[Senate Hearing 110-204]
[From the U.S. Government Publishing Office]
S. Hrg. 110-204
RURAL WATER SUPPLY ACT OF 2006
=======================================================================
HEARING
before the
COMMITTEE ON
ENERGY AND NATURAL RESOURCES
UNITED STATES SENATE
ONE HUNDRED TENTH CONGRESS
FIRST SESSION
TO
RECEIVE TESTIMONY ON THE BUREAU OF RECLAMATION'S IMPLEMENTATION OF THE
RURAL WATER SUPPLY ACT OF 2006, AND FEDERAL, STATE AND LOCAL EFFORTS TO
PLAN AND DEVELOP THE EASTERN NEW MEXICO RURAL WATER SUPPLY PROJECT.
__________
CLOVIS, NM, AUGUST 14, 2007
Printed for the use of the
Committee on Energy and Natural Resources
______
U.S. GOVERNMENT PRINTING OFFICE
39-477 WASHINGTON : 2007
_____________________________________________________________________________
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COMMITTEE ON ENERGY AND NATURAL RESOURCES
JEFF BINGAMAN, New Mexico, Chairman
DANIEL K. AKAKA, Hawaii PETE V. DOMENICI, New Mexico
BYRON L. DORGAN, North Dakota LARRY E. CRAIG, Idaho
RON WYDEN, Oregon LISA MURKOWSKI, Alaska
TIM JOHNSON, South Dakota RICHARD BURR, North Carolina
MARY L. LANDRIEU, Louisiana JIM DeMINT, South Carolina
MARIA CANTWELL, Washington BOB CORKER, Tennessee
KEN SALAZAR, Colorado JOHN BARRASSO, Wyoming
ROBERT MENENDEZ, New Jersey JEFF SESSIONS, Alabama
BLANCHE L. LINCOLN, Arkansas GORDON H. SMITH, Oregon
BERNARD SANDERS, Vermont JIM BUNNING, Kentucky
JON TESTER, Montana MEL MARTINEZ, Florida
Robert M. Simon, Staff Director
Sam E. Fowler, Chief Counsel
Frank Macchiarola, Republican Staff Director
Judith K. Pensabene, Republican Chief Counsel
C O N T E N T S
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STATEMENTS
Page
Bingaman, Hon. Jeff, U.S. Senator From New Mexico................ 1
Bostwick, Darrel, Chairman, Ute Water Commission, Melrose, NM.... 27
D'Antonio, John, New Mexico State Engineer, Santa Fe, NM......... 22
Domenici, Hon. Pete V., U.S. Senator From New Mexico............. 2
Lansford, David, Mayor, Clovis, NM............................... 14
Neubauer, Chris, on Behalf of Tom Udall, U.S. Representative From
New Mexico..................................................... 4
Ortega, Orlando, Mayor, Portales, NM.............................
Sabo, David, Assistant Regional Director, Upper Colorado Region,
Bureau of Reclamation, Department of the Interior.............. 4
APPENDIXES
Appendix I
Responses to additional questions................................ 39
Appendix II
Additional material submitted for the record..................... 43
RURAL WATER SUPPLY ACT OF 2006
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TUESDAY, AUGUST 14, 2007
U.S. Senate,
Committee on Energy and Natural Resources,
Clovis, New Mexico.
The committee met, pursuant to notice, at 10:04 a.m. in the
Clovis-Carver Library, North Annex, 701 North Main Street,
Clovis, New Mexico 88101, Hon. Jeff Bingaman, chairman,
presiding.
OPENING STATEMENT OF HON. JEFF BINGAMAN, U.S. SENATOR FROM NEW
MEXICO
The Chairman. Good morning. It's my pleasure to welcome
everyone to this hearing. The purpose of our hearing today is
to receive testimony on the Bureau of Reclamation's
implementation of the Rural Water Supply Act of 2006 and the
Federal, State, and local efforts to plan and develop the
Eastern New Mexico Rural Water Supply Project.
Let me just, before we get started, thank Mayor Lansford
and his staff here at the City for their hospitality and help
with putting this hearing together. Thank you, Mr. Mayor.
Obviously, it is great to be over here, and particularly,
it seems that Senator Domenici and I are here together usually
in connection with Cannon Air Force Base. We are very pleased
to see the progress there, and I think we are all coming back,
I have been informed, in October for a stand-up of the new wing
out here.
It is now increasingly critical to address an issue that
threatens the long-term vitality of the region, and that is the
lack of a long-term supply of water. This is an issue facing
many areas of the country, particularly in rural communities.
According to the Department of Agriculture, 17 percent of the
United States population lives in non-metropolitan areas. In
the west, that percentage is higher. It is at least 35 percent
here in New Mexico.
The Department of Agriculture also reports that at least
2.2 million rural Americans live with critical water quality
and accessibility problems related to their drinking water. To
help address the problem, last year, Congress enacted the Rural
Water Supply Act that Senator Domenici and I wrote, and the Act
is intended to make water supply a fundamental part of the
Bureau of Reclamation's mission. We look forward in this
hearing to getting Reclamation's update on their efforts to
implement that law.
Here in Eastern New Mexico, there's been a very proactive
effort to address the serious issue of water supply. Sole
reliance on the diminishing groundwater supplies available from
the Ogallala and Entrada aquifers is not sustainable. Clovis
and Portales have, therefore, led a regional effort to secure a
renewable source of water that will sustain current uses and
support future growth and economic development, and this
effort, of course, is the Eastern New Mexico Rural Water
System.
In 2004, I introduced legislation authorizing the project
as a way to move the process forward. I think that effort was
helpful to get the issues on the table so that they could be
addressed and resolved. Ultimately, modifications to the scope
of the project were made, and it is now focused on providing
water to communities in Curry and Roosevelt Counties. Led by
Eastern New Mexico Water Authority and with funding provided by
the State, there's also been a substantial amount of work done
to address other issues raised by the Bureau of Reclamation in
2004.
In addition to hearing from Reclamation on its efforts to
implement the rural water program, we are here today to assess
the status of the Eastern New Mexico Rural Water System to
determine what issues have been resolved and which issues still
remain and to hear from the effected communities on the need
for the project. It is my hope, of course, that we are in a
position to move forward with authorizing legislation again in
the very near future.
So with that, let me turn to Senator Domenici for any
opening remarks that he has before we hear from our witnesses.
STATEMENT OF HON. PETE V. DOMENICI, U.S. SENATOR FROM NEW
MEXICO
Senator Domenici. Thank you very much, Senator Bingaman. It
is good to be here. Thanks to all of you. A good deal of number
of people turned out for this event, and that shows that it's
an important issue. That's obvious. Mayor, it's good to be with
you. Thanks for pushing this issue.
Sooner or later, and I think it is sooner now, we are going
to resolve the various issues and come to a point of deciding
whether or not this is the way to get the water for the future
of this community or not.
We are going to hear today from those who think it is, and
I think that we ought to just proceed forthwith. I want to
thank Mayor Lansford from Clovis and Ortega from Portales for
being the key leaders in this region and carrying the message
and the proposal for this water project across the nation. Your
efforts at trying to resolve this problem have not gone
unnoticed. Your community should be grateful for your personal
sacrifices and acts of leadership.
I want to emphasize that while important, the current Ute
Pipeline can only address the municipal and industrial water
supply issue, which is only 10 percent of the overall water
supply problem in this region. It is abundantly clear that the
economic well-being of this region will require additional
creative thinking and concentrated leadership, and you all know
that.
Over the last 5 years, the State Office and the Engineers'
Office has been a strong supporter for the use of the reservoir
water to supply the needs of communities in the Clovis and
Portales region. That support has been unwavering. I extend my
gratitude to John D'Antonio for pushing forward towards a
solution. We thank you, Mr. D'Antonio for your unfettered
support.
The Bureau of Rec, on the other hand, has been a reticent
participant in this process. There is no reason why the
feasibility work for this project could not have been
accomplished many years ago. Although the engineers assigned to
this project have worked hard, it is time to redouble our
efforts. I think we know that.
It is for this reason that I welcome Senator Bingaman's
efforts to couple the field hearing on the Ute Pipeline with
the oversight on the Bureau of Reclamation New Rural Water
Supply Program. The Rural Water Supply Act of 2005 was passed
last December. In that Act, the Bureau was required by December
22, 2008, to do a rigorous assessment of existing rural water
programs, the extent of rural water supply needs, and define
how the Bureau's program can complement and be coordinated with
the rural water supply programs. I look forward to hearing an
update on the progress the Bureau has made over the last 8
months at accomplishing this task.
Additionally, the Rural Water Supply Act provided a
standing authority for the Bureau to engage in appraisal and
feasibility assessment for new rural water projects using
standardized assessment criteria. The criteria for appraisal
studies are due by this coming December. This is only 4 months
away, and the criteria for a feasibility study are due by May
2008, only 10 months away. Again, I look forward to hearing an
update today on the progress the Bureau has made in developing
these criteria.
Finally, in my experience working with the Bureau on the
Ute Pipeline, it is evident that the BOR was not enthusiastic
about undertaking for Eastern New Mexico the type of
feasibility studies for which they have now received standing
authority.
Given this history, I question to what extent the BOR will
actively seek to engage the rural communities of Western United
States--take leadership in resolving the growing water supply
crisis and to be an organization in which I can take pride as a
member of the Federal family.
Again, I look forward to hearing from the Administration on
these issues and hope that we can work together to find
financially responsible technology, feasible resolutions and
solutions for the water supply challenges of Eastern New
Mexico. Thank you for having me.
The Chairman. OK. Before I start introducing witnesses
here, let me take care of a couple of things. First, the
committee has received a number of additional statements,
written statements and exhibits and testimony regarding the
proposed legislation. These items, as well as the full written
submissions of all the witnesses, will be made part of our
official record, so I wanted to state that.
Let me also acknowledge some of our State leaders who are
here. Senator Gay Kernan is here. I know she's back there
somewhere. Thank you very much for being here. Senator Harden
is here. Thank you for being here. Representative Anna Crook is
here. Thank you for coming. Bill Hume is here. He's the Chief
Policy Advisor to Governor Richardson on these issues, and we
appreciate him traveling here. Steven Gamble who is the
President of Eastern New Mexico is here. Thank you for taking
time to be here. I know you have got a busy period with school
starting up, but thanks for coming.
Before we start with the first panel, Representative Udall
was not able to be here, but his representative, Chris
Neubauer, is here to read a letter from Representative Udall
related to our hearing today. So let me recognize Chris for
that statement.
STATEMENT OF CHRIS NEUBAUER ON BEHALF OF TOM UDALL, U.S.
REPRESENTATIVE FROM NEW MEXICO
Mr. Neubauer. Thank you, Senators, for allowing me a few
moments of your time. I am going to read a letter of support
that the Congressman has submitted to the Energy Committee.
It reads, ``Dear Honorable Senate Energy Committee Members:
I write in strong support of the Eastern New Mexico Rural Water
Authority and the Ute Pipeline Project. Water is a scarce
resource in the southwest, and it is essential that our
communities are provided with a reliable source of water. The
Ute Pipeline Project would help ensure that Quay, Curry, and
Roosevelt Counties have long-term access to water for municipal
and industrial use.
In 1959, the New Mexico State Legislature passed an Act
instructing the State Engineer to create a reservoir on the
Canadian River, the Ute Reservoir, to help meet the water needs
of Eastern New Mexico. The Ute Pipeline Project would be the
first project to use the reservoir for this original purpose.
The project would provide 24,000-acre feet of water annually
from the Ute Reservoir and would serve approximately 73,000
people in a largely rural area averaging four-and-a-half people
per square mile.
The water provided by the Ute Pipeline would stimulate
economic growth in the region, which is threatened by a decline
in the quantity and quality of groundwater reserves. I believe
this project is important to help protect the long-term
prosperity of Eastern New Mexico communities.
Very truly yours, Tommy Udall, Member of Congress.''
Thank you, sirs.
The Chairman. Thank you very much, Chris, and we appreciate
getting the statement from Congressman Udall. Why don't we go
ahead now with our first panel, and our first panel consists of
a representative from the Bureau of Reclamation, David Sabo,
who is the Assistant Regional Director of Reclamation's Upper
Colorado Region.
Welcome, Mr. Sabo. We are glad to have you here. I guess
what we would ask is that you go ahead and go through your
testimony or summarize it, make the main points that you are
intending to make today, and after that, I am sure Senator
Domenici and I will each have questions.
STATEMENT OF DAVID SABO, ASSISTANT REGIONAL DIRECTOR, UPPER
COLORADO REGION, BUREAU OF RECLAMATION, DEPARTMENT OF THE
INTERIOR
Mr. Sabo. OK. Thank you. Chairman Bingaman and ranking
member Domenici, I am Dave Sabo, the Assistant Regional
Director of the Bureau of Reclamation's Upper Colorado Region.
I thank you for the opportunity to come here and to return
home to Clovis to give testimony on the Eastern New Mexico
Rural Water Project and provide a progress report on
implementation of the Rural Water Supply Act of 2006. The
proposed Eastern New Mexico Rural Water Project would provide a
sustainable water supply here in Clovis and to numerous other
homes and communities in Eastern New Mexico.
The project would also provide water to Cannon Air Force
Base. Currently, this region depends entirely on groundwater,
and the quantity and quality of this source is diminishing. As
envisioned, this project would provide over 16,000-acre feet of
needed water to these communities each year. The most recent
cost estimate for the project is $436 million. The Federal
shares expected to be 75 percent.
Reclamation has worked with the Eastern New Mexico Rural
Water Authority and their consultants to develop a complete,
thorough feasibility study. We have testified previously in
2004 on early draft of legislation to authorize construction.
Progress continues to be made in completing the project's
design, cost estimates, financing plan, and environmental
analysis.
We will continue to work with the Authority and their
consultants wherever possible as we move toward finalizing the
project design and planning.
Mr. Chairman, as you requested, I would also like to give a
brief status report on implementation of the Rural Water Supply
Act of 2006 passed by Congress last year. I would like to first
thank Senator Domenici for sponsoring and Senator Bingaman for
being an original co-sponsor of this legislation authorizing
this important program. I thank you both for your leadership in
getting it passed into law.
As you know, implementation of this program will provide a
clearly defined process for Reclamation in rural communities
throughout the West to work together to identify options for
meeting potable water supply needs in a technically feasible
and cost effective manner. Currently, a team comprised of
Reclamation's employees from all five regions and from the
Commissioner's Office is leading the effort to develop the
rules and criteria for the Rural Water Program.
Because of the Act's specific timelines and deadlines for
the development of the criteria, Reclamation has set an
ambitious timeframe for the rulemaking. The proposed criteria
are expected to be published in the Federal Register in
February 2008 and finalized in the summer of 2008. Reclamation
is aware of significant interest----
Senator Domenici. Who publishes those?
Mr. Sabo. I am sorry?
Senator Domenici. Who publishes those?
Mr. Sabo. We will publish them in the Federal Register.
Senator Domenici. You are the ones working on them?
Mr. Sabo. That's correct.
Senator Domenici. How far are they along?
Mr. Sabo. They are in the development process right now.
Senator Domenici. What?
Mr. Sabo. They are still in the development process right
now, the actual rulemaking.
Senator Domenici. So just getting started?
Mr. Sabo. They are further along than just getting started.
We have made quite a bit of progress on them, but we are still
attempting to meet the schedule. It's an ambitious schedule for
the area that we have to cover within all the 17 western
States. We have got to consider all the criteria that would go
into this.
Senator Domenici. You have a qualified staff, in your
opinion?
Mr. Sabo. Absolutely, Senator.
Senator Domenici. So all you are saying is ``Let us do
it?''
Mr. Sabo. Please.
Senator Domenici. OK.
Mr. Sabo. OK. Reclamation is aware of significant interests
on the part of rural communities in the West in this program.
We have had conversations with various stakeholder groups and
plan to hold dialog with Native American tribes. We will
continue that outreach and dialog throughout the process of
implementing this new program.
Once implemented, the Rural Water Supply Program will give
Reclamation greater ability to review, evaluate, and make
recommendations to the Congress regarding the feasibility of
proposed rural water projects such as the Eastern New Mexico
Rural Water Project. In addition, Title II of the Rural Water
Supply Act, which authorizes loan guarantees for rural water
projects, may have some application to Eastern New Mexico.
Mr. Chairman and ranking member, that concludes my oral
remarks. I look forward to hearing the testimony of local
leaders on the Eastern New Mexico Rural Water Project and
continuing to work with them on this important issue. Thank you
for the opportunity to testify, and I look forward to your
questions.
[The prepared statement of Mr. Sabo follows:]
Prepared Statement of Dave Sabo, Assistant Regional Director, Bureau of
Reclamation, Upper Colorado Region, Department of the Interior
Mr. Chairman and Members of the Committee, my name is Dave Sabo,
and I am the Assistant Regional Director of the Bureau of Reclamation's
Upper Colorado Region. I am pleased to be here today on behalf of the
Department of the Interior to discuss both the status of the Eastern
New Mexico Rural Water Project, and separately, Reclamation's
implementation of Public Law 109-451, the Rural Water Supply Act of
2006.
Reclamation has been working with the State of New Mexico and local
parties on developing concepts for the Eastern New Mexico Rural Water
Project since Congress authorized feasibility studies in 1966.
Reclamation has participated in a number of studies on this evolving
project over the years. Since 1998, Congress has provided $1,763,000
for planning and technical assistance, of which more than $1.2 million
has been transferred directly to the City of Clovis, acting as the
fiscal agent for the local communities, for work on the project.
The proposed Eastern New Mexico Rural Water Project would provide a
sustainable water supply for the eastern New Mexico municipalities of
Clovis, Elida, Grady, Melrose, Portales, and Texico, as well as Curry
and Roosevelt counties and Cannon Air Force Base. The area currently
depends entirely on a groundwater source that is diminishing in both
quantity and quality. The currently envisioned project would supply
16,400 acre-feet of water per year through a pipeline from Ute
Reservoir, which was built by the State of New Mexico in 1963 as a
water supply source for eastern New Mexico.
