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Erie lays out water strategy as growth pressures rise; Windy Gap, NISP and local projects central
Summary
Town staff told council that Erie currently uses about 6,100 acre‑feet of potable water and relies heavily on CBT holdings; key future supplies include Windy Gap Firming (Chimney Hollow), local Boulder Creek and Philly Lake projects, and Erie’s participation in NISP (6,500 AF). Staff warned of tradeoffs, litigation risk and multi‑hundred‑million‑dollar capital needs including a proposed North Water Treatment Facility.
Erie officials gave council a detailed briefing on the town’s water‑supply portfolio and capital program, saying the town must build new supplies and treatment capacity to serve projected growth.
Todd Fessenden, the town’s utilities director, introduced water attorneys who explained the legal framework. "Colorado’s prior‑appropriation system — first in time, first in right — means senior water users can curtail junior users," Andrea Carroll said, underlining why Erie must diversify its portfolio.
Staff said Erie’s 2024 potable production was about 6,100 acre‑feet for roughly 40,000 people and that the town owns 7,382 CBT units and leases 955 units (8,337 CBT units total). The town holds 20 Windy Gap units and subscribes to 6,500 acre‑feet in NISP (Northern Integrated Supply Project).
On major projects, Andrea Carroll and staff highlighted Windy Gap Firming (Chimney Hollow Reservoir) as a near‑term source that will firm reusable Windy Gap supplies. Carroll said Northern Water is managing construction and modeling that could allow initial reservoir filling this year while noting modeling uncertainty: "It started in August 2021, and it should finish this year, this August," she said, adding that Bureau of Reclamation modeling suggested a possible partial fill by year‑end.
The town’s locally controlled projects include the Boulder Creek horizontal‑well system (with a 1,000‑acre‑foot reservoir) and the Philly Lake horizontal well; staff said these locally controlled sources are intended to create firm yield and reduce reliance on West‑slope imports. Pete Johnson described how reuse reservoirs and augmentation plans would allow reliable operation for these junior rights.
Staff discussed regional NISP participation and litigation risk: the federal 404 permit for NISP was issued in December 2022 but has been challenged in court (Save the Poudre litigation). Andrea said the project includes substantial environmental mitigation commitments and that Northern has been assembling right‑of‑way and pre‑construction tasks.
On treatment and infrastructure, utilities staff described the proposed North Water Treatment Facility — a reverse‑osmosis plant currently estimated at about $175 million, with additional conveyance costs possibly in the tens of millions — and significant costs for storage tanks and pipelines. Fessenden said planning anticipates phasing the plant and building treated storage and conveyance as demand and funding allow.
Staff warned that if NISP or other large regional projects are delayed, alternatives include buying additional CBT shares, slowing growth approvals, or increasing reliance on local projects and higher rates to finance capacity. Councilors asked for timelines and cost breakdowns; staff said a March meeting would bring interim agreements and formal design work forward and that the town’s rate study will apportion costs between growth‑driven and existing‑benefit components.
Next steps: staff will return with financing plans, rate‑study outcomes and schedule updates for NISP interim agreements, Windy Gap firming milestones, and the North Water Treatment Facility design.
