Albuquerque approves $22m funding package for two ASR wells
Albuquerque Bernalillo County Water Utility Authority, New Mexico · Meeting date: September 23, 2026 · Published: September 24, 2026
The Albuquerque Bernalillo County Water Utility Authority has approved $22 million in state loan and grant financing to construct two new direct injection/extraction aquifer storage and recovery wells. The decision comes as the utility reports it remained on 100% groundwater supply in August and continues drought-advisory measures.
Key points
- The board unanimously approved R-26-24, authorizing a $22 million NMFA Water Project Fund loan/grant agreement for ASR 2 and 3.
- The package comprises an $18.7 million grant and a $3.3 million loan, with the Water Authority providing a further $3.4 million match.
- The utility's FY27 capital programme includes ASR 2 and 3, with staff saying the project will move into construction.
- The authority reported groundwater pumping at 121% of its goal and gallons per capita per day at 125% of its goal, maintaining its drought-advisory status.
Full report
The Albuquerque Bernalillo County Water Utility Authority has authorized a $22 million Water Project Fund financing package for construction of two new direct injection/extraction aquifer storage and recovery wells, moving its ASR 2 and 3 project toward construction.
The board unanimously approved Resolution R-26-24 on 23 September. Staff said the Water Trust Board award comprises an $18.7 million grant and a $3.3 million loan, while the Water Authority will contribute $3.4 million in matching funds. The agenda describes the agreement as being between the authority and the New Mexico Finance Authority.
The approval is the largest of several state-backed water-infrastructure funding actions taken at the meeting. The board also approved $100,000 in grant funding for ASR planning, design and construction under R-26-26. Separately, it approved a $3 million package for replacement of 10,094 existing water meters under the final phase of its AMI programme.
In its quarterly capital improvement programme update, staff said ASR 2 and 3 had recently received board approval and would move into construction. The FY27 CIP budget is $79 million before FY26 rollover is calculated, with more than $70 million of active projects encumbered as of September.
The ASR investment was approved against a continuing drought-management backdrop. The authority's August water report showed the utility operating on 100% groundwater. Its groundwater-pumping measure stood at 121% of goal, while gallons per capita per day were at 125% of goal, leaving the authority in drought advisory and continuing its associated mitigation measures.
One public commenter challenged the utility's ASR strategy, arguing that new storage infrastructure would require available water supplies to fill it. The board did not discuss that comment during its vote on the financing.
The authority also reported a 2,000 acre-foot release to the Rio Grande over three days spanning the end of August and beginning of September. Staff said analysis of stream-gauge and groundwater data from the release was ongoing.
This summary was generated by AI based on the source document and may contain errors.
Source: Albuquerque Bernalillo County Water Utility Authority, Albuquerque Bernalillo County Water Utility Authority