In 2004, Reclamation testified on legislation (HR 4623) to
authorize construction of the Eastern New Mexico Rural Water Supply
Project. During that hearing, Reclamation cited concerns with the
adequacy of the Conceptual Design Report to support authorization and
identified some critical questions that needed to be answered before
construction should proceed, such as whether all economically viable
alternatives had been considered, whether design and construction costs
were consistent with comparable projects, and whether the communities
that would be sharing project costs had an accurate estimate of how
much those costs might be. Reclamation also expressed concerns with the
proposed cost sharing formula, which assumed an 80% federal share for
construction of the project.
Since that time, a Reclamation ``Oversight Committee'' has been
assisting the Eastern New Mexico Rural Water Authority (Authority) and
their consultants in developing a more complete and thorough
feasibility report.
A ``Preliminary Engineering Report'' prepared for the Authority by
their consultant that was submitted in December 2006 represents
significant progress toward a feasibility-level analysis. Reclamation
is continuing to work with the Authority as they further develop the
proposed project's design, cost estimates, financing plan, and
environmental analysis.
The Authority is working with their consultant to take the design
and associated cost estimate to the feasibility level. Feasibility-
level cost estimates are based on information and data which is
sufficient to permit the preparation of preliminary layouts and designs
used to estimate each kind, type, or class of material, equipment, and
labor necessary to complete a project. A second consultant has been
selected by the Authority to work on National Environmental Policy Act
compliance. A third consultant for the Authority is working on a
detailed plan for financing the project.
The most recent cost estimate for construction, prepared last year
by the Authority's consultant, is $436 million, with an estimated
annual operation and maintenance cost of $8.2 million. The local
communities are planning to pay about 10% of capital costs with state
and federal shares being 15% and 75% respectively. The local
communities would pay 100% of the operation, maintenance, and
replacement costs.
Because this hearing is not focused on specific project-
authorization legislation, Reclamation cannot provide a statement on
the relative merits of the project from a policy standpoint. However,
we are working with the Authority and the State to bring the project to
a point where a feasibility determination is possible.
At this point, I would like to comment and, as requested by the
Committee, provide a status report on Reclamation's implementation of
Title I of Public Law 109-451, the Rural Water Supply Act of 2006, and
briefly consider how this new program may be applicable to the Eastern
New Mexico Rural Water Project.
In December 2006, Congress and the President enacted the Rural
Water Supply Act of 2006. Title I authorizes the Secretary of the
Interior to create a rural water supply program (Program) to address
rural water needs in the 17 Western United States. We are enthusiastic
about this Program, as its intent is to enable Reclamation to work
cooperatively with rural communities across the West in a consistent
manner to identify rural water supply needs and cost effective options
for addressing that need. Prior to the enactment of legislation
authorizing this Program, Reclamation has had no authority to get
involved--early in the process--in the analysis and development of
solutions for meeting the potable water supply needs of rural
communities in the West.
To summarize, Title I of the Act requires Reclamation to: (1)
develop programmatic criteria for prioritizing requests for assistance
under the Program and for determining eligibility for non-Federal
entities to participate in the Program; (2) develop criteria for what
must be included in both the appraisal studies and the feasibility
studies that are to be completed under the Program, in terms of data,
alternatives, and level of analysis; (3) complete an assessment of the
rural water programs that exist in other agencies to ensure that we are
filling an unmet niche and to ensure that we coordinate and leverage
resources, as well as evaluate the status of rural water projects that
are already authorized; and (4) complete an annual report of
Reclamation's staff costs for carrying out the Act.
We expect there to be great interest in this program and given the
budget realities, we will not be able to get involved in every worthy
project. Furthermore, it is important to note that the Act does not
authorize project construction. Instead, the focus of the Program is on
ensuring thorough analysis of rural water needs and options through the
completion of appraisal and feasibility studies that meet program
criteria. At the end of the process, Reclamation is required to submit
a feasibility study to Congress. In the report that accompanies each
study, the Secretary (through Reclamation) will make a recommendation
to Congress as to whether the project is technically and economically
feasible, and whether it is in the Federal interest. The report must
make a recommendation on whether Congress should authorize Federal
involvement in construction of the rural water supply project that is
identified, as well as the appropriate non-Federal share of
construction costs, which must be at least 25% of the total
construction costs for the proposed project and determined based on an
analysis of the non-Federal entities' capability-to-pay.
Before the Rural Water Program can be implemented, P.L. 109-451
requires that the Secretary (through Reclamation) promulgate and
publish the program's rules and criteria in the Federal Register. This
is being done through a rulemaking process in accordance with the
Administrative Procedure Act (APA) which provides opportunities for
public review, involvement and comment.
A team comprised of Reclamation employees from all five regions and
the Commissioner's office is leading the effort to develop the rules
and criteria for the rural water program. Because of the Act's specific
timelines and deadlines for the development of the criteria,
Reclamation has set an ambitious time-frame for the rulemaking. We
expect to publish proposed and then final Criteria in the Federal
Register in the next year.
Reclamation is aware of significant interest on the part of rural
communities in the West in this program. We have held conversations
with various stakeholder groups and plan to hold dialogues with Native
American Tribes. We will continue that outreach and dialogue throughout
the process of implementing this new program.
As I stated earlier, we are enthusiastic about this program, which
will provide a clearly defined process for Reclamation and rural
communities throughout the West to work together to identify options
for meeting potable water supply needs in a technically feasible,
environmentally responsible, and cost effective manner. P.L. 109-451
gives Reclamation authority to review, evaluate, and make
recommendations to the Congress regarding the feasibility of proposed
rural water projects such as the Eastern New Mexico Rural Water
Project.
With all of this work underway, we look forward to finalizing the
relevant rules and criteria that will underlie this program, and
working closely with the large base of stakeholders on implementation.
Thank you for the opportunity to appear today.
This concludes my statement, and I am happy to answer any questions
the Committee may have.
The Chairman. Thank you very much for being here and thanks
for your testimony. Let me ask a few questions, and then I
defer to Senator Domenici, and let me start by asking two or
three questions related to this Eastern New Mexico rural water
system.
In your testimony, you note that in 2004, Reclamation
identified some critical questions that had to be answered
regarding this project. These include--these were three in
number, as I read your testimony. No. 1, whether design and
construction costs were consistent with other projects, which
is a reasonable question. Second, whether appropriate
alternatives were considered, and third, whether the
communities had an accurate estimate of the overall costs
involved.
There's a letter dated March 30th that you folks sent to
Mayor Lansford noting that the pipeline ``appears to be the
least costly and most suitable way to meet long-term water
needs in the project area''. So this appears, at least to me,
to answer one of the three questions.
In your view, have the other questions also been answered?
If so, what can you tell us about what you have concluded?
Mr. Sabo. Thank you, Senator. I think in the letter that we
sent to Mayor Lansford, we identified other issues that still
needed to be addressed. Clearly, the design cost, the
construction cost were of paramount importance. In that letter,
we agreed with their consultants CH2M Hill that we were only at
about a 10 percent design capability toward the feasibility
study, toward meeting the feasibility study requirements.
That being given, we still have a number of questions which
need to be answered with regard to the size, the scope, the
construction cost, and the final cost of the overall project.
So as we identified in that March letter, there's still a
number of answers that need to be brought forth before we can
really say any more about them.
The Chairman. Let me ask on this, the amount of design work
that's been done. In that letter, as you indicate, Reclamation
said that in their view, Eastern New Mexico's project is
currently at a 10 percent design and cost estimate level, and
that historically, you have required a more detailed 30 percent
design in order to support requests for construction. That, I
think, was the position you took.
In a 2004 document establishing the oversight committee
that you mentioned, Reclamation indicated that the level of
detail in the project's design was ``between an appraisal level
study and a feasibility level study'', which I am not sure
exactly what those terms of art mean, but it sounds to me like
at that time--that was 2004--the project was already between 10
and 30 percent design.
Since 2004, the Authority, through State funding, has
invested--or largely through State funding, has invested at
least another $2 million in studying and planning the project.
It sounds from--from the letter you sent to Mayor Lansford that
the Authority is getting further away from being at 30 percent
design than they were back in 2004.
Could you explain your view on this, how much more time you
think is needed to get to 30 percent design? It seems that--
this thing keeps slip-sliding away from us.
Mr. Sabo. Thank you for the question. That's actually a
very good question from the standpoint of this project. As you
know, when the project was first envisioned in the early--in
the 60's, it was a much larger project, and it has been sort of
an evolutionary project over time. It has changed shape, and
dimension, and size, who the communities are going to be.
Actually in 2004, what we were assessing at that point in
time was the project, as it was envisioned at that point in
time. There's even been some modifications, as I have said,
some evolution since then.
In talking with CH2M Hill, the consultants for the
Authority, this morning, they told me that they envision having
a full feasibility level study completed by 2009. So, I mean,
this is really a question that would be more oriented toward
the Authority, but my belief is, is that, you know, we know now
the scale of the project. We really now need to proceed forward
with the actual completion of the feasibility study. So it is
just really the evolution from 2004 to now that's caused the
change.
Senator Domenici. What does that mean?
The Chairman. Yes. Let me follow up, too, and just ask: You
are saying that the feasibility study needs to be completed?
Mr. Sabo. Correct.
The Chairman. CH2M Hill says that's 2009?
Mr. Sabo. Correct.
The Chairman. You will not know--you will not--it will be
your position that 30 percent design work will not have been
done until that occurs?
Mr. Sabo. That's--that's where we are at at this point in
time in the discussions with the Authority.
The Chairman. So you would not be able to take a position,
you, the Administration, would not be able to take a position
in favor of legislation on the project until that is complete?
Mr. Sabo. As you know, really, before we can take a
position, the criteria that have been outlined in the Rural
Water Supply Act of 2006 has to be completed, so we have to be
able to go through that. So not only will we have to have the
feasibility study, but we'll also have to have the criteria
completed at that time to be able to go forward with supporting
the project. Our belief is, is that this is a good project.
There's no question.
Senator Domenici. What?
Mr. Sabo. Our belief is that this is a very good project
from the standpoint of being able to meet the needs of the
rural areas of New Mexico, but before we can really take a
position supporting it, we have to be able to comply with the
Act of 2006 and also have the feasibility study complete.
The Chairman. Senator Domenici, why don't you go ahead with
your questions?
Senator Domenici. Sir, we have had the leadership of this
community come see us. I am not trying to speak for more than
myself, but we have been around together, so I guess I can
continue to use the word ``us.''
We have had the community leadership tell us this is the
most important project. It's absolutely necessary. We have had
you, the Bureau, come along like puppy dogs. You are doing all
the work and everything is getting going, but when we really
get to it, you are not there. You can't do this because you
can't do that, and can't do the other because you can't do
this. I don't know where we are.
Seems to me this is a pretty straightforward deal. I mean,
do you have the money? Do you have the authority? Do you have
the direction from the legislation to proceed to do this or
not?
Mr. Sabo. We do, Senator.
Senator Domenici. Then why don't you do it?
Mr. Sabo. Because we still have to comply with provisions
of the Act that you passed.
Senator Domenici. Why don't you do that?
Mr. Sabo. We are. We are. We are moving forward with that
as expeditiously as we possibly can. Senator, we really believe
the tool that you gave us in 2006 allows us to move forward,
but until that point in time, we didn't really have the
capability to be able to do this. We really, as you know----
Senator Domenici. What did we give you in 2006?
Mr. Sabo. The Rural Water Supply Act of 2006.
Senator Domenici. In that Act, what did we give you?
Mr. Sabo. It gave us--it gave the Secretary of Interior the
ability to define the criteria by which we can support these
projects.
Senator Domenici. That's what you are going to try to do?
Mr. Sabo. Absolutely.
Senator Domenici. Is that a tough chore?
Mr. Sabo. It is a chore to go through the administrative
procedures process to comply with the provisions of the Act,
but it's a chore that we have regularly done and we will
complete.
Senator Domenici. So it is not overly burdensome and----
Mr. Sabo. Absolutely not. We believe that it is
imperative--sir, we really believe that we need to have that
tool in place. It is not just Eastern New Mexico. It is the 17
western States that are confronting these same kinds of issues,
and you have given us that opportunity to be able to do that.
Senator Domenici. Senator Bingaman, I don't know how you
feel, but I am glad we came down. Somehow or another, we have
to get out of the quagmire onto solid ground, and I don't know
what that is. Is it just to get from the Bureau that they have
got sufficient money, and they have got sufficient authority,
and they are going to proceed? I guess that's what I would like
to know, and I don't know if you are the person to give it to
us or not. Do we have to go above you and get somebody else to
tell the Congress that they are going to proceed with this
project and that they understand what they are doing?
Mr. Sabo. We will proceed with the development of the
criteria, and then we'll use the criteria to assess this
project to be able to take a position as to whether we can
support this project or not.
Senator Domenici. Thank you.
The Chairman. Thank you. Let me ask another couple of
questions before we move to our second panel. Given the
schedule that you have laid out for us, does the Bureau of
Reclamation expect to request funding for the rural water
program in the 2009 budget?
Mr. Sabo. At this point in time, I can't speak to the
President's budget for 2009. We did request $1 million in 2008
for Title II, to be able to proceed with that, of the Act, but
until we complete the rulemaking and the needs assessment, I
can't say whether we'll take a position on requesting funding
for this particular project. I apologize for that.
The Chairman. Yes. Let me ask: As I understand, one of the
things that's in the Act we passed last year, the 2006 Act, is
a requirement that you develop a rural water needs assessment.
Mr. Sabo. That's correct.
The Chairman. When do you expect that report to be
completed?
Mr. Sabo. That report is to be completed in December 2008.
The Chairman. 2008? So it is another 17 months from now?
Mr. Sabo. Correct.
The Chairman. Or 16 months from now?
Senator Domenici. But the needs is not us. It's all of it,
all the west.
Mr. Sabo. That's correct. It is a very extensive process.
The Chairman. In 2004, the committee had a hearing on a
bill that I had introduced in the 108th Congress to authorize
this project. I referred to that in the opening comments that I
made.
In response to one of my questions concerning the lack of
Bureau of Reclamation's support for the project, Reclamation
stated that its rural water activities were reviewed by the
Office of Management and Budget, which concluded that
``stronger controls for rural water project development are
needed and lack of Reclamation involvement during project
development increases the probability of projects that are not
successful according to the Federal Program Assessment
Measures.''
Could you tell us which of the authorized rural projects
have not been successful?
Mr. Sabo. That's an interesting question from the
standpoint that you are asking Reclamation to be able to
evaluate retroactively projects that are under construction or
have been completed based on, really, the criteria that you
guys--you, the Senators, provided to us, the tool to be able to
make that assessment. In other words, once we had the criteria
developed, then we'll be able to satisfy, I think, OMB's issues
with regard to the potential success of a project.
But to be honest with you, I am not probably the person to
answer the question about the success of other rural water
projects since I really--it's outside of my region, and I
haven't really participated in those, but let me----
The Chairman. Could we perhaps ask that you, as the
representative for the Bureau of Reclamation, get back to the
committee with an answer to the question of which of the--as I
understand it, Reclamation has 10 authorized rural water
projects that it is currently responsible for. Congress has
authorized 10.
Could you maybe get back to us with information about how
many of those projects have been completed, how many of them
construction has been completed on, and also whether any of
those projects met the 30 percent design level that Reclamation
is insisting upon here before they were authorized by the
Congress?
Mr. Sabo. Yes, sir.
The Chairman. OK.
Mr. Sabo. Absolutely.
The Chairman. That would be useful information. Did you
have some other questions?
Senator Domenici. No. I think that's perfect. If we get
that soon, I think we'll know where we are.
The Chairman. All right. Thank you again for being here,
and we appreciate your testimony very much, and we will move on
to the second panel.
Mr. Sabo. Thank you very much, Senators.
The Chairman. Let me go through the full list of our
witnesses here. Our State Engineer is on the second panel,
Mayor David Lansford, Mayor Orlando Ortega, both with the
Eastern New Mexico Rural Water Authority; John D'Antonio, our
State Engineer; Darrel Bostwick with the Ute Water Commission.
That's our second panel.
Let me also acknowledge the presence of the Senate Minority
Floor Leader, Stuart Ingle, from Portales. Thank you for being
here. We appreciate you arriving. Welcome to each of you.
Mayor Lansford, why don't we start with you and just go
across the table here. If you can just tell us the main things
you think we need to know about this project, and then we'll
undoubtedly have some questions for you.
STATEMENT OF DAVID LANSFORD, MAYOR, CLOVIS, NEW MEXICO, AND
CHAIRMAN, EASTERN NEW MEXICO RURAL WATER AUTHORITY, CLOVIS, NM
Mr. Lansford. Thank you, Mr. Chairman. Mr. Chairman,
ranking member Domenici, and committee members, my name is
David Lansford, and I currently serve as the Mayor of Clovis,
New Mexico. In addition, I also serve as Chairman of the
Eastern New Mexico Rural Water Authority. The city of Clovis
serves as a physical agent for the project and residents in
Curry County represent over 50 percent of the population that
will be served by the proposed Eastern New Mexico Rural Water
System.
Joining me today is Orlando Ortega, Mayor of Portales, New
Mexico. Mayor Ortega currently serves as the Vice Chairman of
the Eastern New Mexico Rural Water Authority. We are joined by
a number of supporters today, and in your packets, you will
find a collection of letters of support from government
officials and grassroots community leaders regarding the Water
Authority's proposed project.
One of the most significant challenges facing Clovis in the
21st century, if not the most significant challenge, is the
provision of a sustainable water supply for Eastern New Mexico.
Over the last 40 years, numerous studies have indicated the
need for the development of a renewable water supply for Curry
and Roosevelt Counties.
