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The Honorable Gale A. Norton <br />February 3, 2006 <br />Page 2 of 3 <br />mainstream. It is our position that implementation of these operational and accounting <br />procedures can be accomplished without modification of the Long Range Operating Criteria or <br />other elements of the law of the river. <br />The States' attached proposal incorporates an approach to shortage management. Additionally, <br />the proposal includes modification and extension of the Department's Interim Surplus Guidelines <br />to incorporate operations for all reservoir conditions. <br />The attached proposal also addresses the States' recommended approach to implementation of <br />shortages pursuant to the U.S.-Mexico Treaty of 1944. We request that the Department of the <br />Interior initiate, at the earliest appropriate time, consultation with the U.S. Section of the <br />International Boundary and Water Commission and the U.S. Department of State on <br />implementation of Treaty shortages. We further request the opportunity to consult with Interior <br />and State Department officials on this issue as the federal government formulates its approach to <br />any bi-national consultation with Mexico. <br />An agreement between Basin State water managers and users will be necessary to put in place <br />additional terms upon which they have reached common understanding. We intend that this <br />agreement be finalized while Reclamation is preparing the draft EIS, and be executed as soon as <br />practicable. We are including with this letter a draft version of the agreement (Attachment B), to <br />memorialize our current understandings and to provide you the benefits of our thoughts at this <br />time. As with Attachment A, please recognize that the parties are still actively working on the <br />matters addressed in Attachment B, and contemplate additional development and refinement of <br />the agreement. We recognize that timely execution of our agreement is necessary in order to <br />allow funding of certain efficiency projects to go forward. <br />During the time Reclamation is preparing the draft EIS, the States will move forward with a <br />package of other actions that include implementation of a demonstration program for <br />extraordinary conservation in 2006, system efficiency projects, preparation of an action plan for <br />system augmentation through weather modification, execution of a memorandum of <br />understanding for preparing a Lower Division States interstate drought management plan, <br />development of forbearance agreements among the Lower Division States and the initiation of a <br />study for long-term augmentation of Colorado River system water supplies. The States have <br />already begun the consultant procurement process to support the long-term augmentation study, <br />and intend to complete a weather modification action plan and a memorandum of understanding <br />for interstate drought planning as soon as practicable. The Basin States recognize that <br />Reclamation is undertaking NEPA compliance separately to determine whether to construct a <br />regulating reservoir near Drop 2 of the All-American Canal and urge swift completion of that <br />process. <br />We appreciate the opportunity you have provided for the Colorado River Basin States to <br />recommend to you a program of reservoir management that considers all their respective <br />concerns and interests. The Basin States look forward to working with you and Reclamation in <br />analyzing and addressing these matters.