S. 2754

Crystal Reservoir Conveyance Act

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Text of the bill

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Sec. 2. Conveyance of Federal land to Ouray, Colorado Changed · Sep 30

Where this section came from

  1. Sep 10, 2025 · Introduced in Senate Referred to Senate Committee on Energy and Natural Resources, Sep 10, 2025
  2. Sep 30, 2026 · Engrossed in Senate
What changed in the text

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(1) except as otherwise provided in this Act, all right, title, and interest of the United States in and to the Federal land; and (2) all right, title and interest of the United States in and to any water rights held for use on, appurtenant to, or otherwise associated with the Federal land, including the Full Moon Ditch and Reservoir Number 10 water rights described in the decree of the State of Colorado in Civil Action No. 1959, dated May 11, 1942. (c) Requirements. The conveyance under subsection (b) shall be — (1) made convey by fee quitclaim simple deed title to the Federal land ; (2) be subject to— (A) valid existing rights; (B) the reservation to the United States, in the deed conveying the Federal land, of easements for each road, trail, and trailhead in existence on the date of the conveyance, together with such additional rights as are reasonably necessary for access, administration, operation, maintenance, repair, and replacement of those improvements; and ( B C ) the reversionary interest described in subsection (e)( 3 4 ); and (3) except as provided in subsection (d)(2), be completed at no cost to the City.

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(A) to grant to the Secretary an easement for each trail and road in existence on the date of the conveyance that, as determined by the Secretary, originates at, terminates at, or traverses the Federal land; (B) effective beginning on the date of the conveyance, to assume responsibility for the costs of all repairs, operations, maintenance, replacement, rehabilitation, and maintenance regulatory of compliance for dam safety relating to Full Moon Dam and related infrastructure, including Full Moon Ditch and Reservoir Number 10; ( C B ) to maintain the Federal land in perpetuity as open space, to be held open— (i) for full public access for recreational activities, including fishing , except as reasonably necessary for public safety, resource protection, emergency response, or the operation, maintenance, repair, replacement, or rehabilitation of Full Moon Dam, Crystal Reservoir, or related infrastructure ; and

(ii) not subject to any fee for recreational access;

( D C ) not to conduct on the Federal land any development, commercial operations, or construction, other than for improved public access for recreational activities or as needed for the operation , maintenance, repair, replacement, rehabilitation, public safety, and maintenance regulatory compliance for dam safety of Full Moon Dam, Crystal Reservoir, and related infrastructure, including Full Moon Ditch and Reservoir Number 10; and ( E D ) not to expand the historical surface footprint of Crystal Reservoir at normal operating levels (as depicted on the Map) in a manner that would flood, impair, or harm any wetlands located upstream of the Federal land, subject to the condition that deepening Crystal Reservoir in a manner consistent with the water rights of the City shall otherwise be allowed. (2) Necessary action agreement. The conveyance under subsection (b) shall be made subject to terms agreed to by the Secretary and the City that authorize the City to take such action on the easements described in subsection (c)(2)(B) as the City determines is reasonable and necessary for— (A) public safety; (B) emergency response; or (C) the operation, maintenance, repair, replacement, or rehabilitation by the City of Full Moon Dam, Crystal Reservoir, or related infrastructure. (3) Other terms and conditions. The Consistent with this Act, the conveyance under subsection (b) shall be subject to such other terms and conditions as the Secretary determines to be appropriate. ( 3 4 ) Reversionary interest. (A) Written notice. If the Federal land conveyed under subsection (b) ceases to be used in accordance with the terms and conditions under this subsection the Secretary shall submit to the City written notice with respect to such use. (B) Reversion. After the 90-day period beginning on the date written notice is submitted to the City under subparagraph (A), if the Federal land conveyed under subsection (b) continues to be used in a manner not in accordance with the terms and conditions under this subsection during such period , the Federal land shall revert to the United States, at the discretion of the Secretary, if the Secretary determines that reversion is in the best interest of the United States. (f) Use Easement. of (1) Red In Mountain Ditch general . After the conveyance under subsection (b), the Secretary — (A) shall allow recognize the a structure perpetual located easement near for the Federal Red land Mountain commonly Ditch known for as use Red by Mountain the Ditch, City— located (i) near for Red the Mountain purposes Pass, relating to continue the to Ditch be specified used in by the City decrees for entitled all Case decreed No. purposes 1751–B under and Colorado Case water No. law 2013CW3040 for the State of Colorado , including the diversion and delivery of water (not to exceed 6 cubic feet per second) for storage in Crystal Reservoir . (g) and Water subsequent rights. beneficial use; and ( 1 ii ) In to general. access, Subject operate, to maintain, paragraph repair, (2), replace, the or City improve may the use Ditch Crystal and Reservoir its appurtenances for — (A) such storage purposes; of and water (B) and may in-reservoir require uses, temporary consistent special with use any authorizations water for rights; non-routine or maintenance (B) and releases repairs of water Red for Mountain augmentation Ditch and or other for beneficial the uses, replacement consistent or with improvement any of water the rights Ditch . (2) State Red water Mountain law Ditch defined . The In City this shall subsection, manage the all term water Red rights Mountain associated Ditch with means the Federal Ditch land known as Red Mountain Ditch constructed in accordance or with about applicable 1945 water located, laws as of the State date of Colorado. the (h) enactment Rule of construction. this Nothing Act, in on this lands section administered prohibits by the City San from Juan making National any Forest expenditure and for the repair Grand of Mesa, Full Uncompahgre, Moon and Dam Gunnison or National any Forest, other in feature Section of 14, the Township Federal 42 land North, before Range the 8 date West, of New Mexico Principal Meridian. (g) Water rights. After the conveyance under subsection (b), the City may use water in Crystal Reservoir for any beneficial use consistent with applicable water right decrees or temporary administrative approvals obtained by or for the City, subject to the applicable approval water laws of the Secretary State of Colorado . ( i h ) Map and legal description.

