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Steamboat Springs — The Upper Yampa Water Conservancy District has indirectly asked five local entities, including the city and the county, to oppose the Flattops Water Company's recent filing for 1,250 acres of return-flow rights.

The return flow, which is water left over from irrigation, comes from the Yampa River and ends up in the Colorado River because of the landscape near Toponas. With the return-flow rights, the company could sell $5 million of Yampa River water to serve up to 10,000 people in the Vail Valley and Eagle County.

In addition to the city of Steamboat Springs and Routt County, the town of Hayden and the Mount Werner and Morrison Creek water and sanitation districts also received the Upper Yampa district's letter. Seventeen individuals or entities have opposed the case already.

The main concern is that Flattops Water Company has increased the amount of water exported to the Colorado drainage over historic irrigation practices, the letter states.

The Upper Yampa district claimed similar return-flow rights a few years ago, water district attorney Bob Weiss said, but is involved in the Flattops Water Company filing to make sure that the company does not send more water to the Colorado River Basin than historically goes there.

Routt County Commissioner Nancy Stahoviak said she has not seen the letter yet, but that county commissioners have discussed their concerns about the project diverting more water than is historically typical. Based on those preliminary discussions, she said she thought the county would intervene in the case.

Managers of the Mount Werner and the Morrison Creek water districts said their boards would need to consider the letter before making a decision about intervening in the case.

The City Council agreed unanimously Tuesday night to intervene, if there were no conflicts with attorney Glenn Porzak. Porzak represents the city in its application for recreational water rights and also represents Flattops Water Company and the Eagle River water districts.

On Wednesday, Porzak said he could not represent the city if it opposed another applicant that he was representing, which in this case is Flattops Water Company. He said he has made that stance known through earlier discussions.

City Attorney Tony Lettunich said the city's water attorneys decided a year ago not to oppose the case, then later asked Porzak to represent the city for its recreational water rights filing. The city's filing for recreational water rights is a priority, Lettunich said.

Councilman Ken Brenner, who made the motion, said he considered it dead because of the conflict with Porzak.

Brenner and Porzak said they thought the Upper Yampa district, which also has opposed the city's filing for recreational rights, would be able to successfully track the Flattops case.

Also recently, Flattops Water Company filed a motion to bypass the water referee and go directly to the water judge. Such a trial date likely will take at least a year, Porzak said.

"It makes it real clear that if we cannot reach settlements with people, we will go to trial," he said. Talks to resolve disagreements will continue until that trial, he said.

-- To reach Susan Bacon, call 871-4203

or e-mail sbacon@steamboatpilot.com