MANAGER’S REPORT

14 August. 2007

The weather is not quite as hot as it was and that is welcomed.  With natural flow anticipated to decline as we go thru the summer this should ease any pressure of Arnold and Lone Pine on drawing storage from Crane Prairie and increasing the capability to fill Crane Prairie this winter.

The District Manager and Legal Counsel provided comments in hearings before the City of Bend and Deschutes County Planning Commissions held on the City of Bend’s proposed Urban Reserve and Urban Growth Boundary expansions (Swalley Irrigation District also provided testimony).  The District testified that Oregon Statute had not been followed during the alternative lands analysis done by planning staff to determine the proposed URA/UGB boundaries.  Statutes clearly specify a priority hierarchy of zoned lands to be considered first versus last.  The land that is to come in first is “exception lands” meaning already within a designated Urban Reserve or zoned MUA-10, or RR, and then if those lands are not sufficient to meet the planning horizon the boundaries can consider Exclusive Farm Use (EFU) zoned lands.  Within EFU zoned lands another prioritization takes place and EFU non-irrigated would come next, then small parcel irrigated with lastly large parcel irrigated. It is COID’s contention that this prioritization was not followed nor the appropriate analysis completed to substantiate the proposed City of Bend UGB or URA.  Hearings have been suspended on proceeding on the Urban Reserve with hearings on the Bend UGB proceeding forward this fall.

The Commissioner of the Bureau of Reclamation, Bob Johnson visited with COID and the other members of the Deschutes Basin Board of Control this past month. The Commissioner was very engaged in understanding how the irrigation districts operate in Central Oregon and shared his concern with potential impacts associated with the Endangered Species Act.  The Commissioner also showed great interest in the Central Oregon Water Bank (COWBank) that COID helped found. He was impressed with our ability to balance the water needs of agriculture, cities and the environment along with the creativity of its structure and processes.

COID with the Deschutes Basin Board of Control (DBBC) are fully engaged with NOAA, US Fish & Wildlife (USFW), and other basin stake holders with the Steelhead reintroduction effort. While a prosecutorial letter of discretion has been received from NOAA by the irrigation districts for this year, continuing conservation measures will have to be implemented to ensure ongoing protection and the consummation of a Habitat Recovery Plan (HCP).  To this end, the members of the DBBC are in active discussions with NOAA, USFW, and the other basin stakeholders.  A meeting was held in mid – July with all the parties for a consensus based HCP planning and implementation path, which includes 10j experimental, non-essential designation. Another meeting is planned for September 24th.  COID is very active in working with our Congressional delegation and with the Cities and Counties of Central Oregon on this very serious issue that will take several years to complete.

 The opportunities pursued this past month include, but are not limited to:

·        COID received notice from the Department of Interior and the Bureau of Reclamation of being selected for its third Water 2025 grant in the amount of $125,000. COID is one of the few entities in the country to be awarded a grant in all three years of the program’s availability.  The grant is for the purposes of establishing additional telemetry stations within COID and many of the other irrigation districts in Central Oregon. It also contains over $50,000 in funding for defining water conservation opportunities in the Deschutes basin.

·        COID also received notice from the Bureau of Reclamation of additional funds in the amount of $38,000 for telemetry stations from another grant program. 

·        Both the NUID and Deschutes River Conservancy legislative bills have been introduced in the US Senate and US House.  Other federal efforts pertaining or impacting irrigation districts are monitored by COID through its participation in the OWRC and the National Water Resources Association (NWRA).

·        The 2007 Farm Bill activity in Washington, DC is picking up steam.  COID in conjunction with the Oregon Water Resource Congress is heavily involved with lobbying for expanded provisions for irrigation districts under the proposed Regional Watershed Enhancement Program as part of the established EQIP. The District will continue to be active in this process and monitor the Bill’s progress as it makes its way through the congressional approval process which will likely take until the fall.

·       COID is in active conversations with Oregon State Parks on acquiring a 10 acre parcel for the placement of the Juniper Ridge Hydro Project.  The issues with the City of Bend have likely been resolved this past month, and COID will be pursuing the partitioning of the parcel in cooperation with Oregon Parks with Deschutes County.

