Lyon County Commissioners Finally Address Concerns Over Truckee Canal Project

During the Lyon County Board of County Commissioners meeting on Thursday, September 7, David H. Rigdon, representing the City of Fernley, delivered a presentation on the U.S. Bureau of Reclamation’s Truckee Canal project, covering the potential impacts of the project and provided an update on associated litigation.

In 2020, the Bureau of Reclamation completed an Environmental Impact Statement and Record of Decision, which recommended lining the entire 12.7-mile canal with a combination of geomembrane and concrete liner in a phased approach. The initial phase will involve lining approximately 3.5 miles of the waterway at an estimated cost of $35 million.

The Truckee Canal Irrigation District (TCID) contracted with the Bureau of Reclamation to fund the project, which entails water rights users to repay for the project costs over 50 years, resulting in assessments being imposed on water rights holders to cover their share of the project obligations. Over the next half-century, Fernley will bear an estimated $2.5 million in assessments for the project.

Rigdon emphasized that the project will affect residents and businesses because of less water absorption from the canal into the groundwater system. An independent study commissioned by Fernley projected significant impacts over 40 years, indicating water levels could drop by up to 90 feet and that 71 percent of domestic wells in the area may face failure.

Lyon County Commissioners voted to instruct staff to collaborate with the Fernley in drafting a resolution expressing support for the City’s stance on the project. Additionally, they requested staff to provide further recommendations and to extend an invitation to the Bureau of Reclamation to present their perspective at a future Board of County Commissioners meeting.

Attorneys will try to reach an agreement during a settlement conference set for Tuesday, October 17.