To: Honorable Mayor and Members of Town Council
Through: David L. Corliss, Town Manager
From: Mark Marlowe, P.E., Director of Castle Rock Water
Matt Benak, P.E., Water Resources Manager
Lauren Moore, Water Resources Program Analyst
Title
Resolution Approving the First Amendment to the 2022 Town of Castle Rock/Central Colorado Water Conservancy District Spot Water Lease Agreement [Chatfield Reservoir, Douglas County]
Body
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Executive Summary
Castle Rock Water is seeking Town Council approval of a resolution (Attachment A) to amend a spot water lease with Central Colorado Water Conservancy District (Central). In anticipation of continued drought conditions this spring, Central wishes to lease some of the Town’s surplus water stored in Chatfield Reservoir to increase their storage supplies within Chatfield and have additional water upon which to make projections for their well pumping augmentation plans. In the original lease, Central requested 500 AF, which was delivered in early January, but have since requested an additional 500 AF to be delivered this winter/spring, bringing the total lease amount to 1,000 AF. While the Town currently owns 719 acre-feet (AF) of storage in Chatfield, the Colorado Water Conservation Board (CWCB) allows for rental of the remaining permitted amount, for a total of 2,000 AF of storage. The Town currently has approximately 475 AF of water stored in the reservoir with additional reusable supplies expected to increase substantially over the winter months. Additionally, in anticipation of the potential for large runoff events this spring, staff would like to leave storage space in Chatfield to allow for the Town to capture as much as possible if free river conditions or our junior water rights apply.
If Council approves the amendment to this lease, up to 500 AF of additional water may be released from the Town’s Chatfield Reservoir storage account as a book-over into Central’s Chatfield Reservoir storage account during 2023. This release may occur between February 21, 2023 and December 31, 2023. The Town will assess a $90 per AF price for the water, with payment required within 30 days from requested releases. The potential revenue for this lease is up to $45,000. The agreement will terminate at the end of 2023.
Proposed Motion
“I move to approve the Resolution as introduced by title.”
Alternative Motions
“I move to approve the resolution as introduced by title, with the following conditions: (list conditions).
“I move to continue this item to the Town Council meeting on _____ date to allow additional time to (list information needed).”
Attachments
Staff Report
Attachment A: Resolution
Exhibit 1: Agreement