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Congress to consider Crystal Reservoir transfer
In this file photo from 2019, Colorado Parks and Wildlife Senior Aquatic Biologist Eric Gardunio stands in Crystal Reservoir after releasing a cutthroat trout he caught as part of an experiment to see if flashing lights could encourage fish to stay in the reservoir. In spring 2024, the U.S. Forest Service drained the reservoir, citing concerns about dam safety and liability.   Erin McIntyre — Ouray County Plaindealer
Main, News
By By Erin McIntyre and Lia Salvatierra erin@ouraynews.com lia@ouraynews.com on September 10, 2025
Congress to consider Crystal Reservoir transfer
Bill co-sponsored by Bennet, Hickenlooper introduced today

A bill to transfer ownership of Crystal Reservoir from the U.S. Forest Service to the city of Ouray was introduced in the U.S. Senate on Wednesday, giving hope to supporters of re-filling the reservoir that has remained stagnant since it was drained.

The effort to move the reservoir into local ownership comes almost 1 1/2 years after the Forest Service decided to empty it, leaving the reservoir unusable for water storage, recreation and fishing.

The bill, co-sponsored by Democratic senators Michael Bennet and John Hickenlooper, would cede not only Crystal Reservoir but also about 45 acres of land around the reservoir, as well as the dam and the associated water rights to the city of Ouray, at no cost.

According to the bill, the city agrees to pay costs for surveys associated with the transfer and to assume the responsibility of all costs related to the repairs, operations and maintenance of the dam. The city will also “maintain the federal land in perpetuity as open space, to be held open … for full public access for recreational activities, including fishing; and not subject to any fee for recreational access.”

The bill also bans development or commercial operations from the property.

In a prepared press release, the legislators said they wanted to protect water supplies and other resources, calling the bill “common-sense legislation” and specifically citing concerns about restoring the reservoir to boost outdoor recreation and provide water resources for firefighting and hedge against drought.

Those who have rallied to save Crystal Reservoir and transfer it to local control praised the introduction of the bill, thanking the co-sponsors for their work getting the proposal this far.

“I’m encouraged by the progress, but I don’t feel like this is a sure thing,” said Ouray Mayor Ethan Funk. “It’s still got a long ways to go, and it’s got the scariest part of a long ways to go, which is Washington, D.C.”

The bill comes almost a year after local officials first requested congressional help with the issue. Both Bennet and Hickenlooper have visited Ouray and heard concerns from local officials and constituents who asked for help after the reservoir was drained.

Officials have also asked U.S. Rep. Jeff Hurd, R-Grand Junction, for assistance, but he has not yet agreed to do so.

That’s something his constituents hope will change soon.

“I think the key now is to get Hurd on board. That’s going to be hugely helpful if it’s going to be a bipartisan project, which it has to be,” Funk told the Plaindealer on Wednesday.

If the congressional transfer doesn’t succeed, there’s the option to negotiate a land swap with the Forest Service or purchase the land, both of which are the less-desirable options, Funk said.

The introduction of the bill comes shortly after the city of Ouray enacted voluntary water restrictions, citing concerns about ongoing drought and the inability to use water from Crystal Reservoir to augment its supply. Ouray City Administrator Michelle Metteer declined to talk to the Plaindealer about the effort to transfer the reservoir to the city.

Supporters of local control of Crystal Reservoir launched a website with a petition this week at savecrystallake.org, also encouraging people to submit their favorite memories and photos of the reservoir before it was drained. As of Wednesday afternoon, the petition had about 200 signatures.

The high alpine reservoir, located on the west side of U.S. Highway 550 on Red Mountain Pass south of Ouray, is quite shallow – only about 8 feet deep in the middle. It was previously stocked with fish by Colorado Parks and Wildlife, and was popular with anglers and wildlife watchers. Its scenic value also attracted couples seeking an al fresco wedding venue and leaf peepers each fall when the colors turned.

 

The partially drained Crystal Reservoir is pictured here on Oct. 5, 2024. The reservoir was at the center of a years-long argument between the city of Ouray and the U.S. Forest Service over water rights, and the federal agency decided to drain it in April 2024, citing safety concerns after a crack was found in the dam in 2023. A bill was introduced in the U.S. Senate on Wednesday that would transfer ownership of the reservoir to the city of Ouray. Photo by Mike Boruta – Ouraybyflight.com

 

Before Crystal Reservoir was drained, it had been at the center of a years-long argument between the city of Ouray and the U.S. Forest Service over water rights.

A lands and minerals specialist with the Forest Service told Ouray County officials in spring 2024 that the agency’s long-term plan was to drain the reservoir and return it to natural wetlands.

This came after the Forest Service offered to negotiate a sale or a land exchange for the reservoir to the city of Ouray but didn’t receive a response, according to public records the Plaindealer obtained. The Forest Service started draining the reservoir in April 2024, after citing concerns with a dam inspection that documented a 71-foot-long crack in the crest of the earthen Full Moon dam.

That crack was documented in a dam inspection in 2023, but has since remained elusive and has not been documented in subsequent inspections.

The dam was also classified as a “high-hazard” dam in 2016, triggering the Forest Service’s concerns about liability. That rating has since improved.

__________________

Read some of our previous coverage here:

City enlists senator’s help to try to acquire Crystal Reservoir

A cloudy future for Crystal Reservoir

City, feds spar over reservoir

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