BOARD01632

• Board Meeting Date: 9/13/2004
• Description: ISF Section - Proposed Water Right Acquisition - Elkhead Reservoir Enlargement
• Board Meetings - Doc Type: Memo

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Revised 9-1-04

Lease
Elkhead Reservoir Enlargement
Short-Term Water Supply

This LEASE is entered into this day of , 200--, by and
between the United States of America, Department of Interior, Fish and Wildlife Service
("Service") and Bureau of Reclamation ("Reclamation"), both acting through the
Secretary of Interior, pursuant to the Act to Authorize the Bureau of Reclamation to
Provide Cost Sharing for the Endangered Fish Recovery Implementation Programs for
the Upper Colorado and San Juan River Basins, (October 30, 2000,114 Stat. 1602,
Public Law 106-392 ), and acts amendatory thereof or supplementary thereto, and the
Colorado River Water Conservation District ("River District"), acting by and through its
Colorado River Water Projects Enterprise.

RECITALS

WHEREAS, the Recovery Implementation Program for Endangered Fish Species
in the Upper Colorado River Basin ("Recovery Program") dated September 29, 1987, is
implemented by a Cooperative Agreement, signed in January of 1988 by the Secretary of
the Department of the Interior, the Governors of the States of Colorado, Utah, and
Wyoming and the Administrator of the Western Area Power Administration. The
Recovery Program is a coalition of agencies and organizations. The goal of the Recovery
Program is to recover four species of endangered fish while allowing water development
to proceed consistent with state water law and in compliance with the federal Endangered
Species Act ("ESA") in the Upper Basin states of Colorado, Utah, and Wyoming; and

WHEREAS, Public Law 106-392, enacted on October 30, 2000, authorizes
Reclamation to, among other things, provide cost sharing for capital construction projects
under the Recovery Program. Public Law 106-392 also authorizes Reclamation to use
power revenues to provide up to $4 million per year to fund monitoring and research; and
operation, maintenance, and repair of capital project features associated with the
Recovery Program through the year 20 II. Furthermore the law provides for monitoring,
operation, maintenance and repair funding beyond 2011; and .

WHEREAS, the River District is a political subdivision of the State of Colorado
created and existing pursuant to its Organic Act, Section 37-46-101, et seq., C.R.S., and
other applicable Colorado law. The River District owns and conducts a business engaged
in water activities pursuant to the Water Activity Enterprise Act, Section 37-45.1-101, et
seq., C.R.S., in order to provide for the beneficial use of water within the District. The
River District's Board of Directors confirmed its authority to operate such a business by

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