Office of the Secretary

For Immediate Release: December 31, 1997

Contact: Paul Bledsoe (202) 208-6416

The Department of the Interior today issued a proposed rule that, if implemented, would increase the efficiency, flexibility and certainty in Colorado River management.

The proposed rule would establish the procedural framework under which entities such as State-authorized water banks in the Lower Division states of Arizona, Nevada and California could store unused portions of their Colorado River apportionment in another Lower Basin state for future use.

Under the proposed rule, when storage credits are redeemed, Colorado River water that would otherwise be supplied to a water user in a Storing State could be supplied from offstream storage in that State. The Storing State will reduce its Colorado River water use in accordance with the approved Interstate Storage Agreement. Then the Secretary, in accordance with the terms of Article II (B)(6) of the Supreme Court Decree of 1964, will make the Colorado River water available to the Consuming State.

“This rule will encourage voluntary interstate agreements among the Lower Division states, helping to satisfy regional demands,” said Interior Secretary Bruce Babbitt. “These agreements will foster prudent water management in the Lower Colorado River Basin and facilitate more efficient use of the limited Colorado River water resource, benefitting all Colorado River water users.”

Secretarial approval will be required for all interstate storage agreements. The Secretary would have 120 days to approve or disapprove an agreement, unless it was determined that additional time was necessary because the proposal involved significant environmental compliance activities or other issues. In reviewing proposed agreements, the Secretary would consider such factors as applicable laws and contracts, potential effects on contractors, other water entitlement holders, environmental impacts and effects on threatened and endangered species and other relevant factors.

The proposed rule is based on the understanding that this type of offstream storage is a beneficial consumptive use of Colorado River water. The rule is permissive in nature and is intended to encourage and facilitate these voluntary water transactions. Off-stream storage and transfer of storage credits has already occurred on a limited basis. This proposed rule will provide a standard set of procedures to be used in place of the ad hoc processes that have been used forprevious interstate water transactions.

If requested, the Bureau of Reclamation will hold public hearings on the proposed rule. The meetings would be held in Las Vegas, Nevada; Phoenix, Arizona and Ontario, California. Requests for public hearings will be accepted until Jan 30.

Copies of the proposed rule can be obtained by contacting Mr. Dale Ensminger, Lower Colorado Regional Office,

P.O. Box 61470, Boulder City, NV 89006-1470 or calling (702) 293-8659. Written comments on the proposed rule will be accepted until March 2.

A draft environmental assessment on this proposed rule is available for review also. Please contact Pat Green at (702) 293-8519 to request a copy. Comments will be accepted on the DEA until March 2. Comments can be mailed to the Bureau of Reclamation, Administrative Record, Lower Colorado Regional Office, P.O. Box 61470, Boulder City, NV 89006-1470; or, they may be submitted by e-mail to <[email protected]>.

- DOI -