BOARD00270

• Board Meeting Date: 8/15/1960
• Description: Table of Contents, Agenda and Minutes
• Board Meetings - Doc Type: Meeting

L.UOV

can never afford to release water only for
power purposes, when it can be used for other
beneficial purpOses. At the same time we
have to keep up the revenues of that reser-
voir to assist in the repayment and to reduce
the burden on the Northern Colorado ~ater
Conservancy District in paying the cost of
the reservoir and its annual O. & M.

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Crown Zellerbach has been investigating
Colorado for a good many years for the ex-
press purpose of putting in a major pulp
wood industry. That is, of course, a sub-
stantial industry and in northwestern Colorado
we have many millions of board feet of lumber
which has been killed by the beetles, particu-
larly in the White River National Forest, and
a tremendous amount of additional annual tim-
ber harvest which the Forest Service would
like to dispose of. ~~ny negotiations have
gone on over the years for the purpose of
establishing a pulp wood industry in Colorado.
Crown Zellerbach is perhaps the world's
largest processor, and they propose putting
in a 300 ton pulp mill on the Colorado River
just below the junction of the Colorado and
Blue Rivers, which is a few miles below the
town of Kremmling. They have already ac-
quired options on the land. They are ready
now to go into court to secure the necessary
water rights. Their water right would, of
course, be junior to anything which now
exists.

We sent you the correspondence pertain-
ing to this pulp plant. The company has
expended a large sum of money already, and
it would be a major industry and one which
we desperately need in Colorado to harvest
both the spruce kill and the annual timber
harvest which would be available. This
would be a perpetual operation, not just
something to harvest a certain amount of
timber for a few years and then fold up.
It requires many millions of dollars to con-
struct a mill and it would employ a sizeable
labor force thereafter. Crown Zellerbach has
indicated that their requirements would be
about 95 second-feet constantly, day and night,
365 days of the year, of which only about 5
feet would be consumptive use. Most of the

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