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San Juan Water Conservancy District <br />The San Juan Water Conservancy District in partnership with the Pagosa Area Water and <br />Sanitation District (PAWSD) have begun the 12 to 18 year process to construct Dry <br />Gulch Reservoir (aka San Juan Reservoir in application) to provide municipal water to <br />the Pagosa Springs area for the next 100 years. SJWCD and PAWSD have water rights <br />for the reservoir and the diversion from the San Juan River to fill the reservoir, decreed in <br />2006. The details of the project are described in their application. <br />The application is attached to this letter as an email. The extensive supporting documents <br />have been provided to you separately by SJWCD in December. <br />Due to the efforts of the volunteer Board President, SJWCD over the last two years has <br />negotiated a land purchase agreement with the family who presently own most of the <br />reservoir basin. SJWCD owning this land is absolutely critical to constructing this <br />reservoir. The $1 million in funding, though a small portion of the overall Dry Gulch <br />Reservoir construction cost of nearly $100 million, is extremely important at this time to <br />secure the land purchase. <br />SJWCD and PAWSD have studied, over the past 20 years, enlargements and new <br />reservoir sites that could potentially meet future water needs and identified one <br />enlargement and the new Dry Gulch Reservoir. In 2007 PAWSD will be initiating <br />construction of a small enlargement of the existing Stevens Reservoir from 800 acre-feet <br />to about 1,800 acre-feet, after over 15 years of studies and permitting. This is the only <br />existing reservoir that has the potential for enlargement. With enlargement of Stevens <br />Reservoir, PAWSD will have about 3,900 acre-feet of usable storage. <br />PAWSD and SJWCD, based on water demand projections, have estimated additional <br />storage is needed by 2015 but Dry Gulch Reservoir cannot be constructed and available <br />for use until 2021 at the very earliest. The need is critical to proceed as quickly as <br />possible with development of Dry Gulch Reservoir. SJWCD and PAWSD are in the <br />process of initiating various types of fees that are planned to generate adequate funds to <br />eventually construct Dry Gulch Reservoir but presently there are not adequate funds for <br />the land purchase. <br />Dry Gulch Reservoir was included in the Statewide Water Supply Initiative Study report <br />as ?Major Identified Projects and Processes?. <br />The Southwest Roundtable highly recommends that the CWCB fund this critical project <br />from the State ?pool? of SB179 funds. <br />