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<br />Furthermore, he pointed out that the Secretary of the Interior <br />administers water deliveries from the lower river, provides for an annual <br />accounting of water use, and in general, runs the river system. <br /> <br />Not too many years ago only the very brave, or foolish, would bring this <br />topic up at an Upper Basin gathering such as this. Now the subject of <br />changing uses, from agriculture to municipal and industrial...and transfers <br />from the Upper to the Lower Basin, are agenda topics dominating much of today <br />and tomorrow's programs. <br />~ <br />Let me clearly say it is no~ npressarily the policy of the Bureau of <br />Reclamation to promote ter transfe However, should the states arrive at <br />tna p lon, eclamation is prepared to actively participate in efforts to <br />make it happen. <br /> <br />I think that the discussions here this week, and into the future, are <br />healthy. We have reaffirmed that traditional arrangements and commitments <br />which formed the framework for our historic actions and decisions concerning <br />states allocations have worked well. There has been order and process in <br />river development, utilization, and management. <br /> <br />However, we are also learning that in advance of a crisis there is also <br />benefit to giving thought to new ways of doing business. Generally, decisions <br />which are reached in a state of panic are poor decisions, often leading to <br />bitterness and costly and time consuming litigation. The resources and people <br />nearly always suffer. <br /> <br />If water transfers ever take place, the Upper Basin states will need <br />guarantees that they can develop enough water to handle future population <br />growth without seriously harming their current agricultural base. Beyond <br />that, all kinds of options are "on the plate" for consideration. <br />Realistically, before transfers from the Upper Basin to the Lower Basin are <br />seriously considered, it would appear that more careful thought should be <br />given to water marketing proposals among entities in the Lower Basin itself. <br /> <br />Quite frankly, these are exciting times to be water managers. Just as <br />the framers of the 1922 Colorado River Compact charted the course of water <br />management for the past 70 years, we too are making decisions that will shape <br />the coming century. <br /> <br />Let's switch from the hypothetical issue of water transfers to a real <br />world issue facing us all, namely the application of the Endangered Species <br />Act. We've found ourselves in the middle of a firestorm. <br /> <br />First, and foremost,it's important to understand that we are operating <br />under a very strict law...a law that carries with it considerable power. <br />Sections 2, 4, and 7 of the Endangered Species Act require Federal agencies to <br />insure actions taken are not likely to jeopardize the continued existence of <br />endangered species. Furthermore, the Act requires us to promote the recovery <br />and conservation of those species and their habitats. Also, Section la, the <br />provision on "Taking," can also come into play if actions are not implemented <br />to avoid jeopardy. <br /> <br />5 <br />