UNIVERSITY OF DENVER WATER LAW REVIEW ANNUAL SYMPOSIUM 2013: ADDRESSING SUPPLY & DEMAND IMBALANCES IN THE COLORADO RIVER BASIN

Denver, Colorado       April 12, 2013

Age of Limits in Colorado, and How do We Recognize Them in Developing a State Water Plan?

John Stulp, Special Policy Advisor to the Governor on Water and Chairman of the IBCC at State of Colorado, moderated a panel on the limits of Colorado’s water supply and how future water supply projects and legislation manage those limits.  Panelists shared Western Slope and Front Range perspectives on Colorado’s water supply and the need to balance the development of new supply with flows for environmental and recreational purposes.  Furthermore, the panel examined the future viability of agricultural water transfers in meeting growing municipal supply.  The panel consisted of Eric Kuhn of the Colorado River Water Conservation District; Marc Waage of Denver Water; David Taussig of White & Jankowski, LLP; and Peter Nichols of Berg, Hill, Greenleaf & Ruscitti, LLP.

Eric Kuhn of the Colorado River Water Conservation District presented Augmenting Supply in Colorado: How Much Water Is Left to Develop in Colorado.  Kuhn discussed uncertainty in new water projects regarding the future supply and demand of water in Colorado.  Mr. Kuhn identified three source of uncertainty: (i) future hydrology, (ii) future demands, and (iii) existing compacts, such as the Colorado River Compact of 1922 and Upper Colorado River Basin Compact of 1948, imposing uncertain legal constraints.  Mr. Kuhn identified three politically and practically difficult to implement strategies to reduce risks and uncertainties for future water projects: (i) limit new consumptive use to times when the system storage is full, (ii) use water banks, and (iii) implement improvements to current and future storage.

Marc Waage of Denver Water presented a response to Kuhn’s presentation.  Waage started with the principle there is no unused water that the people of Colorado can use without consequences.  Next, Waage outlined existing conservation measures Denver Water currently employs to obtain unused water resources.  Waage noted Denver is reaching the limits of unused water resources that behavioral conservation can obtain.  Finally, Waage completed his presentation with the premise that small projects are very important for the future viability of the water system.  Waage listed four key aspects to promote these small projects: (i) giving water utilities support for conservation measures, (ii) flexibility in water laws to allow for sharing of water resources, (iii) streamlining water project approvals, and (iv) enabling future development of Colorado water.

David Taussig of White & Jankowski, LLP presented Challenges and Opportunities in Protecting Non-Consumptive Uses in an Ecologically Limited River System Like the Colorado River and Its Tributaries in Grand County.  Taussig listed numerous challenges involved in protecting the water resource of Grand County.  He listed the major challenges as improving the water clarity of Grand Lake, reducing sedimentation in Grand Lake and the Colorado River, and ensuring water flows are adequate to keep water temperatures below standard levels.  Taussig listed the following opportunities to protect the water resources of Grand County: increase limits on future diversions from the Colorado and Fraser Rivers; require Grand County’s and the Colorado River District’s approval for all future projects, adhere to the 2008 Colorado Water Quality Control Commission’s narrative standard on water quality; and require flushing flows of up to 1200 cfs below Windy Gap.  Taussig was confident that implementing the opportunities he listed would help alleviate the challenges he listed and would protect the Colorado River and its tributaries in Grand County.

Peter Nichols of Berg, Hill, Greenleaf & Ruscitti, LLP presented The Future of Transfer From Agricultural to Municipal Use: Changing Colorado Legislation to Allow for More Flexible Water Leases.  Nichols outlined six pieces of existing and future Colorado Legislation allowing for temporary transfers of water rights from agricultural uses to municipal uses.  Legislation would limit the majority of transfers to a duration of three to ten years, contingent on the requirement that no injuries would occur to existing rights holders, and subject to the State Engineer’s approval. Nichols completed his presentation by asserting these leases are an essential element of state water policy and we need to find out if they will be effective tools to alleviate water shortages.

Eric Kuhn, Marc Waage, David Taussig, and Peter Nichols presented a variety of issues, challenges, and opportunities that limits of Colorado’s water supply could impose on development of a state water plan.  All panelists were optimistic that implementation of the opportunities could ensure a water supply for Colorado’s future generations.


UNIVERSITY OF DENVER WATER LAW REVIEW ANNUAL SYMPOSIUM 2013: ADDRESSING SUPPLY & DEMAND IMBALANCES IN THE COLORADO RIVER BASIN

Denver, Colorado       April 12, 2013

International Water Law: The United States and Mexico

The second panel discussion of the Symposium focused on the international legal regime governing the allocation of Colorado River water between the United States and Mexico.  Specifically, the panelists focused on the 1944 Mexican-American Treaty (“1944 Treaty”) and the recently enacted Minute 319 to the 1944 Treaty.

The first panelist was Edward Drusina, the United States Commissioner of the International Boundary and Water Commission (IBWC).  The IBWC is the intergovernmental agency charged, under the 1944 Treaty, with application of all the boundary and water treaties between the United States and Mexico.  The IBWC also settles differences in the application of those treaties.  Most importantly, the 1944 Treaty charged the IBWC with administering the rights and obligations of the United States and Mexico regarding the waters of the Colorado River and the Rio Grande.