Communities within Curry and Roosevelt including Clovis,
Portales, Elida, Grady, Melrose, and Texico rely solely on
water reserves located in the Ogallala High Plains aquifer.
However, every study available clearly demonstrates that this
aquifer is being depleted. Local, State, and Federal Government
officials cannot ignore the facts highlighting our declining
water supply. We must take significant action today to ensure
the growth and viability of Eastern New Mexico for generations
to come.
There are a number of things that communities in our
effected region must do to protect our water supply including
the enactment of conservation methods and techniques. Yet,
municipal conservation is not adequate considering the amount
of water being used for agricultural irrigation. Current
estimates indicate that over 90 percent of the water taken from
the Ogallala aquifer is for agricultural purposes, and that
poses a challenging situation considering the fact that
agriculture is the bedrock of our local economy.
The Eastern New Mexico Rural Water System commonly referred
to as the Ute Water Pipeline Project offers the most efficient,
cost effective, and dependable solution for our ever present
water challenges.
In the 1950s, the State of New Mexico funded the
construction of a dam on the Canadian River which created Ute
Reservoir. The purpose of this reservoir is to provide a
domestic water resource for the citizens of Eastern New Mexico.
Several communities including Clovis have reserved water rights
at the reservoir, and we have established the Water Authority
to lead the development effort that will bring water via a
pipeline to communities within Curry and Roosevelt Counties.
This pipeline represents the best alternative for providing a
sustainable water supply for Eastern New Mexico well into the
next century.
In addition, this project seeks to eliminate competition
for water resources that exist between municipal, industrial,
and agricultural water users.
Senator Domenici. How much water is there now? How many
water rights are encompassed in the dam?
Mr. Lansford. There's 12 communities that actually have
water reserved in the reservoir, and then there's eight
communities within the Water Authority that are actively
pursuing the development of the project.
Senator Domenici. Thank you, Mayor.
Mr. Lansford. A sustainable supply of water is critical to
the socioeconomic future of Eastern New Mexico. Our region
supports a number of industries including dairy, large scale
food production and processing, ethanol refining, a critical
military presence, and colleges and universities among others.
We have been studying the efficiency of the Ute Water
Pipeline Project for a number of years, and our consultant team
has completed and submitted over 20 volumes of technical
memoranda on the project examining groundwater conditions,
population growth and water demand, conservation and reuse,
existing water systems, evaluation of alternatives,
environmental issues, Ute Reservoir operations, water treatment
needs, power service and wind power potential, cost estimating
and hydraulic optimization.
In short, our plans for the Ute Water Pipeline Project have
been thorough and comprehensive. We are here today to urge the
U.S. Senate Energy and Natural Resources Committee and New
Mexico's Congressional Delegation to expeditiously introduce
Federal legislation authorizing the financing, planning,
design, and construction of the Ute Water Pipeline at a Federal
cost share of 75 percent.
The Eastern New Mexico Rural Water Authority has been
working diligently and with limited resources to address the
water needs of our area, but a Federal authorization is
absolutely critical to making the Ute Water Pipeline a reality.
On behalf of the eight public entities that comprise the
Eastern New Mexico Rural Water Authority, we are appreciative
of this opportunity to discuss our region's long-term water
needs, and we look forward to working in concert with you to
protect the economic, health, and welfare of the citizens and
businesses of Eastern New Mexico. My colleagues and I will be
more than happy to answer questions. Thank you very much for
your time.
[The prepared statement of Mr. Lansford follows:]
Prepared Statement of David Lansford, Mayor, Clovis, New Mexico, and
Chairman, Eastern New Mexico Rural Water Authority, Clovis, NM
Mr. Chairman, Ranking Member Domenici, and committee members:
My name is David Lansford, and I currently serve as Mayor of
Clovis, New Mexico. In addition, I also serve as Chairman of the
Eastern New Mexico Rural Water Authority. The City of Clovis serves as
the fiscal agent for the project, and residents in Curry County
represent over fifty percent of the population that will be served by
the proposed Eastern New Mexico Rural Water System.
Joining me today is Orlando Ortega, Mayor of Portales, New Mexico.
Mayor Ortega currently serves as Vice Chairman of the Eastern New
Mexico Rural Water Authority. We are joined by a number of supporters
today, and in your packets you will find a collection of letters of
support from government officials and grassroots community leaders
regarding the water authority's proposed project.
One of the most significant challenges facing Clovis in the 21st
century if not the most significant challenge--is the provision of a
sustainable water supply for eastern New Mexico.
Over the last 40 years, numerous studies have indicated the need
for the development of a renewable water supply for Curry and Roosevelt
counties. Communities within Curry and Roosevelt--including Clovis,
Portales, Elida, Grady, Melrose, and Texico--rely solely on water
reserves located in the Ogallala/High Plains aquifer. However, every
study available clearly demonstrates that this aquifer is being
depleted.
Local, state, and federal government officials cannot ignore the
facts highlighting our declining water supply. We must take significant
action today to ensure the growth and viability of eastern New Mexico
for generations to come.
There are a number of things that communities in our affected
region must to do to protect our water supply--including the enactment
of conservation methods and techniques--yet municipal conservation is
not adequate considering the amount of water being used for
agricultural irrigation. Current estimates indicate that over 90% of
the water taken from the Ogallala aquifer is for agricultural purposes,
and that poses a challenging situation, considering the fact that
agriculture is the bedrock of our local economy.
The Eastern New Mexico Rural Water System, commonly referred to as
the Ute Water Pipeline Project, offers the most efficient, cost-
effective, and dependable solution for our ever present water
challenges. The concept of this project is almost fifty years old.
In the 1950s, the State of New Mexico funded the construction of a
dam on the Canadian River, which created Ute Reservoir. The purpose of
this reservoir is to provide a domestic water resource for the citizens
of eastern New Mexico. Several communities, including Clovis, have
reserved water rights at the reservoir, and we've established the water
authority to lead the development effort that will bring water via a
pipeline to communities within Curry and Roosevelt counties.
This pipeline represents the best alternative for providing a
sustainable water supply for eastern New Mexico, well into the next
century. In addition, this project seeks to eliminate competition for
water resources that exist between municipal, industrial, and
agricultural water users.
A sustainable supply of water at these levels--whether municipal,
industrial, or agricultural--is critical to the socio-economic future
of eastern New Mexico. Our region supports a number of industries,
including dairy, large-scale food production and processing, ethanol
refining, a critical military presence at Cannon Air Force Base, and
colleges and universities, among others.
We have been studying the efficacy of the Ute Water Pipeline
Project for a number of years, and our consultant team has completed
and submitted over 20 volumes of technical memoranda on the project,
examining groundwater conditions, population growth and water demand,
conservation and reuse, existing water systems, evaluation of
alternatives, environmental issues, Ute Reservoir operations, water
treatment needs, power service and wind power potential, cost
estimating, and hydraulic optimization. In short, our plans for the Ute
Water Pipeline Project have been thorough and comprehensive.
We are here today to urge the U.S. Senate Energy and Natural
Resources committee, and New Mexico's Congressional Delegation, to
expeditiously introduce federal legislation authorizing the financing,
planning, design, and construction of the Ute Water Pipeline, at a
Federal cost share of seventy-five percent. The Eastern New Mexico
Rural Water Authority has been working diligently and with limited
resources to address the water needs of our area, but a federal
authorization is absolutely critical to making the Ute Water Pipeline a
reality.
On behalf of the eight public entities that comprise the Eastern
New Mexico Rural Water Authority, we are appreciative of this
opportunity to discuss our region's long-term water needs, and we look
forward to working in concert with you to protect the economic health
and welfare of the citizens and businesses of eastern New Mexico.
My colleagues and I will be more than happy to answer any of your
questions regarding this project. Thank you for your time and
consideration.
Attachment.--Ute Pipeline Project
Eight cities and counties on the eastern side of New Mexico
make up the Eastern NM Rural Water Authority (ENMRWA),
including: Clovis, Curry County, Elida, Grady, Melrose,
Portales, Roosevelt County and Texico.
Presently, municipal and commercial water supply to the
region is provided entirely by groundwater from the Ogallala
formation of the High Plains Aquifer.
Groundwater levels in the region are declining at an average
rate of approximately 2.6 ft/yr.
The NE New Mexico Regional Water Plan (June 2006)
specifically identifies the ENMRWS as a priority strategy for
long term sustainable water supply to the region.
There is no viable or more cost effective alternative to a
Ute pipeline project. Other than the surface water from Ute
Reservoir available to New Mexico through the Canadian River
Compact, there is not a sustainable water supply available to
the citizens of eastern New Mexico.
A brackish water supply project using aquifers located below
the Ogallala is not viable economically nor is it sustainable.
The only potential alternative for making the fresh groundwater
supply sustainable is rapid, large-scale buyout and retirement
of irrigated agriculture at massive cost and an undesirable
(some say catastrophic) socio-economic impact.
A sustainable supply of municipal and industrial water is
critical to the socio-economic future of eastern New Mexico and
is in the national interest. The area supports large scale food
production (peanuts, cheese, milk and milk products), an
expanding ethanol industry, a regional education complex
(Eastern NM University), extensive railway commerce, a critical
military presence at Cannon AFB, and regional large scale wind
power development.
The City of Clovis' Comprehensive Plan (2007) identifies the
development of a long-term sustainable water supply for the
region as its #1 Infrastructure Goal, with five main
components:
--Implement the ENMRWS as quickly as possible.
--Protect the quality of existing water supplies in Ute Reservoir
and the Ogallala aquifer.
--Implement an effective water conservation program.
--Implement an effective wastewater reuse program.
--Continue to identify, evaluate and plan for new long-range water
sources.
Stringent conservation and reuse programs, coupled with
retirement of much agricultural pumping could prolong the
present groundwater supply in the Ogallala, but probably for
only a decade or two based on simulations made with several
groundwater models.
Failure to use the supply of New Mexico water available in
Ute Reservoir for Municipal and Industrial purposes could lead
to it being ``lost to Texas'' under provisions of the Canadian
River Compact.
In February 2005, Reclamation, through a specially assembled
``oversight committee,'' provided a review of the ENMRWS
Conceptual Design Report and related documents. The review
document posed seven (7) basic questions that the committee
felt needed further development, as follows:
--Need for the Project.
--Thorough Analysis of Existing Water Supply Resources.
--Alternatives Analysis.
--Environmental Considerations.
--Design and Cost Estimates.
--Benefits/Cost Analysis.
--Cost Sharing.
Since receiving the review report the ENMRWA working with
Reclamation, the NM Interstate Stream Commission, Office of the State
Engineer, and its technical consultants have addressed each of the
questions and comments in considerable detail and as a collaborative
effort. Of the seven items, the outstanding issues remaining include:
--Completion of the environmental investigations and documentation
(NEPA). This effort is underway and is being done in
parallel with the preparation of 30% design documents.
--Completion of the Benefit/Cost Analysis. This effort is a
collaboration between the ENMRWA consultant team and
Reclamation's Denver Technical Center staff. A great deal
of background work has been done--completion is anticipated
by the end of 2007.
--Final concurrence on the Federal/non-Federal cost sharing
arrangement. The model proposed by the ENMRWA and State of
New Mexico recommends a 10% Local--15% State--75% Federal
participation based on prior economic studies, local and
state financial planning activities and regional rural
water supply project experience in other Reclamation
states.
The ENMRWA consultant team has completed 20+ technical
memoranda on the project including groundwater conditions,
population growth and water demand (need), conservation and
reuse, existing water systems, evaluation of alternatives,
environmental issues, Ute Reservoir operations, water treatment
needs, power service and wind power potential, cost estimating
guide, and hydraulic optimization of the system. At the end of
the day, all of the recent study efforts and those going back
over the past 44 years conclude that the Ute Pipeline project
is the solution.
The ENMRWA, through ongoing consulting contracts, has
completed a 10% level design on the entire project which will
serve as the ``best technical alternative'' (BTA) in the
environmental process. The 10% design documents include:
pipelines, pump stations, water treatment and administration
facilities, electrical and controls, Ute Reservoir intake
structure, storage, corrosion and architecture.
The environmental investigations and documentation phase
(NEPA) is presently underway and will take approximately two
years to complete.
The layout and capacity of the presently proposed BTA water
supply project has been optimized in the latest engineering
work by design consultants to be the most hydraulically
efficient, cost effective project possible. The latest
engineering work validates the work of at least three previous
studies done by various agencies and consultants--each of which
recommended a project with a configuration and route similar to
that now proposed.
The current cost estimate is $436 million (2006$) and the
project is expected to incur an $8 to 9 million annual
operation and maintenance (O&M) cost. O&M will be entirely
borne by the users and these costs are included in the
projected wholesale water rates.
To date, the State of New Mexico has provided significant
investment in the project having authorized or appropriated
approximately $7.5 million to advance the planning and design
of the project and to prepare associated environmental
investigations and documentation (NEPA). Out of hundreds of
projects submitting applications for funding through the NM
Water Trust Board since its inception, the ENMRWS has
consistently ranked in the top tier of projects and was the #1
and #2 ranked project in the state over the past two fiscal
years.
The recent steep escalation in construction costs indicates
that postponing the project may lead to greatly increased
costs--escalation of construction costs is outpacing general
economic inflation by 2-3% per year.
With the proposed Federal cost share at 75%, the projected
wholesale cost of water to ENMRWA members is on the order of
$2.25-2.50/1000 gallons (2006$). Coupled with additional
charges to keep local distributions systems and some of wells
operational as back up supply, this is still within the range
of about $3.00/1000 gallons presently paid by several NM
communities.
Based on recent dialogue with the NM Congressional
Delegation and staff it is anticipated that federal authorizing
legislation (at a 75% federal share) could be re-introduced in
committee in early 2008. The 25% non-federal cost share is
anticipated to be borne by the ENMRWA members and the State of
New Mexico.
Unlike many other water projects in New Mexico and the
southwest, the proposed ENMRWS project has no known or
anticipated significant environmental issues, no associated
Native American settlement, and no water rights disputes. The
water in Ute Reservoir is owned by the state and administered
by the NM Interstate Stream Commission (ISC). The ISC and the
members of the Ute Reservoir Water Commission, which includes
the eight ENMRWA members, have a relatively straightforward
water purchase agreement in effect.
Programmed next steps for the ENMRWA include completion of
NEPA activities, completion of an updated financial plan and
economic study (December 2007), completion of a 30% level
design effort, a subsequent Value Engineering (VE) study,
right-of-way planning, property owner liaison and continued
public involvement.
The ENMRWA members adopted a Strategic Plan for the project
with aggressive goals for the next two years (2007-2009) at
their monthly meeting in Portales in July 2007, as follows:
--Obtain Federal Authorization by October 1, 2008.
--Initiate a ``full court press'' project campaign, starting in
August 2007 including:
Part 1--Coalition building
Part 2--Federal Action plan
Part 3--State Action plan
--Convert organizational structure to formal water ``Authority'' by
July 1, 2008.
--Complete 30% level design of entire project by May 1, 2009.
--Complete structured independent Value Engineering analysis
following 30% design.
--Complete environmental investigations and documentation (NEPA
activities) by December 2009.
--Complete Financing and Funding Plan by December 2007 including:
ENMRWA member financial planning.
Reclamation led Economic Benefits study.
On behalf of the eight member entities of the ENMRWA and our
citizens and businesses we sincerely appreciate your continued
support of this critical project and for holding this field
hearing in eastern New Mexico. Collectively, we have made major
investments in this project in time, energy, resources and
funds with the full recognition that the cost of inaction will
be much greater down the road without it.
This field hearing represents a critical milestone in the
project's overall development and we look forward to carrying
this momentum into the next important milestone steps of
authorization, design, construction and water delivery.
The Chairman. Thank you very much. Mayor Ortega, we are
glad to have you here, and thank you for your leadership along
with Mayor Lansford on this project.
STATEMENT OF ORLANDO ORTEGA, MAYOR, PORTALES, NEW MEXICO, AND
VICE CHAIRMAN, EASTERN NEW MEXICO RURAL WATER AUTHORITY,
PORTALES, NM
Mr. Ortega. Thank you, Senator Bingaman.
Senator Domenici. Good to have you here.
Mr. Ortega. Senator Domenici, good to see you. I do have
prepared this statement here, testimony that I would like to
present to you. My name is Orlando Ortega, Mayor of Portales,
New Mexico and Vice Chair of the Eastern New Mexico Rural Water
Authority.
First, I would like to take this opportunity to thank you
to allow us to testify before your committee regarding our
critical need to build this Ute Pipeline Project, and I
personally want to express to both of you my deepest
appreciation for your continued support of the Ute Pipeline
Project and for your efforts on behalf of improving the quality
and sustainability of the water supply for communities across
Eastern New Mexico including Clovis, Portales, Melrose, Texico,
Grady, and Elida and Curry and Roosevelt Counties.
As you know, we enjoy a great quality of life in Portales.
We are home to Eastern New Mexico University, one of the
largest universities in the State. We are one of the principal
producers of the Valencia peanuts in the U.S. and are best
known for our successful growing dairy industry.
Last year, we ranked 15th in the Nation and 9th in the
western United States in overall quality of life by a national
journal publication for micropolitan communities. That's a
population up to 50,000. This success comes as no surprise to
us.
Our community as a whole is very focused and has worked
diligently for years to provide the finest quality of life
while offering the best opportunities possible to all who
choose to live here. Our community is prospering and is
experiencing positive growth. I tell you this because our
nearly 19,000 citizens, over 500 registered businesses and
industries and our State and local government officials are
fully committed to preserving this community for generations to
come.
We are developing and implementing water conservation
measures which clearly demonstrate that stewardship of our
water supply is of paramount importance to our economic future.
We declared the summer of 2007 to be a water-wise summer and
have set a goal of saving 5 percent water usage per month from
May through August, a goal that we have been very successful in
meeting.
