**ADDENDUM**

**TO INTERIM RENEWAL CONTRACT PROPOSED ACTION/PROJECT DESCRIPTION**

**December 2003**

The contract amount for the City of Shasta Lake (City) under the new
interim renewal water contract in the environmental documentation being
prepared for interim renewal contracts will be corrected in the final
documents to reflect that their interim contract will be for 4,400
acre-feet/year rather then the 2,750 described previously.

Reclamation believes that this change in contract amount will have no
significant or demonstrable effects on the environment for the following
reasons:

\(1\) Although the contract amount is changing to 4,400 acre-feet
(ac-ft), the actual use of water within the

> CVP Service Area will not change significantly. Over the last 3 years
> the City has utilized the following quantities of water:

2000 - 2615 ac-ft

2001 - 2775 ac-ft

2002 - 2930 ac-ft

2003 - 3000 ac-ft (projected to date)

These figures represent an annual increase in use of about 4 ½ percent.
Amounts over the interim contract amount of 2,750 ac-ft have been
obtained via transfers of other CVP water. Absent the change in the
contract amount it is expected that over the next 2 years of the interim
contracts the City would continue to meet its needs via continued
transfers. Projected use for the next 2 years assuming a continuation of
an annual increase of 4 ½ percent would result in the following use of
CVP water:

2004 - 3,135 ac-ft

2005 - 3,276 ac-ft

Expressed as a diversion rate, this projected 2005 usage would be about
0.66 cfs greater than the amount allowed under the prior interim
contracts.

\(2\) There likely would be no adverse effect on listed terrestrial
species within the City's CVP Service Area because the City\'s CVP
Service Area lacks either designated critical habitat or known
occurrences of listed species, with the possible exception of valley
elderberry longhorn beetle (elderberries). Bald eagles occur along the
shores of Shasta Lake, 2-6 miles north of the City, but the City\'s CVP
Service Area does not provide good foraging habitat for bald eagles, so
bald eagles are to be expected, and, therefore, neither are affects on
bald eagles. There are 43 acres of vernal pools in the southeastern
portion of the Service Area, but none are classified as critical habitat
for the listed vernal pool species present or potentially present in
Shasta County. Hence, the presence of vernal pools poses no endangered
or threatened species issues, although vernal pools are habitat of
concern that are protected by State and Federal laws concerning
wetlands. Similarly, elderberries, if present would be expected to be in
locally exceptional area protected by wetlands laws because the
intermittent streams in the Service Area are mostly bordered by blue
oak/grey pine forests rather than the species, such as willows,
cottonwoods, and sycamores, that are indicative of wetlands.

\(3\) There would likely be no adverse effects on listed and other
aquatic species.

All diversions occur at Shasta Dam, which is upstream of the first
impassable barrier on the Sacramento River. Hence, entrainment of
juvenile salmonids is not an issue.

The flows in the Sacramento River would not be measurably altered
because the water involved is only 0.02% of the 3,000 cfs minimum
releases from Shasta/Keswick.

Flows in the small, intermittent drainages within the City\'s CVP
Service Area would not be altered with the probable exception of Newtown
Creek, an intermittent tributary of upper Churn Creek. Newtown Creek
receives effluent from the waste water treatment plant, but the
increment in its flow (\<0.66 cfs) would not be large enough to affect
the downstream reaches of Churn Creek which might contain steelhead or
juvenile Chinook.

Finally, the incremental amount of water under the contract would be
made available in full compliance with all applicable biological opinion
requirements currently in place, or will be in place during the period
of the interim contracts. From an operational standpoint this contract
amount represents no demonstrable change in CVP operation since
transfers of this magnitude between CVP contractors are a routine part
of CVP operations.

\(4\) In effect, this action will have no affect on the City\'s usage of
water.

In the short run it will merely allow the City to suspend the series of
temporary water transfers it has relied upon in recent years.

In the long run, this contract change will not affect growth because the
region\'s abundant groundwater resources give the local communities the
long term capability of developing lands without Reclamation\'s
involvement. The large reserves of groundwater in the Redding Basin,
where sustainable yields of 40,000 ac-ft are being incorporated into
water management plans, give the area\'s governments the ability to
proceed independently of Reclamation, and they are doing so, choosing
only to inform us of their growth plans as a courtesy.

\(5\) This action will not affect regional settlement/development
patterns although some such changes are foreseeable.

The rates of change have been modest in the City\'s CVP Service Area
during the past ten years, with the 1993/2000 land cover change data for
the City indicating a conversion of about 0.1% of the land area from
natural vegetation to urban uses. Of the 19 acres of the City\'s CVP
Service Area indicated as changing from natural to urban land cover, 11
acres went from woodland to urban use and 8 acres went from grassland to
urban use. However, these values may be low by several fold as they
apparently don\'t include the recent extension of Pine Grove Avenue from
I-5 to Lake Boulevard. Even so, they are not markedly off, and surely
are well below 1%.

Future rates of land conversion in the general area, however, may be
higher than the recent past would indicate because the City of Redding
plans to develop an area just south of the southeastern part of the City
of Shasta Lake\'s CVP Service Area as a \"big box\" commercial area.
This change, however, would be wholly independent of the City of Shasta
Lake\'s interim contract for the reasons previously noted and because
the water would be provided by the City of Redding.

Thus, while the land use changes will not be affected by the proposed
interim water service contract, as previously noted, it is probable that
urban development in the City\'s CVP Service Area may accelerate in the
next ten years. It is probable that some development will ensue in the
southeastern past of the City\'s CVP Service Area in response to the
City of Redding action and the access provide by the new Pine Grove
extension. If so, one would expect in-fill development between the
existing urban areas with impacts mainly on grassland, shrublands, and
blue-oak/grey pine woodland. Again, as noted above, any such changes in
the region will be able to occur independent of the proposed action.