur in 2040 per January 14, 2014 memo C - 15 Annual Demand - MG Year FCLWD (1) ELCO (2) NWCWD (1) City (2) SCFP Total Annual Demand (MG) 2013 2,755 1,466 2,497 8,757 6,718 2014 2,918 1,509 2,571 8,763 6,999 2015 3,081 1,553 2,649 8,912 7,283 2016 3,244 1,597 2,728 9,060 7,570 2017 3,407 1,641 2,810 9,209 7,859 2018 3,571 1,686 2,894 9,358 8,151 2019 3,734 1,730 2,981 9,506 8,445 2020 3,897 1,775 3,071 9,655 8,742 2021 4,060 1,820 3,163 9,789 9,042 2022 4,223 1,865 3,257 9,923 9,345 2023 4,386 1,910 3,355 10,057 9,651 2024 4,548 1,954 3,456 10,190 9,958 2025 4,629 1,999 3,560 10,324 10,187 2026 4,709 2,044 3,666 10,420 10,419 2027 4,790 2,088 3,776 10,515 10,654 2028 4,871 2,132 3,890 10,610 10,893 2029 4,952 2,176 4,006 10,705 11,134 2030 5,032 2,220 4,126 10,801 11,379 2031 5,113 2,263 4,250 10,872 11,627 2032 5,194 2,306 4,378 10,943 11,878 2033 5,275 2,349 4,509 11,014 12,132 2034 5,355 2,391 4,644 11,085 12,391 2035 5,436 2,433 4,784 11,156 12,652 2036 5,517 2,474 4,927 11,224 12,918 2037 5,598 2,514 5,075 11,293 13,187 2038 5,678 2,555 5,227 11,362 13,460 2039 5,759 2,594 5,384 11,431 13,737 2040 5,840 2,633 5,546 11,500 14,019 2041 5,840 2,671 5,712 11,543 14,223 2042 5,840 2,709 5,883 11,585 14,432 2043 5,840 2,746 6,060 11,628 14,646 2044 5,840 2,783 6,242 11,670 14,864 2045 5,840 2,818 6,429 11,713 15,087 2046 5,840 2,853 6,622 11,741 15,315 2047 5,840 2,887 6,820 11,770 15,548 2048 5,840 2,921 7,025 11,798 15,786 2049 5,840 2,954 7,236 11,827 16,030 2050 5,840 2,986 7,453 11,855 16,279 2051 5,840 3,017 7,677 11,873 16,534 2052 5,840 3,048 7,907 11,891 16,794 2053 5,840 3,078 8,144 11,910 17,061 2054 5,840 3,107 8,388 11,928 17,335 2055 5,840 3,135 8,640 11,946 17,615 (2) Annual demands provided by the ELCO and City. Cells in blue are hard coded. All other cells are interpolated from the blue cells. (1) Annual demands projected based on Max Daily Demand multiplied by historical load factor and 365 days per year. C - 16 Peaking Factor Year FCLWD ELCO NWCWD City 2013 2.88 2.44 2.06 1.95 2014 2.88 2.41 2.06 1.95 2015 2.88 2.38 2.06 1.95 2016 2.88 2.36 2.06 1.95 2017 2.88 2.34 2.06 1.95 2018 2.88 2.31 2.06 1.95 2019 2.88 2.29 2.06 1.95 2020 2.88 2.27 2.06 1.95 2021 2.88 2.25 2.06 1.95 2022 2.88 2.24 2.06 1.95 2023 2.88 2.22 2.06 1.95 2024 2.88 2.20 2.06 1.95 2025 2.88 2.18 2.06 1.95 2026 2.88 2.17 2.06 1.95 2027 2.88 2.15 2.06 1.95 2028 2.88 2.14 2.06 1.95 2029 2.88 2.13 2.06 1.95 2030 2.88 2.12 2.06 1.95 2031 2.88 2.11 2.06 1.95 2032 2.88 2.10 2.06 1.95 2033 2.88 2.09 2.06 1.95 2034 2.88 2.08 2.06 1.95 2035 2.88 2.07 2.06 1.95 2036 2.88 2.06 2.06 1.95 2037 2.88 2.05 2.06 1.95 2038 2.88 2.05 2.06 1.95 2039 2.88 2.04 2.06 1.95 2040 2.88 2.04 2.06 1.95 2041 2.88 2.03 2.06 1.95 2042 2.88 2.03 2.06 1.95 2043 2.88 2.03 2.06 1.95 2044 2.88 2.02 2.06 1.95 2045 2.88 2.02 2.06 1.95 2046 2.88 2.02 2.06 1.95 2047 2.88 2.01 2.06 1.95 2048 2.88 2.01 2.06 1.95 2049 2.88 2.01 2.06 1.95 2050 2.88 2.01 2.06 1.95 2051 2.88 2.01 2.06 1.95 2052 2.88 2.01 2.06 1.95 2053 2.88 2.01 2.06 1.95 2054 2.88 2.01 2.06 1.95 2055 2.88 2.01 2.06 1.95 C - 17 Appendix D Status Quo and Collaboration Annual Costs and Net Present Value Table 1 Proforma - East Larimer County Water District 3 4 5 6 7 8 9 10 11 12 Line No. Description FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 Revenues 1 Plant Investment Fee (PIF) for Debt Service - Status Quo $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - 2 Regionalization Asset Revenue - - - - - - - - - - 3 Total Revenues $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Revenue Requirements 4 Personnel (excludes Administrative) $ 280,128 $ 288,241 $ 296,734 $ 305,607 $ 314,860 $ 324,494 $ 334,510 $ 344,909 $ 355,695 $ 428,084 5 Chemicals 183,077 188,380 193,931 199,730 205,777 212,073 218,619 225,415 232,464 279,774 6 Energy 26,453 27,220 28,022 28,860 29,733 30,643 31,589 32,571 33,590 40,425 7 Administrative 102,655 105,628 108,741 111,992 115,383 118,913 122,584 126,395 130,347 156,875 8 Legal 13,973 14,377 14,801 15,244 15,705 16,186 16,685 17,204 17,742 21,353 9 All Other 75,729 77,923 80,219 82,617 85,119 87,723 90,431 93,242 96,158 115,727 10 Minor Capital 109,833 113,014 116,345 119,824 123,452 127,229 131,156 135,233 139,462 167,845 11 Additional O&M to the City - - - - - - - - - - 12 Greenfield Plant O&M (Status Quo) - - - - - - - - - - Debt Service 13 Debt Service - - - - - 284,993 284,993 284,993 284,993 402,815 14 City Capacity Purchase Debt Service - - - - - - - - - - Capital Improvements 15 Cash Funded CIP (Improvement Projects After PIF Rev Adjustment) 323,990 111,922 239,760 695,585 732,330 121,222 123,762 126,382 129,081 131,878 16 Additional Capacity from the City of Ft. Collins - - - - - - - - - - 17 Total Revenue Requirements $ 1,115,839 $ 926,704 $ 1,078,552 $ 1,559,458 $ 1,622,359 $ 1,323,475 $ 1,354,327 $ 1,386,345 $ 1,419,532 $ 1,744,775 18 Net Revenue / (Costs) (1,115,839) (926,704) (1,078,552) (1,559,458) (1,622,359) (1,323,475) (1,354,327) (1,386,345) (1,419,532) (1,744,775) 19 Total Costs (2015 - 2045) $ (75,957,614) 20 Net Present Value (2015 - 2045) $32,972,374 RWCC Status Quo Scenario D - 1 Table 1 Proforma - East Larimer County Water District Line No. Description Revenues 1 Plant Investment Fee (PIF) for Debt Service - Status Quo 2 Regionalization Asset Revenue 3 Total Revenues Revenue Requirements 4 Personnel (excludes Administrative) 5 Chemicals 6 Energy 7 Administrative 8 Legal 9 All Other 10 Minor Capital 11 Additional O&M to the City 12 Greenfield Plant O&M (Status Quo) Debt Service 13 Debt Service 14 City Capacity Purchase Debt Service Capital Improvements 15 Cash Funded CIP (Improvement Projects After PIF Rev Adjustment) 16 Additional Capacity from the City of Ft. Collins 17 Total Revenue Requirements 18 Net Revenue / (Costs) 19 Total Costs (2015 - 2045) 20 Net Present Value (2015 - 2045) RWCC Status Quo Scenario 13 14 15 16 17 18 19 20 21 22 FY2025 FY2026 FY2027 FY2028 FY2029 FY2030 FY2031 FY2032 FY2033 FY2034 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - - - - - - - - - - - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 445,148 $ 462,733 $ 480,847 $ 499,498 $ 518,691 $ 538,433 $ 558,731 $ 579,591 $ 601,018 $ 623,020 290,926 302,419 314,258 326,447 338,990 351,893 365,158 378,791 392,795 407,174 42,037 43,698 45,408 47,169 48,982 50,846 52,763 54,733 56,756 58,834 163,128 169,572 176,211 183,045 190,078 197,313 204,752 212,396 220,248 228,311 22,204 23,081 23,984 24,915 25,872 26,857 27,869 28,910 29,978 31,076 120,340 125,094 129,991 135,033 140,222 145,559 151,046 156,686 162,478 168,426 174,535 181,430 188,532 195,845 203,370 211,111 219,069 227,248 235,649 244,276 - - - - - - - - - - - - - - - - - - - - 402,815 1,204,722 1,204,722 1,204,722 1,204,722 1,204,722 1,204,722 1,204,722 1,204,722 1,204,722 - - - - - - - - - - 135,816 - 143,900 148,044 152,255 156,530 160,869 165,270 169,733 174,254 - - - - - - - - - - $ 1,796,949 $ 2,512,749 $ 2,707,854 $ 2,764,718 $ 2,823,182 $ 2,883,263 $ 2,944,980 $ 3,008,346 $ 3,073,379 $ 3,140,092 (1,796,949) (2,512,749) (2,707,854) (2,764,718) (2,823,182) (2,883,263) (2,944,980) (3,008,346) (3,073,379) (3,140,092) D - 2 Table 1 Proforma - East Larimer County Water District Line No. Description Revenues 1 Plant Investment Fee (PIF) for Debt Service - Status Quo 2 Regionalization Asset Revenue 3 Total Revenues Revenue Requirements 4 Personnel (excludes Administrative) 5 Chemicals 6 Energy 7 Administrative 8 Legal 9 All Other 10 Minor Capital 11 Additional O&M to the City 12 Greenfield Plant O&M (Status Quo) Debt Service 13 Debt Service 14 City Capacity Purchase Debt Service Capital Improvements 15 Cash Funded CIP (Improvement Projects After PIF Rev Adjustment) 16 Additional Capacity from the City of Ft. Collins 17 Total Revenue Requirements 18 Net Revenue / (Costs) 19 Total Costs (2015 - 2045) 20 Net Present Value (2015 - 2045) RWCC Status Quo Scenario 23 24 25 26 27 28 29 30 31 32 33 FY2035 FY2036 FY2037 FY2038 FY2039 FY2040 FY2041 FY2042 FY2043 FY2044 FY2045 $ - $ - $ 1,204,722 $ 1,204,722 $ 1,204,722 $ 919,729 $ 919,729 $ 919,729 $ 919,729 $ 801,907 $ 801,907 - - - - - - - - - - - $ - $ - $ 1,204,722 $ 1,204,722 $ 1,204,722 $ 919,729 $ 919,729 $ 919,729 $ 919,729 $ 801,907 $ 801,907 $ 753,200 $ 780,225 $ 807,937 $ 836,342 $ 865,446 $ 895,252 $ 931,023 $ 1,128,988 $ 1,172,847 $ 1,217,773 $ 1,263,767 492,253 509,916 528,027 546,591 565,612 585,092 608,470 737,850 766,514 795,875 825,934 71,127 73,679 76,296 78,979 81,727 84,542 87,920 106,614 110,756 114,999 119,342 276,016 285,920 296,075 306,485 317,150 328,073 341,181 413,727 429,799 446,263 463,118 37,569 38,917 40,299 41,716 43,168 44,655 46,439 56,313 58,501 60,742 63,036 203,619 210,925 218,416 226,095 233,963 242,021 251,691 305,209 317,065 329,211 341,645 295,317 305,913 316,779 327,916 339,327 351,014 365,039 442,658 459,854 477,469 495,502 - - - - - - - - - - - - - - - - - - - - - - 1,204,722 1,204,722 1,204,722 1,204,722 1,204,722 919,729 919,729 919,729 919,729 801,907 801,907 - - - - - - - - - - - 178,833 183,469 188,158 192,901 197,694 202,537 208,604 214,738 220,935 227,192 233,506 - - - - - - - - - - - $ 3,512,657 $ 3,593,685 $ 3,676,710 $ 3,761,747 $ 3,848,809 $ 3,652,914 $ 3,760,097 $ 4,325,826 $ 4,456,001 $ 4,471,429 $ 4,607,756 (3,512,657) (3,593,685) (2,471,988) (2,557,025) (2,644,087) (2,733,185) (2,840,368) (3,406,097) (3,536,272) (3,669,522) (3,805,849) D - 3 Table 7 Proforma - PIF Fund - Ft. Collins-Loveland Water District Line No. Description Sources of Funds 1 Plant Investment Fees Total Sources of Funds Uses of Funds 2 Cash Funded Capital 3 Debt Service - Transfer to Entity Operating Fund 4 Total Uses of Funds 5 Annual Surplus/(Deficiency) 6 Beginning Balance 7 Ending Balance RWCC Status Quo Scenario 3 4 5 6 7 8 9 10 11 12 FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 $ 3,083,872 $ 3,176,388 $ 3,271,679 $ 3,369,830 $ 3,470,925 $ 3,575,052 $ 5,531,358 $ 5,697,298 $ 5,868,217 $ 5,984,161 $ 3,083,872 $ 3,176,388 $ 3,271,679 $ 3,369,830 $ 3,470,925 $ 3,575,052 $ 5,531,358 $ 5,697,298 $ 5,868,217 $ 5,984,161 - 3,083,872 - - - 10,053,045 - - - 23,907,702 - - - - - - - - - - $ - $ 3,083,872 $ - $ - $ - $ 10,053,045 $ - $ - $ - $ 23,907,702 $ 3,083,872 $ 92,516 $ 3,271,679 $ 3,369,830 $ 3,470,925 $ (6,477,992) $ 5,531,358 $ 5,697,298 $ 5,868,217 $ (17,923,541) $ - $ 3,083,872 $ 3,176,388 $ 6,448,067 $ 9,817,897 $ 13,288,821 $ 6,810,829 $ 12,342,186 $ 18,039,485 $ 23,907,702 $ 3,083,872 $ 3,176,388 $ 6,448,067 $ 9,817,897 $ 13,288,821 $ 6,810,829 $ 12,342,186 $ 18,039,485 $ 23,907,702 $ 5,984,161 D - 4 Table 7 Proforma - PIF Fund - Ft. Collins-Loveland Water District Line No. Description Sources of Funds 1 Plant Investment Fees Total Sources of Funds Uses of Funds 2 Cash Funded Capital 3 Debt Service - Transfer to Entity Operating Fund 4 Total Uses of Funds 5 Annual Surplus/(Deficiency) 6 Beginning Balance 7 Ending Balance RWCC Status Quo Scenario 13 14 15 16 17 18 19 20 21 22 FY2025 FY2026 FY2027 FY2028 FY2029 FY2030 FY2031 FY2032 FY2033 FY2034 $ 3,081,843 $ 3,174,298 $ 3,269,527 $ 3,367,613 $ 3,468,641 $ 3,572,701 $ 3,679,882 $ 3,790,278 $ 3,903,986 $ 4,021,106 $ 3,081,843 $ 3,174,298 $ 3,269,527 $ 3,367,613 $ 3,468,641 $ 3,572,701 $ 3,679,882 $ 3,790,278 $ 3,903,986 $ 4,021,106 - - - - - - - - - - - - - 2,756,506 2,756,506 2,756,506 2,756,506 2,756,506 2,756,506 2,756,506 $ - $ - $ - $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 3,081,843 $ 3,174,298 $ 3,269,527 $ 611,107 $ 712,135 $ 816,195 $ 923,376 $ 1,033,772 $ 1,147,480 $ 1,264,600 $ 5,984,161 $ 9,066,004 $ 12,240,302 $ 15,509,829 $ 16,120,936 $ 16,833,072 $ 17,649,266 $ 18,572,642 $ 19,606,414 $ 20,753,895 $ 9,066,004 $ 12,240,302 $ 15,509,829 $ 16,120,936 $ 16,833,072 $ 17,649,266 $ 18,572,642 $ 19,606,414 $ 20,753,895 $ 22,018,495 D - 5 Table 7 Proforma - PIF Fund - Ft. Collins-Loveland Water District Line No. Description Sources of Funds 1 Plant Investment Fees Total Sources of Funds Uses of Funds 2 Cash Funded Capital 3 Debt Service - Transfer to Entity Operating Fund 4 Total Uses of Funds 5 Annual Surplus/(Deficiency) 6 Beginning Balance 7 Ending Balance RWCC Status Quo Scenario 23 24 25 26 27 28 29 30 31 32 33 FY2035 FY2036 FY2037 FY2038 FY2039 FY2040 FY2041 FY2042 FY2043 FY2044 FY2045 $ 4,141,739 $ 4,265,991 $ 4,393,971 $ 4,525,790 $ 4,661,564 $ 4,801,411 $ - $ - $ - $ - $ - $ 4,141,739 $ 4,265,991 $ 4,393,971 $ 4,525,790 $ 4,661,564 $ 4,801,411 $ - $ - $ - $ - $ - 19,533,093 - - - - - - - - - - 2,756,506 2,756,506 2,756,506 2,756,506 2,756,506 2,756,506 2,756,506 2,756,506 2,756,506 1,847,900 1,847,900 $ 22,289,599 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 1,847,900 $ 1,847,900 $ (18,147,860) $ 1,509,485 $ 1,637,465 $ 1,769,284 $ 1,905,058 $ 2,044,905 $ (2,756,506) $ (2,756,506) $ (2,756,506) $ (1,847,900) $ (1,847,900) $ 22,018,495 $ 3,870,635 $ 5,380,120 $ 7,017,585 $ 8,786,870 $ 10,691,928 $ 12,736,833 $ 9,980,327 $ 7,223,821 $ 4,467,315 $ 2,619,415 $ 3,870,635 $ 5,380,120 $ 7,017,585 $ 8,786,870 $ 10,691,928 $ 12,736,833 $ 9,980,327 $ 7,223,821 $ 4,467,315 $ 2,619,415 $ 771,515 D - 6 Table 2 Proforma - Ft. Collins-Loveland Water District 3 4 5 6 7 8 9 10 11 12 Line No. Description FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 Revenues 1 Plant Investment Fee (PIF) for Debt Service - Status Quo $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - 2 Regionalization Asset Revenue - - - - - - - - - - 3 Total Revenues - - - - - - - - - - Revenue Requirements 4 Personnel (excludes Administrative) $ 555,727 $ 585,517 $ 616,021 $ 647,295 $ 679,391 $ 712,362 $ 746,259 $ 781,133 $ 817,034 $ 996,154 5 Chemicals 363,195 382,664 402,600 423,039 444,016 465,564 487,717 510,509 533,972 651,036 6 Energy 52,479 55,292 58,173 61,126 64,157 67,271 70,472 73,765 77,155 94,070 7 Administrative 203,651 214,567 225,746 237,206 248,968 261,051 273,473 286,253 299,409 365,049 8 Legal 27,719 29,205 30,727 32,287 33,888 35,532 37,223 38,962 40,753 49,688 9 All Other 150,234 158,288 166,534 174,989 183,665 192,579 201,742 211,170 220,876 269,299 10 Minor Capital 217,891 229,571 241,532 253,794 266,378 279,305 292,596 306,269 320,346 390,576 11 Additional O&M to the City 438,479 611,526 797,219 991,968 1,161,092 1,342,158 1,395,844 1,451,678 1,509,745 1,570,135 12 Greenfield Plant O&M (Status Quo) - - - - - - - - - - Debt Service 13 Debt Service $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 908,606 14 City Capacity Purchase Debt Service 747,861 1,309,120 1,309,120 1,309,120 1,309,120 1,309,120 1,309,120 1,309,120 1,309,120 1,309,120 Capital Improvements 15 Cash Funded CIP (Improvement Projects After PIF Rev Adjustment) $ 642,743 $ 227,351 $ 497,743 $ 1,473,291 $ 1,580,188 $ 266,118 $ 276,101 $ 286,224 $ 296,501 $ 306,880 16 Additional Capacity from the City of Ft. Collins - 1,855,123 - - - - - - - 2,744,391 17 Total Revenue Requirements $ 3,399,979 $ 5,658,224 $ 4,345,414 $ 5,604,114 $ 5,970,863 $ 4,931,060 $ 5,090,547 $ 5,255,084 $ 5,424,910 $ 9,655,004 18 Net Revenue / (Costs) $ (3,399,979) $ (5,658,224) $ (4,345,414) $ (5,604,114) $ (5,970,863) $ (4,931,060) $ (5,090,547) $ (5,255,084) $ (5,424,910) $ (9,655,004) 19 Total Costs (2015 - 2045) $ (233,646,741) 20 Net Present Value (2015 - 2045) $106,253,401 Status Quo Scenario RWCC D - 7 Table 2 Proforma - Ft. Collins-Loveland Water District Line No. Description Revenues 1 Plant Investment Fee (PIF) for Debt Service - Status Quo 2 Regionalization Asset Revenue 3 Total Revenues Revenue Requirements 4 Personnel (excludes Administrative) 5 Chemicals 6 Energy 7 Administrative 8 Legal 9 All Other 10 Minor Capital 11 Additional O&M to the City 12 Greenfield Plant O&M (Status Quo) Debt Service 13 Debt Service 14 City Capacity Purchase Debt Service Capital Improvements 15 Cash Funded CIP (Improvement Projects After PIF Rev Adjustment) 16 Additional Capacity from the City of Ft. Collins 17 Total Revenue Requirements 18 Net Revenue / (Costs) 19 Total Costs (2015 - 2045) 20 Net Present Value (2015 - 2045) Status Quo Scenario RWCC 12 13 14 15 16 17 18 19 20 21 22 FY2024 FY2025 FY2026 FY2027 FY2028 FY2029 FY2030 FY2031 FY2032 FY2033 FY2034 $ - $ - $ - $ - $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 - - - - - - - - - - - - - - - 2,756,506 2,756,506 2,756,506 2,756,506 2,756,506 2,756,506 2,756,506 $ 996,154 $ 1,030,681 $ 1,066,314 $ 1,103,087 $ 1,141,037 $ 1,180,199 $ 1,220,608 $ 1,262,304 $ 1,305,323 $ 1,349,704 $ 1,395,487 651,036 673,601 696,889 720,923 745,724 771,318 797,728 824,978 853,093 882,099 912,020 94,070 97,331 100,696 104,168 107,752 111,450 115,266 119,204 123,266 127,457 131,781 365,049 377,702 390,759 404,236 418,142 432,493 447,302 462,582 478,346 494,610 511,388 49,688 51,410 53,187 55,021 56,914 58,868 60,883 62,963 65,109 67,322 69,606 269,299 278,633 288,265 298,207 308,466 319,053 329,977 341,249 352,879 364,877 377,254 390,576 404,113 418,084 432,502 447,382 462,736 478,581 494,929 511,796 529,197 547,147 1,570,135 1,632,941 1,698,258 1,766,188 1,836,836 1,910,309 1,986,722 2,066,191 2,148,838 2,234,792 2,324,184 - - - - - - - - - - - $ 908,606 $ 908,606 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 1,309,120 1,309,120 1,309,120 1,309,120 1,309,120 1,309,120 1,309,120 1,309,120 1,309,120 561,259 561,259 $ 306,880 $ 314,464 $ - $ 330,114 $ 338,188 $ 346,431 $ 354,848 $ 363,441 $ 372,213 $ 381,168 $ 390,308 2,744,391 - - - - - - - - - - $ 9,655,004 $ 7,078,600 $ 8,778,079 $ 9,280,073 $ 9,466,068 $ 9,658,484 $ 9,857,541 $ 10,063,465 $ 10,276,489 $ 9,748,991 $ 9,976,938 $ (9,655,004) $ (7,078,600) $ (8,778,079) $ (9,280,073) $ (6,709,562) $ (6,901,978) $ (7,101,035) $ (7,306,959) $ (7,519,983) $ (6,992,485) $ (7,220,432) D - 8 Table 2 Proforma - Ft. Collins-Loveland Water District Line No. Description Revenues 1 Plant Investment Fee (PIF) for Debt Service - Status Quo 2 Regionalization Asset Revenue 3 Total Revenues Revenue Requirements 4 Personnel (excludes Administrative) 5 Chemicals 6 Energy 7 Administrative 8 Legal 9 All Other 10 Minor Capital 11 Additional O&M to the City 12 Greenfield Plant O&M (Status Quo) Debt Service 13 Debt Service 14 City Capacity Purchase Debt Service Capital Improvements 15 Cash Funded CIP (Improvement Projects After PIF Rev Adjustment) 16 Additional Capacity from the City of Ft. Collins 17 Total Revenue Requirements 18 Net Revenue / (Costs) 19 Total Costs (2015 - 2045) 20 Net Present Value (2015 - 2045) Status Quo Scenario RWCC 