The Commissioner began by giving a brief overview of the 1944 Treaty, the IBWC, its mission and history. He then gave a narrative overview of the joint cooperative process that culminated in the historic Minute 319, beginning with the 2007 joint statement by the Secretary of the Interior and the Mexican Ambassador.  This joint statement asked the IBWC to begin working towards solutions to the growing problems between Mexico and the United States regarding the boundary waters of the Colorado River Basin.

Minute 317 to the 1944 Treaty, signed in 2010, was the first major cooperative agreement following the 2007 joint statement.  Minute 317 set the framework for the subsequent bilateral talks on the Colorado River Basin by formalizing international workgroups and noting topics for further study.

Unfortunately, the 2010 earthquake in the Mexicali Valley destroyed large sections of the water diversion infrastructure in the Valley and the surrounding area.  Without emergency action on both sides, large amounts of Mexico’s Colorado River allotment would have been lost. The parties reached an innovative and unprecedented solution allowing Mexico to store almost 230,000 acre-feet of its total 1.5 million acre-feet allotment in the United States’ reservoir system.  This allowed Mexico to postpone its Colorado River water deliveries until those responsible could repair the damage from the earthquake.

In order to give Mexico sufficient time to complete repairs, the United States and Mexico entered two years of intense negotiations in order to solidify the arrangement set out in Minute 318 and to begin to deal with other issues facing the Colorado River Basin.  However, because of the nature of the water storage arrangement, Commissioner Drusina and his Mexican counterpart opted for only a five-year extension to Minute 318 in order to make sure the arrangement would work in everyone’s best interest.  Minute 319, signed in 2012, codified this extension to the Minute 318 storage arrangement and included several other provisions dealing with shortage sharing, surplus sharing, salinity concerns, water allocations for environmental programs, and a call for a twenty-one-million dollar investment in Mexico over the five-year cycle of Minute 319.

Following Commissioner Drusina was Karen Kwon, the Colorado Assistant Attorney General.  Kwon gave an overview of the states’ roles in the international management of the Colorado River Basin and ways individual states have an impact on the diplomatic process.  Most importantly, the Colorado River Basin States (“Basin States”) have responsibilities under the 1944 Treaty to help keep the United States in compliance with its obligations to Mexico.  Also, the Basin States have played a major role in furthering coordinated management of the basin.  For example, during the negotiations over Minute 319, the Basin State representatives made sure that the lower basin states did not benefit at the expense of the upper basin states, and vice versa.

The final panelist, Peter Culp, first gave a brief description of how Mexican water rights holders utilize Colorado River water.  The vast majority of Mexico’s allotment of Colorado River water goes to agricultural uses, with the rest diverted mainly for use by municipalities.  According to Culp, nearly three-million people rely on this water supply.  Because the Mexicali region lies downstream from every American farm and municipality in the Basin, salinity and other chemical imbalances are a major problem for water users in northern Mexico.  Minute 319 begins to address this problem.

Culp then laid out the environmental implications of Minute 319 for the Colorado River delta ecosystem.  The delta, at the mouth of the river leading to the Sea of Cortez, plays a vital role in maintaining the health of both the river and its attendant fish and bird species.  Since the turn of the last century, however, the delta shrank dramatically to the point where the delta ecosystem had been declared effectively dead by the 1970s.  A large flood in the early 1980s actually reversed some of the degradation, which in turn spurred efforts to restore the delta.  Though some have made the assertion, Culp was quick to point out that the proponents of these efforts are not attempting to restore the delta to its historic maximum.  Instead, these efforts, which Minute 319 funds in part, will restore only a relatively small, perennial riparian ecosystem within the limits of the historic delta.  In addition to funding restoration efforts, Minute 319 storage arrangements between the United States and Mexico will allow Mexico to store and release water in a manner that will best facilitate restoration of the delta.


UNIVERSITY OF DENVER WATER LAW REVIEW ANNUAL SYMPOSIUM 2013: ADDRESSING SUPPLY & DEMAND IMBALANCES IN THE COLORADO RIVER BASIN

Denver, Colorado       April 12, 2013

Basin Study Overview with Reaction Panel and Q&A

Following the first keynote address, the 2013 Water Law Review Symposium welcomed an overview of the comprehensive Colorado River Basin Supply and Demand Study (“Study”).  The Study, jointly funded by the US Bureau of Reclamation and seven Colorado River Basin states, projected supply and demand imbalances throughout the upper and lower Colorado River Basins over the next fifty-years.  The discussion panel, comprised of several of the water law and policy experts who helped prepare the Study, gave a broad spectrum of perspectives on the Study’s findings and implications.

Carly Jerla of the US Bureau of Reclamation, representing the Federal perspective, began by giving a general synopsis of the Study.  It began by assessing changes in water supply and demand within the basin over the next fifty-years.  The Study’s authors then compiled these projections in order to see how the entire basin system is likely to perform under a wide range of projected future conditions.  Projections ranged from a very conservative scenario to a scenario based on a worst-case projection of the effects of climate change.  The final phase of the Study then identified portfolios of strategies for dealing with projected supply and demand imbalances.  While many of the solutions put forward are likely to reduce the long-term supply and demand imbalance in the basin, Jerla stressed that none of the options will completely eliminate the risks associated with increased demand and dwindling supply.

