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<br />20"Centennial~Street~/-PO Box~ 1-120- * Glenwood Springs, <br />(970) 945-8522 * (970) 945-8799 Fax <br />www.ColoradoRiverDistrict.org <br /> <br />I <br />J <br /> <br />CQ-81602. <br /> <br />( <br /> <br />Note: this recommendation does not address the possibility of the state using this program to require <br />projects meet the state's instream flow desires. <br /> <br />And [mally, that any <br /> <br />legislative proposal must comport with the amended policy. <br /> <br />. <br /> <br />Further, CWCB amendment to the policy should precede any legislative proposal to <br />implement the policy. <br /> <br />. <br /> <br />or <br />Require inclusion of the "compensatory mitigation" language from the Conservancy <br />District statute as a condition of the CWCB participating in any transbasin diversion <br />proj ect. <br /> <br />( <br /> <br />REeOMMENDATION: <br />The Board should direct staff to pursue amendment to the existing policy to either: <br />· Preclude the state from holding water rights for present or future consumptive uses, <br /> <br />, <br />I do not want to suggest that these worst case and suspicious scenarios are the motivation for any <br />of the CWCB board members or any CWCB staffer. However, it is a concern that the adopted <br />policy allows for these outcomes. <br /> <br />eRD POLley eONeERNS: <br />This policy and its related program effectively allow the CWCB to choose which projects it finances <br />through its traditional loan and grant programs and in which the state wants to be an "equity <br />partner," owning a portion of the project's water rights for any and all purposes. The CWCB's <br />printed materials concerning this policy speak to acquiring water rights for "compact calls, drought <br />mitigation, endangered species, minimum stream flow, river restoration, and recreation." However, <br />nothing in the adopted policy precludes the state from being a substantial "partner" in a <br />transmountain water project, including holding water rights for future, unspecified purposes eve;n <br />transmountain diversions. Additionally, this policy raises the specter of the state requiring its <br />ownership in a project as a means of fulfilling its minimum instream flow rights even if those rights <br />are junior to the water rights of the project in question. <br /> <br />(f' <br /> <br />Page 2 of2 <br />CWCB Policy 18 <br />January 3, 2008 <br /> <br />.... <br /> <br />( <br />