22 23 24 25 26 27 28 29 30 31 32 33 FY2034 FY2035 FY2036 FY2037 FY2038 FY2039 FY2040 FY2041 FY2042 FY2043 FY2044 FY2045 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 1,847,900 $ 1,847,900 - - - - - - - - - - - - 2,756,506 2,756,506 2,756,506 2,756,506 2,756,506 2,756,506 2,756,506 2,756,506 2,756,506 2,756,506 1,847,900 1,847,900 $ 1,395,487 $ 1,683,162 $ 1,739,986 $ 1,798,585 $ 1,859,010 $ 1,921,309 $ 1,985,531 $ 2,035,233 $ 2,433,645 $ 2,494,089 $ 2,555,783 $ 2,618,740 912,020 1,100,030 1,137,167 1,175,465 1,214,955 1,255,671 1,297,643 1,330,126 1,590,508 1,630,011 1,670,331 1,711,477 131,781 158,947 164,313 169,847 175,553 181,436 187,501 192,194 229,818 235,526 241,352 247,297 511,388 616,809 637,632 659,106 681,249 704,079 727,614 745,828 891,829 913,980 936,588 959,659 69,606 83,955 86,789 89,712 92,726 95,834 99,037 101,516 121,389 124,404 127,481 130,621 377,254 455,023 470,385 486,226 502,562 519,403 536,765 550,201 657,908 674,248 690,926 707,946 547,147 659,940 682,220 705,196 728,887 753,314 778,494 797,981 954,192 977,891 1,002,080 1,026,765 2,324,184 2,417,151 2,513,837 2,614,390 2,718,966 2,827,725 2,940,834 3,058,467 3,180,806 3,308,038 3,440,359 3,577,974 - - - - - - - - - - - - $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 1,847,900 $ 1,847,900 561,259 561,259 - - - - - - - - - - $ 390,308 $ 399,636 $ 409,155 $ 418,868 $ 428,777 $ 438,885 $ 449,195 $ 456,012 $ 462,888 $ 469,824 $ 476,816 $ 483,864 - - - - - - - - - - - - $ 9,976,938 $ 10,892,419 $ 10,597,990 $ 10,873,902 $ 11,159,192 $ 11,454,161 $ 11,759,120 $ 12,024,064 $ 13,279,490 $ 13,584,516 $ 12,989,616 $ 13,312,241 $ (7,220,432) $ (8,135,913) $ (7,841,484) $ (8,117,396) $ (8,402,686) $ (8,697,655) $ (9,002,614) $ (9,267,558) $ (10,522,984) $ (10,828,010) $ (11,141,716) $ (11,464,341) D - 9 Table 7 Proforma - PIF Fund - Ft. Collins-Loveland Water District Line No. Description Sources of Funds 1 Plant Investment Fees Total Sources of Funds Uses of Funds 2 Cash Funded Capital 3 Debt Service - Transfer to Entity Operating Fund 4 Total Uses of Funds 5 Annual Surplus/(Deficiency) 6 Beginning Balance 7 Ending Balance RWCC Status Quo Scenario 3 4 5 6 7 8 9 10 11 12 FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 $ 3,083,872 $ 3,176,388 $ 3,271,679 $ 3,369,830 $ 3,470,925 $ 3,575,052 $ 5,531,358 $ 5,697,298 $ 5,868,217 $ 5,984,161 $ 3,083,872 $ 3,176,388 $ 3,271,679 $ 3,369,830 $ 3,470,925 $ 3,575,052 $ 5,531,358 $ 5,697,298 $ 5,868,217 $ 5,984,161 - 3,083,872 - - - 10,053,045 - - - 23,907,702 - - - - - - - - - - $ - $ 3,083,872 $ - $ - $ - $ 10,053,045 $ - $ - $ - $ 23,907,702 $ 3,083,872 $ 92,516 $ 3,271,679 $ 3,369,830 $ 3,470,925 $ (6,477,992) $ 5,531,358 $ 5,697,298 $ 5,868,217 $ (17,923,541) $ - $ 3,083,872 $ 3,176,388 $ 6,448,067 $ 9,817,897 $ 13,288,821 $ 6,810,829 $ 12,342,186 $ 18,039,485 $ 23,907,702 $ 3,083,872 $ 3,176,388 $ 6,448,067 $ 9,817,897 $ 13,288,821 $ 6,810,829 $ 12,342,186 $ 18,039,485 $ 23,907,702 $ 5,984,161 D - 10 Table 7 Proforma - PIF Fund - Ft. Collins-Loveland Water District Line No. Description Sources of Funds 1 Plant Investment Fees Total Sources of Funds Uses of Funds 2 Cash Funded Capital 3 Debt Service - Transfer to Entity Operating Fund 4 Total Uses of Funds 5 Annual Surplus/(Deficiency) 6 Beginning Balance 7 Ending Balance RWCC Status Quo Scenario 13 14 15 16 17 18 19 20 21 22 FY2025 FY2026 FY2027 FY2028 FY2029 FY2030 FY2031 FY2032 FY2033 FY2034 $ 3,081,843 $ 3,174,298 $ 3,269,527 $ 3,367,613 $ 3,468,641 $ 3,572,701 $ 3,679,882 $ 3,790,278 $ 3,903,986 $ 4,021,106 $ 3,081,843 $ 3,174,298 $ 3,269,527 $ 3,367,613 $ 3,468,641 $ 3,572,701 $ 3,679,882 $ 3,790,278 $ 3,903,986 $ 4,021,106 - - - - - - - - - - - - - 2,756,506 2,756,506 2,756,506 2,756,506 2,756,506 2,756,506 2,756,506 $ - $ - $ - $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 3,081,843 $ 3,174,298 $ 3,269,527 $ 611,107 $ 712,135 $ 816,195 $ 923,376 $ 1,033,772 $ 1,147,480 $ 1,264,600 $ 5,984,161 $ 9,066,004 $ 12,240,302 $ 15,509,829 $ 16,120,936 $ 16,833,072 $ 17,649,266 $ 18,572,642 $ 19,606,414 $ 20,753,895 $ 9,066,004 $ 12,240,302 $ 15,509,829 $ 16,120,936 $ 16,833,072 $ 17,649,266 $ 18,572,642 $ 19,606,414 $ 20,753,895 $ 22,018,495 D - 11 Table 7 Proforma - PIF Fund - Ft. Collins-Loveland Water District Line No. Description Sources of Funds 1 Plant Investment Fees Total Sources of Funds Uses of Funds 2 Cash Funded Capital 3 Debt Service - Transfer to Entity Operating Fund 4 Total Uses of Funds 5 Annual Surplus/(Deficiency) 6 Beginning Balance 7 Ending Balance RWCC Status Quo Scenario 23 24 25 26 27 28 29 30 31 32 33 FY2035 FY2036 FY2037 FY2038 FY2039 FY2040 FY2041 FY2042 FY2043 FY2044 FY2045 $ 4,141,739 $ 4,265,991 $ 4,393,971 $ 4,525,790 $ 4,661,564 $ 4,801,411 $ - $ - $ - $ - $ - $ 4,141,739 $ 4,265,991 $ 4,393,971 $ 4,525,790 $ 4,661,564 $ 4,801,411 $ - $ - $ - $ - $ - 19,533,093 - - - - - - - - - - 2,756,506 2,756,506 2,756,506 2,756,506 2,756,506 2,756,506 2,756,506 2,756,506 2,756,506 1,847,900 1,847,900 $ 22,289,599 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 2,756,506 $ 1,847,900 $ 1,847,900 $ (18,147,860) $ 1,509,485 $ 1,637,465 $ 1,769,284 $ 1,905,058 $ 2,044,905 $ (2,756,506) $ (2,756,506) $ (2,756,506) $ (1,847,900) $ (1,847,900) $ 22,018,495 $ 3,870,635 $ 5,380,120 $ 7,017,585 $ 8,786,870 $ 10,691,928 $ 12,736,833 $ 9,980,327 $ 7,223,821 $ 4,467,315 $ 2,619,415 $ 3,870,635 $ 5,380,120 $ 7,017,585 $ 8,786,870 $ 10,691,928 $ 12,736,833 $ 9,980,327 $ 7,223,821 $ 4,467,315 $ 2,619,415 $ 771,515 D - 12 Table 3 Proforma - North Weld County Water District 3 4 5 6 7 8 9 10 11 12 Line No. Description FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 Revenue 1 Plant Investment Fee (PIF) for Debt Service - Status Quo $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - 2 Regionalization Asset Revenue - - - - - - - - - - 3 Total Revenues $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Revenue Requirements 4 Personnel (excludes Administrative) 477,715 492,354 508,001 524,685 542,439 561,302 581,315 602,525 624,981 756,983 5 Chemicals 312,210 321,778 332,004 342,907 354,511 366,839 379,918 393,780 408,456 494,726 6 Energy 45,112 46,495 47,972 49,548 51,224 53,006 54,896 56,899 59,019 71,485 7 Administrative 175,062 180,427 186,161 192,275 198,781 205,694 213,028 220,800 229,029 277,403 8 Legal 23,828 24,558 25,339 26,171 27,057 27,997 28,996 30,054 31,174 37,758 9 All Other 129,145 133,102 137,332 141,842 146,642 151,741 157,152 162,886 168,956 204,642 10 Minor Capital 187,304 193,044 199,179 205,720 212,681 220,077 227,924 236,240 245,045 296,801 11 Additional O&M to the City - - - 740,275 769,886 800,681 832,708 866,017 900,657 936,684 12 Greenfield Plant O&M (Status Quo) - - - - - - - - - - Debt Service 13 Debt Service $ - $ - $ - $ - $ - $ 510,453 $ 510,453 $ 510,453 $ 510,453 $ 510,453 14 City Capacity Purchase Debt Service - - - 557,833 557,833 557,833 557,833 557,833 557,833 557,833 Capital Improvements 15 Cash Funded CIP (Improvement Projects After PIF Rev Adjustment) $ 552,516 $ 191,177 $ 410,463 $ 1,194,221 $ 1,261,653 $ 209,686 $ 215,075 $ 220,778 $ 226,805 $ 233,200 16 Additional Capacity from the City of Ft. Collins - - - 1,956,086 - - - - - - 17 Total Revenue Requirements $ 1,902,893 $ 1,582,936 $ 1,846,451 $ 5,931,562 $ 4,122,706 $ 3,665,308 $ 3,759,297 $ 3,858,264 $ 3,962,408 $ 4,377,966 18 Net Revenue / (Costs) $ (1,902,893) $ (1,582,936) $ (1,846,451) $ (5,931,562) $ (4,122,706) $ (3,665,308) $ (3,759,297) $ (3,858,264) $ (3,962,408) $ (4,377,966) 19 Total Costs (2015 - 2045) (203,560,859) 20 Net Present Value (2015 - 2045) $85,840,651 RWCC Status Quo Scenario D - 13 Table 3 Proforma - North Weld County Water District Line No. Description Revenue 1 Plant Investment Fee (PIF) for Debt Service - Status Quo 2 Regionalization Asset Revenue 3 Total Revenues Revenue Requirements 4 Personnel (excludes Administrative) 5 Chemicals 6 Energy 7 Administrative 8 Legal 9 All Other 10 Minor Capital 11 Additional O&M to the City 12 Greenfield Plant O&M (Status Quo) Debt Service 13 Debt Service 14 City Capacity Purchase Debt Service Capital Improvements 15 Cash Funded CIP (Improvement Projects After PIF Rev Adjustment) 16 Additional Capacity from the City of Ft. Collins 17 Total Revenue Requirements 18 Net Revenue / (Costs) 19 Total Costs (2015 - 2045) 20 Net Present Value (2015 - 2045) RWCC Status Quo Scenario 13 14 15 16 17 18 19 20 21 22 FY2025 FY2026 FY2027 FY2028 FY2029 FY2030 FY2031 FY2032 FY2033 FY2034 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - - - - - - - - - - - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - 792,642 830,162 869,642 911,185 954,900 1,000,899 1,049,303 1,100,238 1,153,835 1,210,234 518,031 542,552 568,354 595,505 624,075 654,137 685,772 719,060 754,089 790,948 74,852 78,395 82,123 86,046 90,175 94,518 99,089 103,899 108,961 114,287 290,470 304,220 318,688 333,911 349,931 366,788 384,526 403,191 422,832 443,500 39,536 41,408 43,377 45,449 47,630 49,924 52,339 54,879 57,553 60,366 214,281 224,425 235,098 246,328 258,146 270,581 283,667 297,437 311,926 327,173 310,782 325,493 340,972 357,261 374,401 392,436 411,415 431,385 452,400 474,513 974,151 1,013,117 1,053,642 1,095,788 1,139,619 1,185,204 1,232,612 1,281,916 1,333,193 1,386,521 - - - - - - - - - - $ 510,453 $ 1,949,106 $ 1,949,106 $ 1,949,106 $ 1,949,106 $ 1,949,106 $ 1,949,106 $ 1,949,106 $ 1,949,106 $ 1,949,106 557,833 557,833 557,833 557,833 557,833 557,833 557,833 557,833 557,833 557,833 $ 241,837 $ - $ 260,252 $ 270,063 $ 280,298 $ 290,975 $ 302,114 $ 313,733 $ 325,853 $ 338,494 - - - - - - - - - - $ 4,524,867 $ 5,866,710 $ 6,279,088 $ 6,448,476 $ 6,626,112 $ 6,812,403 $ 7,007,776 $ 7,212,678 $ 7,427,580 $ 7,652,973 $ (4,524,867) $ (5,866,710) $ (6,279,088) $ (6,448,476) $ (6,626,112) $ (6,812,403) $ (7,007,776) $ (7,212,678) $ (7,427,580) $ (7,652,973) D - 14 Table 3 Proforma - North Weld County Water District Line No. Description Revenue 1 Plant Investment Fee (PIF) for Debt Service - Status Quo 2 Regionalization Asset Revenue 3 Total Revenues Revenue Requirements 4 Personnel (excludes Administrative) 5 Chemicals 6 Energy 7 Administrative 8 Legal 9 All Other 10 Minor Capital 11 Additional O&M to the City 12 Greenfield Plant O&M (Status Quo) Debt Service 13 Debt Service 14 City Capacity Purchase Debt Service Capital Improvements 15 Cash Funded CIP (Improvement Projects After PIF Rev Adjustment) 16 Additional Capacity from the City of Ft. Collins 17 Total Revenue Requirements 18 Net Revenue / (Costs) 19 Total Costs (2015 - 2045) 20 Net Present Value (2015 - 2045) RWCC Status Quo Scenario 23 24 25 26 27 28 29 30 31 32 33 FY2035 FY2036 FY2037 FY2038 FY2039 FY2040 FY2041 FY2042 FY2043 FY2044 FY2045 $ - $ - $ - $ - $ - $ - $ - $ 2,370,208 $ 2,370,208 $ 2,370,208 $ 2,370,208 - - - - - - - - - - - $ - $ - $ - $ - $ - $ - $ - $ 2,370,208 $ 2,370,208 $ 2,370,208 $ 2,370,208 1,481,176 1,554,029 1,630,687 1,711,345 1,796,211 1,885,500 1,990,679 2,451,781 2,588,055 2,731,636 2,882,892 968,022 1,015,635 1,065,735 1,118,449 1,173,913 1,232,268 1,301,008 1,602,361 1,691,423 1,785,260 1,884,113 139,873 146,752 153,992 161,608 169,623 178,054 187,987 231,530 244,399 257,958 272,242 542,789 569,487 597,579 627,137 658,236 690,957 729,501 898,475 948,414 1,001,030 1,056,460 73,880 77,514 81,338 85,361 89,594 94,048 99,294 122,293 129,091 136,252 143,797 400,419 420,114 440,837 462,642 485,585 509,723 538,157 662,810 699,651 738,466 779,356 580,745 609,309 639,366 670,990 704,265 739,274 780,513 961,303 1,014,734 1,071,030 1,130,335 1,441,982 1,499,661 1,559,647 1,622,033 1,686,915 1,754,391 1,824,567 1,897,549 1,973,451 2,052,390 2,134,485 - - - - - - - - - - - $ 1,949,106 $ 1,949,106 $ 1,949,106 $ 1,949,106 $ 1,949,106 $ 1,438,654 $ 1,438,654 $ 2,370,208 $ 2,370,208 $ 2,370,208 $ 2,370,208 557,833 557,833 557,833 - - - - - - - - $ 351,678 $ 365,428 $ 379,767 $ 394,719 $ 410,309 $ 426,564 $ 446,029 $ 466,338 $ 487,524 $ 509,624 $ 532,671 - - - - - - - - - - - $ 8,487,502 $ 8,764,869 $ 9,055,885 $ 8,803,392 $ 9,123,757 $ 8,949,434 $ 9,336,387 $ 11,664,650 $ 12,146,951 $ 12,653,853 $ 13,186,559 $ (8,487,502) $ (8,764,869) $ (9,055,885) $ (8,803,392) $ (9,123,757) $ (8,949,434) $ (9,336,387) $ (9,294,442) $ (9,776,743) $ (10,283,645) $ (10,816,351) D - 15 Table 8 Proforma - PIF Fund - North Weld County Water District Line No. Description Sources of Funds 1 Plant Investment Fees Total Sources of Funds Uses of Funds 2 Cash Funded Capital 3 Debt Service - Transfer to Entity Operating Fund 4 Total Uses of Funds 5 Annual Surplus/(Deficiency) 6 Beginning Balance 7 Ending Balance RWCC Status Quo Scenario 3 4 5 6 7 8 9 10 11 12 FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 $ 1,045,612 $ 1,109,290 $ 1,176,846 $ 1,248,516 $ 1,324,551 $ 1,405,216 $ 2,239,389 $ 2,375,768 $ 2,520,452 $ 2,673,948 $ 1,045,612 $ 1,109,290 $ 1,176,846 $ 1,248,516 $ 1,324,551 $ 1,405,216 $ 2,239,389 $ 2,375,768 $ 2,520,452 $ 2,673,948 - - - 3,331,749 - 2,573,066 - - - 4,703,707 - - - - - - - - - - $ - $ - $ - $ 3,331,749 $ - $ 2,573,066 $ - $ - $ - $ 4,703,707 $ 1,045,612 $ 1,109,290 $ 1,176,846 $ (2,083,233) $ 1,324,551 $ (1,167,851) $ 2,239,389 $ 2,375,768 $ 2,520,452 $ (2,029,760) $ - $ 1,045,612 $ 2,154,903 $ 3,331,749 $ 1,248,516 $ 2,573,066 $ 1,405,216 $ 3,644,605 $ 6,020,373 $ 8,540,825 $ 1,045,612 $ 2,154,903 $ 3,331,749 $ 1,248,516 $ 2,573,066 $ 1,405,216 $ 3,644,605 $ 6,020,373 $ 8,540,825 $ 6,511,065 D - 16 Table 8 Proforma - PIF Fund - North Weld County Water District Line No. Description Sources of Funds 1 Plant Investment Fees Total Sources of Funds Uses of Funds 2 Cash Funded Capital 3 Debt Service - Transfer to Entity Operating Fund 4 Total Uses of Funds 5 Annual Surplus/(Deficiency) 6 Beginning Balance 7 Ending Balance RWCC Status Quo Scenario 13 14 15 16 17 18 19 20 21 22 FY2025 FY2026 FY2027 FY2028 FY2029 FY2030 FY2031 FY2032 FY2033 FY2034 $ 2,836,791 $ 3,009,552 $ 3,192,833 $ 3,387,277 $ 3,593,562 $ 3,812,410 $ 4,044,586 $ 4,290,901 $ 4,552,217 $ 4,829,447 $ 2,836,791 $ 3,009,552 $ 3,192,833 $ 3,387,277 $ 3,593,562 $ 3,812,410 $ 4,044,586 $ 4,290,901 $ 4,552,217 $ 4,829,447 - - - - - - - - - - - - - - - - - - - - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 2,836,791 $ 3,009,552 $ 3,192,833 $ 3,387,277 $ 3,593,562 $ 3,812,410 $ 4,044,586 $ 4,290,901 $ 4,552,217 $ 4,829,447 $ 6,511,065 $ 9,347,856 $ 12,357,408 $ 15,550,241 $ 18,937,518 $ 22,531,080 $ 26,343,490 $ 30,388,076 $ 34,678,977 $ 39,231,194 $ 9,347,856 $ 12,357,408 $ 15,550,241 $ 18,937,518 $ 22,531,080 $ 26,343,490 $ 30,388,076 $ 34,678,977 $ 39,231,194 $ 44,060,641 D - 17 Table 8 Proforma - PIF Fund - North Weld County Water District Line No. Description Sources of Funds 1 Plant Investment Fees Total Sources of Funds Uses of Funds 2 Cash Funded Capital 3 Debt Service - Transfer to Entity Operating Fund 4 Total Uses of Funds 5 Annual Surplus/(Deficiency) 6 Beginning Balance 7 Ending Balance RWCC Status Quo Scenario 23 24 25 26 27 28 29 30 31 32 33 FY2035 FY2036 FY2037 FY2038 FY2039 FY2040 FY2041 FY2042 FY2043 FY2044 FY2045 $ 5,123,560 $ 5,435,585 $ 5,766,612 $ 6,117,799 $ 6,490,373 $ 6,885,637 $ 7,304,972 $ 7,749,845 $ 8,221,810 $ 8,722,518 $ 9,253,720 $ 5,123,560 $ 5,435,585 $ 5,766,612 $ 6,117,799 $ 6,490,373 $ 6,885,637 $ 7,304,972 $ 7,749,845 $ 8,221,810 $ 8,722,518 $ 9,253,720 39,066,186 - - - - - - 48,118,993 - - - - - - - - - - 2,370,208 2,370,208 2,370,208 2,370,208 $ 39,066,186 $ - $ - $ - $ - $ - $ - $ 50,489,201 $ 2,370,208 $ 2,370,208 $ 2,370,208 $ (33,942,626) $ 5,435,585 $ 5,766,612 $ 6,117,799 $ 6,490,373 $ 6,885,637 $ 7,304,972 $ (42,739,356) $ 5,851,602 $ 6,352,310 $ 6,883,512 $ 44,060,641 $ 10,118,015 $ 15,553,600 $ 21,320,213 $ 27,438,012 $ 33,928,384 $ 40,814,021 $ 48,118,993 $ 5,379,637 $ 11,231,239 $ 17,583,549 $ 10,118,015 $ 15,553,600 $ 21,320,213 $ 27,438,012 $ 33,928,384 $ 40,814,021 $ 48,118,993 $ 5,379,637 $ 11,231,239 $ 17,583,549 $ 24,467,061 D - 18 Table 4 Proforma - City of Ft. Collins Line No. Description Sources of Funds 1 Plant Investment Fee (PIF) for Capital - Status Quo 2 PIF Revenue - Capacity Sold to Members of Tri-Districts 3 O&M Revenue from Other Entities 4 Regionalization Asset Revenue 5 Total Revenues Revenue Requirements 6 Personnel (excludes Administrative) 7 Chemicals 8 Energy 9 Administrative 10 Legal 11 All Other 12 Minor Capital Debt Service 13 Debt Service Capital Improvements 14 Cash Funded CIP (Improvement Projects After PIF Rev Adjustment) 15 Total Revenue Requirements 16 Net Revenue / (Costs) 17 Total Costs (2015 - 2045) 18 Net Present Value (2015 - 2045) RWCC Status Quo Scenario 3 4 5 6 7 8 9 10 11 12 FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 $ 1,905,653 $ 1,962,823 $ 2,021,707 $ 2,082,359 $ 2,144,829 $ 2,209,174 $ 3,076,251 $ 3,168,539 $ 3,263,595 $ 3,361,503 747,861 3,164,242 1,309,120 3,823,038 1,866,952 1,866,952 1,866,952 1,866,952 1,866,952 4,611,344 438,479 611,526 797,219 1,732,243 1,930,978 2,142,839 2,228,553 2,317,695 2,410,403 2,506,819 - - - - - - - - - - $ 3,091,993 $ 5,738,591 $ 4,128,046 $ 7,637,640 $ 5,942,759 $ 6,218,966 $ 7,171,757 $ 7,353,186 $ 7,540,950 $ 10,479,665 $ 2,379,334 $ 2,474,507 $ 2,573,488 $ 2,676,427 $ 2,783,484 $ 2,894,824 $ 3,010,617 $ 3,131,041 $ 3,256,283 $ 3,386,534 1,295,757 1,347,587 1,401,491 1,457,550 1,515,852 1,576,486 1,639,546 1,705,128 1,773,333 1,844,266 448,864 466,819 485,491 504,911 525,107 546,112 567,956 590,674 614,301 638,873 311,753 324,223 337,192 350,680 364,707 379,295 394,467 410,245 426,655 443,721 56,271 58,522 60,863 63,298 65,829 68,463 71,201 74,049 77,011 80,092 1,677,761 1,744,871 1,814,666 1,887,253 1,962,743 2,041,252 2,122,902 2,207,819 2,296,131 2,387,977 1,677,575 1,744,678 1,814,465 1,887,043 1,962,525 2,041,026 2,122,667 2,207,574 2,295,877 2,387,712 - - - - - - - - - - 12,319,482 9,486,091 12,655,304 5,920,473 7,142,910 3,145,654 1,844,811 1,900,155 1,957,160 2,015,875 $ 20,166,796 $ 17,647,298 $ 21,142,959 $ 14,747,635 $ 16,323,158 $ 12,693,112 $ 11,774,167 $ 12,226,685 $ 12,696,751 $ 13,185,049 $ (17,074,803) $ (11,908,707) $ (17,014,913) $ (7,109,995) $ (10,380,398) $ (6,474,146) $ (4,602,410) $ (4,873,499) $ (5,155,801) $ (2,705,384) (482,754,196) $207,891,977 D - 19 Table 4 Proforma - City of Ft. Collins Line No. Description Sources of Funds 1 Plant Investment Fee (PIF) for Capital - Status Quo 2 PIF Revenue - Capacity Sold to Members of Tri-Districts 3 O&M Revenue from Other Entities 4 Regionalization