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Navajo-Hopi Little Colorado River
    Water Rights Settlement




          Report to the
          Navajo People
            April 2012
Presentation Roadmap
• Overview
• History/How Did We Get Here?
• Defining a Water Settlement and Other Definitions
• What are the Navajo Nation's Rights to the Little
  Colorado River (LCR)
• What is the LCR Settlement?
• The Senate Bill (SB 2109) VS The Settlement Agreement
• The Settlement Process
• What is Next?
OVERVIEW
The Navajo Nation’s Water Rights must be settled
to do this we have 2 options:

  – Through a settlement agreement on our terms

                           OR
  – This will be settled in STATE COURT in accordance
    with Federal Law

In this presentation we will cover both scenarios
33-Year LCR Litigation / Settlement History
1979 - LCR Adjudication begins
1985 - Statements of Claimant filed
1991-94 - Silver Creek Litigation
1994-99 - Settlement Negotiations
1999 - NN v. SRP, PWCC, & SCE
2002 - NN Water Rights Commission Established
2003 - NN v. Department of Interior
2004 - Colorado River / LCR Negotiations begin
2010 - NNC approves NAIWRSA, many community public meetings
2011 (March 23) - Sen. Kyl: NAIWRSA with WNP “too expensive”
2012 (February 14) - Sens. Kyl & McCain introduce S. 2109
2012 (March 8) - Attorneys’ Letter: LCR Negotiations complete
Introduction to

Water Rights
Definitions
   1 acre-foot = 325,851 gallons


                                         = 1000 loads of a
                                         326 gallon tank


160 gallons per person per day = estimated future per person water use for
municipal water planning
Municipal Use: includes household use, but also the needs of a community for
schools, hospitals and other commercial development
1 acre-foot per year (afy) = approximate municipal and domestic needs for 6
people for one year
Water rights on Indian
Reservations are
determined according to
federal, not state, law
Watershed -
an area of land
where all of
the water that
is under it or
drains off of it
goes into the
same place
Aquifer – water that
occurs naturally
underground in
layers of porous
material like
sandstone
           N Aquifer
           (depth approx.
           1,000 feet)



           C Aquifer
           (depth approx.
           1,800 feet)



                            Hydrogeologic Units at Black Mesa
Water Rights Adjudication – a lawsuit
involving all of the persons claiming the
right to use water in a watershed
The Settlement
Waives Claims
     NOT
 Water Rights
The Settlement Waives Claims
          NOT Water Rights
        What does this mean?
• The Settlement Agreement recognizes the water rights of
  the Navajo Nation

• The settlement resolves any claims that the Navajo Nation
  and Hopi Tribe may have to the LCR Basin

• For the settlement to be permanent, all parties must waive
  any claims for additional water

• The waivers do not take effect until Congress has
  appropriated all of the funds necessary to build the water
  delivery projects that are part of the settlement
What are the Navajo Nation’s Rights to
              the LCR?
 Navajo Nation Water Rights Claims




Navajo Claims in the LCR Adjudication based on:
  • Federal Reserved Water Rights
  • Historic Uses
  • Aboriginal Rights
Measure of the Winters Right
Federal Reserved Water Rights
             also known as Winters Rights
• RESERVED - In setting aside lands
  for Indian tribes, the U.S. also
  reserved adequate water.
• Applies whether lands set aside
  by treaty, statute or by executive
  order.
• PRIORITY – The priority date of
  reserved rights is the date the
  reservation was created.
• USE - Rights exist even though the
  water has not been put to use;
  includes future needs.
• GROUNDWATER – Rights to
  groundwater may be included if
  necessary to meet purposes of
  the Reservation.
Aquifer
Practicably Irrigable Acreage (PIA)
  No longer the only measure of reserved water rights
FACTORS:                  • Engineering
•Suitable Lands           • Economic Analysis
•Available Water Supply     Arizona v. California (1963)
•Climate




Bottom line: Will farming be profitable.
LCR Claims must be decided in Arizona State Court

                                                      Cannot be
                                                      decided in
                                                      the Navajo
                                                      courts

