TL/DR –
The US federal government is to release $40m for the Colorado River District’s acquisition of the Shoshone water rights. The funds had been held up due to a January 2025 executive order by President Donald Trump. The amount means the district has now secured $97m of the $99m required for the purchase, with the aim of preserving baseflows in the river to support agriculture, aquatic ecosystems and rural communities in western Colorado.
U.S. House Rep. Jeff Hurd Announces Release of $40M Funds for Shoshone Water Rights Purchase
The U.S. federal government is set to release $40 million in previously frozen funding to support the Colorado River District’s purchase of the Shoshone water rights, according to an announcement made by U.S. House Rep. Jeff Hurd (R-Grand Junction) on Friday.
Mesa County Commissioner Bobbie Daniel celebrated the news, emphasizing the significance of the funding release for the Western Slope. Daniel emphasized the historic nature of the move, stating that it supports farmers, ranchers, small communities, and all families dependent on the Colorado River.
The funding, initially frozen due to an executive order issued by President Donald Trump in January 2025, brings the Colorado River District closer to fulfilling the financial requirements for the purchase. A spokesperson for the district confirmed that the organization is now just $2 million shy of the required $99 million.
Andy Mueller, the Colorado River District General Manager, praised the role of Colorado’s congressmen in the breakthrough. In his press release, Mueller credited Representative Jeff Hurd and Senator Michael Bennet for their leadership and foresight, respectively. He also acknowledged the efforts of Senator John Hickenlooper and Representative Joe Neguse, who fought to secure funding by building and strengthening coalitions across various divides.
Last week, $47 million in funding aimed at tackling drought and the receding Colorado River were released, part of the previously frozen Inflation Reduction Act appropriations.
Persistent Advocacy: The Key to Victory
Rep. Hurd attributed the success to years of advocacy by local water organizations, agricultural producers, conservation groups, and other stakeholders. He acknowledged the presence of initial uncertainties, but also highlighted the collective persistence he, along with other Colorado representatives, demonstrated to push this cause forward.
Efforts to purchase Xcel Energy’s water rights for the Shoshone Hydropower Plant based in Glenwood Canyon date back several years. The rights, described as “one of the state’s most significant Colorado River water rights” by a press release from the Colorado Governor’s Office, were finally agreed upon in 2023 between the river district and an Xcel subsidiary. This agreement hinged on successful fundraising of $99 million and acceptance of these water rights into Colorado’s instream flow program. The latter was approved in November of the previous year by the state water board.
Next Steps: Converting Rights and Overcoming Legal Challenges
Going forward, the river district aims to convert the rights for dual-use in hydropower production and instream flow purposes. This process will be resolved through Colorado’s water court, which is likely to face legal opposition from Front Range entities. Mueller expressed confidence in the upcoming trial, scheduled to take place next week, and in the district’s ability to establish historical use of water for Shoshone plant’s hydroelectric power production.
The district is also in the process of securing the remaining $2 million required for the purchase, which is anticipated to be raised within the upcoming months. Following this, the final step is a proceeding with the state Public Utilities Commission to determine the allocation of Xcel’s subsidiary’s sale profits. Mueller projects that this process will be completed latest by 2030.
As this progresses, Senator Hickenlooper has stated his intent to continue pushing for the release of funds for nine remaining IRA-related drought projects for Colorado, which amount to $52 million and are currently frozen.
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