Asset Revenue 5 Total Revenues Revenue Requirements 6 Personnel (excludes Administrative) 7 Chemicals 8 Energy 9 Administrative 10 Legal 11 All Other 12 Minor Capital Debt Service 13 Debt Service Capital Improvements 14 Cash Funded CIP (Improvement Projects After PIF Rev Adjustment) 15 Total Revenue Requirements 16 Net Revenue / (Costs) 17 Total Costs (2015 - 2045) 18 Net Present Value (2015 - 2045) RWCC Status Quo Scenario 13 14 15 16 17 18 19 20 21 22 FY2025 FY2026 FY2027 FY2028 FY2029 FY2030 FY2031 FY2032 FY2033 FY2034 $ 3,462,348 $ 2,539,580 $ 2,615,767 $ 2,694,240 $ 2,775,067 $ 2,858,319 $ 2,192,392 $ 2,258,164 $ 2,325,909 $ 2,395,686 1,866,952 1,866,952 1,866,952 1,866,952 1,866,952 1,866,952 1,866,952 1,866,952 1,119,091 1,119,091 2,607,092 2,711,375 2,819,830 2,932,624 3,049,929 3,171,926 3,298,803 3,430,755 3,567,985 3,710,704 - - - - - - - - - - $ 7,936,392 $ 7,117,907 $ 7,302,550 $ 7,493,816 $ 7,691,948 $ 7,897,197 $ 7,358,147 $ 7,555,871 $ 7,012,985 $ 7,225,481 $ 3,521,996 $ 3,662,875 $ 3,809,390 $ 3,961,766 $ 4,120,237 $ 4,285,046 $ 4,456,448 $ 4,634,706 $ 4,820,094 $ 5,012,898 1,918,037 1,994,758 2,074,548 2,157,530 2,243,832 2,333,585 2,426,928 2,524,005 2,624,966 2,729,964 664,428 691,006 718,646 747,392 777,287 808,379 840,714 874,342 909,316 945,689 461,470 479,929 499,126 519,091 539,855 561,449 583,907 607,263 631,554 656,816 83,295 86,627 90,092 93,696 97,444 101,341 105,395 109,611 113,995 118,555 2,483,496 2,582,835 2,686,149 2,793,595 2,905,339 3,021,552 3,142,414 3,268,111 3,398,835 3,534,789 2,483,220 2,582,549 2,685,851 2,793,285 2,905,016 3,021,217 3,142,066 3,267,748 3,398,458 3,534,397 - 6,026,596 6,026,596 6,026,596 6,026,596 6,026,596 6,026,596 6,026,596 6,026,596 6,026,596 2,076,351 - 2,202,801 2,268,885 2,336,951 2,407,060 2,479,271 2,553,650 2,630,259 2,709,167 $ 13,692,293 $ 18,107,176 $ 20,793,200 $ 21,361,836 $ 21,952,556 $ 22,566,225 $ 23,203,740 $ 23,866,033 $ 24,554,074 $ 25,268,870 $ (5,755,901) $ (10,989,268) $ (13,490,650) $ (13,868,020) $ (14,260,608) $ (14,669,028) $ (15,845,593) $ (16,310,162) $ (17,541,089) $ (18,043,389) D - 20 Table 4 Proforma - City of Ft. Collins Line No. Description Sources of Funds 1 Plant Investment Fee (PIF) for Capital - Status Quo 2 PIF Revenue - Capacity Sold to Members of Tri-Districts 3 O&M Revenue from Other Entities 4 Regionalization Asset Revenue 5 Total Revenues Revenue Requirements 6 Personnel (excludes Administrative) 7 Chemicals 8 Energy 9 Administrative 10 Legal 11 All Other 12 Minor Capital Debt Service 13 Debt Service Capital Improvements 14 Cash Funded CIP (Improvement Projects After PIF Rev Adjustment) 15 Total Revenue Requirements 16 Net Revenue / (Costs) 17 Total Costs (2015 - 2045) 18 Net Present Value (2015 - 2045) RWCC Status Quo Scenario 23 24 25 26 27 28 29 30 31 32 33 FY2035 FY2036 FY2037 FY2038 FY2039 FY2040 FY2041 FY2042 FY2043 FY2044 FY2045 $ 2,467,556 $ 2,468,966 $ 2,543,035 $ 2,619,326 $ 2,697,906 $ 2,778,843 $ 1,767,835 $ 1,820,870 $ 1,875,496 $ 1,931,761 $ 1,989,714 1,119,091 557,833 557,833 - - - - - - - - 3,859,133 4,013,498 4,174,038 4,340,999 4,514,639 4,695,225 4,883,034 5,078,355 5,281,489 5,492,749 5,712,459 - - - - - - - - - - - $ 7,445,780 $ 7,040,297 $ 7,274,906 $ 6,960,326 $ 7,212,545 $ 7,474,068 $ 6,650,869 $ 6,899,225 $ 7,156,985 $ 7,424,510 $ 7,702,173 $ 5,213,414 $ 5,421,950 $ 5,638,828 $ 5,864,381 $ 6,098,957 $ 6,342,915 $ 6,596,632 $ 6,860,497 $ 7,134,917 $ 7,420,313 $ 7,717,126 2,839,163 2,952,729 3,070,838 3,193,672 3,321,419 3,454,276 3,592,447 3,736,144 3,885,590 4,041,014 4,202,654 983,516 1,022,857 1,063,771 1,106,322 1,150,575 1,196,598 1,244,462 1,294,240 1,346,010 1,399,850 1,455,844 683,089 710,412 738,829 768,382 799,117 831,082 864,325 898,898 934,854 972,248 1,011,138 123,297 128,229 133,358 138,693 144,241 150,010 156,011 162,251 168,741 175,491 182,510 3,676,180 3,823,227 3,976,156 4,135,203 4,300,611 4,472,635 4,651,541 4,837,602 5,031,106 5,232,351 5,441,645 3,675,772 3,822,803 3,975,716 4,134,744 4,300,134 4,472,139 4,651,025 4,837,066 5,030,548 5,231,770 5,441,041 6,026,596 6,026,596 6,026,596 6,026,596 6,026,596 6,026,596 6,026,596 6,026,596 6,026,596 6,026,596 6,026,596 2,790,442 2,874,155 2,960,380 3,049,191 3,140,667 3,234,887 3,331,934 3,431,892 3,534,848 3,640,894 3,750,121 $ 26,011,470 $ 26,782,960 $ 27,584,473 $ 28,417,185 $ 29,282,316 $ 30,181,138 $ 31,114,971 $ 32,085,187 $ 33,093,211 $ 34,140,528 $ 35,228,676 $ (18,565,689) $ (19,742,663) $ (20,309,567) $ (21,456,859) $ (22,069,771) $ (22,707,070) $ (24,464,102) $ (25,185,962) $ (25,936,226) $ (26,716,018) $ (27,526,503) D - 21 Table 9 Proforma - PIF Fund - City of Fort Collins Line No. Description Sources of Funds 1 Plant Investment Fees Total Sources of Funds Uses of Funds 2 Cash Funded Capital 3 Cash Funded Capital - Transfer to Entity Operating Fund 4 Total Uses of Funds 5 Annual Surplus/(Deficiency) 6 Beginning Balance 7 Ending Balance RWCC Status Quo Scenario 3 4 5 6 7 8 9 10 11 12 FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 $ 1,905,653 $ 1,962,823 $ 2,021,707 $ 2,082,359 $ 2,144,829 $ 2,209,174 $ 3,076,251 $ 3,168,539 $ 3,263,595 $ 3,361,503 $ 1,905,653 $ 1,962,823 $ 2,021,707 $ 2,082,359 $ 2,144,829 $ 2,209,174 $ 3,076,251 $ 3,168,539 $ 3,263,595 $ 3,361,503 - - - - - - - - - - 1,905,653 1,962,823 2,021,707 2,082,359 2,144,829 2,209,174 3,076,251 3,168,539 3,263,595 3,361,503 $ 1,905,653 $ 1,962,823 $ 2,021,707 $ 2,082,359 $ 2,144,829 $ 2,209,174 $ 3,076,251 $ 3,168,539 $ 3,263,595 $ 3,361,503 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - D - 22 Table 9 Proforma - PIF Fund - City of Fort Collins Line No. Description Sources of Funds 1 Plant Investment Fees Total Sources of Funds Uses of Funds 2 Cash Funded Capital 3 Cash Funded Capital - Transfer to Entity Operating Fund 4 Total Uses of Funds 5 Annual Surplus/(Deficiency) 6 Beginning Balance 7 Ending Balance RWCC Status Quo Scenario 13 14 15 16 17 18 19 20 21 22 FY2025 FY2026 FY2027 FY2028 FY2029 FY2030 FY2031 FY2032 FY2033 FY2034 $ 3,462,348 $ 2,539,580 $ 2,615,767 $ 2,694,240 $ 2,775,067 $ 2,858,319 $ 2,192,392 $ 2,258,164 $ 2,325,909 $ 2,395,686 $ 3,462,348 $ 2,539,580 $ 2,615,767 $ 2,694,240 $ 2,775,067 $ 2,858,319 $ 2,192,392 $ 2,258,164 $ 2,325,909 $ 2,395,686 - - - - - - - - - - 3,462,348 2,539,580 2,615,767 2,694,240 2,775,067 2,858,319 2,192,392 2,258,164 2,325,909 2,395,686 $ 3,462,348 $ 2,539,580 $ 2,615,767 $ 2,694,240 $ 2,775,067 $ 2,858,319 $ 2,192,392 $ 2,258,164 $ 2,325,909 $ 2,395,686 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - D - 23 Table 9 Proforma - PIF Fund - City of Fort Collins Line No. Description Sources of Funds 1 Plant Investment Fees Total Sources of Funds Uses of Funds 2 Cash Funded Capital 3 Cash Funded Capital - Transfer to Entity Operating Fund 4 Total Uses of Funds 5 Annual Surplus/(Deficiency) 6 Beginning Balance 7 Ending Balance RWCC Status Quo Scenario 23 24 25 26 27 28 29 30 31 32 33 FY2035 FY2036 FY2037 FY2038 FY2039 FY2040 FY2041 FY2042 FY2043 FY2044 FY2045 $ 2,467,556 $ 2,468,966 $ 2,543,035 $ 2,619,326 $ 2,697,906 $ 2,778,843 $ 1,767,835 $ 1,820,870 $ 1,875,496 $ 1,931,761 $ 1,989,714 $ 2,467,556 $ 2,468,966 $ 2,543,035 $ 2,619,326 $ 2,697,906 $ 2,778,843 $ 1,767,835 $ 1,820,870 $ 1,875,496 $ 1,931,761 $ 1,989,714 - - - - - - - - - - - 2,467,556 2,468,966 2,543,035 2,619,326 2,697,906 2,778,843 1,767,835 1,820,870 1,875,496 1,931,761 1,989,714 $ 2,467,556 $ 2,468,966 $ 2,543,035 $ 2,619,326 $ 2,697,906 $ 2,778,843 $ 1,767,835 $ 1,820,870 $ 1,875,496 $ 1,931,761 $ 1,989,714 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - D - 24 Table 1 Proforma - East Larimer County Water District 3 4 5 6 7 8 9 10 11 12 Line No. Description FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 Revenues 1 Plant Investment Fee (PIF) for Debt Service- Collaboration $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - 2 Regionalization Asset Revenue - - - - - - - - - - 3 Total Revenues $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Revenue Requirements 4 Personnel (excludes Administrative) $ 343,540 $ 347,050 $ 350,568 $ 354,086 $ 357,598 $ 361,097 $ 364,863 $ 368,595 $ 372,287 $ 375,963 5 Chemicals 200,403 202,450 204,502 206,555 208,603 210,644 212,841 215,018 217,172 219,316 6 Energy 53,296 53,841 54,386 54,932 55,477 56,020 56,604 57,183 57,756 58,326 7 Administrative 73,782 74,536 75,291 76,047 76,801 77,552 78,361 79,163 79,956 80,745 8 Legal 11,330 11,446 11,562 11,678 11,794 11,909 12,033 12,156 12,278 12,399 9 All Other 189,112 191,044 192,980 194,917 196,851 198,776 200,850 202,904 204,936 206,960 10 Minor Capital 203,972 206,055 208,144 210,233 212,318 214,395 216,632 218,847 221,039 223,222 11 Additional O&M to the City - - - - - - - - - - 12 Greenfield Plant O&M (Status Quo) - - - - - - - - - - Debt Service 13 Debt Service 200,741 200,741 200,741 200,741 200,741 200,741 200,741 200,741 200,741 200,741 14 City Capacity Purchase Debt Service - - - - - - - - - - Capital Improvements 15 Cash Funded CIP (Improvement Projects After PIF Rev Adjustment) 1,327,193 961,977 1,327,407 893,859 1,033,027 361,111 237,711 245,189 252,850 260,713 16 Additional Capacity from the City of Ft. Collins - - - - - - - - - - 17 Total Revenue Requirements $ 2,603,368 $ 2,249,139 $ 2,625,581 $ 2,203,048 $ 2,353,211 $ 1,692,246 $ 1,580,636 $ 1,599,797 $ 1,619,014 $ 1,638,386 18 Net Revenue / (Costs) (2,603,368) (2,249,139) (2,625,581) (2,203,048) (2,353,211) (1,692,246) (1,580,636) (1,599,797) (1,619,014) (1,638,386) 19 Total Costs (2015 - 2045) $ (82,455,894) 20 Net Present Value (2015 - 2045) $38,286,665 RWCC Collaboration Scenario D - 25 Table 1 Proforma - East Larimer County Water District Line No. Description Revenues 1 Plant Investment Fee (PIF) for Debt Service- Collaboration 2 Regionalization Asset Revenue 3 Total Revenues Revenue Requirements 4 Personnel (excludes Administrative) 5 Chemicals 6 Energy 7 Administrative 8 Legal 9 All Other 10 Minor Capital 11 Additional O&M to the City 12 Greenfield Plant O&M (Status Quo) Debt Service 13 Debt Service 14 City Capacity Purchase Debt Service Capital Improvements 15 Cash Funded CIP (Improvement Projects After PIF Rev Adjustment) 16 Additional Capacity from the City of Ft. Collins 17 Total Revenue Requirements 18 Net Revenue / (Costs) 19 Total Costs (2015 - 2045) 20 Net Present Value (2015 - 2045) RWCC Collaboration Scenario 13 14 15 16 17 18 19 20 21 22 FY2025 FY2026 FY2027 FY2028 FY2029 FY2030 FY2031 FY2032 FY2033 FY2034 $ - $ - $ - $ - $ - $ - $ 991,966 $ 991,966 $ 991,966 $ 991,966 - - - - - - - - - - $ - $ - $ - $ - $ - $ - $ 991,966 $ 991,966 $ 991,966 $ 991,966 $ 392,868 $ 411,131 $ 430,048 $ 449,633 $ 469,900 $ 546,642 $ 571,393 $ 596,984 $ 623,432 $ 650,752 229,178 239,832 250,867 262,292 274,114 318,881 333,319 348,248 363,676 379,614 60,949 63,782 66,717 69,755 72,899 84,805 88,645 92,615 96,718 100,956 84,376 88,298 92,361 96,567 100,920 117,402 122,717 128,214 133,894 139,761 12,957 13,559 14,183 14,829 15,497 18,028 18,844 19,688 20,561 21,462 216,266 226,319 236,733 247,514 258,670 300,915 314,540 328,628 343,187 358,226 233,259 244,103 255,334 266,963 278,996 324,560 339,255 354,450 370,153 386,374 - - - - - - - - - - - - - - - - - - - - 200,741 1,192,707 1,192,707 1,192,707 1,192,707 1,192,707 1,192,707 1,192,707 1,192,707 1,192,707 - - - - - - - - - - 269,816 - 289,698 299,979 310,486 321,218 332,533 344,086 355,875 367,899 - - - - - - - - - - $ 1,700,410 $ 2,479,731 $ 2,828,648 $ 2,900,239 $ 2,974,189 $ 3,225,158 $ 3,313,955 $ 3,405,620 $ 3,500,203 $ 3,597,751 (1,700,410) (2,479,731) (2,828,648) (2,900,239) (2,974,189) (3,225,158) (2,321,989) (2,413,655) (2,508,237) (2,605,785) D - 26 Table 1 Proforma - East Larimer County Water District Line No. Description Revenues 1 Plant Investment Fee (PIF) for Debt Service- Collaboration 2 Regionalization Asset Revenue 3 Total Revenues Revenue Requirements 4 Personnel (excludes Administrative) 5 Chemicals 6 Energy 7 Administrative 8 Legal 9 All Other 10 Minor Capital 11 Additional O&M to the City 12 Greenfield Plant O&M (Status Quo) Debt Service 13 Debt Service 14 City Capacity Purchase Debt Service Capital Improvements 15 Cash Funded CIP (Improvement Projects After PIF Rev Adjustment) 16 Additional Capacity from the City of Ft. Collins 17 Total Revenue Requirements 18 Net Revenue / (Costs) 19 Total Costs (2015 - 2045) 20 Net Present Value (2015 - 2045) RWCC Collaboration Scenario 23 24 25 26 27 28 29 30 31 32 33 FY2035 FY2036 FY2037 FY2038 FY2039 FY2040 FY2041 FY2042 FY2043 FY2044 FY2045 $ 991,966 $ 991,966 $ 991,966 $ 991,966 $ 991,966 $ 991,966 $ 991,966 $ 991,966 $ 991,966 $ 991,966 $ 991,966 - - - - - - - - - - - $ 991,966 $ 991,966 $ 991,966 $ 991,966 $ 991,966 $ 991,966 $ 991,966 $ 991,966 $ 991,966 $ 991,966 $ 991,966 $ 678,961 $ 708,133 $ 788,447 $ 821,592 $ 855,755 $ 890,955 $ 931,062 $ 972,472 $ 1,079,867 $ 1,126,750 $ 1,175,085 396,069 413,086 459,937 479,272 499,201 519,735 543,131 567,287 629,936 657,285 685,481 105,333 109,858 122,318 127,460 132,760 138,221 144,443 150,867 167,528 174,802 182,300 145,820 152,085 169,334 176,452 183,790 191,350 199,963 208,857 231,922 241,991 252,372 22,392 23,354 26,003 27,096 28,223 29,384 30,706 32,072 35,614 37,160 38,754 373,754 389,813 434,024 452,270 471,076 490,453 512,531 535,326 594,445 620,253 646,861 403,122 420,443 468,128 487,807 508,091 528,991 552,804 577,390 641,154 668,990 697,689 - - - - - - - - - - - - - - - - - - - - - - 991,966 991,966 991,966 991,966 991,966 991,966 991,966 991,966 991,966 991,966 991,966 - - - - - - - - - - - 380,155 392,676 405,428 418,410 431,618 445,051 460,613 476,473 492,627 509,073 525,806 - - - - - - - - - - - $ 3,497,572 $ 3,601,414 $ 3,865,585 $ 3,982,324 $ 4,102,480 $ 4,226,105 $ 4,367,220 $ 4,512,709 $ 4,865,058 $ 5,028,270 $ 5,196,314 (2,505,606) (2,609,448) (2,873,620) (2,990,358) (3,110,514) (3,234,139) (3,375,254) (3,520,743) (3,873,092) (4,036,304) (4,204,348) D - 27 Table 2 Proforma - Ft. Collins-Loveland Water District 3 4 5 6 7 8 9 10 11 12 Line No. Description FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 Revenues 1 Plant Investment Fee (PIF) for Debt Service- Collaboration $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - 2 Regionalization Asset Revenue - - - - - - - - - - 3 Total Revenues - - - - - - - - - - Revenue Requirements 4 Personnel (excludes Administrative) $ 681,526 $ 704,978 $ 727,779 $ 749,976 $ 771,609 $ 792,716 $ 813,974 $ 834,775 $ 855,145 $ 874,869 5 Chemicals 397,566 411,246 424,547 437,495 450,115 462,428 474,828 486,962 498,845 510,351 6 Energy 105,731 109,369 112,906 116,350 119,706 122,980 126,278 129,505 132,665 135,725 7 Administrative 146,371 151,407 156,304 161,072 165,718 170,251 174,816 179,284 183,659 187,895 8 Legal 22,477 23,250 24,002 24,734 25,448 26,144 26,845 27,531 28,203 28,853 9 All Other 375,166 388,076 400,628 412,846 424,755 436,374 448,076 459,527 470,740 481,598 10 Minor Capital 404,646 418,570 432,108 445,286 458,131 470,663 483,284 495,634 507,729 519,440 11 Additional O&M to the City - - - - - - - - - - 12 Greenfield Plant O&M (Status Quo) - - - - - - - - - - Debt Service 13 Debt Service $ 3,082,352 $ 3,082,352 $ 3,082,352 $ 3,082,352 $ 3,082,352 $ 3,082,352 $ 3,082,352 $ 3,082,352 $ 3,082,352 $ 3,082,352 14 City Capacity Purchase Debt Service 747,861 747,861 747,861 747,861 747,861 747,861 747,861 747,861 747,861 747,861 Capital Improvements 15 Cash Funded CIP (Improvement Projects After PIF Rev Adjustment) $ 2,632,930 $ 1,954,108 $ 2,755,700 $ 1,893,247 $ 2,229,019 $ 792,748 $ 530,312 $ 555,293 $ 580,797 $ 606,681 16 Additional Capacity from the City of Ft. Collins - - - - - - - - - - 17 Total Revenue Requirements $ 8,596,624 $ 7,991,217 $ 8,864,186 $ 8,071,219 $ 8,474,711 $ 7,104,516 $ 6,908,627 $ 6,998,723 $ 7,087,997 $ 7,175,625 18 Net Revenue / (Costs) $ (8,596,624) $ (7,991,217) $ (8,864,186) $ (8,071,219) $ (8,474,711) $ (7,104,516) $ (6,908,627) $ (6,998,723) $ (7,087,997) $ (7,175,625) 19 Total Costs (2015 - 2045) $ (247,534,940) 20 Net Present Value (2015 - 2045) $125,598,878 Collaboration Scenario RWCC D - 28 Table 2 Proforma - Ft. Collins-Loveland Water District Line No. Description Revenues 1 Plant Investment Fee (PIF) for Debt Service- Collaboration 2 Regionalization Asset Revenue 3 Total Revenues Revenue Requirements 4 Personnel (excludes Administrative) 5 Chemicals 6 Energy 7 Administrative 8 Legal 9 All Other 10 Minor Capital 11 Additional O&M to the City 12 Greenfield Plant O&M (Status Quo) Debt Service 13 Debt Service 14 City Capacity Purchase Debt Service Capital Improvements 15 Cash Funded CIP (Improvement Projects After PIF Rev Adjustment) 16 Additional Capacity from the City of Ft. Collins 17 Total Revenue Requirements 18 Net Revenue / (Costs) 19 Total Costs (2015 - 2045) 20 Net Present Value (2015 - 2045) Collaboration Scenario RWCC 12 13 14 15 16 17 18 19 20 21 22 FY2024 FY2025 FY2026 FY2027 FY2028 FY2029 FY2030 FY2031 FY2032 FY2033 FY2034 $ - $ - $ - $ - $ - $ - $ - $ 2,285,868 $ 2,285,868 $ 2,285,868 $ 2,285,868 - - - - - - - - - - - - - - - - - - 2,285,868 2,285,868 2,285,868 2,285,868 $ 874,869 $ 909,635 $ 947,403 $ 986,552 $ 1,027,128 $ 1,069,183 $ 1,239,217 $ 1,290,910 $ 1,344,495 $ 1,400,038 $ 1,457,605 510,351 530,632 552,664 575,501 599,171 623,703 722,892 753,047 784,306 816,706 850,288 135,725 141,119 146,978 153,051 159,346 165,871 192,250 200,269 208,582 217,199 226,130 187,895 195,361 203,473 211,881 220,595 229,627 266,145 277,247 288,756 300,685 313,048 28,853 30,000 31,245 32,536 33,875 35,261 40,869 42,574 44,341 46,173 48,072 481,598 500,736 521,526 543,077 565,413 588,564 682,164 710,620 740,118 770,693 802,382 519,440 540,081 562,506 585,750 609,841 634,811 735,766 766,457 798,273 831,251 865,430 - - - - - - - - - - - - - - - - - - - - - - $ 3,082,352 $ 3,082,352 $ 5,368,220 $ 5,368,220 $ 5,368,220 $ 5,368,220 $ 5,368,220 $ 5,368,220 $ 5,368,220 $ 5,368,220 $ 5,368,220 747,861 747,861 747,861 747,861 747,861 747,861 747,861 747,861 747,861 - - $ 606,681 $ 624,724 $ - $ 664,582 $ 685,263 $ 706,461 $ 728,189 $ 751,271 $ 774,933 $ 799,187 $ 824,047 - - - - - - - - - - - $ 7,175,625 $ 7,302,500 $ 9,081,876 $ 9,869,010 $ 10,016,714 $ 10,169,562 $ 10,723,574 $ 10,908,476 $ 11,099,884 $ 10,550,153 $ 10,755,222 $ (7,175,625) $ (7,302,500) $ (9,081,876) $ (9,869,010) $ (10,016,714) $ (10,169,562) $ (10,723,574) $ (8,622,608) $ (8,814,016) $ (8,264,284) $ (8,469,353) D - 29 