     Navajo Nation
     water rights
     claims in Arizona




McCarran Amendment – federal law giving state
courts jurisdiction over Indian water rights claims
(43 U.S.C. 666)
Arizona Law – the doctrine of prior appropriation
                 “First in time, first in right”
                      “Use it or Lose it”
•    The person who first puts water to
     use has the senior right

•    Water can be moved and used away
     from the water source

•    Failure to continue the use may
     result in loss of the right

•    Applies only to surface water

    Water rights on Indian Reservations are
    determined according to federal, not state, law
Navajo Nation Water Basins



                                    San Juan River Basin




      Little Colorado River Basin
                                                   Rio Grande Basin

                                    Zuni
                                    River
                                    Basin




     One Step at a Time
Little Colorado River




Natural flows estimated to be 220,000 afy (ADWR)
Surface Water
 (Little Colorado River)




• Navajo historic uses recognized by the court (37,780 afy)
• Navajo Nation right to use all of the unappropriated flows –
  estimated to be 160,000 afy at Leupp out of the total 220,000
  estimated natural flow
• Existing non-Navajo uses protected (approximately 60,000 afy)
• Future non-Navajo water uses restricted
Surface Water (LCR Washes)
The Navajo Nation has the right to use all water in the LCR tributaries
(washes) that cross the Navajo Reservation




         (litigation can only result in limits on uses)
Tribal Wash
 Management
     Plan
Five washes shared
with the Hopi Tribe are
subject to a joint
management plan

    Dams allowed on
Navajo after wash
leaves Hopi

   No large dams
permitted upstream of
other Tribe
C-Aquifer
underlies
the LCR basin


Estimated Water
In Storage
418 million af
(ADWR)
Groundwater (C-aquifer)
      • No limits on Navajo Reservation uses
   • Limits on New Off-Reservation Pumping
                                • Protection Area 1
      (litigation can only     – No new wells > 35 gpm
      result in limits on       • Protection Area 2
      Navajo uses)            – No new uses > 500 gpm
                                • Protection Area 3
                              – No new uses > 7,500 afy


                         All existing wells protected
N-Aquifer underlies Navajo & Hopi
                       Current N-aquifer Uses
                       Navajo: approx. 3,000 afy
                       Hopi: approx. 500 afy
                       Peabody: approx. 1,200 afy
                       (USGS)




 Water in Storage:
 Est. 180 million af
 (ADWR)
Groundwater (N-aquifer)
       Management Plan with Hopi Tribe
                          • Confined Portion
                            - Industrial uses of each
                          tribe limited to 2,000 afy
                            - Municipal & Domestic
                          uses unlimited
                          • Unconfined Portion
                            - No limits except to protect
                          springs
                          • Increased monitoring and
                          modeling
                          • Tribes to mutually agree
                          on additional protections

(litigation can only result in limits on uses)
Special
Provisions for
   Pasture
   Canyon




                 Protection Zone for Springs
                        No new wells within this
                        Protection Area
Little Colorado River System & Source

                  •    Includes all surface water
                      - Little Colorado River
                      - Tributaries & Washes
                  •    Includes all ground water
                      - C-aquifer
                      - N-aquifer
                      - Other aquifers
                      • Does not settle the
                        Nation’s claims to the
                        mainstem Colorado
                        River
Water Infrastructure Projects
   (not available through litigation)
Leupp-Dilkon Groundwater Project




        Capacity: 4,778 afy based on projected population
        of 35,000 at a rate of 160 gallons per day
        Current Uses: approx. 441 acre-feet for a
        population of 11,000
Ganado Groundwater Project

                      Capacity:
                      5,555 acre-feet/year
                      based on projected
                      population demands
                      for 35,000 people at
                      160 gallons per day

