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$6M in civil penalties and ordered the City to get National Pollution Discharge Elimination System (NPDES) permits for man-made water conveyances supplying drinking water. For over 50 years, New York City has diverted water behind Schoharie Dam in New York's Catskill Mountains through the Shandaken Tunnel to Esopus Creek, which empties into Ashokan Reservoir. The water transfer supplies about 40 percent of New York's drinking water needs. In 2000, recreation groups, including Trout Unlimited, filed suit alleging the transfer of water without an NPDES permit violated the Clean Water Act as the tunnel discharged pollutants in the form of suspended solids, turbidity and heat, thus injuring the trout fishery in Esopus Creek. The district court agreed. New York City appea!ed~ As water transfers are essential to the survival of numerous western communities, several western states are concerned about the possible precedent this case could create. Attorneys General for the six states submitted an amicus briefin support of New York City. The Arizona Department of Water Resources and the Western Urban Water Coalition have filed motions for leave to join the brief, which states: ''Mandating the extension of the NPDES program to engineered transfers of water for beneficial use is a radical reinterpretation of a statute enacted for the opposite purpose, that is, to control the disposal of wastewater.... Extending the NPDES permitting program to engineered transfers would be legally unjustifiable and would contravene the clear instruction of Congress not to supersede, abrogate, or impair state water allocation authority. Permit requirements would largely duplicate existing state programs and impair individual state water allocations. Extending the NPDES program is unnecessary because states have more than adeqnate authority to regulate any water quality problems posed by engineered transfers." The brief argues that extending the NPDES program to engineered transfers could interfere with states' water allocation laws, the exercise of individual water rights, and compliance with interstate water compacts. The Association of Metropolitan Water Agencies, the Association of Metropolitan Sewerage Agencies, the South Florida Water Management District, the National Association of Flood and Stormwater Management Agencies and the Florida Association of Special Districts have also filed similar briefs. Statewide Non-reimbursable Status Report: We annually prepare and publish, as an attachment to the Director's Report, a summary of the non-reimbursable investment projects monitored by the Colorado Water Conservation Board staff during the Fiscal Year. This report allows us to demonstrate that we are closely monitoring and implementing the non-loan investments paid for with Construction Fund and Severance Tax Operational Fund revenues. Drought Update: The drought continues to be of concern throughout most of the state. The Water Availability Task Force met on June 15. At that time, the state's snowpack had almost completely melted out for the year and reservoir storage was averaging 85 percent statewide with the Gunnison, Yampa, and Dolores basins running near normal. The Rio Grande, Arkansas had reservoir levels below 50 percent of average. June streamflow forecasts were predicted to be below 50 percent of average in most parts of the state with the exception of portions of the Rio Grande basin (90-100 percent of average) and San Juan/Dolores basins (70-90 percent of average). Long-term weather forecasts were mixed as to how much precipitation and heat the summer months would bring, however, most of the experts felt the summer monsoon season would begin a week to two weeks ahead of schedule. The month of June showed above average precipitation and below average temperatures for much of Colorado, especially for the Front Range and Central eastern plains areas. The moisture in the latter part of June was especially beneficial in reducing wildfire danger and improving soil moisture levels. 6