A Picture's Worth a Thousand Words
We have all heard the coined phrase, "a picture's worth a thousand words." Review the graph below, in conjunction with the text, for a `picture' of the water situation in the SJWCD service area. The graph illustrates the necessity for additional water storage, and why the District and the Pagosa Area Water and Sanitation District (PAWSD) have been working hard to meet these needs.

As illustrated in the graph above, the current water storage capacity in the PAWSD is 2,900 acre-feet (AF) or 4,000 AF when the Stevens dam enlargement is complete. To meet the water needs of area residents, studies indicate that a total of about 12,000 AF of storage capacity will be necessary by 2043. The Dry Gulch reservoir site has a total potential storage capacity of 35,000 AF. The reservoir could be constructed in two phases, depending on the economic conditions and water demands. It may make sense to construct 12,000 AF in phase I and the remaining potential 23,000 AF in phase II.
The Dry Gulch Reservoir plays an integral role in the SJWCD's long-term plans to meet the water supply needs within the community. The Reservoir will provide a critical safety storage supply to buffer area residents and businesses from the effects of severe drought. The reservoir development is necessary for the health and welfare of District constituents now and to meet projected growth.
An extensive inventory and review of more than 13 potential reservoir sites within the County revealed that there were two geotechnically, topographically, and cost effective sites to choose from that have the least environmental concerns associated with them. One site has since been purchased by others for development. Therefore, it has been determined that the most feasible site in the County that meets most requirements is the Dry Gulch Reservoir site. Unless the land is immediately purchased, it could be lost to other development interests and/or become financially prohibitive.
The Dry Gulch Reservoir will be an off-stream facility located approximately one mile north from the historic downtown area of Pagosa Springs along US Highway 160 and in close proximity to the San Juan River. The drainage basin will not yield adequate water to fill the reservoir and will require diversions from the San Juan River. District flow and storage rights have been acquired for the reservoir and diversion from the San Juan River. The water supply developed for the reservoir is provided by Colorado's allocation under the Colorado River Compact. The project would allow Colorado to continue to utilize that allocation by allowing the District to store entitled rights. Storage of this up stream water also preserves water quality and provides drought protection. The diversion from the San Juan River into the reservoir is junior to a CWCB in-stream flow water right. To protect the river, no diversions may be made to the reservoir when the San Juan stream flows are at 50 cubic feet per second (cfs) or less from March 1 to August 31 and 30 cfs from September 1 to February 28.
The Dry Gulch Reservoir project meets the following water management objectives: 1) it will sustainably meet municipal and industrial demands; 2) it will sustainably meet agricultural demands; 3) it optimizes existing and future water supplies; 4) it will substantially enhance recreational opportunities; 5) it promotes cost effectiveness as the most economically viable site location; 6) it will comply with all applicable laws, regulations, and water rights; and 7) it provides an excellent location and supply of raw water for forest fire suppression.
The Dry Gulch Reservoir can also augment the water needs for: Archuleta County, Park Ditch Water Company, and other potential downstream users. The development of the Dry Gulch Reservoir will assist Park Ditch Water Company with water delivery, thereby preserving agricultural practices. In addition, the reservoir will help support economic vitality to Archuleta County with enhanced tourism potential/visits to the reservoir and associated facilities. Strong consideration is being given to open space with planned parks and recreational facilities.
MOST FREQUENTLY ASKED QUESTION RELATED TO DRY GULCH RESERVOIR
The Dry Gulch Reservoir project plays an integral role in the SJWCD's long-term plans to meet the water supply needs within the District boundaries. The reservoir will provide a critical safety storage supply to buffer area residents from the effects of severe drought. In addition, reservoir development is necessary for the health and welfare of the Districts' constituents due to unprecedented growth within the District boundaries. In an effort to respond to some of the most frequently asked questions related to Dry Gulch reservoir, the following is provided:
Q-1. Why do we need a reservoir, especially when there is plenty of water in the San Juan River?
A. Run off from the San Juan River, Four Mile Creek and the few small reservoirs in the Fairfield area provide the total source of our water. In the summer of 2002 there was barely seven cubic feet per second (cfs) of water flowing through the Town of Pagosa Springs and no water was available in Four Mile Creek.