While we have been working to improve our water supply in a
variety of ways, including the purchase of additional property
and water rights, we must also aggressively continue to explore
other alternatives to ensure the continued availability of
water for our region.
Just recently, we have added four new wells in our water
well field and have installed pipe to add another six wells. We
are continuously establishing new wells and refining our
control system in order to keep pace with today's demands. We
are currently pumping an average of six to 6.2 million gallons
daily with peak demands of 9 million gallons.
Yet, at last report, many of our wells are still dropping,
many at an average rate of two-and-a-half feet per year.
Experts estimate that our current water supply under today's
demand will only last another 18 years. It is time to address
other ways to improve our water supply. Today, the most viable
alternative is construction of the Ute Pipeline, which has the
potential to provide Eastern New Mexico with a long-term
renewable water source by linking our communities to Ute
Reservoir.
There is no question that the cost of this project is
considerable, but with the assistance of Congress, the State of
New Mexico, and contributions from communities like the city of
Portales, we are confident that this important pipeline can be
built.
Significant progress has been made on this project. Working
together, the Legislature and Governor Richardson have invested
millions of dollars in the Water Trust Fund, which seeks to
provide funding for water projects across New Mexico. Now we
look forward to the most critical turning point, which leads me
to appear before you today.
We are here today to collectively seek your support in
obtaining a commitment to provide an authorization and
subsequent funding of the Ute Pipeline. We recognize the
difficult decisions that you face in weighing the merits of
numerous projects and many serious water needs around our State
and throughout the country.
However, we cannot emphasize strongly enough how important
this project is for our member entities and for the citizens
and businesses of Eastern New Mexico. Much discussion has taken
place regarding the ability and willingness to support a
project of this size. Simply, many have asked, ``Can we afford
the cost?'' However, the more pressing question is not if we
can afford to fund the Ute Pipeline project, but rather can we
afford not to fund this project.
The long-term sustainability and economic viability of
communities in Eastern New Mexico is at serious risk, and we
must take action now to protect this region for generations to
come. Thank you again for the opportunity to present our
request at this very important hearing.
[The prepared statement of Mr. Ortega follows:]
Prepared Statement of Orlando Ortega, Mayor, Portales, New Mexico, and
Vice Chairman, Eastern New Mexico Rural Water Authority, Portales, NM
Mr. Chairman and Senator Domenici: My name is Orlando Ortega, Mayor
of Portales, New Mexico and Vice Chair of the Eastern New Mexico Rural
Water Authority.
First, I would like to thank you for the opportunity to testify
before your Committee regarding our critical need to build the Ute
Pipeline project. And I personally want to express to both of you my
deepest appreciation for your continued support of the Ute Pipeline
Project, and for your efforts on behalf of improving the quality and
sustainability of the water supply for communities across eastern New
Mexico--including Clovis, Portales, Melrose, Texico, Grady, and Elida,
and Curry and Roosevelt Counties.
As you know, we enjoy a great quality of life in Portales. We are
home to Eastern New Mexico University, one of largest universities in
the state. We are one of the principal producers of Valencia peanuts in
the United States, and are best known for our successful, growing dairy
industry. Last year, we ranked fifteenth in the nation and ninth in the
western United States in overall quality of life by a national journal
publication for micropolitan communities, populations of 10 to 50
thousand.
This success comes as no surprise to us. Our community, as a whole,
is very focused and has worked diligently for years to provide the
finest quality of life--while offering the best opportunities
possible--to all who choose to live here. Our community is prospering
and is experiencing positive growth. I tell you this because our nearly
19,000 citizens, over 500 registered businesses and industries and our
state and local government officials are fully committed to preserving
this community for generations to come.
We are developing and implementing water conservation measures
which clearly demonstrate that stewardship of our water supply is of
paramount importance to our economic future. We declared the summer of
2007 to be a ``water-wise summer,'' and have set a goal of saving five
percent water usage per month from May through August, a goal that we
have been successful in meeting.
While we have been working to improve our water supply in a variety
of ways, including the purchase of additional property and water
rights, we must also aggressively continue to explore other
alternatives to ensure the continued availability of water for our
region.
Just recently, we have added four new wells and ran pipe to add
another six wells. We are continuously establishing new wells and
refining our control system in order to keep pace with our water
demands. We are currently pumping around 6 to 6.2 million gallons daily
with peak demands of 9 million gallons. Yet, at last report, many of
our wells are still dropping at an average rate of 2.5 feet per year.
Experts estimate that our current water supply under today's demand
will only last another 18 years.
It is time to address other ways to improve our water supply.
Today, the most viable alternative is construction of the Ute Pipeline,
which has the potential to provide eastern New Mexico with a long-term,
renewable water source by linking our communities to Ute Reservoir.
There is no question that the costs of this project are considerable,
but with the assistance of Congress, the State of New Mexico, and
contributions from communities like the City of Portales, we are
confident that this important pipeline can be built.
Significant progress has been made on this project. Working
together, the Legislature and Governor Richardson have invested
millions of dollars in the Water Trust Fund, which seeks to provide
funding for water projects across New Mexico. And now we look forward
to the most critical turning point, which leads me to appear before you
today. We are here today to collectively seek your support in obtaining
a commitment to provide an authorization and subsequent funding for the
Ute Pipeline.
We recognize the difficult decisions that you face in weighing the
merits of numerous projects and many serious water needs around our
state and throughout the country. However, we cannot emphasize strongly
enough how important this project is for our member entities and for
the citizens and businesses of eastern New Mexico.
Much discussion has taken place regarding the ability and
willingness to support a project of this size. Simply, many have asked,
``Can we afford the cost?''
However, the more pressing question is not if we can afford to fund
the Ute Pipeline Project, but rather, ``Can we afford not to fund this
project?'' The long-term sustainability and economic viability of
communities in eastern New Mexico is at serious risk, and we must take
action now to protect this region for generations to come.
Thank you again for the opportunity to present our request at this
important hearing.
The Chairman. Thank you very much for the excellent
testimony. Why don't we go right to the testimony now of our
State Engineer, John D'Antonio? Thank you for being here.
STATEMENT OF JOHN D'ANTONIO, JR., NEW MEXICO STATE ENGINEER,
AND SECRETARY, NEW MEXICO INTERSTATE STREAM COMMISSION, SANTA
FE, NM
Mr. D'Antonio. Thank you, Mr. Chairman, Chairman Bingaman,
and Ranking Member Domenici. I am pleased to offer testimony
today regarding the Ute Pipeline Project. I am the New Mexico
State Engineer and Secretary of the New Mexico Interstate
Stream Commission.
The Ute Reservoir is a valuable asset of the State of New
Mexico and the Ute Pipeline Project is an important water
supply project for Eastern New Mexico communities. The State of
New Mexico supports the Ute Pipeline project and has invested
funding and staff support toward the planning of this project
for several years.
Anticipating the potential water needs of Eastern New
Mexico and in the interest of minimizing New Mexico's use of
water--or maximizing the use of water from the Canadian River,
New Mexico ISC completed the construction of the Ute Dam and
Reservoir in 1962 at a present-day cost of over $125 million.
The reservoir was constructed for the specific purpose of
providing sustainable drinking water supply for the people of
Eastern New Mexico. The ISC owns and operates the dam and
reservoir for the benefit of New Mexico.
Pursuant to the Canadian River Compact, New Mexico is
allowed to store up to 200,000-acre feet of water for use in
New Mexico from the Canadian River system below Conchas Dam.
The Ute Reservoir stores approximately 200,000-acre feet of
water pursuant to a permit issued by the State Engineer in
1962. New Mexico is committed to maintaining the safety of Ute
Dam and beneficially utilizing its waters.
Senator Domenici. Where does the State Engineer get the
water?
Mr. D'Antonio. Senator Domenici, the water comes as a
result of a lot of its snow pack through the Canadian River
system, and there is a compact with the State of Texas. We
actually were in--pretty good water year last year and wound up
sending about 8,000-acre feet down to Texas, which is about
half of what these communities are going to be using in a given
year, and it was just free water for the State of Texas.
The Chairman. I saw something in the paper this morning
that it is 96 percent full now, and if it gets to 100 percent,
we then have to send more to Texas, right?
Mr. D'Antonio: Yes.
The Chairman. That's another reason we need to build this
pipeline.
Senator Domenici. What you are busy at is making sure that
the water rights that we are supposed to get, that we're ready
for them, and that we have the facilities, and all of the other
things that we didn't have 15 or 20 years ago, but we have been
working very hard to put those things together. Is that----
Mr. D'Antonio. Senator Domenici, the reservoir has been
there and it was constructed in 1962. There's been contracts
that the State of New Mexico has entered into with all of these
communities. They have actually been paying--funding for, I
think, it's about $36,000 a year to maintain a right to that
contract water.
So essentially, all we are waiting for is to build the
conveyance structure to utilize that water in these Eastern New
Mexico communities.
Senator Domenici. Super. That's a lot of money and we got
to figure out how to do it, right?
Mr. D'Antonio. Right. Should I continue?
The Chairman. Yes.
Mr. D'Antonio. In 1987, the communities of Clovis,
Tucumcari, Portales, San Jon, Logan, Texico, Melrose, Elida,
and Grady and the counties of Curry, Roosevelt and Quay entered
into a Joint Powers Agreement forming the Ute Water Commission.
In 1997, the ISC entered into a contract with the Ute Water
Commission to sell 24,000-acre feet per year of water from Ute
Reservoir to the Ute Water Commission's member communities.
Since that time, the Ute Water Commission has paid an option
payment of $36,000 per year to the ISC to preserve its
contractual allocation of water. That agreement can be extended
if necessary to accommodate the pipeline construction schedule
required by the Ute Pipeline Project.
In 2001, Eastern New Mexico Rural Water Authority was
formed through a Joint Powers Agreement among the communities
of Clovis, Portales, Texico, Melrose, Elida and Grady and the
counties of Curry and Roosevelt. The Authority will provide a
mechanism for Eastern New Mexico communities to be able to
utilize water from the Ute Reservoir for a drinking water
supply through the pipeline project.
Ute Reservoir for eastern New Mexico communities is
critical. Most of Eastern New Mexico now relies on non-
renewable groundwater from the Entrada and the Southern High
Plains Ogallala aquifers. Consistent groundwater pumping in the
area has caused water levels to climb that exceeded 100 and the
current pumping rates of the aquifer near Clovis and Portales
will not be able to sustain the existing demand for--certainly
for more than 40 years. We are actually looking at something
closer to 20 years as a critical juncture.
The water quality in both aquifers is also deteriorating.
The rapid depletion and deterioration of these aquifers places
the economic liability of Eastern New Mexico communities at
risk.
In my capacity as State Engineer, I have been asked about
the availability of water for economic development projects in
Eastern New Mexico. On recent occasions, companies have been
unwilling to locate in the area because of a lack of
sustainable water supply. Ute Reservoir provides the only
reliable source of renewable water in the region and the
pipeline project is necessary to enable communities to utilize
that water resource.
Much deeper, brackish aquifers have been considered. They
have been rejected as potential future water supply sources.
There's been a study in 2005 that determined that brackish
water in the project area are up to 1,000 feet deep with very
low groundwater yields and the conclusion was it is an
unreliable non-cost effective source of water.
In 2003, the Authority prepared a conceptual design report
of the pipeline project, but in December 2003, the ISC obtained
an independent peer review of that report. In 2003, the ISC
also completed a sedimentation study of the reservoir
indicating that the future capacity of the reservoir will allow
the pipeline project to be viable for at least 80 years.
In December 2006, the Authority completed a preliminary
engineering report for the project and the ISC and the Bureau
of Reclamation reviewed the report and concurred that the
pipeline project has the most economic, environmentally benign
and technologically reasonable solution to Eastern New Mexico's
water supply problems. Since 2006, the ISC staff has been
working with the Bureau and the Authority to continue progress
on the project.
In addition, in 2004, ISC staff completed preliminary
ecological surveys in anticipation of an environmental impact
statement. These studies revealed no major environmental
concerns.
In 2006, the ISC joined the State of Texas in a habitat
conservation plan for the Arkansas River Shiner downstream of
the dam. This plan has allowed the U.S. Fish and Wildlife
Service to exclude certain areas of land from designation of
critical habitat for the fish in the two States.
The issues remaining to be completed include completion of
the project design document at 30 percent completion level and
completion of the necessary environmental studies required
under NEPA. The Authority has contractors currently assessing
the NEPA requirements, and the Authority and the ISC have
requested to be joint lead agencies with the Bureau of
Reclamation for any NEPA compliance work.
Funding this project is very important. Since 2002, the
State of New Mexico has provided funding to the Ute Pipeline
Project in the amount of seven-and-a-half million dollars, and
concurrent with Federal expenditures, New Mexico will support
additional State and other non-Federal funding sources to
ensure that the project can be completed in a timely manner.
Mr. Chairman, Ranking Member Domenici, the State of New
Mexico, the Office of the State Engineer and the Interstate
Stream Commission support the development of the Eastern New
Mexico Rural Water System and request that you fully support
and fund this worthy project to help us meet the present and
future water needs of the citizens of Eastern New Mexico, and
again, I appreciate the opportunity to make this report.
[The prepared statement of Mr. D'Antonio follows:]
Prepared Statement of John D'Antonio, Jr., New Mexico State Engineer,
and Secretary, New Mexico Interstate Stream Commission, Santa Fe, NM
Chairman Bingaman and Ranking Member Domenici, I am pleased to
offer testimony today regarding the Eastern New Mexico Rural Water
System. I am the New Mexico State Engineer and the Secretary of the New
Mexico Interstate Stream Commission. Ute Reservoir is a valuable asset
of the State of New Mexico and the Eastern New Mexico Rural Water
System is an important water supply project for eastern New Mexico
communities. The State of New Mexico supports the Eastern New Mexico
Rural Water System project and has invested funding and staff support
toward the planning for this project for several years.
Anticipating the potential water needs in eastern New Mexico and in
the interest of maximizing New Mexico's use of water from the Canadian
River stream system, the New Mexico Interstate Stream Commission
completed construction of Ute Dam and Reservoir in 1962 at a present
day cost of over $125 million. The reservoir was constructed for the
specific purpose of providing a sustainable drinking water supply to
the people of eastern New Mexico. The Interstate Stream Commission owns
and operates the dam and reservoir for the benefit of New Mexico.
Pursuant to the Canadian River Compact and subject to the requirements
of the Stipulated Judgment and Decree entered by the U.S. Supreme Court
in Oklahoma v. New Mexico, 501 U.S. 126 (1993), New Mexico is allowed
to store up to 200,000 acre feet of water for use in New Mexico from
the Canadian River system below Conchas dam. Ute Reservoir stores
approximately 200,000 acre-feet of water pursuant to a permit issued by
the State Engineer in 1962. New Mexico is committed to maintaining the
safety of Ute Dam and beneficially utilizing the waters within Ute
Reservoir.
In 1987, the communities of Clovis, Tucumcari, Portales, San Jon,
Logan, Texico, Melrose, Elida and Grady and the Counties of Curry,
Roosevelt and Quay, entered into a Joint Powers Agreement forming the
Ute Water Commission. In 1997, the Interstate Stream Commission entered
into a contract with the Ute Water Commission to sell 24,000 acre-feet
per year of water from Ute Reservoir to the Ute Water Commission's
member communities. Since that time, the Ute Water Commission has paid
an option payment of $36,000 per year to the Interstate Stream
Commission to preserve its contractual allocation of water. That
agreement can be extended if necessary to accommodate the pipeline
construction schedule required by the Eastern New Mexico Rural Water
System project.
In 2001 the Eastern New Mexico Rural Water Authority, (the
Authority) was formed through a Joint Powers Agreement among the
communities of Clovis, Portales, Texico, Melrose, Elida and Grady and
the Counties of Curry, Roosevelt and Quay. The Authority will provide a
mechanism for eastern New Mexico communities to be able to utilize
water from Ute Reservoir for a drinking water supply by managing the
pumping, storage, and delivery of Ute water through the Eastern New
Mexico Rural Water System pipeline project.
The development and conveyance of Ute Reservoir water to eastern
New Mexico communities is critical. Most of eastern New Mexico now
relies on non-renewable ground water from the Entrada and Southern High
Plains/Ogallala aquifers. Consistent groundwater pumping in the area
has caused water level declines that have exceeded 100 feet. At current
pumping rates, a recent study by CH2M Hill indicates the remaining
saturated thickness of the aquifer near Clovis and Portales will not be
able sustain the existing demand for more than 40 years. The water
quality in both aquifers is also deteriorating.
The rapid depletion and deterioration of these aquifers places the
economic viability of eastern New Mexico communities at risk. In my
capacity as State Engineer, I have been asked about the availability of
water rights for economic development projects in eastern New Mexico.
On recent occasions, companies have been unwilling to locate in the
area because of a lack of a sustainable water supply. Ute Reservoir
provides the only reliable source of renewable water in the region, and
the pipeline project is necessary to enable communities to utilize that
water resource.
Much deeper, brackish aquifers have been considered--and rejected--
as potential, future water supply sources. A study by the engineering
firm, CH2M Hill, in 2005, determined that the brackish water aquifers
in the project area are up to 1000 feet deep with low ground water
yields. The conclusion of this investigation was that reliable, cost-
effective treatment and development of these saline aquifers is decades
away and, in any event, would not provide a renewable water supply.
In 2003, the Authority prepared a Conceptual Design Report of the
pipeline project, and in December 2003, the ISC obtained an independent
peer review of that report. In 2003, the ISC also completed a
sedimentation study of the reservoir indicating that the future
capacity of the reservoir will allow the pipeline project to be viable
for at least eighty years. In December 2006, the Authority completed a
Preliminary Engineering Report for the project. The Interstate Stream
Commission and the Bureau of Reclamation reviewed the Preliminary
Engineering Report and concurred that the pipeline project was the most
economic, environmentally benign, and technologically reasonable
solution to eastern New Mexico's water supply problems. Since 2006, the
Interstate Stream Commission staff has been working with the Bureau of
Reclamation and the Authority to continue progress on the project. For
example, the Authority has contracted with CH2M Hill to prepare
additional design documents to support the project.
