Title
Agreement to Share Costs for the Feasibility Study of Bartlett Dam Modification Alternatives Among Cost-Share Partners and Salt River Project Agricultural Improvement and Power District (SRP) (Ordinance S-48158)
Description
Request to authorize the City Manager, or his designee, to enter into an agreement with the Salt River Project Agricultural Improvement and Power District (SRP) and others (Parties) to share the costs of a feasibility study to construct a new Bartlett Dam. Further request to authorize the City Controller to disburse all funds related to this item. The cost of the feasibility study will not exceed $600,000.
Report
Summary
Sedimentation in Horseshoe Reservoir on the Verde River is adversely impacting the storage capacity in the reservoir, reducing the amount of water available to SRP customers. The City is particularly impacted because it has additional separate water storage rights in the reservoir based on a 1950 Phoenix investment in gates installed on Horseshoe Dam (Gatewater supplies). The Bureau of Reclamation (BOR) is about to begin a feasibility study to consider a modification of the existing Bartlett Dam downstream of Horseshoe Dam and Reservoir to create a single larger reservoir in Bartlett Lake. The larger reservoir would restore the lost storage capacity of Horseshoe Reservoir for SRP customers and the City, in addition to adding storage capacity which would make additional water resources available for interested parties.
SRP estimates the non-federal portion of the feasibility study will cost $5 million to evaluate the size of a modified Bartlett Dam, the cost, the need for additional water resources in the area, local interest in a modified dam and investigate the environmental impact. SRP has asked the City and other interested parties to share the non-federal costs of the feasibility study. Due to the City's existing rights in Horseshoe Reservoir, the City would contribute funding and participate in the study as a member of the Steering Committee. There are approximately 20 other entities participating in the cost share agreement, including, but not limited to the cities of Avondale, Buckeye, Chandler, Glendale, Goodyear, Mesa, Peoria, Scottsdale, Surprise and Tempe, as well as private water companies, such as EPCOR USA and Arizona Water Company.
Contract Term
This Agreement terminates when the feasibility study is completed or when the Bureau of Reclamation otherwise terminates the study. It is expected that the feasibility study will be completed in approximately four years.
Financial Impact
Due to the City's existing rights in Horseshoe Reservoir, the City will contribute funding $150,000 each year for an anticipated four years. The total value of this Agreement will not exceed $600,000.
Funding for this agreement is available from the Colorado River Resiliency Fund, a part of the Water Services Department’s Capital Improvement budget.
Location
Bartlett Lake, Arizona
District: Out of City
Department
Responsible Department
This item is submitted by Deputy City Manager Karen Peters and the Water Services Department.