                      Current Uses:
                      approx. 381 acre-feet
                      for an approximate
                      population of 11,000
The Settlement Agreement VS The Bill
The Settlement Agreement & The Federal Legislation
   Navajo-Hopi Little Colorado Water        Navajo-Hopi Little Colorado Water
     Rights Settlement Agreement              Rights Settlement Act of 2012
                                                  (S. 2109 / H.R. 4067)
  •An agreement between the parties,
  including Arizona, cities, irrigation   •Federal legislation is required to ratify
  districts and other major water users   the settlement agreement and
  •Recognizes the surface and             authorize the United States to sign the
  groundwater rights of the Navajo        agreement
  Nation and Hopi Tribe that will be      •Authorizes the water delivery projects
  part of the court’s order               and appropriations of funds to build
  •Provides protections for Navajo        the projects
  water rights to be enacted into State   •Reserves Colorado River water for a
  law                                     possible future Navajo settlement
  •Describes the projects that will be    •Provides an option for delivery of CAP
  built to deliver groundwater to         water through the Navajo-Gallup
  Navajo communities                      Water Supply Project to Navajo
  •Includes waivers of claims for         communities in Arizona
  additional water in the LCR Basin       •Includes waivers of claims for
                                          additional water in the LCR Basin
Proposed Navajo-Hopi LCR Settlement
            Compared with
 NAIWRSA Approved by NNC in 2010
Settlement Funding Authorization
           Total = $358.7 million
• $199 million to plan, design and construct the
  Navajo Groundwater Projects
• $113 million to plan, design and construct the
  Hopi Groundwater Project
• $23 million for Navajo OM&R
• $5 million for Hopi OM&R
• $5 million to develop a management plan for
  the N Aquifer
• $10.4 million to develop a Pasture Canyon
  springs protection program
• $3.3 million for WNP Feasibility Study
Colorado River Water
•   Option for delivery of 6,411 afy
    CAP NIA water for Arizona
    communities through the
    Navajo-Gallup Water Supply
    Project
•   Reallocation of CAP water
    subject to continued operation
    of NGS, including extension of
    operating agreements
•   Failure to exercise CAP water
    option does not invalidate the
    Settlement Agreement
Foundation for Future Colorado River Settlement

                             • Federal legislation
                               reserves 24,589 afy for
                               a possible future
                               Navajo Colorado River
                               settlement
                             • Authorizes $3.3
                               million for a Feasibility
                               Study for the Western
                               Navajo Pipeline
                               Project to deliver CAP
                               water to western
                               Navajo communities
Major Components
Proposed Navajo-Hopi LCR Water Rights Settlement
LCR Settlement Process
Settlement is an exercise of
     tribal sovereignty
                         • Establishes the Navajo
                           right to use water from
                           LCR without limits
                         • Protects Navajo uses of
                           the C-aquifer without
                           limits
                         • Tribes to manage N-
                           aquifer and the washes
                           without interference by
                           the State
                         • No State administration
                           of on-reservation uses
Options
1)Settle Navajo claims to LCR
   • Allows Navajo water projects to be built
      and funded
   • Ensures UNLIMITED use of water
   • Settles agreement with all parties
                       - OR -
2)If no settlement agreement
   • Continued litigation in state court
   • Allow state court to determine Navajo
      water allocation
   • Unknown timeline and outcome
Question and Answer

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Finallcr settlement4.16[1]

