Board of Directors Meeting Summary Page 1 July 2017

Every July quarterly Board meeting, the Colorado River District honors Directors who have rotated off the Board. At left, General Manager Eric Kuhn and current Board President Tom Alvey of Delta County present citations to for- mer Board President Jon Stavney of Eagle County. At right, President Alvey honors John Justman of Mesa County for his service. The annual honors are accorded during an after-meeting picnic on the grounds of the Colorado River District offices along the Colorado River in Glenwood Springs. Colorado River District’s Annual Water Seminar set for Friday, September 15th The Colorado River District’s popular one-day Annual contingency planning to reduce Lower Basin water use. Water Seminar is scheduled for Friday, Sept. 15th from Bill Hasencamp, Manager of Colorado River Resources 9:00 am to 3:30 pm at Two Rivers Convention Center, 159 for the Metropolitan Water District of Southern California, Main Street, Grand Junction, Colorado. will bring the California and Lower Basin perspective to The theme is: “Points of No Return.” The cost, which the knot of issues, such as the Salton Sea, that bedevil includes buffet lunch, is $30 if pre-registered by Friday, how the Lower Basin will address declining water levels at Sept. 8th; $40 at the door. Cost for students is $10. The Lake Mead. cost is kept low in order to encourage as much public Yet another “Point of No Return” to be examined is the participation as possible for the District’s signature water concept of filling Lake Mead first at the expense of Lake education event. Powell. Offering a critical analysis of that concept will be “Points of No Return” address several swirling Colo- Utah State University Professor Jack Schmidt. “Fill Mead rado River challenges, not the least being the emerging First” proposes draining Lake Powell in a three-stage pro- understanding about how agricultural irrigation efficiency cess and storing most Colorado River water in Lake Mead, can result in unintended consequences to other water 300 miles downstream. users, groundwater levels, late season streamflows and The invited keynote speaker is Mike Connor, the the environment. Speakers include Colorado River former Reclamation Commissioner who was later District Board member Bill Trampe, Southwest Water appointed the Deputy Secretary for the Department of Conservation District Board member Don Schwindt and the Interior in the Obama administration, the second River District Deputy Chief Engineer Dave Kanzer. ranking official. Another “Point of No Return” deals with the fate of the To register contact Meredith at [email protected] or Salton Sea in California and how its declining levels and 970-945- 8522. For more seminar information visit: environmental problems jeopardize basinwide drought www.ColoradoRiverDistrict.org. Board of Directors Meeting Summary Page 2 July 2017 Powell inflow up; changes coming to Reclamation Lake Powell serves as the Upper Basin states’ savings ac- count by which it meets Colorado River Compact obligations to the Lower Basin states -- through snowmelt years good and bad. Most of the last 17 years have been lean and the reservoir will be roughly at 50 percent of capacity after water is Eric Kuhn and CFWE Board members Greg delivered to the Lower Basin. Hobbs and Eric Hecox at the award presentation. General Manager Eric Kuhn told the Colorado River District At right, General Manager Eric Kuhn. Board that despite the fall-off from record snows in mid-winter, the Colorado River’s spring runoff into Powell for the April to CFWE fetes Kuhn with July period will still be a healthy 8.3 million acre-feet (maf) or about 115 percent of average (7.16 maf). Releases from Lake Powell this year and next will therefore Leadership Award be 9 maf to the Lower Basin and Lake Mead. Despite the Colorado River District General Manager Eric Kuhn was above-average runoff, it still fell short of triggering larger honored by hundreds of water professionals as part of the Colo- releases to Lake Mead under “equalization” criteria set in the rado Foundation for Water Education (CFWE) annual President's 2007 Interim Guidelines Agreement among the states to Reception in Denver this past May. better manage levels between the two reservoirs. He received the Diane Hoppe Leadership Award that recog- Lake Mead has been hovering around the 1,070’-1,080’ nized his “body of work in the field of water resources benefiting range in elevation, or about 38 percent full. That is low the Colorado public; a reputation among peers; and a com- enough to meet the criteria for the 9.0 maf releases from Lake mitment to balanced and accurate information, among other Powell. Usual releases are 8.23 maf. qualities.” The Bureau of Reclamation’s July water supply forecast Longtime friend and associate, Jim Lochhead, CEO and Man- shows there is