City of Lafayette

City of Lafayette

LAFAYETTE RECONSIDERS WATER SUPPLY STORAGE AND COSTS
City officials recently determined that if they continue their current water policy the City will be in the red to the tune of $11.5 million by 2017. Lafayette requires developers to acquire Colorado Big Thompson shares through the Northern Colorado Water Conservancy District (NCWCD) and dedicate them to the city as a condition of development approval. For every two shares owned by the city, NCWCD requires the purchase of one supplemental share that currently costs $700,000. That obligation has officials reconsidering the policy due to the huge financial burden it represents. The combination of expected development and the city’s own capital projects requiring water created the red ink. Officials may consider returning to their prior policy that required developers to pay a fee into the city water fund. That would give the city the ability to better manage the amount of water that is needed and purchased. Water fees for residents in the city have been automatically increased for the past four years for a total increase of 41 percent. Additional increases are anticipated within two to four years.