  • 1. Navajo-Hopi Little Colorado River Water Rights Settlement Report to the Navajo People April 2012
  • 2. Presentation Roadmap • Overview • History/How Did We Get Here? • Defining a Water Settlement and Other Definitions • What are the Navajo Nation's Rights to the Little Colorado River (LCR) • What is the LCR Settlement? • The Senate Bill (SB 2109) VS The Settlement Agreement • The Settlement Process • What is Next?
  • 3. OVERVIEW The Navajo Nation’s Water Rights must be settled to do this we have 2 options: – Through a settlement agreement on our terms OR – This will be settled in STATE COURT in accordance with Federal Law In this presentation we will cover both scenarios
  • 4. 33-Year LCR Litigation / Settlement History 1979 - LCR Adjudication begins 1985 - Statements of Claimant filed 1991-94 - Silver Creek Litigation 1994-99 - Settlement Negotiations 1999 - NN v. SRP, PWCC, & SCE 2002 - NN Water Rights Commission Established 2003 - NN v. Department of Interior 2004 - Colorado River / LCR Negotiations begin 2010 - NNC approves NAIWRSA, many community public meetings 2011 (March 23) - Sen. Kyl: NAIWRSA with WNP “too expensive” 2012 (February 14) - Sens. Kyl & McCain introduce S. 2109 2012 (March 8) - Attorneys’ Letter: LCR Negotiations complete
  • 6. Definitions 1 acre-foot = 325,851 gallons = 1000 loads of a 326 gallon tank 160 gallons per person per day = estimated future per person water use for municipal water planning Municipal Use: includes household use, but also the needs of a community for schools, hospitals and other commercial development 1 acre-foot per year (afy) = approximate municipal and domestic needs for 6 people for one year
  • 7. Water rights on Indian Reservations are determined according to federal, not state, law
  • 8. Watershed - an area of land where all of the water that is under it or drains off of it goes into the same place
  • 9. Aquifer – water that occurs naturally underground in layers of porous material like sandstone N Aquifer (depth approx. 1,000 feet) C Aquifer (depth approx. 1,800 feet) Hydrogeologic Units at Black Mesa
  • 10. Water Rights Adjudication – a lawsuit involving all of the persons claiming the right to use water in a watershed
  • 11. The Settlement Waives Claims NOT Water Rights
  • 12. The Settlement Waives Claims NOT Water Rights What does this mean? • The Settlement Agreement recognizes the water rights of the Navajo Nation • The settlement resolves any claims that the Navajo Nation and Hopi Tribe may have to the LCR Basin • For the settlement to be permanent, all parties must waive any claims for additional water • The waivers do not take effect until Congress has appropriated all of the funds necessary to build the water delivery projects that are part of the settlement
  • 13. What are the Navajo Nation’s Rights to the LCR? Navajo Nation Water Rights Claims Navajo Claims in the LCR Adjudication based on: • Federal Reserved Water Rights • Historic Uses • Aboriginal Rights
  • 14. Measure of the Winters Right
  • 15. Federal Reserved Water Rights also known as Winters Rights • RESERVED - In setting aside lands for Indian tribes, the U.S. also reserved adequate water. • Applies whether lands set aside by treaty, statute or by executive order. • PRIORITY – The priority date of reserved rights is the date the reservation was created. • USE - Rights exist even though the water has not been put to use; includes future needs. • GROUNDWATER – Rights to groundwater may be included if necessary to meet purposes of the Reservation.
  • 17. Practicably Irrigable Acreage (PIA) No longer the only measure of reserved water rights FACTORS: • Engineering •Suitable Lands • Economic Analysis •Available Water Supply Arizona v. California (1963) •Climate Bottom line: Will farming be profitable.
  • 18. LCR Claims must be decided in Arizona State Court Cannot be decided in the Navajo courts Navajo Nation water rights claims in Arizona McCarran Amendment – federal law giving state courts jurisdiction over Indian water rights claims (43 U.S.C. 666)
  • 19. Arizona Law – the doctrine of prior appropriation “First in time, first in right” “Use it or Lose it” • The person who first puts water to use has the senior right • Water can be moved and used away from the water source • Failure to continue the use may result in loss of the right • Applies only to surface water Water rights on Indian Reservations are determined according to federal, not state, law
  • 20. Navajo Nation Water Basins San Juan River Basin Little Colorado River Basin Rio Grande Basin Zuni River Basin One Step at a Time
  • 21. Little Colorado River Natural flows estimated to be 220,000 afy (ADWR)
  • 22. Surface Water (Little Colorado River) • Navajo historic uses recognized by the court (37,780 afy) • Navajo Nation right to use all of the unappropriated flows – estimated to be 160,000 afy at Leupp out of the total 220,000 estimated natural flow • Existing non-Navajo uses protected (approximately 60,000 afy) • Future non-Navajo water uses restricted
  • 23. Surface Water (LCR Washes) The Navajo Nation has the right to use all water in the LCR tributaries (washes) that cross the Navajo Reservation (litigation can only result in limits on uses)
