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<br />STATE OF COLORADO <br /> <br />Colorado Water Conservation Board <br />Department of Natural Resources <br /> <br />o <br /> <br />721 State Centennial Building <br />1313 Shennan Streel <br />Denver, Colorado 80203 <br />Phone (303) 866-3441 <br />FAX (303) 866-4474 <br /> <br />Roy Romer <br />Governor <br /> <br />Ken Salazar <br />Executive Director. DNR <br /> <br />Daries C. We. P.E. <br />Directo,. CWCB <br /> <br />PREFACE <br /> <br />In SB 92-87, the Colorado General Assembly directed the Colorado Water Conservation <br />Board (CWCB) "to undertake an analysis of the alternative approaches to, and the results of <br />the transfer of agricultural water supplies from the Ft, Lyon Canal Company ("FLCC") to <br />alternative uses." <br /> <br />The first six chapters of this Final Study Report, constitute Phase 1 of the CWCB study. <br />During Phase 1, the FLCC and surrounding region were examined in sufficient detail to <br />estimate the: impacts of a large transfer of FLCC water. In addition, several potential <br />alternatives to the traditional method of transferring. agricultural water by dry-up of irrigated <br />acreage were examined, Based on Phase 1 of the study, it was determined that: <br /> <br />1. The potential impacts of a large transfer of water out of the FLCC could be devastating <br />to the remaining shareholders, to local governments and the tax base on which they rely, <br />and to providers of related agricultural services and businesses, <br /> <br />2, There were market forces and personal reasons leading some FLCC shareholders to look <br />for methods by which they could sell their water rights, <br /> <br />3, That temporary transfers of water to new uses in the Lower Arkansas Valley could meet <br />a variety of needs without the significant negative impacts of a large scale transfer of <br />water out of the region, <br /> <br />Based on these conclusions of Phase 1 of the study, Phase 2 was commenced, providing a <br />conceptual design of a water bank to facilitate small scale temporary transfer of FLCC water <br />within the Lower Arkansas Valley. The CWCB's purpose in conducting this study was to provide <br />the FLCC and its shareholders with information and options for meeting the challenges facing <br />