In addition to work relating to evaluation of the engineering
aspects of the project, during 2004, Interstate Stream Commission staff
completed preliminary ecological surveys in anticipation of an
Environmental Impact Statement. These studies revealed no major
environmental concerns. In 2006, the Interstate Stream Commission
joined with the State of Texas in a habitat conservation plan for the
Arkansas River Shiner downstream of the dam. This plan will provide
benefits to the Arkansas River Shiner and has allowed the US Fish and
Wildlife Service to exclude certain areas of land from a designation of
critical habitat for the fish in the two states.
The issues remaining to be completed include completion of the
project design documents at the 30% completion level and completion of
the necessary environmental studies required under NEPA. The work
remaining will build off of existing work in progress. For example, the
Authority has contractors currently assessing the NEPA requirements and
the Authority and the Interstate Stream Commission have requested to be
Joint Lead Agencies with the Bureau of Reclamation for any NEPA
compliance work.
Funding this project is very important. Since 2002, the State of
New Mexico has provided funding to the Eastern New Mexico Rural Water
System project in the amount of $7,524,400. Concurrent with federal
expenditures, New Mexico will support additional state and other non-
federal funding sources to ensure that the project can be completed in
a timely manner. Completion of this project will provide the eastern
New Mexico communities in Curry and Roosevelt counties a reliable and
renewable source of water to support economic development and current
and future needs.
Mr. Chairman and Ranking Member Domenici, the State of New Mexico,
the Office of the State Engineer, and the Interstate Stream Commission
support the development of the Eastern New Mexico Rural Water System
and request that you fully support and fund this worthy project to help
us meet the present and future water needs of the citizens of eastern
New Mexico. I appreciate the opportunity to address the Committee on
this important water project.
The Chairman. Thank you very much for your statement. We
appreciate it, and we will have some questions here after we
hear from Mr. Bostwick. Darrel Bostwick is the Chair of the Ute
Water Commission. We very much appreciate him being here. He's
been involved in promoting this project for a great many years,
and we look forward to hearing your point of view on it, so go
right ahead.
STATEMENT OF DARREL BOSTWICK, CHAIRMAN, UTE WATER COMMISSION,
MELROSE, NM
Mr. Bostwick. Mr. Chairman and members of the committee, my
name is Darrel Bostwick, and I currently serve as Chairman of
the Ute Water Commission, a Joint Powers Agreement entity
involving local government in Quay, Curry, and Roosevelt
County.
As a former County Commissioner in Curry County and
Councilman for Melrose, my involvement in development of
Eastern New Mexico Rural Water Supply Project dates back to
1964 when 17 communities formed an association to study the
feasibility of utilizing water impounded in the Ute Reservoir
near Logan to support--to supplement the dwindling groundwater
resource of Eastern New Mexico.
Funding for the development of the Ute Reservoir was
authorized by the New Mexico State Legislature in 1959.
Construction was completed in 1963. It was built with the
express purpose of providing a sustainable water supply for
Eastern New Mexico.
A related purpose was to capture and store approximately
200,000-acre feet of conservation storage authorized in the
Canadian River compact which was approved in 1950 by agreement
of the States of Texas, Oklahoma, and New Mexico. Compact
provision were approved by Congress in 1952.
My testimony today will outline the efforts made over the
past four decades to plan a sustainable water supply for the
communities of Curry and Roosevelt County, which are dependent
on the Ogallala aquifer as their only source of drinking water.
Studies show and history provides that the Ogallala is a finite
water resource, which isn't sustainable and will eventually be
unsuitable for--to sustain the economic base in the region.
So the proposed project being discussed today isn't new. It
was part of the overall plan devised by the New Mexico
Legislature and State Water Engineer, Steve Reynolds, to
address the future needs of our area--of our area. Now almost
50 years later, the future has arrived and we need your support
to bring this project to reality.
The original plan envisioned a 286-mile pipeline delivering
water to communities as far south as Jal. Since that time,
literally dozens of feasibility studies, engineering reports,
environmental assessments, and financial proposals have been
completed. Many of the original communities interested in the
project have dropped out of the Association due to the
perceived high cost of the project and the belief of some that
the aquifer would always supply the water needed for municipal
and industrial purposes.
I am honored to be here today representing the counties and
communities who have been vigilant in pursuing this project
because I was among the elected officials who embarked on this
journey back in 1964 and have been actively involved over all
these years in some capacity or another. The hearing today will
provide a good historical role for you of the many milestones
completed over the years since I have been involved since the
beginning.
I get to cover the early history of the project. Here are
some of the milestones that have passed over--since that time:
Formation of the Eastern New Mexico Inner Community Water
Association in 1963, completion of the first engineer report on
that project in 1964, initial development plans completed by
the Bureau of Reclamation in 1966. BOR completed its first
major study in 1972 and the drafted environmental impact
statement was completed in 1974. A congressional hearing, field
hearing, was held in Tucumcari in 1975 and was chaired by then
Congressman Manuel Lujan.
The State Environmental Department and the Federal
Environmental Protection Agency--excuse me--both recommended
that a water treatment facility be added to the proposed
project. In 1975, Hobbs and other communities south of
Roosevelt County opted out of the project. 1975, 1978, and
1981, the New Mexico legislature authorized the sale of bonds
to raise the spillway at Ute Reservoir by 18 feet, which
significantly increased the storage capacity of the reservoir
and doubled the surface area of the lake. The BOR completed the
spillway project in 1984.
Beginning in 1982, Tucumcari began reserving water from Ute
Reservoir to meet future water needs. A similar reservation
agreement was initiated by Clovis in 1984 reserving the
remaining estimated yield on behalf of other communities in
Quay, Roosevelt, and Curry Counties.
In 1996, the Ute Reservoir Commission was formed. Its
stated purpose was to protect and utilize future and existing
water rights and water resources to plan and develop, for
equitable distribution, water from Ute Reservoir and to provide
a mechanism to plan, develop, and acquire financing, protect
and conserve water--Ute water resources for the common benefit
of all parties.
In 1986, the State Water Engineer requested technical
assistance from the Bureau of Reclamation to study the
feasibility of an interactive project serving communities of
Curry, Quay and Roosevelt Counties. The BOR design report was
completed in 1989 and was followed by a special environmental
report for the project in 1993.
The 1996 Interstate Stream Commission reservation and
purchase contract with the Ute Water Commission was amended and
extended to include the increased annual yield of 24,000-acre
feet per year. In 1998, Smith Engineering was selected to
prepare a conceptual design for the project and provide
adequate information for the local sponsors to pursue financing
for final design and construction to the main project to change
the--the name of the project was changed to Eastern New Mexico
Rural Water Supply Project, and the latest push for the project
was launched.
Mr. Chairman, I realize that my time has expired and I want
to give others the opportunity which they have already had, but
I want to thank Mayor Lansford, Mayor Ortega, the State
Engineer's Office, the Water Trust Board and especially the
Governor of New Mexico that has supported this project for many
years.
Let me conclude my remarks this morning with the following
observation: After dozens of studies and reports, I believe
this project is clearly needed. It is straightforward from the
design, construction, and operation standpoint that has no
legal impediments, no environmental issues that haven't been
addressed, and is ready to receive authorization and funding so
that construction of the facility can proceed. Thank you again
for the--allowing me to participate in this hearing today, and
I'll be available for questions.
[The prepared statement of Mr. Bostwick follows:]
Prepared Statement of Darrel Bostwick, Chairman, Ute Water Commission,
Melrose, NM
Mr. Chairman and members of the committee, my name is Darrel
Bostwick and I currently serve as chairman of the Ute Water Commission,
a joint powers agreement entity involving local governments in Quay,
Curry and Roosevelt County.
As a former county commissioner in Curry County and a councilman
from Melrose, my involvement in the development of the Eastern New
Mexico Rural Water Supply project dates back to 1964 when 17
communities formed an association to study the feasibility of utilizing
water impounded in Ute Reservoir near Logan to supplement the dwindling
groundwater reserves in Eastern New Mexico.
Funding for the development of Ute Reservoir was authorized by the
New Mexico Legislature in 1959 and construction was completed in 1963.
It was built with the express purpose of providing a sustainable water
supply for communities in Eastern New Mexico.
A related purpose was to capture and store approximately 200,000
acre-feet of conservation storage authorized in the Canadian River
Compact which was approved in 1950 by agreement of the states of Texas,
Oklahoma and New Mexico. The compact provisions were approved by
Congress in 1952.
My testimony today will outline the efforts made over the past four
decades to plan a sustainable water supply for the communities in Curry
and Roosevelt Counties which are dependent on the Ogallala Aquifer as
their only source of drinking water. Studies show, and history proves,
that the Ogallala is a finite water resource which isn't sustainable
and will eventually be unsuitable for sustaining the economic base in
the region.
So the proposed project being discussed today isn't new. It was
part of the overall plan devised by the New Mexico Legislature and
State Water Engineer Steve Reynolds to address the future needs of our
area. Now, almost 50 years later, the future has arrived and we need
your support to bring this project to fruition.
The original plan envisioned a 286-mile pipeline delivering raw
water to communities as far south as Jal. Since that time, literally
dozens of feasibility studies, engineering reports, environment
assessments and financing proposals have been completed.
Many of the original communities interested in the project have
dropped out of the association due to the perceived high cost of the
project and the belief by some that the aquifer would always supply the
water needed for municipal and industrial purposes.
I'm honored to be here today representing the counties and
communities who have been vigilant in pursuing this project because I
was among the elected officials who embarked on this journey back in
1964 and have been actively involved over all these years in one
capacity or another. The hearing today will provide a good historical
overview of the many milestones accomplished over the years. Since I
have been involved since the beginning, I get to cover the early
history of the project. Here are some of the early milestones:
Formation of the Eastern New Mexico Inter-Community Water
Association in 1963.
Completion of the first engineering report on the project in
1964.
Initial development plans completed by the Bureau of
Reclamation (BOR) in 1966.
The BOR completed its first major study in 1972 and a draft
environmental impact statement was completed in 1974.
A Congressional field hearing was held in Tucumcari in 1975
and was chaired by then Congressman Manuel Lujan. The State
Environment Department and the federal Environmental Protection
Agency both recommended that a water treatment facility be
added to the proposed project design.
In 1975, Hobbs and other communities south of Roosevelt
County opted out of the project.
In 1975, 1978 and 1981 the New Mexico Legislature authorized
the sale of bonds to raise the spillway at Ute Reservoir by 18
feet which significantly increased the storage capacity of the
reservoir and doubled the surface area of the lake. The BOR
completed the spillway project in 1984.
Beginning in 1982, Tucumcari began reserving water from Ute
Reservoir to meet future water needs. A similar reservation
agreement was initiated by Clovis in 1984 reserving the
remaining estimated yield on behalf of other communities in
Quay, Roosevelt and Curry Counties.
In 1986, the Ute Reservoir Water Commission was formed. It
stated purpose was to: ``protect and utilize future and
existing water rights and water resources; to plan and develop
for equitable distribution of water from Ute Reservoir and to
provide a mechanism to plan, develop, acquire, finance, protect
and conserve Ute water resources to the common benefit of all
parties.''
In 1986, the State Water Engineer requested technical
assistance from the Bureau of Reclamation to study the
feasibility of an ``entruncated'' project serving communities
in Curry, Quay and Roosevelt Counties.
The BOR Design Report was completed in 1989 and was followed
by a special environment report for the project in 1993.
In 1996 the Interstate Stream Commission reservation and
purchase contract with the Ute Water Commission was amended and
expanded to include the increased annual yield of 24,000 acre
feet per year.
In 1998, Smith Engineering was selected to prepare a
conceptual design for the project and provide adequate
information for the local sponsors to pursue financing for
final design and construction. The name of the project was
changed to the Eastern New Mexico Rural Water Supply project
and the latest push for the project was launched.
Mr. Chairman, I realize that my time has expired and I want to give
others on the panel an opportunity to continue the story of this
important project. Mayor Lansford and Mayor Ortega have been great
leaders of this effort over the past five years and we also appreciate
the support of the New Mexico Legislature, the New Mexico Water Trust
Fund Board and our current State Water Engineer, John D'Antonio.
Let me conclude my remarks this morning with the following
observations: After decades of effort and dozens of studies and
reports, I believe that this project is clearly needed. It is
straightforward from a design, construction and operations standpoint;
it has no legal impediments; no environmental issues that haven't been
addressed; and is ready to receive authorization and funding so that
construction of facilities can proceed.
Thank you again for allowing me to participate in the hearing today
and I'll be available to respond to questions from the committee.
The Chairman. Thank you very much for your testimony. Thank
you all for your excellent testimony. Let me ask a few
questions. I am sure Senator Domenici will have some questions
as well.
Let me start with Mayor Lansford and Mayor Ortega. Maybe
either one of them or both would want to comment on this. One
of the arguments that I hear from people is that this is a very
expensive project. There's a better solution readily available,
and that solution is for the cities, particularly Clovis and
Portales, to just buy up the existing water rights that are
currently being devoted to agriculture, and that will solve the
problem, and we don't need to be building pipelines. What is
your response to that? Is that an adequate response going
forward? What is your thinking on that, Mayor Lansford or Mayor
Ortega?
Mr. Lansford. Thank you, Senator Domenici, Senator
Bingaman, Chairman. You know, that has been discussed for a
number of years and it does seem to make a little bit of sense.
However, there is an enormous cost attached to that process.
Buying up all the groundwater, of course, will accomplish a
short-term solution. It will also diminish the economic benefit
of agriculture in the area, but it still has a finite amount of
water in the aquifer even if you began buying up, you know,
reserves that are available through the agricultural uses right
now.
So I think that is do-able. It is very expensive, and I
think our studies indicate that it is actually more expensive
than a pipeline project from Ute Reservoir, and it would still
end in the same result. There would be a need for renewable
supply at some point in time.
The Chairman. Did you have a thought on it, Mayor Ortega?
Mr. Ortega. Mr. Chairman, Senator Domenici, I can just
express what Portales has been doing for some time. We have two
water well fields, one called the Sandhill and the other Black
Water, which is our main well field.
We, the city of Portales, owns 6,000 acres of land and
water rights and controls another 6,000 acres of State lease
land, and through that effort, we have expended a large number
of dollars in trying to stay ahead of the game, buying water
rights, and drilling wells, and building pipeline. It is a very
expensive effort, but we continue to do that, you know, daily.
Every day, we are working to expand our well field and to meet
the demand. We are looking today at buying more land and water
rights to stay ahead of the game.
Senator Domenici. Ahead of what game?
Mr. Ortega. Ahead of the game of trying to not run out of
water and supply the demand to our community.
The Chairman. Let me just ask again, either of the Mayors,
if they would want to comment. You heard testimony and have
seen the written testimony of the Bureau of Reclamation. Do you
agree with the Reclamation's assessment that substantially more
work is needed before they would have the information necessary
to proceed and support construction of this, authorization of
construction of this project?
Mr. Lansford. Senator Bingaman and Senator Domenici, I
don't agree with the Bureau's position, and I think one of the
questions that was asked was how many rural water projects
exist right now that the Bureau is overseeing. I think there's
10. Have each one of those projects had to follow the strict
criteria that we are being asked to follow? I think the answer
is ``No''. I think those projects have all been authorized with
a design much less than the 30 percent that's being asked of
us.
Certainly, the project needs to be designed to a 30-percent
level in order to get it built, but for it to have to get to
that full 30-percent to get Federal authorization has not been
a practice that's been required in the past.
The Chairman. Mayor Ortega, did you care to----
Mr. Ortega. Mr. Chairman, Senator Domenici, I think there
is a lot of frustration from the communities involved with this
project that we have continued to study this thing to death and
have done design after design. As you heard the history of the
project, my concern is that we go to the Bureau of Reclamation
and they ask for 10 percent design, and we go back and they ask
for 30 percent. What is next? Forty percent? Then 50 percent?
As we do those things to meet their satisfaction, the price
of the project continues to escalate, and at some point, it is
going to reach a point that it just cannot be afforded. The
time is now. I think that we are doing everything that we can
to meet the requests from the Bureau of Reclamation, and I
think we have done a real good job of that.
The Chairman. Let me also ask the two Mayors one other
question. There are two costs involved in these projects.
There's the cost of construction, and then there's the cost of
operations and maintenance, ongoing costs.
The way that this has been talked about and designed in the
legislation I earlier proposed, we are talking about the
Federal Government assuming responsibility for 75 percent of
the construction cost, the rest being borne by the State and
local communities, and then all of the operations and
maintenance cost being borne by the local communities that are
getting the water from that time on. At least that's my
understanding. I'd just ask if you think that the communities,
particularly the ones that you lead are prepared to meet their
part of that cost, both their part of that construction cost.
But also, once this thing is built, if it costs as much as it
is anticipated to cost, and there will be a lot of operations
and maintenance involved in keeping it operating, are the rate
payers of the communities able to cover those costs?
Mr. Lansford. Thank you, Senator Bingaman, Senator
Domenici. In response to that question, I think the answer is
``Yes.'' Our community is prepared to pay its portion, the 10
percent that we are requesting. That doesn't seem like a lot in
comparison to the State and the Federal Government portion, but
the O&M expense for this project that will be ongoing will
certainly be our responsibility. That is, believe it or not,
the biggest expense associated with the monthly bill that each
consumer will see and pay for.
So I do believe there's a commitment specifically with
regard to the city of Clovis. We have committed a
infrastructure gross receipts tax portion to address the
capital portion of this project to the fullest extent that we
can presently, but I do believe there's strong commitment from
the elected officials within the city of Clovis that this
project is a No. 1 priority, and whatever is required will be
done by the city of Clovis.
