BOARD01648

• Board Meeting Date: 7/20/2004
• Description: CWCB Director's Report
• Board Meetings - Doc Type: Memo

construction funds to assist with an update and enhancement ofirrigated acreage mapping along the
Arkansas mainstem.

Besides meeting modeling needs for Compact compliance determinations, this effort will provide a
basis for future Decision Support System implementation in the basin. Weare also using the
construction fund to cooperate with the USGS on a study of groundwater pumping measurement
methods (see the attached non-reimbursable memo).

With respect to the litigation account funds we have done the following in conjunction with DWR:

1. Entered into an Intergovernmental Agreement (IGA) with Colorado State University (CSU) in an
amount of $323,000 for three years of irrigation monitoring and weather station enhancements.

2. Begun processing Purchase Orders to retain engineering consultants to review modifications to
the HI Model and serve as expert witnesses in the next phase of the case in an amount of $ 100,000.

3. Begun developing a plan to have CSU bnild two Iysimeters at its Rocky Ford Research Farm.
Preliminary drawings have been prepared by our consultant at Texas A&M University who has
previously designed similar lysimeters at Bushland, TX, and will be reviewed by peer review team
convened by DWR and CSU. We are awaiting design revisions as a result of completion of that
review, and preparation offirm cost estimates to begin negotiating a funding agreement with CSU
covering installation and operation of the lysimeters. Hopefully, a final construction plan will be in
place by early fall, and the project will be operational at the start of the 2005 growing season.

Staffwill be closely monitoring progress and costs on these projects and will provide the Board with
periodic updates in the Director's Report. At Board members request more detailed information can be
presented under the regular agenda.

Arkansas Valley Conduit: In June, the U.S. Senate Committee on Environment and Public Works
voted to include an amendment to a water infrastructure bill introduced by Sen. Wayne Allard that
authorizes the expenditure of$85 million for creation of the Arkansas Valley Conduit Project, which
would provide funding for fiscal years 2005 through 2010. Sen. Allard believes he can secure
authorization for additional federal funding in other 2004 legislation.

Arkansas River Compact Administration: Details for the next meeting of the Operations Committee
set for this August are being developed. A tour of the basin for the federal representative, Robin
Jennison, as well as Compact Representatives, and state officials is also being proposed for August.

Water Cases Dismissed: On July 2 the District Court for Water Division No.2 Issued an order
dismissing the three Fort Lyons Canal Cases in their entirety.

This Board, the State and Division Engineers, and the Division of Wildlife were all parties to these
cases.

The Court granted the motion made by the Southeastern Colorado Water Conservation District,
seeking application of the anti-speculation to the change of water rights case. The Court held, in part:
"An applicant could easily circumvent the anti-speculation doctrine in the initial application by
securing a water right...[ and subsequently apply for a change for uses not included in the original
resume.] To permit the anti-speculation doctrine to be so easily manipulated... would play havoc with
. the adjudication processes that have served the State well. The proposed uses by Applicants are all-
inclusive and are such a deviation from the original right that they take on the characteristics of a new
water right. That being the case, all owners who might be injuriously affected have a right to be

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