BOARD00054

• Board Meeting Date: 1/12/1998
• Description: ISF Section - Acceptance of Injury with Mitigation
• Board Meetings - Doc Type: Memo

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INTRODUCTION

The Town of Telluride and the ldarado Mining Company have filed a water court application for a

change in water rights and plan for exchange in Case No. 96CW313. The plan, if approved, will

enable the Town:s use of an existing water supply system in the upper San Miguel River (Bridal Veil

Basin) as part of its municipal supply. The Colorado Water Conservation Board (CWCS) is an

objector in the cese. The Town re<:ognizes that, under the very narrow emergency'circumstances

described below, the Town's ploposal may impact a po'rtion of the ewcs's instreamflow rights in

the .upper San Miguel River. This proposed plan is designed to mitigate any such impacts by

providing measures that will enhance the quality l!nd quantity of area streams and will preserve

the natural environment to a reasonable degree pursuant to Rule' 9.43 of the "Rules and

Reoulations Concemino the Colorado Instreamflow and Natural lake level Prooram."

BACKGROUND INFORMATION

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The Town owns various municipal water rights in Cornet Creek, Mill Creek, Bear Creek and the
San Miguel River alluvium. all tributaries of the San Miguel River. In addition, the Town owns
direct flow and storage rights in the Bridal Veil basin which were conveyed to the Town by ldarado
Mining Company ("Idarado") u part of a settlement agreement. These water rights are decreed
for mining, milling, hydropower and domestic purposes and in recent years nave been used by
Idarado. These water rights are referred to as the "Bridal Veil water rights". All of the Town's
water rights are senior to the CWCS's instreamflow rights in the upper San Miguel River and its
tributaries. Figure 1, attached, displays the location of the Town's principal water rights in relation
to eWeB instreamflow rights located in the upper San Miguel River basin.

In 1992 and 1993 Resource Engineering, Inc. completed a study of the Town of Telluride's water

system, The purpose of the study was to evaluate the physical and legal water supplies available

to the Town and to provide recommendations to help the Town secure high quality water supplies

to meet it's existing and future water demand. The study concluded that the Town's existin9

water supplies that originate from Mill and Comet Creeks are inadequate to meet existing and

future water de'mand within the area that the Town is presently 'committed to serve. Development

of a new source of water supply would be necessary in the near future to meet the Town's

commitments.

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