Mr. Ortega. Mr. Chairman, Senator Domenici, Portales has
for a few years back implemented a water rate increase, a small
one, that has allowed us to slowly bring the price of our water
up a little bit at a time so we can be prepared for this. We
have also done an ability-to-pay study through the process
here, and we have demonstrated that, yes, our communities are
able to--to be--are able to afford this project, not only in
paying the amount of water, but also paying for their portion
of the construction costs.
The Chairman. All right. Thank you very much. Let me defer
to Senator Domenici for questions, and then I'll come back with
some questions for the other witnesses. Go ahead.
Senator Domenici. You want to finish?
The Chairman. It doesn't matter. You want me to? You go
ahead.
Senator Domenici. You need to rest.
The Chairman. I do.
Senator Domenici. I don't know which is more restful,
talking or shutting up.
The Chairman. Shutting up is more restful.
Senator Domenici. Let me tell you where I am today, Mayors,
and all the others back there that represent people and those
who represent the Governor. I think it is imperative that we
join hands soon and that we decide what percentage of this
project will work, and that we give you the Federal
Government's commitment at that level, and that we proceed with
this--all dispatch to develop this project.
I don't think we ought to be waiting around any longer.
Now, let me ask because it would appear to me that that's easy
for the Mayors. The Water Engineer, he's done a terrific job
the years he's been in. No doubt about it. Do you think, like I
do, that we should proceed or are we unable to make ends meet
on this project as it has been described to us over and over,
and they have been asking us to get on with it over and over,
and you told us it is ready to go. Tell us now succinctly,
where are we?
Mr. .D'Antonio. Mr. Chairman and Senator Domenici, it is
imperative that this project gets built. I mean, you know, we
are at the mercy and will be at the mercy of Federal
appropriations as time goes on, and certainly, the
authorization needs to be there. Then we'd have to fight the
battle of whether or not the appropriations are there to build
this project.
But in the absence of that, you are looking at--you know,
the eastern part of the State of New Mexico and all the people
that live there, and to say that, you know, this project is not
going to happen would really--and could, you know, make these
into ghost town communities. Certainly, the economic viability
wouldn't be there. Look how important Cannon Air Force Base
facility is to this community, and just think of how important
the water supply is.
You know, I mentioned in my testimony a big employer that
was going to come in and spend a couple of hundred million
dollars in this community and all they wanted was a 40-year
guarantee of a water supply, and because the Ute Pipeline
Project had not--you know, they knew it was in the works, but
the fact that it still needed to go through the authorization
phase, they weren't willing to invest the money into this
community, and it was between us and only one other community,
and I think Clovis had the upper hand on getting them to move
here. They decided not to move. It would have been hundreds of
jobs for this community, millions of dollars.
That's just one example of where it would have been nice to
say we have got this federally authorized project. It is in
the--you know, it is in the planning, or now it is going to be
in the design and construction phase, and those employers, the
people that you need to--you know, that need to keep coming in
for these communities to be viable aren't going to look at
Clovis and Portales if they don't have a water supply.
Senator Domenici. Mr. Bostwick, have we waited too long? Is
it too late now?
Mr. Bostwick. I don't think it is too late, Senator. I
think it's getting to the point to where it is imperative that
we move rather quickly, but I don't think it is too late.
Senator Domenici. Think the people will support it even at
these new commitment levels?
Mr. Bostwick. Yes, sir, Senator Domenici. They will support
it at these levels. The fact that--when water is no more, then
there is no project.
Senator Domenici. That's right. When the price is no more,
then there is no more of anything.
Mr. Bostwick. That's right.
Senator Domenici. You don't worry about price. You got to
get on, pack up your pickup and get out, right?
Mr. Bostwick. Absolutely.
Senator Domenici. So it is pretty big stuff. You are an old
pro. I don't know your political background. I would assume
that for you to have this job for so long, that you know what
you are doing and you probably represent people in a way that's
pretty honest. You know, I am just going to make that
assessment. You know, why would you be around if you weren't?
Do we have the right people in place? Just tell us that.
You don't have to be personal, but are we OK? Can the people
sustain this that are in leadership positions? Can they get it
done?
Mr. Bostwick. Senator Domenici, yes. I am real enthused
with the leadership that we have now in the Water Authority,
and, yes, we have the leadership and the ability to get this
done.
Senator Domenici. State legislators are here. Some of them
I have known for a long time. I notice one just was about to
leave. Better sit down now. They all seem to be interested. Are
they on board as you understand it? Are they ready to go?
Mr. Bostwick. Yes, sir, Senator Domenici. There is a book
of letters of support somewhere in this room----
Senator Domenici. Yes.
Mr. Bostwick [continuing]. That you will probably see.
Senator Domenici. Yes. I saw it.
Mr. Bostwick. As I understand it, all of the Senators and
legislators----
Senator Domenici. Everyone there.
Mr. Bostwick [continuing]. In this area are on board in
support of this project.
Senator Domenici. Senator Bingaman, I know we have to
follow the rules, and that's your job, and you can't let us get
ahead of the rules or then things will fall apart. But I guess
that we have a big piece of the State pretty dependent upon
this project, or if we are not willing to go with it, we got to
find something else or we got people that aren't going to have
what is needed to have life here for the next 40 plus years.
Seems to me that we have had enough hearings, but you are in
the majority now, and this is not one of these issues that we
ought to let the committee split over. You and I ought to carry
the whole team with us.
I just want to say to you I am ready. Let's go. I don't
know how we go next. I have seen a schedule. I am ready to do
it, and I don't want to cut it short. If we need more hearings,
we got to have them.
But from my standpoint, I am just going to look out there
and tell you honestly so you will all know, we had a witness
here, testified for about 30 minutes, from the Federal
Government representing the Bureau of Reclamation. It is good
we have these. I don't have to worry about a cord. I was going
to say I don't have a great deal of confidence in the Bureau of
Reclamation. I don't have it now. I didn't have it last week. I
didn't have it a year ago, and they know it. They know that I
don't, and yet, we have got to get this thing done, and we've
got to use them. We can't substitute our own. We don't just
invent things around here like these foreign countries. They
say, ``Well, hell, we'll just make a new one.'' We've got to be
legal with what the law provides, right? Can't have a war.
But I think we got to get them to moving, too. Some of the
numbers they told you today are outrageous. It takes them that
long to get this done? I mean, what are they doing? Two or 3
years for some kind of wrap-up that they have to do. I can't
understand.
Don't you think that they are dillydallying, Mayor? Ask the
two of you sitting here. Just be honest. What do you think,
Mayor Ortega?
Mr. Ortega. Senator Domenici, Senator Bingaman, I agree
with you. I think they are dillydallying. I think we need to
move forward with this project and get it taken care of.
Senator Domenici. What do you think, Mayor?
Mr. Lansford. Senator Bingaman and Senator Domenici, you
know, we have behaved in a fashion which I believe is very
mature over the years as we have worked with the Bureau of
Reclamation. We have done everything we know how to do to
address their questions and concerns. Had numerous meetings
with them trying to give the appropriate response. Although I
am as frustrated as many others, they have been professional in
their position.
They have been, you know, steady, predictable and unwilling
to come out and say, ``We need to fund this project.'' But at
the same time, I think there is a degree of responsibility that
they have to the Administration and to the public in general to
make sure that tax dollars are not wasted. I don't feel like
that this project represents any waste in tax dollars. This is
a huge project that's an investment that the Federal
Government, State government, and local government, and the
people within those jurisdictions will receive benefits for
virtually centuries.
So I respect the Bureau. I appreciate the Bureau, but in
this instance, I think it is time to move forward.
Senator Domenici. What do you think, Mr.----
Mr. Bostwick. Senator Domenici, I agree 100 percent with
what the Mayor said. We worked with them for several years,
even back through the--before the Water Authority was formed
through the Ute Water Commission. They have been very
professional and have had a good relationship with them, but I
am just like the Mayor. I believe that it's time for us to move
forward regardless of small regulations that seem to hold us
up.
Senator Domenici. Thank you for giving me the latitude
today.
The Chairman. No. Go right ahead. Let me ask just a couple
of final questions of the two witnesses I haven't had a chance
to ask questions of.
Let me ask our State Engineer first. You made some
statements about the dropping of the aquifer, the water level
in the aquifer. Could you elaborate a little more on how
extensive or how eminent a problem this is? I mean, are we
looking at a serious inability to continue with business as
usual in a decade, in two decades, in 50 years? What can you
tell us, as our State Engineer, about the prospects for
continued use of water at the current levels?
Mr. .D'Antonio Mr. Chairman, it is a problem. We have done
some recent studies. I alluded to big employer that wanted to
come out here. We looked at a whole lot of different
possibilities with the well, the well system that's generating
water, and every place we looked at, there was a variation of
perhaps, you know, less than 10 years of well life associated
with some locations up to maybe 30 to 40 years, but in the
conglomerate, if you take them all together and you have a
growing community that's reliant on this well system, the well
field continues to have to--you have to dig more wells. You
have to go out further and further, and you have to kind of
pump from one area, and it is really--it is almost like a--you
know, a shell game as to where the water is actually going to
come from. You are trying to minimize the impact to the
aquifer.
The bottom line: It is going down two to two-and-a-half
feet a year. The energy costs are going to go up with respect
to using that groundwater. There's also a deteriorating quality
the deeper you get. You have potentially more treatment of that
water. So it is just a losing proposition all the way around.
What is nice is they could actually use that water in times
of drought if the Ute supply--and we think there's maybe a 5-
percent chance of shortages in 7 years. I believe the firm
yield of that reservoir is 24,000-acre feet a year and you can
maintain the levels that you have in the Ute Reservoir.
So again, if there was a long, prolonged drought, for
instance, it's similar to what the city of Albert can do. They
go away from their San Juan channel they're going to bring
online and they can actually use the existing infrastructure to
use some groundwater at that time, but preserve it for those
drought conditions.
I mentioned last year, we sent 8,000-acre feet of water
down to Texas. You know, if we had that pipeline in place, we
essentially could perhaps even do some aquifer storage and
recovery or store that water in the aquifer. So yeah, the
condition of this whole area in the west is--or the eastern
side of the State essentially is just very problematic and it
is going to continue to worsen as time goes on.
The Chairman. Am I right? We share the Ogallala aquifer
with West Texas, and I believe I have seen some indications and
charts that the--I think the geological survey, perhaps,
prepared indicating that as pumping continues and accelerates
in West Texas, that diminishes the water level here in Eastern
New Mexico. So it is not just the drilling and the pumping that
is occurring here that is the problem. It is also the pumping
that's occurring across the border. Am I right about that?
Mr. D'Antonio. That's correct, Mr. Chairman. If you look
at--you just fly over the State lines, you can see where Texas
begins. They have the right of capture and they can drill as
many wells as they want over the State line and take that water
essentially at some point out from under New Mexico.
Right now with the current conditions we have, even though
there is that effect, because it is a big bathtub--the Ogallala
extends under seven States, you know, Nebraska, all those other
States that use it heavily for agricultural purposes--continues
to go down just like a bathtub level would go down. You just
have a big bathtub. But right now, the localized pumping is
more--has more of an impairment effect. In other words, the
local wells that we use for agriculture and whatnot, the draw-
down effect from taking that water out of those wells has more
of an effect on New Mexico side than the actual pumping in
Texas. But suffice it to say that levels generally are going to
continue to go down because of the groundwater pumping in
Texas, and we have got no control over, as a State, what they
do in that regard.
The Chairman. I asked the Mayors if the local communities
here were prepared and able to pay the cost that they would
anticipate involved with this. As I calculated, this project
would likely cost the State itself about $70 million at a
minimum. In your view, is the State in a position to assume
that?
Mr. D'Antonio. Mr. Chairman, I think we are, and I can't
make promises for what the Governor and the Legislature do.
But last year, as part of the Governor's Finance Council,
we--and I was able to highlight this project as one of the
highest priorities within the State of New Mexico, and at that
time out of the Governor's Finance Council, the recommendation
was $70 million over a 3-year period of time. In other words,
the State is looking at funding it at a 20, 25 and 25 million
over three years.
Last year, what we tried to do was get the 5 million--and I
was a little bit disappointed at what came out of the State
last year because we had talked about that $5 million to
complete that 30-percent level design project, and we wound up
only getting $1 million out of the State Legislature. We also
were able, though, to supplement it with some funds out of the
Water Trust Board, which I am also the Chairman of the Water
Trust Board. Because we do have another funding cycle, I see no
problem in catching up without delaying any of that 30-percent
design level effort that's ongoing right now and to make sure
that we continue to put forth this is a priority project for
the entire State of New Mexico.
We have several legislators in this room, State legislators
that are behind the Water Trust Fund, the Water Trust Board and
the projects that we do, and we need their continued support to
make sure the executive branch and legislate branch are
together on this is a priority, and I think it is.
The Chairman. Let me ask you, Darrel, one other question, I
think, in your reciting of the history that's gone on here. The
Ute Water Commission, as I understand it, has transitioned into
the lead agency now. Used to be the Ute Water Commission on
this project. Now it is the Eastern New Mexico Rural Water
Authority. As I understand, the contract for the water out of
Ute Lake is still with the Commission. Has that caused any
problem? I mean, has this transition of lead agency been
smooth, and do you see any difficulty in getting the two
working together to be sure that that works?
Mr. Bostwick. Mr. Chairman, the transition has been very
good. The fact is most of the members that represent the
various communities serve on both boards, so there's no
conflict whatever. The reason for sustaining the Ute Water
Commission, the main reason was, Quay and--Quay County and
Tucumcari and that area are members of the Ute Water
Commission, and we didn't want the two entities--since they had
decided not to participate in this program, we didn't want
their reservations to be in with the Authority. So that was the
purpose of keeping the two separate, the main purpose.
The Chairman. OK. That's very helpful. Senator Domenici, do
you have any additional questions or comments?
Senator Domenici. Maybe you do, but I don't get involved in
the State Legislature very much in terms of what they do to
support issues like this, but I know everywhere that I read
that this project seems to have legislative support in Santa
Fe, and I notice that we had Democrats and Republicans in this
area that are not all Democrats as they would be in some other
areas.
Stuart, I see you here, and a Democrat, if there is one, to
stand up and tell me what you all think about legislatively or
legislature-wise, is there support for the project if we decide
to proceed with as much dispatch as we can?
Mr. Ingle. Senator Domenici, Senator Bingaman, I think that
there's broad support across party lines. This is not a party
issue as the Legislature sees it, or anyone here in New Mexico,
or our side of the aisle, or their side of the aisle. It is
something we look on as something that we need to take a hard
look at and try our very best to develop and get going on a
project like this.
I think basically we are looking at it as something that
all of us can participate in and help out with. Every Senator,
Representative over here, except maybe one, has multiple
counties, and they are all basically up and down the southeast
side of the State. At one time or another, we were all involved
in the Ute Water Project clear down to Jal, clear up to Clovis
here, and Tucumcari, Logan.
Senator Harden has Clovis and goes to Raton. Most of his
district was involved in it, and most all of my district is
also.
Senator Domenici. Mr. Harden.
Mr. Harden. Thank you, Senator, both Senators. I think my
experience in the past, State Legislature including the
executive branch of government and certainly the--all the
communities involved have shown a willingness to expend
resources, step up to the plate, if you will. We have
demonstrated that historically. At 30,000 feet, it is my view
we are kind of now waiting for Federal partners. It is where--
we are really to that point where we need your help and your
assistance financially.
But I think historically we have shown that the communities
are willing to--and the Legislature is. You know, I personally
sponsored a bill last session that included in that bill $40
million for this project, and I didn't get through the process.
You gentlemen know better than anybody how that works. But I
think we have demonstrated our willingness to put up the money
and we are really kind of waiting on you folks, Senator. Thank
you for the opportunity.
Mr. Domenici. Thank you.
The Chairman. All right. I think we have both finished with
our questions. Let me again thank all of the witnesses, and
thanks to everyone who has come. I think this is a useful
hearing, and we will go back to D.C. after Labor Day and do our
best to settle on legislation we can move ahead with. Again,
thank you all very much. The hearing is adjourned.
[Whereupon, at 11:44 a.m., the hearing was adjourned.]
APPENDIXES
----------
Appendix I
Responses to Additional Questions
----------
Responses of David Sabo to Questions From Senator Bingaman
Question 1. Your testimony notes that in 2004, Reclamation
identified critical questions needing to be answered regarding
the Eastern New Mexico Project. These included (1) whether
design & construction costs were consistent with other
projects; (2) whether appropriate alternatives were considered;
and (3) whether the communities had an accurate estimate of the
overall costs involved. In a recent letter (April 3, 2007) to
Mayor Lansford, Reclamation noted that the pipeline ``appears
to be the least costly and most sustainable way to meet
longterm water needs in the project area'' This appears to
answer one of the questions. In your view, have the other
questions been answered? If so, what are your findings?
Answer. Some of these same questions remain regarding the
Eastern New Mexico Rural Water Project. In general the
preliminary construction estimate appears to be in line with
similar projects. While further comprehensive project costs are
being developed by the Authority's consultant, CH2M Hill, these
project costs have not been reviewed by Reclamation and
therefore we can make no determination regarding project
feasibility.
Question 2. In that same March 30, 2007 letter, Reclamation
indicated that the ENM project is currently at a 10 percent
design and cost estimate level. You also state that
historically, Reclamation has required a more detailed 30%
design to support requests for construction authority. In a
2004 document establishing the Oversight Committee you
mentioned, Reclamation indicated that the level of detail in
the Project's design was ``between an appraisal level study and
a feasibility level study'', which sounds to me like it was
already between a 10% and 30% design. Since 2004, the
Authority, primarily through State funding, has invested at
least another $2 million in studying and planning the project.