about a 50/50 chance that the Lower Basin will ager of Denver Water, called Kuhn “one of the most influential see a “tier 1” shortage in 2019, but Kuhn said he believes the persons in the Colorado River Basin” as he presented the award. risk is lower, thanks to last winter’s good precipitation in Lochhead detailed Kuhn’s accomplishments, especially noting his California. That will allow the Metropolitan Water District of key leadership on the Colorado River Cooperative Agreement Southern California to put virtually every drop of water it can and Windy Gap Firming agreements that protect the West Slope divert from the Colorado River system into its storage reserves. while providing water-supply certainty for Front Range This combined with a general reduction in consumptive use in municipalities. the Lower Basin will keep Lake Mead levels above the Kuhn is in his 36th year of work at the Colorado River District 1,075’ (on December 31st) tier 1 shortage trigger. and is slated to retire in early 2018. Article by Justice Greg Kuhn also reported that President Trump intends to nomi- Hobbs: http://bit.ly/2vOjLlE nate Brenda Burman as the next Commissioner of the Bureau of Reclamation (Reclamation), a key position for the Southwest because of Reclamation’s many federal water projects. Kuhn revenues through power and municipal water sales. Plus they praised the choice for Burman’s wealth of experience in the have strong political constituents. On the other hand, the Colorado River basin. Her most recent job was Director of smaller irrigation projects (which was the primary purpose of Water Strategies for the Salt River Project. She previously the Reclamation Act in 1902) are hurting, he said. worked for the Department of the Interior and The Nature An example is the Paonia Project in the North Fork (and Conservancy. many more on the West Slope). These projects are small and Kuhn said Burman will have a daunting job as Reclamation rural. They are important to the local economies, but the ben- faces challenges with aging infrastructure, a huge backlog of eficiaries can’t afford and don’t have the political power to find deferred maintenance and many in a talented workforce the resources to maintain and rebuild the projects. The River nearing retirement. He added that Reclamation’s big projects District is working with Paonia Project entities to help work on such as the Hoover Dam and Glen Canyon Dam benefit by its aging dam. See details on the next page. Board of Directors Meeting Summary Page 3 July 2017 Work set to begin on 3 Lower Gunnison Projects Modernization and repair work on and the Crawford focus areas will three water projects should begin this begin in the fall of 2018. fall under the Colorado River District’s In addition to the off-farm improve- Lower Gunnison Project (LGP), Deputy ments, the LGP also targets and is Chief Engineer and Water Dave Kanzer funding almost $1.6 million of on-farm Resources Specialist Sonja Chavez irrigation improvements. reported to the Board of Directors. The River District is managing $8 Chavez reported that 14 applica- million in Regional Conservation tions were received, and eight se- Partnership Program (RCPP) funding lected on-farm irrigation-efficiency as an agent of the U.S. Natural Re- projects are set to begin planning and sources Conservation Service (NRCS). preliminary design to date. Up to 14 This funding will leverage up to $50 more may be funded in the near million in irrigation modernization future. and improvement projects in the Construction implementation of on- Lower Gunnison Basin. farm efficiency projects, including the Work on three water-use efficiency funding of sprinklers, drip systems and projects is expected to begin after the soil health improvements will follow required Environmental Assessment is next year. finalized, clearing the way for the use Board President Tom Alvey, an of federal funds that were originally orchardist in the North Fork Valley, appropriated by the U.S. Congress in complimented Kanzer and Chavez the 2014 Farm Bill. “on their work to get farmers in the Water flows over the Paonia Reservoir Work in the Lower Gunnison this right place to take advantage of outlet during spring runoff. The dam at the fall includes: these programs.” reservoir will be the subject of work to — The Fire Mountain Canal Recon- relieve silting issues in the outlet works figuration Project near Hotchkiss, in below the dam. the North Fork of the Gunnison River Progress reported focus area, cooperatively funded with on Paonia Reservoir repairs U.S. Bureau of Reclamation Salinity Paonia Dam and Reservoir, a Bu- cost of $3 million. Work at Paonia Program and Colorado Water Conser- reau of Reclamation facility built in Reservoir is being funded from power vation Board (CWCB) planning funds. the 1960s in the upper North Fork Val- revenues generated by hydro-electric