The prospect of extended drought is very real. Studies indicate that climate change will likely impact water supplies in our area. The increase in associated average temperatures could lead to the following impacts for Archuleta County:
● Less snow due to shorter winters, producing less spring runoff upon which we depend for water storage;
● Longer growing seasons with larger demands for agricultural water use;
● Stored water will be reduced faster due to greater evaporation losses;
● Higher risk for forest fires; and
● Increasing demands on the San Juan River to supply water (under the Colorado River Compact) to satisfy the growth needs of Arizona, New Mexico, Nevada and California.
Q-2. Why should existing taxpayers and new construction have to pay for a reservoir that won't be built for years?
A. The planning, permitting and construction of a reservoir normally takes a minimum of 15-20 years and can take as long as 25-35 years. If we do not start now to acquire the land and water rights, and commence the planning and permitting, we are prolonging the economic risks related to lack of water and water storage and the problems associated with the risk of continued extended drought(s). The current taxpayers in the Districts have paid millions of dollars over the past years for the installation and maintenance of the existing water lines and treatment plants. It is the Boards' philosophy that new development should pay its "fair share" (through impact fees) of the cost of the land acquisition, permitting and development of the new reservoir separate from any new tax burden to our current taxpayers.
Q-3. Why not buy the land later when we are ready to build the reservoir?
A. After a study of over 13 different sites over the past 16 years, the Dry Gulch site is the only site remaining that provides sufficient water storage potential located in an area close to major distribution water lines and centers of population at a reasonable cost. If land is not acquired now, the following could occur: 1) developers will purchase it and develop the site making it no longer available for water storage; 2) even if the land were available in the future the cost to acquire it may be prohibitive; or 3) if funds are expended to obtain the permits for a reservoir and the land is not available later for purchase, millions of taxpayer dollars would be wasted.
Q-4. What are the projected water needs in the near future, in 20-30 years or later?
A. The SJWCD and the PAWSD 2003 Water Study indicates that an additional 12,500 acre-feet (AF) of water storage will be required by 2040. This is in addition to the Stevens Lake enlargement project, which is expected to be complete within the next few years. Moreover, additional pumping capacity from the San Juan River will be required as early as 2014.
Q-5. What about those people who do not reside in the Districts and have to haul water from the fill stations?
A. Without more water storage there may not be enough water in the future to provide for the people in the county who's wells go dry or are polluted, or who do not have wells and are not served by PAWSD's main water lines
Q-6. How much land needs to be purchased? Can it be purchased in installments?
A. Regardless of how big the reservoir is built, it makes economic sense to buy the land necessary to build the reservoir to full capacity. If the minimum amount of land is purchased now, then either the additional land may not be available in the future or the cost may be prohibitive. The price of the land will escalate exponentially faster than any other element of the reservoir cost and could outpace our ability to pay for it in the future.
Q-7. Why buy land for a reservoir when there are plenty of "free" sites in the national forest?
A. It is a common misperception that U.S. Forest Service (USFS) land is "free." There are only two ways to utilize USFS land: 1) a land swap or 2) a Special Use Permit (which is periodically renewable, though the USFS could impose new conditions at their discretion). With either approach, millions of dollars in studies and consulting fees could be spent before the USFS makes a decision.
Q-8. Why focus on the Dry Gulch site when there are plenty of other sites that can be built for less money?
A. The SJWCD originally studied 13 different sites that had potential for reservoir consideration. A developer purchased the most optimal site before the Districts could acquire it. The Dry Gulch site is the best and perhaps the only site remaining for a reservoir that has sufficient size, economic viability and proximity to main water supply lines and population centers.
Q-9. When it comes time to build the reservoir, why not build a smaller reservoir, or several smaller reservoirs?
A. The Districts will only build the size of the reservoir that the community can afford and which is supported by growth analysis. However, if it takes up to the year 2030 to obtain the necessary permits, complete construction and fill the reservoir, as soon as the first phase of the reservoir is complete, we would need to start planning and permitting to build any subsequent phase(s). The decision on the size of the reservoir will be made in about 10 years by the voters based upon growth projections and the financial ability of the community at that time. It should be noted, however, that it is significantly more expensive to build a reservoir in multiple phases than to build in one phase.
Q-10. Why request District Court approval for the maximum amount of water rights needed to fill a 35,000 AF reservoir?
