DroughtResponse
2026 Drought Rates
In response to unprecedented drought conditions and critically low water supplies, Ute Water Conservancy District implemented temporary drought rates in 2026 to encourage customers to reduce water consumption.
These rates were designed as a water conservation measure, not to generate revenue. The intent was to reduce demand for the District’s limited domestic water supply during an extraordinary drought year, protect the District’s ability to provide reliable water service to our community, and ensure healthy reservoir and storage levels heading into 2027.
Where Drought Rates Were Applied
Drought rates applied to all Ute Water customers’ accounts for water used in June, reflected on July bills. Beginning November 1, all District customers will return to 2026 normal water rates.
Drought rates were based on water use and structured in tiers to encourage efficient water use. The rates applied to all domestic water use, whether for indoor use or for those who elect to use it for outdoor purposes. Drought rates did not target any customer type. The District implemented them as a temporary response to the 2026 drought and the critical need to reduce water consumption.
As domestic and irrigation water availability tightened during peak demand months, the District encouraged, and continues to encourage, customers to avoid using treated domestic water for outdoor irrigation.
The District was not created to supply water for irrigation uses. For some customers who use the District’s water for outdoor irrigation, outdoor use can make up 80% or more of their monthly consumption.
Why Did Ute Water Implement Drought Rates?
The 2026 drought posed an extraordinary challenge for water providers across the Grand Valley. Supplies fell well below normal as below-average snowpack, early runoff, low streamflows, limited basin-wide storage, irrigation shortages, and reduced availability throughout the Colorado River Basin worsened regional conditions, all while water demand remained high.
The decision also followed a significant increase in customer water use. In March, average customer water use was about 25% higher than the previous year, putting additional strain on an already stressed water system. Ute Water implemented drought rates to encourage customers to reduce consumption, particularly discretionary use, and help preserve limited water supplies for essential needs.
The District did not implement drought rates to increase revenue. The District aimed to change water-use behavior and reduce demand. A successful drought-rate program is one in which customers respond by using less water. When consumption decreases, the amount of water needed from limited supplies also decreases.
The rates were therefore part of a broader drought-response strategy that included conservation messaging, customer education, coordination with other local water providers, and efforts to make additional water supplies available to the community.
Why Were Drought Rates Necessary?
Under normal conditions, the District has a diverse water-supply system designed to provide reliable service to its customers. The severity of the 2026 drought significantly changed those conditions.
As available supplies declined and no relief was in sight, the District needed customers to reduce their water use, particularly outdoor and other discretionary use, to preserve supplies and maintain reliable service. Drought rates incentivized customers to reduce their use.
Additionally, local irrigation providers faced significant challenges this year, including restrictions and periods when they could not deliver irrigation water. The District implemented drought rates proactively to reduce customers’ reliance on domestic water while irrigation water was restricted or unavailable.
A Temporary Response to an Extraordinary Year
Drought rates were a temporary response to the water-supply conditions experienced in 2026. The District implemented drought rates because of the drought's severity and to encourage conservation.
Returning to normal water rates does not mean drought conditions have ended. Water supplies can take significant time to recover, and continued conservation remains important.
Ute Water will continue monitoring water supplies and conditions and will communicate with customers as conditions change.
Preparing for a More Uncertain Water Future
Each year, the District invests in the infrastructure needed to provide reliable water to our customers. Many of the projects below were already identified as long-term needs, but worsening drought conditions, increased reliance on secondary water sources or redundant infrastructure, and growing concerns about future water supply reliability have changed their urgency.
The District implemented drought rates as a conservation measure, not to generate additional revenue. However, the revenue generated while drought rates were in place provides an opportunity to move some critical projects forward sooner. These investments will strengthen the District’s ability to respond to drought, improve operational flexibility, increase water storage and treatment capabilities, and provide greater long-term reliability for customers.
These projects are not quick fixes and don’t solve drought. Some require several years for engineering, environmental review, permitting, design, and construction. Advancing them now helps the District prepare for the next drought and provides options and operational flexibility.
Outdoor Watering Use
The Western Slope’s dual water system helps reduce demand on the District's system and water supply. About 90% of Ute Water customers can access irrigation water from a separate provider for outdoor watering, helping reserve treated domestic water for indoor use. This year, local irrigation providers faced significant challenges, including restrictions and periods when they could not deliver irrigation water.
Our water supply is limited, and summer demand, especially for outdoor watering, strains our system. We are asking customers not to use domestic water for outdoor watering to help protect the reliability of domestic water service. Any domestic water used, whether for domestic purposes or outdoor watering, will be subject to tiered rates.
When irrigation water is available, it is recommended that you follow the Suggested Outdoor Watering Schedule, which can be found at dripinfo.com