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<br />0D2477 <br /> <br />proj ect costs until the water from the proj ects was <br />actually put to beneficial use. <br /> <br />6. The parties agreed to seek Congressional relief from the <br />Non-Intercourse Act'4 limitations on Congressional <br />oversight over the use of reserved water rights. The <br />Tribes were allowed to sell, exchange or lease water <br />outside the Reservations, within or outside the state of <br />Colorado, subject to state and federal law, interstate <br />compacts and the law of the Colorado River. <br /> <br />The Settlement Agreement specified certain contingencies that had <br />to be met before the settlement became final. The parties agreed <br />to submit consent decrees to the Division 7 water court for <br />judicial approval. A stipulation setting forth this commitment was <br />filed. but was subject to legislative enactments by the United <br />States Congress and Colorado legislature prior to becoming final. <br /> <br />Federal legislation was introduced, and was enacted in 1988.~ The <br />Act approved the settlement and contained all the provisions <br />contemplated by the parties, except for those relating to the <br />interstate marketing of water. The legislation as introduced <br />reflected the neutral nature of the Settlement Agreement concerning <br />the legality of interstate marketing of reserved water rights under <br />the Law of the River. However, Lower Colorado River Basin states <br />adamately opposed the provision, and demanded that the Tribes be <br />flatly prohibited from applying for any out of state changes in <br />place of use. Other western states obj ected to the potential <br />alienation of any federal reserved water right from the federal <br />reservation. The final Act therefore limited use of Tribal rights <br />in the Lower Colorado River Basin until a final court order or <br />agreement of all seven Colorado River Basin States has previously <br />allowed such right for non-federal, non-Indian water rights. <br />Moreover, the Act provides that any use of water off Reservation <br />will result in the right being changed to a state of Colorado water <br />right for the term of such use. <br /> <br />The Colorado General Assembly also enacted the legislation <br />contemplated by the Settlement Agreement. This legislation <br />appropriated $5 million to the Tribal Development Funds, so much as <br />needed for the Towaoc Pipeline, and $5.6 million for the Ridges <br />Basin cost sharing. <br /> <br />In December 1991, the Water Court approved the consent decrees that <br />had been submitted to it based on the stipulations entered pursuant <br /> <br />1425 u. S . c. 177. The Non- Intercourse Act requires Congressional approval of <br />the transfer of Indian trust property. <br /> <br />"The Colorado Ute Indian Water Rights Settlement Act of 1988. P.L, 100-585, <br />102 Stat, 2973, <br /> <br />8 <br />