The next speaker, Kay Brothers of the Southern Nevada Water Authority, gave a lower basin perspective on the Study.  From this perspective, the Study highlighted the fact that lower basin municipalities will be unable to cope with projected supply and demand imbalances by relying solely on strategies designed to reduce demand.  Brothers instead stressed the need to develop new sources of supply in the lower basin, as well as the need to start developing new supplies of water as soon as possible, including developing new desalination capabilities and supplies of imported water.

The third speaker, Ted Kowalski from the Colorado Water Conservation Board, represented the Colorado State perspective.  According to Kowalski, because most of the big trans-mountain diversions to the Front Range are post-compact water rights, the Front Range has to begin looking for ways to avoid curtailment of these rights in the case of a Lee Ferry Deficit.  From this perspective, water banking in the upper basin represents a key solution for avoiding curtailment because of a Lee Ferry Deficit.  Dave Kanzer, representing the explicitly Western Slope perspective of the Colorado River Water Conservation District, likewise emphasized water banking as a key tool for avoiding a Lee Ferry Deficit in the next fifty-years.

Marc Waage from Denver Water presented the Front Range perspective.  Placing heavy emphasis on the uncertainty in the science behind the Basin Study, Waage pointed to lower basin shortage problems as the most pressing problem facing the basin as a whole, as well as the need for all of the basin stakeholders to work together to solve common problems.  Waage made it clear, however, that lower basin shortages should not keep the upper basin from developing its own allocation of Colorado River water.

The final speaker on the panel, Taylor Hawes of the Nature Conservancy, gave an environmental perspective on the Study.  Though she generally praised it, Hawes criticized the Study for not considering the current health of the river ecosystem and its associated species.  This failure, she contended, will inevitably lead to further degradation and, importantly, to further endangered species listings within the basin.  This will in turn generate greater conflict among the basin stakeholders while decreasing flexibility to cope with future imbalances.  These criticisms aside, Hawes echoed the general sentiment among the panelists that the Study represents an important first step in confronting the challenges facing the Colorado River Basin over the next fifty-years.

 


UNIVERSITY OF DENVER WATER LAW REVIEW ANNUAL SYMPOSIUM 2013: ADDRESSING SUPPLY & DEMAND IMBALANCES IN THE COLORADO RIVER BASIN

Denver, Colorado       April 12, 2013

Challenges of the Future in the Colorado River Basin

Anne Castle, Assistant Secretary for Water and Science, US Department of the Interior, opened the Annual Water Law Symposium with her keynote address.  Castle focused on future challenges in the severely endangered Colorado River Basin ( “Basin”) and the importance of operational flexibility in managing the Basin.  She emphasized that only strategic collaboration of governments, people, and nations can achieve needed levels of flexibility and preserve the future of the Basin.  In her keynote address, Castle discussed four projects involving the management and conservation of the Basin: (1) Colorado River Supply and Demand Study (“Study”); (2) Minute 319 interpreting the 1944 US-Mexico Treaty for the Utilization of Waters of the Colorado and Tijuana Rivers and of the Rio Grande (“Water Treaty”); (3) Navajo Generating Station; and (4) Glen Canyon Dam.

As a part of a broader Basin study program, the Study evaluated existing infrastructure and supply and demand imbalances of the Basin.  Furthermore, the Study attempted to develop strategies for projecting future imbalances and moving forward to the water sustainability in the Basin.  Cooperation and partnership of the federal government, seven Basin states, ten Basin Native American tribes, and multiple governmental and non-governmental organizations was essential for completion of this three-year-long, comprehensive Study completed in January 2013.  The Study confirmed that with rapidly increasing water demands, environmental needs, and continuous droughts, Basin water supply remains at least static, and is possibly declining.  Having established a common technical foundation model, the Study offered an opportunity for thoughtful discussion through an open comment process.  It solicited ideas from general public on the ways to address the supply and demand imbalance in the Basin.  As a result, the Study received around 150 suggestions, yet all of the proposed solutions shared a common element: the total cost of implementing each of them would range between 3.5 and 6 billion dollars in 2060.  Wrapping up her discussion of the Study, Castle suggested that although the Study still needs to refine some areas and reduce uncertainties; the Study is “smart,” very detailed, should serve as a model for the future, and should serve as a tool for educating the public about the Basin.  She added that only broad support and collaborative efforts will result in concrete methods advancing the common goal: to give a healthy river to future generations.

The second Basin management development that Castle discussed was Minute 319 that interprets the Water Treaty.  The Water Treaty, inter alia, regulates utilization of waters of the Colorado River across international boundaries.  Pursuant to Minute 319, Mexico and the United States must share water shortages, as well as water surpluses.  Prior to Minute 319, the two countries shared water shortages only.  Sharing surpluses will allow for more reliability and predictability of water supply in the United States and Mexico.  Minute 319 also extended Minute 318 by allowing Mexico to defer its water rights and store its Colorado River allotment in Lake Mead without losing its rights to the allotment.  Such deferred delivery benefits both countries.  On the one hand, it enhances Mexico’s water security and storage capacity.  On the other hand, it increases the water levels of Lake Mead, ensuring predictable water storage levels for lower-Basin states.  Another important provision of Minute 319 authorized establishment of an Intentionally Created Mexican Allocation, which enabled Mexico to adjust its water delivery schedule to allow for later use.  Minute 319 also created a pilot program that provides water for planned environmental flows and a one-time high-volume pulse flow for the Colorado River delta.  The goal of this pilot program is to create new wetland habitat in the dry and damaged delta and establish a foundation for further restoration projects.  Castle emphasized that such productive collaboration between Mexico and the United States is especially remarkable in light of the fact that even US states often fail to cooperate with each other when it comes to water sustainability.  Castle called Minute 319 a “breakthrough” and a historical example of a three-year cooperation of the US and Mexican federal governments, seven US states, International Boundary and Water Commission, and many non-governmental organizations.