Table 2 Proforma - Ft. Collins-Loveland Water District Line No. Description Revenues 1 Plant Investment Fee (PIF) for Debt Service- Collaboration 2 Regionalization Asset Revenue 3 Total Revenues Revenue Requirements 4 Personnel (excludes Administrative) 5 Chemicals 6 Energy 7 Administrative 8 Legal 9 All Other 10 Minor Capital 11 Additional O&M to the City 12 Greenfield Plant O&M (Status Quo) Debt Service 13 Debt Service 14 City Capacity Purchase Debt Service Capital Improvements 15 Cash Funded CIP (Improvement Projects After PIF Rev Adjustment) 16 Additional Capacity from the City of Ft. Collins 17 Total Revenue Requirements 18 Net Revenue / (Costs) 19 Total Costs (2015 - 2045) 20 Net Present Value (2015 - 2045) Collaboration Scenario RWCC 22 23 24 25 26 27 28 29 30 31 32 33 FY2034 FY2035 FY2036 FY2037 FY2038 FY2039 FY2040 FY2041 FY2042 FY2043 FY2044 FY2045 $ 2,285,868 $ 2,285,868 $ 2,285,868 $ 2,285,868 $ 2,285,868 $ 2,285,868 $ 2,285,868 $ 2,285,868 $ 2,285,868 $ 2,285,868 $ 2,285,868 $ 2,285,868 - - - - - - - - - - - - 2,285,868 2,285,868 2,285,868 2,285,868 2,285,868 2,285,868 2,285,868 2,285,868 2,285,868 2,285,868 2,285,868 2,285,868 $ 1,457,605 $ 1,517,262 $ 1,579,213 $ 1,755,198 $ 1,826,222 $ 1,899,796 $ 1,976,001 $ 2,035,318 $ 2,096,258 $ 2,296,364 $ 2,364,751 $ 2,434,977 850,288 885,089 921,227 1,023,887 1,065,319 1,108,238 1,152,692 1,187,294 1,222,843 1,339,574 1,379,467 1,420,434 226,130 235,385 244,996 272,298 283,316 294,730 306,552 315,755 325,209 356,253 366,862 377,757 313,048 325,861 339,166 376,962 392,216 408,017 424,384 437,123 450,211 493,188 507,875 522,958 48,072 50,039 52,082 57,886 60,229 62,655 65,168 67,124 69,134 75,734 77,989 80,305 802,382 835,222 869,325 966,201 1,005,299 1,045,799 1,087,749 1,120,402 1,153,948 1,264,102 1,301,748 1,340,406 865,430 900,851 937,633 1,042,121 1,084,291 1,127,974 1,173,220 1,208,438 1,244,621 1,363,430 1,404,034 1,445,730 - - - - - - - - - - - - - - - - - - - - - - - - $ 5,368,220 $ 2,285,868 $ 2,285,868 $ 2,285,868 $ 2,285,868 $ 2,285,868 $ 2,285,868 $ 2,285,868 $ 2,285,868 $ 2,285,868 $ 2,285,868 $ 2,285,868 - - - - - - - - - - - - $ 824,047 $ 849,526 $ 875,711 $ 902,543 $ 930,035 $ 958,201 $ 987,053 $ 1,006,907 $ 1,027,084 $ 1,047,584 $ 1,068,409 $ 1,089,559 - - - - - - - - - - - - $ 10,755,222 $ 7,885,103 $ 8,105,220 $ 8,682,964 $ 8,932,795 $ 9,191,279 $ 9,458,686 $ 9,664,230 $ 9,875,177 $ 10,522,097 $ 10,757,004 $ 10,997,993 $ (8,469,353) $ (5,599,235) $ (5,819,352) $ (6,397,095) $ (6,646,926) $ (6,905,411) $ (7,172,818) $ (7,378,362) $ (7,589,309) $ (8,236,228) $ (8,471,136) $ (8,712,125) D - 30 Table 3 Proforma - North Weld County Water District 3 4 5 6 7 8 9 10 11 12 Line No. Description FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 Revenue 1 Plant Investment Fee (PIF) for Debt Service- Collaboration $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - 2 Regionalization Asset Revenue - - - - - - - - - - 3 Total Revenues $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Revenue Requirements 4 Personnel (excludes Administrative) 585,855 592,808 600,162 607,916 616,067 624,616 634,063 643,902 654,134 664,818 5 Chemicals 341,756 345,812 350,102 354,625 359,380 364,367 369,878 375,617 381,586 387,819 6 Energy 90,888 91,967 93,108 94,311 95,575 96,902 98,367 99,893 101,481 103,138 7 Administrative 125,823 127,317 128,896 130,561 132,312 134,148 136,177 138,290 140,488 142,782 8 Legal 19,321 19,551 19,793 20,049 20,318 20,600 20,911 21,236 21,573 21,926 9 All Other 322,501 326,329 330,377 334,645 339,133 343,839 349,039 354,455 360,088 365,969 10 Minor Capital 347,842 351,970 356,337 360,941 365,780 370,856 376,465 382,307 388,382 394,725 11 Additional O&M to the City - - - - - - - - - - 12 Greenfield Plant O&M (Status Quo) - - - - - - - - - - Debt Service 13 Debt Service $ 1,357,028 $ 1,357,028 $ 1,357,028 $ 1,357,028 $ 1,357,028 $ 1,357,028 $ 1,357,028 $ 1,357,028 $ 1,357,028 $ 1,357,028 14 City Capacity Purchase Debt Service - - - - - - - - - - Capital Improvements 15 Cash Funded CIP (Improvement Projects After PIF Rev Adjustment) $ 2,263,324 $ 1,643,187 $ 2,272,485 $ 1,534,630 $ 1,779,692 $ 624,642 $ 413,098 $ 428,324 $ 444,275 $ 461,020 16 Additional Capacity from the City of Ft. Collins - - - - - - - - - - 17 Total Revenue Requirements $ 5,454,339 $ 4,855,969 $ 5,508,289 $ 4,794,706 $ 5,065,285 $ 3,936,998 $ 3,755,028 $ 3,801,052 $ 3,849,035 $ 3,899,226 18 Net Revenue / (Costs) $ (5,454,339) $ (4,855,969) $ (5,508,289) $ (4,794,706) $ (5,065,285) $ (3,936,998) $ (3,755,028) $ (3,801,052) $ (3,849,035) $ (3,899,226) 19 Total Costs (2015 - 2045) (180,150,386) 20 Net Present Value (2015 - 2045) $83,878,979 RWCC Collaboration Scenario D - 31 Table 3 Proforma - North Weld County Water District Line No. Description Revenue 1 Plant Investment Fee (PIF) for Debt Service- Collaboration 2 Regionalization Asset Revenue 3 Total Revenues Revenue Requirements 4 Personnel (excludes Administrative) 5 Chemicals 6 Energy 7 Administrative 8 Legal 9 All Other 10 Minor Capital 11 Additional O&M to the City 12 Greenfield Plant O&M (Status Quo) Debt Service 13 Debt Service 14 City Capacity Purchase Debt Service Capital Improvements 15 Cash Funded CIP (Improvement Projects After PIF Rev Adjustment) 16 Additional Capacity from the City of Ft. Collins 17 Total Revenue Requirements 18 Net Revenue / (Costs) 19 Total Costs (2015 - 2045) 20 Net Present Value (2015 - 2045) RWCC Collaboration Scenario 13 14 15 16 17 18 19 20 21 22 FY2025 FY2026 FY2027 FY2028 FY2029 FY2030 FY2031 FY2032 FY2033 FY2034 $ - $ - $ - $ - $ - $ - $ 1,779,627 $ 1,779,627 $ 1,779,627 $ 1,779,627 - - - - - - - - - - $ - $ - $ - $ - $ - $ - $ 1,779,627 $ 1,779,627 $ 1,779,627 $ 1,779,627 699,551 737,586 777,769 820,222 865,077 1,016,159 1,073,082 1,133,256 1,196,865 1,264,105 408,080 430,268 453,708 478,473 504,639 592,772 625,978 661,080 698,186 737,411 108,527 114,427 120,661 127,248 134,206 157,645 166,476 175,811 185,679 196,111 150,242 158,411 167,041 176,158 185,792 218,239 230,465 243,388 257,049 271,491 23,071 24,325 25,651 27,051 28,530 33,513 35,390 37,375 39,472 41,690 385,089 406,026 428,146 451,516 476,207 559,375 590,710 623,835 658,850 695,865 415,348 437,930 461,788 486,994 513,626 603,328 637,126 672,853 710,620 750,543 - - - - - - - - - - - - - - - - - - - - $ 1,357,028 $ 3,136,655 $ 3,136,655 $ 3,136,655 $ 3,136,655 $ 3,136,655 $ 3,136,655 $ 3,136,655 $ 3,136,655 $ 3,136,655 - - - - - - - - - - $ 480,442 $ - $ 523,937 $ 547,223 $ 571,599 $ 597,116 $ 624,502 $ 653,180 $ 683,209 $ 714,654 - - - - - - - - - - $ 4,027,378 $ 5,445,628 $ 6,095,355 $ 6,251,541 $ 6,416,331 $ 6,914,801 $ 7,120,384 $ 7,337,432 $ 7,566,586 $ 7,808,524 $ (4,027,378) $ (5,445,628) $ (6,095,355) $ (6,251,541) $ (6,416,331) $ (6,914,801) $ (5,340,757) $ (5,557,805) $ (5,786,959) $ (6,028,897) D - 32 Table 3 Proforma - North Weld County Water District Line No. Description Revenue 1 Plant Investment Fee (PIF) for Debt Service- Collaboration 2 Regionalization Asset Revenue 3 Total Revenues Revenue Requirements 4 Personnel (excludes Administrative) 5 Chemicals 6 Energy 7 Administrative 8 Legal 9 All Other 10 Minor Capital 11 Additional O&M to the City 12 Greenfield Plant O&M (Status Quo) Debt Service 13 Debt Service 14 City Capacity Purchase Debt Service Capital Improvements 15 Cash Funded CIP (Improvement Projects After PIF Rev Adjustment) 16 Additional Capacity from the City of Ft. Collins 17 Total Revenue Requirements 18 Net Revenue / (Costs) 19 Total Costs (2015 - 2045) 20 Net Present Value (2015 - 2045) RWCC Collaboration Scenario 23 24 25 26 27 28 29 30 31 32 33 FY2035 FY2036 FY2037 FY2038 FY2039 FY2040 FY2041 FY2042 FY2043 FY2044 FY2045 $ 1,779,627 $ 1,779,627 $ 1,779,627 $ 1,779,627 $ 1,779,627 $ 1,779,627 $ 1,779,627 $ 1,779,627 $ 1,779,627 $ 1,779,627 $ 1,779,627 - - - - - - - - - - - $ 1,779,627 $ 1,779,627 $ 1,779,627 $ 1,779,627 $ 1,779,627 $ 1,779,627 $ 1,779,627 $ 1,779,627 $ 1,779,627 $ 1,779,627 $ 1,779,627 1,335,184 1,410,439 1,591,350 1,681,162 1,776,099 1,876,450 1,990,762 2,111,880 2,382,881 2,527,460 2,680,593 778,874 822,773 928,307 980,699 1,036,080 1,094,619 1,161,303 1,231,956 1,390,043 1,474,383 1,563,713 207,138 218,812 246,879 260,812 275,540 291,108 308,843 327,632 369,675 392,105 415,861 286,756 302,918 341,773 361,061 381,451 403,003 427,554 453,566 511,769 542,820 575,708 44,034 46,516 52,482 55,444 58,575 61,885 65,655 69,649 78,587 83,355 88,406 734,992 776,418 876,006 925,446 977,707 1,032,948 1,095,875 1,162,547 1,311,728 1,391,316 1,475,613 792,745 837,426 944,839 998,164 1,054,531 1,114,113 1,181,984 1,253,896 1,414,798 1,500,640 1,591,560 - - - - - - - - - - - - - - - - - - - - - - $ 1,779,627 $ 1,779,627 $ 1,779,627 $ 1,779,627 $ 1,779,627 $ 1,779,627 $ 1,779,627 $ 1,779,627 $ 1,779,627 $ 1,779,627 $ 1,779,627 - - - - - - - - - - - $ 747,580 $ 782,122 $ 818,290 $ 856,161 $ 895,812 $ 937,326 $ 984,865 $ 1,034,738 $ 1,087,053 $ 1,141,922 $ 1,199,463 - - - - - - - - - - - $ 6,706,930 $ 6,977,051 $ 7,579,552 $ 7,898,576 $ 8,235,422 $ 8,591,080 $ 8,996,467 $ 9,425,492 $ 10,326,160 $ 10,833,626 $ 11,370,544 $ (4,927,303) $ (5,197,424) $ (5,799,925) $ (6,118,949) $ (6,455,796) $ (6,811,453) $ (7,216,840) $ (7,645,865) $ (8,546,533) $ (9,053,999) $ (9,590,917) D - 33 Table 4 Proforma - City of Ft. Collins Line No. Description Sources of Funds 1 Plant Investment Fee (PIF) for Debt Service- Collaboration 2 PIF Revenue - Capacity Sold to Members of Tri-Districts 3 O&M Revenue from Other Entities 4 Regionalization Asset Revenue 5 Total Revenues Revenue Requirements 6 Personnel (excludes Administrative) 7 Chemicals 8 Energy 9 Administrative 10 Legal 11 All Other 12 Minor Capital Debt Service 13 Debt Service Capital Improvements 14 Cash Funded CIP (Improvement Projects After PIF Rev Adjustment) 15 Total Revenue Requirements 16 Net Revenue / (Costs) 17 Total Costs (2015 - 2045) 18 Net Present Value (2015 - 2045) RWCC Collaboration Scenario 3 4 5 6 7 8 9 10 11 12 FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - 747,861 747,861 747,861 747,861 747,861 747,861 747,861 747,861 747,861 747,861 - - - - - - - - - - 4,600,596 4,600,596 4,600,596 4,600,596 4,600,596 4,600,596 4,600,596 4,600,596 4,600,596 4,600,596 $ 5,348,457 $ 5,348,457 $ 5,348,457 $ 5,348,457 $ 5,348,457 $ 5,348,457 $ 5,348,457 $ 5,348,457 $ 5,348,457 $ 5,348,457 $ 1,971,195 $ 1,968,803 $ 1,966,929 $ 1,965,541 $ 1,964,606 $ 1,964,099 $ 1,962,561 $ 1,961,415 $ 1,960,636 $ 1,960,363 1,149,888 1,148,493 1,147,400 1,146,590 1,146,045 1,145,749 1,144,852 1,144,183 1,143,729 1,143,570 305,807 305,436 305,145 304,930 304,785 304,706 304,468 304,290 304,169 304,126 423,351 422,838 422,435 422,137 421,937 421,827 421,497 421,251 421,084 421,025 65,010 64,931 64,869 64,823 64,792 64,776 64,725 64,687 64,661 64,652 1,085,103 1,083,786 1,082,755 1,081,990 1,081,476 1,081,197 1,080,350 1,079,719 1,079,291 1,079,140 1,170,366 1,168,946 1,167,834 1,167,009 1,166,454 1,166,153 1,165,240 1,164,559 1,164,097 1,163,935 - - - - - - - - - - 7,615,286 5,457,269 7,447,680 4,961,834 5,675,344 1,964,179 1,278,627 1,304,734 1,292,839 1,281,383 $ 13,786,005 $ 11,620,501 $ 13,605,047 $ 11,114,854 $ 11,825,439 $ 8,112,685 $ 7,422,320 $ 7,444,838 $ 7,430,507 $ 7,418,195 $ (8,437,548) $ (6,272,044) $ (8,256,590) $ (5,766,396) $ (6,476,982) $ (2,764,228) $ (2,073,863) $ (2,096,381) $ (2,082,049) $ (2,069,738) (257,925,887) $109,418,173 D - 34 Table 4 Proforma - City of Ft. Collins Line No. Description Sources of Funds 1 Plant Investment Fee (PIF) for Debt Service- Collaboration 2 PIF Revenue - Capacity Sold to Members of Tri-Districts 3 O&M Revenue from Other Entities 4 Regionalization Asset Revenue 5 Total Revenues Revenue Requirements 6 Personnel (excludes Administrative) 7 Chemicals 8 Energy 9 Administrative 10 Legal 11 All Other 12 Minor Capital Debt Service 13 Debt Service Capital Improvements 14 Cash Funded CIP (Improvement Projects After PIF Rev Adjustment) 15 Total Revenue Requirements 16 Net Revenue / (Costs) 17 Total Costs (2015 - 2045) 18 Net Present Value (2015 - 2045) RWCC Collaboration Scenario 13 14 15 16 17 18 19 20 21 22 FY2025 FY2026 FY2027 FY2028 FY2029 FY2030 FY2031 FY2032 FY2033 FY2034 $ - $ - $ - $ - $ - $ - $ 5,057,596 $ 5,057,596 $ 5,057,596 $ 5,057,596 747,861 747,861 747,861 747,861 747,861 747,861 747,861 747,861 - - - - - - - - - - - - 4,600,596 4,600,596 4,600,596 4,600,596 4,600,596 4,600,596 4,600,596 4,600,596 4,600,596 4,600,596 $ 5,348,457 $ 5,348,457 $ 5,348,457 $ 5,348,457 $ 5,348,457 $ 5,348,457 $ 10,406,053 $ 10,406,053 $ 9,658,192 $ 9,658,192 $ 2,029,000 $ 2,096,176 $ 2,165,620 $ 2,237,404 $ 2,311,603 $ 2,659,693 $ 2,744,795 $ 2,832,651 $ 2,923,347 $ 3,016,967 1,183,608 1,222,795 1,263,305 1,305,180 1,348,464 1,551,521 1,601,165 1,652,415 1,705,322 1,759,935 314,775 325,196 335,970 347,106 358,617 412,619 425,822 439,451 453,522 468,046 435,766 450,194 465,108 480,525 496,461 571,220 589,497 608,366 627,844 647,951 66,916 69,132 71,422 73,789 76,236 87,716 90,523 93,420 96,411 99,499 1,116,923 1,153,903 1,192,130 1,231,646 1,272,491 1,464,108 1,510,954 1,559,318 1,609,244 1,660,779 1,204,687 1,244,572 1,285,803 1,328,423 1,372,478 1,579,151 1,629,679 1,681,843 1,735,691 1,791,277 - 5,057,596 5,057,596 5,057,596 5,057,596 5,057,596 5,057,596 5,057,596 5,057,596 5,057,596 1,275,238 - 1,258,417 1,250,125 1,241,907 1,233,760 1,224,266 1,214,858 1,205,534 1,196,289 $ 7,626,912 $ 11,619,563 $ 13,095,370 $ 13,311,794 $ 13,535,854 $ 14,617,384 $ 14,874,295 $ 15,139,918 $ 15,414,511 $ 15,698,339 $ (2,278,455) $ (6,271,106) $ (7,746,913) $ (7,963,337) $ (8,187,397) $ (9,268,926) $ (4,468,242) $ (4,733,865) $ (5,756,319) $ (6,040,147) D - 35 Table 4 Proforma - City of Ft. Collins Line No. Description Sources of Funds 1 Plant Investment Fee (PIF) for Debt Service- Collaboration 2 PIF Revenue - Capacity Sold to Members of Tri-Districts 3 O&M Revenue from Other Entities 4 Regionalization Asset Revenue 5 Total Revenues Revenue Requirements 6 Personnel (excludes Administrative) 7 Chemicals 8 Energy 9 Administrative 10 Legal 11 All Other 12 Minor Capital Debt Service 13 Debt Service Capital Improvements 14 Cash Funded CIP (Improvement Projects After PIF Rev Adjustment) 15 Total Revenue Requirements 16 Net Revenue / (Costs) 17 Total Costs (2015 - 2045) 18 Net Present Value (2015 - 2045) RWCC Collaboration Scenario 23 24 25 26 27 28 29 30 31 32 33 FY2035 FY2036 FY2037 FY2038 FY2039 FY2040 FY2041 FY2042 FY2043 FY2044 FY2045 $ 5,057,596 $ 5,057,596 $ 5,057,596 $ 5,057,596 $ 5,057,596 $ 5,057,596 $ 5,057,596 $ 5,057,596 $ 5,057,596 $ 5,057,596 $ 5,057,596 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - $ 5,057,596 $ 5,057,596 $ 5,057,596 $ 5,057,596 $ 5,057,596 $ 5,057,596 $ 5,057,596 $ 5,057,596 $ 5,057,596 $ 5,057,596 $ 5,057,596 $ 3,113,599 $ 3,213,023 $ 3,541,173 $ 3,654,238 $ 3,770,892 $ 3,891,238 $ 4,022,887 $ 4,158,621 $ 4,572,339 $ 4,725,747 $ 4,883,840 1,816,305 1,874,304 2,065,728 2,131,684 2,199,734 2,269,937 2,346,734 2,425,914 2,667,255 2,756,745 2,848,968 483,037 498,461 549,370 566,911 585,008 603,678 624,102 645,160 709,343 733,142 757,668 668,705 690,058 760,534 784,817 809,871 835,717 863,991 893,143 981,997 1,014,944 1,048,897 102,686 105,965 116,787 120,516 124,363 128,332 132,674 137,151 150,795 155,854 161,068 1,713,974 1,768,704 1,949,344 2,011,584 2,075,800 2,142,048 2,214,518 2,289,237 2,516,980 2,601,428 2,688,456 1,848,651 1,907,682 2,102,516 2,169,646 2,238,908 2,310,362 2,388,526 2,469,116 2,714,755 2,805,838 2,899,704 5,057,596 5,057,596 5,057,596 5,057,596 5,057,596 5,057,596 5,057,596 5,057,596 5,057,596 5,057,596 5,057,596 1,187,121 1,177,912 1,168,774 1,159,703 1,150,696 1,141,750 1,134,979 1,128,148 1,121,256 1,114,304 1,107,290 $ 15,991,673 $ 16,293,705 $ 17,311,822 $ 17,656,695 $ 18,012,867 $ 18,380,658 $ 18,786,008 $ 19,204,086 $ 20,492,315 $ 20,965,599 $ 21,453,488 $ (10,934,078) $ (11,236,109) $ (12,254,226) $ (12,599,099) $ (12,955,271) $ (13,323,062) $ (13,728,412) $ (14,146,490) $ (15,434,719) $ (15,908,003) $ (16,395,892) D - 36 Table 5 Proforma - Collaboration Entity - PIF Fund Line No. Description Sources of Funds 1 Plant Investment Fees Total Sources of Funds Uses of Funds 2 Cash Funded Capital 3 Debt Service - Transfer to Entity Operating Fund 4 Total Uses of Funds 5 Annual Surplus/(Deficiency) 6 Beginning Balance 7 Ending Balance RWCC Collaboration Scenario 3 4 5 6 7 8 9 10 11 12 FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 $ 6,471,394 $ 6,697,845 $ 6,933,057 $ 7,177,414 $ 7,431,315 $ 7,695,183 $ 11,629,486 $ 12,047,568 $ 12,482,406 $ 12,874,657 $ 6,471,394 $ 6,697,845 $ 6,933,057 $ 7,177,414 $ 7,431,315 $ 7,695,183 $ 11,629,486 $ 12,047,568 $ 12,482,406 $ 12,874,657 - - - - - - - - - - - - - - - - - - - - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 6,471,394 $ 6,697,845 $ 6,933,057 $ 7,177,414 $ 7,431,315 $ 7,695,183 $ 11,629,486 $ 12,047,568 $ 12,482,406 $ 12,874,657 $ - $ 6,471,394 $ 13,169,239 $ 20,102,296 $ 27,279,710 $ 34,711,025 $ 42,406,209 $ 54,035,695 $ 66,083,263 $ 78,565,669 $ 6,471,394 $ 13,169,239 $ 20,102,296 $ 27,279,710 $ 34,711,025 $ 42,406,209 $ 54,035,695 $ 66,083,263 $ 78,565,669 $ 91,440,327 D - 37 Table 5 Proforma - Collaboration Entity - PIF Fund Line No. Description Sources of Funds 1 Plant Investment Fees Total Sources of Funds Uses of Funds 2 Cash Funded Capital 3 Debt Service - Transfer to Entity Operating Fund 4 Total Uses of Funds 5 Annual Surplus/(Deficiency) 6 Beginning Balance 7 Ending Balance RWCC Collaboration Scenario 13 14 15 16 17 18 19 20 21 22 FY2025 FY2026 FY2027 FY2028 FY2029 FY2030 FY2031 FY2032 FY2033 FY2034 $ 10,261,679 $ 9,630,548 $ 10,012,459 $ 10,411,492 $ 10,828,503 $ 11,264,399 $ 10,968,458 $ 11,422,489 $ 11,897,753 $ 12,395,349 $ 10,261,679 $ 9,630,548 $ 10,012,459 $ 10,411,492 $ 10,828,503 $ 11,264,399 $ 10,968,458 $ 11,422,489 $ 11,897,753 $ 12,395,349 - - - - 31,159,348 - - - - - - - - - - - 10,115,057 10,115,057 10,115,057 10,115,057 $ - $ - $ - $ - $ 31,159,348 $ - $ 10,115,057 $ 10,115,057 $ 10,115,057 $ 10,115,057 $ 10,261,679 $ 9,630,548 $ 10,012,459 $ 10,411,492 $ (20,330,845) $ 11,264,399 $ 853,401 $ 1,307,432 $ 1,782,696 $ 2,280,292 $ 91,440,327 $ 101,702,006 $ 111,332,554 $ 121,345,013 $ 131,756,505 $ 111,425,660 $ 122,690,059 $ 123,543,460 $ 124,850,892 $ 126,633,588 $ 101,702,006 $ 111,332,554 $ 121,345,013 $ 131,756,505 $ 111,425,660 $ 122,690,059 $ 123,543,460 $ 124,850,892 $ 