800 C-BT water units go on the block Sept. 17
By Cherry Sokoloski
North Forty News
There's lots of interest in the Sept. 17 auction of more than 800 units
of Colorado-Big Thompson water. Holcim Inc., which shut down its cement
plant three years ago, is selling the water along with some 3,000 acres
of land north of LaPorte.
In arid northern Colorado, water is always big news, and many folks are
talking about who will buy the water and how much it will cost.
According to Brian Werner of the Northern Colorado Water Conservancy District,
the going price for a unit of C-BT water is $10,000 to $11,000. "It will
be interesting to see if it all sells, and at what price," Werner said.
He expects that many developers buying land at the auction will buy water
to go with it.
What Werner does not expect is a lot of speculation buying at the auction.
That's because NCWCD has procedures and policies in place that limit who
buys C-BT units and how much they buy. "The water has to attach to a specific
property," Werner explained. The new owner has to show that it will be
put to beneficial use, within the district boundaries, and that the amount
purchased is not excessive for the parcel to which it is attached.
Before the NCWCD board of directors approves a transfer of ownership, the
agency conducts a field exam to see how and where the water will be used.
"We highly discourage speculation on C-BT water," Werner said. "We have
procedures to make sure the water is necessary." All municipalities that
use C-BT water have caps on the amount they can hold.
These days, most water districts and municipalities require developers
to bring water with them. As a result, Fort Collins, the Northern Colorado
Water Association and East Larimer County Water Association do not plan
to bid on water at the auction. Furthermore, said Dennis Bode of Fort Collins
Utilities, the city has already reached its cap in terms of C-BT ownership.
At the auction, bidders will be required to buy water in 25-unit blocks.
Four hundred units will sell absolute to the highest bidder.
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