… 1 unchanged passage …

(2) Corrections. The Secretary and the City, by mutual agreement, may correct any minor clerical or typographical errors in the Map or legal description under paragraph (1).

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(a) Definitions. In this section:

(1) City. The term City means the City of Ouray, Colorado.

(2) Federal land. The term Federal land means—

(A) the site known as Crystal Reservoir in Ouray County, Colorado, including—

(i) the lake associated with that reservoir;

(ii) Full Moon Dam and associated facilities, including the spillway and outlet;

(iii) Full Moon Ditch and Reservoir Number 10; and

(iv) all infrastructure associated with the reservoir; and

(B) the parcel comprising approximately 45 acres of land underlying and surrounding Crystal Reservoir, as depicted on the Map, managed by the Forest Service as necessary for access for repair, operation, and maintenance of Crystal Reservoir and the features described in clauses (i) through (iv) of subparagraph (A).

(3) Map. The term Map means the map prepared by the Forest Service entitled Crystal Reservoir Conveyance and dated June 23, 2025.

(4) Secretary. The term Secretary means the Secretary of Agriculture, acting through the Chief of the Forest Service.

(b) Conveyance. As soon as practicable after the date of enactment of this Act, the Secretary shall convey to the City—

(1) except as otherwise provided in this Act, all right, title, and interest of the United States in and to the Federal land; and

(2) all right, title and interest of the United States in and to any water rights held for use on, appurtenant to, or otherwise associated with the Federal land, including the Full Moon Ditch and Reservoir Number 10 water rights described in the decree of the State of Colorado in Civil Action No. 1959, dated May 11, 1942.

(c) Requirements. The conveyance under subsection (b) shall—

(1) convey fee simple title to the Federal land;

(2) be subject to—

(A) valid existing rights;

(B) the reservation to the United States, in the deed conveying the Federal land, of easements for each road, trail, and trailhead in existence on the date of the conveyance, together with such additional rights as are reasonably necessary for access, administration, operation, maintenance, repair, and replacement of those improvements; and

(C) the reversionary interest described in subsection (e)(4); and

(3) except as provided in subsection (d)(2), be completed at no cost to the City.

(d) Costs

(1) In general. Except as provided in paragraph (2), the Secretary shall pay all costs associated with the conveyance under subsection (b).

(2) Survey. The City shall pay all costs associated with any surveys conducted for the purpose of accomplishing the conveyance under subsection (b).

