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Danielson, the Upper Gunnison Water Conservancy District, and the <br /> • Colorado River Water Conservation District continue negotiations <br /> with the Bureau of Reclamation to consumate an agreement <br /> providing for the subordination of Aspinall Unit water rights <br /> aggregating 60, 000 acre-feet of water for consumption in the <br /> Gunnison River Basin, with an unspecified quantity reserved for <br /> the Fruitland Mesa Project. The motion was adopted by unanimous <br /> voice vote. <br /> b. Sale of Water from Blue Mesa Reservoir <br /> Chairman Vandemoer moved to this item and asked Mr. McDonald <br /> to discuss it. <br /> Mr. McDonald reported that this item referred to the <br /> question of selling water from Blue Mesa Reservoir, a feature of <br /> the Aspinall Unit, developed by the yield of that reservoir under <br /> its water rights, whether subordinated or not. Applicants <br /> desiring to purchase water out of the reservoir basically fall <br /> into two categories: (1) those having an adjudicated junior <br /> right and (2 ) those with no underlying water right. <br /> With reference to the first category, it is possible that <br /> assuming the mechanics of subordination have been implemented, <br /> even a right which receives the benefit of that subordination may <br /> still be out of priority against downstream rights that are <br /> senior to rights of the Aspinall Unit. Applicants may need or <br /> • desire plans of augmentation and may desire to purchase water out <br /> of Blue Mesa Reservoir to affect that plan of augmentation. In <br /> the second category, applicants with no water rights may wish to <br /> obtain a source of water supply by purchase from the Bureau of <br /> Reclamation. <br /> Following discussion by Board members, Mr. McDonald stated <br /> that such water sales, at least during the foreseeable future, <br /> would not deplete the state ' s compacts entitlements, despite the <br /> Bureau ' s long-range projections . He indicated further that no <br /> state agency has the prerogative to allocate the state ' s compact <br /> entitlements. Rather, the water right system governs and the <br /> State Engineer makes rules and regulations under his authority to <br /> administer in the event of a compact call. Mr. McDonald stated <br /> that it is not for the Board to determine to whom the Bureau <br /> could allocate water, rather if the yield is available as <br /> administered by the State Engineer, the question is a policy <br /> matter. Mr. McDonald, therefore, recommended that the Board <br /> express support for making water available for sale out of Blue <br /> Mesa Reservoir for use in the Gunnison River Basin. <br /> Mr. Johnston moved, seconded by Mr. Kroeger, that Mr. <br /> McDonald' s recommendation be tabled until the January, 1984 <br /> meeting. Mr. Johnston expressed concern as to whether or not the <br /> Board should approve complete Gunnison River drainage sales or <br /> • whether or not there may be some limitations on the Board' s part <br /> -15- <br />