Your position makes it sound like the Authority is getting
further away from the 30% design, despite an additional years
of work. Can you explain this? What is Reclamation's position
today on the level of design work that's been completed for the
Project? What needs to be done, and how much time will it take
to get to the 30% design?
Answer. Tucumcari and Quay County withdrew from the project
in 2005. This changed the scope of the project and necessitated
an extensive revision of the design, engineering, cost
estimate, and financing plan. As stated in our April 3, 2007
letter to Mayor Lansford, we agree with CH2M Hill's assessment
that the project as presented in the December, 2006 Preliminary
Design Report is at a 10 percent design level. Reclamation has
recommended that a feasibility report should include a 30
percent design and a consistent cost estimate. We understand
that the Eastern New Mexico Rural Water Authority is
contracting with CH2M Hill to bring the project design up to
the 30 percent level and that they anticipate this will take
about 2 years.
Question 3a. It's my understanding that the Reclamation
currently has 10 total authorized rural water projects. How
many of those projects has Reclamation completed constructing?
Answer. Of the authorized rural water projects, Reclamation
has completed construction on 3: The Mid Dakota Rural Water
System and the Fort Peck County Rural Water System were
completed most recently, and the WEB Rural water project was
completed in 1991.
Question 3b. Did any of those projects meet the 30% design-
level before they were authorized?
Answer. Congress has authorized projects with varying
design-levels. In many cases projects did not meet the 30%
standard. In those cases, however, Reclamation did not support
the authorization of those projects and would not support
future projects that do not meet this standard.
Question 4a. In implementing the Rural Water Supply Act,
you note that Reclamation expects to publish proposed and final
criteria in the Federal Register next year. With this schedule,
does BOR expect to request funding for the Rural Water Program
in its 2009 budget? Will you request funding so that
Reclamation can continue to work with the Eastern New Mexico
Rural Water Authority in the plan and design for this project?
Answer. The 2009 budget is currently being formulated, and
we cannot predict how individual programs or projects will be
funded.
Question 4b. Have you started the rural water needs
assessment called for in the Act? When do you expect that
report will be completed?
Answer. Reclamation has begun the assessment report as
required by the Act. It will examine the status of all rural
water supply projects authorized for construction but not
completed; the current plan for completion of these projects;
the demand for new rural water supply projects; rural water
programs under the administration of other agencies and how
these programs meet the need for rural water supply and water
treatment programs in the western states; under the
jurisdiction of the Secretary authorized but not completed
prior to the date of enactment of this Act, including
appropriation amounts, the phase of development, total
anticipated costs, and obstacles to completion; the extent that
the Rural Water Supply Act will meet the demand; how this
program will complement existing authorities; and, improvements
to coordinate and integrate the other programs and authorities.
The report is scheduled to be completed and provided to
Congress by December, 2008 as provided in the Act.
Question 5a. In 2004, the Committee held a hearing on the
bill I introduced in the 108th Congress to authorize the
project. In response to one of my questions concerning the lack
of Reclamation support for the project, Reclamation stated that
its rural water activities were reviewed by the Office of
Management & Budget, which concluded that ``stronger controls
for rural water project development are needed and lack of
Reclamation involvement during project development increases
the probability of projects that are not successful according
to the Federal program assessment measurements.'' Which of the
authorized rural water projects have not been successful and
what measurements are used to make that determination? Is this
simply a justification to reduce federal funding for rural
water projects?
Answer. The ultimate goal of any rural water project is to
deliver water to rural areas. Given the competing budgetary
demands among rural water projects and within Reclamation's
overall budget, it is critical that money is spent on feasible
projects in the most cost effective manner while working toward
this goal. The scope and complexity of rural water systems
makes coordination and planning during the development stages
of these projects even more important to ensure projects
provide sustainable water supplies at the least cost.
Question 5b. How will implementation of the Rural Water
Supply Act enhance the likelihood of the success of projects?
Answer. The Rural Water Supply Act will allow Reclamation
to institute criteria that will help stakeholders and Congress
to prioritize rural water needs and determine whether a project
is feasible and cost effective before they are authorized and
constructed.
------
Responses of John D'Antonio to Questions From Senator Bingaman
Question 1. I give a lot of credit to Governor Richardson
and the Legislature for aggressively trying to address the
water supply issues facing communities across New Mexico. Over
the long-term, though, projects like the Eastern NM pipeline
are going to require a commitment of millions of dollars by the
State, as well as local communities. This particular project is
expected to cost the State almost $70 million at a minimum.
What's the State's long-term plan to secure the funding
necessary to implement this and the other projects needed in
New Mexico?
Answer. Last year, in a presentation to the Governor's
Finance Council, the State Engineer Office and others requested
that funding for the Eastern New Mexico Rural Water Project
should be provided over 3 years in the amounts of $20 million
for the first year, $20 million for the second year and $25
million for the third year. Although this funding initiative
was not completed last year, our agency will continue to
request funding to meet the State's cost-share requirements for
this project and other needed projects within New Mexico.
Question 2a. Ute Reservoir will provide the water supply
for this project. Can you provide an update on the status of
water supply in Ute Reservoir? Are there any issues that need
to be resolved to ensure that water supply is available for the
Project? Is it a physically sustainable supply?
Answer. Ute Reservoir currently holds approximately 94% of
the 200,000 acre-feet of water New Mexico is entitled to store
under the Canadian River Compact and the U.S. Supreme Court
Decree in Oklahoma v. New Mexico. A physically sustainable
water supply is available for the Northeastern New Mexico Rural
Water Supply Project from Ute Reservoir. The project is
designed to deliver approximately 16,000 acre-feet per year
from Ute Reservoir and consistent modeling results indicate
that that amount of water is available on a sustainable basis
from the reservoir. There are no outstanding issues that need
to be resolved to ensure that a water supply is available for
the project.
Question 2b. Given the drawdown that's occurred, do you
think that the Ogallala and Entrada aquifers are going to be
able to sustain some level of agricultural uses beyond the 20-
year horizon? How bad is the situation from a water supply
perspective?
Answer. As advances in irrigation technology and efficiency
continue to be developed, it is expected that agricultural uses
will continue in eastern New Mexico beyond a 20-year horizon.
As I mentioned in my direct testimony to the Committee,
consistent groundwater pumping in the area has caused over 100
feet of water level declines. In addition, at current pumping
rates, a recent study by CH2M Hill indicates the remaining
saturated thickness of the aquifer near Clovis and Portales
will not be able sustain the existing demand for more than 40
years. Agricultural conservation efforts have been in place in
eastern New Mexico for at least 40 years and it is anticipated
that the agricultural community will continue to adapt to
changing conditions as it has in the past. Although the
municipal and industrial water users have also initiated
conservation measures, because they have less flexibility to
adapt to changing supply conditions, the pipeline project will
provide them with a reliable water supply.
Question 3. It's my understanding that the Governor sought
$5 million in his ``Year of Water'' initiatives for the Project
to get to a 30% design. Although a substantial amount was
provided, it's not clear that there is enough funding to get to
that design level. Do you think that an authorization to
construct the Project should still move forward, even if a 30%
design has not yet been completed?
Answer. Yes. The current project designs, and the completed
economic and technical studies that have been accepted by the
Bureau of Reclamation confirm that a pipeline from Ute
Reservoir is the most economical and sustainable long-term
water supply alternative available to meet the needs of eastern
New Mexico communities. In addition, the State of New Mexico
has invested the present day value of over $125 million in
constructing, operating and maintaining Ute Reservoir, and over
the past several years, has spent over $3 million toward the
project design, in part responding to questions from the Bureau
of Reclamation regarding the project. Although the Bureau of
Reclamation has not furnished criteria fully defining what it
would accept as a 30% design product, current and anticipated
state funding should enable contractors to finalize a design
product in the near future that meets the 30% completion
requirements of all accepted engineering standards.
------
Response of Darrel Bostwick to Question From Senator Bingaman
Question 1. I appreciate your historical perspective on the
Project and your leadership over the years. Has the transition
from the Ute Water Commission to the Eastern New Mexico Rural
Water Authority, as far as the lead role in developing the
Project, been a smooth one? Does it affect the water supply for
the Project since the Ute Water Commission actually has the
contract for the water? From the standpoint of the smaller
communities involved in the Project, do you think there is
ample support to move forward?
Answer. The transition has been very smooth; all of the
representatives of the communities are representatives on both
boards, there is no conflict at all. I see no problem with the
water being controlled by the Ute Water Commission that cannot
be resolved with both boards being represented by the same
people. The small communities have been making preparation for
this project for several years by adjusting water rates and
implementing gross recite taxes in preparation for this
project. I believe the support is here for the project.
Appendix II
Additional Material Submitted for the Record
----------
[Due to the enormous amount of letters received only a few
sample letters follow. Additional letters have been retained in
committee files.]
House of Representatives,
August 10, 2007.
Energy and Natural Resources Committee,
304 Dirksen Senate Building, Washington, DC.
Dear Honorable Senate Energy Committee Members: I write in strong,
support of the Eastern New Mexico Rural Water Authority (ENMRWA) and
the Ute Pipeline project. Water is a scarce resource in the Southwest
and it is essential that our communities are provided with a reliable
source of water. The Ute Pipeline project would help ensure that Quay,
Curry and Roosevelt counties have long term access to water for
municipal and industrial use.
In 1959 the New Mexico State Legislature passed an act instructing
the State Engineer to create a reservoir on the Canadian River (the Ute
Reservoir) to help meet the water needs of Eastern New Mexico. The Ute
Pipeline project would be the first project to use the reservoir for
this original purpose. The project would provide 24,000 acre feet of
water annually, from the Ute Reservoir, and would serve approximately
73,000 people in a largely rural area, averaging four and a half people
per square mile. The water provided by the Ute Pipeline would stimulate
economic growth in the region which is threatened by a decline in the
quantity and quality of groundwater reserves.
I believe this project is important to help protect the long term
prosperity of Eastern New Mexico communities.
Very truy yours,
Tom Udall,
Member of Congress.
______
New Mexico Economic Development Department,
Santa Fe, NM, August 7, 2007.
Hon. Jeff Bingaman,
703 Hart Senate Office Building, Washington, DC.
Dear Senator Bingaman: Since becoming Secretary of the NM Economic
Development Department, the dire situation of the Ute Pipeline Project
and the work of the Eastern New Mexico Rural Water Authority have come
to my attention.
As it stands today, Ute Lake is primarily being used for
recreational purposes as well as the Ute Lake Ranch sub division, both
of which are great for the area, but neither of which are true
sustainable economic growth for the State. The true intent of damming
the Canadian River was to provide a long-term sustainable municipal and
industrial water supply for eastern New Mexico communities in Roosevelt
and Curry Counties. These communities today rely solely on non-
rechargeable and declining groundwater resources from the Ogallala
Aquifer.
In my short time as Secretary, I have observed the strong efforts
on behalf of the Mayors of both Clovis and Portales and their
organizations' hard work to bring economic development projects to
their area, but it is my understanding that they are questioning if
they should change their priorities and invest in more water rights to
simply maintain the status quo.
These communities are beginning to experience a surge in economic
development but have recently lost significant new projects that would
have made more than $150 million capitol investment in the community
and hired around 5,000 employees had they felt more certain about the
availability and sustainability of future water. The delivery of 16,450
acre feet annually of potable surface water from this project is
essential to sustain this area and insure this potential growth.
As you know, this project has been supported by Governor Richardson
since his early years in Congress and was identified as a key project
in the Year of Water initiative for 2007. The NM Legislature is also a
very strong supporter of this project.
I realize that this project could cost $440 million, but I also
recognize the intent of Ute Lake and the work that has already gone
into seeing this project to fruition. The Eastern New Mexico Rural
Water System provides the best and most cost effective solution to
meeting these long term needs and to offset the potential economic
constraints of serious groundwater depletion in the region.
So in that vein, I urge you to authorize the ENMRWS and I look
forward to working closely with you in this regard.
Best Regards,
Fred Mondragon,
Cabinet Secretary.
______
New Mexico Energy, Minerals and Natural Resources
Department,
Santa Fe, NM, August 1, 2007.
Hon. Jeff Bingaman,
Chairman, Energy and Natural Resources Committee, U.S. Senate,
Washington, DC.
Hon. Pete V. Domenici,
Ranking Member, Energy and Natural Resources Committee, U.S. Senate,
Washington, DC.
Dear Senators Bingaman and Domenici: As Secretary for the New
Mexico Energy, Minerals, and Natural Resources Department, I am
committed to working collaboratively on energy and natural resource
management issues to ensure a sustainable environmental and economic
future for New Mexico.
When Governor Richardson announced his statewide water agenda in
late 2006, he made the Ute Pipeline Project a priority and called for
an investment in its construction to ensure a longterm, renewable
supply of clean water in eastern New Mexico.
The project, shepherded by the Eastern New Mexico Rural Water
System, exemplifies a cooperative effort by local, State, and Federal
government to ensure the future sustainability and economic vitality of
the region.
The project seeks to offset the region's dependence on the High
Plains Aquifer, which has long experienced water quantity and quality
problems, and balance the groundwater depletion that is inevitable in
an arid agricultural-producing area.
The Ute Pipeline Project is of critical importance for eastern New
Mexico. On behalf of the Energy, Minerals, and Natural Resources
Department, I'm looking forward to working with my colleagues in state
government, as well as local and federal officials, as we seek to make
the Ute Pipeline a reality.
Sincerely,
Joanna Prukop,
Cabinet Secretary.
______
Town of Elida,
Elida, NM, August 10, 2007
Hon. Jeff Bingaman,
U.S. Senate, 304 Dirksen Senate Office Building, Washington, DC.
Hon. Pete V. Domenici,
U.S. Senate, 304 Dirksen Senate Office Building, Washington, DC.
Dear Senators Bingaman and Domenici: Thank you for taking the time
to review this letter of support for the Ute Pipeline Project.
Agriculture is critical to our way of life in Elida, and one of our
greatest needs as a community continues to be a sustainable water
supply outside of the Ogallala/ High Plains aquifer. It's clear that
the Ogallala aquifer's future is in jeopardy, and it's time to act now
to protect the future of eastern New Mexico and our rural heritage.
Accordingly, Elida is proud to be a member of the Eastern New
Mexico Rural Water Authority, which supports the Ute Pipeline Project.
Once constructed, this project will deliver approximately 16,000
acre-feet of water annually from Ute Reservoir to eastern New Mexico,
providing our community with the resources we need to grow and prosper
in the future.
Apart from the water that has been set aside for communities like
Elida in Ute Reservoir, there is no other sustainable water supply
available to eastern New Mexico. It is critical that we take the steps
necessary to deliver this water to Curry and Roosevelt counties;
otherwise, it is likely that these resources will be ceded to Texas
under the Canadian River Compact, which would be devastating our
livelihood and local economy.
Clearly, this project will only become a reality if we receive the
financial support of federal government. We are strongly appreciative
of your hard work on behalf of this project in the past, and look
forward to working with you in the future to ensure its completion.
Sincerely,
Kay Nuckols,
Mayor.
______
New Mexico State Legislature,
State Capitol,
Santa Fe, NM, August 7, 2007.
Hon. Pete V. Domenici,
U.S. Senator, 328 Hart Senate Office Building, Washington, DC.
Dear Senator Domenici: The New Mexico interim Water and Natural
Resources Committee recently heard a presentation by the Eastern New
Mexico Rural Water Authority on the need for and status of development
of the Eastern New Mexico Rural Water System (Ute Pipeline Project).
The committee stands in support of the project and offers its
commitment to working with the New Mexico congressional delegation and
local water authority members to implement this critical project for
New Mexico.
Best Regards,
Phil A. Griego,
State Senator.
______
New Mexico State Senate,
Sante Fe, NM, August 8, 2007.
Hon. Jeff Bingaman,
Chairman, Energy and Natural Resources Committee, U.S, Senate, 304
Dirksen Senate Office Building Washington, DC.
Hon. Pete V. Domenici,
Ranking Member, Energy and Natural Resources Committee, U.S. Senate,
304 Dirksen Senate Office Building, Washington, DC.
Dear Senator Bingaman and Senator Domenici: As a resident of Clovis
and as state senator for Colfax, Curry, Harding, Quay, San Miguel, Taos
and Union counties, I have a deep understanding of the water resource
challenges facing communities throughout rural New Mexico.
Many of my constituents in Curry County, for example, are concerned
about the future of our water supply, considering the fact that the
Ogallala/High Plains Aquifer--a major source of our water--is
diminishing. The county has reserved water for future use in Ute
Reservoir, yet we still need a viable mechanism to deliver that water
to eastern New Mexico. The Ute Pipeline Protject, supported by the
Eastern New Mexico Rural Water Authority, is the most credible policy
option in that regard.
During the 2007 legislative session, I sponsored Senate Bill 485,
which included a $40 million appropriation for the Ute Pipeline
Project. Other legislation in the New Mexico House of Representatives
sought significant funding for the Ute Pipeline Project as well. It is
critical that legislators at all levels of government--whether locally,
in Santa Fe or in Washington--continue to seek major appropriations for
this project. As you know, it will take a significant financial
investment, but our state's future is on the line.
If we fail to act, the significant water needs of our state and its
citizens--and the state obligations in water compacts with other
states--may not be met. I hope that you will continue to support this
worthwhile project, and I look forward to working with you in the
future as we protect eastern New Mexico's water supply for generations
to come.
Sincerely,
Clinton D. Harden, Jr.,
Senator.
______
New Mexico State Senate,
Santa Fe, NM, August 8, 2007.
Hon. Jeff Bingaman,
Chairman, Energy and Natural Resources Committee U.S. Senate, 304
Dirksen Senate Office Building, Washington, DC.