Moving on to her third topic, Castle discussed the Navajo Generating Station (“NGS”).  The need for additional energy generation in the Southwest became apparent in the 1960s.  However, the initial suggestion to build two hydroelectric dams did not pass through vigorous opposition from the National Park Service and environmental groups.  Instead, the compromise was to build NGS, a 2250-megawatt coal-fired power plant on territory of the Navajo Indian Reservation in Arizona.  NGS has become an important energy, income, and employment source for the region and the Navajo Tribe.  NGS-generated energy serves many purposes, including pumping Colorado River water for Arizona, Nevada, and California.  Revenues from selling energy surplus and mining coal on reservations lands return back to the Native American tribes.  In addition, NGS is one of the main sources of employment for several tribes.  However, the power plant is also the second largest source of nitrogen oxide (“NOx”), largely contributing to the notorious haze in the area.  NOx emissions have become increasingly concerning in light of NGS’s proximity to three wilderness parks, a national park, and several Native American tribes.  Furthermore, high levels of NOx emissions negatively affect the tourism industry, which has historically generated substantial income for the area as well.

Castle discussed the Glen Canyon Dam (“Dam”) as her final keynote address topic.  The Dam is a physical dividing point between upper and lower Basin water supplies on the Colorado River.  Basin restoration efforts involving the Dam include releasing water from the Dam and stimulating historically natural seasonal floods.  In the past, the Bureau of Reclamation had to complete an individual environmental impact statement (“EIS”) for each such release.  The process often resulted in irreversible delays, where water releases would not occur during optimal natural conditions.  Recently, the Bureau of Reclamation was able to receive an approval of a programmatic EIS that lists conditions when planned water releases are permissible.  This change allows for flexibility and ability to operate the Basin restoration program seamlessly.  Following the programmatic EIS, the Department of the Interior initiated the first high-volume release in November of 2012, and more similar releases are on the way.  The goal is to study whether repeated high-volume water releases can stimulate natural conditions, retain sediment, and stop extensive erosion of the Basin.  In addition, the Department of the Interior and approximately twenty cooperating agencies are currently working on the Long-Term Experimental and Management Plan for operation of the Dam.  Castle noted that she expects the release of the initial draft in the beginning of 2014.

In closing, Castle once again reiterated the scale of problems that the Basin is facing as a result of climate change, population growth, unquantified water rights for Native American reservations, interests of competing industries, and environmental dilemmas.  She praised the recognition that submitting Basin problems to the judiciary does not help to solve these problems – only mutual efforts and cooperation can lead the way to water sustainability and preserve the Basin for the generations to come.

 


22ND ANNUAL ROCKY MOUNTAIN LAND USE INSTITUTE CONFERENCE: LAND USE FOR A LIFETIME: CHANGING DEMOGRAPHICS AND SHIFTING PRIORITIES

Denver, Colorado   March 8, 2013

The Colorado River: Intergovernmental Agreements

As part of their three-day conference, the Rocky Mountain Land Use Institute hosted a discussion on recent developments in Colorado River use, particularly as they relate to the unique and sometimes competing land use interests in Colorado on either side of the Continental Divide.  “The Colorado River: Intergovernmental Agreements” specifically focused on the 2011 Colorado River Conservation Agreement (“CRCA”), which brought together Western Slope and Front Range parties to settle ongoing conflicts and consider cooperative conservation efforts.  Eric Kuhn, General Manager of the Colorado River Water Conservation District (“CRWCD”), outlined the general Western Slope view.  Covering fifteen counties, CRWCD is one of Colorado’s four conservation districts formed around a specific water basin.  As the conservation district of the Colorado River Basin, CRWCD strives to conserve water in the basin, protect statewide interests, and promote responsible development on both sides of the Divide.  Tom Gougeon, a member of Denver Water’s five-person Board of Water Commissioners, joined Kuhn and represented the Front Range (and more specifically Denver) view.

Kuhn began by describing how land use policy inextricably links to water use and conservation.  For the Western Slope, encouraging settlement and agricultural development requires extensive irrigation and improvements to access.  At least since the 1930s, the Bureau of Reclamation has played a vital role in creating more arable land and encouraging agriculture on the Western Slope.

