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. . " Lower Colorado Water Supplv Proiect Progress in bring this Project to fruition is slow. The following provides a status of ongoing activities: New applications - Applications continue to trickle in, however, staff has not received any significant number of new applications. All remaining applications will be brought to the Board for its consideration when Project details are better defined. Pending applications - An application filed by Riverside County requesting 1,230 AF of water is still on hold pending resolution ofPVID lands on the Palo Verde Mesa. I reported at the February 2003, Board meeting that Riverside County's lands are inside PVID's service area and for it to receive Project water the lands need to be removed from PVID's service area. Approved applications - To date, the Board has made approval recommendations to Reclamation for 357 applicants for Project water, some of which have been waiting years to begin development of their property along the River. Two specific incidents have recently occurred in which Imperial and San Bernardino County Planning Departments have withheld planning approval until the developers can show they have an approved water contract. Blythe Energy - The Blythe Energy Project I (BEP I), with an annual consumptive use of 3,300 AF, has been considered a potential applicant to use Project water. There has been discussions with BEP [ representatives concerning the availability of Project water. Recently, I have received information that the owners of BEP I and PVID have discussed the possibility of receiving water from PVlD's entitlement. I do not have information on the details of those discussions; however, since participation ofBEP I in the Project has a bearing on implementation ofthe Project, the issue of water use by the BEP should be resolved as soon as possible. Should Blythe Energy apply for Project water, the same issue as with Riverside County related to Palo Mesa lands applies to BEP [ (i.e., it is within PVlD's service area). It has been suggested that the easiest and fastest solution is for Blythe Energy to request to be excluded from PVID's service area. Subcontract document - The subcontract document format which will be executed between Needles and the water users has been finalized and approved by Needles' City Council. It has been formally submitted to Reclamation for approval. Reclamation has forwarded it to the Solicitor's office for concurrence. When the subcontract is approved by Reclamation, Needles will be authorized to begin executing the subcontracts with applicants. It is anticipated that this may occur sometime in June of 2003. Advanced delivery concept - I reported at the February 2003 Board meeting that further studies have been conducted and more options bave been considered with new developments (Blythe Energy and consequently the need for developing Phase 2 of the Project). As soon as the Blythe Energy issue is resolved, a determination can be made on how much water is available for Advanced delivery and then the concept can be presented to the potential water users who may be interested in receiving advanced delivery water. The concept may loose its necessity and importance to the Project if Blythe Energy 8 ~.