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GRANT AGREEIUIENT N0.05-FG-40-2271
<br />FOR
<br />COLORADO RIVER WATER CONSERVATION DISTRICT'S INVOLVEMENT IN THE
<br />UPPER COLORADO RIVER BASiN RECOVERY IMPLEMENTATION PROGRAM
<br />NARRATIVE
<br />1. BACKGROUND. The purpose of this Grant Agreement between the Colorado River
<br />Water Conservation District, acting by and through its Colorado River Water Projects Enterprise
<br />("River District"} and the U.S. Bureau of Reclamation {"Reclamation") is to conduct activities
<br />related to the recovery of endangered native fish species as outlined in the Recovery
<br />Implementation Program for Endangered Fish Species in the Upper Colorado River Basin
<br />("Recovery Program"}.
<br />The Recovery Program was established September 29, 1987 and implemented by a
<br />Cooperative Agreement signed in January 1988 by the Secretary of the Department Interior, the
<br />Governors of the States of Colorado, Utah, and Wyoming and the Administrator of the Western
<br />Area Power Administration. The Recovery Program is a coalition of agencies and
<br />organizations. The goal of the Recovery Program is to recover four species of endangered fish
<br />while allowing vrater development to proceed consistent with state water !aw and in compliance
<br />with the Federal Endangered Species Act ("ESA") in the Upper Basin states of Colorado, Utah,
<br />and Wyoming.
<br />The Recovery Program has determined that the following water supplies are needed within the
<br />Yampa River Basin to provide water for endangered native fish species during critics! !ow-flow
<br />periods in the Yampa River Basin: 1) 5,000 acre-feet permanent water supply and 2) 2,000
<br />acre-feet short-term (temporary} water supply.
<br />The River District, the Recovery Program, Reclamation, and the Service have agreed to
<br />cooperate in the construction of an 11,750-acre-foot expansion of Elkhead Dam and Reservoir
<br />("Reservoir Enlargement»), located on Elkhead Creek a tributary of the Yampa River in Sections
<br />1, 2, 3, 4, 9, 10, 16, and 21 Township 7 North, Range 89 West, 6th Principal Meridian, Moffat
<br />and Routt Counties, Colorado, to develop a water supply that will be capable, subject to water
<br />availability based on hydrologic cycles, of providing the water for the permanent water and
<br />short-term water supplies identified above and be available for other beneficial uses to the River
<br />District.
<br />Elkhead Reservoir consists of the existing dam and the existing water storage space, estimated
<br />capacity of 13,137 acre-feet, and upon completion of the Reservoir Enlargement, the Reservoir
<br />will have a total estimated capacity of 24,887 acre-feet. Reservoir Enlargement cost of
<br />construction is currently estimated at $20,498,787.00.
<br />The Recovery Program has approved funding apro-rata share of the construction cost for the
<br />5,000 acre-feet permanent water supply and associated storage space in the Reservoir. The
<br />pro-rata share of the construction cost shall mean the allocation of the storage space created by
<br />the construction of the Reservoir Enlargement, estimated to be 11,750 acre-feet, as follows:
<br />27/47th interest, 6,750 acre-feet to the River District (estimated to be $11,775,899.00} and
<br />20/47th interest, 5,000 acre-feet to the Recovery Program (estimated to be $8,722,888.00).
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