The total cost is about $4.6 million; ley, received approval for initial work dams that are part of the Colorado — The Phase I West Lateral piping to improve the dam outlet system to River Storage Project, such as those at project in the Bostwick Park Water address long-term silting problems the Aspinall Unit and Glen Canyon. Conservancy District, estimated to and to remove a damaged and inoper- Paonia Reservoir is the chief water cost approximately $620,000, solely able concrete bulkhead. funded by RCPP, but supported with supply for agriculture in the North The Colorado River District’s CWCB technical assistance; and, Fork Valley. Deputy Chief Engineer, , —The design and implementation Dave Kanzer told the Board of Directors that a U.S. Kanzer said the reservoir has sur- of an improved intake/headgate struc- Army Corps of Engineers permit for vived beyond its design life and that ture, 1,000 feet of piping and SCADA the first phase of the work is a prelude the contemplated work is one of the for the Needle Rock Ditch Company, to a longer-term project to relieve the more significant aging-infrastructure near Crawford, estimated to cost reservoir of silting problems. issues facing the Colorado River Dis- about $380,000, cooperatively funded trict and its agricultural constituents. by CWCB and RCPP. He said an Environmental Assess- One of the River District’s goals in its Other major LGP construction ment study is just beginning on the strategic plan is to sustain irrigated projects in the Uncompahgre Valley long-term solution with an estimated agriculture. Board of Directors Meeting Summary Page 4 July 2017 Gunnison selenium project bests projections A long-term project to reduce selenium concentrations in waters of the Gunnison River is years ahead of projected success rates. The Colorado River District’s Deputy Chief Engineer, Dave Kanzer, told the Board of Directors “we are very close to being in compliance with existing water quality standards for selenium, a full 5-10 years ahead of projections.” For the last two decades, the River District has played a leadership role in the Gunnison and Grand Valley Selenium Task Forces and was instrumental in creating the Selenium Management Program in the Lower Gunnison Basin. Selenium is a naturally occurring element that is important for life in small concentrations. However, in larger con- centrations, it degrades water quality and threatens wildlife. If all goes well, “we may get the Gun- nison River off the impairment list for Ditch piping in the Gunnison Basin is one tool employed to reduce selenium loading selenium in the next five years,” Kanzer from making its way to the Gunnison River system. said. “In fact, over the last two years the river has not exceeded existing selenium In response, a stakeholder group has the issue is primarily related to irrigation standards. The ‘target’ may be coming been convened under the leadership of percolation and runoff, the point-source off the Gunnison River.” the Grand Valley Drainage District and its dischargers are implicated under the The focus is shifting now to the north consultants to create a watershed plan. Clean Water Act, Kanzer said. side of the Colorado River in the Grand Additional data collection and analysis In addition to selenium, water quality Valley, he added. is necessary to reduce uncertainty and to issues include iron loading and bacterial Recently, the Colorado Water Quality reduce risk to water users, especially to counts. Kanzer said the River District will Control Division started a process to those that have point-source discharge support efforts of data collection and develop a total maximum daily load for permits (e.g., storm water management coalition building as part of developing a the tributaries north of the Colorado River entities, sand and gravel interests, watershed plan. between Palisade and Loma. waste-water treatment plants). Although River District electronic media show increased viewing by public Public Affairs Specialist Martha Moore updated the Board of increased by almost 200%. Directors on several successful outreach endeavors to expand Increased engagement helped boost attendance at 2017 State engagement with the public though the Colorado River District’s of the River public meetings that the River District coordinates website and associated social media. each spring. A few notable stats from the website and one social media account over the first three months of 2017 from the most • Website: www.ColoradoRiverDistrict.org recent three months of April-June are: website unique visitors increased by 17%; website pages viewed increased by 18%; • Twitter: https://twitter.com/coloradowater Twitter, “impressions” (number of users seeing our Tweets) Glen Canyon Dam forms Lake Powell where critical runoff during April to July 2016 is projected to be 94 percent of average for that period.

