Cedar City Council moves Cedar 106 water-credit agreement to consent agenda; mayor steps aside
The agreement would spread 81.5650 acre-feet of water acquisition credit across the development's residential parcels.
CEDAR CITY - An agreement to redistribute 81.5650 acre-feet of water acquisition credit among parcels in the Cedar 106 development is headed for the Cedar City Council's consent agenda after a voice vote Oct. 21, according to the meeting packet and recording.
New land in Cedar City must bring water with it. Land that came into the city with water rights, called wet, can build without buying more; dry land must supply water or pay the full fee, the city attorney explained. Parts of Cedar 106 were wet, partly wet or dry when annexed, and Cedar 106, LLC wants to spread its credit across its residential parcels. The agreement's exhibit gives six residential parcels between 8.41 and 23.3823 acre-feet and three commercial parcels none.
In an Oct. 19 memo, the city attorney wrote that he generally does not recommend moving credit between properties because it is hard to track and could create a market in credits, but that the risk is smaller inside one development-agreement area.
Mayor Steve Nelson stepped aside, saying on the recording that the project's agent works for a real estate group he partly owns. Council Member Scott Phillips led the item as mayor pro tem.
Source: Cedar City Council work meeting packet, Oct. 21, 2026, item 5; meeting recording.