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<br />. <br /> <br />. <br /> <br />. <br /> <br />CARLSON, HAMMOND & PADDOCK. L.L.C. <br /> <br />Board Members, CWCB <br />May 11,1998 <br />Page 3 <br /> <br />· On May 3, 1951, Pueblo acquired the Brisendine Ranch (about 1,100 acres) <br />for the purpose of securing the dam site for the Tennessee Creek Reservoir. <br />See Exhibit B. <br /> <br />· At the request of the Water Development Association of Southeastern <br />Colorado (the precursor agency of the Southeastern Colorado Water <br />Conservancy District) Pueblo postponed construction of the Tennessee Creek <br />Reservoir. Pueblo agreed to this postponement because it was believed that <br />completion of the Tennessee Creek Reservoir would jeopardize federal <br />approval and funding of the then-proposed Fryingpan-Arkansas Project. <br /> <br />· For several decades, Pueblo negotiated with the U.S. Bureau of Reclamation <br />to obtain firm storage space in Fryingpan-Arkansas Project facilities but has <br />been unable to obtain any such guarantee. During this period, Pueblo <br />maintained. and still maintains, its plans to construct the Tennessee Creek <br />Reservoir. <br /> <br />. <br /> <br />As part of its continuing plan to construct the Tennessee Creek Reservoir, <br />Pueblo acquired the Escondido Ranch (approximately 1,100 acres) on <br />November 14, 1997. The Escondido Ranch adjoins the Brisendine Ranch and <br />will be inundated in part by the reservoir. See Exhibit C. <br /> <br />· The Tennessee Creek Reservoir will store up to 35,000 acre-feet of water. <br />The reservoir will inundate approximately 1,280 acres of land at a high-water <br />elevation of approximately 9,850 feet above sea level. The proposed dam <br />will be approximately 58 feet in height and 2,650 feet in length. <br /> <br />· Pueblo plans to store a portion of its Ewing Ditch and Wurtz Ditch <br />transmountain water, together with native water, in Tennessee Creek <br />Reservoir. In addition, Pueblo may store other transmountain water and its <br />reusable return flows in Tennessee Creek Reservoir by exchange. This will <br />allow Pueblo to use its transmountain water rights in a more efficient manner. <br />In this regard, the Tennessee Creek Reservoir continues to be an integral <br />component of Pueblo's municipal water supply and storage system. <br /> <br />· The Tennessee Creek Reservoir will inundate about two miles of the proposed <br />instream flow reach. See Exhibit A. <br /> <br />. <br /> <br />Pueblo anticipates that it will operate the Tennessee Creek Reservoir in a <br />manner that will include recreational and wildlife amenities. This will <br />