126,633,588 $ 128,913,880 D - 38 Table 5 Proforma - Collaboration Entity - PIF Fund Line No. Description Sources of Funds 1 Plant Investment Fees Total Sources of Funds Uses of Funds 2 Cash Funded Capital 3 Debt Service - Transfer to Entity Operating Fund 4 Total Uses of Funds 5 Annual Surplus/(Deficiency) 6 Beginning Balance 7 Ending Balance RWCC Collaboration Scenario 23 24 25 26 27 28 29 30 31 32 33 FY2035 FY2036 FY2037 FY2038 FY2039 FY2040 FY2041 FY2042 FY2043 FY2044 FY2045 $ 12,916,439 $ 13,389,634 $ 13,959,282 $ 14,556,249 $ 15,181,976 $ 15,837,988 $ 10,486,067 $ 11,026,373 $ 11,596,634 $ 12,198,587 $ 12,834,070 $ 12,916,439 $ 13,389,634 $ 13,959,282 $ 14,556,249 $ 15,181,976 $ 15,837,988 $ 10,486,067 $ 11,026,373 $ 11,596,634 $ 12,198,587 $ 12,834,070 - - 69,075,528 - - - - - 82,479,793 - - 10,115,057 10,115,057 10,115,057 10,115,057 10,115,057 10,115,057 10,115,057 10,115,057 10,115,057 10,115,057 10,115,057 $ 10,115,057 $ 10,115,057 $ 79,190,585 $ 10,115,057 $ 10,115,057 $ 10,115,057 $ 10,115,057 $ 10,115,057 $ 92,594,850 $ 10,115,057 $ 10,115,057 $ 2,801,382 $ 3,274,577 $ (65,231,302) $ 4,441,192 $ 5,066,920 $ 5,722,931 $ 371,010 $ 911,316 $ (80,998,215) $ 2,083,530 $ 2,719,014 $ 128,913,880 $ 131,715,262 $ 134,989,839 $ 69,758,537 $ 74,199,729 $ 79,266,649 $ 84,989,580 $ 85,360,590 $ 86,271,906 $ 5,273,691 $ 7,357,221 $ 131,715,262 $ 134,989,839 $ 69,758,537 $ 74,199,729 $ 79,266,649 $ 84,989,580 $ 85,360,590 $ 86,271,906 $ 5,273,691 $ 7,357,221 $ 10,076,235 D - 39 Appendix E Modified Collaboration Model Costs and Net Present Value Annual costs and Net Present Value for Each Entity Under Modified Collaboration Scenarios Plant Expansion Summary, Peak- Day and Annual Demand, General Assumptions Entity: East Larimer County Water District Modified Collaboration Scenario 3 Year 2015 NPV 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Peak Capacity (MGD) 12.7 12.7 12.7 12.7 12.7 12.7 12.7 12.7 12.7 12.7 Annual O&M Budget Personnel (excludes Administrative) $343,000 $347,000 $351,000 $355,000 $359,000 $363,000 $367,000 $371,000 $375,000 $379,000 Chemicals $201,000 $203,000 $205,000 $207,000 $209,000 $211,000 $213,000 $215,000 $217,000 $219,000 Energy $54,000 $55,000 $56,000 $57,000 $58,000 $59,000 $60,000 $61,000 $62,000 $63,000 Administrative $74,000 $75,000 $76,000 $77,000 $78,000 $79,000 $80,000 $81,000 $82,000 $83,000 Legal $12,000 $12,000 $12,000 $12,000 $12,000 $12,000 $12,000 $12,000 $12,000 $12,000 All Other $189,000 $191,000 $193,000 $195,000 $197,000 $199,000 $201,000 $203,000 $205,000 $207,000 Minor Capital $204,000 $206,000 $208,000 $210,000 $212,000 $214,000 $216,000 $218,000 $220,000 $222,000 Total Annual O&M $1,077,000 $1,089,000 $1,101,000 $1,113,000 $1,125,000 $1,137,000 $1,149,000 $1,161,000 $1,173,000 $1,185,000 1.0% 1.1% 1.1% 1.1% 1.1% 1.1% 1.1% 1.0% 1.0% 1.0% Annual Capital Improvements $1,400,000 $1,000,000 $1,400,000 $900,000 $1,100,000 $400,000 $200,000 $200,000 $300,000 $300,000 Amortized Buy-in Expense $200,000 $200,000 $200,000 $200,000 $200,000 $200,000 $200,000 $200,000 $200,000 $200,000 Capacity Expansion Costs $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Total Annual Budget $48,300,000 $2,677,000 $2,289,000 $2,701,000 $2,213,000 $2,425,000 $1,737,000 $1,549,000 $1,561,000 $1,673,000 $1,685,000 Model - ELCO RWCC Regional Collaboration Model v1.7_AAR_Final E - 1 8/29/2014 Entity: East Larimer County Water District Modified Collaboration Scenario 3 Year Peak Capacity (MGD) Annual O&M Budget Personnel (excludes Administrative) Chemicals Energy Administrative Legal All Other Minor Capital Total Annual O&M Annual Capital Improvements Amortized Buy-in Expense Capacity Expansion Costs Total Annual Budget 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 12.7 12.7 12.7 12.7 12.7 14.1 14.1 14.1 14.1 14.1 $396,000 $414,000 $433,000 $453,000 $473,000 $550,000 $575,000 $601,000 $628,000 $656,000 $229,000 $240,000 $251,000 $262,000 $274,000 $319,000 $333,000 $348,000 $363,000 $379,000 $66,000 $69,000 $72,000 $75,000 $78,000 $91,000 $95,000 $99,000 $103,000 $108,000 $87,000 $91,000 $95,000 $99,000 $103,000 $120,000 $125,000 $131,000 $137,000 $143,000 $13,000 $14,000 $15,000 $16,000 $17,000 $20,000 $21,000 $22,000 $23,000 $24,000 $216,000 $226,000 $236,000 $247,000 $258,000 $300,000 $314,000 $328,000 $343,000 $358,000 $232,000 $243,000 $254,000 $266,000 $278,000 $323,000 $338,000 $353,000 $369,000 $385,000 $1,239,000 $1,297,000 $1,356,000 $1,418,000 $1,481,000 $1,723,000 $1,801,000 $1,882,000 $1,966,000 $2,053,000 4.6% 4.7% 4.5% 4.6% 4.4% 16.3% 4.5% 4.5% 4.5% 4.4% $300,000 $11,000,000 $300,000 $300,000 $300,000 $300,000 $300,000 $300,000 $300,000 $300,000 $200,000 $200,000 $200,000 $200,000 $200,000 $200,000 $200,000 $200,000 $200,000 $200,000 $0 $0 $0 $0 $2,900,000 $0 $0 $0 $0 $0 $1,739,000 $12,497,000 $1,856,000 $1,918,000 $4,881,000 $2,223,000 $2,301,000 $2,382,000 $2,466,000 $2,553,000 $1,067,595 $7,306,737 $1,033,490 $1,017,156 $2,465,237 $1,069,301 $1,054,115 $1,039,259 $1,024,674 $1,010,309 Model - ELCO RWCC Regional Collaboration Model v1.7_AAR_Final E - 2 8/29/2014 Entity: East Larimer County Water District Modified Collaboration Scenario 3 Year Peak Capacity (MGD) Annual O&M Budget Personnel (excludes Administrative) Chemicals Energy Administrative Legal All Other Minor Capital Total Annual O&M Annual Capital Improvements Amortized Buy-in Expense Capacity Expansion Costs Total Annual Budget 2035 2036 2037 2038 2039 2040 2041 2042 2043 2044 2045 14.1 14.1 14.1 15.2 15.2 15.2 15.2 15.2 16.4 16.4 16.4 $684,000 $713,000 $743,000 $827,000 $861,000 $896,000 $936,000 $978,000 $1,086,000 $1,133,000 $1,182,000 $395,000 $412,000 $430,000 $479,000 $499,000 $520,000 $543,000 $567,000 $630,000 $657,000 $685,000 $113,000 $118,000 $123,000 $137,000 $143,000 $149,000 $156,000 $163,000 $181,000 $189,000 $197,000 $149,000 $155,000 $162,000 $180,000 $187,000 $195,000 $204,000 $213,000 $237,000 $247,000 $258,000 $25,000 $26,000 $27,000 $30,000 $31,000 $32,000 $33,000 $34,000 $38,000 $40,000 $42,000 $374,000 $390,000 $407,000 $453,000 $472,000 $491,000 $513,000 $536,000 $595,000 $621,000 $648,000 $402,000 $419,000 $437,000 $486,000 $506,000 $527,000 $551,000 $576,000 $640,000 $668,000 $697,000 $2,142,000 $2,233,000 $2,329,000 $2,592,000 $2,699,000 $2,810,000 $2,936,000 $3,067,000 $3,407,000 $3,555,000 $3,709,000 4.3% 4.2% 4.3% 11.3% 4.1% 4.1% 4.5% 4.5% 11.1% 4.3% 4.3% $400,000 $400,000 $400,000 $400,000 $400,000 $400,000 $400,000 $400,000 $500,000 $500,000 $500,000 $0 $0 $7,300,000 $0 $0 $0 $0 $9,400,000 $0 $0 $0 $2,542,000 $2,633,000 $10,029,000 $2,992,000 $3,099,000 $3,210,000 $3,336,000 $12,867,000 $3,907,000 $4,055,000 $4,209,000 $958,053 $945,095 $3,428,412 $974,109 $960,900 $947,922 $938,219 $3,446,404 $996,651 $985,147 $973,868 Model - ELCO RWCC Regional Collaboration Model v1.7_AAR_Final E - 3 8/29/2014 Entity: Fort Collins Loveland Water District Modified Collaboration Scenario 3 Year 2015 NPV 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Capacity (MGD) 39.2 39.2 39.2 39.2 39.2 39.2 39.2 39.2 39.2 39.2 Annual O&M Budget Personnel (excludes Administrative) $682,000 $705,000 $728,000 $750,000 $772,000 $793,000 $814,000 $835,000 $855,000 $875,000 Chemicals $398,000 $412,000 $425,000 $438,000 $451,000 $463,000 $475,000 $487,000 $499,000 $511,000 Energy $106,000 $110,000 $114,000 $117,000 $120,000 $123,000 $126,000 $129,000 $132,000 $135,000 Administrative $147,000 $152,000 $157,000 $162,000 $167,000 $172,000 $177,000 $182,000 $186,000 $190,000 Legal $23,000 $24,000 $25,000 $26,000 $27,000 $28,000 $29,000 $30,000 $31,000 $32,000 All Other $375,000 $388,000 $401,000 $413,000 $425,000 $437,000 $449,000 $460,000 $471,000 $482,000 Minor Capital $404,000 $418,000 $432,000 $445,000 $458,000 $471,000 $484,000 $496,000 $508,000 $520,000 Total Annual O&M $2,135,000 $2,209,000 $2,282,000 $2,351,000 $2,420,000 $2,487,000 $2,554,000 $2,619,000 $2,682,000 $2,745,000 3.6% 3.5% 3.3% 3.0% 2.9% 2.8% 2.7% 2.5% 2.4% 2.3% Annual Capital Improvements $3,500,000 $2,600,000 $3,600,000 $2,500,000 $2,900,000 $1,000,000 $700,000 $700,000 $800,000 $800,000 Amortized Buy-in Expense $3,100,000 $3,100,000 $3,100,000 $3,100,000 $3,100,000 $3,100,000 $3,100,000 $3,100,000 $3,100,000 $3,100,000 Capacity Expansion Costs $748,000 $748,000 $748,000 $748,000 $748,000 $748,000 $748,000 $748,000 $748,000 $748,000 Total Annual Budget $153,700,000 $9,483,000 $8,657,000 $9,730,000 $8,699,000 $9,168,000 $7,335,000 $7,102,000 $7,167,000 $7,330,000 $7,393,000 Model - FCLWD RWCC Regional Collaboration Model v1.7_AAR_Final E - 4 8/29/2014 Entity: Fort Collins Loveland Water District Modified Collaboration Scenario 3 Year Capacity (MGD) Annual O&M Budget Personnel (excludes Administrative) Chemicals Energy Administrative Legal All Other Minor Capital Total Annual O&M Annual Capital Improvements Amortized Buy-in Expense Capacity Expansion Costs Total Annual Budget 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 39.2 39.2 39.2 39.2 39.2 44.0 44.0 44.0 44.0 44.0 $910,000 $948,000 $987,000 $1,028,000 $1,070,000 $1,240,000 $1,292,000 $1,346,000 $1,402,000 $1,460,000 $531,000 $553,000 $576,000 $600,000 $625,000 $724,000 $754,000 $785,000 $817,000 $851,000 $140,000 $146,000 $152,000 $158,000 $164,000 $190,000 $198,000 $206,000 $215,000 $224,000 $198,000 $206,000 $215,000 $224,000 $233,000 $270,000 $281,000 $293,000 $305,000 $318,000 $33,000 $34,000 $35,000 $36,000 $37,000 $43,000 $45,000 $47,000 $49,000 $51,000 $501,000 $522,000 $544,000 $566,000 $589,000 $683,000 $711,000 $741,000 $772,000 $804,000 $541,000 $563,000 $586,000 $610,000 $635,000 $736,000 $767,000 $799,000 $832,000 $866,000 $2,854,000 $2,972,000 $3,095,000 $3,222,000 $3,353,000 $3,886,000 $4,048,000 $4,217,000 $4,392,000 $4,574,000 4.0% 4.1% 4.1% 4.1% 4.1% 15.9% 4.2% 4.2% 4.1% 4.1% $800,000 $33,600,000 $900,000 $900,000 $900,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,100,000 $3,100,000 $3,100,000 $3,100,000 $3,100,000 $3,100,000 $3,100,000 $3,100,000 $3,100,000 $3,100,000 $3,100,000 $748,000 $748,000 $748,000 $748,000 $10,848,000 $748,000 $748,000 $748,000 $748,000 $0 $7,502,000 $40,420,000 $7,843,000 $7,970,000 $18,201,000 $8,734,000 $8,896,000 $9,065,000 $9,240,000 $8,774,000 $4,605,577 $23,632,737 $4,367,276 $4,226,661 $9,192,742 $4,201,203 $4,075,360 $3,955,029 $3,839,411 $3,472,170 Model - FCLWD RWCC Regional Collaboration Model v1.7_AAR_Final E - 5 8/29/2014 Entity: Fort Collins Loveland Water District Modified Collaboration Scenario 3 Year Capacity (MGD) Annual O&M Budget Personnel (excludes Administrative) Chemicals Energy Administrative Legal All Other Minor Capital Total Annual O&M Annual Capital Improvements Amortized Buy-in Expense Capacity Expansion Costs 2035 2036 2037 2038 2039 2040 2041 2042 2043 2044 2045 44.0 44.0 44.0 45.9 45.9 45.9 45.9 45.9 45.9 45.9 45.9 $1,520,000 $1,582,000 $1,646,000 $1,829,000 $1,903,000 $1,979,000 $2,038,000 $2,099,000 $2,299,000 $2,367,000 $2,437,000 $886,000 $922,000 $959,000 $1,066,000 $1,109,000 $1,153,000 $1,188,000 $1,224,000 $1,341,000 $1,381,000 $1,422,000 $233,000 $243,000 $253,000 $281,000 $292,000 $304,000 $313,000 $322,000 $353,000 $364,000 $375,000 $331,000 $345,000 $359,000 $399,000 $415,000 $432,000 $445,000 $458,000 $502,000 $517,000 $532,000 $53,000 $55,000 $57,000 $63,000 $66,000 $69,000 $71,000 $73,000 $80,000 $82,000 $84,000 $837,000 $871,000 $906,000 $1,007,000 $1,048,000 $1,090,000 $1,123,000 $1,157,000 $1,267,000 $1,305,000 $1,344,000 $901,000 $938,000 $976,000 $1,085,000 $1,129,000 $1,174,000 $1,209,000 $1,245,000 $1,364,000 $1,405,000 $1,447,000 $4,761,000 $4,956,000 $5,156,000 $5,730,000 $5,962,000 $6,201,000 $6,387,000 $6,578,000 $7,206,000 $7,421,000 $7,641,000 4.1% 4.1% 4.0% 11.1% 4.0% 4.0% 3.0% 3.0% 9.5% 3.0% 3.0% $1,100,000 $1,100,000 $1,200,000 $1,200,000 $1,300,000 $1,300,000 $1,300,000 $1,300,000 $1,400,000 $1,400,000 $1,400,000 $0 $0 $12,700,000 $0 $0 $0 $0 $0 $0 $0 $0 Model - FCLWD RWCC Regional Collaboration Model v1.7_AAR_Final E - 6 8/29/2014 Entity: North Weld County Water District Modified Collaboration Scenario 3 Year 2015 NPV 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Capacity (MGD) 22.7 22.7 22.7 22.7 22.7 22.7 22.7 22.7 22.7 22.7 Annual O&M Budget Personnel (excludes Administrative) $586,000 $593,000 $600,000 $608,000 $616,000 $625,000 $634,000 $644,000 $654,000 $665,000 Chemicals $342,000 $346,000 $350,000 $355,000 $360,000 $365,000 $371,000 $377,000 $383,000 $389,000 Energy $90,000 $91,000 $92,000 $93,000 $94,000 $95,000 $96,000 $97,000 $99,000 $101,000 Administrative $125,000 $126,000 $128,000 $130,000 $132,000 $134,000 $136,000 $138,000 $140,000 $142,000 Legal $19,000 $19,000 $19,000 $19,000 $19,000 $19,000 $19,000 $19,000 $19,000 $19,000 All Other $323,000 $327,000 $331,000 $335,000 $339,000 $344,000 $349,000 $354,000 $360,000 $366,000 Minor Capital $348,000 $352,000 $356,000 $361,000 $366,000 $371,000 $377,000 $383,000 $389,000 $395,000 Total Annual O&M $1,833,000 $1,854,000 $1,876,000 $1,901,000 $1,926,000 $1,953,000 $1,982,000 $2,012,000 $2,044,000 $2,077,000 1.2% 1.1% 1.2% 1.3% 1.3% 1.4% 1.5% 1.5% 1.6% 1.6% Annual Capital Improvements $2,100,000 $1,500,000 $2,100,000 $1,400,000 $1,700,000 $600,000 $400,000 $400,000 $400,000 $400,000 Amortized Buy-in Expense $1,317,000 $1,317,000 $1,317,000 $1,317,000 $1,317,000 $1,317,000 $1,317,000 $1,317,000 $1,317,000 $1,317,000 Capacity Expansion Costs $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Total Annual Budget $121,500,000 $5,250,000 $4,671,000 $5,293,000 $4,618,000 $4,943,000 $3,870,000 $3,699,000 $3,729,000 $3,761,000 $3,794,000 $5,250,000 $4,448,571 $4,800,907 $3,989,202 $4,066,618 $3,032,246 $2,760,251 $2,650,131 $2,545,593 $2,445,646 Model - NWCWD RWCC Regional Collaboration Model v1.7_AAR_Final E - 7 8/29/2014 Entity: North Weld County Water District Modified Collaboration Scenario 3 Year Capacity (MGD) Annual O&M Budget Personnel (excludes Administrative) Chemicals Energy Administrative Legal All Other Minor Capital Total Annual O&M Annual Capital Improvements Amortized Buy-in Expense Capacity Expansion Costs Total Annual Budget 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 22.7 22.7 22.7 22.7 22.7 28.6 28.6 28.6 28.6 28.6 $700,000 $738,000 $778,000 $820,000 $865,000 $1,016,000 $1,073,000 $1,133,000 $1,197,000 $1,264,000 $409,000 $431,000 $454,000 $479,000 $505,000 $593,000 $626,000 $661,000 $698,000 $737,000 $106,000 $112,000 $118,000 $124,000 $131,000 $154,000 $163,000 $172,000 $182,000 $192,000 $149,000 $157,000 $166,000 $175,000 $185,000 $217,000 $229,000 $242,000 $256,000 $270,000 $20,000 $21,000 $22,000 $23,000 $24,000 $28,000 $30,000 $32,000 $34,000 $36,000 $385,000 $406,000 $428,000 $451,000 $476,000 $559,000 $590,000 $623,000 $658,000 $695,000 $416,000 $439,000 $463,000 $488,000 $515,000 $605,000 $639,000 $675,000 $713,000 $753,000 $2,185,000 $2,304,000 $2,429,000 $2,560,000 $2,701,000 $3,172,000 $3,350,000 $3,538,000 $3,738,000 $3,947,000 5.2% 5.4% 5.4% 5.4% 5.5% 17.4% 5.6% 5.6% 5.7% 5.6% $500,000 $18,700,000 $500,000 $500,000 $500,000 $600,000 $600,000 $600,000 $600,000 $700,000 $1,317,000 $1,317,000 $1,317,000 $1,317,000 $1,317,000 $1,317,000 $1,317,000 $1,317,000 $1,317,000 $1,317,000 $0 $0 $0 $0 $12,100,000 $0 $0 $0 $0 $0 $4,002,000 $22,321,000 $4,246,000 $4,377,000 $16,618,000 $5,089,000 $5,267,000 $5,455,000 $5,655,000 $5,964,000 $2,456,881 $13,050,626 $2,364,332 $2,321,217 $8,393,219 $2,447,896 $2,412,873 $2,379,998 $2,349,769 $2,360,157 Model - NWCWD RWCC Regional Collaboration Model v1.7_AAR_Final E - 8 8/29/2014 Entity: North Weld County Water District Modified Collaboration Scenario 3 Year Capacity (MGD) Annual O&M Budget Personnel (excludes Administrative) Chemicals Energy Administrative Legal All Other Minor Capital Total Annual O&M Annual Capital Improvements Amortized Buy-in Expense Capacity Expansion Costs Total Annual Budget 2035 2036 2037 2038 2039 2040 2041 2042 2043 2044 2045 28.6 28.6 28.6 33.9 33.9 33.9 33.9 33.9 41.6 41.6 41.6 $1,335,000 $1,410,000 $1,490,000 $1,681,000 $1,776,000 $1,876,000 $1,990,000 $2,111,000 $2,382,000 $2,527,000 $2,680,000 $778,000 $822,000 $868,000 $979,000 $1,034,000 $1,092,000 $1,159,000 $1,230,000 $1,388,000 $1,472,000 $1,561,000 $203,000 $214,000 $226,000 $255,000 $269,000 $284,000 $301,000 $319,000 $360,000 $382,000 $405,000 $285,000 $301,000 $318,000 $359,000 $379,000 $400,000 $424,000 $450,000 $508,000 $539,000 $572,000 $38,000 $40,000 $42,000 $47,000 $50,000 $53,000 $56,000 $59,000 $67,000 $71,000 $75,000 $734,000 $775,000 $819,000 $924,000 $976,000 $1,031,000 $1,094,000 $1,161,000 $1,310,000 $1,389,000 $1,473,000 $795,000 $840,000 $887,000 $1,001,000 $1,058,000 $1,118,000 $1,186,000 $1,258,000 $1,419,000 $1,505,000 $1,596,000 $4,168,000 $4,402,000 $4,650,000 $5,246,000 $5,542,000 $5,854,000 $6,210,000 $6,588,000 $7,434,000 $7,885,000 $8,362,000 5.6% 5.6% 5.6% 12.8% 5.6% 5.6% 6.1% 6.1% 12.8% 6.1% 6.0% $700,000 $700,000 $800,000 $800,000 $800,000 $900,000 $900,000 $1,000,000 $1,000,000 $1,100,000 $1,100,000 $0 $0 $37,100,000 $0 $0 $0 $0 $61,200,000 $0 $0 $0 $4,868,000 $5,102,000 $42,550,000 $6,046,000 $6,342,000 $6,754,000 $7,110,000 $68,788,000 $8,434,000 $8,985,000 $9,462,000 $1,834,698 $1,831,324 $14,545,712 $1,968,404 $1,966,451 $1,994,475 $1,999,622 $18,424,750 $2,151,460 $2,182,873 $2,189,293 Model - NWCWD RWCC Regional Collaboration Model v1.7_AAR_Final E - 9 8/29/2014 Entity: City of Fort Collins Modified Collaboration Scenario 3 Year 2015 NPV 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Capacity (MGD) 57.4 57.4 57.4 57.4 57.4 57.4 57.4 57.4 57.4 57.4 Annual O&M Budget Personnel (excludes Administrative) $1,971,000 $1,969,000 $1,967,000 $1,966,000 $1,965,000 $1,964,000 $1,962,000 $1,961,000 $1,960,000 $1,960,000 Chemicals $1,149,000 $1,148,000 $1,147,000 $1,146,000 $1,145,000 $1,145,000 $1,144,000 $1,143,000 $1,143,000 $1,143,000 Energy $307,000 $307,000 $307,000 $307,000 $307,000 $307,000 $307,000 $307,000 $307,000 $307,000 Administrative $423,000 $422,000 $422,000 $422,000 $422,000 $422,000 $422,000 $422,000 $422,000 $422,000 Legal $65,000 $65,000 $65,000 $65,000 $65,000 $65,000 $65,000 $65,000 $65,000 $65,000 All Other $1,085,000 $1,084,000 $1,083,000 $1,082,000 $1,081,000 $1,081,000 $1,080,000 $1,079,000 $1,079,000 $1,079,000 Minor Capital $1,170,000 $1,169,000 $1,168,000 $1,167,000 $1,166,000 $1,166,000 $1,165,000 $1,164,000 $1,164,000 $1,164,000 Total Annual O&M $6,170,000 $6,164,000 $6,159,000 $6,155,000 $6,151,000 $6,150,000 $6,145,000 $6,141,000 $6,140,000 $6,140,000 -0.2% -0.1% -0.1% -0.1% -0.1% 0.0% -0.1% -0.1% 0.0% 0.0% Annual Capital Improvements $6,800,000 $4,900,000 $6,600,000 $4,400,000 $5,000,000 $1,700,000 $1,100,000 $1,200,000 $1,200,000 $1,200,000 Amortized Buy-in Expense ($4,600,000) ($4,600,000) ($4,600,000) ($4,600,000) ($4,600,000) ($4,600,000) ($4,600,000) ($4,600,000) ($4,600,000) ($4,600,000) Capacity Expansion Costs $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Total Annual Budget $141,200,000 $8,370,000 $6,464,000 $8,159,000 $5,955,000 $6,551,000 $3,250,000 $2,645,000 $2,741,000 $2,740,000 $2,740,000 $8,370,000 $6,156,190 $7,400,454 $5,144,153 $5,389,524 $2,546,460 $1,973,740 $1,947,978 $1,854,540 $1,766,228 Model - City RWCC Regional Collaboration Model v1.7_AAR_Final E - 10 8/29/2014 Entity: City of Fort Collins Modified Collaboration Scenario 3 Year Capacity (MGD) Annual O&M Budget Personnel (excludes Administrative) Chemicals Energy Administrative Legal All Other Minor Capital Total Annual O&M Annual Capital Improvements Amortized Buy-in Expense Capacity Expansion Costs Total Annual Budget 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 57.4 57.4 57.4 57.4 57.4 60.3 60.3 60.3 60.3 60.3 $2,029,000 $2,096,000 $2,165,000 $2,237,000 $2,311,000 $2,659,000 $2,744,000 $2,832,000 $2,923,000 $3,017,000 $1,183,000 $1,222,000 $1,262,000 $1,304,000 $1,347,000 $1,550,000 $1,600,000 $1,651,000 $1,704,000 $1,759,000 $318,000 $329,000 $340,000 $351,000 $363,000 $418,000 $431,000 $445,000 $459,000 $474,000 $437,000 $451,000 $466,000 $481,000 $497,000 $572,000 $590,000 $609,000 $628,000 $648,000 $67,000 $69,000 $71,000 $73,000 $75,000 $86,000 $89,000 $92,000 $95,000 $98,000 $1,117,000 $1,154,000 $1,192,000 $1,232,000 $1,273,000 $1,465,000 $1,512,000 $1,560,000 $1,610,000 $1,662,000 $1,205,000 $1,245,000 $1,286,000 $1,329,000 $1,373,000 $1,580,000 $1,631,000 $1,683,000 $1,737,000 $1,793,000 $6,356,000 $6,566,000 $6,782,000 $7,007,000 $7,239,000 $8,330,000 $8,597,000 $8,872,000 $9,156,000 $9,451,000 3.5% 3.3% 3.3% 3.3% 3.3% 15.1% 3.2% 3.2% 3.2% 3.2% $1,200,000 $50,400,000 $1,300,000 $1,300,000 $1,400,000 $1,400,000 $1,400,000 $1,400,000 $1,500,000 $1,500,000 ($4,600,000) ($4,600,000) ($4,600,000) ($4,600,000) ($4,600,000) ($4,600,000) ($4,600,000) ($4,600,000) ($4,600,000) ($4,600,000) $0 $0 $0 $0 $6,000,000 $0 $0 $0 $0 $0 $2,956,000 $52,366,000 $3,482,000 $3,707,000 $10,039,000 $5,130,000 $5,397,000 $5,672,000 $6,056,000 $6,351,000 $1,814,728 $30,617,316 $1,938,908 $1,965,901 $5,070,377 $2,467,618 $2,472,428 $2,474,675 $2,516,393 $2,513,306 Model - City RWCC Regional Collaboration Model v1.7_AAR_Final E - 11 8/29/2014 Entity: City of Fort Collins Modified Collaboration Scenario 3 Year Capacity (MGD) Annual O&M Budget Personnel (excludes Administrative) Chemicals Energy Administrative Legal All Other Minor Capital Total Annual O&M Annual Capital Improvements Amortized Buy-in Expense Capacity Expansion Costs Total Annual Budget 2035 2036 2037 2038 2039 2040 2041 2042 2043 2044 2045 60.3 60.3 60.3 62.0 62.0 62.0 62.0 62.0 63.2 63.2 63.2 $3,114,000 $3,213,000 $3,316,000 $3,655,000 $3,772,000 $3,892,000 $4,024,000 $4,160,000 $4,574,000 $4,727,000 $4,885,000 $1,815,000 $1,873,000 $1,933,000 $2,130,000 $2,198,000 $2,268,000 $2,345,000 $2,424,000 $2,665,000 $2,754,000 $2,846,000 $489,000 $505,000 $521,000 $574,000 $592,000 $611,000 $632,000 $653,000 $718,000 $742,000 $767,000 $669,000 $690,000 $712,000 $785,000 $810,000 $836,000 $864,000 $893,000 $982,000 $1,015,000 $1,049,000 $101,000 $104,000 $107,000 $118,000 $122,000 $126,000 $130,000 $134,000 $147,000 $152,000 $157,000 $1,715,000 $1,770,000 $1,827,000 $2,014,000 $2,078,000 $2,144,000 $2,217,000 $2,292,000 $2,520,000 $2,605,000 $2,692,000 $1,850,000 $1,909,000 $1,970,000 $2,171,000 $2,240,000 $2,311,000 $2,389,000 $2,470,000 $2,716,000 $2,807,000 $2,901,000 $9,753,000 $10,064,000 $10,386,000 $11,447,000 $11,812,000 $12,188,000 $12,601,000 $13,026,000 $14,322,000 $14,802,000 $15,297,000 3.2% 3.2% 3.2% 10.2% 3.2% 3.2% 3.4% 3.4% 9.9% 3.4% 3.3% $1,500,000 $1,600,000 $1,600,000 $1,700,000 $1,700,000 $1,700,000 $1,800,000 $1,800,000 $1,900,000 $1,900,000 $1,900,000 $0 $0 $11,900,000 $0 $0 $0 $0 $9,400,000 $0 $0 $0 $11,253,000 $11,664,000 $23,886,000 $13,147,000 $13,512,000 $13,888,000 $14,401,000 $24,226,000 $16,222,000 $16,702,000 $17,197,000 $4,241,137 $4,186,704 $8,165,426 $4,280,286 $4,189,638 $4,101,165 $4,050,148 $6,488,893 $4,138,129 $4,057,689 $3,978,998 Model - City RWCC Regional Collaboration Model v1.7_AAR_Final E - 12 8/29/2014 Capacity Tables Modified Collaboration Scenario 2 Capacity - MG FCLWD ELCO NWCWD City Total O&M Factor 2013 17.7 11.7 15.7 87.0 132.0 1.00 2014 22.7 11.7 15.7 82.0 132.0 1.00 2015 39.2 12.7 22.7 57.4 132.0 1.00 2016 39.2 12.7 22.7 57.4 132.0 1.00 2017 39.2 12.7 22.7 57.4 132.0 1.00 2018 39.2 12.7 22.7 57.4 132.0 1.00 2019 39.2 12.7 22.7 57.4 132.0 1.00 2020 39.2 12.7 22.7 57.4 132.0 1.00 2021 39.2 12.7 22.7 57.4 132.0 1.00 2022 39.2 12.7 22.7 57.4 132.0 1.00 2023 39.2 12.7 22.7 57.4 132.0 1.00 2024 39.2 12.7 22.7 57.4 132.0 1.00 2025 39.2 12.7 22.7 57.4 132.0 1.00 2026 39.2 12.7 22.7 57.4 132.0 1.00 2027 39.2 12.7 22.7 57.4 132.0 1.00 2028 39.2 12.7 22.7 57.4 132.0 1.00 2029 39.2 12.7 22.7 57.4 132.0 1.00 2030 44.0 14.1 28.6 60.3 147.0 1.11 2031 44.0 14.1 28.6 60.3 147.0 1.11 2032 44.0 14.1 28.6 60.3 147.0 1.11 2033 44.0 14.1 28.6 60.3 147.0 1.11 2034 44.0 14.1 28.6 60.3 147.0 1.11 2035 44.0 14.1 28.6 60.3 147.0 1.11 2036 44.0 14.1 28.6 60.3 147.0 1.11 2037 44.0 14.1 28.6 60.3 147.0 1.11 2038 45.9 15.2 33.9 62.0 157.0 1.07 2039 45.9 15.2 33.9 62.0 157.0 1.07 2040 45.9 15.2 33.9 62.0 157.0 1.07 2041 45.9 15.2 33.9 62.0 157.0 1.07 2042 45.9 15.2 33.9 62.0 157.0 1.07 2043 45.9 16.4 41.6 63.2 167.0 1.06 2044 45.9 16.4 41.6 63.2 167.0 1.06 2045 45.9 16.4 41.6 63.2 167.0 1.06 2046 45.9 16.4 41.6 63.2 167.0 1.06 2047 45.9 16.4 41.6 63.2 167.0 1.06 2048 45.9 16.4 41.6 63.2 167.0 1.06 2049 45.9 16.4 41.6 63.2 167.0 1.06 2050 45.9 16.4 41.6 63.2 167.0 1.06 2051 45.9 17.3 49.1 63.7 176.0 1.05 2052 45.9 17.3 49.1 63.7 176.0 1.05 2053 45.9 17.3 49.1 63.7 176.0 1.05 2054 45.9 17.3 49.1 63.7 176.0 1.05 2055 45.9 17.3 49.1 63.7 176.0 1.05 Capacity changes are highlighted in blue. Capacity RWCC Regional Collaboration Model v1.7_AAR_Final 8/29/2014 E - 13 Capacity Expansion Tables Modified Collaboration Scenario 3 Capacity Expansion - MGD FCLWD ELCO NWCWD City Total 2013 0.0 2014 C 5.0 (5.0) 0.0 2015 C 16.5 1.1 7.0 (24.6) (0.0) 2016 0.0 2017 0.0 2018 0.0 2019 0.0 2020 0.0 2021 0.0 2022 0.0 2023 0.0 2024 0.0 2025 0.0 2026 0.0 2027 0.0 2028 0.0 2029 SC 4.9 1.4 5.9 2.9 15.0 2030 0.0 2031 0.0 2032 0.0 2033 0.0 2034 0.0 2035 0.0 2036 0.0 2037 G 1.8 1.1 5.4 1.7 10.0 2038 0.0 2039 0.0 2040 0.0 2041 0.0 2042 G 0.0 1.2 7.6 1.2 10.0 2043 0.0 2044 0.0 2045 0.0 2046 0.0 2047 0.0 2048 0.0 2049 0.0 2050 G 0.0 1.0 7.5 0.5 9.0 2051 0.0 2052 0.0 2053 0.0 2054 0.0 2055 0.0 28.20 4.70 25.92 (23.82) 34.99 C - City of Fort Collins Excess Capacity Purchase SC - SCFP Expansion G - Green Field Plant Capacity Expansion Tables RWCC Regional Collaboration Model v1.7_AAR_Final E - 14 8/29/2014 Demand Assumptions Input Cells are highlighted in yellow. Organization Approximate Peak Demands in Last 5 Years (MGD) Projected Peak Day Demand in 30 Years (MGD) FCLWD 21.7 46.0 ELCO 9.8 15.6 NWCWD 14.1 36.3 City 46.8 62.6 Total 92.4 160.5 City of Fort Collins Annual Demands 2009-13 Daily Deliveries (MG) 2009 2010 2011 2012 2013 5 yr Max Max Daily Demand 37.10 40.77 39.75 46.77 42.95 46.77 Annual Demand 7,391 7,830 7,621 8,757 7,560 8,757 Avg Daily Demand 20.25 21.45 20.88 23.93 20.71 23.93 FCLWD Annual Demands 2009-13 Daily Deliveries (MG) 2009 2010 2011 2012 2013 5 yr Max Max Daily Demand 17.30 18.80 19.80 20.20 21.70 21.70 Annual Demand 2437 2877 2946 3411 2755 2755 Avg Daily Demand 6.68 7.88 8.07 9.32 7.55 7.55 ELCO Annual Demands 2009-13 Daily Deliveries (MG) 2009 2010 2011 2012 2013 5 yr Max Max Daily Demand 6.96 8.73 9.78 8.13 8.58 9.78 Annual Demand 1119 1225 1121 1408 1328 1121 Avg Daily Demand 3.06 3.36 3.07 3.85 3.64 3.07 NWCWD Annual Demands 2009-13 Daily Deliveries (MG) 2009 2010 2011 2012 2013 5 yr Max Max Daily Demand 10.01 12.00 13.20 13.10 14.10 14.10 Annual Demand 2097 2309 2567 2760 2497 2497 Avg Daily Demand 5.75 6.33 7.03 7.54 6.84 6.84 Demand Assumptions RWCC Regional Collaboration Model v1.7_AAR_Final 8/29/2014 E - 15 Peak Demand - MGD FCLWD (1) ELCO (2) NWCWD (3) City (4) Total Demand Demand Increase (Annual) 2013 21.7 9.8 14.1 46.8 92.4 2014 23.0 10.0 14.5 46.8 94.3 2.1% 2015 24.3 10.1 15.0 47.6 97.0 2.9% 2016 25.6 10.3 15.4 48.4 99.7 2.8% 2017 26.8 10.5 15.9 49.2 102.4 2.7% 2018 28.1 10.7 16.3 50.0 105.1 2.7% 2019 29.4 10.9 16.8 50.8 107.9 2.6% 2020 30.7 11.1 17.3 51.6 110.7 2.6% 2021 32.0 11.2 17.9 52.3 113.4 2.4% 2022 33.3 11.4 18.4 53.0 116.1 2.4% 2023 34.6 11.6 18.9 53.7 118.8 2.4% 2024 35.8 11.8 19.5 54.4 121.5 2.3% 2025 36.5 12.0 20.1 55.1 123.7 1.7% 2026 37.1 12.1 20.7 55.6 125.6 1.6% 2027 37.7 12.3 21.3 56.2 127.5 1.6% 2028 38.4 12.5 22.0 56.7 129.5 1.5% 2029 39.0 12.7 22.6 57.2 131.5 1.5% 2030 39.6 12.9 23.3 57.7 133.5 1.5% 2031 40.3 13.1 24.0 58.1 135.4 1.4% 2032 40.9 13.2 24.7 58.4 137.3 1.4% 2033 41.5 13.4 25.5 58.8 139.3 1.4% 2034 42.2 13.6 26.2 59.2 141.2 1.4% 2035 42.8 13.8 27.0 59.6 143.2 1.4% 2036 43.5 14.0 27.8 59.9 145.2 1.4% 2037 44.1 14.1 28.7 60.3 147.2 1.4% 2038 44.7 14.3 29.5 60.7 149.3 1.4% 2039 45.4 14.5 30.4 61.0 151.3 1.4% 2040 46.0 14.7 31.3 61.4 153.4 1.4% 2041 46.0 14.9 32.3 61.6 154.8 0.9% 2042 46.0 15.1 33.2 61.9 156.2 0.9% 2043 46.0 15.2 34.2 62.1 157.6 0.9% 2044 46.0 15.4 35.3 62.3 159.0 0.9% 2045 46.0 15.6 36.3 62.6 160.5 0.9% 2046 46.0 15.8 37.4 62.7 161.9 0.9% 2047 46.0 15.9 38.5 62.9 163.3 0.9% 2048 46.0 16.1 39.7 63.0 164.8 0.9% 2049 46.0 16.3 40.9 63.2 166.3 0.9% 2050 46.0 16.5 42.1 63.3 167.9 0.9% 2051 46.0 16.6 43.4 63.4 169.4 0.9% 2052 46.0 16.8 44.7 63.5 171.0 0.9% 2053 46.0 17.0 46.0 63.6 172.6 0.9% 2054 46.0 17.1 47.4 63.7 174.2 1.0% 2055 46.0 17.3 48.8 63.8 175.9 1.0% (2) Peak-day demand of 15.60 in 2045 provided by ELCO staff per April 28, 2014 email to RWCC members. (3) Peak-day demand of 36.30 in 2045 and 48.80 in 2055 provided by NWCWD per April 30, 2014 email to RWCC members. (4) Annual peak-day demand projections provided by the City per April 29, 2014 email to RWCC members. Cells in blue are hard coded. All other cells are interpolated from the blue cells. (1) Peak-day demand of 46.0 MGD projected to occur in 2040 per January 14, 2014 memo Demand Assumptions RWCC Regional Collaboration Model v1.7_AAR_Final E - 16 8/29/2014 Annual Demand - MG FCLWD (1) ELCO (2) NWCWD (1) City (2) SCFP Total Annual Demand (MG) 2013 2,755 1,466 2,497 8,757 6,718 2014 2,918 1,509 2,571 8,763 6,999 2015 3,081 1,553 2,649 8,912 7,283 2016 3,244 1,597 2,728 9,060 7,570 2017 3,407 1,641 2,810 9,209 7,859 2018 3,571 1,686 2,894 9,358 8,151 2019 3,734 1,730 2,981 9,506 8,445 2020 3,897 1,775 3,071 9,655 8,742 2021 4,060 1,820 3,163 9,789 9,042 2022 4,223 1,865 3,257 9,923 9,345 2023 4,386 1,910 3,355 10,057 9,651 2024 4,548 1,954 3,456 10,190 9,958 2025 4,629 1,999 3,560 10,324 10,187 2026 4,709 2,044 3,666 10,420 10,419 2027 4,790 2,088 3,776 10,515 10,654 2028 4,871 2,132 3,890 10,610 10,893 2029 4,952 2,176 4,006 10,705 11,134 2030 5,032 2,220 4,126 10,801 11,379 2031 5,113 2,263 4,250 10,872 11,627 2032 5,194 2,306 4,378 10,943 11,878 2033 5,275 2,349 4,509 11,014 12,132 2034 5,355 2,391 4,644 11,085 12,391 2035 5,436 2,433 4,784 11,156 12,652 2036 5,517 2,474 4,927 11,224 12,918 2037 5,598 2,514 5,075 11,293 13,187 2038 5,678 2,555 5,227 11,362 13,460 2039 5,759 2,594 5,384 11,431 13,737 2040 5,840 2,633 5,546 11,500 14,019 2041 5,840 2,671 5,712 11,543 14,223 2042 5,840 2,709 5,883 11,585 14,432 2043 5,840 2,746 6,060 11,628 14,646 2044 5,840 2,783 6,242 11,670 14,864 2045 5,840 2,818 6,429 11,713 15,087 2046 5,840 2,853 6,622 11,741 15,315 2047 5,840 2,887 6,820 11,770 15,548 2048 5,840 2,921 7,025 11,798 15,786 2049 5,840 2,954 7,236 11,827 16,030 2050 5,840 2,986 7,453 11,855 16,279 2051 5,840 3,017 7,677 11,873 16,534 2052 5,840 3,048 7,907 11,891 16,794 2053 5,840 3,078 8,144 11,910 17,061 2054 5,840 3,107 8,388 11,928 17,335 2055 5,840 3,135 8,640 11,946 17,615 (2) Annual demands provided by the ELCO and City. Cells in blue are hard coded. All other cells are interpolated from the blue cells. (1) Annual demands projected based on Max Daily Demand multiplied by Demand Assumptions RWCC Regional Collaboration Model v1.7_AAR_Final E - 17 8/29/2014 Annual Demand - % Total FCLWD (1) ELCO (2) NWCWD (1) City (2) 2013 17.8% 9.5% 16.1% 56.6% 2014 18.5% 9.6% 16.3% 55.6% 2015 19.0% 9.6% 16.4% 55.0% 2016 19.5% 9.6% 16.4% 54.5% 2017 20.0% 9.6% 16.5% 54.0% 2018 20.4% 9.6% 16.5% 53.4% 2019 20.8% 9.6% 16.6% 53.0% 2020 21.2% 9.6% 16.7% 52.5% 2021 21.6% 9.7% 16.8% 52.0% 2022 21.9% 9.7% 16.9% 51.5% 2023 22.3% 9.7% 17.0% 51.0% 2024 22.6% 9.7% 17.2% 50.6% 2025 22.6% 9.7% 17.4% 50.3% 2026 22.6% 9.8% 17.6% 50.0% 2027 22.6% 9.9% 17.8% 49.7% 2028 22.7% 9.9% 18.1% 49.3% 2029 22.7% 10.0% 18.3% 49.0% 2030 22.7% 10.0% 18.6% 48.7% 2031 22.7% 10.1% 18.9% 48.3% 2032 22.8% 10.1% 19.2% 48.0% 2033 22.8% 10.1% 19.5% 47.6% 2034 22.8% 10.2% 19.8% 47.2% 2035 22.8% 10.2% 20.1% 46.9% 2036 22.9% 10.2% 20.4% 46.5% 2037 22.9% 10.3% 20.7% 46.1% 2038 22.9% 10.3% 21.1% 45.8% 2039 22.9% 10.3% 21.4% 45.4% 2040 22.9% 10.3% 21.7% 45.1% 2041 22.7% 10.4% 22.2% 44.8% 2042 22.4% 10.4% 22.6% 44.5% 2043 22.2% 10.5% 23.1% 44.3% 2044 22.0% 10.5% 23.5% 44.0% 2045 21.8% 10.5% 24.0% 43.7% 2046 21.6% 10.5% 24.5% 43.4% 2047 21.4% 10.6% 25.0% 43.1% 2048 21.2% 10.6% 25.5% 42.8% 2049 21.0% 10.6% 26.0% 42.5% 2050 20.8% 10.6% 26.5% 42.1% 2051 20.6% 10.6% 27.0% 41.8% 2052 20.4% 10.6% 27.6% 41.5% 2053 20.2% 10.6% 28.1% 41.1% 2054 20.0% 10.6% 28.7% 40.8% 2055 19.8% 10.6% 29.2% 40.4% Demand Assumptions RWCC Regional Collaboration Model v1.7_AAR_Final E - 18 8/29/2014 General Assumptions Cells in yellow are input cells where assumptions may be changed. Inflation Capital 3.0% O&M 4.0% Discount Rate (Cost of Capital) 5.0% Financing of Buy-in Capacity for Collaboration APR 5.0% Term 20 yrs P&I for 1 MG $186,965.23 SOLDIER CANYON FILTER PLANT BUDGET 2014 O&M ELCO 18.22% FCLWD 44.80% NWCWD 36.98% WTF SCFP Total 2013 Production MG 7,811 3,000 O&M Efficiency 30% Year Efficiency 2014 0% 2015 3% 2016 3% 2017 3% 2018 3% 2019 3% 2020 3% 2021 3% 2022 3% 2023 3% 2024 3% 2025 0% Discount Factors Capital O&M NPV 2015 100% 100% 100% 2016 97% 96% 95% 2017 94% 92% 91% 2018 92% 89% 86% 2019 89% 85% 82% 2020 86% 82% 78% 2021 84% 79% 75% 2022 81% 76% 71% 2023 79% 73% 68% 2024 77% 70% 64% 2025 74% 68% 61% 2026 72% 65% 58% 2027 70% 62% 56% 2028 68% 60% 53% 2029 66% 58% 51% 2030 64% 56% 48% 2031 62% 53% 46% 2032 61% 51% 44% 2033 59% 49% 42% 2034 57% 47% 40% 2035 55% 46% 38% 2036 54% 44% 36% 2037 52% 42% 34% 2038 51% 41% 33% 2039 49% 39% 31% 2040 48% 38% 30% 2041 46% 36% 28% 2042 45% 35% 27% Appendix F Case Studies and Governance Model Information Appendix F Case Studies and Governance Model Information Case Studies Selected: 1. Platte River Power Authority (Title 29) 2. South Metro Water Supply Authority (Title 29) 3. Southeast Public Improvement Metropolitan District (Title 32) Other Entities Considered: 1. Water Conservation District 2. Title 29 Intergovernmental Agreement Table 1, included at the end of this document shows a side by side comparison of the three case studies. Case Study #1 - Platte River Power Authority (www.prpa.org) A. Background / Purpose5 Platte River Power Authority evolved from the Platte River Municipal Power Association (PRMPA). The PRMPA was a consortium of 31 municipalities created on December 28, 1965, under the leadership of Stan Case, then director of Fort Collins City Utilities. Each PRMPA municipality had a contract with the U.S. Bureau of Reclamation, which provided hydroelectric power from the Colorado River and Missouri Basin and each member municipality wanted to protect its interest in the energy the Bureau promised to deliver. Case helped PRMPA members understand the ramifications of the Bureau’s 1960s announcement that there would be no new long-term energy power projects and the Bureau would not be able to fully supply Colorado’s energy needs beyond the mid-1970s. The towns and cities would have to find new energy resources. In 1973, four of the original thirty-one municipalities banded together to create a jointly-owned, economically self-sustaining, not-for-profit electric utility. This action took the help of the Colorado legislature and the voters in the state. Estes Park, Fort Collins, Longmont, and Loveland looked to the Platte River Power Authority to provide supplemental power beyond their federal hydropower interests. After a period of time, the four owner municipalities came to depend on the Platte River Power Authority to provide the affordable, reliable electricity their citizens had come to rely upon. B. Parties 1. Town of Estes Park 2. City of Longmont 3. City of Fort Collins 4. City of Loveland C. Organizational Documents (attached) • "Amended and Restated Organic Contract Establishing Platte River Power Authority as a Separate Governmental Entity" dated September 1, 2010 • 1998 amendment that declared Platte River Power an "enterprise" for purposes of Section 20, Article X of the Colorado Constitution (TABOR) 5 Information based upon the Platte River Power Authority website: http://www.prpa.org/about-us/company-history. F - 1 Appendix F Case Studies and Governance Model Information • Separate Contracts of the Supply of Electric Power and Energy with each of the participating entities D. Statutory Authority • 29-1-204, C.R.S. – Authority of municipalities to establish a separate governmental entity, specifically a power authority E. Management Provisions • The governing body is an eight (8) member Board of Directors. • Two (2) members are selected by each participating municipality: o The Mayor (or the mayor's designee) o Governing body of each Municipality appoints the other (expert) • Terms of Office: o Mayor (or appointee) so long as that person is the Mayor o The legislatively appointed directors – rotating 4 year terms • Removal and Vacancies - up to the appointing entity • Quorum = simple majority F. Withdrawal/Termination Provisions • Term of the Contract: 12/31/2050 • No termination prior to 2050 o 12 month notice to terminate