July 24 06 Minutes IBCC Colo Basin

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In addition, the following IBCC representatives have been appointed as ex-officio (i.e., non-voting) members: Jim Isgar, State Senator Kathleen Curry, State Representative, Gunnison Wayne Vanderschuere Dan Birch, Steamboat Springs, engineer with the Colorado River Conservancy District The Colorado Roundtable discussed that none of the CWCB appointees are from the Western Slope. Stan Cazier replied that John Porter and the ex officio members provide a voice for the western slope. The SB 179 Working Group plans to have grant guidelines finalized by September 30, 2006, and to begin making grants on January 1 and July 1,2007. Stan Cazier noted that the CWCB has already provided a list of 21 requirements in order to qualify for the SB 179 grant money, which will restrict eligible projects. The CWCB requested that the Colorado Roundtable and other roundtables make recommendations for how the SB 179 grant money should be allocated, and this was discussed later at the meeting as reported below. The Rio Grande, South Platte and Arkansas roundtables have already provided comments. Eric Hecox mentioned that through House Bill 1177 the legislature also provided $1 million to pay for the roundtable process, $600,000 of which might be available to supplement the SB 179 grant money. s. Discussion of Shoshone Power Plant Call Reduction. Bill Bates, representing the Denver Water Board, discussed the new agreement with Xcel Energy regarding the Shoshone power plant call reduction. 1) The agreement allows the City and County of Denver (Denver) to require the Public Service Company of Colorado (Xcel) to relax its Shoshone power plant call on the Colorado river from March 14 through May 20 in any year that Denver predicts that its reservoir storage will be less than 80% full on July 1, and when the Natural Resources Conservation Service predicts that the April-July flow of the Colorado River at the Kremmling gauge will be only 85% of normal. 2) Xcel will be required to shut down one of its two Shoshone turbines, thereby reducing the flow through the turbines from 1,408 cfs to 704 cfs and freeing up to 704 cfs for upstream users, including Denver (referenced here as Available Water). Denver is required to provide 15% of the Available Water to Xcel in its various power plants in Denver, for eventual delivery into the South Platte, and 10% of the Available Water to western slope municipalities. 3) The price charged to Denver varies with the spot price of natural gas, but cannot be less than $5 per acre foot. At the minimum price, Denver must pay Xcel up to $356,072 for the Available Water each year. 4) Denver must also pay Xcel for the power loss resulting from the call reduction; Denver can apply the cost to purchase the water discussed above against the amount it L\CWCB Imaging\Caleb\Minutes\Colorado\2006\July 24 06 Minutes IECC Colo Basin.doc 2