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 Project Manager
Title
Resolution Approving a Spot Water Lease Agreement between the Town of Castle Rock and Central Colorado Water Conservancy District [Chatfield Reservoir, Douglas County]
Body
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Executive Summary
Castle Rock Water is seeking Town Council approval of a resolution (Attachment A) for a Spot Water Lease Agreement with Central Colorado Water Conservancy District (Central). 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. While the Town currently owns 848 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 upwards of 1,464 AF of water stored in Chatfield with additional reusable supplies coming in each day.
If Council approves this lease, up to 800 AF of water may be released from the Town’s Chatfield Reservoir storage account as a book-over into Central’s Chatfield Reservoir storage account during 2024. This release may occur between October 1, 2024 and December 31, 2024. The Town will assess a $110 per AF price for the water, with payment required within 30 days from requested releases. The potential revenue for this lease is up to $88,000. The agreement will terminate at the end of 2024.
Budget Impact
If Council approves the agreement, Castle Rock Water would potentially receive up to $88,000 of additional revenue in 2024. The revenue will be deposited into the Water Resources Fund Capital Leases account 211-4375-393.70-00.
Staff Recommendation
Staff recommends approval of the resolution as presented.
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