I would guess Eric Veik gave it to the police as evidence to see if it was something like the Basement Tapes, as well as the other tapes such as Hitmen for Hire, Car wash commercial and Radioactive clothing.
I don't have a clear idea of why it was recorded though, perhaps it was just to show what Columbine was like and what their lives were like day-to-day.
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"One day I might just disappear and you will never find me. Nobody will ever find me"