2026 Town of Cave Creek's State of the Town

Highlights of the State of the Town

The Mayor highlighted that Cave Creek is financially strong. The Town has nearly $30 million on hand. However, there are many unknowns with the future of the Colorado River, so this funding is important to help pay for infrastructure improvements and future water resources.

Water - Cave Creek depends on the Central Arizona Project (CAP) for nearly 90% of its water. In 2027, it is anticipated that our CAP allocation of Colorado River water will be reduced by at least 20% due to the long-term drought along the Colorado River. The Town of Cave Creek has been working on this contingency for many years and has enough water for Cave Creek customers for the next 10 years. However, the Town will need to find new water resources. Some of the water currently available to the Town is banked water through the state, credited water of unused CAP allocations, and bringing some Town wells back online.

Harquahala - The Town considered purchasing 1 acre of land in the Harquahala Valley, which would give the Town rights to 500 AC/ft of water for the next 100 years. However, after thorough due diligence, it was determined that this is not the right time to close the deal. There are so many unknowns about the overall project and the costs associated with the infrastructure needed to transfer the water to the CAP, where the Town would be able to receive the water. The Mayor said it may be possible at a later date. There will be other water resources available to the Town in the future, as well.

Phoenix Interconnect will be completed by this Summer. This project is important as a reliable backup system to the Cave Creek Water system. The Interconnect can provide 1.4 million gallons of water per day if needed due to CAP pipeline repairs. Additionally, the water tank holds 1 million gallons of water, which is a valuable resource in the event of a wildfire.

4,005 acres of Arizona State Trust Land - The Town agreed to acquire 4,005 acres of open space within its boundaries. The Town is considering options for purchasing the land.

Another topic the Mayor discussed was the recent opening of the Daisy Mountain Fire District fire station on the corner of Cloud St. and 24 St. This new station will cover the west end of Cave Creek, greatly enhancing the community's fire and emergency response services. The Town is paying for half of the operational costs for this new station.

These are the general topics covered by Mayor Morris at the State of the Town. Watch the presentation here, including an overview of the accomplishments of the Town in 2025. - https://www.youtube.com/@cavecreektownhall2401