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Feasibility study East Cherry Creek Valley Pipeline Capacity Acquisition South Metro Water Supply Authority Introduction and Need for Project The South Metro Water Supply Authority (SMWSA) is composed of 13 independent water providers that serve communities located to the south of Denver, Colorado. Most of the providers have experience significant growth over the last decade and have been activity seeking a sustainable/renewable water supply. The members of SMWSA have worked diligently to both identify new supplies and to look for opportunities to share resources and infrastructure. Currently, the members rely heavily on the bedrock groundwater aquifer to supply the areas municipal and industrial (M&I) needs. The groundwater in the area does not have sufficient natural recharge to match withdrawal rates and has therefore been commonly referred to as non- renewable resource. While the groundwater has provided sufficient, cost-effective means to meet current demands, continued use of groundwater to meet anticipated future needs without additional renewable water supply sources will/has resulted in diminished well yields and raises sustainability issues. The proposed project will allow four members of SMWSA (Arapahoe County Water and Wastewater Authority (ACWWA), Meridian Metropolitan District, Pinery Water and Waste Water District, and Stonegate Village Metropolitan District) to acquire capacity in the East Cherry Creek Valley (ECCV) Northern Supply Pipeline (Note: ECCV also has a western supply line which is not currently part of this project but may become part of an overall supply plan). The remaining members of the SMWSA will be obtaining their own financing or do not need capacity in the water supply lines at this time Funds from the loan will allow the 4 SMWSA participants to purchase capacity in the ECCV Northern Pipeline which will aid the participants in accessing and conveying renewable water supplies, recapturing consumable return flows, and increase operational flexibility. The acquisition of pipeline capacity will allow the participants to take an important step in fulfillment of the SMWSA, Regional Water Master Plan, June 2007. The ECCV Northern and Western Pipelines were constructed in 2006. The Northern line is a 48 inch steel pipe [47 Million Gallons/Day (MGD) capacity], approximately 31 miles in length, and extends from approximately Barr Lake to ECCV's service area (located to the east of Cherry Creek Reservoir). The Western line (also known as the Willows line) varies between 42 and 54 inches of steel pipe, approximately 16.7 miles in length, and runs from approximately C470 and Colorado Boulevard to ECCV's service areas. Project Area Description The SMWSA member service areas and/or the ECCV pipeline include Adams, Denver, Arapahoe, and Douglas Counties. See Figure 1 for more detail. The area is highly urbanized, moderate to high income with mixed residential, commercial and light industrial development. There are over 1.5 million residents in the four counties; however SMWSA members serve only a portion of these counties population. Prominent surface water features include Chatfield 4