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<br />. <br /> <br />. <br /> <br />. <br /> <br />secure a discharge permit, complete supplemental environmental compliance and take necessary <br />actions to implement the forbearance agreements that could offset the need to operate the YDP. <br /> <br />We have officially commented on the report and we will provide copies of Arizona's comment letter. <br />Board members may which to advise Colorado's congressional delegation on this matter during that <br />60-day waiting period. <br /> <br />Colorado River Reservoirs - 2003 Annual Operating Plan: The Secretary of Interior signed the <br />final 2003 AOP on Dec. 16, 2002 following consultation with the basin states and water users. <br /> <br />Repayment provisions for inadvertent overruns were added to the 2003 AOP by Interior. <br /> <br />The AOP clearly states that if California fails to implement the QSA by December 31,2002 that the <br />interim surplus provisions will be suspended until the QSA is completed. Subsequently, the Secretary <br />of Interior issued water orders to all parties indicating the reductions that will occur as a result of the <br />failure to complete the QSA. MWD, IID, and Nevada will have the consumptive use allowed under <br />their water orders reduced by 415,100 AP, 204,900 AP and 37,171 AP respectively. <br /> <br />A copy of the AOP is available on Reclamation's Upper Colorado Region Website at <br />htto:/ /www.uc.usbr.gov/wrg/aop. <br /> <br />As a result, lID filed suit asking a federal judge to block the decision of the Secretary. No decision on <br />this matter has been reached. However, California Governor Gray Davis has continued to press for a <br />QSA and a briefing with Assistant Interior Secretary Bennett Raley was held on March 12. <br /> <br />While state support to reduce California's use of Colorado River water to 4.4 MAP remains strong, <br />some states are questioning the Secretary's determinations concerning the beneficial use of water. In a <br />related matter, Nevada and California are seeking to withdraw nearly 90,000 AP from the Arizona <br />Water Bank. Arizona has indicated that they may not be able to accommodate such a large request. <br /> <br />Interim 602(a) Storage Guidelines: On Jan. 28 Reclamation gave notice in the Federal Register <br />soliciting public comments on the adoption of Interim 602(a) Storage Guidelines for the management <br />of the Colorado River and to initiate a National Environmental Policy Act process for implementing <br />those guidelines. These guidelines set a floor for 602(a) storage contents at 14.85 MAP (elevation <br />3630 in Lake Powell). If the level of Lake Powell falls below this value, there would be no <br />equalization of storage between Lakes Powell and Mead and the minimum objective release from Lake <br />Powell of 8.23 MAP would govern annual operations. This was part of the basin states proposal for <br />Interim Surplus Guidelines, but was excluded from that package because it did not deal specifically <br />with operations at Lake Mead and in the Lower Basin. We would like to see this process move <br />forward on the assumption that the Interim Surplus Guidelines will be operational at some point <br />between now and 2016. Comments are due March 14th. A copy of our comment letter is attached. <br /> <br />California QSA and Related Activities: Although California failed to reach agreement on the QSA <br />by the December 31,2002 deadline; they continue to work towards a QSA agreement. This situation <br />is changing constantly. The California water agencies recently asked the states to support re-instituting <br />the Interim Surplus Criteria as soon as a QSA can be completed. <br /> <br />The four issue areas that must be addressed before a QSA agreement is possible are: (1) Environmental <br />issues, particularly those surrounding the Salton Sea, (2) The San Diego County Water Authority must <br />obtain the ability to wheel the conserved water through the Colorado River Aqueduct, (3) the QSA <br />must receive the necessary approvals including approval from the State Water Resources Control <br />Board and the U.S. Bureau of Reclamation, and (4) lID must have conditional subscriptions of <br />interested landowners in place to collectively conserve 130,000 AP of water. Any agreement would <br />also cap lID's yearly allotment at 3.1 MAP. <br /> <br />The negotiating parties have asked the State of California to provide $350 million in funding to cover <br />potential environmental damages to the Salton Sea. Immediately below is the graph that helps us <br /> <br />23 <br />