11. PURSUANT TO C.R.S., §37-92-302,80302 | 04/29/2021 | Ad id: 8-0000681305-01
11. PURSUANT TO C.R.S., §37-92-302, AS AMENDED, YOU ARE NOTIFIED THAT THE FOLLOWING PAGES COMPRISE A RESUME OF THE APPLICATIONS AND AMENDED APPLICATIONS FILED WITH THE WATER CLERK FOR WATER DIVISION 5 DURING THE MONTH OF MARCH 2021. The water right claimed by this application may affect in priority any water right claimed or heretofore adjudicated within this division and owners of affected rights must appear to object and protest within the time provided by statute or be forever barred.
21CW3036 (14CW3112, 07CW162, 00CW286, 94CW337, 87CW261) IN GRAND COUNTY APPLICATION FOR FINDING OF REASONABLE DILIGENCE Three Lakes Water and Sanitation District ("District") (c/o Jennifer M. DiLalla, John E. Peckler, Moses, Wittemyer, Harrison and Woodruff, P.C., 2595 Canyon Blvd., Suite 300, Boulder, CO 80302) 2. Name of structure: Three Lakes District Collection System and Treatment Plant ("Three Lakes System"). 3. Conditional water right - Willow Creek/Granby Reservoir Exchange: 3.1 Original decree: December 19, 1988, in Case No. 87CW261 in the District Court for Water Division No. 5. 3.2 Subsequent decrees awarding findings of diligence: May 16, 1995, in Case No. 94CW337; September 6, 2001, in Case No. 00CW286; October 4, 2008, in Case No. 07CW162; and March 27, 2015, in Case No. 14CW3112; all in the District Court for Water Division No. 5. 3.3 Legal description: 3.3.1 Exchange-from point: The downstream terminus of the exchange reach is the outlet structure for Granby Reservoir, which is located on the Colorado River in the NE1/4 SE1/4 of Section 11, T2N, R76W of the 6th P.M., in Grand County, Colorado. 3.3.2 Exchange-to points: The upstream termini of the exchange reach are the points on the Colorado River where return flows from pumping of exempt wells connected to the Three Lakes System are owed to the stream system of origin ("Exempt Well Return Flow Location"). The upstream-most Exempt Well Return Flow Location is in the NW1/4 NW/14 of Section 1, T4N, R75W of the 6th P.M., in Grand County, Colorado. The locations of the exchange reach and the District's boundaries are shown on the map attached as Exhibit A. 3.4 Source of substitute supply: 200 acre-feet of water in Granby Reservoir from the Middle Park Water Conservancy District ("Middle Park"). This water is available from Middle Park as part of the 3,000 acre-feet of water which the Municipal Subdistrict, Northern Colorado Water Conservancy District has agreed to provide annually to Middle Park in accordance with the Windy Gap Agreement dated April 30, 1980, and the supplement thereto ("MPWCD/Windy Gap Water"). The MPWCD/Windy Gap water available to the District will be produced by the water rights for the Windy Gap Project in accordance with the decrees entered in Case Nos. CA 1768, W-4001, 80CW108, and 85CW135, all in the District Court for Water Division No. 5. 3.5 Appropriation date: September 23, 1986. 3.6 Amount: 0.55 cfs, conditional (limited to 200 acre-feet annually). 3.7 Use: Domestic, municipal, irrigation, commercial, industrial, wastewater treatment, augmentation, substitution, and recreational uses. 3.8 Remark: All wastewater collected by the Three Lakes System is treated at the District's water treatment plant and discharged to Willow Creek, which flows into the Colorado River below Lake Granby. 4. Outline of work and expenditures during the diligence period toward completion of the appropriation and application of water to beneficial use: 4.1 The Willow Creek/Granby Reservoir Exchange is a component of the District's integrated water supply system. "When a project or integrated system is comprised of several features, work on one feature of the project or system shall be considered in finding that reasonable diligence has been shown in the development of the water rights for all features of the entire project or system." C.R.S. § 37-92-301(4)(b). 4.2 The diligence period for the Willow Creek/Granby Reservoir Exchange is March 2015 through March 2021 ("Diligence Period"). During the Diligence Period, the District worked diligently to develop the Willow Creek/Granby Reservoir Exchange, complete the appropriation, and place the water to beneficial use, as demonstrated by the following representative but non-exhaustive list of activities and expenditures: 4.2.1 Septic to Sewer Program: The District has begun the process of developing a septic-to-sewer conversion program ("Septic to Sewer Program") to incentivize property owners on septic systems within the District's boundaries to connect to the Three Lakes System. Under the Septic-to-Sewer Program, the District will seek potential sources of federal funding to offset well owners' cost of connecting to the Three Lakes System. Connection