BOARD02493

• Board Meeting Date: 11/19/2003
• Description: WSP Section - Species Conservation Trust Fund
• Board Meetings - Doc Type: Memo

Agenda Item 29, Native Species Trust Fund
November 19-21, 2003 Board Meeting
Page 2 of 3

We are uncertain at this time exactly how much remains in the SCTF and have requested that
DNR update that accounting for us. Following last years recommendations, there was
approximately $1.63 million in the SCTF Operations Account, which is used primarily by DOW to
address species of concern, and $2.96 million in the Capital Account, which is used to fund the
Recovery Programs and Cooperative Agreement. We understand that at least $1.0 million was
borrowed from the SCTF during reconciliation of last years state budget. However, we are unsure
from which account. We are also unsure of the interest earned on the respective accounts. We will
provide that information to you at the meeting, along with DOW recommendations. Regardless of
what the additional financial information shows, it is now clear that more funding is required if we
are to meet our cost share obligations (approximately $3.4 million for the Upper Colorado and San
Juan after this year, plus Platte River Cooperative Agreement cost share) and continue to provide
funding to address state listed species and species of concern.

Preliminary FY 2004-05 Recommended Programs

The recommendations for 2004-05 are currently being developed and will be reviewed with a
stakeholders group that DNR will convene on November 18, 2003. Thus, we will provide you a red
flagged agenda item outlining the program for 2004-05 at the November Board meeting. Listed
below is part of what we expect to recommend at this time.

1. Recovery Programs for the Endangered Fish of the Upper Colorado and San Juan River
Basins: $1,643,000 ($1,489,000 for the Colorado RIP and $154,000 for the San Juan RIP)

These two recovery programs are directed toward the recovery of the pike minnow, humpback
chub, bony tail chub, and razorback sucker in the Upper Colorado River and San Juan River basins
while allowing water development activities to proceed in accordance with state law and interstate
compacts. Recovery Program activities eligible for funding are drawn from the Colorado River
Recovery Implementation Program Recovery Action Plan (RIPRAP), the San Juan River Recovery
Implementation Program Workplan (Workplan) and state activities that are consistent with these
plans. These activities include:

. Removal of non-native fish from critical habitat and the development of new habitat such as
floodplain ponds;
. Landowner incentives to manage ponds for native species (e.g. through leases or short-term
payments);
. Stocking of native fish;
. Construction of fish ladders; and
. Screening and berming of ponds and canals to prevent fish escapement or entrapment.

Funding from the SCTF leverages additional funds available from Reclamation, the states of
Wyoming, Utah and New Mexico, and Federal power revenues pursuant to Public Law 106-392, the
Long-term Funding Legislation. These cost share funds may be provided to and managed for the
Recovery Programs by the National Fish and Wildlife Foundation.

Several major projects are scheduled this fiscal year, including fish passage at the old Price-
Stubb diversion and fish screening on the Redlands and Grand Valley Project. Also, plans for the
enlargement of the Elkhead Reservoir are becoming more defined. A portion (5,000 AF) of the
increased Elkhead storage will benefit the Upper Colorado Endangered Species Recovery Program.
Funding sources for the Elkhead enlargement include up to $8.75 million from the Upper Colorado
RIP. Colorado is seeking to provide a large portion of its cost share directly to the CRWCD for the

Flood Protection. Water Project Planning and Financing. Stream and Lake Protection
Water Supply Protection. Conservation Planning