Hon. Pete V. Domenici,
Ranking Member, Energy and Natural Resources Committee, U.S. Senate,
304 Dirksen Senate Office Building Washington, DC.
Senator Bingaman and Senator Domenici: On behalf of my constituents
in Curry and Roosevelt counties--two counties affected by the Ute
Piplinc Project--I am writing to thank you for your past support of
this project and to urge your continued assistance in its
implementation.
As you know, an original intent of damming the Canadian River and
creating a reservoir on Ute Lake was to provide a municipal and
industrial water supply for communities like Clovis and Portales. These
communities are today relying on the High Plains/Ogallala aquifer,
which is waning in its water supply--and a mechanism for delivery from
Ute Lake to eastern New Mexico is critically needed.
It's important to understand that Clovis and Portalcs are making
good faith attempts to improve their water supply, in addition to their
efforts in support of this pipeline. For example, I recently requested
a legislative appropriation for $1,100,000 to purchase water rights and
land to convert agricultural wells to municipal and industrial use in
Portales and Roosevelt County. However, we must continue to work toward
a longer-term solution.
I believe that all options should be on the table as we work to
ensure the future of our water supply, including the construction of
the Ute Pipeline. While the estimated capital cost of this project is
significant, it nonetheless appears to be the most cost-effective way
to protect eastern New Mexico's economy and livelihood for generations
to come.
We stand with you in your efforts to bring this project to
fruition, and look forward to helping in any way we can. Thank you for
your time and commitment to our state.
Sincerely,
Gay G. Kernan,
Senate District 42.
______
State of New Mexico,
House of Representative,
Santa Fe, NM, August 8, 2007.
Hon. Jeff Bingaman,
Chairman, Energy and Natural Resources Committee, U.S. Senate, 304
Dirksen Senate Office Building Washington, DC.
Hon. Pete V. Domenici,
Ranking Member, Energy and Natural Resources Committee, U.S. Senate,
304 Dirksen Senate Office Building Washington, DC.
Dear Senator Bingaman and Senator Domenici: As mayor of Santa Rosa
and as State representative for Curry, Roosevelt, Guadalupe and DeBaca
counties, I am very concerned about the future of eastern New Mexico's
water.
During the 2007 legislative session, I requested an appropriation
of $5 million for the Eastern New Mexico Rural Water Authority to plan,
design and construct a pipeline from Ute Reservoir to Curry and
Roosevelt counties. This pipeline project is essential to the overall
economic health of eastern New Mexico and our state as a whole.
To offset their dependence on the failing High Plains aquifer,
stakeholders in Curry and Roosevelt counties--and the communities of
Clovis, Elida, Grady, Melrose, Portales, and Texico, in particular--
must find a viable means for receiving deliveries of water from other
parts of the state. The Ute Pipeline Project is the most viable option
in this regard.
We all know that this project will take a significant financial
investment to become a reality. As a State legislator, I will continue
to make the funding of this project a priority in Santa Fe, and
appreciate your efforts in securing the funds necessary from the
Federal government to begin its construction. Please do not hesitate to
contact me if I can be of further assistance. Thank you for your
consideration.
Sincerely,
Jose A. Campos,
Mayor.
______
State of New Mexico,
House of Representatives,
Santa Fe, NM , August 7, 2007.
Hon. Pete V. Domenici,
Ranking Member, Energy and Natural Resources Committee, U.S. Senate,
304 Dirksen Senate Office Building, Washington, DC.
Dear Ranking Member Domenici: In 2000, I was elected to serve as
state representative for House District 67--one of the largest state
legislative districts in the nation. District 67 encompasses Curry,
Harding, Quay, Roosevelt, San Miguel and Union counties in northeastern
and eastern New Mexico.
Of critical importance to two of these counties--Curry and
Roosevelt--is the Ute Pipeline Project, which seeks to use the supply
of New Mexico water available in Ute Reservoir to provide stakeholders
in the eastern part of our state with improved water quality and supply
for years to come. The importance of this project to our state's
agricultural future cannot be overemphasized.
As you are well aware, the biggest roadblock to this project is the
financial commitment necessary to ensure its completion. Throughout my
tenure as a state legislator, I have sponsored and supported a number
of appropriations to assist in funding this and other water projects.
In particular, I have strongly advocated the development of a master
plan for Ute Reservoir, because protecting its outstanding water
quality is critical to the consumptive water delivery efforts of the
eastern New Mexico rural water system. It is an important issue to my
district.
On behalf of my constituents. I am writing to urge your continued
support for the Ute Pipeline Project. I know that you are constantly
approached with requests for funding, but it is becoming abundantly
clear that this project is the most cost-effective, long-term solution
for the future of eastern New Mexico's water supply. I am appreciative
of the fact that you are holding public hearings on this matter, and
look forward to assisting you as we move forward with this process.
Thank you for your service to our state and nation, and for your
sustained efforts in this area.
Sincerely,
Brian K. Moore,
State Representative.
______
Curry County New Mexico,
Board of County Commissioners,
Clovis, NM, August 9, 2007.
Hon. Jeff Bingaman,
U.S. Senate, 304 Dirksen Senate Office Building, Washington, DC.
Hon. Pete V. Domenici,
U.S. Senate, 304 Dirksen Senate Office Building, Washington, DC.
Dear Senator Bingaman and Senator Domenici: Curry County stands in
strong support of your efforts on behalf of the Utye Pipeline Project.
We've been proud to work with you on this project for many years, along
with Governor Richardson and the New Mexico Legislature, and we're
looking forward to the start of its construction.
This project has the potential to improve the quantity and quality
of the water supply for communities in Curry County, while also
providing wholesale delivery of water to our county's unincorporated
areas, where it can assist in areas like fire protection, livestock
taps, and for redistribution as a domestic water supply.
The Eastern New Mexico Rural Water Authority, which includes Curry
County, has spent a number of years designing a cost-effective solution
to meet our region's long-term water resource needs and to offset
groundwater depletion, and we are confident that we have developed the
best technical plans available for a project of this type. The timing
is right to move forward with this project.
Furthermore, we believe that it is critical to utilize the
resources that have been set-aside in storage for Curry County at Ute
Reservoir. Failure to use these precious resources in the near future
could lead to them being lost to the State of Texas under the
provisions of the Canadian River Compact--and that's a prospect that we
simply cannot afford.
We look forward to working with you to reach a successful
conclusion with regard to this project. Thank you again for your
commitment to the Ute Pipeline, and for your service to our state and
nation.
Sincerely,
Frank H. Blackburn,
County Commission Vice Chair.
______
Roosevelt County,
Office of Finance & Administration,
Portales, NM, August 8, 2007.
Hon. Jeff Bingaman,
U.S. Senate, 304 Dirksen Senate Office Building, Washington, DC.
Hon. Pete V. Domenici,
U.S. Senate, 304 Dirksen Senate Office Building, Washington, DC.
Dear Senators Bingaman and Domenici: Thank you for taking the time
to reach out to residents in eastern New Mexico at your upcoming
hearing in Clovis on August 14th. Tackling New Mexico's water issues is
a challenging proposition, and your leadership is greatly appreciated.
As you know, Roosevelt County is home to the New Mexico Ag Expo.
and agriculture is key to our local economy. The future of Roosevelt
County is based on the availability of a sustainable water supply, and
we're committed to working with our congressional delegation and the
Eastern New Mexico Rural Water Authority to successfully complete the
Ute Pipeline Project.
As a member of the Eastern New Mexico Rural Water Authority,
Roosevelt County strongly supports the Ute Pipeline Project, as it will
also provide a sustainable water supply for municipal use and it seeks
to reduce local groundwater competition between municipal and
agricultural interests.
Ultimately, the Ute Pipeline Project has the potential to provide
the residents of Roosevelt County with a long-term, renewable water
source, by linking eastern New Mexico directly to Ute Reservoir. While
we have made a financial commitment at the county level, this project
will only be possible with the support of the federal government, and
we appreciate your continued efforts in this area.
Sincerely,
Charlene Hardin,
County Manager.
______
Village of Melrose,
Melrose, NM, August 8, 2007.
Hon. Jeff Bingaman,
U.S. Senate, 304 Dirksen Senate Office Building, Washington, DC.
Hon. Pete V. Domenici,
U.S. Senate, 304 Dirksen Senate Office Building, Washington, DC.
Dear Senator Bingaman and Senator Domenici: Thank you for the
opportunity to comment on the Ute Pipeline Project.
Since the late 1880s, Curry County's primary economic activities
have involved agriculture. As both of you are well aware, Eastern New
Mexico is well known for its cattle grazing and variety of crops,
including wheat, corn, milo, and alfalfa. Our agricultural economy, our
region's survival is dependent upon a steady and sustainable supply of
water.
Today, water in Melrose is provided almost exclusively by the
Ogallala aquifer, but it's been projected that the useful life of the
Ogallala is on the order of only thirty (30) to forty (40) years or
even less, under present levels of use.
The Ute Pipeline Project has been designed to provide communities
like Melrose with a reliable source of water in the future, but it's
been in the planning stages for many years. As elected leaders, the
burden is on us to work together, prioritize our funding efforts, and
make the Ute Pipeline Project a reality for Eastern New Mexico's
future.
This project will be impossible to complete without your support
and the support of your colleagues in Washington. We greatly appreciate
your efforts on behalf of this endeavor in the past, and hope that
you'll continue to make it a top legislative priority.
Melrose's community members, its residents, farmers, ranchers, and
business leaders understand that every drop of water is crucial to
maintaining our way of life. Please feel free to reach out to us at any
time if the Village of Melrose can be of assistance to your efforts.
Sincerely,
Lance A. Pyle,
Mayor.
______
City of Texico,
Texico, NM, August 8, 2007.
Senator Jeff Bingaman,
Senator Pete V. Domenici,
304 Dirksen Senate Office Building, Washington, DC.
Dear Senators Bingaman and Domenici: As a rural community, the City
of Texico and its surrounding area is heavily reliant on agriculture
for survival.
With the drought conditions that our region has experienced in
recent years, it's essential that the issue of water availability
remain top-of-mind in Washington. I understand that you will be holding
a hearing on water issues in Clovis on August 14, and I appreciate your
efforts to reach out to our community.
It's clear that Texico cannot continue to rely on the Ogallala
aquifer alone for its water supply. As you know, a number of proposed
solutions are currently being debated, including the construction of a
pipeline between Ute reservoir and eastern New Mexico.
As Texico's mayor, I am open to discussing this project and other
proposals with you to ensure that we find the best solution for our
community's future. It's critical that officials at all levels of
government work together to find common ground and reach a solution
that ensures our region's continued economic livelihood and water
supply.
Sincerely,
Jerry Cunningham,
Mayor.
______
Clovis Community Colleg,
Educational Services,
Clovis, NM, August 8, 2007.
Hon. Jeff Bingaman,
Chairman, Energy and Natural Resources Committee, U.S. Senate, 304
Dirksen Senate Office Building Washington, DC.
Hon. Pete V. Domenici,
Ranking Member, Energy and Natural Resources Committee U.S. Senate, 304
Dirksen Senate Office Building Washington, DC.
Dear Mr. Chairman and Ranking Member Domenici: On behalf of Clovis
Community College, we appreciate the efforts of the U.S. Senate Energy
and Natural Resources Committee as it examines the issue of water
sustairtability in eastern New Mexico.
Clovis Community College has hosted a number of water and natural
resource meetings over the years, and it's evident that our region has
a number of critical decisions to make in the near future with regard
to our water supply.
We understand that the Ute Pipeline Project, coordinated by the
Eastern New Mexico Rural Water Authority, has accumulated a great deal
of support from your offices at the federal level, from Governor
Richardson's administration, and from a bi-partisan coalition in the
New Mexico State Legislature.
It's also clear that the the Pipeline Project will play a
significant role in maintaining and improving eastern New Mexico's
economic health and well-being. Accordingly, since a key mission of
Clovis Community College is to assume a leadership role in identifying
and responding to needs in education and economic development, we are
pleased to offer our support for the Ute Pipeline Project and its goal
of providing a sustainable water supply for our community's future.
Sincerely,
Dr. Becky Rowley,
Executive Vice President.
______
Eastern New Mexico University,
Board of Regents,
Portales, NM, August 8, 2007.
Hon. Jeff Bingaman,
U.S. Senate, 304 Dirksen Senate Office Building, Washington, DC.
Hon. Pete V. Domenici,
U.S. Senate, 304 Dirksen Senate Office Building, Washington, DC.
Dear Senators Bingaman and Domenici: Since our opening in 1934,
Eastern New Mexico University has developed a strong reputation as both
a public university and community leader. Known across the state and
region for our personal touch, ENMU offers a variety of services to
help students succeed in their academic, personal and professional
lives.
We stand as a partner with eastern New Mexico's residents, and like
many we're concerned about the sustainability of our region's water
supply. In 2004, ENMU formed a Water Conservation Committee to
recommend ways the university could conserve water on our properties.
By taking a proactive approach, several strategies were enacted to
reduce the use of water on campus, including changes in landscaping and
grounds keeping.
In addition, we remain supportive of the Eastern New Mexico Rural
Water System and the Ute Pipeline Project for a number of reasons, as
it will:
Provide a sustainable water supply for Portales and
Roosevelt County;
Improve the overall quality of our region's water supply;
Supply a source of continued economic sustainability and
growth; and,
Offset our region's dependence on the failing Ogallala
aquifer.
We appreciate this opportunity to comment on water issues in
eastern New Mexico, and appreciate your support for both our
institution and the future sustainability of our region. Please feel
free to contact us if ENMU can be of further assistance to your
efforts.
Sincerely,
Steven G. Gamble,
President.
______
Clovis Industrial Development Corporation,
Clovis, NM, August 9, 2007.
Hon. Jeff Bingaman,
Chairman, Energy and Natural Resources Committee, U.S. Senate, 304
Dirksen Senate Office Building Washington, DC.
Hon. Pete V. Domenici,
Ranking Member, Energy and Natural Resources Committee, U.S. Senate,
304 Dirksen Senate Office Building Washington, DC.
Senator Bingaman and Senator Domenici: I am writing on behalf of
the Clovis Industrial Development Corporation, whose purpose is to
develop business opportunities and recruit new business and industry to
Clovis and Curry County, in an effort to strengthen and diversify our
economic base in the region.
As you know, we have been able to attract a great deal of new
business to our area, though some companies have recently expressed
concerns about the sustainability and availability of our water supply.
It's becoming evident that bold steps will be required on the water
issue to ensure our region's standing as a potential site far business
relocation and growth.
The Eastern New Mexico Rural Water System is the type of bold step
that is needed, in our opinion. While the cost of its construction will
be considerable, its projected delivery of potable surface water to
Curry and Roosevelt counties will undoubtedly provide the resources
necessary for our region to remain economically viable and prosperous.
In addition, the construction and operation of this project will
provide a significant economic impact in its own right. Potential
revenues of up to $8.5 million will accrue from gross receipts taxes on
construction, and up to $450,000 annually from operation and
maintenance alone. Additionally, income tax payments are estimated to
increase by up to $360,000 initially and $53,000 annually.
Unfortunately, if we fail to act, the result could mean significant
losses to our existing economic base and lost opportunities for future
economic development. We look forward to working closely with you to
ensure that the Eastern New Mexico Rural Water System--and our region's
economic future--stays on the right track. Thank you for your continued
assistance.
Sincerely,
Chase Gentry,
Executive Director.
______
Curry County,
Farm & Livestock Bureau,
August 7, 2007.
Hon. Jeff Bingaman,
Chairman, Energy and Natural Resources Committee, U.S. Senate, 304
Dirksen Senate Office Building Washington, DC.
Hon. Pete V. Domenici,
Ranking Member, Energy and Natural Resources Committee, U.S. Senate,
304 Dirksen Senate Office Building Washington, DC.
Dear Senators Bingaman and Domenici: It has been brought to our
attention that Congressional funding for the Ute pipeline is being
sought. The Curry County Farm & Livestock Bureau is asking for your
assistance and support to ensure that funding is appropriated for this
pipeline. As you are aware, it is critical for Curry County in that it
ensures a long-term supply of water for the citizens, as well as
economic development and stability in agriculture production. In
addition there is a concern that if this water is not put to beneficial
use in the region, it may be allocated outside the state.
We appreciate your support in appropriating funds for this
strategic water infrastructure in eastern New Mexico.
Sincerely,
Dee J. Brown,
President.
______
Dairy Producers of New Mexico,
August 6, 2007.
Hon. Jeff Bingaman,
Chairman, Energy and Natural Resources Committee, 703 Hart Senate
Office Building, Washington, DC.
Dear Senator Bingaman: As you know, nearly a quarter of New
Mexico's dairies currently operate in Roosevelt County. On behalf of
New Mexico's dairy producers, Dairy Producers of New Mexico would like
to urge you to support the Ute Pipeline Project. This project will give
Roosevelt County and neighboring areas the sustainable water supply
they need for future growth.
Many New Mexicans rely on the dairy industry for their livelihood,
and New Mexico's dairies are critical to maintaining a quality supply
of affordable dairy products for our state's residents and businesses.
While dairies use less than 5% of the total ground water diversions in
their respective counties, water is critical to the industry. Dairy
Producers of New Mexico believes that the Ute Pipeline Project will
provide a cost-effective, long-term solution for providing water to
many of New Mexico's dairy operations (non irrigated agriculture) and
supporting commercial businesses.
The Eastern New Mexico Rural Water System, through its members, has
committed hundreds of thousands of dollars toward this project. These
funds have laid the groundwork for this project, from technical
planning to engineering to public outreach. However, it will take the
cooperation of local, state, and federal governments to provide the
total funding necessary for the Ute Pipeline Project.
We know that you recognize, as we do, that a sustainable water
supply for eastern New Mexico is critical to the future of the state's
dairy industry. As always, we appreciate your continued support of the
dairy industry in New Mexico. Please feel free to contact me if Dairy
Producers of New Mexico can be of assistance to your efforts in moving
this project forward.
Sincerely,
Sharon L. Lombardi,
Executive Director.