But as the Bureau of Reclamation experienced its heyday in Western Slope irrigation projects, Denver also continued to grow and strain its own water supply from the South Platte system.  Denver and the Front Range had similar goals in agriculture and irrigation as the Western Slope, but Denver’s large population growth forced the city to look beyond the South Platte to supply its residents. As a solution, Denver turned to the Colorado River Basin and constructed an impressive water infrastructure that could supply the burgeoning Denver population.  The decision to turn to the Colorado River was predictable: 80% of the state’s population lives along the Front Range, but about 80% of the state’s water flows west away from Denver by the Colorado River and its tributaries.  As Kuhn noted, major projects that brought Western Slope water to the Front Range, including the Moffatt System on the Fraser River and Dillon Reservoir on the Blue River, pulled water from headwater streams.  Kuhn also explained that projects on the Fraser River and the Blue River were both just “one pass” from the Front Range (Berthoud and Loveland Passes, respectively), making them the most accessible options to Denver.

As these projects came on line, Kuhn explained, disputes arose between the two interests, pumping untold amounts of money into litigation.  For example, determining the priorities of the Colorado-Big Thompson Project, which supplies the Front Range, and Green Mountain Reservoir, which supplies Western Slope communities, proved arduous and expensive. Some on the Western Slope also desired some kind of mitigation for the water they would lose to Denver.  The Blue River Decree attempted to resolve these and other conflicts, but since its inception in 1955 the Decree has been the subject of continued litigation and disputes of interpretation.

After the drought years of 2002-2003, Denver sought to improve the Moffatt System and increase the capacity of Gross Reservoir, and applied for permits to do so. Instead of allowing the permits, CRWCD and other Western Slope entities wanted to create a comprehensive agreement to resolve problems and set out a more cooperative relationship over Colorado River use.  The CRCA concluded in 2011. CRWCD, Denver Water, and many Western Slope counties and towns have signed the agreement.

As Kuhn explained, the most important goals for CRWCD and the other Western Slope signatories were to protect streamflows, secure water for consumptive use in the Western Slope’s agricultural and recreational economies, encourage smarter growth and irrigation practices, and implement better Front Range conservation and reuse.  To CRWCD, the CRCA works to achieve each of those goals by, for example, defining the specific service area of Denver Water, supplying more water for more diverse uses in Summit and Grand counties, implementing Denver’s “WISE” reuse project (discussed below), and allowing new Denver Water development only with the consent of impacted Western Slope signatories.  Each of these provisions contributes to water conservation and to a more cooperative environment that can allow the two sides to work together to tackle future challenges.  As Kuhn stated, the CRCA recognizes that Denver and the Western Slope have interconnected economies but need to recognize the same connection in water policies.

After Kuhn’s outline of the CRCA and its effect on Western Slope signatories, Denver Water’s Tom Gougeon spoke about the agreement’s impact on Denver and the Front Range.  After summarizing the century-long development of the Denver system and its utilization of the South Platte, Blue, and Fraser Rivers, Gougeon assessed the current state of the system and noted that Denver Water’s system is quite reliable and robust, providing high-quality water to over 1.3 million people in Denver and surrounding areas.  Denver Water has diligently pursued conservation efforts by metering use and instilling a culture of conservation in its customers.  In fact, despite population growth Denver Water has reduced demand by 20-25% since 2005.  But as Gougeon explained, these improvements to the system and to conservation efforts have not tempered the need to ensure reliable supply in an increasingly unpredictable hydrological climate.  The old view that rivers provide a “firm yield” year-to-year no longer accurately describes the situation.  Future supply is not as easily calculable as once believed, meaning conservation and reuse are more important than ever to prepare for dry years.  New challenges like increased fire danger, terrorism, and possible Colorado River Compact calls do not simplify the picture either.

To Denver Water, the CRCA was a way to tackle numerous goals at once and replace historical conflict with cooperation. Above all, the CRCA helped to create more certainty in supply and in the ability to cooperate with the Western Slope on new projects and conservation.  As Gougeon astutely observed, fighting over the interpretation of the Blue River Decree did not help either party.  By settling points of contention, both sides could instead focus on more pressing issues of conservation and vulnerability of supply.  Denver Water, for instance, abandoned long-held conditional water rights in Eagle County because it was unlikely to ever utilize those priorities. In truth, continued retention of those priorities only aggravated relations with Western Slope communities.  CRWCD likewise abandoned similar rights that it perfected in the 1950s and 1960s but never put to development or use.  This new cooperative mindset, Gougeon believed, created “a holistic approach” that would be better suited to actually resolve sticking points between the Western Slope and Front Range and benefit all Colorado River users.

Two accomplishments of the CRCA particularly serve Denver’s interests.  First, Gougeon said, making progress on the Gross Reservoir expansion was essential to Denver Water to strengthen the relatively weak northern end of their system.  Second, WISE would also serve to conserve more water and relieve some stress upon Denver’s system in the present and future.  As Gougeon explained, WISE was part of a realization that, eventually, many residents in Douglas County and other areas southeast of Denver would face supply problems and would turn to Denver Water’s extensive system for relief.  Since many residents of Douglas County rely upon a decentralized system of groundwater wells, any depletion in supply cannot easily be resolved without outside help.  Instead of taking on those customers directly, Denver Water preferred to reuse some of its reusable effluent through the WISE project to supply those areas.

Kuhn and Gougeon agreed that, from each of their perspectives, the CRCA embodies a “new way of doing business.”  While future supply may always be uncertain due to climate change and Colorado River use outside of the state, the CRCA will help to secure reliable water supply to all Coloradoans along the Front Range and throughout the Colorado River Basin.  It will also work to ensure environmentally healthy water systems and politically healthy relationships across the Continental Divide.

