Elkhead Reservoir Final Acquisition Agreement

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Page 12 Reclamation, the Service, and'or CVVCB for the non-payment of amounts owed for O~VI&R costs. Any parry, together with the State of Colorado, shall have the right to provide replacement funds to pay OM&R charges due and owing the River District. F. In the event that the River District transfers control over operations, maintenance, and repair of the Reservoir Enlargement to Craig, the River District shall concurrently receive from Craig an acknourledgment of Craig's agreement to abide by the terms of this Reservoir Enlargement Agreement. G On account of drought, errors in operation, operational constraints imposed by the State of Colorado or otherwise, or other causes, there may occur at times a shortage during any year in the quantity of water available to be stored within the Reservoir Enlargement, and in no event shall any liability accrue against the parties hereto for any damage direct or indirect, arising therefrom. In any year in which there may occur such a shortage in the Reservoir Enlargement water supply, Reclamation shall continue to be obligated to pay OM&R as provided in paragraph IV.B herein. `'. Fish Screen The parties acknowledge that the cost estimates contained in the Reservoir Enlargement Cost of Construction, the Recovery Program Obligation, and the River District Obligation do not include the cost of installing a permanent fish screen on the Reservoir Enlargement spillway or outlet tube for the purpose of preventing non-native fishes from escaping from the Reservoir Enlargement into the Yampa River. The parties further acknowledge that the capital costs of installing a permanent fish screen, and incremental OM&R costs of operating, maintaining and repairing a fish screen, are in addition to the Recovery Program Obligation and the Recovery Program's OM&R obligations described in this Reservoir Enlargement Agreement. The capital costs of installing a permanent fish screen and the incremental OM&R costs associated with a fish screen shall not be borne by the River District, Craig, nor included in the annual service charge imposed on the Yampa Participants. VI. Proceeding to Make Absolute After the u-ater right for the Permanent V~'ater Supply is placed to beneficial use for piscatorial and recreational uses (including in-river fish habitat and river flow maintenance and enhancement uses, and uses in furtherance of the Recovery Program) and the Recovery Program Obligation has been paid in full, the River District, after consultation with the parties hereto shall submit the necessary pleadings in the Water Court for Division No. 6 in the name of the River District and prosecute the case to make absolute those conditional water storage rights.