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<br />001591 <br /> <br />2002] <br /> <br />THE lAST GREEN lAGOON <br /> <br />947 <br /> <br />States - one submitted by California that mirrored the criteria <br />proposed in the gSA and allowed broad use of surplus flows, <br />and another proposed by the other six Basin states that placed <br />far more significant limitations on the use of surplus flows.278 <br />The latter alternative was driven in no small part by a fear on the <br />part of the other Basin states that despite the promises in the <br />gSA and the Draft EIS, California would fail to ratchet down its <br />use, and MWD would be able to continue to leverage additional <br />surplus from the Secretary to prevent an urban supply crisis.279 <br />The negotiations that ensued between the Basin states <br />eventually led to a deal between two of the Basin's greatest <br />rivals, Arizona and MWD. Under the terms of the deal, Arizona <br />and California entered into a binding contract280 that limits <br />MWD's ability to request Colorado River water from the Secretary <br />to the scheduled, "step down" program envisioned in the 4.4 Plan <br />regardless of any actions taken by the Secretary. Moreover, MWD <br />is required to provide Arizona With a 1 maf "insurance policy," <br />under which MWD has agreed, in the event of a shortage, to <br />forego its use in favor of Arizona up to a total of 1 maf over the <br />15 year period. . In exchange, Arizona agreed to forego the use of <br />its 46% share of Lower Basin surpluS water under shortage <br />conditions.281 <br />With this deal in place, the Basin states successfully <br />negotiated a compromise alternative that was submitted and <br />published during the public comment period to the Draft EIS.282 <br />Called the "Seven States" alternative ,283 this compromise <br />alternative was renamed the "Basin States Alternative" by BOR, <br />and was ultimately selected - in slightly modified form - as the <br />preferred alternative. 284 The Basin States alternative <br />accomplishes three discrete but interrelated goals: first, it <br />allocates the unused basic apportionment of the Lower Basin; <br />second, it identifies water that can be considered "surplus;" and <br />third, it delivers these waters in accordance with a priority <br /> <br />278. Id <br />279. See Michael J. Pearce, Implementation of the Seven Basin States' Colorado <br />River Interim Surplus Guidelines for the State ofAnzona. ENRLS UPDATE (Arizona Bar <br />Association, Environment and Natural Resources Law Section), Jan. 2002, at 13-17. <br />280. Interim Surplus Guidelines Agreement Between the State of Arizona and <br />Metropolitan Water District of Southern California, May. 23, 2001, available at <br />http://www.adwr.state.az.us/publications/files/Surplus%20Guidelines. pdf. <br />281. See id. <br />282. Pearce, supra note 276, at 16. <br />283. See Colorado River Interim Surplus Criteria, 65 Fed. Reg. 48,531 (Dep't <br />Interior, Aug. 8,2000). <br />284. FINAL EIS, supra note 71. at 2-10. <br />