From the Cortez Journal (Steve Grazier/Joe Hanel):
Montezuma Valley Irrigation Co. filed a lawsuit June 5 in U.S. District Court against the Dolores Water Conservancy District and the U.S. Bureau of Reclamation for allegedly not meeting water requirements agreed to in a 1977 pact via the Dolores Project…
MVI attorney Kelly McCabe said Monday discussions on a possible case settlement have been ongoing between himself and conservancy district attorney Barry Spear, of the Durango firm Maynes, Bradford, Shipps & Sheftel. “Our settlement conferences with the U.S. magistrate are continuing. We’re still working and expect to be through this month,” said McCabe, who noted that a status conference is set today in Durango’s U.S. District Court…
According to the MVI lawsuit, the irrigation company “has been improperly charged (or billed) and assessed ‘delivery’ of Dolores Project water in the amount of 29,658 acre-feet despite MVI’s direct-flow rights in the Dolores River have produced 100 percent of MVI’s demand. The District (also) unilaterally determined and assessed an 8,000 acre-foot deficit against MVI to commence the 2009 irrigation season.”[…]
MVI is requesting that the federal court declare a judgment that Dolores Project water deliveries to MVI shall not … be charged to the irrigation company until all irrigation requirements are met by the conservancy. In addition, MVI is asking for “other relief” that the court deems appropriate. MVI’s case was assigned to federal court because one of the defendants – the U.S. Bureau of Reclamation – is a federal agency…
MVI was formed in 1920. The water company began receiving irrigation water in 1986 via the Dolores Project, which is managed by the conservancy district and overseen by reclamation, along with other project users.
More Montezuma County coverage here.