The outlook might be worsening for the Loop, a project with hopes to provide a sustainable water supply to communities in El Paso County.

On Monday evening, the Monument town council voted unanimously to begin exiting the multidistrict authority. The Loop is left with just two water district members of the original four after the decision.

Proposed in 2022, the Loop would divert water flowing down Fountain Creek, pumping it northward and east around Colorado Springs to districts along the way.

Billed as a way to break the reliance of communities on the nonreplenishing groundwater of the Denver Basin, the Loop was first estimated to cost between $160 and $190 million to construct.

“This is a really good idea, and it’s really not feasible without more partners,” said Monument councilman Steve King.

Town staff recommended the action after hearing that Donala Water & Sanitation District, one of the remaining partners, would also be voting to remove itself from the agreement soon. Donala’s general manager was unavailable for comment Tuesday.

Cherokee Metro District pulled out of the project in 2024. Interim General Manager Kevin Brown previously told The Gazette the district had to divert resources to remove forever chemicals in its supply before a compliance deadline.

Instead of the Loop, Cherokee was going to focus its efforts on securing access to water rights in the Upper Black Squirrel Creek Basin.

Monument councilman Marco Fiorito said the town might instead look at a more “achievable” regional water project. The council did not discuss specifics but agreed the Loop was not a financial possibility for the town.

“It’s a shame it’s come to this,” said King.

The other remaining district invested in the project is the Woodmoor Water and Sanitation District. District manager Jessie Shaffer said the Loop’s “most prominent attributes are the key to its long-term success.”

“Through transitioning Loop members away from their dependency on non-renewable groundwater supplies and creating long-term water supply sustainability, Woodmoor believes the Loop Project continues to remain feasible in comparison to other renewable water supply alternatives,” he wrote in response to questions from The Gazette.

Jason Hann, the executive director of the Loop Water Authority, said the organization has not yet seen correspondence from Monument over its decision to withdraw.

He said that the Loop was “still necessary” and that the authority would “see it continue forward and be able to provide sustainable water to end users in one form or another.”