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ITEM 32

City Council Memorandum Public Works & Utilities Memo No. UA24-038

Date:

November 9, 2023

To:

Mayor and Council

Thru:

Joshua H. Wright, City Manager
Andy Bass, Deputy City Manager
John Knudson, Public Works and Utilities Director

From:

Simone Kjolsrud, Water Resources Manager

Subject:

Resolution No. 5754, Approving a Groundwater Savings Facility Storage Agreement between the New Magma Irrigation and Drainage District (NMIDD) and the City of Chandler

Proposed Motion:

Move City Council pass and adopt Resolution No. 5754, approving a Groundwater Savings Facility Agreement between New Magma Irrigation and Drainage District and the City of Chandler

Background:

In 2004, the City of Chandler entered into an Intergovernmental Agreement (IGA) with the NMIDD to maximize the use of Central Arizona Project (CAP) water and minimize the use of groundwater by NMIDD. NMIDD is located in the south and east portions of Chandler and in the same sub-basin of Chandler, which connects it hydrologically to the same aquifer that Chandler uses for groundwater pumping. According to the agreement, in any year, Chandler may opt to deliver a portion of its CAP water to NMIDD for agricultural use within the irrigation district. As a result of these CAP water deliveries, groundwater that would have otherwise been pumped by NMIDD remains in the aquifer and accrues Long-Term Storage Credits for the benefit of City of Chandler. Until this year, the parties have been operating under the original 2004 IGA, which has been renewed annually. The IGA is being modified to increase the reimbursement rate paid to the city and revise certain terms.

Financial Implications:

The City of Chandler will receive reimbursement for $25 per acre-foot of water delivered. The reimbursement rate that was paid according to the 2004 IGA was $21 per acre-foot of water delivered.

Attachments

Resolution No. 5754

Exhibit A - 2024 NMIDD GSF Agreement