Lobbyist defends proposal

Wednesday, Aug. 29, 2001 | 11:11 a.m.

CARSON CITY -- Lobbyist-businessman Harvey Whittemore says his development in the Coyote Springs Valley 50 miles northeast of Las Vegas won't damage the environment or the water rights of others.

Whittemore Tuesday urged state Engineer Hugh Ricci to allow him to pump 28,956 acre feet of water a year from deep aquifers under his 42,000 acres in Clark and Lincoln counties. The proposed development would include homes for 50,000 residents, golf courses, office buildings and retail malls.

To deny his water permits, Whittemore said, would be an "abuse of discretion" by Ricci. The lobbyist made his remarks during closing arguments of a seven-day state hearing to determine if the development's demands would have a detrimental impact on the Las Vegas Valley's future water needs.

Ricci is expected to take at least three months to make a decision on Whittemore's permits.

Steve Palmer, attorney for the U.S. Department of Interior, urged Ricci to reject the permits.

Whittemore failed to present any evidence that his project would not injure fish and wildlife living in the area, Palmer said during his closing arguments.

The development's pumping would take water from nearby Muddy Springs and could also harm the Lake Mead Recreational area, Palmer said, adding that there also has not been any evidence to show that there is enough water in the Coyote Springs aquifer to support the additional demand from the development without affecting the future needs of the valley.

The testimony during the hearing was heard by Ricci and Hearing Officer Susan Taylor-George. More than 1,000 pages of testimony and 100 exhibits, some of them long reports on underground water resources of the area, were presented. Whittemore and his partner, David Loeb, also of Reno, purchased the property from Aerojet for $25 million and have spent $8 million on studies and consultants. Whittemore says there is a demand for these resorts away from the urban areas and pointed to Mesquite and Pahrump as examples.

Whittemore wants to start construction on the first phase in 12-18 months on the 13,000 acres in Clark County, about 50 miles from Las Vegas. The first phase will include from 250 to 500 homes plus a golf course.

The Whittemore-Loeb partnership sold 7,500 acre feet of water rights in the Coyote Springs Valley to the Las Vegas Valley Water District for $25 million. The partnership has 6,100 acre feet remaining but still wants the additional 28,956.

The water district also has applied for 27,500 acre feet in Coyote Springs and its application has seniority over Whittemore's. The district wants to pump the water to Las Vegas.

Frank Flaherty, attorney for Nevada Power Co., asked the hearing officer to either deny or hold in abeyance the Coyote Springs applications. The Las Vegas-based utility has surface and ground water rights in the area.

The water is needed to cool the Reid Gardner and Harry Allen generating plants. The power company is concerned that pumping by the Whittemore project would diminish its available water. There is no reliable evidence there is any unappropriated water, said Flaherty.

Power generating is in the public interest, he said, adding that he did not doubt the good faith of the Whittemore group but that "good faith will not keep the lights on in Southern Nevada."

Coyote Springs Investment, the name of the Whittemore-Loeb company, already has enough water rights at 6,100 acre feet to start its project, Flaherty said.

In addition, he said, pumping from deep aquifer wells in the area of Southern Nevada has already lowered the water table.

Bob Marshall, an attorney for the Moapa Valley Water District, suggested Ricci hold Whittemore's applications in abeyance until more information is available on how much water might be stored in these deep-rock aquifers.

The Moapa Valley Water District is a partner with the Las Vegas Valley Water District in the application for 27,500 acre feet of water.

John Entsminger, a lawyer for the Las Vegas Valley Water District, said the district's application fits into the long-range plans to supply the fast-growing population of Southern Nevada. This water from the carbonate aquifers, he said "has the potential to be a valuable resource."

Whittemore wants to use half of the proposed 28,956 acre feet for commercial use such as a bottling or ice-making plant. He has planned a monitoring program to see if withdrawing this water will have adverse effects.

If it does, he said, he can shut down the commercial aspect so nobody will be harmed.