Overall, the discussion was effective in helping to describe the competing interests in Colorado for Colorado River water.  Kuhn and Gougeon’s comprehensive account of the various challenges each faces in their job role and in implementing the CRCA left out no detail, and provided a good look into the future of cooperation between their respective organizations.

 


22ND ANNUAL ROCKY MOUNTAIN LAND USE INSTITUTE CONFERENCE: LAND USE FOR A LIFETIME: CHANGING DEMOGRAPHICS AND SHIFTING PRIORITIES

Denver, Colorado   March 8, 2013

ENERGY PRODUCTION & WATER USE: PREPARING FOR A DRIER FUTURE

Alice Madden of the University of Colorado, Denver moderated a discussion on water consumption planning in a drought environment.  She noted an increase in populations across the West, and charged the panelists with delineating how states could engage in water resource planning.

John Stulp, Director of the Interbasin Compact Committee and Colorado Special Policy Advisor to the Governor for Water, opened the discussion by describing water availability in Colorado and the state planning process.  Stulp explained Colorado is experiencing a significant drought, with the State in an arid D4 drought condition.  He further explained because approximately 80% of Colorado’s population lives on the eastern side of the state, and 20% lives on the western side, water is diverted from the west to the east.  Nonetheless, Colorado must let some water leave the state in order to comply with interstate water agreements.  Stulp noted two out of every three gallons of water in Colorado go to out-of-state users.  Yet these out-of-state users have never forced Colorado to curtail water rights in the 90 years since the enacting of the interstate agreements. However, with climate change and extreme drought, Colorado may have to curtail water rights. Stulp explained agriculture uses eighty-six percent of water in Colorado, municipalities and industry use twelve percent, and self-supplied industrial users consume only two percent.  Stulp further noted between fourteen thousand and fifteen thousand acre feet of water go toward hydraulic fracturing processes in Colorado.

Stulp gave an overview of the Interbasin Compact Committee reports, based on the 2010 Statewide Water Supply Initiative.  Even with proposed projects making the possibility of greater water availability, Stulp explained, Colorado will still experience an annual 390,000 acre foot shortfall.  Stulp noted the Colorado Water Conservation Board (“Board”) considered several water availability scenarios. Board’s main recommendation was to minimize the effects of buy and dry, where purchasers buy new water supplies from agricultural users and agricultural users then “dry out” their land. Board also recommended increased conservation, while maintaining non-consumptive water allocations for tourism and recreation.

Kristen Averyt, Associate Director for Science at the Cooperative Institute for Research in Environmental Sciences (“CIRES”), spoke next. Her presentation concerning the energy-water nexus, focused on electricity generation and water use. Averyt noted in the United States, generating electricity accounts for forty one percent of all water withdrawals. Industry withdraws the water primarily to run and cool power plants.  Averyt explained the electricity sector is the only energy sector where water needs are actually growing nationally and internationally.  Ironically, thirteen percent of energy produced in the United States is used to clean, convey, and pump water.  In California, water related energy uses consume about twenty percent of the electricity supply.  The water related uses consume much of the energy by moving, conveying, and storing water. Averyt then explained power plants are the primary contributor to thermal pollution in the country.  Additionally, in some areas, electricity withdrawals account for above ninety percent of all water withdrawals in the municipality.  In the Lower Colorado and Rio Grande, power plants use mostly ground water and recycled water, because of the scarcity of surface water.

Averyt noted the Colorado River is expected to decline by ten to fifteen percent over the next forty years.  Averyt projected a twenty to thirty percent increase in water stress, based on current power plant demand for water.  Averyt emphasized electricity generation is vulnerable to water shortage.  Lastly, Averyt presented research on how low carbon energy production impacts water use.  She explained that producing energy under a carbon budget might mean a 1.5 to two million acre feet increase in the monthly average volume of water available for storage in Lake Mead and Lake Powell.  At current coal/natural gas production ratios, Averyt projected a net decline of two million acre feet in available water for storage in both lakes over the next forty years.  Averyt further noted low carbon energy productions means states would preserve more water in groundwater aquifers.

Amelia Nuding, Water and Energy Analyst of Western Resource Advocates, discussed managing energy and water during drought in the West.  Specifically, she presented research on how electricity power plants use energy during a drought.  Nuding noted some of the challenges faced by electricity generators include insufficient water resources, degraded water quality, and high water temperatures not suitable for power plant processes.  Nuding further highlighted case studies demonstrating how some states have reacted to drought.  In one case study, Texas risked losing roughly 3000 megawatts of electricity due to lack of water.  Texas responded by bringing power plants, previously mothballed, online to supplement existing energy supply.  Texas also had to curtail 1200 water rights to manage the problem.  The State mostly curtailed senior agricultural water rights in the process.  Nuding presented more research focusing on the impact of drought in the West on power generation mixes.  The study postulated that due to the drought: coal production will go down; natural gas production will increase; hydroelectric production will decrease; renewable energy production will stay the same; electricity prices will increase; and carbon dioxide emissions will increase—primarily because of the drop in hydroelectric power.  Nuding outlined a way forward in a drought environment: (i) utilities need to share more information on water use and water intensity with their respective states; (ii) communities need to realize the value of water and the opportunity cost of using water; and (iii) society has to recognize the risk of drought and the impact drought has on energy production.

