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Ms. Maryanne C. Bach [)ecernber30,2003 Page 5 Downstream Storage. As previously reported, Denver is developing storage on the South Platte River downstream of Denver to enhance the yield of its municipal water system. This storage would recapture and regulate Denver's reusable return flow presently unusable due to the lack of timely upstream exchange potential or demand. The stored returns would be released to the river when upstream exchange potential exists. Additionally, downstream storage will be used to augment the Water Recycling Project when there is legally insufficient reusable return flow available to the plant. Denver Water and the South Adams County Water and Sanitation District have jointly acquired downstream storage sites, which are principally mined gravel pits. To date, seven sites have been acquired. Additional property adjacent to the previously acquired gravel lake complex was acquired in 2003 bringing the storage capacity that can be developed to 19,500 acre-feet. Also in 2003, included in efforts to develop the gravel pits, was the awarding of a $3.3 million contract for construction of a slurry wall to seal the reservoirs. Downstream storage is also the cornerstone of the above-mentioned commitment to provide recycled water to the Rocky Mountain Arsenal and other customers of the Recycling Project. As mentioned above, Denver Water continued to pursue Water Court applications for water rights to provide for South Platte diversions to the gravel pits, for their use in river exchanges not already decreed, and augmenting the Recycling Project. Park Conversions. Within the system refinement category of Denver Water's near term supply strategy is the conversion of parks and open spaces currently irrigated with treated water to nonpotable water supplies. Reusable return flow, which would be mainly those from the Colorado River, can be used to replace existing treated water demands at those areas that are feasible conversion candidates. As part of previously completed raw water irrigation projects, Denver Water continues to pursue water rights on Cherry Creek within the City and County of Denver to irrigate three areas along the creek with raw water provided by alluvial wells. Junior water rights and plans for augmentation to cover out-of-priority depletions from the wells are being sought in Case Nos. 89CW198, 93CW033, and 93CWll0, Water Division 1. Reusable return flows will be the replacement water for these wells. Replacement of depletions with reusable water currently takes place under annually renewed temporary substitute supply plans on file with the State Engineer's Office. Effluent Accounting Enhancements. In 2003, Denver implemented accounting for its reusable effluent discharged from the wastewater treatment plant owned by the City of Glendale. Awaiting approval from State water officials is the accounting for Denver's reusable effluent discharged by the South Adams County Water and Sanitation District. These efforts increase the amount of reusable water available for successive use including exchanges subject to availability of exchange potential. This effort will be continued in 2004 to quantify Denver's reusable effluent discharged by the Clear Creek Valley Sanitation District wastewater treatment plant.