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<br />. <br /> <br />3. Southeastern is interested in this matter not only as the quasi-municipal water conservancy <br />district that includes within its bOuhdaries most of the municipal and agricultural water users <br />in Southeastern Colorado's Arkansas River basin, but also as a major water user in its own <br />right. Southeastern has both decreed exchanges as well as a current application, Case No. <br />01CW15I, Water Division No.2, pending for exchanges through the reach for wbich the <br />RICD application has been made. <br /> <br />4. <br /> <br />The current population of Southeastern's nine-county service area is 620,000. That number <br />is expected to increase to more than 1.5 million by the year 2040. In an effort to prepare for <br />the water needs of the growing population in the Arkansas River basin and to help sustain <br />water supplies for agricultural u~e,' Southeastern, with participation from other Arkansas <br />basin water providers, initiated the Preferred Storage Options Plan ("PSOP") in 1999. The <br />PSOP Report, published September 21, 2000, analyzed various options to meet the year 2040 <br />water demand. The plan contemplates both changed operations of. existing <br />Fryingpan-Arkansas Project reservoirs, as well as enlargement of Pueblo and Turquoise,. <br />Reservoirs. . PSOP participants, as well as Southeastern, will rely on the ability to exchange <br />water into the re-operated and enlarged Fryingpan-Arkansas Project reservoirs to meet this <br />year 2040 demand. Southeastern has begun implementing the PSOP, pursuant to its <br />memoranda of agreement with PSOP participants, and has applied for water rights for the <br />planned enlargements to Pueblo and Turquoise Reservoirs (Case Nos. 00CW138 and <br />00CW139, Water Division No.2). Southeastern's water rights and those of the PSOP <br />participants could be affected adversely and significantly by the RICD application. <br /> <br />. <br /> <br />5. Pueblo, a municipal corporation ("Pueblo"), and Southeastern previously entered into a <br />stipulation in Case No. 01CW160, Water Division 2, dated February 27, 2002, in wbich both <br />agreed to conduct further discussions before April 30,2002, in an attempt to address any <br />concerns of Pueblo in CaseNo. 01CW151, andSoutheasterninCaseNo. 01CW160, through <br />negotiation and without the need for Pueblo to become a party to Case No. 01 CW151, or <br />Southeastern to become a party to Case No. 01 CW160. Pueblo and Southeastern have today <br />entered into further stipulations to extend the discussion period until June 28, 2002, witho'ut <br />the need for either to file a statement of opposition in the others' case. Based on the spirit <br />of the February 27,2002 stipulation, Southeastern did not file previously for party status in <br />this proceeding. <br /> <br />6. The pre-hearing order in this matter sets Pueblo's deadline for May 22,2002,. the Parties' <br />deadline for the submission of pre-hearing statements on June 5, 2002, and the pre-hearing <br />conference on June 21, 2002. Because neither the deadline for the submission of pre-hearing <br />statements nor the date for pre-hearing conference has passeq, no participant will be <br />prejudiced by granting Southeastern party status at this time. . <br /> <br />7. We have consulted with attorneys for Pueblo and they have stated that Pueblo does not 0 bj ect <br /> <br />. <br /> <br />-2- <br />