(e) Terms and conditions

(1) In general. As a condition of the conveyance of the Federal land under subsection (b), the City shall agree—

(A) effective beginning on the date of the conveyance, to assume responsibility for the costs of all repairs, operations, maintenance, replacement, rehabilitation, and regulatory compliance for dam safety relating to Full Moon Dam and related infrastructure, including Full Moon Ditch and Reservoir Number 10;

(B) to maintain the Federal land in perpetuity as open space, to be held open—

(i) for public access for recreational activities, including fishing, except as reasonably necessary for public safety, resource protection, emergency response, or the operation, maintenance, repair, replacement, or rehabilitation of Full Moon Dam, Crystal Reservoir, or related infrastructure; and

(ii) not subject to any fee for recreational access;

(C) not to conduct on the Federal land any development, commercial operations, or construction, other than for improved public access for recreational activities or as needed for the operation, maintenance, repair, replacement, rehabilitation, public safety, and regulatory compliance for dam safety of Full Moon Dam, Crystal Reservoir, and related infrastructure, including Full Moon Ditch and Reservoir Number 10; and

(D) not to expand the surface footprint of Crystal Reservoir at normal operating levels (as depicted on the Map) in a manner that would flood, impair, or harm any wetlands located upstream of the Federal land, subject to the condition that deepening Crystal Reservoir in a manner consistent with the water rights of the City shall otherwise be allowed.

(2) Necessary action agreement. The conveyance under subsection (b) shall be made subject to terms agreed to by the Secretary and the City that authorize the City to take such action on the easements described in subsection (c)(2)(B) as the City determines is reasonable and necessary for—

(A) public safety;

(B) emergency response; or

(C) the operation, maintenance, repair, replacement, or rehabilitation by the City of Full Moon Dam, Crystal Reservoir, or related infrastructure.

(3) Other terms and conditions. Consistent with this Act, the conveyance under subsection (b) shall be subject to such other terms and conditions as the Secretary determines to be appropriate.

(4) Reversionary interest

(A) Written notice. If the Federal land conveyed under subsection (b) ceases to be used in accordance with the terms and conditions under this subsection the Secretary shall submit to the City written notice with respect to such use.

(B) Reversion. After the 90-day period beginning on the date written notice is submitted to the City under subparagraph (A), if the Federal land conveyed under subsection (b) continues to be used in a manner not in accordance with the terms and conditions under this subsection during such period, the Federal land shall revert to the United States, at the discretion of the Secretary, if the Secretary determines that reversion is in the best interest of the United States.

(f) Easement

(1) In general. After the conveyance under subsection (b), the Secretary—

(A) shall recognize a perpetual easement for the Red Mountain Ditch for use by the City—

(i) for the purposes relating to the Ditch specified in the decrees entitled Case No. 1751–B and Case No. 2013CW3040 for the State of Colorado, including the diversion and delivery of water (not to exceed 6 cubic feet per second) for storage in Crystal Reservoir and subsequent beneficial use; and

(ii) to access, operate, maintain, repair, replace, or improve the Ditch and its appurtenances for such purposes; and

(B) may require temporary special use authorizations for non-routine maintenance and repairs of Red Mountain Ditch or for the replacement or improvement of the Ditch.

(2) Red Mountain Ditch defined. In this subsection, the term Red Mountain Ditch means the Ditch known as Red Mountain Ditch constructed in or about 1945 located, as of the date of the enactment of this Act, on lands administered by the San Juan National Forest and the Grand Mesa, Uncompahgre, and Gunnison National Forest, in Section 14, Township 42 North, Range 8 West, New Mexico Principal Meridian.

(g) Water rights. After the conveyance under subsection (b), the City may use water in Crystal Reservoir for any beneficial use consistent with applicable water right decrees or temporary administrative approvals obtained by or for the City, subject to applicable water laws of the State of Colorado.

(h) Map and legal description

(1) In general. As soon as practicable after the date of enactment of this Act, the Secretary shall finalize the Map and a legal description of the Federal land to be conveyed under subsection (b).

(2) Corrections. The Secretary and the City, by mutual agreement, may correct any clerical or typographical errors in the Map or legal description under paragraph (1).

(3) Map on file. The Map and legal description under paragraph (1) shall be on file and available for public inspection in each appropriate office of the Forest Service.