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<br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br /> <br />003:J3 <br /> <br />entity storing Colorado River Water or using ICUA must be supported by a valid section 5 water <br />delivery contract. <br /> <br />C. Puroose and Need for Prooose<! Action <br /> <br />The Rule would establish the procedural framework to be followed in considering, participating <br />in, and execution of a SIRA for off stream storage of Colorado River water. The water stored <br />within a Storing State for future use under a SIRA is water that would otherwise be unused in the <br />Storing State, but which is within the Storing State's basic or surplus apportionment. A <br />Consuming State's unused basic or unused surplus apportionments may also be stored in the <br />Storing State to support an interstate water transaction, The unused apportionment of the <br />Consuming State may be made available for storage in the storing State only in accordance with <br />Article n(b)( 6) of the Decree. If unused apportionment from the Consuming State is to be stored <br />under a SIRA, the Rule provides that the Secretary will make unused apportionment ofthe <br />Consuming State available to the storing entity in accordance with the terms of a SIRA, In a <br />SIRA authorized by the Rule, the consuming entity will pay costs to store and recover water that <br />will be held by the storing entity, When the consuming entity requests release of water stored <br />under a SIRA, it will receive ICUA developed by the storing entity. The Rule is based on the <br />understanding that this type of off stream storage is a beneficial use of Colorado River water, In <br />addition, an authorized entity will be able to acquire ICUA through the assignment of a SIRA ' <br />upon the agreement of the parties to the SIRA. Any release ofICUA must be in accordance with <br />the BCP A, the Decree, other applicable laws and executive orders, and the terms and conditions <br />of the SIRA among authorized entities. The Secretary must be a party to the SIRA. Consistent <br />with the BCP A, the Decree, and all other applicable laws and executive orders, the Secretary <br />would operate the Colorado River to make unused apportionment available in a manner that <br />would permit the release ofICUA for in-State use by an authorized consuming entity of another <br />Lower Division State, The Rule is permissive in nature and is intended to encourage and facilitate <br />voluntary SIRA to better accommodate regional water needs. <br /> <br />The Rule is designed to help the Secretary more efficiently fulfill his responsibilities to manage the <br />Colorado River. The actions and transactions contemplated under the Rule are within the current <br />authority of the Secretary, The Decree confirmed that the Secretary is entrusted with sufficient <br />authority and given the responsibility to direct, manage, and coordinate the operation of dams and <br />related works on the Colorado River in the Lower Colorado River Basin (Lower Basin), The <br />Supreme Court concluded, among other things, that the Secretary derives significant authority <br />from the contract authority under section 5 of the BCP A that requires water users in the Lower <br />Basin to have a contract with the Secretary. The Supreme Court further concluded that Congress <br />intended the Secretary, through the Secretary's section 5 contract power, to cany out the <br />allocation of the waters of the mainstream of the Colorado River among the Lower Basin States <br />and to decide which water users within each State would receive contracts, Accordingly, the <br />Secretary acts as water master of the Colorado River in the Lower Basin. . <br /> <br />3 <br />