Authorize Conservancy District Water Management

Water Resources and Agriculture Review Committee. Under current law, when certain conditions exist, a district court may establish conservancy districts for the conservation, development, utilization, and disposal of water for agricultural, municipal, and industrial uses. Section 1 of the bill allows conservancy districts to conserve, develop, utilize, or dispose of water for commercial uses as well. Section 2 authorizes the board of directors of a conservancy district to:

• Submit and participate in a plan for augmentation for the benefit of water rights and wells within and outside of the boundaries of the conservancy district;
• Contract with water users within and outside of the conservancy district for the provision of services;
• Exercise certain powers concerning the management, control, delivery, use, and distribution of water in conjunction with a plan for augmentation;
• In conjunction with sections 4 and 5 , establish a water activity enterprise, which is a government-run business, for the purpose of pursuing or continuing water activities; and
• Sell, lease, or otherwise dispose of the use of water or capacity in works by term contracts or by contracts for the perpetual use of the water or works to certain entities.

Section 3 authorizes a conservancy district to:

• Enter into long-term contracts with public and private entities for the accomplishment of functions of the conservancy district; and
• Avail itself of aid, assistance, and cooperation from the federal government, the state government, and local governments.

Sections 4 and 5 allow a conservancy district to establish a water activity enterprise, which is a business that receives less than 10% of its annual revenues in grants from all Colorado state and local governments combined, is authorized to issue its own revenue bonds, and is excluded from the provisions of the "Taxpayer's Bill of Rights" in the state constitution.
(Note: This summary applies to this bill as introduced.)