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<br />OJ2372 ' <br /> <br />Consistent with Section 7 of the Interim Surplus Guidelines, the August 2004 24-Month Study was <br />used to forecast the system storage as of January 1, 2005, Based on this projection, the Normal <br />condition will govern releases for use in the States of Arizona, Nevada, and Califomia during <br />calendar year 2005 in accordance with Article ill(3)(a) of the Operating Criteria and Article ll(B)(I) <br />of the Decree. <br /> <br />Article ll(B)( 6) of the Decree allows the Secretary to allocate water that is apportioned to one Lower <br />Division State but is for any reason unused in that State to another Lower Division State. This <br />determination is made for 1 year only, and no rights to recurrent use ofthe water accrue to the state <br />that receives the allocated water, Reclamation does not a nticipate a ny available unused state <br />apportionment for calendar year 2 005 a t this time. However, if any unused apportionment is <br />available the Secretary shall allocate any available unused apportionment for calendar year 2005 in <br />accordance with Article ll(B)(6) ofthe Decree and Section 1 (B) ofthe Interim Surplus Guidelines. <br /> <br />Water may be made available for diversion pursuant to 43 CFR Part 414(9) to entities within the <br />Lower Division States, The Secretary shall make Intentionally Created Unused Apportionment <br />available to districts in Arizona, California, or Nevada for the off-stream storage or consumptive use <br />of water pursuant to individual SIRA agreements and 43 CFR Part 414. <br /> <br />On October 10, 2003, the Secretary of the Interior approved the ROD for the Inadvertent Overrun <br />and Payback Policy (IOPP) which became effective January 1,2004. This 10PP remains in effect for <br />calendar year 2005. <br /> <br />The Colorado River Water Delivery Agreement requires payback of overruns as noted in Exhibit C <br />ofthat document. Each district with a payback obligation under Exhibit C may, at its own discretion, <br />elect to accelerate paybacks in calendar year 2005. <br /> <br />Given the limitation of available supply and the low inflow amounts within the Colorado River <br />Basin, the Secretary, through Reclamation, will continue to review Lower Basin operations to assure <br />that all deliveries and diversions of mainstream water are in strict accordance with the Decree, <br />applicable statutes, contracts, rules, and agreements. <br /> <br />As provided in Section 3 ofthe Interim Surplus Guidelines, the Secretary shall undertake a "mid-year <br />review" pursuant to Article 1(2) of the Operating Criteria, allowing for the revision of the current <br />AOP, as appropriate, based on actual runoff conditions which are greater than projected or demands <br />which are lower than projected, The Secretary shall revise the determination for the current year <br />only to allow for additional deliveries. Any revision to the AOP may occur only through the AOP <br />consultation process as required by applicable Federal law. <br /> <br />(9) Off stream Storage of Colorado River Water; Development and Release ofIntentionally Created Unused <br />Apportionment in the Lower Division States: Final Rule (43 CFR Part 414). <br /> <br />25 <br />