thereafter o No limit on amendments approved by all Municipalities • No termination if bonds are outstanding • Distribution of Assets upon Termination: o To all municipalities pro-rata using the following formula: Total dollar amount of electric power/energy purchased/paid for by the Municipality from the Authority during its corporate existence / Total dollar amount of all electric power/energy purchased/paid for by the Municipalities from the Authority during its corporate existence G. Other Unique Provisions • Article 2.1(iii), broad authority, upon receipt of approval of each Municipality, to "provide additional designated function, service, or facility lawfully authorized to any combination of two or more of the Municipalities, provided that these constitute an 'enterprise'" under TABOR. This additional flexibility allows the Authority to adapt without fully amending the Organic Contract. • Deadlock – because there is an even number of directors, a deadlock is a possibility. Weighted Voting is based on the following formula: $ Amount of electric power/energy purchased by the Municipality in last 12 mo. / Total $ amount of all electric power/energy purchase from the Authority in last 12 months Each Director gets one-half of the weighted votes for the Director's Municipality from the formula set forth above. F - 2 Appendix F Case Studies and Governance Model Information • Western Area Power Administration General Power Contract Provisions – all members of the Authority are bound by this Contract Case Study #2 - South Metro Water Supply Authority (www.southmetrowater.org) A. Background / Purpose The South Metro Denver water providers, located in Douglas and Arapahoe Counties, have recognized the need to move away from reliance upon non-renewable ground water to the development and reliance upon renewable sources. These efforts have been ongoing for several decades. Following the failure to obtain approval for the Two Forks Reservoir project (in western Douglas County), the Douglas County Water Resource Authority ("DCWRA") was formed. Its purposes were multi-fold and included outreach, communications, and the search for renewable water. Around 2000, the DCWRA formed the South Metro Water Supply Study Board ("Study Board"). In a joint effort with the Colorado River Water Conservation District and the Denver Water Board, the Study Board explored conjunctive use and other opportunities to bring renewable water into Douglas County. In 2004, the South Metro Water Supply Authority ("SMWSA") was formed and became the successor to the Study Board. Due to challenges related to the management of the SMWSA, the formation intergovernmental agreement was amended and restated in 2006. The primary purpose of the amendment and restatement was to change the make-up of the governing board. The SMWSA has become an important and influential voice for water providers in Douglas and Arapahoe Counties. Most recently, the SMWSA has helped form the South Metro WISE Authority to implement the Water Infrastructure and Supply Efficiency (WISE) Partnership with the Denver Water Board and the City of Aurora. The SMWSA is also involved in the acquisition of pipeline capacity for its members, the Chatfield Reallocation project, and the Colorado / Wyoming Coalition investigating using the Flaming Gorge as a renewable water resource. B. Parties 1. Town of Castle Rock 8. Centennial Water & Sanitation District 2. Parker Water & Sanitation District 9. Cottonwood Water & Sanitation District 3. Stonegate Village Metropolitan District 10. Meridian Metropolitan District 4. Dominion Water & Sanitation District 11. Castle Pines North Metropolitan District 5. Castle Pines Metropolitan District 12. Pinery Water & Wastewater District 6. Rangeview Metropolitan District 13. Inverness Water & Sanitation District 7. East Cherry Creek Valley Water 14. Arapahoe County Water & Wastewater & Sanitation District Authority Note: members include Dominion Water & Sanitation District which has no customers at this time and the East Cherry Creek Valley Water & Sanitation District which serves in excess of 100,000 individuals. C. Organizational Documents (attached) • "First Amended and Restated South Metro Water Supply Authority Intergovernmental Agreement" dated January 1, 2006 F - 3 Appendix F Case Studies and Governance Model Information D. Statutory Authority • 29-1-204.2, C.R.S. – Authority of municipalities, special districts, or other political subdivisions to establish a separate governmental entity, specifically a water authority E. Management Provisions • The governing body is a five (5) member Board of Directors. o Four (4) from the largest water providers (measured in SFEs served) appointed by the governing body of the water provider. o One (1) from the remaining water providers • Each "other provider" appoints a representative. • Annually, the representatives of the other providers meet to elect the other provider Board Member and an alternate. • Terms of Office o Four large participants – the pleasure of their appointing Board o Other participant/alternate – 1 year with no term limits • Removal and Vacancies . . . up to the appointing entity or other participants • Quorum = simple majority F. Withdrawal/Termination Provisions • Term of the Contract: Perpetual (unique to water supply contracts) though members can withdraw at any time. • Termination requires unanimous consent of all Participants. • Distribution of Assets upon Termination: o To all Participants pro-rata using the following formula:  2/3 equally to the four largest Participants  1/3 equally to the Other Participants G. Other Unique Provisions • The board must unanimously approve the expenditure of more than $20,000 for the investigation of any project (renewable water, pipeline, supply, etc.). If unanimous approval cannot be reached, investigation can proceed under a participation agreement where only the interested members (that is, the participants) fund the investigation and project. No member can be required to participate in any particular project. Case Study #3 - Southeast Public Improvement Metropolitan District A. Background / Purpose In the early 1980s, the special districts located in the vicinity of I-25 from I-225 south to the Rampart Range recognized the need for public improvements in the area. On a macro level, these projects would benefit the entire area. On a micro level, few if any of the districts could afford to fund the improvements by themselves. The districts formed the Joint Southeast Public Improvement Authority (as Title 29 authority) to jointly fund the improvements and to work cooperatively. JSPIA was instrumental in improving the I-25 interchanges in the area. In the early 2000s, the members of JSPIA desired to leverage the cooperation among the JSPA members and allow a mill levy to be used to fund future improvements. Together, they formed the Southeast Public Improvements Metropolitan District (SPIMD). SPIMD has partnered with the Denver South Economic F - 4 Appendix F Case Studies and Governance Model Information Development Partnership (a traditional economic development entity) and the Transportation Management Association (TMA) to create a "three-legged stool" to support the economic and public improvement health of the Tech Center. Of particular note, SPIMD was instrumental in the extending light rail into the Tech Center, funding the construction of the pedestrian bridges across I-25 to allow connections from the light rail parking to the trains, and creating, planning, and funding circulator buses throughout the Tech Center. B. Parties • Commercial property owners within the SPIMD boundaries and approved by all "governing entities" within the District Boundaries. The governing entities include: 1. Denver 2. Arapahoe County 3. Douglas County 4. Greenwood Village 5. City of Centennial 6. Lone Tree C. Organizational Documents (attached) • Traditional Metropolitan District Service Plan • Intergovernmental Agreement with all of the counties and municipalities D. Statutory Authority • 32-1-101 et seq., C.R.S. – Special District Act E. Management Provisions • The governing body is a five (5) member Board of Directors elected at-large. • Terms of Office – four (4) years as set by statute • Removal and Vacancies – by statute • Quorum = simple majority F. Withdrawal/Termination Provisions • Exclusion from the District is governed by statute. • Dissolution of the District is governed by statute and requires approval of eligible electors. G. Other Unique Provisions • Residential property is excluded before there are any sales to general homeowners. • SPIMD is permitted to spend tax money on economic development. Other Entities Considered #1 - Water Conservation District This entity is potentially the most powerful and uniquely tailored entity. It is created through the normal legislative process. The legislative process gives this entity its flexibility but also makes it one of the most difficult entities to form. F - 5 Appendix F Case Studies and Governance Model Information The Legislative process includes the following: • Caucus with interested parties o Local legislative delegation; o Local counties, municipalities, and special districts; o Local and statewide special interests (Trout Unlimited, conservation groups, etc.) o West Slope interests and legislators o Southern Colorado interests and legislators • A Bill is drafted and introduced in the House • Negotiated through House committees • Passed by the House • Introduced in the Senate • Negotiated through Senate Committees • Passed by the Senate • Reconcile differences between House bill and Senate Bill (if any) • Signed by the Governor As is often the cases with the legislative process, there are many opportunities for mischief, legislative changes, and need for compromise. In some cases, the legislative changes and compromises effectively eviscerated the bill so that it no longer met the needs for which it was promoted. A copy of the last Water Conservation District bill that was drafted by Spencer Fane Grimshaw is attached. It failed in committee. Other Entities Considered #2 - Title 29 Intergovernmental Agreement This is a relatively simple process to review. A Title 29 Intergovernmental Agreement ("IGA") is nearly identical to a Title 29 Authority (see the discussion regarding the Platte River Power Authority and the South Metro Water Supply Authority, above) except that it is not a standalone governmental entity. • As the result of not being a standalone governmental entity, a Title 29 IGA does not allow: o Ownership of property by the group. All assets must be held in the name of one of the signers of the IGA. o Issuance of revenue bonds. All revenue bonds must be issued by one of the signers of the IGA. F - 6 Appendix F Case Studies and Governance Model Information Provision / Item Entity Platte River Power Authority (Title 29) South Metro Water Supply Authority (Title 29) Southeast Public Improvement District (Title 32) Purpose Jointly owned economically self sustaining not-for profit electric utility that provides affordable, reliable electricity. In 1973, four municipalities banded together to create a jointly-owned, economically self-sustaining, not-for-profit electric utility. This action took the help of the Colorado legislature and the voters in the state. Estes Park, Fort Collins, Longmont, and Loveland looked to the Platte River Power Authority to provide supplemental power beyond their federal hydropower interests. After a period of time, the four owner municipalities came to depend on the Platte River Power Authority to provide the affordable, reliable electricity their citizens had come to rely upon. The South Metro Denver water providers, located in Douglas and Arapahoe Counties, have recognized the need to move away from reliance upon non-renewable ground water to the development and reliance upon renewable sources. Following the failure to obtain approval for the Two Forks Reservoir project (in western Douglas County), the Douglas County Water Resource Authority ("DCWRA") was formed. Its purposes were multi- fold and included outreach, communications, and the search for renewable water. Around 2000, the DCWRA formed the South Metro Water Supply Study Board ("Study Board"). In a joint effort with the Colorado River Water Conservation District and the Denver Water Board, the Study Board explored conjunctive use and other opportunities to bring renewable water into Douglas County. In 2004, the South Metro Water Supply Authority ("SMWSA") was formed and became the successor to the Study Board. In the early 2000s, members of The Joint Southeast Public Improvement Authority (JSPIA - a Title 29 authority formed to jointly fund the improvements and to work cooperatively on improving the I-25 interchanges in the I-25 and I- 225 area south to the Rampart Range). JSPIA desired to leverage the cooperation among members and allow a mill levy to be used to fund future improvements. Together, they formed the Southeast Public Improvements Metropolitan District ("SPIMD"). SPIMD has partnered with the Denver South Economic Development Partnership (a traditional economic development entity) and the Transportation Management Association (TMA) to create a "three-legged stool" to support the economic and public improvement health of the Tech Center. Of particular note, SPIMD was instrumental in the extending light rail into the Tech Center, funding the construction of the pedestrian bridges across I-25 to allow connections from the light rail parking to the trains, and creating, planning, and funding circulator buses throughout the Tech Center. Parties Four (4): • Town of Estes Park • City of Fort Collins • City of Longmont • City of Loveland Fourteen (14): • Town of Castle Rock • Centennial Water & Sanitation District Appendix F Case Studies and Governance Model Information Provision / Item Entity Platte River Power Authority (Title 29) South Metro Water Supply Authority (Title 29) Southeast Public Improvement District (Title 32) • Terms of Office: - Mayor (or appointee) so long as that person is the Mayor - The legislatively appointed directors – rotating 4 year terms • Removal and Vacancies - up to the appointing entity • Quorum = simple majority • each "other provider" appoints a representative • annually, the representatives of the other providers meet to elect the other provider Board Member and an alternate • Terms of Office - four large participants – the pleasure of their appointing Board - other participant/alternate – 1 year with no term limits • Removal and Vacancies - up to the appointing entity or other participants • Quorum = simple majority • Quorum = simple majority Withdrawal / Termination Provisions • Term of the Contract: 12/31/2050 • Termination/Withdrawal allowed with: - 12 month notice - amendment approved by all Municipalities • Termination prohibited if bonds outstanding • Distribution of assets upon termination is pro-rata using specified formula. • Term of the Contract: Perpetual (unique to water supply contracts) though members can withdraw at any time. • Termination requires unanimous consent of all Participants. • Distribution of Assets upon Termination: - to all Participants pro-rata using the following formula:  2/3 equally to the four largest Participants  1/3 equally to the Other Participants • Exclusion from the District is governed by statute. • Dissolution of the District is governed by statute and requires approval of eligible electors. Other Unique Provisions Under Article 2.1(iii), provides broad authority that upon receipt of approval of each Municipality will "provide additional designated function, service, or facility lawfully authorized to any combination of two or more of the Municipalities, provided that these constitute an 'enterprise' " under TABOR. This additional flexibility allows the Authority to adapt without fully amending the Organic Contract Deadlock – because there is an even number of directors, a deadlock is a possibility. Weighted Voting based on the following fraction: $ Amount of electric power/energy purchased by the Municipality in last 12 mo. / Total $ amount of all electric power/energy purchase from the 100 Fillmore Street, Suite 200, Denver, CO 80206 Imagine the result Authority in last 12 months Each Director gets one-half of the amount for the Director's Municipality from the formula set forth above. Western Area Power Administration General Power Contract Provisions – all members of the Authority are bound by this Contract. The board must unanimously approve the expenditure of more than $20,000 for the investigation of any project (renewable water, pipeline, supply, etc.). If unanimous approval cannot be reached, investigation can proceed under a participation agreement where only the interested members (that is, the participants) fund the investigation and project. No member can be required to participate in any particular project. • Residential property is excluded before there are any sales to general homeowners. • SPIMD is permitted to spend tax money on economic development. F - 8 • Parker Water & Sanitation District • Cottonwood Water & Sanitation District • Stonegate Village Metropolitan District • Meridian Metropolitan District • Dominion Water & Sanitation District • Castle Pines North Metropolitan District • Castle Pines Metropolitan District • Pinery Water & Wastewater District • Rangeview Metropolitan District • Inverness Water & Sanitation District • East Cherry Creek Valley Water • Arapahoe County Water & Wastewater & Sanitation District Authority Commercial property owners within the SPIMD boundaries and approved by all "governing entities" within the District Boundaries: • Denver • Arapahoe County • Douglas County • Greenwood Village • City of Centennial • Lone Tree Organizational Documents • "Amended and Restated Organic Contract Establishing Platte River Power Authority as a Separate Governmental Entity" (9/1/2010) • 1998 declared an "enterprise" for purposes of Section 20, Article X of the Colorado Constitution (TABOR) • Separate Contracts of the Supply of Electric Power and Energy with each of the participating entities • "First Amended and Restated South Metro Water Supply Authority Intergovernmental Agreement" dated January 1, 2006 • Traditional Metropolitan District Service Plan. • Intergovernmental Agreement