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CHAPTER 1 <br /> INTRODUCTION,PURPOSE OF,AND NEED FOR THE PROJECT <br /> ❑ Establish a water acquisition fund that could be used by the Colorado Ute Tribes for a variety of <br /> economic development purposes, including the acquisition of existing water rights. The water <br /> supply from the facility at Ridges Basin, coupled with the water acquisition fund and its potential <br /> for securing additional water rights for the Colorado Ute Tribes,would satisfy all outstanding f. <br /> Colorado Ute Tribal water rights claims on the Animas and La Plata rivers. <br /> ❑ Comply with all applicable laws, including ESA and NEPA,and comply with the Service's <br /> determination that depletions from the San Juan River Basin cannot exceed an average 57,100 <br /> afy as outlined in the 1996 Biological Opinion for the ALP Project. Depletion limitations also <br /> assist in protecting the interests of downstream tribes and others with substantial water rights <br /> claims. <br /> Table 1-2 displays the allocation of water among the Colorado Ute Tribes and other project beneficiaries <br /> that would be provided by the structural components of the Administration Proposal. Under the <br /> allocations shown below,the Colorado Ute Tribes are still approximately 13,000 afy short of the total <br /> ' quantity of depletion recognized in the Settlement Agreement. The Administration Proposal,therefore, `: <br /> also includes a non-structural element that would establish and utilize a water acquisition fund,which the <br /> Colorado Ute Tribes could use over time to acquire water rights on a willing buyer/willing seller basis. <br /> The water acquisition fund was developed to acquire 13,000 afy of depletion in addition to the depletions <br /> shown in Table 1-2, or for other uses that they may choose. <br /> Table 1-2 <br /> Administration Proposal Water Allocations for the Structural Components of the ALP Project <br /> Water Recipient Depletion from the San Juan River Basin(afy) <br /> Southern Ute Indian Tribe 19,980 <br /> Ute Mountain Ute Tribe 19,980 <br /> Navajo Nation 2,340 <br /> Animas-La Plata Water Conservancy District 2,600 <br /> San Juan Water Commission 10,400 ," <br /> Subtotal 55,300 <br /> II Allowance for Reservoir Evaporation 1,800 <br /> Total Depletion 57,100 <br /> I,1. <br /> ii, Because of the importance of the 57,100 afy average annual depletion as allowed under the Section 7 <br /> Biological Opinion for the ALP Project,depletion values are generally displayed throughout the report. <br /> It is a general practice to use a depletion factor of 50 percent for M&I water use(50 percent of the water <br /> diverted from a river system for an M&I use is returned back to the river system as a return flow). <br /> Depending on how the water is used,the depletion factor can vary. The depletion factor for municipal <br /> and domestic uses generally average somewhat less than 50 percent and the depletion factor for industrial <br /> g <br /> L uses generally average somewhat more than 50 percent. See Section 2.1.1.3.1 for additional information <br /> on depletion factor. <br /> IPreliminary cost estimates indicate that a fund of$40 million would be provided as a settlement amount <br /> (water acquisition fund)to the Colorado Ute Tribes to be used on a discretionary basis to purchase land <br /> j <br /> 1.2 PROJECT HISTORY 1-8 <br /> fi! <br />