Nuding summed up by noting most energy companies and water commissions run their water conservation programs independently. Nuding argued because there may be opportunities for synergies in combining water conservation efforts, utilities and water commissions should integrate their conservation programs.

The panelists concluded by acknowledging as population increases, the need for energy increases.  Therefore, communities need to find more efficient ways to use water in the production of energy.


COME TO THE WELL: CONVERSATIONS ON WINE AND WATER

Denver, Colorado   March 6, 2013

Patricia Limerick, Professor of History and Faculty Director at The University of Colorado’s Center of the American West, discussed her recent book, A Ditch in Time: The City, The Water, and the West at “Come to the Well: Conversations on Wine and Water.”   The Environmental & Natural Resources Law Program at the University of Denver Sturm College of Law, the Fritz Knoebel School of Hospitality Management at the University of Denver Daniels College of Business, Metropolitan State University, and One World One Water: Center for Urban Water Education and Stewardship sponsored the evening.  Professor Tom Romero, 2012-13 Hughes-Rudd Research Professor at the Sturm College of Law, and faculty advisor to the Denver University Water Law Review, introduced Limerick, with whom he worked at the Center of the American West from 2002-2003.  During that time, Romero served as the Center’s Western Legal Studies Fellow and completed a statewide survey of resources related to the legal history of Colorado.

Limerick presented her book, A Ditch in Time: The City, the Water, and the West, with an overview of each chapter, and used maps, charts, and historical photos to demonstrate the complex development of the Denver Water supply system that transformed Colorado’s Front Range.  Limerick traced the growth of her main character, the Denver Water department, through the “Era of Improbable Comfort Made Possible by a Taken-For-Granted but Truly Astonishing Infrastructure,” as a challenge to the complacent disconnect between consumers and the provider of this essential resource.  Noting that topics such as infrastructure, bureaucracy, and legal technicalities may not entice the general reader, Limerick wrote the book—and gave her presentation—in an engaging manner that combined detailed scholarship with wry humor.  She opened each chapter with a limerick designed to set the tone for the topic contained within, for example, Chapter One: Engineered Eden:

The Tangled Ties of Growth and Water

The West left settlers aghast;

It was dry; it was rugged; it was vast,

They thought water was the trigger

For making towns bigger,

An idea whose time is now past.

Limerick reported that early explorers, Zebulon Pike and Stephen Long described the Front Range as the great American desert, and believed that the dearth of trees and flowing water made the area unsuitable for settlement and, in fact, provided a necessary check to potentially unrestrained westward expansion.  Noting that the Front Range is now home to a million people, Limerick described the explorers as “failed prophets” who did not foresee the ingenuity and determination of Denver’s early visionaries who turned the arid landscape into a picturesque town of flowers, gardens, and lawns by the 1890s.  What began with the Platte Company’s Big Ditch and side street canals that drew untreated water from the South Platte River, is now Denver Water’s four-thousand square mile system of dams, tunnels, and diversions that draw water to Front Range treatment plants from points west of the Continental Divide.  Throughout her presentation, Limerick gave highlights from each chapter in A Ditch in Time to tell the story of how this remarkable transformation occurred.

The book’s title, a play on the aphorism “A stitch in time saves nine” aptly describes Denver Water’s approach to water planning throughout its history, noted Limerick.  Various private water companies in the area took forty years to become the municipal entity known as Denver Water, but the department’s approach to water acquisition never mimicked this drawn out process of municipalization.  Denver Water did not react to shortages in the system, but rather prevented them in the first place, by expanding its reach to develop the four-thousand square mile water supply system.  It did so in order to fulfill its simple mission “to provide an adequate supply of water to the people of Denver.”

Limerick observed that Denver Water, throughout its history, has demonstrated an unexpected ability to adapt to changed circumstances, belying the stereotype of the entrenched bureaucracy.  It shifted from litigation to collaboration with a change in leadership, and from an emphasis on use to an emphasis on conservation in response to climate change.  In short, Limerick concluded, Denver Water has never simply maintained the status quo; it recognizes the economic, environmental, and political factors that influence water use and responds appropriately.

For more information about Limerick’s history of Denver Water, as well as other projects at the Center of the American West, go to the Center for the American West’s website.  In addition, please be looking forward to the Water Law Review’s upcoming Book Note with a full review of A Ditch in Time: The City, The Water, and the West.

 


22ND ANNUAL ROCKY MOUNTAIN LAND USE INSTITUTE CONFERENCE: LAND USE FOR A LIFETIME: CHANGING DEMOGRAPHICS AND SHIFTING PRIORITIES

Denver, Colorado   March 7, 2013

Planning for Extreme Drought: How Communities are Thinking About and Planning For Extreme Drought

The recent drought in the West forced some local and state officials onto the cutting edge of planning and adapting to extreme drought. Water resource management in extreme drought has significant implications to municipal, industrial, and agricultural water and land uses. Some Colorado municipalities are proactively developing programs including the WISE project (Water Infrastructure and Supply Efficiency) and other plans to ensure its constituents will have the water they need. Alex Davis, Principal of GBSM, a Denver based consulting and public affairs firm, and Eric Hecox, Executive Director, South Metro Water Authority, Greenwood Village, Colorado gave this presentation.

