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Cave Creek council authorizes $100,000 earnest payment to pursue Harquahala groundwater allocation

Town of Cave Creek Mayor and Council · October 22, 2025
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Summary

Facing anticipated Colorado River/CAP cuts, Cave Creek approved a $100,000 earnest payment to reserve a 500‑acre‑foot allocation from the Harquahala Valley project, with the town retaining a due‑diligence window to back out. Council voted 5–2 after hours of staff briefings and public comment.

Cave Creek officials on Tuesday authorized the town manager to deposit $100,000 in earnest money to reserve a 500‑acre‑foot allocation of groundwater rights from the Harquahala Valley project, a purchase staff says could help the town replace a portion of its Central Arizona Project supply if future CAP reductions occur.

Utilities director Sean Cruz Wisener told council that the town relies on CAP for roughly 90 percent of its municipal and industrial supply and that state and federal negotiations could deliver a planning‑level 25 percent cut to CAP allocations by January 2027. He said the Harquahala project offers a groundwater allocation that ADWR modeling shows could meet the 100‑year assured water supply requirement if the town purchases an allocation and…

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