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<br />Elk Creek, then into New Castle street right-of-way for Midland Avenue, then following <br /> <br />County Road 245 up to the existing New Castle water treatment plant. <br /> <br />Please provide a brief narrative description of the proposed project including purpose, need, <br /> <br />facilities, type of water uses to be served and service area, Attach separate sheet, if needed. <br /> <br />Record low flows in East Elk Creek and the Spring Creek wildfire of 2002 have severely <br />strained the Town of New Castle's current sole source of water supply. The Town's <br />diversion structure is located on East Elk Creek approximately three miles upstream of <br />the town center and confluence of Main Elk Creek with the Colorado River. The Town <br />has a water right of 2.67 cfs with an appropriation date of 1889. Water from the <br />treatment facility is delivered to one of three storage facilities used for supply to the <br />Town and surrounding subdivisions. <br /> <br />On June 22, 2002, lightning started the Spring Creek Fire just north of New Castle in <br />the White River National Forest. The fire ultimately burned a total of 13,490 acres and <br />has damaged a considerable portion of the East Elk Creek watershed. Significant water <br />quality and sediment problems are anticipated during periods of heavy rain and <br />snowmelt runoff. <br /> <br />On August 16th, 2002, the Colorado Division of Water Resources (State Engineer's <br />Office) placed an administrative call on Main Elk Creek and requested that the Town <br />close their head-gate on East Elk Creek. The Ware and Hinds Ditch placed the water <br />rights call due to insufficient flow on Main Elk Creek downstream of the confluence <br />with East Elk Creek. The ditch has multiple water rights senior to the Town of New <br />Castle and is an important irrigation ditch for several downstream users. Subsequent <br />agreements between the Town, the State Engineer's Office, and the downstream senior <br />water right holders allowed the Town to temporarily continue diverting. An additional <br />downstream water right held by the Colorado Water Conservancy District requires a <br />minimum in-stream flow to be maintained during periods of low flow. <br /> <br />In an average water year, the Town is able to support its current and projected <br />demands with the flow in East Elk Creek and its decreed water right(s). However, in <br />the current drought situation, low creek flows have threatened the reliability of this <br />source. Modifications to the diversion structure have thus far allowed continuous <br />physical diversion of water to the treatment plant. However, the administration of <br />water rights downstream of the Town's point of diversion has threatened to "dry up" <br />the Town's water supply. Additionally, the anticipated damage associated with <br />sediment and ash-laden runoff from the burned watershed from the 2002 Spring Creek <br />Fire is of significant concern. <br /> <br />The Town of New Castle has a contract with the U.S. Bureau of Reclamation for 400 <br />acre-feet of water from Ruedi Reservoir. In addition, the Town has an absolute water <br />