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I <br />IJanuary 7, 2004 28 <br />' apportionment for calendar year 2004 at this time. However, if any unused apportionment is <br />available the Secretary shall allocate any available unused apportionment for calendar year 2004 in <br />accordance with Article II(B)(6) of the Decree and Section 1(B) of the Interim Surplus Guidelines. <br />I <br />1 <br />n <br />In accordance with 43 CFR Part 414 (Offstream Storage of Colorado River Water; Development <br />and Release of Intentionally Created Unused Apportionment in the Lower Division States: Final <br />Rule), Intentionally Created Unused Apportionment (ICUA) may be made available by a Lower <br />Division state for use in another Lower Division state via a Storage and Interstate Release Agreement <br />(SIRA) with the Secretary. On December 18, 2002, the United States, acting through the Secretary <br />of the Interior, executed a SIRA with the Arizona Water Banking Authority (AWBA), the Southern <br />Nevada Water Authority, and the Colorado River Commission of Nevada. Assuming all <br />requirements are met, the Secretary will make up to 20,000 acre -feet of ICUA available to the <br />consuming entity (Southern Nevada Water Authority) from the storing entity (Arizona Water <br />Banking Authority) in 2004. A SIRA is currently under development between AWBA and MWD. <br />Consistent with Section 5(B) of the Interim Surplus Guidelines, surplus determinations under <br />Section 2(B)(1) Partial Domestic Surplus and Section 2(B)(2) Full Domestic Surplus were suspended <br />on January 1, 2003. The suspension of surplus determinations under Sections 2(B)(1) and 2(B)(2) <br />of the Interim Surplus Guidelines remained in effect until October 10, 2003, at which time California <br />completed all required actions pursuant to Section 5(B) of the Interim Surplus Guidelines. <br />Consistent with Section 5(B) of the Interim Surplus Guidelines, the interim surplus determinations <br />under Sections 2(B)(1) and 2(B)(2) were reinstated on October 10, 2003. The October 10, 2003 <br />Colorado River Water Delivery Agreement provides for California to make the water use reductions <br />reflected in Section 5(C) of the Interim Surplus Guidelines. <br />Consistent with Section 7 of the Interim Surplus Guidelines, the August 2003 24 -Month Study was <br />' used to project the system storage and projected uses on January 1, 2004. Based on this projection, <br />the Partial Domestic Surplus will govern releases for use in the States of Arizona, Nevada, and <br />' California during calendar year 2004 in accordance with Article III(3)(b) of the Operating Criteria <br />and Article II(B)(2) of the Decree, subject to Section 5(C) of the Interim Surplus Guidelines. <br />0 <br />u <br />n <br />0 <br />Given the limitation of available supply, and the low inflow amounts within the Colorado River <br />basin, the Secretary, through Reclamation, will continue to review Lower Basin operations to assure <br />that all deliveries and diversions of mainstream water are in strict accordance with the Decree, <br />applicable statutes, contracts, rules, and agreements. <br />For informational purposes, the natural inflow required to reach a Quantified Surplus (70R value <br />strategy) on January 1, 2004, is 34.0 maf (41,939 mcm), which has been exceeded in the historical <br />record less than 1 percent of the time. As provided in Article IV(1) of the Interim Surplus <br />Guidelines, the 70R strategy involves assuming a 70 percent nonexceedance inflow into Lake <br />Powell, subtracting out the consumptive uses and system losses and checking the results to see if all <br />of the water could be stored or if flood control releases from Lake Mead would be required. If flood <br />control releases from Lake Mead would be required, additional water is made available to the Lower <br />