Here is the story from the Wa. State Dept. of Ecology:
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Department of Ecology News Release - June 8, 2007

07-150

Study suggests Grant County as possible site for new water storage
YAKIMA - An assessment of where new off-channel storage might be suitable on
the Columbia River has been completed by the U.S. Bureau of Reclamation
(Reclamation) and the Washington Department of Ecology (Ecology).

According to the study, the Lower Crab Creek basin in Grant County is the
most viable candidate to support a large, off-channel storage facility and
merits being carried forward if a more detailed feasibility study is
conducted. Also analyzed were Hawk Creek in Lincoln County, Foster Creek in
Douglas County, and Sand Hollow, also in Grant County.

The study sought to identify where new water could be stored to augment
irrigation supplies during dry years as well as secure water for future
irrigation, improve flows for fish and set aside water for future municipal,
domestic and industrial uses.

According to the study, construction and operational costs would be
significantly less at the Crab Creek site than at Sand Hollow or Hawk Creek.
The site also posed the lowest risk and the best geology for construction of
a dam and reservoir. Early on, Foster Creek was found to have geotechnical
flaws and eliminated from consideration.

The appraisal was conducted as part of an ongoing commitment by the state of
Washington and federal government to evaluate the potential for new storage
in the Columbia River Basin. Those efforts have been bolstered by
legislation passed in 2006, funding development of water resources on the
Columbia River.

"Long-term storage is an important component of a balanced water management
program on the Columbia River," explained Derek Sandison, central regional
director for Ecology. "Other essential elements of a successful program
include reusing conserved water, supporting smaller water storage projects,
encouraging water markets and improving how water is managed now."

Ecology, Reclamation, and Columbia Basin project irrigation districts are
reviewing the assessment and will consult with Gov. Chris Gregoire, the
state's congressional delegation, stakeholders, agencies, and other
entities, including the Columbia River Basin Policy Advisory Group, before
deciding whether to seek federal authorization and funding for a feasibility
study and Environmental Impact Statement on any one of the sites.

"Based on cost and technical criteria, the Crab Creek site represents a
potentially viable location for a reservoir," said Bill Gray, a manager with
Reclamation. "However, construction of a facility at the Crab Creek site has
significant environmental, socioeconomic, and cultural impacts that would
need to be thoroughly evaluated in an environmental impact statement."

In 2004, state, Reclamation and the Columbia Basin project irrigation
districts entered into an agreement to promote improved water management on
the Columbia River and to explore new storage opportunities.

In December of 2005, the two agencies identified 11 sites along the entire
Columbia River corridor to appraise for storage. Based on a number of
criteria -- including potential storage capacity, location, known geologic
integrity and other environmental and social issues -- the four upper basin
sites were identified for more in-depth study.

Each of the potential storage sites has a predicted reservoir capacity of at
least one million acre-feet, which is in line with future water needs in the
Columbia Basin. In addition, each is above Priest Rapids Dam, which will
allow it to be easily integrated into Reclamation's Columbia Basin Project.

A copy of the new assessment will be available online at:
http://www.ecy.wa.gov/programs/wr/cwp/cr_storage.html

# # #

Ecology media contact: Joye Redfield-Wilder, public information manager,
(509) 575-2610 Bureau of Reclamation media contact: Norbert Ries, (509)
575-5848
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Doug Hudson
dhudson at silverlink dot net
Bremerton, WA