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STATE OF COLORADO <br />Colorado Water Conservation Board <br />Department of Natural Resources <br />1313 Sherman Street, Room 721 <br />Denver, Colorado 80203 <br />Phone: (303) 866-3441 <br />Fax: (303) 866-4474 <br />www.cwcb.state.co.us <br />T0: Colorado Water Conservation Board Members <br />FROM: Linda J. Bassi, Chief <br />Stream and Lake Protection Section <br />DATE: May 12, 2008 <br />SUBJECT: <br />Bill Ritter, Jr. <br />Governor <br />Harris D. Sherman <br />DNR Executive Director <br />Jennifer L. Gimbel <br />CWCB Director <br />Dan McAuliffe <br />CWCB Deputy Director <br />Agenda Item 24, May 20-21, 2008 Board Meeting <br />Stream and Lake Protection---Injury with Mitigation---Case No. 5- <br />07CVV210; Application of Vail Associates, Inc. and the U.S. Forest Service <br />Introduction <br />This agenda item addresses a proposed pretrial resolution under ISF Rule 8i. (3) (Injury <br />Accepted with Mitigation). Rule 8i. (3) requires the Board to consider an injury with mitigation <br />proposal using a two meeting process. This is the first meeting of the process. This proposal is <br />to mitigate impacts of one alluvial well used for snow-making purposes. The mitigation involves <br />operational limitations on well pumping as well as the installation of three structures in the <br />stream channel that will be designed to improve the hydraulic conditions of the stream for fish <br />habitat during periods of low stream flows in Two Elk Creek. The proposal would allow some <br />injury to the Two Elk Creek instream flow ("ISF") water right, but it appears that the operational <br />limitations and habitat improvement work proposed by Vail Associates on Two Elk Creek will <br />provide the mitigation necessary to enable the CWCB to continue to preserve the natural <br />environment to a reasonable degree on Two Elk Creek, in spite of any injury that could <br />otherwise result from diversions by the alluvial well. Vail Associates' formal request to the <br />Board for approval of this proposal is attached to this memo as Exhibit 1. <br />Staff Recommendation <br />Prior to this agenda item, the Board will have discussed legal and policy issues related to injury <br />with mitigation case resolutions, including whether Board approval of any such proposals should <br />be postponed until certain issues have been resolved. If the Board decides not to postpone such <br />approvals, Staff recommends that the Board: <br />1) Make a preliminary determination that the natural environment of Two Elk Creek could be <br />preserved to a reasonable degree with the proposed injury if Vail Associates provides the <br />proposed mitigation. <br />2) Provide comments to Staff on the proposal and identify any issues that the Applicant and <br />Staff should address before bringing the proposal to the Board for final approval. <br />Water Supply Protection • Watershed Protection & Flood Mitigation • Stream & Lake Protection • Water Supply Planning & Finance <br />Water Conservation & Drought Planning • Intrastate Water Management & Development <br />