Board of Directors Meeting Summary Page 5 July 2017 2017 state legislative session reviewed by Board The Colorado General Assembly species and roundtable projects’ Supply Project water storage project. adjourned just shy of its May 10 mid- grant funds. These would have Northern Water plans on seeking night deadline for its 120-day session. otherwise been zeroed out because legislation again in 2018. This may A preponderance of Colorado River of dramatically declining severance represent an opportunity to combine District staff time was dedicated to HB tax and mineral lease revenues (Tier II our St. Jude’s interests with Northern 17-1190, addressing portions of the funding). Water’s. Colorado Supreme Court’s ruling in the The Colorado Water Conservation • Funding for water projects and St. Jude’s case, External Affairs Man- Board (CWCB) was also successful in programs generally will continue to be ager reported. Although securing approval through HB 17-1248 Chris Treese an annual battle. Tier II funded a version of HB 17-1190 passed and for a record amount of authorized programs (e.g., aquatic nuisance has been signed into law, the final spending, including $40 million for species (ANS), Native Species Trust version was far from an unqualified Colorado’s Water Plan-related funding. Fund, roundtable program and proj- success. The Legislature approved expanding ect funding) will be a challenge and a As anticipated, the Senate whittled and extending the current alternative priority. With this year’s failure of a the bill down to just affirming the transfer method (ATM) pilot programs broad Parks and Wildlife fee bill (HB validity of existing water decrees (HB 17-1219) that explore fallowing 17-1321), ANS will likely have its own issued prior to the Court’s ruling that and water leasing, alternatives to buy- targeted legislation next year. included recreational, piscatorial, and and-dry of irrigated farm lands. aesthetic uses. And in the name of increased • Any discussion of water project The new Act protects both con- operational flexibility, the General funding, which may include new, ditional and absolute decrees but Assembly also provided additional dedicated sources of revenue, must provides no guidance regarding a path flexibility in storage locations for water compete with transportation funding forward for new decrees for these for which the historical consumptive initiatives and others. Nevertheless, purposes. The District was successful use has already been decreed so long there are serious discussions under- in reaching compromise language that as there is not a change in location of way advocating for a “bottle tax” or at least does not prejudice future fil- the existing diversion HB 17-1233. The other dedicated revenue stream for ings, if any, by public entities for public River District supported both bills. water-related projects and programs. purposes for recreational and Any such initiative would, of course, piscatorial uses. Treese also reminded Directors of require voter approval under TABOR. The final compromise on St. Jude’s two new state hires in the water • Seaplane advocates have prom- legislation included a commitment to world. Kevin Rein is the new State ised to return next year seeking legis- consider future legislation addressing Engineer, succeeding Dick Wolfe lative authorization to land seaplanes new water rights filings as well as who retired July 1. on state reservoirs and lakes. existing releases from storage for Additionally, the CWCB promoted • Several proposals are floating recreational and piscatorial purposes. Becky Mitchell to Executive Director, Such legislation may be critical to succeeding James Eklund. Treese about addressing land use and water releases made from West Slope stressed his admiration for both hires. supply planning, including a repeat of reservoirs for endangered fish the defeated HB 17-1364 from this recovery and the River District’s year. discretionary releases from Wolford 2018 Legislation on the radar: • The Water Quality and Quantity Mountain Reservoir for environmental • The Northern Colorado Water Committee of the Northwest Colorado and recreational benefit to the District. Conservancy District (Northern Water) Council of Governments is consider- Treese highlighted other legislative was unsuccessful in passing SB 17-228, ing legislation to codify some or all of water matters of particular which they need to fulfill their the “Seven Principles” for new water importance. The 2018 state budget mitigation requirements on the Poudre development included in Colorado’s included funds for aquatic nuisance River for the Northern Integrated Water Plan. Board of Directors Meeting Summary Page 6 July 2017 Board supports Tipton bill on water rights protection The Colorado River District Board invited public comments on regula- energy conservation rebates for tax of Directors voted unanimously to tions requiring revision, deletion or purposes and remove the burdensome support Congressman Tipton’s Water strengthening. requirement for rebating entities to Rights Protection Act (H.R. 2939). The River District has been working issue Form 1099s to each and every Mr. Tipton’s office worked closely with national organizations on com- recipient of conservation rebate incen- with the River District staff again this ments to the 2015 “Waters of the U.S.” tive payments. year to address concerns about early (WOTUS) rule. draft