Southwest - La Plata West Rural Domestic Water Supply_Water Activity Summary

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The LPWWA was formed in November 2007 and is an independent political subdivision of the state of Colorado formed by two local government entities, the Animas La Plata Water Conservancy District and the La Plata Water Conservancy District. These entities approved an establishment agreement forming the LPWWA and appointed the Board members (Appendix B in the application). The LPWWA oversees project administration, collaboration with other entities, development and evaluation of design options for a water supply structure and permitting compliance. The LPWWA will also continue with the efforts already underway by previous organizations working on the project to secure funding for the intake structure. Before creation of the LPWWA, more than $50,000 was spent on developing the project, from evaluating need and feasibility to comparing design options. A copy of the LPWWA budget is included in Appendix B in the application; the LPWWA has no ability to levy taxes and is reliant on grant funding and financial commitments of other parties invested in the project. The LPWWA is designing a practical and economically viable rural water supply system that will integrate the interests of several entities in the region and provide reliable domestic supply utilizing allocated ALP water. Funding from this grant will be used for engineering, permitting, funding, planning and construction costs for an intake structure in Lake Nighthorse. This structure will eventually serve the water supply system. The La Plata West Rural Domestic Water Supply System will serve southwest La Plata County, Colorado, and potentially northern San Juan County, New Mexico and the Ute Indian Tribes. Residential development in this area is limited by the lack of a reliable water supply, the poor quality of groundwater, and the lack of water delivery systems. Currently, many area residents rely on water hauling from a non-certified source. Some residents use groundwater wells, many of which are unreliable. Currently, there is not an effective system of providing safe reliable drinking water to this portion of La Plata County. The growth and development of the southwestern portion of La Plata County is limited by the lack of water service. As detailed in the La Plata County Comprehensive Plan Land Use section, the project area includes proposed ‘growth hubs’ that have the potential to serve as centers for residential and commercial development. In order to facilitate this planned growth and accommodate the increasing population, a water supply system must be developed. The need for a rural domestic water supply system in southwest La Plata County has long been recognized. A task force was formed in 2000 to conduct research on the feasibility of building a water supply system. In 2004, the La Plata West Water Company was formed. Several studies have been commissioned by interested parties, government agencies and the Company. Approximately $50,000 has been spent to date by the Company on preliminary studies, engineering and consultant fees. The research, studies, and collaboration with several government and non-government parties in the area has been a significant contribution to the project. The proposed water supply will be derived from the Animas La Plata reservoir. The Colorado Ute Settlement Act Amendments of 2000 authorized the ALP Project to deliver municipal and industrial water allocations with average annual depletions of 57,100 acre-feet per year. The Animas La Plata Water Conservancy District (ALPWCD) has rights to purchase 2,600 acre feet of these depletions. The LPWWA has agreed in principle to purchase 700 acre feet of the ALPWCD depletions to supply the rural domestic water system in southwestern La Plata County. The City of Durango also has agreed in principle to purchase 1,900 acre feet of ALPWCD depletions. Other potentially invested parties also have rights to ALP water and could use the intake structure to access their allocated water. 2