The Colorado River District Board of Directors unanimously approved a total of $366,655 in funding from the Community Funding Partnership program to support two critical water infrastructure and restoration projects. The board approved a grant of up to $232,155.00 in funding for The Sheriff Reservoir Dam Rehabilitation Project and a partial grant of $134,500.00 for the Gunnison River Basin Drought Resiliency and Restoration Project. These projects aim to increase water security for agriculture, protect local drinking water supplies, and enhance environmental health on Colorado’s western slope.

Including these recent approvals, the Community Funding Partnership has awarded a total of $3.3 million to 26 West Slope water projects in 2024.

Read more about these approvals in our recent press release, or learn more about the program on the Community Funding Partnership website.

Theme: Sideways is the new Different

As we enter the new water year, early indications project more of the same for 2025: a slow, warm start to snowpack accumulation, followed by highly unpredictable and highly variable hydroclimatic conditions that may result in slightly below average inflows across the basin; however, with a lot of uncertainty.  Conditions across the Upper Colorado River Basin are reasonably good after a near average precipitation accumulation in Water Year 2024 (Figure 1) and with reservoirs across the Colorado River District (and mostly across the state) at, or near average carry over levels. But the outlook gets more uncertain and less rosy with respect to inflow projections at Lake Powell and points down basin.  The short-term (90 day) forecast produced by the Climate Prediction Center (Figure 2) projects dry and warm conditions through December and, therefore, suggests another potential late start to the snow accumulation season in the UCRB. This potential delay in precipitation accumulation may decrease regional water supplies, as measured at the large mainstream reservoirs, Lakes Powell and Mead, continuing to push the needle downwards, or, if we are fortunate, sideways.

Read more in our public meeting packet with Dave “DK” Kanzer’s report beginning on page 88.

Interstate Negotiations Continue

The U.S. Bureau of Reclamation (BOR) is continuing its analysis of modeling proposals for the post-2026 operating guidelines for Lakes Powell and Mead, with a goal of releasing a draft Environmental Impact Statement (EIS) by the end of the year. Last spring, the Upper Basin States of Colorado, Utah, Wyoming, and New Mexico submitted a proposal, as did the lower basin states of California, Arizona, and Nevada. Several other proposals were submitted with a focus on environmental benefits, and input was received from tribal entities as well as other Colorado River interest groups.

The BOR aims to develop new guidelines through consensus among all seven Colorado River Basin states, but significant challenges remain. While both the Upper and Lower Basin proposals address the need to reduce water use by 1.5 maf in the Lower Basin states and find a way to incorporate actual hydrology into these crucial water management decisions, significant disagreement persists between the two approaches.  Key hurdles include the Lower Basin’s insistence on mandatory reductions in Upper Basin water use, managing upper reservoirs to meet Lower Basin needs, disagreements over Glen Canyon’s annual water releases, and concerns about potential legal disputes over compact compliance. While progress has been limited, water users in the region remain hopeful that a consensus will be reached in time.

Read more in the General Manager’s report section of our public packet beginning on page 76

Strategic Plan Updates

In 2016, the Board embarked on a strategic planning effort and adopted a plan that has been guiding the work of the District over the last several years.  While many of the critical issues remain, some significant changes have occurred since the adoption of the 2016 Strategic Plan. Some of these changes include the ongoing multi-decadal drought, shifting political, social, and economic dynamics, the passage of Ballot Measure 7A, the creation of the Community Funding Partnership, the Shoshone Water Rights efforts, and internal transitions. As part of the strategic planning process, the District aims to refine priorities, foster staff development, and set a strategic vision for the next 5 years.

On Wednesday, October 16, in lieu of a second day of the Fourth Quarterly Regular Joint Meeting, the Board of Directors engaged with staff and facilitators to begin this process. More discussions designed to incorporate staff and board input are scheduled to occur throughout the winter and spring with a current goal of summer, 2025, for a finalized plan.

Interim Session Gives Sneak Peak at 2025 Priorities

The Water Resources and Agriculture Review Committee of the Colorado General Assembly held its final interim hearing on September 18th, approving eight bills for referral to the full legislature. Only one of the eight (Bill 12) directly pertains to water. Bill 12, unanimously passed, proposes the creation of a task force to explore future funding options for the state’s water needs in light of anticipated declines in severance tax revenue. Two draft bills, Bill 8 (on revegetation requirements for water rights holders) and Bill 10 (on transparency in water right transactions), were withdrawn before a vote, with expectations of revision and reintroduction in future sessions.

In other news, two property tax-related ballot initiatives, Propositions 50 and 108, were withdrawn after a legislative compromise. The compromise, passed during a special session, lowered property tax rates and capped revenue growth for local governments. Governor Jared Polis emphasized the agreement as a significant step toward providing property tax relief while preventing more drastic revenue caps proposed by the initiatives. Despite the anticipated increase in property taxes in the future, the legislation is expected to slow the rate of growth and offer savings to residents and businesses.

Read more from Director of Government Relations Zane Kessler’ State Affairs update in the public meeting packet beginning on page 152.

Short-term Fixes and the Farm Bill

On September 25th, Congress passed a short-term continuing resolution (CR) to prevent a government shutdown. The CR, known as the Continuing Appropriations and Extensions Act, 2025, received broad bipartisan support in both the House and Senate and was signed by President Biden on September 26th. Notably, the legislation includes a one-year extension for the Upper Colorado Endangered Fish Recovery Program, which was set to expire on September 30th.

Unfortunately. the CR passed by the House and Senate on September 25th did not extend the Farm Bill which officially expired on September 30, 2024. Most House Republicans, including Agriculture Committee Chair Glenn Thompson (R-PA), are urging GOP leadership to prioritize the 2024 farm bill after the November elections, stressing that farmers can’t afford to wait due to rising production costs and falling commodity prices. The farm bill faces delays due to partisan disagreements over climate and nutrition programs, and a $30 billion budget gap. Chairman Thompson has said that he believes a compromise can be reached, but a mix of Democratic votes will be needed to pass the bill on the House floor.

Present indications are that a second one-year extension of the 2018 farm bill may happen this fall.

The Senate Energy and Natural Resources Subcommittee on Water and Power also recently heard testimony on several water-related bills, including the Drought Preparedness Act, which extends Bureau of Reclamation drought relief programs, and the Colorado River Basin System Conservation Extension Act. Meanwhile, the Biden Administration continues to showcase its achievements through the Inflation Reduction Act (IRA) and other key initiatives, emphasizing investments in drought resilience and climate-smart agriculture. At the same time, the White House Council on Environmental Quality (CEQ) is pushing for technological improvements to expedite critical infrastructure permitting processes.

Read more in Director of Government Relations Zane Kessler’s federal affairs update in the public meeting packet beginning on page 156.