1313 Sherman Street
Denver, CO 80203
P (303) 866-3441
F (303) 866-4474

John Hickenlooper, Governor
Robert Randall, DNR Executive Director
James Eklund, CWCB Director

TO:

Colorado Water Conservation Board Members

FROM:

Linda J. Bassi, Stream & Lake Protection Section
Michelle Garrison, Interstate, Federal & Water Information Section

DATE:

March 23, 2017

AGENDA ITEM: 23.

Ruedi Lease Renewal

Background:
After receiving Board approval at the May 2015 meeting, CWCB staff negotiated a short-term
lease with the Ute Water Conservancy District (“Ute Water”) to use a portion of the water
that Ute Water owns in Ruedi Reservoir (“Ruedi water”) for instream flow (“ISF”) use in the
15-Mile Reach of the Colorado River. The CWCB sought the leased water to supplement
existing ISF water rights and preserve/improve the natural environment of the four
endangered fish species present in the 15-Mile Reach of the Colorado River. The lease
allowed the CWCB to utilize 6,000 AF of Ruedi water, with a potential increase to 12,000 AF,
at a price of $7.20 per acre-foot. 9,000 AF of water was released from Ruedi Reservoir in
September and October 2015 at a total cost of $64,800.
The lease expired April 2016, and was renewed for one year with the same terms regarding
price and volumes. The entire 12,000 AF available under the lease was released from late
August through mid-October 2016 at a total cost of $86,400.
The release of leased water from Ruedi Reservoir resulted in higher flows in the 15-Mile Reach and
provided some operational flexibility for the USFWS and operators of other reservoirs that release
water in late summer to benefit the endangered fish habitat in the 15-Mile Reach. The released
water was allowed to pass through Orchard Mesa Irrigation District’s power plant on its way to the
15-Mile Reach, providing some additional local benefits.
The lease expires April 30, 2017, with an option to renew. Ute Water has expressed interest
in renewing the lease for one year at the current price of $7.20 per acre-foot. The lease
would again offer 6,000 AF with an optional increase up to 12,000 AF. Maximum cost to the
CWCB would be $86,400 if the full 12,000 AF were utilized. Over $348,000 is available in the
Species Conservation Trust Fund account for leasing of water for instream flow purposes.
Staff has notified local stakeholders of the possible renewal of the lease. Instead of holding a
separate public meeting regarding the lease as done in previous years, stakeholders have

Interstate Compact Compliance • Watershed Protection • Flood Planning & Mitigation • Stream & Lake Protection
Water Project Loans & Grants • Water Modeling • Conservation & Drought Planning • Water Supply Planning

 requested that CWCB staff participate in the Ruedi Reservoir Operations public meeting in
2017 to discuss renewal of this lease.
Staff recommendation: Staff recommends that the Board approve a one-year renewal of the
lease of Ruedi water from the Ute Water Conservancy District subject to the following
conditions:
1.

Staff will present at a public meeting, and receive and consider comments and
concerns regarding Ruedi Reservoir operations and the possible impacts of this lease.

2. Releases of Ruedi water under the Water Lease Agreement shall not cause the releases out of
Ruedi Reservoir to exceed 300 cfs and shall not cause flows in the Fryingpan River below
Ruedi Reservoir to exceed 350 cfs. Staff shall coordinate with the Bureau of Reclamation to
ensure that this condition is met.
3.

If CWCB and Ute Water desire to renew the Water Lease Agreement after this third year,
CWCB staff will notify local stakeholders of the potential renewal and seek input, and will
seek the Board’s approval for any lease renewal at a regularly scheduled CWCB meeting.

4.

CWCB staff shall consult and coordinate weekly with CPW staff on proposed releases to
minimize impacts to the fishery on the Fryingpan River below Ruedi Reservoir.