The Johnstown Town Council approved a $900,000 purchase of Colorado-Big Thompson (C-BT) Project water units during its November 2 meeting, marking the Town’s second water rights acquisition approved in approximately two weeks.
Under Resolution 2026-47, the Town authorized the purchase of 15 C-BT units at $60,000 each. The acquisition follows a separate $500,000 water rights agreement approved October 19, bringing the combined value of the two authorized purchases to $1.4 million.
The November purchase was initially included on the Council’s consent agenda but was considered separately after Councilmember Dee Anne Menzies requested that it be moved to new business for greater transparency.
Council Authorizes Purchase of 15 Water Units
According to the November 2 Town Council meeting documents, Town management negotiated the acquisition with Johnson-Taylor Family Properties, LLLP, of Loveland, Colorado. The proposed transaction was presented by Town Manager Matt LeCerf, with staff recommending approval.
Resolution 2026-47 authorizes the Town Manager to sign the purchase and sale agreement and execute additional documents necessary to complete the transaction. The agreement remains subject to approval by the Town Attorney and applicable requirements of the Northern Colorado Water Conservancy District, commonly known as Northern Water.
Town staff reported that funds were available in the Town’s 2026 fiscal year for the $900,000 acquisition. The meeting materials do not specify which municipal fund will cover the purchase or establish that payment has already been made. They also do not identify a specific development or municipal project for which the acquired units would be used.
The resolution was originally scheduled for approval alongside other consent agenda items. Menzies requested separate consideration to provide greater transparency surrounding the purchase, rather than to express opposition to the acquisition. The Council subsequently approved the resolution in a separate vote, with the same voting result as the consent agenda.
What Are Colorado-Big Thompson Water Units?
The Colorado-Big Thompson Project is a regional water supply system that transports water from Colorado’s Western Slope to northeastern Colorado. The project, operated by the U.S. Bureau of Reclamation with water deliveries administered by Northern Water, provides supplemental supplies for agricultural, municipal and industrial use.
C-BT units represent contractual water allotments rather than a guaranteed fixed quantity of water. According to Northern Water’s explanation of its allocation system, the amount available through each unit depends on an annual delivery quota established by its Board of Directors.
In April, Northern Water established an 80% delivery quota for 2026, equivalent to 0.8 acre-feet per unit. At that rate, 15 units would correspond to 12 acre-feet of water. However, the amount available to Johnstown will depend on the applicable annual allocation and completion of the purchase. The 2026 figure is provided for illustration and does not establish how much water the Town will receive.
Johnstown’s municipal code, Section 13-123(c), separately assigns a raw water dedication credit of 0.35 acre-feet, or 0.7 single-family equivalent, per accepted C-BT unit. That development-related credit is distinct from the amount of water Northern Water makes available for delivery in any particular year.
Second Water Rights Purchase Approved Since October
The November 2 acquisition follows the Council’s October 19 approval of a $500,000 agreement with Gillam Development Corporation to purchase one share of the Consolidated Home Supply Ditch and Reservoir Company.
That earlier transaction involved a ditch company share carrying associated water rights and required additional verification, including review of the share’s ownership history, before the purchase could be completed.
The November acquisition instead involves units in the Colorado-Big Thompson Project, which are administered through Northern Water’s allotment system. Although both transactions would add to Johnstown’s water rights portfolio, they involve different types of water assets.
Together, the two agreements represent $1.4 million in approved acquisitions. Council authorization, however, does not establish that either transaction has closed or that ownership of the water rights has already transferred to the Town.
The purchases come as Johnstown continues evaluating its long-term water needs. In September, the Council approved a $326,400 agreement with J-U-B Engineers Inc. to update the Town’s Water System Master Plan, including an assessment of future demand, existing water supplies and infrastructure requirements.
While the newly approved C-BT purchase would expand Johnstown’s water holdings upon completion, the Town’s November 2 meeting materials do not specify how the additional units will be allocated or when the transaction is expected to close.
