Santa Cruz has the rights to take 13 Million gallons of water per day from the Felton Diversion Dam during the winter, up to 975 Million gallons per year.
San Lorenzo River winter flows are providing abundant water that could be harvested and stored in Loch Lomond. 500 Million gallons of available water, for which the city already has permits that do not conflict with Fish and Game regulations. 500 million gallons offer insurance against drought. In addition to drought security, The revenue which could be realized from the sale of 500 million gallons to Santa Cruz customers during summer is over $5 million dollars. The cost of harvesting, pumping, storing and treating the water is less than $500,000, so the water sale could generate $4.5 million free cash flow. What is needed to capture and store this water is a new 36” pipeline from the Felton Diversion up E. Zayante Rd. to the back of the dam, a distance of approximately 8 miles, at a cost of approximately $16 million. This construction could be completed in 1 season from May 1 -October 31st. if the project was fast-tracked.”