Dacono relies on a diverse array of water sources. The City's current primary water source is Colorado-Big Thompson (C-BT) water shares, and the City is also a participant in the Northern Integrated Supply Project (NISP).
Dacono recently joined the Northern Colorado Water Conservancy District Municipal Subdistrict, which means that the City now has the right to acquire shares of the Windy Gap Project, allowing for further diversification of water sourcing and supply.