2010-07-08_REVISION - M1977493 (5)

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EAGLE PARK RESERVOIR The Eagle Park Reservoir is located in Eagle County, Colorado at an elevation of 10,700 feet, approximately three miles northwest of the summit of Fremont Pass. The reservoir was constructed on a tributary to the East Fork of the Eagle River at the headwaters of the Eagle River basin. The reservoir is located on private property that is completely surrounded by the Climax Mine property boundary. The property comprising the reservoir is surrounded by the existing "affected land" boundary for the mine, as well as the expanded boundary requested in the proposed amendment. The reservoir is managed in order to provide a dry-year yield for the shareholders of the Reservoir Company and fills under a number of water right decrees. The reservoir is the primary source of in-basin augmentation water for the Reservoir Company shareholders and water users in the Eagle River basin. The Reservoir Company shareholders include the Board of County Commissioners of Eagle County, the Colorado River Water Conservation District, the Eagle River Water and Sanitation District, the Upper Eagle Regional Water Authority and Vail Associates, Inc. The Colorado River Water Conservation District is a public water policy agency chartered by the Colorado General Assembly in 1937 to be "the appropriate agency for the conservation, use and development of the water resources of the Colorado River and its principal tributaries in Colorado." The Colorado River Water Conservation District is comprised of 15 West Slope counties in which a majority of the Colorado River Basin in the State of Colorado exists. The Eagle River Water and Sanitation District and Upper Eagle Regional Water Authority comprise the second largest municipal water provider on the West Slope, serving up to approximately 60,000 customers in Eagle County, with a service area that extends from the Town of Vail to Wolcott. Vail Associates, Inc., is a wholly owned subsidiary of Vail Resorts, Inc. which, in turn, owns and operates the Vail, Beaver Creek and Arrowhead ski areas and related resort properties in Eagle County. Collectively, these shareholders represent the major water users and water providers in Eagle County. Eagle Park Reservoir was decreed by the District Court in Water Division No. 5 in Case Nos. 92CW340 and 93CW301, for a combined total decreed capacity of 27,600 acre feet. The original reservoir was constructed with a capacity of 3,148 acre-feet, and was enlarged to 3,301 acre-feet in 2008. The sources of water for the reservoir include the East Fork of the Eagle River, including runoff from the area above the reservoir, and water from the Ten Mile Creek drainage, a tributary of the Blue River. All of the sources for the reservoir originate in and/or traverse the Climax Mine property. The specific ditches that are decreed to supply Eagle Park Reservoir and flow through the Climax property are as follows: (1) The East Fork Interceptor Ditch, which has a capacity of 48 cfs and diverts from unnamed tributaries of the East Fork of the Eagle River. 39407 2