In June, Colorado Springs Utilities officials were lukewarm to an offer from local developers Mark and Jim Morley to buy land for a reservoir in Pueblo County.On Tuesday, the Morleys sweetened the offer, pledging to donate $12 million to keep the U.S. Olympic Committee in Colorado Springs — if Utilities, a city-owned enterprise, buys their reservoir site.While the exchange of money between the city and Utilities is largely prohibited, Mark Morley said Wednesday the deal would benefit rate-payers and taxpayers.“We’re one and the same. We are the rate-payer and we are the taxpayer,” he said. “Yes, Colorado Springs Utilities is an enterprise and yes, it’s separate from the city. If this project stands on its own in regards to its value, then it stands on its own.”The Stonewall Springs site was one of 13 identified for potential reservoirs, utilities officials said in June, and the price was good, but the water storage would not be needed for 10 to 20 years. In a tough budget environment, and with little interest among other cities in working together on a reservoir, officials passed.“We plan to continue to evaluate the project, but at this time we don’t believe it’s justifiable,” Bruce McCormick, chief water services officer, told city council, sitting as the Colorado Springs Utilities Board, June 17.The Morleys’ offer of $39 million for 19,400 acre-feet of storage has not changed from then.Utilities officials had little to say Wednesday about the Morleys’ offer.“We are continuing to evaluate the Stonewall Springs Quarry property, along with other options,” spokeswoman Janet Rummel said in an e-mail.She referred questions about dealings between the enterprise and the city to the city attorney’s office. A call to that office was not returned Wednesday afternoon.Colorado Springs is a partner with Pueblo, Aurora and Fountain and the Southeastern Colorado Water Conservancy District, in a 2004 agreement to establish a reservoir for treated effluent.The Morleys’ offer comes amid turbulent times for some local developers. Last week, a foreclosure notice was filed against a Morley partnership that owns property at Interstate 25 and Baptist Road near Monument, according to the El Paso County Public Trustee’s Office; records show the partnership owes $9.6 million on a $12.7 million loan.In February, another foreclosure action was filed against a Morley project southwest of Barnes and Marksheffel roads, where $11.3 million is owed on an $18.3 million loan. They were the two largest foreclosures, in dollar amounts, handled so far this year by the trustee.Mark Morley said the foreclosures don’t reflect their ability to live up to the $12 million pledge: “It’s just the economy.”

Photo by R. SCOTT RAPPOLD, The Gazette