From Steven Kasower, Strategic Economic Applications Company:
“Federal and State water contractors are being asked by the Brown administration to pay an additional $500 million for the Bay Delta Conservation Plan to continue work on the environmental processes, design and permitting.1 For those contractors needing to borrow funds there would be additional costs for the interest payments.
This report was done to identify the significant financial red flags that water contractors’ Boards of Directors should consider as they decide whether to provide BDCP with more of their ratepayers’ funds.2 These same red flags will be of concern to bond underwriters. In addition legislators and State and Federal and taxpayers are interested in knowing the costs that would be passed on to them. … “
Read the full report here: BDCP Eleven Red Flags (2)
