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<br />. <br />(Y.l <br /> <br />... <br /> <br />~, GOVERNOR'S CENTRAL ARIZONA PROJECT ADVISORY COMMITTEE <br />en <br /> <br />.c <br /> <br />. <br /> <br />I. <br /> <br />. <br /> <br />I. <br /> <br />. <br /> <br />. <br /> <br />. <br /> <br />. <br /> <br />. <br /> <br />The state and CAWCD should aggressively study the potential benefits from <br />environmental, fish and wildlife use not only to produce benefits in the form of <br />natural resource enhancement, but also because such uses potentially reduce <br />repayment obligations on the Project. The acceptance of the $1.8 billion repayment <br />obligation may preclude allocation of these costs to non-reimbursable categories; <br />however, the cost of natural resources and environmental enhancements could be <br />used as offsets or credits against the repayment obligation under the Master <br />Repayment Contract. <br /> <br />. <br /> <br />An Environmental Trust Fund should be established as part of the Committee's <br />recommendations on CAP restructuring. Alternative funding sources should be <br />explored including among others, a surcharge on underground storage and recovery <br />projects using CAP water. The Fund should be administered by the Department of <br />Water Resources for the maintenance, enhancement and restoration of aquatic, <br />wetland and riparian habitats. It is recommended that initially not less than <br />$500,000 per year be generated to start the Fund and a plan should be developed <br />to increase the Fund to a level of not to exceed $8 million per year. <br /> <br />The Governor should appoint an advisory committee with appropriate representation <br />from environmental, business and water users organizations to advise the <br />Department of Water Resources on the management of the Fund. <br /> <br />In no event would existing revenue sources currently available to the CAWCD for <br />repayment and OM&R be used to fund the Trust Fund. <br /> <br />. <br /> <br />FINAL REPORT AND RECOMMENDA TIONS <br /> <br />31 <br />