with all of the counties and municipalities. Statutory Authority • 29-1-204, C.R.S. – Authority of municipalities to establish a separate governmental entity, specifically a power authority. • 29-1-204.2, C.R.S. – Authority of municipalities, special districts, or other political subdivisions to establish a separate governmental entity, specifically a water authority. • 32-1-101 et seq., C.R.S. – Special District Act Management Provisions • The governing body is a eight (8) member Board of Directors. • Two (2) members selected by each participating municipality: - Mayor (or the mayor's designee) - Governing body of each Municipality appoints the other • The governing body is a five (5) member Board of Directors. - Four (4) appointed from the largest water providers (measured in SFEs served) by the governing body of the water provider - One (1) from the remaining water providers • The governing body is a five (5) member Board of Directors elected at-large. • Terms of Office – four (4) years as set by statute • Removal and Vacancies – by statute F - 7 2043 44% 33% 26% 2044 42% 32% 24% 2045 41% 31% 23% General Assumptions RWCC Regional Collaboration Model v1.7_AAR_Final 8/29/2014 E - 19 Total Personnel $ - $ - Other Education & Training $ - $ - Other Prof & Tech Services $ - $ - Vehicle Repair $ - $ - Hardware Mtn & Support $ - $ - Software Mtn & Support $ - $ - Fleet Service Equip Charges $ - $ - C - 12 Employees Group Life Ins $ 468 Long-term Disability Other Personnel Costs Total Personnel $ 358,704 Board, Legal Audit Directors Expenses $ 22,000 Legal Services $ 15,000 Audit Services $ 10,000 Engineering Services $ 16,000 Total Board, Legal Audit $ 63,000 C - 11 Lab Equipment $ 7,000 $ - Plant Equipment $ - $ 70,000 Facilities Repair $ - $ 56,000 Fleet Service Equip Charges $ - $ - Leased Equip $ - $ - Mileage $ - $ - Conference & Travel $ - $ - Other Employee Travel $ - $ - Copy & Reprod Serv $ - $ - Postage & Freight $ - $ - Dues & Subscription Services $ - $ - Advertising Serv $ - $ - C - 10 Total Personnel $ 318,719 Other Education & Training $ - Other Prof & Tech Services $ 515 Vehicle Repair $ 2,678 Hardware Mtn & Support $ 3,300 Software Mtn & Support $ 8,000 Fleet Service Equip Charges $ - C - 8 Employees Group Life Ins $ 262 Long-term Disability $ 687 Other Personnel Costs $ 2,854 Total Personnel $ 190,833 Board, Legal Audit Directors Expenses $ - Legal Services $ - Audit Services $ - Engineering Services $ - Total Board, Legal Audit $ - C - 7 Lab Equipment $ - $ - Plant Equipment $ - $ - Facilities Repair $ - $ - Fleet Service Equip Charges $ - $ - Leased Equip $ - $ 10,000 Mileage $ 500 $ - Conference & Travel $ 20,000 $ - Other Employee Travel $ 100 $ - Copy & Reprod Serv $ 200 $ - Postage & Freight $ 100 $ - Dues & Subscription Services $ 30,000 $ - Advertising Serv $ - $ - C - 6 $ 807,001 $ 839,281 $ 872,852 $ 1,059,061 $ 1,101,423 $ 1,145,480 $ 1,191,299 $ 1,238,951 $ 1,288,509 $ 1,340,050 $ 1,625,927 $ 1,690,964 $ 1,758,602 $ 1,828,947 $ 1,170,429 $ 1,217,246 $ 1,265,936 $ 1,536,002 $ 1,597,442 $ 1,661,340 $ 1,727,794 $ 1,796,905 $ 1,868,782 $ 1,943,533 $ 2,358,153 $ 2,452,479 $ 2,550,579 $ 2,652,602 $ 8,438,256 $ 8,775,786 $ 9,126,818 $ 11,073,872 $ 11,516,827 $ 11,977,500 $ 12,456,600 $ 12,954,864 $ 13,473,059 $ 14,011,981 $ 17,001,204 $ 17,681,252 $ 18,388,502 $ 19,124,042 $ 8,010,840 $ 8,331,274 $ 8,664,524 $ 9,011,105 $ 9,371,550 $ 10,409,433 $ 10,825,810 $ 11,258,843 $ 11,709,196 $ 12,177,564 $ 12,664,667 $ 14,010,187 $ 14,570,594 $ 15,153,418 $ 4,673,090 $ 4,860,013 $ 5,054,414 $ 5,256,591 $ 5,466,854 $ 6,072,299 $ 6,315,191 $ 6,567,799 $ 6,830,510 $ 7,103,731 $ 7,387,880 $ 8,172,784 $ 8,499,695 $ 8,839,683 $ 1,242,784 $ 1,292,496 $ 1,344,196 $ 1,397,963 $ 1,453,882 $ 1,614,897 $ 1,679,493 $ 1,746,672 $ 1,816,539 $ 1,889,201 $ 1,964,769 $ 2,173,510 $ 2,260,450 $ 2,350,868 $ 1,720,480 $ 1,789,299 $ 1,860,871 $ 1,935,306 $ 2,012,718 $ 2,235,623 $ 2,325,048 $ 2,418,050 $ 2,514,772 $ 2,615,363 $ 2,719,978 $ 3,008,953 $ 3,129,312 $ 3,254,484 $ 264,196 $ 274,764 $ 285,755 $ 297,185 $ 309,072 $ 343,301 $ 357,033 $ 371,315 $ 386,167 $ 401,614 $ 417,679 $ 462,054 $ 480,536 $ 499,757 $ 4,409,806 $ 4,586,198 $ 4,769,646 $ 4,960,432 $ 5,158,849 $ 5,730,183 $ 5,959,390 $ 6,197,766 $ 6,445,677 $ 6,703,504 $ 6,971,644 $ 7,712,326 $ 8,020,819 $ 8,341,651 $ 4,756,311 $ 4,946,564 $ 5,144,426 $ 5,350,203 $ 5,564,211 $ 6,180,438 $ 6,427,656 $ 6,684,762 $ 6,952,152 $ 7,230,238 $ 7,519,448 $ 8,318,330 $ 8,651,063 $ 8,997,105 $ 25,077,507 $ 26,080,608 $ 27,123,832 $ 28,208,785 $ 29,337,137 $ 32,586,175 $ 33,889,621 $ 35,245,206 $ 36,655,015 $ 38,121,215 $ 39,646,064 $ 43,858,142 $ 45,612,468 $ 47,436,967 30.0% 30.0% 30.0% 30.0% 30.0% 30.0% 30.0% 30.0% 30.0% 30.0% 30.0% 30.0% 30.0% 30.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% $ 5,907,387 $ 6,143,682 $ 6,389,429 $ 6,645,007 $ 6,910,807 $ 7,676,167 $ 7,983,214 $ 8,302,542 $ 8,634,644 $ 8,980,030 $ 9,339,231 $ 10,331,450 $ 10,744,708 $ 11,174,496 $ 3,446,049 $ 3,583,891 $ 3,727,247 $ 3,876,337 $ 4,031,390 $ 4,477,860 $ 4,656,974 $ 4,843,253 $ 5,036,983 $ 5,238,463 $ 5,448,001 $ 6,026,808 $ 6,267,880 $ 6,518,595 $ 916,459 $ 953,118 $ 991,242 $ 1,030,892 $ 1,072,128 $ 1,190,864 $ 1,238,498 $ 1,288,038 $ 1,339,560 $ 1,393,142 $ 1,448,868 $ 1,602,799 $ 1,666,911 $ 1,733,587 $ 1,268,723 $ 1,319,472 $ 1,372,251 $ 1,427,141 $ 1,484,227 $ 1,648,603 $ 1,714,547 $ 1,783,128 $ 1,854,454 $ 1,928,632 $ 2,005,777 $ 2,218,875 $ 2,307,630 $ 2,399,935 $ 194,825 $ 202,618 $ 210,722 $ 219,151 $ 227,917 $ 253,159 $ 263,285 $ 273,816 $ 284,769 $ 296,160 $ 308,006 $ 340,729 $ 354,359 $ 368,533 $ 3,251,897 $ 3,381,973 $ 3,517,252 $ 3,657,942 $ 3,804,260 $ 4,225,575 $ 4,394,598 $ 4,570,382 $ 4,753,197 $ 4,943,325 $ 5,141,058 $ 5,687,255 $ 5,914,745 $ 6,151,335 $ 3,507,419 $ 3,647,715 $ 3,793,624 $ 3,945,369 $ 4,103,184 $ 4,557,604 $ 4,739,908 $ 4,929,505 $ 5,126,685 $ 5,331,752 $ 5,545,022 $ 6,134,137 $ 6,379,502 $ 6,634,682 $ 18,492,759 $ 19,232,469 $ 20,001,768 $ 20,801,839 $ 21,633,912 $ 24,029,831 $ 24,991,025 $ 25,990,666 $ 27,030,292 $ 28,111,504 $ 29,235,964 $ 32,342,052 $ 33,635,734 $ 34,981,164 C - 4 $ 1,295,757 $ 1,347,587 $ 1,401,491 $ 1,457,550 $ 1,515,852 $ 1,576,486 $ 1,639,546 $ 1,705,128 $ 1,773,333 $ 1,844,266 $ 1,918,037 $ 1,994,758 $ 2,074,548 $ 2,157,530 $ 2,243,832 $ 2,333,585 $ 2,426,928 $ 448,864 $ 466,819 $ 485,491 $ 504,911 $ 525,107 $ 546,112 $ 567,956 $ 590,674 $ 614,301 $ 638,873 $ 664,428 $ 691,006 $ 718,646 $ 747,392 $ 777,287 $ 808,379 $ 840,714 $ 311,753 $ 324,223 $ 337,192 $ 350,680 $ 364,707 $ 379,295 $ 394,467 $ 410,245 $ 426,655 $ 443,721 $ 461,470 $ 479,929 $ 499,126 $ 519,091 $ 539,855 $ 561,449 $ 583,907 $ 56,271 $ 58,522 $ 60,863 $ 63,298 $ 65,829 $ 68,463 $ 71,201 $ 74,049 $ 77,011 $ 80,092 $ 83,295 $ 86,627 $ 90,092 $ 93,696 $ 97,444 $ 101,341 $ 105,395 $ 1,677,761 $ 1,744,871 $ 1,814,666 $ 1,887,253 $ 1,962,743 $ 2,041,252 $ 2,122,902 $ 2,207,819 $ 2,296,131 $ 2,387,977 $ 2,483,496 $ 2,582,835 $ 2,686,149 $ 2,793,595 $ 2,905,339 $ 3,021,552 $ 3,142,414 $ 1,677,575 $ 1,744,678 $ 1,814,465 $ 1,887,043 $ 1,962,525 $ 2,041,026 $ 2,122,667 $ 2,207,574 $ 2,295,877 $ 2,387,712 $ 2,483,220 $ 2,582,549 $ 2,685,851 $ 2,793,285 $ 2,905,016 $ 3,021,217 $ 3,142,066 $ 7,847,314 $ 8,161,207 $ 8,487,655 $ 8,827,161 $ 9,180,248 $ 9,547,457 $ 9,929,356 $ 10,326,530 $ 10,739,591 $ 11,169,175 $ 11,615,942 $ 12,080,580 $ 12,563,803 $ 13,066,355 $ 13,589,009 $ 14,132,569 $ 14,697,872 $ 1,313,569 $ 1,366,112 $ 1,420,756 $ 1,477,586 $ 1,536,690 $ 1,598,157 $ 1,662,084 $ 1,728,567 $ 1,797,710 $ 2,181,221 $ 2,268,470 $ 2,359,209 $ 2,453,577 $ 2,551,720 $ 2,653,789 $ 2,759,941 $ 2,870,338 $ 858,483 $ 892,822 $ 928,535 $ 965,676 $ 1,004,303 $ 1,044,475 $ 1,086,254 $ 1,129,704 $ 1,174,893 $ 1,425,536 $ 1,482,558 $ 1,541,860 $ 1,603,535 $ 1,667,676 $ 1,734,383 $ 1,803,758 $ 1,875,909 $ 124,045 $ 129,007 $ 134,167 $ 139,534 $ 145,115 $ 150,920 $ 156,956 $ 163,235 $ 169,764 $ 205,980 $ 214,220 $ 222,788 $ 231,700 $ 240,968 $ 250,607 $ 260,631 $ 271,056 $ 481,368 $ 500,623 $ 520,648 $ 541,474 $ 563,133 $ 585,658 $ 609,084 $ 633,448 $ 658,786 $ 799,326 $ 831,300 $ 864,552 $ 899,134 $ 935,099 $ 972,503 $ 1,011,403 $ 1,051,859 $ 65,520 $ 68,141 $ 70,866 $ 73,701 $ 76,649 $ 79,715 $ 82,904 $ 86,220 $ 89,669 $ 108,798 $ 113,150 $ 117,676 $ 122,383 $ 127,278 $ 132,369 $ 137,664 $ 143,171 $ 355,108 $ 369,312 $ 384,085 $ 399,448 $ 415,426 $ 432,043 $ 449,325 $ 467,298 $ 485,990 $ 589,668 $ 613,254 $ 637,785 $ 663,296 $ 689,828 $ 717,421 $ 746,118 $ 775,962 $ 515,029 $ 535,630 $ 557,055 $ 579,337 $ 602,511 $ 626,611 $ 651,676 $ 677,743 $ 704,852 $ 855,221 $ 889,430 $ 925,007 $ 962,007 $ 1,000,488 $ 1,040,507 $ 1,082,127 $ 1,125,412 $ 3,713,121 $ 3,861,646 $ 4,016,112 $ 4,176,757 $ 4,343,827 $ 4,517,580 $ 4,698,283 $ 4,886,214 $ 5,081,663 $ 6,165,751 $ 6,412,381 $ 6,668,876 $ 6,935,631 $ 7,213,057 $ 7,501,579 $ 7,801,642 $ 8,113,708 $ 3,692,903 $ 3,840,619 $ 3,994,244 $ 4,154,013 $ 4,320,174 $ 4,492,981 $ 4,672,700 $ 4,859,608 $ 5,053,993 $ 5,256,152 $ 5,466,398 $ 5,685,054 $ 5,912,456 $ 6,148,955 $ 6,394,913 $ 7,406,472 $ 7,702,731 $ 2,154,239 $ 2,240,409 $ 2,330,025 $ 2,423,226 $ 2,520,155 $ 2,620,962 $ 2,725,800 $ 2,834,832 $ 2,948,225 $ 3,066,154 $ 3,188,801 $ 3,316,353 $ 3,449,007 $ 3,586,967 $ 3,730,446 $ 4,320,534 $ 4,493,356 $ 572,909 $ 595,825 $ 619,658 $ 644,445 $ 670,222 $ 697,031 $ 724,913 $ 753,909 $ 784,065 $ 815,428 $ 848,045 $ 881,967 $ 917,246 $ 953,936 $ 992,093 $ 1,149,024 $ 1,194,985 $ 793,121 $ 824,846 $ 857,840 $ 892,153 $ 927,839 $ 964,953 $ 1,003,551 $ 1,043,693 $ 1,085,441 $ 1,128,858 $ 1,174,013 $ 1,220,973 $ 1,269,812 $ 1,320,605 $ 1,373,429 $ 1,590,680 $ 1,654,308 $ 121,791 $ 126,663 $ 131,729 $ 136,999 $ 142,479 $ 148,178 $ 154,105 $ 160,269 $ 166,680 $ 173,347 $ 180,281 $ 187,492 $ 194,992 $ 202,792 $ 210,903 $ 244,264 $ 254,035 $ 2,032,869 $ 2,114,183 $ 2,198,751 $ 2,286,701 $ 2,378,169 $ 2,473,295 $ 2,572,227 $ 2,675,116 $ 2,782,121 $ 2,893,406 $ 3,009,142 $ 3,129,508 $ 3,254,688 $ 3,384,876 $ 3,520,271 $ 4,077,114 $ 4,240,198 $ 2,192,603 $ 2,280,308 $ 2,371,520 $ 2,466,381 $ 2,565,036 $ 2,667,637 $ 2,774,343 $ 2,885,316 $ 3,000,729 $ 3,120,758 $ 3,245,589 $ 3,375,412 $ 3,510,429 $ 3,650,846 $ 3,796,880 $ 4,397,477 $ 4,573,376 $ 11,560,435 $ 12,022,853 $ 12,503,767 $ 13,003,918 $ 13,524,074 $ 14,065,037 $ 14,627,639 $ 15,212,744 $ 15,821,254 $ 16,454,104 $ 17,112,269 $ 17,796,759 $ 18,508,630 $ 19,248,975 $ 20,018,934 $ 23,185,565 $ 24,112,988 3.0% 6.0% 9.0% 12.0% 15.0% 18.0% 21.0% 24.0% 27.0% 30.0% 30.0% 30.0% 30.0% 30.0% 30.0% 30.0% 30.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% $ 3,582,116 $ 3,613,638 $ 3,645,438 $ 3,677,518 $ 3,709,880 $ 3,742,527 $ 3,775,462 $ 3,808,686 $ 3,842,202 $ 3,876,013 $ 4,031,054 $ 4,192,296 $ 4,359,988 $ 4,534,388 $ 4,715,763 $ 5,461,711 $ 5,680,179 $ 2,089,612 $ 2,108,001 $ 2,126,551 $ 2,145,265 $ 2,164,143 $ 2,183,188 $ 2,202,400 $ 2,221,781 $ 2,241,332 $ 2,261,056 $ 2,351,498 $ 2,445,558 $ 2,543,381 $ 2,645,116 $ 2,750,921 $ 3,186,066 $ 3,313,509 $ 555,722 $ 560,612 $ 565,545 $ 570,522 $ 575,543 $ 580,608 $ 585,717 $ 590,871 $ 596,071 $ 601,316 $ 625,369 $ 650,384 $ 676,399 $ 703,455 $ 731,593 $ 847,318 $ 881,211 $ 769,327 $ 776,097 $ 782,927 $ 789,817 $ 796,767 $ 803,779 $ 810,852 $ 817,988 $ 825,186 $ 832,447 $ 865,745 $ 900,375 $ 936,390 $ 973,846 $ 1,012,800 $ 1,173,006 $ 1,219,926 $ 118,138 $ 119,177 $ 120,226 $ 121,284 $ 122,351 $ 123,428 $ 124,514 $ 125,610 $ 126,715 $ 127,830 $ 132,943 $ 138,261 $ 143,792 $ 149,543 $ 155,525 $ 180,126 $ 187,331 $ 1,971,883 $ 1,989,235 $ 2,006,740 $ 2,024,400 $ 2,042,214 $ 2,060,186 $ 2,078,316 $ 2,096,605 $ 2,115,055 $ 2,133,667 $ 2,219,014 $ 2,307,775 $ 2,400,086 $ 2,496,089 $ 2,595,933 $ 3,006,562 $ 3,126,824 $ 2,126,825 $ 2,145,541 $ 2,164,422 $ 2,183,469 $ 2,202,684 $ 2,222,067 $ 2,241,621 $ 2,261,348 $ 2,281,247 $ 2,301,322 $ 2,393,375 $ 2,489,110 $ 2,588,675 $ 2,692,222 $ 2,799,911 $ 3,242,806 $ 3,372,518 $ 11,213,622 $ 11,312,302 $ 11,411,851 $ 11,512,275 $ 11,613,583 $ 11,715,782 $ 11,818,881 $ 11,922,887 $ 12,027,809 $ 12,133,654 $ 12,619,000 $ 13,123,760 $ 13,648,710 $ 14,194,658 $ 14,762,445 $ 17,097,595 $ 17,781,499 C - 3 1,711,233 $ 1,788,714 $ 1,833,987 $ 1,855,754 $ 1,878,776 $ 1,903,048 $ 1,928,566 $ 1,955,328 $ 1,984,902 $ 2,015,700 $ 2,047,732 $ 2,081,177 $ 2,189,909 $ 2,308,973 $ 2,434,763 $ 2,567,663 $ 2,708,077 $ 3,181,031 $ 3,359,227 $ 11,213,622 $ 11,312,302 $ 11,411,851 $ 11,512,275 $ 11,613,583 $ 11,715,782 $ 11,818,881 $ 11,922,887 $ 12,027,809 $ 12,133,654 $ 12,619,000 $ 13,123,760 $ 13,648,710 $ 14,194,658 $ 14,762,445 $ 17,097,595 $ 17,781,499 C - 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 0 0 0 0 0 0 0 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 2,000,000 2,000,000 2,000,000 2,000,000 2,000,000 2,000,000 2,000,000 0 0 0 0 82,479,793 0 0 0 0 0 0 (82,479,793) 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 2,000,000 2,000,000 2,000,000 2,000,000 2,000,000 2,000,000 2,000,000 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 B - 8 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 0 0 0 0 0 0 0 0 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 2,000,000 2,000,000 2,000,000 2,000,000 2,000,000 2,000,000 2,000,000 2,000,000 0 0 0 0 0 0 69,075,528 0 0 0 0 0 0 0 (69,075,528) 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 2,000,000 2,000,000 2,000,000 2,000,000 2,000,000 2,000,000 2,000,000 2,000,000 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 B - 7 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 46,000,000 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1,500,000 1,500,000 1,500,000 47,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 47,500,000 1,500,000 1,500,000 1,500,000 1,500,000 0 0 0 0 0 0 0 0 1,500,000 1,500,000 1,500,000 47,500,000 1,500,000 1,500,000 1,500,000 1,500,000 2,000,000 2,000,000 2,000,000 79,724,138 2,000,000 2,000,000 2,000,000 2,000,000 0 0 0 0 0 0 31,159,348 0 0 0 0 0 0 0 (31,159,348) 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 2,000,000 2,000,000 2,000,000 79,724,138 2,000,000 2,000,000 2,000,000 2,000,000 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 B - 6 Net Additional Capacity (before inflation) NWCWD Expansion Gross SCFP Expansion (inflation adjusted) PIF Revenue Adjustment Net Additional Capacity (after inflation) Net Additional Capacity (before inflation) NWCWD Expansion Purchases Gross Additional Capacity (inflation adjusted) PIF Revenue Adjustment Net Additional Capacity (after inflation) Net Additional Capacity (before inflation) 2038 2039 2040 2041 2042 2043 2044 2045 0 0 0 0 0 0 0 0 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 0 0 0 0 0 0 0 0 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 0 0 0 0 0 0 0 0 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 0 0 0 0 8,007,747 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 72,069,722 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 8,007,747 0 0 0 0 0 0 0 (8,007,747) 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 72,069,722 0 0 0 0 0 0 0 (48,118,993) 0 0 0 0 0 0 0 23,950,729 0 0 0 0 0 0 0 10,468,307 0 0 0 B - 4 Net Additional Capacity (before inflation) NWCWD Expansion Gross SCFP Expansion (inflation adjusted) PIF Revenue Adjustment Net Additional Capacity (after inflation) Net Additional Capacity (before inflation) NWCWD Expansion Purchases Gross Additional Capacity (inflation adjusted) PIF Revenue Adjustment Net Additional Capacity (after inflation) Net Additional Capacity (before inflation) 2030 2031 2032 2033 2034 2035 2036 2037 0 0 0 0 0 0 0 0 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 0 0 0 0 0 0 0 0 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 0 0 0 0 0 0 0 0 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 0 0 0 0 0 6,511,031 0 0 0 0 0 0 0 19,533,093 0 0 0 0 0 0 0 39,066,186 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 6,511,031 0 0 0 0 0 0 0 (6,511,031) 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 19,533,093 0 0 0 0 0 0 0 (19,533,093) 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 39,066,186 0 0 0 0 0 0 0 (39,066,186) 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 B - 3 Net Additional Capacity (before inflation) NWCWD Expansion Gross SCFP Expansion (inflation adjusted) PIF Revenue Adjustment Net Additional Capacity (after inflation) Net Additional Capacity (before inflation) NWCWD Expansion Purchases Gross Additional Capacity (inflation adjusted) PIF Revenue Adjustment Net Additional Capacity (after inflation) Net Additional Capacity (before inflation) 2022 2023 2024 2025 2026 2027 2028 2029 0 0 0 0 0 0 0 0 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 0 0 0 0 31,724,138 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 500,000 500,000 500,000 500,000 32,224,138 500,000 500,000 500,000 500,000 500,000 500,000 500,000 32,224,138 500,000 500,000 500,000 0 0 0 0 0 0 0 0 500,000 500,000 500,000 500,000 32,224,138 500,000 500,000 500,000 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 46,000,000 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1,500,000 1,500,000 1,500,000 1,500,000 47,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 47,500,000 1,500,000 1,500,000 1,500,000 0 0 0 0 0 0 0 0 1,500,000 1,500,000 1,500,000 1,500,000 47,500,000 1,500,000 1,500,000 1,500,000 0 0 4,703,707 0 0 0 0 0 0 0 37,629,659 0 0 0 0 0 0 0 4,703,707 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 4,703,707 0 0 0 0 0 0 0 (2,924,333) 0 0 0 0 0 0 0 1,779,374 0 0 0 0 0 0 0 1,324,021 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 37,629,659 0 0 0 0 0 0 0 (23,907,702) 0 0 0 0 0 0 0 13,721,956 0 0 0 0 0 0 0 10,210,424 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 4,703,707 0 0 0 0 0 0 0 (4,703,707) 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 B - 2 Net Additional Capacity (before inflation) 0 8,743,155 0 0 0 0 0 NWCWD Expansion Gross SCFP Expansion (inflation adjusted) 0 0 0 0 0 8,309,257 0 PIF Revenue Adjustment 0 0 0 0 0 (2,573,066) 0 Net Additional Capacity (after inflation) 0 0 0 0 0 5,736,191 0 Net Additional Capacity (before inflation) 0 0 0 0 0 4,803,970 0 NWCWD Expansion Purchases Gross Additional Capacity (inflation adjusted) 0 0 0 13,112,178 0 0 0 PIF Revenue Adjustment 0 0 0 (3,331,749) 0 0 0 Net Additional Capacity (after inflation) 0 0 0 9,780,429 0 0 0 Net Additional Capacity (before inflation) 0 0 0 8,689,784 0 0 0 B - 1