to the Three Lakes System can be expensive depending upon individual circumstances and topography, and the District believes that using federal grants to offset some of the cost would help encourage connections. The program would expand the Three Lakes System as contemplated when the District appropriated the Willow Creek/Granby Reservoir Exchange. Because over 50% of the properties within the District are still on septic systems, the District could see a significant increase in demandrequiring operation of the Willow Creek/Granby Reservoir Exchangeif the Septic-to-Sewer Program is successful in helping the District reach full buildout. The District anticipates that implementation of the Septic-to-Sewer Program will take several years, and further anticipates that full buildout of the Three Lakes System will take up to fifty years. The following is a non-exhaustive list of the District's activities and expenditures related to the Septic-to-Sewer Program during the Diligence Period: 220.127.116.11 District staff have spent significant time consulting with an expert in the field of water/wastewater public affairs, compliance, regulatory/technology innovations, and business development and procurement ("Project Consultant"). The Project Consultant has volunteered his time to begin developing a plan of action for the Septic-to-Sewer Program. The District's Manager and the Project Consultant have devoted approximately eight hours to in-person meetings to discuss the Septic-to-Sewer Program, and also have devoted many hours to discussions by videoconference. District staff and the Project Consultant have spent time researching the feasibility of the Septic-to-Sewer Program and developing a federal funding strategy for the program to present to the District's Board of Directors ("Board"). District staff and the Project Consultant also have engaged in discussions of the Septic-to-Sewer Program with an environmental expert. 18.104.22.168 The District Manager, Superintendent, Lead Operator, and Board Treasurer spent several hours touring the District's System with the Project Consultant to look for opportunities for the Septic-to-Sewer Program. 22.214.171.124 District staff have spent approximately ten hours discussing the Septic-to-Sewer Program with the District's Board. After discussion during a public meeting, the Board directed staff to continue to pursue the program. 4.2.2 Asset management plan and rate study: District staff contracted out an asset management plan and rate study that provided information about a potential buildout of the Three Lakes System. 4.2.3 Middle Park contracts: Each year of the Diligence Period, the District paid Middle Park $2,000 to maintain the allotment contract for the MPWCD/Windy Gap Water, which is the source of substitute supply for the Willow Creek/Granby Reservoir Exchange. 4.2.4 System repairs and improvements: The District spent approximately $680,404 for repair and maintenance of the Three Lakes System and approximately $9,447,699 for improvements and capital expenses related to the system. 4.2.5 Legal and engineering fees: The District incurred costs of approximately $6,811 for legal fees related to development, protection, and exercise of the District's water rights and water interests, including the Willow Creek/Granby Reservoir Exchange. 5. Names and addresses of owners or reputed owners of the land upon which any new diversion or storage structure or modification to any existing diversion or storage structure is or will be constructed or upon which water is or will be stored, including any modification to the existing storage pool: Bureau of Reclamation, Eastern Colorado Area Office, 11056 W. County Road 18E, Loveland, Colorado 80537-9711. WHEREFORE, the District requests that the Court enter a decree (i) granting this Application; (ii) finding that the District has exercised reasonable diligence in developing and completing the appropriation of the Willow Creek/Granby Reservoir Exchange during the Diligence Period; and (iii) continuing the Willow Creek/Granby Reservoir Exchange in full force and effect for six years from the month in which a final decree is entered in this case.
YOU ARE HEREBY NOTIFIED THAT YOU HAVE until the last day of MAY 2021 to file with the Water Clerk a verified Statement of Opposition setting forth facts as to why this application should not be granted or why it should be granted in part or on certain conditions. A copy of such statement of opposition must also be served upon the applicant or the applicant's attorney and an affidavit or certificate of such service shall be filed with the Water Clerk, as prescribed by Rule 5, CRCP. (Filing Fee: $192.00) KATHY POWERS, Water Clerk, Water Division 5; 109 8th Street, Suite 104 Glenwood Springs, CO 81601.