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<br />for efficient water resource management and protection of instream resources. <br />Yet streamflow assessment remains at least as much art as science. One short- <br />coming is knowledge of basic fish ecology, especially for endangered and <br />threatened species. More important, stream ecologists may question any <br />methodology that reduces complex ecosystem effects to changes in three or four <br />physical parameters (see Wydoski, 1976 and Cummins and Spengler, 1978). <br /> <br />B. Protection of Instream Resources <br />Ideally, water resource managers with basin jurisdiction would have the <br />authority to reserve streamflows. Their decisions would depend on projections <br />of the quantity and value of water consumed (for agriculture, municipal, and <br />industrial use) and the damages to fisheries, recreational activities, and <br />aesthetic values. The State of Montana actually initiated such a process with <br />the Water Use Act of 1973. This act designates instream flows as a "benefi- <br />cial use" and allows local, state, and federal agencies to apply for stream- <br />flow reservations. In 1974, permit applications for large industrial users in <br />the Yellowstone River Basin were suspended pending evaluation of flow reserva- <br />tion requests. In 1979, the Department of Natural Resources and Conservation <br />authorized the reservation of 80% of the existing average flow of the Yellow- <br />stone River at Sidney, Montana, approximately 5.5 million acre-ft/yr. In most <br />Western States, however, protection of streamflows is piecemeal. <br />Two major obstacles to the protection of instream resources are the state <br />statutes governing water allocation (see Gould, 1977) and the historical <br />pattern of water development. Generally, in the appropriation states, the act <br />of dive~ting water and putting it to beneficial use establishes a right and a <br />priority to use water. In the original scheme of things, new appropriators <br />would arrive until flows were virtually exhausted. While Colorado and North <br />Dakota join Montana in recent recogni tion of the right to appropriate (or <br />reserve) water for streamflows, this legal standing is lacking in New Mexico, <br />Utah, Wyoming, South Dakota, and Nebraska (see Dewsnup and Jensen, 1977). <br />Short of new legislation, a state engineer might use "public interest" <br />criteria to reject new permit applications and provide de facto reservation, <br />but this solution is both controversial and temporary. <br />In many western water basins, the legal issues surrounding streamflow <br />appropriations are moot in any case because much or all of the water has been <br />appropriated. This is not to say that all the water is being used; rather <br />that parties hold conditional rights to develop virtually all the water <br />lega lly available. 6 Thus, not surprisingly, attention shifts to the Federal <br />Government with its fat purse and expansive powers. <br />Three acts of Congress and the activities of the Bureau of Reclamation <br />and the Army Corps of Engineers are of particular interest. Section 7(a) of <br />the Endangered Species Act contains some strong language. <br /> <br />OThe amount of water legally available depends on the provisions and inter- <br />pretations of interstate compacts (though not all interstate streams have <br />compacts). This suggests an historical aspect of water development that is <br />actually a boon to protection of instream values. The most senior appropria- <br />tors tend to be situated toward the mouths of streams. Their water use <br />provides de facto streamflow reservation upstream. <br /> <br />5 <br />