August 25, 2014

Mr. Kryder

felt that there was no reason to continue with the Water Level Measurement Program if a QA program was not part of it, since new data would not be acceptable for most scientific studies. There must be independent oversight. John MacLaughlin related that without quality control the data may be classified as nothing more than hearsay. Greg Dann felt that if the Yucca Mountain Project was dead, then the Water Level Measurement Program, in its current form, should go away too. Levi Kryder noted that

Ms. Gilmore

would only be doing QA analysis for the Water District and no other agencies. Basically, the existing program needs to be rebranded as that of the Water District alone. This process was briefly discussed by Staff. It was noted that the program may be expanded into northern portions of Nye County. During public comment Joe Leising, formerly with SNWA, stressed the importance of a QA program calling it cheap “insurance”. John Bosta requested that a plan be formulated specific to the Water District and be brought before the Water Board at a future meeting so the public could also have input. Terri Nelson had questions about staffing procedures for the program. James Eason requested that Staff provide a plan that explains the intent of the Water Level Measurement Program. Levi Kryder noted that the intent of the program has always been to provide baseline data for different basins in which measurements are taken in order to evaluate changes as they relate to development and water usage among other things.

Mr. Kryder

related that he will bring back a Work Plan for the program to the next meeting. Mr. Eason recommended that this item be tabled until that information is made available. Dave Hall had concerns about gaps in data collection between now and when a QA program may be adopted. John MacLaughlin questioned who will be monitoring the flow of isotopes from the Nevada Test Range since the NWRPO no longer performs those geo-chemistry tests. Mr. Eason questioned the monitoring of wells around US Ecology as it is still used as a dump site. A contract showing scope of work and a work plan with an explanation of intent will be brought back to the next meeting. 4 Nye County Water District Governing Board August 25, 2014

Mr. Lacy

introduced Champ Roach who currently manages a 30,000 sq. ft. greenhouse that grows herbs in the Pahrump Valley. Mr. Roach explained planting and water use operations that are currently being used in his operation. He hopes to use that same technology when he converts his crop from basil to marijuana. Greenhouses promote water conservation since crops require less water in that environment. A water drip system is used for irrigation in an almost sterile environment that prohibits the growth of bacteria and molds. Quality marijuana could generate a large amount of income for the Pahrump Valley especially if the federal government relaxes interstate transport of the product. There were questions regarding the type of marijuana businesses that may be established in Pahrump. John Bosta requested that the Board support this program as it can have great economic benefits. Again, Mr. Lacy asked the Board to recommend what they want to see addressed in a water impact plan. He felt that water resource and water quality issues would be an important part of a plan which must be approved by this Board before any licenses can be issued by the County. Jay Dixon wanted clarification of what the term “near” may be as it relates to locating a grow operation “near” a drinking water source. Concentration of multiple grow facilities in a small area was also questioned since that might impact nearby water sources. Mr. Lacy noted that all grow facilities will be indoors either in a warehouse facility or greenhouse. These are zoned agricultural and should be required to have agricultural water rights. Waste water and disposal of crop waste were also discussed. Frank Carbone noted that the Water Board’s only concern should be that of addressing requirements for the Water Impact Plan. Mr. Roach related that the type of irrigation system utilized would dictate what may be required in an individual water impact plan. Greg Dann had concerns about groundwater contamination from fertilizers and pesticides used in an operation. Mr. Roach noted that crops are basically organic due to strict requirements regarding the purity of the product produced. Establishing best management practices needs to be the priority. Michael Lach suggested contacting other states that have already been in this business for some time to gain insight on this issue. Darrell Lacy noted that this will be a learning process as we move forward. John MacLaughlin felt that this may be a “living document” that can be adjusted as things evolve. Rachel Kryder from Civil Wise Engineering related some of her concerns regarding timing of the requirement for a water impact plan during the project development process. A water requirement for fire suppression was also addressed. Oz Wichman related that staff will bring back this issue to the October meeting and present to the Board a refined version of items needing to be addressed in a Water Impact Plan for Medical Marijuana production. It was decided quality testing should also be part of a plan. 5 Nye County Water District Governing Board August 25, 2014

Ms. Webster

explained that today was the last time that reports from FY14 will be included. For the beginning of FY15 there is almost $500,000 in the end fund balance. This is where the new fiscal year begins. We are off to a good start. So far, in this new fiscal year there have only been expenditures of approximately $4,600 with encumbrances of $48,000. She noted that Phase 3 included unspent monies from the previous fiscal year. The budget can be managed at a more finite level by the redistribution of some funds. b. Board Reports I. LVVWD/SNWA – Darrell Lacy . Lake Mead is at record low levels and there may be water released from Lake Powell to augment the current crisis. c. Staff Reports: I. Darrell Lacy None II. Oz Wichman

Mr. Wichman

related recent activities by the Shoshone Estates Water Company and he expects to see a request for funding from the Water District by next month. Jay Dixon expects Round Mountain Gold to supply matching funds. III. Levi Kryder

Mr. Kryder

received a pre-proposal from the USGS related to fracking proposals in the Smoky Valley. He will be bringing this proposal forward to the Board at the next meeting. IV. John Klenke

Mr. Klenke

related his latest efforts related to updating the Water Level Measurement Program. d. Project Status Report Nothing new to report e. Board Liaison Report I. Frank Carbone The Master Plan for the PRPC will be presented to the BOCC following public hearings on September 16th. The County is now getting more involved with proceedings for the Pahrump Airport. f. Report from other individuals, groups and or agencies regarding water-related issues: For informational purposes only. None

Mr. Wichman

recommended that each of the four items be voted upon individually by the Board. Since Item 1 is still in progress he recommended that the Board move forward to Item 2. Discussion followed regarding funding for the update of the Water Resources Plan within the current budget framework. Mr. Wichman stressed that the amount of time he may be required to put into the update might cause an overrun of the funds allocated in his contract with the Water District. At this time it is hard to determine what the services of an outside contractor may be if one is required to help facilitate the project. There was discussion about keeping a detailed accounting of costs associated with the update.

Mr. Wichman

recommended that the Water District undertake this project but it may take until the end of 2015 for completion. He is confident that this can be accomplished within the framework of the current budget. There was further discussion of the need to hire outside contractors to assist with moving the update forward as staff time will be pushed to the limit. He felt that it would be hard at this time to identify the quantity of outside help that will be required. Mr. Wichman projected that the roughly $81,000 allocated in the current budget for outside contractor services should be adequate to fund the update project. Darrell Lacy noted that a “project cost analysis” can be presented at the next meeting. Michael Lach expressed concerns that the update may monopolize staff’s time going forward.