Governor Polis Celebrates Major Win For Our Environment and Securing Colorado's Water Future

DENVER ~ Denver, CO - In a major victory for Colorado's water future, Governor Jared Polis announced today that the state has secured $40 million in federal funding to protect the Colorado River and its surrounding economy and environment. The funding, provided by the Bureau of Reclamation's "Bucket 2 Environment Drought Mitigation" program, will be used to purchase water rights associated with the Shoshone Power Plant.

Governor Polis expressed his excitement about the funding, stating that it will help combat the impacts of climate change and drought while preserving the health of Colorado's streams and rivers. He also thanked Congressmen Jeff Hurd and Joe Neguse, Senators Bennet and Hickenlooper, as well as other federal delegation members, state legislators, local leaders, and advocates for their tireless efforts in securing this funding. The governor believes that this investment will protect Colorado's natural resources, economy, and communities for generations to come.

The Shoshone water rights are some of the oldest on the Colorado River and have been providing steady flows for over 250 miles from the Continental Divide to the Utah border. These rights are crucial for sustaining agriculture, providing reliable water for ranchers and communities, and supporting the outdoor recreation economy.

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Dan Gibbs, Executive Director of the Colorado Department of Natural Resources, praised Colorado's commitment to protecting its natural resources and watershed health. He believes that this funding from the Bureau of Reclamation is a recognition of Colorado's efforts to restore and protect the Colorado River ecosystem, native species, and tributaries. Gibbs also emphasized that this is just one step in solidifying their commitment to protecting Colorado's environment and communities.

In December 2023, Xcel Energy and the Colorado River Water Conservation District reached an agreement to transfer ownership of the Shoshone Water Rights to the district for $99 million. In partnership with the state of Colorado, they plan to convert these rights to instream-flow purposes by 2027.

In November 2025, the Colorado Water Conservation Board voted to advance the acquisition of the Shoshone water rights, securing two water rights associated with the Shoshone Power Plant for permanent instream flow protection. This funding award is another crucial step towards finalizing this powerful tool that will support hydropower, environment, agriculture, and recreation while providing west slope water users with more certainty about their future water security.

The $40 million in federal funding secured by Governor Polis is a significant win for Colorado's water future and demonstrates the state's commitment to protecting its natural resources and communities. With this funding, Colorado can continue to lead in preserving its important natural resources, outdoor economy, and watershed health.

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