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<br />DRAFT <br /> <br />. <br /> <br />NOW THEREFORE, in consideration of the mutual agreements contained herein and other good and valuable <br />consideration, the receipt and sufficiency of which are hereby acknowledged, the CWCB, the River District, the <br />Service, and Reclamation agree as follows: <br /> <br />TERMS AND CONDITIONS <br /> <br />I. DEFINITIONS <br /> <br />The defmitions of tenns set forth in Section I of the Reservoir Enlargement Agreement shall apply to those <br />tenus when used in this Acquisition Agreement. <br /> <br />II. CONVEYANCES <br />A. Peroetual Water Storal!e Soace Easement and Storal!e Water Ril!bt <br /> <br />. <br /> <br />1, After lltryment af the Reea'"eT}' PragFaHl OllIigatilln (as defined iR the Reservek Eftlargement ....greemem) lIRa <br />liflan eeHlflleaan af ellnstrnsaan sf the Blkhaaa Rasef\'air Enlargement, the River Distriet, in eanst,i1tatiBH with <br />Reelamatian ami the Serviee shall Be reallaDsiBle fer inilial~ IllaeiDg the water lH1aer the eanaitianal water <br />right deoreea in Cooe Na, 6 ()2CW1()(j Ie in flyer fish liabitat aDd river fIa'll HlllrntllilllnSe ODd eMllBeemem <br />lises, ana lisea iD furth_ee efthe Reee'lery PTagmm. After the water right for the Permanent Water Supply is <br />placed to beneficial use for the purposes of piscatorial and recreational use (including in-river fish habitat and <br />river flow maintenance and enhancement uses, and uses in furtherance of the Upper Colorado River Basin <br />Fishes Recovery Program) and the Recovery Program Obligation has been paid in full, the River District, after <br />consultation with the parties hereto shall submit the necessary pleadings in the Water Cowt for Division No.6 <br />in the name of the River District and prosecute the case to make absolute those conditional water storage rights. <br />t.fter saia 'mller haa BeBH Illaeea ta its mitial BeDafieial loise, the Rj'Jer Distriet shall file the neaeSSII!)' flleaElings <br />with the 'Hater CeW't !ms take alllleeessaT}' stells tEl malEe the eaDElitianal stllftlge water Fight aBsalllte. <br /> <br />2, Once the water right decreed in Case No. 6-02CWI06 has been decreed absolute for in-river fish habitat and <br />river flow maintenance and enhancement uses, and uses in furtherance of the Recovery Program, the River <br />District shall convey to CWCB and CWCB shall accept said absolute water right and a stonlge space easement, <br />both described as follows: <br /> <br />a, A 5,000 acre-foot perpetual water storage space easement behind the Elkhead Creek Dam and <br />within the Elkhead Creek Reservoir Enlargement area located in Sections 1,2,3,4,9, 10, 16, and 21, <br />Township 7 North, Range 89 West, 6th Principal Meridian, Moffat and Routt Counties, Colorado; together <br />with, <br /> <br />b. 5,000 acre-feet of the total 13,000 acre.feet eSllaitiBflllI water right decreed for storage in Elkhead <br />Creek Reservoir Enlargement with an appropriation date of October 16, 2002, as decreed in Case No. <br />02CW106, Water Division No.6, for piscatorial and recreational use (including in-river fish habitat and <br />river flow maintenance and enhancement uses, and uses in furtherance of the Upper Colorado River Basin <br />Endangered Fishes Recovery Program). <br /> <br />. <br /> <br />The parties agree that the interests conveyed in this paragraph II.A.2 may be modified by letter agreement, <br />signed by all parties (including changes in the relevant form deeds attached hereto) pursuant to the tenus of <br />paragraph II,B of the Reservoir Enlargement Agreement, <br /> <br />3, Said conveyance shall be by special warranty deeds, the forms of which are attached hereto as Exhibits E and <br />E. The CWCB will hold this water right and storage space easement in perpetuity, except as provided for <br />herein, for the benefit of, and at the direction of, the Recovery Program acting through Reclamation and the <br />Service, and pursuant to the tenns and conditions of this Acquisition Agreement. <br /> <br />4. The River District states, but does not in any way warrant, that it is, or will be upon completion of construction <br />of the Reservoir Enlargement, the sole owner of the real property described in paragraph II.A.2 and that no <br /> <br />4 <br />