language that appeared to preju- Congressman Gibbs (R-OH) intro- dice federal bypass flow authorities. The overall focus of recent com- duced H.R. 953 to remove the dupli- The resolution introduced language ments remain the same as during the cative permitting requirements for that, once again this Congress, neither rulemaking, but stress a few points: pesticide applicators that resulted from favors nor precludes arguments on seeking clear exemptions for most the U.S. Supreme Court’s ruling in the either side on the contentious issue of manmade conveyance features with National Cotton Council case. H.R. 953 bypass flows. the exception of “on stream” storage would remove regulation under the In western Colorado, some trans- and stressing that the Clean Water Act Clean Water Act and the associated risk mountain diversion project permits is aimed at water quality protections of citizens’ suits. specify bypass flows that protect not regulating habitat or land use. The River District has supported sim- head-water streams from complete ilar legislation for the past three Con- Comments also call for delineating dry-up. Bypass flows, however, are gresses. Pesticide application would differences in the geology, contentious as when they were still be subject to the requirements of precipitation and geography of the contemplated in federal rulemaking the Federal Insecticide, Fungicide and arid West. for ski area permits, the issue that Rodenticide Act (FIFRA). prompted Mr. Tipton’s legislation, or Treese then underscored for the Congressman McClintock (R-CA) when newly imposed on permit re- Board several bills of importance de- introduced H.R. 1654 establishing the issuance for existing projects. River serving its attention and staff resourc- Bureau of Reclamation as the lead District Directors were careful to es. Separate House and Senate ver- agency for coordinating all reviews, note their support for the introduced sions of a “Water Conservation Rebate analyses, opinions, statements, per- House version of the bill and not the Tax Parity Act” have been introduced. mits, licenses or other approvals of companion Senate bill that does not These bills would allow consumer “qualifying” (most) reservoir projects. so carefully balance the competing rebates for water conservation or Congressman Tipton is a co-sponsor. perspectives on bypass flows. stormwater management to be exclud- Senator Barasso (R-WY) introduced Chris Treese, External Affairs ed from taxable income. H.R. 1654, the companion Senate bill. Manager, then highlighted several This legislation would treat water The full House passed H.R. 1654 on a other federal activities and issues. conservation rebates the same as vote of 233-180. Treese voiced an enthusiastic en- dorsement of the President’s nomi- nation of David Bernhardt as Deputy Secretary of the U.S. Department of Clean financial audit given to Board the Interior and Brenda Burman as the Burke reported the audit firm “did new Commissioner of the U.S. Bureau James Burke, manager for the Colorado River District financial audit, not note any internal control items of Reclamation. Both nominees are of the firm RSM US LLP, presented the that would be considered a material well known to the River District; the 2016 results to the Colorado River weakness,” and that River District District has written letters of endorse- District Board of Directors. management has a “done a great job ment for each and both promise pos- He reported that “we have ren- with segregation of duties.” itive working relations with the River dered an unmodified clean opinion, The financial documents may be District and western water users. which is the highest level of opinion viewed at: http://bit.ly/2wIX1B0 As previously reported to the Board, that an auditor can give with regard the Environmental Protection Agency to reviews of financial statements.” Board of Directors Meeting Summary Page 7 July 2017 Board adopts policies on infrastructure, state funding role The Colorado River District Board of Direc- tors readopted it policy concerning support for federal and state programs that fund and encourage investment in capital, maintenance and upgrade of Colorado’s aging water infra- structure. The Aging Infrastructure policy recognizes that water supply and delivery infrastructure provide Colorado with essential water supply for agriculture, drinking water, recreational opportunities, power generation and more. This infrastructure is often an important component of flood control. Many of these systems, including those within the River District, were built 50 to 100 years ago and require increasing resources for maintenance, repair or replacement. Also reviewed and adopted by the Board was a new policy: “State Funding: Water Proj- ects.” This policy reiterates the River District’s position that the state has an important role and responsibility in water planning, protec- tion and assisting water development. Further, this role should include financial assistance to project proponents, especially in light of the fact that historical sources of funding for water programs and projects from annual severance tax and federal mineral leasing revenues have, in recent years, become unreliable. More on these and other policies adopted by the Colorado River District are available for review by visiting: www.coloradoriverdistrict.org/policies/

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