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<br />the constmction of reservoirs for irrigation purposes on lands of the United States. It was <br />amended in 1898 to allow the storage of water for other public purposes so long as the <br />primary purpose for storage remained irrigation. While we believe that the multiple uses <br />of Rio Grande Reservoir would fall within the conditions of the 1891 Act right-of-way as <br />amended in 1898, the Forest Service has raised some concerns about the effect of <br />multiple use on the status of the District's right of way, and the possible need for and <br />effect of a Special Use Permit to cover an enlargement. <br /> <br />As part of Task 4, the District intends to scmtinize the legal ramifications of storing water <br />in the Reservoir for non-irrigation purposes. If this is to occur in a rehabilitated but not <br />enlarged Reservoir it may require the District to provide some space that is now available <br />to the District to store water for irrigation. Of course, that would be a decision that would <br />be made by the District and negotiated with other stakeholders. If storage for multiple <br />use purposes occurs in an enlarged reservoir, the legal effects of enlargement on the <br />District's existing rights-of-way and the effects of a Special Use Permit on operation of <br />the Reservoir will be evaluated during this Phase 2 portion of the study. <br /> <br />The Division of Wildlife's (DOW's) storage and subsequent use of its trans-mountain <br />water in Rio Grande Reservoir has been done in coordination with the Division Engineer. <br />If it is determined in the fi.lture that the DOW's use of its trans-mountain water requires a <br />change in use, that process will be undertaken by the Division. It does not appear that <br />any required change in use will affect the Division's ability to store its trans-mountain <br />water in Rio Grande Reservoir. <br /> <br />Finally, the storage of compact water is done pursuant to an agreement between the State <br />Engineer, the District and the Rio Grande Water Users Association. It is anticipated that <br />a new agreement will be negotiated between those entities to operate compact storage in <br />an enlarged and/or rehabilitated Rio Grande Reservoir. <br /> <br />The District anticipates that any outstanding legal or technical issues related to the use of <br />water stored in an enlarged Reservoir will be addressed through negotiations with the <br />various stakeholders who decide to participate in the enlargement project. As is <br />discussed in the response to Issue No.9, the District intends to negotiate conceptual <br />storage and operating agreements with the various entities that will utilize an enlarged <br />Reservoir. Those participants may include the State Engineer, Division Engineer, <br />Division of Wildlife, US. Forest Service, the Conservancy District, the Rio Grande <br />Water Users Association and other stakeholders. Legal and technical issues that may <br />arise from the storage in and release of each entity's water from an enlarged Rio Grande <br />Reservoir will be addressed as part of those negotiations. <br /> <br />Mr. Smith will also assist in drafting proposed operations and storage agreements with <br />parties interested in participating in an enlargement. Additionally, pending the outcome <br />of the investigations conducted in Task 2, Task 4 will also include a detailed analysis of <br />the NEP A processes that will need to be followed in order to enlarge the Reservoir. <br />The total cost for this task is $30,000. <br /> <br />4 <br />