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RocL I< ~ 002500 12j~ Background Notes Marketable Pool-Blue Mesa Reservoir ./ The Colorado Supreme Court, in deciding against an appeal by Arapahoe County and others to create a water right for the Union Park Project, pointed out that water is available by contractual use from a 240,000 acre-foot marketable pool for future in- basin and transbasin water needs. In the November 20, 2000 decision, the court also quoted approvingly from briefs and oral arguments from the counsels for the United States and the State of Colorado that there are 240,000 acre feet available for use in Colorado (including transbasin diversion). The court pointed out the pool was authorized by Congress and the Colorado River compacts for use in Colorado and is managed by the Bureau of Reclamation. ./ The Parker Water and Sanitation District along with other Western Slope and Front Range water providers and interest groups may apply to use the marketable pool water resources in Colorado. ./ On January 17,2001, the US Department of Justice, Environment and Natural Resources Division, applied for significant base and peak flows (300 cfs) from the Gunnison River. They cited the aquatic, vegetation and aesthetic needs of the Gunnison River and Black Canyon of the Gunnison. ./ The federal application is an undisguised effort to control Gunnison River Basin water. It contradicts the position of the US Government in the Union Park decision, and represents a bad faith and disingenuous position to argue before the State Supreme Court that water is available for Colorado, including transbasin needs, and then apply to expropriate the water for federal objectives. The Parker Water and Sanitation District believes the State of Colorado should strongly object to the US government application.