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<br />- . <br /> <br />forced to accept a reduced allotment due to borrowing by Windy Gap. Instead, only <br />those allottees who had contracted to make their C-BT units available -- and had been <br />compensated for doing so -- would give up water. Other allottees would be entitled to <br />the full quota amount set by the District and would be unaffected by in-lieu deliveries to <br />Windy Gap. <br /> <br />The District's interruptible supply contracts study <br /> <br />In early 1994, NCWCD received a grant from the Water Conservation and Water <br />Use Efficiency Grant Program administered by the Water Conservation Office of the <br />Colorado Water Conservation Board (CWCB). The grant program was established by <br />the Colorado Water Conservation Act of 1991, HB 1154, which made available $500,000 <br />from the CWCB construction fund for a grants program for water efficiency <br />demonstration projects. <br /> <br />NCWCD used the grant funds to hire the consultant to assist the District in <br />investigating and implementing a program of "interruptible supply contracts" in the <br />context of integrated operations of the C-BT and Windy Gap water projects. The study <br />began in the spring of 1994 and consisted of three phases: <br /> <br />. Phase I consisted of background research by the consultant to investigate the <br />theory and structure of interruptible supply arrangements and their use in the western <br />United States. This phase of the project culminated in preparation of a preliminary <br />report in August 1994. <br />. Phase II of the study, public involvement, began in the fall of 1994 and ended in <br />late 1995. This phase included both disseminating information to the public within the <br />district and soliciting their input on the proposed supply arrangements. <br />. The final phase of the study is the development of recommendations to the <br />District's board of directors as to use of interruptible supply contracts as part of the in- <br />lieu delivery scenario for C-BT/Windy Gap operations. <br /> <br />This report summarizes the findings of Phase II and presents recommendations to the <br />District. Recommendations have been developed by the consultant in cooperation with <br />members of the District's staff. <br /> <br />This report is intended primarily for use by the District's board of directors in <br />making decisions regarding implementation of a program through which interruptible <br />supply contracts may be used as a back-up supply for borrowing of C-BT water by <br />participants in the Windy Gap Project. Secondarily, this information will be helpful to <br />the board in connection with administration of other types of interruptible contracts that <br />may be concluded in the future within the district, and for others in Colorado who may <br />be contemplating use of this type of supply arrangement. <br /> <br />There is little written information currently available on attempts to implement <br />interruptible agreements for sharing of water supplies between different types of use. <br />Most of the material available examines the theory of these arrangements rather than the <br />practical aspects of their implementation. The consultant and the District hope that this <br /> <br />3 <br />