The Problem of Prior Appropriation

Alex Davis presented a brief background on western water law, before talking specifically about prior appropriation. While the doctrine of prior appropriation worked really well in the west for the first century, now it is a huge problem. The single most overarching problem in the West is planning for the next century by figuring out how to solve complex problems facing us is prior appropriation. It is ad hoc, splintered, drives decision making processes down to the smallest entity, and each entity is pitted against every other water user in the basin. Prior appropriation sets municipalities against municipalities; energy users against farmers; etc.

The West is full of competing uses for a severely limited water supply. Currently water supplies do not meet water demand in Colorado. The western slope has more water than Front Range—where 80% of the water is on the west side of Colorado, and only 20% of the population, and, conversely, the Front Range has 20% of the water, and over 80% of the population. On rivers like the South Platte, the general calling date is an 1865-69 date. Therefore, we’ve been over allocated on the South Platte for over a hundred years. The prior appropriation system is already over allocated, so how are we supposed to plan for population increases in the future?

Davis noted that planners suggest Colorado’s population will double by 2050, increasing to 5 million people. 80% will live on Front Range, resulting in increased demands on agriculture, energy, food, and the environment. When people on average use 100 gallons per capita per day to supply basic needs, 500 gallons of water per day in food, and 500 gallons per day in energy, how are we going to face the future? We must think holistically when it comes to conservation.

“In the West, when you touch water, you touch everything.” — Wayne Aspinall

Davis said that the future is uncertain. One challenge for planners is climate change, because we do not know how it will impact water availability. Suggestions of climate change impacts include the potential for temperatures rising 2.5 to 4 degrees; there could be a 5 to 20% reduction in Water availability; Colorado could see less snow pack than we traditionally have, but see more intense rain storms and earlier runoff. In essence, water supply planning will become more complex.

Water is the foundation of planning for the future, land use planning, and managing energy reserves. The biggest challenge we have is figuring out how to get all of the disparate water users to work together to solve complex problems. Who makes the tradeoffs and who decides? We know we do not have enough water to meet all needs. Who decides what is the highest value of water? We do not have a huge slate of options. Water supply options will likely be a mixture of conservation; reuse; agricultural transfers; new water supply development and storage; and multi-purpose.

Davis concluded suggesting that the best solutions are really local. There is no way the federal government can determine the best solution for the St. Vrain River, as the nuances of the local governments, communities, and attitudes differ greatly. The phrase, “think globally and act locally” applies to water planning, as is where the solutions lie. Davis stated that while she did not have lots of answers to the problems, we must think about how we create the structures to allow more regional collaboration, thinking, and solutions.

Many Parties, One Need

Eric Hecox spoke next, describing specific local decisions that attempt to drought-proof Colorado municipalities along the Front Range. Hecox first described the South Metro Water Supply Authority (“SMWSA”), a membership organization of 15 water providers in the south metro area of Denver. These entities are normally pitted against each other, but are bound together by one need—all of these entities rely on the groundwater supply in a declining aquifer. That reality forced them to come together to develop alternatives, as they need the economies of scale to make their water projects financially possible. SMWSA developed regional renewable water projects to use the Denver Basin Aquifer. While the aquifer is pretty much drought proof, and as a base supply it is a liability, it gives the region a competitive advantage against the state.

Hecox said that in 2002 water planning changed for water communities in Colorado, as the drought that year was the single largest drought on record (until last year). The drought was a wake-up call for many state water providers. The city of Aurora, just east of Denver, was one of the hardest hit cities because it has a junior right to water. Aurora implemented extreme drought restrictions, and was within months of running out of water before a late spring blizzard.

The drought scared Aurora into action, and they developed the Prairie Waters Project downstream of the Denver metro waste water plant. Essentially the Prairie Waters Project became a very large reuse project with a capacity of 10,000 acre-feet per year, and is expandable to 50,000 acre-feet with additional infrastructure. The project includes a 34 mile pipeline with 3 pump stations, a multi-barrier state-of-the-art treatment process. In all, the Prairie Water Project’s infrastructure cost 800 million dollars. Despite the cost, Aurora conceived, planned, and built Project in less than ten years.

WISE Partnership

Prairie Waters created a Water Infrastructure and Supply Efficiency (“WISE”) partnership between the cities of Denver, Aurora, and the SMWSA. WISE creates a secondary water supply and system to mitigate droughts for the Front Range. Further, Aurora gets cost sharing in this expensive project. South Metro also benefits from a renewable water supply, as the water is used and reused in a continuous cycle. This WISE partnership impacts and serves over two million people.

In additional to the local partnership, Hecox, believes that the WISE Partnership also has a number of regional benefits. Denver, Aurora, and South Metro are in a partnership. This project builds regional cooperation and partnerships and recognizes the interrelationship of the region. This opens the door to regional cooperation and provides a sustainable supply to SMWSA without compromising Aurora’s and Denver’s water supplies.

Through this project, several of the largest cities in Colorado hope to cope with drought. They hope that through planning, they will become drought proof.

As continued drought and lack of water plagues agriculture, municipalities, and the energy industry, instead of looking for the federal government to solve problems, perhaps the real solutions can be found at the local level. By following the example of the WISE partnership, perhaps other communities can also work together to overcome the biggest challenge—figuring out how to get the many disparate water users to work together to solve the complex problems of water management.