At its Aug. 17 meeting, the San Juan Water Conservancy District (SJWCD) Board of Directors discussed moving forward with leasing a portion of the Running Iron Ranch, where the district plans to build a reservoir, to an adjoining landowner to allow their cattle to access water this fall.
SJWCD board president Randy Cooper explained that the adjacent landowner approached the district to use a small portion of the property from late August to the middle of September.
He stated that the SJWCD’s attorney drafted a lease agreement for the proposed arrangement.
SJWCD board member Candace Jones indicated that the Pagosa Area Water and Sanitation District (PAWSD), which is a co-owner of the property, is aware of the arrangement and was coordinating with the SJWCD to answer any questions it had about the proposal.
“This is not a money-making kind of thing,” Jones said. “It’s more of a neighborly, kind of, let’s help our neighbors.”
She added that she would encourage the board to authorize Cooper to finalize the lease agreement.
SJWCD board member John Kappelman raised concerns about the process, commenting that the district would likely be doing this lease for the “next several years” and that the U.S. Forest Service puts out grazing leases for bid, which he encouraged the district to also do, at least in the future.
“I totally understand the issue of neighborliness on this, but we’re also a public entity, and I think having a fully transparent process is the best way to go. And, I still think that there’s time to do that,” he said. “I don’t think that it’s necessary that we actually bid the lease to the one person who’s requested it, but that we make it a public process.”
Cooper commented that he would agree with Kappelman about a lease of the entire property for grazing, but that a short-term, water-access-focused lease might not require it.
Kappelman reiterated his concerns about transparency, and SJWCD board member Rob Hagberg suggested that the district could advertise the lease opportunity in The SUN for a week to ensure transparency.
Cooper raised concerns that delaying approving the lease by the week or more that advertising the lease in The SUN would require could shut down the opportunity since the end of the season is near.
Jones suggested that the district could post notice about the lease opportunity on its website.
She also clarified that, while the lease does not include direct payments, it does involve fence repairs and fencing in the cattle to ensure they do not move onto other portions of the property.
Following further discussion, the board agreed to post the notice on its website, and Kappelman agreed to write the notice for the website.
Jones amended her motion to authorize Cooper to approve the lease if no other offers were received in the notice period.
The board then unanimously approved the motion.
In an Aug. 25 email, Cooper confirmed that the district did not receive any other bids to lease the property and that the lease went to the initial bidder.
According to the lease opportunity notice on the SJWCD website, the lease will be in effect between Aug. 21 and Sept. 15.
josh@pagosasun.com