 ·     The District has received the acceptance from John Summers of an offer of employment for the position at the Siphon Power Project.  John will be starting in the next week and comes with extensive experience in the electric generation utility business. 

·        A Master Agreement with Crook County is underway to address both entities’ authorities and requirements for road development and improvement projects.

The challenges presenting themselves:

·        US Representative Oberstar (D-MN) introduced a bill in the US House titled “Clean Water Act Restoration” that if passed and signed into law would have an incredibly negative impact on all irrigation districts and patrons.  The introduced bill would extend the onerous regulatory framework of the CWA through the Army Corps of Engineers to basically all waters connected to a stream or river including farmer ponds and all irrigation canals and laterals.  An accompanying and identical bill has been introduced by US Senator Feingold (D-WI) in the US Senate.  Hearings are scheduled in the House after the summer recess.  COID is playing a very active role with the NWRA and OWRC in providing information on the negative impact this will have on irrigation districts and its patrons.

·        The piping of the C Lateral in Redmond’s Northwest Area Plan is being evaluated by the developers involved in that area.  Meetings are scheduled with COID and City of Redmond staff  with the developers for this next month. The meetings will address their concerns as well as the benefits that will accrue with the piping.

STATUS REPORT

 Deschutes Water Alliance

·        Members met with Phil Ward, Director of OWRD and Debbie Colbert providing an update on the Central Oregon Water Bank, and to get a better understanding of the Water Supply analysis the State will be performing in the coming year.

Status – Complete

David Evans & Associates

·        Assisting District on Juniper Ridge hydroelectric project

Status – Preliminary pipeline design and hydro facility completed

·        Assisting District on evaluating retention structures in Dry Canyon

Status – Preliminary structure size and cost estimates completed. Remington Ranch has expressed reluctance to be involved, but discussions are ongoing at this point.

 ·        Assisted District in evaluation of excavation work being done along North Canal Blvd in Redmond.  Will be involved in the development of standards for electrical utilities.

Status – Standard Operating Procedures in development. Follow up discussion with PacifiCorp to be scheduled.

·        Cooperative evaluation of potential 50-100 acre re-regulating structure on Central Oregon Canal with Audia-Gordon LLC.  Geotechnical work and elevation specifications are underway.

Status – In Process

Real Estate

·        Bid schedule for partitioned 40-acre parcel near Deschutes Market Road and Hwy 97 still delayed pending a clarification of deed to property. Issue is being worked for resolution with Steve Scott, Title Company, and Legal Counsel.

Status – In Process

·        DesertScape, COID, and the Redmond School District are proceeding on filing for rezoning changes of the 250-acre parcel in east Redmond.  Multiple conversations and meetings with City of Redmond staff on the most productive path for approval. The draft Redmond TSP will be received this summer with the planned modified TSP steps to include the 250 acre parcel to be underway shortly thereafter.

Status – In Process

 Development 

·        Coordination agreements with Deschutes County and the City of Bend are required under Oregon Revised Statute (ORS) Chapters 195 & 197 for the establishment of new Urban Reserve and Growth Boundaries.  Both entities have begun the conversations with likely effected irrigation districts and other special districts.

Status – See discussion above in Challenges section.  Discussions held and ongoing

 ·        Direct communication with City of Bend and Redmond public works and planning staff on resolving issues of canal safety and impacts of development that will require piping.

Status – In Process.  Preliminary discussions held, issues ongoing, no resolution expected for some time.

·        Special District representatives conducted a field evaluation of canal structures within the city limits of both Redmond and Bend.  Recommendations include COID to implement main canal monitoring program utilizing District field and managerial staff.

Status – In Process.  Monitoring Program to be established before end of irrigation season.

 

 ON THE RADAR SCREEN

                        ·        Bull Trout Critical Habitat Final Rule amendments

·        Funding for the Habitat Conservation Plan work associated with the Steelhead reintroduction.