A. Currently, there are enough water rights remaining unappropriated in the San Juan River to support full development of the reservoir. Since the priority of water rights is dependent upon the date that the water rights are adjudicated by the District Court, it is prudent to request the full amount of water right to fill the reservoir if these rights are supported by growth projections.
Q-11. Won't taking this much water out of the river for the reservoir cause a significant impact on wildlife, rafting or the fisheries?
A. The 35,000 AF represents the maximum amount of water storage allowed at the reservoir and is not related to the amount of water taken from the river each year. There is a senior water right held by the Colorado Water Conservation Board (CWCB) which precludes the taking of any water from the San Juan River when it is running below 50 cfs in the summer and 30 cfs in the winter by any water right holder whose rights were obtained after 1980. Other than nature itself and the prospect of extended droughts, the reservoir should have little to no impact on wildlife, the quality of the fisheries or rafting.
Q-12. How long will it take to fill the reservoir?
A. Depending upon snowpack, rain and the size of the diversion into the reservoir, it could take several years to completely fill the reservoir.
Q-13. How much will the land and the environmental studies, design and permitting cost?
A. It is estimated that studies, design and permitting may cost approximately $5 million, and the land could cost between $11 million and $15 million, depending upon how the needed USFS land is obtained.
Q-14. How long will it take to obtain the permits before construction can commence?
A. Permitting can take as little as 15 years or up to 30 years.
Q-15. How will the cost for land acquisition, environmental studies, engineering and design, and the various permits be paid for?
A. While it is anticipated that taxpayers will be asked to vote for new taxes at some point in the future to help pay for part of the land acquisition, permitting and construction of the reservoir, newly adopted Impact and Water Resource Fees for new development will provide a continued and essential source of capital as part of new development's "fair share" of costs. The Town, in conjunction with the SJWCD, has adopted impact fees for new construction and development in the amount of $1,129 per equivalent unit (EU) for acquisition of land for the reservoir and for fees and costs necessary to build the reservoir. One EU is equal to the normal amount of water used by a single-family home. The county could, but has chosen not to, adopt impact fees. In addition, the PAWSD has adopted a Water Resource Fee for all new development that will also be used to assist in the land acquisition, permitting and construction of the new reservoir.
Q-16. What is an impact fee and what can these fees be used to pay for?
A. According to state law, impact fees can be adopted by municipalities and county governments on behalf of special districts or themselves to assist in raising funds for capital improvements needed to accommodate growth. These fees cannot be used to repair or maintain existing facilities, and have to be segregated and spent only for their designated purposes.
Q-17. Do the Town and County have the legal authority to adopt impact fees to help pay for the development of the Dry Gulch reservoir site?
A. Most definitely "Yes." Colorado Revised Statutes 29-20-101 et seq. specifically authorizes the adoption of impact fees for certain specified purposes. CRS 29-20-105 expressly authorizes intergovernmental cooperation pursuant to intergovernmental agreements between the SJWCD and both the Town and the County regarding the adoption of impact fees. The development of the Dry Gulch reservoir site is the type of capital improvement for which the Town and County have statutory legal authority to adopt impact fees to be applied towards the SJWCD's capital costs of the Dry Gulch reservoir project.
Q-18. What is a Water Resource Fee and what can this fee be used to pay for?
A. The PAWSD has adopted a Water Resource Fee of $7,000 per EU for all new construction and development. The fee is dedicated for raw water-related storage projects and new pumping and treatment facilities needed to accommodate growth in the area. Portions of this fee will be used for land acquisition for the reservoir and costs related to planning, permitting, designing and construction of the reservoir and related facilities.
Q-19. What are similar fees for other areas?
A. See `Comparative Water Rate and Fees Chart.'
Q-20. What is the difference between the SJWCD and PAWSD, and how are they jointly involved in the Dry Gulch Reservoir project?
A. Both the SJWCD and the PAWSD are quasi-municipal bodies. The SJWCD's primary purpose is the preservation of the various water rights owned by individuals and entities within its District boundaries and to ensure that there are adequate water supplies to support the current and future growth of the community. The PAWSD is tasked with providing water service to the Town and much of the surrounding unincorporated areas. Due to the magnitude of the reservoir project, including the importance of the project to both the current and future economic well being of the community, both the SJWCD and the PAWSD have been and will continue to work jointly towards completion of Dry Gulch Reservoir.