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The Tempur-Pedic commercial manufacturer has proposed to locate within the unincorporated area of the County west of Paseo Del Volcan and north of Interstate 40. The establishment of the business in this location is expected to bring economic development to the West Side and to the unincorporated area. The manufacturing plant will require a reliable supply of water primarily for fire protection, employee consumption, manufacturing process and is estimated at 17.4 acre-ft. per year.  Neither the County nor the Water Authority own the necessary infrastructure in the area to meet the basic water supply needs for the Tempur-Pedic Facility.

Westland Development Company (WDC) has proposed to transfer ownership of its Campos Del Sueno water well located north and adjacent to the Tempur-Pedic site and approximately 20-acre ft of water rights to the County. In addition, WDC proposes to transfer the land on which the well is located and additional property to locate a reservoir, as well as easements as necessary to locate the water and sanitary sewer lines.  WDC will also transfer ownership of an existing sanitary sewer line that it owns on the south side of Interstate 40 to the County that is anticipated to service the Tempur-Pedic Facility.  The transfer of the infrastructure and water rights is conditioned on the County discontinuing collection of approximately $1.3 million the County contends it is owed by WDC, and that the County will serve with water the “Industrial Area” designated in the Westland North Master Plan Area in which Tempur-Pedic will be located.

Public Works Staff have estimated the cost of the existing infrastructure, property and water rights (Attachment 1) as having an approximate value equal to the amounts the County has requested from WDC. The number of water rights is sufficient to service Tempur-Pedic but will require the acquisition of supplemental rights to service additional users of the Business Center when developed. Additional funding will be required to construct an above ground 1.5 million gallon water reservoir, booster pumps and pump house, and upgrade the well with a larger pump. The estimated cost is approximately $2.6 million for the improvements to service the Tempur-Pedic Facility. 

The Campos Del Sueno well water quality is over the maximum allowable limits for compliance with the Clean Water Act. The arsenic content may be as much as 10 ppb in excess of the allowable limit and may require treatment at an estimated cost of 4 to 7 cents per one hundred gallons.  As referenced, the Tempur-Pedic Facility annual water use is currently estimated at $250,000 yr.

The Albuquerque Bernalillo Water Utility Authority (ABWUA) amended its Memorandum of Understanding among the County, City and the ABWUA and that Amendment requires that all County and City water and wastewater assets be transferred to the ABWUA. The County may need to transfer the WDC infrastructure and water rights to the ABWUA if transfer from WDC to the County is approved.