Nebraska Department of Natural Resources official says Colorado landowners seem uninterested in canal negotiations

An official involved in Nebraska’s plans to build a canal from Colorado says it looks like landowners there aren’t interested in a negotiated resolution.

The Nebraska Department of Natural Resources (DNR) is trying to buy land from six owners in Colorado where the proposed Perkins County Canal would divert water from the South Platte River. The landowners have until April 17 to respond to the state’s offer, or, under a century-old interstate compact, Nebraska could use eminent domain.

In early March, Donald Ostrander, a lawyer for the Colorado landowners, sent DNR a five-page letter saying Colorado law allows landowners damages if their property value diminishes. He estimated Nebraska’s diverting water into the canal would dry up 30,000 to 60,000 irrigated acres in Colorado, at a cost of $135 million to $270 million.

“If Nebraska proceeds with construction of the Perkins Canal, we intend to file such claims on behalf of affected landowners, based upon the area impacted by the construction of the Canal,” the letter said.

In a March 20 two-paragraph reply, Matt Manning, senior project engineer at the DNR, did not directly address Ostrander’s argument about damages. Instead, he wrote “From the tone of your letter, it appears that you or the persons you represent are not interested in a negotiated resolution.”

Sen. Jane Raybould, who has proposed delaying the canal to fund other water projects and close the state’s budget gap, criticized the state’s response.

“I was very disappointed in the response from the Department of Natural Resources. It lacks substance,” Raybould said. “I think Nebraska really needs to up their game, their legal game. Otherwise, this is going to be such a protracted and very long legal battle."

Raybould compared the potential battle to one between Kansas, Nebraska and Colorado over the Republican River that lasted nearly 20 years until it was resolved in 2015 by the U.S. Supreme Court.

Manning declined comment, citing ongoing negotiations.

A look at past coverage of the proposed Perkins County Canal project:

Train of bills temporarily sidetracked, Perkins diversion heard

Colorado official threatens legal action over Perkins County Canal

Nebraska seeks Colorado canal land, school choice fight resumes

Nebraska moving ahead with Perkins County Canal plans despite Colorado’s concerns

Colorado wary of Nebraska’s plans for Perkins County Canal

Pillen: 'I'll abandon Perkins Canal if legal costs get too high'

Nebraska begins buying Colorado land for Perkins County Canal