Consideration and Approval of Project Fund Disbursement: Authorize the transfer of funds from a jointly managed restricted account with the National Park Service and approve the project recommendation made by the Lake Mary - Walnut Creek Technical Advisory Committee

The Lake Mary-Walnut Creek Technical Advisory Committee, which is made up of the National Park Service, U.S. Forest Service and the City have collectively agreed to continue funding the stream gauge located in Newman Canyon just upstream of Upper Lake Mary that is operated by the U.S. Geological Survey (USGS).  In order to pay the USGS for this service through September 2024, all three agencies must authorize the release of $19,000 from a jointly managed restricted account administered by the National Park Service.  In accordance with the Memorandum of Understanding dated January 13, 2013 (attached), letters of approval from National Park Service Area Monuments and the Coconino National Forest are also attached.

This Council action would transfer funds from the jointly managed restricted account to the City and allow Water Services Division to pay the U.S. Geological Survey for their services up to a maximum of $19,000 leaving a balance of $91,303 (as of March 30, 2020).

This item relates to Council's goal to actively manage and protect all environmental and natural resources and to take meaningful climate change action. The following goals and policies in the Flagstaff Regional Plan 2030 are supported by this effort:

• Goal WR.1. Maintain a sustainable water budget incorporating regional hydrology, ecosystem needs, and social and economic well-being. Policy WR.1.2. Seek regional opportunities to partner with resource land managers and adjacent landowners to improve water yield and hydrologic processes.
• Goal WR.6. Protect, preserve, and improve the quality of surface water, groundwater, and reclaimed water in the region. Policy WR.6.3. Implement best management practices to protect, restore, and maintain surface waters and their contributing watersheds.
• Goal E&C.3. Strengthen community and natural environment resiliency through climate adaptation efforts. Policy E&C.3.3. Invest in forest health and watershed protection measures.
• Goal E&C.4. Integrate available science into policies governing the use and conservation of Flagstaff ’s natural resources. Policy E&C.4.1. Assess vulnerabilities and risks of Flagstaff’s natural resources.
• Goal E&C.6. Protect, restore and improve ecosystem health and maintain native plant and animal community diversity across all land ownerships in the Flagstaff region. Policy E&C.6.1. Encourage public awareness that the region’s ponderosa pine forest is a fire-dependent ecosystem and strive to restore more natural and sustainable forest composition, structure, and processes. Policy E&C.6.6. Support collaborative efforts for forest health initiatives or practices, such as the Four Forest Restoration Initiative (4FRI), to support healthy forests and protect our water system.

Additionally, this work supports the following objectives of the Water Services Strategic Plan 2025:

• Objective 1: Use standards and data to drive decision making. The standard is to use data to enhance operational performance and decision making.
• Objective 3: Protect the water system from wildfire threat. The standard is to ensure the water supply and system is resilient to the effects of climate change.
• Objective 6: Ensure adequate water resources and plan for climate change. The standard is to ensure that the risk of a sustained water delivery shortage is extremely low, and to continue to build resiliency in water supplies and infrastructure systems with specific attention to the forecasted effects of climate change.

Yes.  City Council executed a water rights Stipulation with the United States on behalf of the National Park Service (NPS) and the National Forest Service (CNF) on December 10, 2001; City Council approved a Memorandum of Understanding between NPS, CNF, and City of Flagstaff (Agreement Number G747003001) on August 6, 2003; City Council approved the Charter to the Memorandum of Understanding on August 25, 2005; and City Council approved a renewed MOU and Charter on January 13, 2013.  Lastly, City Council authorized disbursement of a not-to-exceed $51,000 from this same jointly managed restricted account with the National Park Service on April 1, 2014, to support the funding of equipment, operation, and maintenance for two watershed monitoring projects within the Upper Lake Mary watershed.  

In 2001 the City of Flagstaff, the United States on behalf of the National Park Service (NPS) Flagstaff Area National Monuments, and the Forest Service (USFS) Coconino National Forest signed a Stipulation that recognized & confirmed the water rights of each Party within the Walnut Creek Watershed. It was agreed that either Party would not object to, dispute, or challenge these rights in the Little Colorado River Adjudication. In this stipulation the parties agreed to cooperate in good faith to meet the objectives identified in the stipulation.
 
As part of the Stipulation, the City made a one-time contribution of $100,000 to a trust account that may be used to fund studies to accomplish objectives that identify best management practices and evaluate methods that may increase the likelihood of flood flows and improve the inner-canyon environment in Walnut Canyon National Monuments. A Memorandum of Understanding (MOU) to cooperate in the establishment of a Lake Mary-Walnut Creek Technical Advisory Committee (LM-WC TAC) was signed by the Parties on September 2, 2003 with a 10-year term. That MOU was revised by the LM-WC TAC and signed by Mayor Nabours on January 22, 2013 (attached). The LM-WC TAC recommends projects and authorizes funding from the trust account that meet the objectives of the Stipulation. 

The project that the LM-WC TAC proposes to fund is ongoing operation and maintenance of the U.S. Geological Survey (USGS) streamgage at Newman Canyon. The gauge was installed in 2014 and partial funding came from the LM-WC TAC as authorized by all three parties. Data from the stream gauge informs staff about the frequency and timing of flows that fill Upper Lake Mary, which is especially useful when learning about the watershed's response to climate and forest treatments. This information is also important to a vast number of stakeholders with interests in the Upper Lake Mary watershed. The gauge collects rainfall and stream flow data in real-time available on the USGS website. New in 2019 is the addition of a turbidity sensor and added sediment analysis services from the USGS.

The intent of the Stipulation is to increase flood flows in Walnut Creek by improving the surface water supply. More runoff into Upper Lake Mary would not only benefit our municipal surface water supply, but increases the chance for water to flow over the dam and through the Walnut Canyon National Monument. Data from the stream gauge is available to the public and can be used to inform climate change or watershed maintenance impacts to Upper Lake Mary.