Hi Greg,
I know which gauge you are talking about and yes, that is for measuring the water level in the cistern. The snow gauge that I was taking about looks like a big, tall metal chimney and is further up the hill. It is tapered at the top and has a wind screen around it to break up the force of the wind. The "official" unit depicted on the Sno-Tel site is similar in configuration. These things trap the snow and measure the water equivalent in various ways (weight, etc). The gauge you are referring to is a staff gauge, but that requires a human to look at it. The Sno-Tel gauges are remotely telemetered.
/Kevin