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Colusa District is now responsible for having a bank account of over $4 million dollars to fix the fish screen, and the District's water diversions have been greatly curtailed. In the Columbia Basin, because of the newly listed Chinook and Snake River sockeye salmon, the East Columbia Basin Irrigation District is also facing a significant curtailment of diversion. Studies, however, have shown that because of small proportion of the stream the District is diverting, the maximum increase in mortality of juvenile migrant salmon would only be one-half of one percent. I believe the Section 7 Consultation Process must be reformed to recognize other federal authorities and responsibilities, and to provide a single uniform standard to be applied during that process. I believe that a reform of the Endangered Species Act should look to proactive measures to keep species from being listed. In addition, to balance water development and endangered species protection, incentives should be increased for innovative federal, state and local efforts to conserve species through voluntary, cooperative management agreements, and states should be given delisting responsibilities with appropriate federal funds.Some of these positive steps toward species recovery are now being taken in Colorado. A native fish species recovery workshop was sponsored by the Denver Water Department and the Colorado Division of Wildlife in May to resolve issues pertinent to the interrelationship of water development and management of native aquatic wildlife species. The discussions generated the following conclusions: the workshop group should focus on sensitive fish species and propose or develop programs and activities which would help to manage and recover these species, prior to their being listed as federally threatened or endangered. The Division of wildlife was encouraged to accelerate the development of a native species data base and the development of management plans for currently identified species of concern in conjunction with surrounding states. In addition, I would suggest that there be an increased emphasis in the Act on propagation and species population support programs. The Colorado Water Conservation Board, together with a consultant, are just completing a study for an endangered fish hatchery in Colorado. A draft report may be available as early as September. The study group has reviewed all the literature on propagation facilities, developing design criteria, evaluating sites, and examining water quality and supply. I think that this is a very positive step towards balancing development and endangered species protection. I also think there needs to be a new focus on recovery plans in a reformed Endangered Species Act. The recovery planning process must be strengthened by establishing that process as the focus for formulating management policies to implement the Endangered Species Act. The recovery plan provisions of the Act should be consolidated into a separate management section of the Act, which details Plan. requirements separately from the listing of species and the designation of their critical habitat. Recovery plans should fully assess the likelihood of a species recovery and should more fully consider the social-economic impact of the Plan. Recovery plans should evaluate alternatives for species recovery and public hearings should be held in effected counties prior to the selection to a final recovery plan. I would like to comment briefly on the amendment to the 77