Lake Powell Pipeline

Project Update

Despite recent population projections that show growth has slowed, the state is still pushing ahead with the Lake Powell Pipeline studies. These studies so far have cost Utah taxpayers $24.7 million dollars. The Utah Division of Water Resources and the Washington County Water Conservancy District are hoping for growth to return to pre-recession levels that would revive the need for the Pipeline.

In May 2011, the Utah Board Of Water Resources applied to Federal Energy Regulatory Energy Commission (FERC) for a three year preliminary permit to study the project. On May 14, 2014 FERC gave Utah Board Of Water Resources a two year extension to May 2016.

In 2011, the Utah Division Water Resources evaluated everyone’s comments on the 23 draft study reports (bullets below) and will incorporate them into the final study reports. The final study reports will include the new lower Governor Office Planning Budget’s population projections released in January 2013, the Governor also revised the state’s water conservation goal of 25% to be by 2025 instead of by the year 2050.

Once all the study reports are complete they will file an application for a Hydropower license from the Federal Energy Regulatory Commission (FERC), and there will be a 90 day comment period for public comment. They estimate filing the application early 2015. This will be followed by FERC preparing an Environmental Impact Statement (EIS) and they will use the final study reports to make their decision.  In the EIS process the BLM approves the right of way for the pipeline; FERC approves generating power in the pipeline; the Bureau of Reclamation approves the use of water rights among many other agencies approvals. The EIS must be completed and approved prior to construction. CDF will let you know when you can comment.

Upcoming Dates

Early 2015 Apply for  preliminary Hydopower license with FERC

3 months following application: 90 day public comment period

6 months following application: Prepare and file final Hydropower license application with FERC

Early 2017 FERC will start a 2 year process of an Environmental Impact Statement

The EIS is approved -Record of Decision and permits

Early 2019 Finalization of design

2020 Pipeline construction starts, will take at least 4 years to complete

2025-2030 Water deliveries expected to begin within this time frame

Overview

The Lake Powell Pipeline project spans 139 miles and would pump approximately 86,000 Acre Feet of water from Lake Powell to Washington and Kane Counties. The current cost estimates In the study reports for the project range from $1.4 to $2.4 billion. The entire repayment burden will fall on the shoulders of Washington and Kane County residents. The Washington County Water District keeps pushing for this project despite the apparent lack of real need. Washington County continues to be the west’s most wasteful water user and can do far more to conserve and live sustainably in the desert.

The discussion about the Lake Powell Pipeline must center on cost and actual need for the project by 2020. Local citizens and future generations will bear the cost of this multi- billion government project. Initial project costs were estimated at $250 million and have now skyrocketed to over $1 billion plus interest and future maintenance. Our small communities cannot afford the Pipeline. The citizens of Washington County have a right to know how much they will pay in higher impact fees, surcharges, and taxes for the proposed Lake Powell Pipeline. Yet, in the six year $24 million study, these questions are not answered. They have also failed to explain how the Water District will pay the double digit million dollar annual bond payments when current annual water sales revenues total approximately only $6 million. The legislature has not been willing to fund the project yet because it is uncertain how the bond payments will be made.

How Will Washington County Pay?

Under the current plan, every family or business that buys a building permit would pay for the Pipeline through impact fees. The water district assumes growth and impact fees will pay all the costs. However, growth is not projected to grow as fast as they had anticipated. To cover any shortfall in impact fees, the Water District has also imposed a Water Development Surcharge ($1.75 per month) on all residents of cities that signed their Regional Pipeline Agreement. This surcharge can be increased at any time to protect the district’s bond rating. We also pay for water in our utility bills and pay again in our property taxes. The debt will fall on all residents to pay for the Lake Powell Pipeline.

Supply uncertainty arises largely from boom and bust cycles of population growth. The financial risks associated with these forecasts are greater if a single large project is built. The current approach to the Pipeline project could unduly commit residents to high repayment obligations if demand or costs are very different than projected.

Bad Data used for Pipeline Justifications

The Water District’s forecast for water demand is artificially high. Their estimates incorporate unrealistic population forecasts, outdated water use data, and unreasonably low estimates of future water conservation to justify the need for the Pipeline.

Creating a standard to collect accurate baseline data of water use and supply is critical to developing future water demand projections and this has not been done. The Utah Division of Water Resource’s reports show there is more water in Washington County than the Water District identifies: more agricultural water, more water rights held by private land-owners, more water yield of existing water projects. Other options for future supply include: using more recycled water, treating ground water and storm water capture.

An Unreliable Water Resource

Depending on the diminishing Colorado River for future water supply is unsustainable. Recent reports from the Bureau of Reclamation show that the river is over allocated and flows  will continue to decrease. The average demand already outstrips average supplies. Read more on the Colorado River Water Supply and Demand Study. Investing billions of dollars into a project that may not produce water in the future is a financial risk not worth taking. Water Conservation is the Least Expensive Option.

Solution

A less costly, practicable, achievable alternative should be studied in the EIS to meet current and future water supply demand. Water conservation reductions should be implemented across all sectors including residential indoor and outdoor use, commercial, industrial, secondary, agriculture, and institutional water use.

A solution is for communities to start a water budget that has worked in other communities to reduce water use dramatically. We held a water sustainability workshop in October on how to create a water budget and read our information here.Water Workshop

Become Self-Reliant

Washington County has some of the highest per capita use and the lowest prices for the water in the west. CDF believes a higher priority should be on collecting accurate water use and supply data, becoming efficient in our water use first,  boosting local water supplies, increasing conservation, creating pricing strategies, and reuse that could result in significant cost savings and provide enough water for growth. CDF is not anti-growth; we are for fiscal responsibility and growing smarter without burdening the county with massive debt it can’t afford.

Southwest Utah is blessed with many sources of local water that can be developed incrementally as needed, at a fraction of the cost of the Pipeline. We should be pursuing a strategy of using accurate data and making our area more self-reliant by reducing water demand and developing new and unused water resources locally.

These actions could contribute to a more reliable water supplies. Local water sources will deliver southern Utah’s future afford-ably and reliably, without burdening future generations with a massive debt and a water supply vulnerable to drought, litigation, political conflict, controversy, and uncertainty.