The reservoir and the Ruedi Dam were built from 1964-1968 and are both owned and operated by the United States Bureau of Reclamation.

One purpose of the reservoir is to help compensate for diversions to Colorado's East Slope, taken further up in the Fryingpan Basin as part of Reclamation's federal Fryingpan-Arkansas Project.

[3] Water in the reservoir is released through Ruedi Dam down the Fryingpan primarily for municipal, industrial, and agricultural interests.

Boating, fishing and camping are popular at the reservoir itself, while the downstream portion of the Fryingpan River has become well regarded as a Gold Medal fishery.

The USGS page for streamflow below Ruedi Dam provides up-to-date information for water released to the Lower Fryingpan in cubic-feet-per-second [4] measurements.