BOARD01957

• Board Meeting Date: 3/21/2006
• Description: CF Section - Fish and Wildlife Resources Fund - Colorado River Water Conservation District - Elkhead Reservoir Mitigation Plan Grant Request
• Board Meetings - Doc Type: Memo

STATE OF COLORADO

,
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Bill Owens, Governor
DEPARTMENT OF NATURAL RESOURCES

DIVISION OF WILDLIFE

AN EQUAL OPPORTUNITY EMPLOYER

Bruce McCloskey, Director
6060 Broadway
Denver, Colorado 80216
Telephone: [phone]

December 2, 2005

Mr. Rod Kuharich, Director
Colorado Water Conservation Board
1313 Sherman Street, Room 721
Denver, CO 80203

Re: Colorado River Water Conservation District's Application for a Water Resources Project
Mitigation Grant (C.R.S. 37-60-122.2) for the Enlargement of Elk head Reservoir.

Dear Mr. Kuharich:

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The Colorado Division of Wildlife (CDOW) and Colorado Wildlife Commission (Commission), as per
c.R.S. 37-60-122.2, have reviewed the Colorado River Water Conservation District's (District)
proposed Mitigation Plan and application for a Water Resources Project Mitigation Grant, relating to the
Elkhead Reservoir Enlargement Project. As you know, this enlargement project is a cooperative effort
between the District, the City of Craig and the Recovery Program for the Endangered Fish of the Upper
Colorado (Recovery Program). Funding for the enlargement ofElkhead Reservoir is being provided by
the District, which includes a loan from the Colorado Water Conservation Board (CWCB) Construction
Fund, the Recovery Program and the United States Bureau of Reclamation.

In addition, the District and the CDOW have entered into a Memorandum of Agreement, dated August
6,2003, granting the District the right to interfere with certain interests owned by the CDOW in order to
construct the enlargement of Elkhead Reservoir. This and other agreements that the District is party to,
will provide the District with title to the estimated additional storage space of 11,750 acre-feet, created
by the enlargement of Elkhead Reservoir.

Recoverv Proe:ram Backe:ronnd
The State of Colorado is a signatory to the Recovery Program, a coalition of agencies and organizations,
including the CDOW and CWCB, whose goal is to achieve recovery of four species of endangered fish,
Humpback chub (Gila cypha), Razorback sucker (Xyrauchen texanus), Bonytail chub (Gila elegans), and
Colorado pikeminnow (Ptychocheilus lucius), while allowing for water development to occur within the
State. The United States Fish and Wildlife Service (USFWS) has designated certain reaches of the
Yampa River as "critical habitat" for each of the four endangered fish species. The enlargement of
Elkhead Reservoir will provide water to a significant portion ofthis designated "critical habitat".

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The Recovery Program has determined the need to acquire 5,000 acre-feet of water on a permanent basis

(permanent water) and up to 2,000 acre-feet of water on a temporary basis (temporary water) to help

maintain critical habitat within the 140 mile reach of the Yampa River from its confluence of Elkhead

DEPARTMENT OF NATURAL RESOURCES, Russell George, Executive Director
WilDLIFE COMMISSION, Jeffrey Crawford, Chair. Tom Burke, Vice Chair. Ken Torres, Secretary
Members, Bernard Black. Rick Enstrom. Philip James. Claire O'Neal. Brad Phelps. Robert Shoemaker
Ex Officio Members, Russell George and Don Ament