Editor's Note: This is the fourth and final part of a series on the New Mexico Central Arizona Project Entity's first organizational meeting held Aug. 10, 2015.
By Mary Alice Murphy
During the final part of the first meeting of the New Mexico Central Arizona Project Entity on Monday, Aug. 10, 2015, at the Grant County Administration Center, the members, after lunch, had a chance to ask more questions of the U.S. Bureau of Reclamation and the Interstate Stream Commission representatives in attendance.
Newly elected temporary chairwoman Hidalgo County Commissioner Darr Shannon asked the question that was on many people's minds: "Why did it take so long for us to get this information, when we need to hurry, hurry? We know you're just the messenger," she said to Reclamation Phoenix Office Program Development Division Director Mary Reece.
"April was the first time we got feedback from the ISC," Reece said. "We know you've been working on forming the Entity, but we've continued to say we need to speak to the Entity."
"After hearing about the supplemental terms, it seems pretty rough," Aaron Sera, NM CAP Entity representative as Deming city manager, said. "We would ask that we have our attorney, Jim Foy, on the negotiation team. I think for the terms we're talking about, we need to know the law."
Van "Bucky" Allred, Catron County Commissioner, asked what the difference would be between Mr. Foy and Mr. Pete Domenici.
"If you hire Domenici, somebody has to pay him," Sera noted. "We're already paying Foy."
Vance Lee, CAP Entity member from Hidalgo County Soil and Water Conservation District, said it would make sense to use Foy as he was readily available. "We need to get at it within a week or so. I'm not sure we can get it done that fast with Domenici."
Reece said, although several versions of the needed "supplemental terms" to the New Mexico Unit Agreement, which includes the NM Unit Description and the supplemental terms yet to be added, were within Reclamation. "I gave you the terms that are firm."
Sera moved to add Foy to the negotiating team, and the members approved the appointment. The team already named consists of Grant County's Planner Anthony Gutierrez, Luna County Manager Charles "Tink" Jackson, Howard Hutchinson of Catron Country, Allen Campbell to represent irrigators and Vance Lee for Hidalgo County.
"Can we sign the agreement prior to the deadline and make changes later?" Sera asked.
"I can't say never," Reece said, "but it is highly unlikely the Secretary of the Interior will allow changes later."
"What if what we come up with is not acceptable to others," Lee asked.
"I think intent and understanding is what our conversation will be on this document, so everyone knows what's coming," Reece said.
Ryan Jameson of the Fort West Irrigation Association, a member of the Entity, said he wanted to make sure that if a unit is planned on private land that no one would lose their land to eminent domain.
"I can't guarantee anything," Reece said. "We will look at private and public land, and if we want private ground, we buy it at market value. I think that wlll be worked out in the NEPA process. If you decide too much private land is being used, you give it a lower ranking and it falls off the list."
Wendell Hahn, representing the Gila Farm Irrigation Association on the Entity, said another issue was "what you said about not having enough money to pay for the Unit."
Reece said a number of different revenues go into the Lower Colorado River Basin Development Fund. "In some models, we have concerns. There are no definitive answers, but a lot of people are looking at the issue."
Jameson asked for an estimate of costs per acre-foot of water for the exchange.
"The exchange rate this year is $157 per acre-foot for pre-banking water," Reece said. "You as the Entity will have to decide who gets how much and what it is used for. Is it just agricultural, or agricultural and municipal? Remember all costs of the Unit, including design, construction, operations and maintenance are over and above that exchange cost."
Shannon asked about the legal status of the Entity. "As I understand it, in the joint powers agreement, it talks about the status of the Entity today, but it can change through legislation or other means."
"If it's a change that waives a responsibility you have chosen to take responsibility for, the Secretary will have issues," Reece said.
Grant County Commission Chairman Brett Kasten asked how the NEPA process would be extended if it were not completed by the 2019 deadline.
"If it is not the fault of New Mexico, we would work through to 2030," Reece said.
Javier Diaz, Luna County commissioner on the Entity, asked if the NEPA process could be done privately.
"The current plan is to work with New Mexico, but to hire a third party contractor," Reece said.
Diaz said he had heard an estimate of $9 million for the NEPA process.
"We preliminarily think $6 million with a private contractor, but that could change," Reece replied.
"What if the NEPA doesn't get approved?" Jameson asked.
"If the Secretary decides on the no-action alternative or other alternatives, then the Unit will not be built and there will be no supplemental money," Reece said. "You will still have the $66 million."
Jameson asked if Arizona could come in and pipe the water over the state line.
"I don't think that can happen," Reece said. "If the decision is not to build, you cannot take the additional AWSA water."
Shannon asked, if the Entity signs off on the NM Unit Agreement, could the Secretary say yay or nay.
"As I understand it, through our office in D.C., it will not go forward for your signing it unless the Department of Interior looks at it first," Reece said. "There will be discussions back and forth over the next few weeks."
Gutierrez asked Reece when the negotiating team would have something to review. "It's on my list," Reece, who said she would be the contact person, said. "I will talk with our attorneys."
Diaz asked for a definition of diversion of water.
"A Unit or any infrastructure that triggers an exchange with Arizona to access additional water, including the exchange," Reece said.
Jameson asked to clarify that Reece had said it was up to the CAP Entity to determine how to distribute the additional water.
"We will be at the table with you for the design and construction, but not on how you decide to use the water," Reece confirmed.
The next meeting date was set for 9 a.m. Tuesday, Sept. 1, at the Grant County Administration Center.
Gutierrez noted that he had been contacted by the Legislative Council Service to have the Entity give a presentation on where it is in the process to the Interim Water and Natural Resources Committee, which would be meeting in Silver City Aug. 31 and Sept. 1. He received no comments.
Meetings were set up for Sept 1, and Sept 15, same time, same place.
Shannon requested past years of the ISC budget for help in developing the Entity budget. Sera said for his purpose in developing the first year's Entity budget, the past year's ISC budget would be sufficient.
Effati explained the review for the 30 percent engineering design contractor would go through the ISC process for the selected applicant and for the requirements of the scope of work. "Mr. Sera is part of our evaluation process. Then the application will be submitted to the procurement process."
Kasten confirmed future dates for the NM CAP Entity to meet at the Grant County Administration Center as Oct. 13, which would be the second Tuesday, and Nov. 17 and Dec. 15 as third Tuesdays of the month.
Shannon asked that the primary agenda items for the Sept 1 meeting be the bylaws and the budget.
Work said the Entity as a group would decide the bylaws. "I'm providing the draft."
Kasten said the group needed to request if it wanted the proceedings to be set up for audio and visual recording.
"We'd be more than happy to record the meetings," Lori Ford, Community Access Television of Silver City director, said. "They will be aired on TV. But if you decide to meet in other places, we will not record the meetings, which might raise red flags for the public."
The meeting adjourned.