4.30.2010

Penrose Rumors

There have been rumors around Penrose that Beaver Park Water is suing Penrose Water and Morley's South Slope project in order to stop alternate sources of water coming into the community.

These rumors, like most rumors, contain some facts which have then been twisted to further an alternate agenda.

Beaver Park Water has been a long standing business partner with Penrose Water District and continues to support the District's plans to bring Arkansas River water to the community and fully intends to continue to maintain a mutually beneficial business partnership between the two entities.

The facts are that Beaver Park Water did file a statement of opposition in Penrose Water's change case in order to protect our water rights in Beaver Creek. In the water game, filing a statement of opposition is the only way of having a voice in the process. It is Beaver Park's policy to file Statements of Opposition in every case which is filed and which may affect our water rights. Beaver Park Water and Penrose Water District have settled their minor concerns.

Beaver Park Water has filed a Motion of Intervention in the FERC process which Morley's South Slope project is requesting to build 3 reservoirs consisting of over two miles of concrete dams and movement of millions of yards of soil. These structures would occupy 1/2 to 1/3 of the total drainage area of Brush Hollow Creek which Beaver Park Water has the rights to. These larger reservoirs immediately upstream of Brush Hollow, less than 1/3 mile from Brush Hollow Reservoir, pose a potential dam safety threat to Brush Hollow Reservoir. This could result in the State Engineer requiring that Brush Hollow Reservoir spillway be enlarged to pass the upstream volume of water at the shareholders expense in the event of a failure, costing Beaver Park Shareholders millions of dollars.

Beaver Park Water, Penrose Water District and the community must be a party in the objector process to insure that our water in Brush Hollow Reservoir and our community is protected. If Beaver Park Water had not filed the motion, we would have no recourse if the South Slope project compromised our water, Brush Hollow Reservoir or our community.

These actions are intended to allow Beaver Park Water's voice to continue to be heard in the process of Water Change Cases and FERC Permit Process in matters that concern the shareholders and are not planned to conflict with Penrose Water District's goals.

Once again, Beaver Park Water has been a long standing business partner with Penrose Water District and continues to support the District's plans to bring Arkansas River water to the community and fully intends to continue to maintain a mutually beneficial business partnership between the two entities.