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HomeMy WebLinkAboutMemo - Mail Packet - 05/28/2024 - Memorandum from Darren Parkin re: Halligan Water Supply Project Larimer County 1041 Permit ApplicationUtilities 222 Laporte Ave. PO Box 580, Fort Collins, CO 80522 970-212-2900 utilities@fcgov.com CC: Eric Potyondy, Assistant City Attorney MEMORANDUM Date: May 17, 2024 To: Mayor and City Councilmembers Through: Kelly DiMartino, City Manager Tyler Marr, Deputy City Manager Jason Graham, Director of Water Utilities From: Darren Parkin, Halligan Project Manager Subject: Halligan Water Supply Project Larimer County 1041 Permit Application BOTTOM LINE Fort Collins Utilities (Utilities) needs a 1041 permit from Larimer County for the Halligan Water Supply Project (Halligan Project). In June, Utilities plans to submit an application to Larimer County for that permit. The application process includes county staff review, public hearings before the Larimer County Planning Commission followed by County Commissioners, and a final decision by the County Commissioners. Utilities staff have determined to proceed now as the project moves closer to construction and to avoid potential delays. Staff hope to receive approval by the end of 2024. BACKGROUND To enlarge the existing Halligan Reservoir, Utilities must obtain permits from the U.S. Army Corps of Engineers (Corps) and other federal, state, and local agencies. The Halligan Project received the final Environmental Impact Statement from the Corps in 2023. Also in 2023, the state approved the project’s Fish & Wildlife Mitigation and Enhancement Plan. Work is underway on remaining permitting. Within the next two years, the Corps is expected to issue its 404 Permit and associated Record of Decision to conclude the federal permitting process. Colorado law authorizes counties and cities to identify, designate, and regulate areas and activities of state interest through a local 1041 permitting process to allow them to maintain their control over certain development projects. Larimer County adopted robust 1041 regulations that DocuSign Envelope ID: C0F5AC6C-A9F5-4A4B-9172-4FBC33647F21 have been in effect for many years. The Halligan Project requires a 1041 permit from Larimer County because it includes the enlargement of a reservoir resulting in a surface area at high water line in excess of 50 acres. The permit process includes all aspects of the project, including building the new dam, a potential on-site quarry during construction, U.S. Highway 287 and access road improvements, necessary ancillary infrastructure, and environmental mitigation and enhancements. More information on the Larimer County 1041 permit requirements can be found at: larimer.gov/planning/1041-regulations. The Halligan Project does not require a 1041 permit from the City of Fort Collins because it is located well outside the City’s boundaries. NEXT STEPS In general, the 1041 permitting process can take many months to several years, depending on if approval is granted. The county will set and publish a notice for the hearing before the County Commissioners no later than 30 days after receiving the application. The hearing must be held no later than 60 days after the notice is published. Halligan Project Manager Darren Parkin will lead the effort and be the primary point of contact. It’s common for a technical review process to take place post-approval. If a 1041 permit is granted, and a technical review is required, the Halligan Project may need to submit more details on design, engineering, and construction so Larimer County can ensure permit conditions are met. Overall, the 1041 permit decision could be approval, approval with conditions, or denial based on the review criteria in Larimer County’s Land Use Code. On July 9, 2024, Utilities is scheduled to present to City Council on the Halligan Project, which will include a status update on the 1041 permitting process. DocuSign Envelope ID: C0F5AC6C-A9F5-4A4B-9172-4FBC33647F21