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HomeMy WebLinkAboutMemo - Mail Packet - 11/19/2019 - Memorandum From Carol Webb Re: Northern Integrated Water Supply Project (Nisp): Update Regarding The Status Of City Staff Discussions And Negotiations With Northern Water Regarding Potential AgreementPage 1 of 4 Utilities 700 Wood Street PO Box 580 Fort Collins, CO 80522 970.221.6700 970.221.6619 – fax 970.224.6003 – TDD utilities@fcgov.com fcgov.com/utilities MEMORANDUM DATE: November 12, 2019 TO: Mayor Wade Troxell and City Councilmembers FROM: Carol Webb, Deputy Director, Utilities THROUGH: Darin Atteberry, City Manager Jeff Mihelich, Deputy City Manager Kevin R. Gertig, Utilities Executive Director RE: Northern Integrated Water Supply Project (“NISP”): Update regarding the status of City Staff discussions and negotiations with Northern Water regarding potential agreements related to NISP _____________________________________________________________________________ BOTTOM LINE City Staff has been meeting with Northern Water since 2018 regarding the City’s concerns related to the Northern Integrated Supply Project (NISP) and to negotiate with Northern Water where mutual interests may be identified and addressed. Discussions to date have focused on the Poudre River through Fort Collins and have included identification of shared priorities and options for addressing those priorities that are mutually beneficial to both parties. Opportunities discussed to date include collaboration on water quality-related projects, collaborating on projects that facilitate fish and flow passage, the possibility of sharing resources to reduce flood risk and improve stormwater quality, and NISP adaptive management. City Staff will also participate in a NISP Adaptive Management Committee initiated by Northern Water and Colorado Parks and Wildlife to develop, govern, and implement the NISP Adaptive Management Program. City Staff will continue to meet with Northern Water and seek opportunities to develop approaches and potential agreements or other instruments to memorialize commitments related to the priorities and options identified by both parties. This may include meetings with the City and Northern Water staff and/or meetings of the Adaptive Management Committee. Staff anticipates a long-term, phased approach for developing agreements between the City and Northern Water to assure ongoing involvement and increase the City’s influence in long-term NISP-related Poudre River initiatives. DocuSign Envelope ID: F5CDCEB9-5070-4DA7-9DB1-79E01A510C39 Page 2 of 4 BACKGROUND City Staff has been actively involved in NISP and NISP-related issues since its federal permitting process began in 2004. The City submitted official comments prepared by City Staff on various NISP permitting documents, such as: the draft environmental impact statement (“EIS”) in 2008; the supplemental draft EIS in 2015; the fish and wildlife mitigation and enhancement plan in 2017; and the final EIS in 2018.0F 1 With the completion of the final EIS, the federal permitting process is nearing the end. A Record of Decision, along with specific permit requirements, is expected to be released sometime in the near future. City Council has provided direction to staff related to NISP, which is summarized as follows: • In Resolution 2017-024, City Council authorized and directed City Staff “to meet on a regular basis with the Northern Water regarding NISP and to discuss and explore the City’s concerns and interests in order to ascertain whether those interests can be met, including through potential solutions to address the City’s goals and issues related to NISP.” • This direction was changed in Resolution 2018-053, where City Council authorized and directed City Staff “to meet with Northern Water to seek to negotiate regarding NISP, and if Northern Water is so willing, to engage in negotiations regarding NISP” pursuant to the direction given in that resolution. Based on this direction, City Staff and Northern Water (on behalf of the NISP participants) have met numerous times (between August 2018 and July 2019) to discuss the key priorities for both the City and Northern Water. Summary of Discussions and Negotiations to Date: • The shared priorities that have been identified are those described in Resolution 2018-053 and include: o Water Quality; o Mitigation of Flood Risk; o Adequate availability of water supply to serve the region; o Leveraging shared resources; o Maintaining the Health of the Poudre River Corridor; and o Development of a Structured and Effective Adaptive Management Approach. • Discussions to date have included identification of options for addressing these priorities with a focus on options that are mutually beneficial to both parties. Some examples of opportunities discussed to date include: o Collaborating to achieve retrofits of existing river diversion structures to facilitate fish and flow passage and support connectivity of river habitats; o Exploration of options for the City to facilitate the NISP conveyance realignment in support of maintaining minimum flows in the river through town; 1 The “whereas” clauses of Resolution 2018-093 provide a summary of these actions. DocuSign Envelope ID: F5CDCEB9-5070-4DA7-9DB1-79E01A510C39 Page 3 of 4 o Exploration of options to maintain or increase peak flows in the river, including the use of City water rights to create an environmental pool in Glade Reservoir; and o Collaboration on a study to identify sources of E. coli contamination in stormwater runoff; o Partnering to identify to management options to reduce temperature related water quality concerns; and o Leveraging shared resources to reduce flood risk and maximize effectiveness of stormwater quality mitigation in areas of the Poudre River Corridor that are high priorities for both the City and for NISP. • Discussions to date have also focused on the Adaptive Management approach outlined in NISP’s EIS’s and plans, as well as an overall collaborative framework to support a healthy Poudre River. Examples include: o A governance structure for NISP’s federal and state based Adaptive Management programs and a collaborative framework for collectively working to support a healthy Poudre River.; o Identification of NISP Adaptive Management and Mitigation commitments and how those commitments support the City’s Poudre River management objectives; o The role of the City in NISP’s Fish and Wildlife Mitigation and Enhancement Adaptive Management Program; o The funding allocated by NISP for implementing their adaptive management commitments; and o Opportunities to utilize consistent data collection, analysis, and reporting methodology as a basis for both the NISP Adaptive Management requirements and a broader collaborative effort aimed at Poudre River objectives related to ecosystem health, river and community resilience, and protection of the City’s water-related assets. NISP Adaptive Management As part of NISP’s Fish and Wildlife Mitigation and Enhancement Plan (and other permits), Northern Water is required to develop a stream channel and habitat improvement plan which includes development of a river-wide master plan and a Poudre River adaptive management program. Northern Water recently invited key stakeholders (e.g. City of Fort Collins, City of Greeley, Town of Windsor) to participate in the “Adaptive Management Committee” to develop both the master plan and the adaptive management program. City Staff recently attended a kick- off meeting for the Adaptive Management Committee and expects to any agreements to City Council for approval. Next Steps City Staff will continue to meet with Northern Water and develop approaches and potential agreements or other instruments to memorialize commitments related to the priorities and options DocuSign Envelope ID: F5CDCEB9-5070-4DA7-9DB1-79E01A510C39 Page 4 of 4 identified by both parties. This may include meetings with the City and Northern Water staff and/or meetings of the Adaptive Management Committee. Staff anticipates a phased approach for developing agreements between the City and Northern Water to assure ongoing involvement and increase the City’s influence in long-term NISP-related Poudre River initiatives. Any agreements will require approval by the City Manager or City Council pursuant to City Code Section 1-22. Pc: Eric Potyondy, Assistant City Attorney Jennifer Shanahan, Senior Specialist, Sciences – Natural Areas Jill Oropeza, Director, Sciences - Utilities DocuSign Envelope ID: F5CDCEB9-5070-4DA7-9DB1-79E01A510C39