  • 24. Tribal Wash Management Plan Five washes shared with the Hopi Tribe are subject to a joint management plan Dams allowed on Navajo after wash leaves Hopi No large dams permitted upstream of other Tribe
  • 25. C-Aquifer underlies the LCR basin Estimated Water In Storage 418 million af (ADWR)
  • 26. Groundwater (C-aquifer) • No limits on Navajo Reservation uses • Limits on New Off-Reservation Pumping • Protection Area 1 (litigation can only – No new wells > 35 gpm result in limits on • Protection Area 2 Navajo uses) – No new uses > 500 gpm • Protection Area 3 – No new uses > 7,500 afy All existing wells protected
  • 27. N-Aquifer underlies Navajo & Hopi Current N-aquifer Uses Navajo: approx. 3,000 afy Hopi: approx. 500 afy Peabody: approx. 1,200 afy (USGS) Water in Storage: Est. 180 million af (ADWR)
  • 28. Groundwater (N-aquifer) Management Plan with Hopi Tribe • Confined Portion - Industrial uses of each tribe limited to 2,000 afy - Municipal & Domestic uses unlimited • Unconfined Portion - No limits except to protect springs • Increased monitoring and modeling • Tribes to mutually agree on additional protections (litigation can only result in limits on uses)
  • 29. Special Provisions for Pasture Canyon Protection Zone for Springs No new wells within this Protection Area
  • 30. Little Colorado River System & Source • Includes all surface water - Little Colorado River - Tributaries & Washes • Includes all ground water - C-aquifer - N-aquifer - Other aquifers • Does not settle the Nation’s claims to the mainstem Colorado River
  • 31. Water Infrastructure Projects (not available through litigation)
  • 32. Leupp-Dilkon Groundwater Project Capacity: 4,778 afy based on projected population of 35,000 at a rate of 160 gallons per day Current Uses: approx. 441 acre-feet for a population of 11,000
  • 33. Ganado Groundwater Project Capacity: 5,555 acre-feet/year based on projected population demands for 35,000 people at 160 gallons per day Current Uses: approx. 381 acre-feet for an approximate population of 11,000
  • 35. The Settlement Agreement & The Federal Legislation Navajo-Hopi Little Colorado Water Navajo-Hopi Little Colorado Water Rights Settlement Agreement Rights Settlement Act of 2012 (S. 2109 / H.R. 4067) •An agreement between the parties, including Arizona, cities, irrigation •Federal legislation is required to ratify districts and other major water users the settlement agreement and •Recognizes the surface and authorize the United States to sign the groundwater rights of the Navajo agreement Nation and Hopi Tribe that will be •Authorizes the water delivery projects part of the court’s order and appropriations of funds to build •Provides protections for Navajo the projects water rights to be enacted into State •Reserves Colorado River water for a law possible future Navajo settlement •Describes the projects that will be •Provides an option for delivery of CAP built to deliver groundwater to water through the Navajo-Gallup Navajo communities Water Supply Project to Navajo •Includes waivers of claims for communities in Arizona additional water in the LCR Basin •Includes waivers of claims for additional water in the LCR Basin
  • 36. Proposed Navajo-Hopi LCR Settlement Compared with NAIWRSA Approved by NNC in 2010
  • 37. Settlement Funding Authorization Total = $358.7 million • $199 million to plan, design and construct the Navajo Groundwater Projects • $113 million to plan, design and construct the Hopi Groundwater Project • $23 million for Navajo OM&R • $5 million for Hopi OM&R • $5 million to develop a management plan for the N Aquifer • $10.4 million to develop a Pasture Canyon springs protection program • $3.3 million for WNP Feasibility Study
  • 38. Colorado River Water • Option for delivery of 6,411 afy CAP NIA water for Arizona communities through the Navajo-Gallup Water Supply Project • Reallocation of CAP water subject to continued operation of NGS, including extension of operating agreements • Failure to exercise CAP water option does not invalidate the Settlement Agreement
  • 39. Foundation for Future Colorado River Settlement • Federal legislation reserves 24,589 afy for a possible future Navajo Colorado River settlement • Authorizes $3.3 million for a Feasibility Study for the Western Navajo Pipeline Project to deliver CAP water to western Navajo communities
  • 40. Major Components Proposed Navajo-Hopi LCR Water Rights Settlement
  • 42. Settlement is an exercise of tribal sovereignty • Establishes the Navajo right to use water from LCR without limits • Protects Navajo uses of the C-aquifer without limits • Tribes to manage N- aquifer and the washes without interference by the State • No State administration of on-reservation uses
  • 43. Options 1)Settle Navajo claims to LCR • Allows Navajo water projects to be built and funded • Ensures UNLIMITED use of water • Settles agreement with all parties - OR - 2)If no settlement agreement • Continued litigation in state court • Allow state court to determine Navajo water allocation • Unknown timeline and outcome