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| 10/17/2009 6:00:00 AM | Email this article • Print this article | Water districts consider flowing together
Consolidation should lower costs for Summit Ridge residents
Kimberly Benedict
Journal Staff Writer
The Summit Ridge Water District board of directors will hold a public meeting on Tuesday, Oct. 20, to discuss a proposed consolidation with Montezuma Water Company.
The possible consolidation comes at a point when the Summit board believes the two organizations have become redundant.
"The board feels as though the district has outlived its usefulness," said board member Mark Tuttle. "We've accomplished what was necessary in the beginning."
The water district, created about twenty years ago, currently serves 540 active taps and has roughly 630 members, according to Tuttle.
The district's original purpose was to provide water to the Summit Ridge area, a task larger companies did not find appealing.
"Summit Ridge Water was created at a time when there were very few people in the area," Tuttle said. "They were fairly far apart and none of the water companies were interested in putting in the infrastructure. They didn't feel they would get a reasonable return on their investment."
Residents of the area banded together to create the district, placing a tax on themselves and laying the infrastructure, Tuttle said.
The water involved, however, has always belonged to Montezuma Water Company.
"At that time an agreement was drafted with Montezuma Water Company that they would supply the water," Tuttle said. "Summit Ridge would distribute the water to the residents."
The availability of water in the region made the Summit Ridge area more attractive to potential residents.
"As they say, 'If you build it, they will come,'" Tuttle said. "Once there was water here, people started building and they came to be many more residents."'
The larger number of residents receiving the Summit Ridge service increased the cost of the operation.
Based on 2008 data, Summit Ridge Water District operates at a cost of about $75,000 more compared to residents receiving their water directly from Montezuma Water Company, according to Tuttle.
"With that number, it comes out to $140 per customer per year they are paying extra," he said. "Of course, it's not linear like that. It depends on water usage. For some it might be $50 for some it might be $300 per year."
The board began contemplating consolidation early this year. Based on an operations agreement between the two companies, Montezuma Water Company began operating the Summit district in June. The purpose of the move was to provide everyone with a consolidation test-run.
"We did that both so we, the district and members could get a sense of how it would be, and they could get a sense of what our district is," Tuttle said. "I want to emphasize it is the exact same water coming out of the tap. Montezuma has always been the provider.
"Water is becoming a progressively more contentious issue. Our district owns no water rights and Montezuma has extensive rights. Part of our motivation is to gain access to those excellent long-term water rights."
Representatives from Montezuma Water Company were not avilable for comment.
The public hearing, at 7 p.m. on Oct. 20, at the Dolores Fire Protection District Substation, will offer members an opportunity to gather information regarding the consolidation proposal and the process itself. A district wide election will be held at a later date.
Tuttle remains confident consolidation is the right move for the district.
"It reduces the cost of water and the elimination of overhead costs and the ongoing discussion of how we might share water rights," he said. "This was the right time to consider consolidation."
For more information, contact the district at 882-4526.
Reach Kimberly Benedict at kimberlyb@cortezjournal.com.
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