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• Board Meeting Date: 1/27/2004
• Description: WSP Section - Navajo Nation Federal Reserved Water Right Settlement with the State of New Mexico
• Board Meetings - Doc Type: Memo

The Settlement Act would authorize appropriations for the construction or rehabilitation of the .

following water development projects and purposes to benefit the Navajo Nation, and would require that

associated project construction and funding milestones be achieved by specified completion dates.

Irrigation Projects:
Navajo Indian Irrigation Project
Fruitland-Cambridge Irrigation Project
Hogback-Cudei Irrigation Project

Municipal, Industrial, Commercial and Domestic Uses: 2
Navajo-Gallup Water Supply Project
Navajo Nation Municipal Pipeline 4
Conjunctive use groundwater wells 5

Other Purposes:
Joint Hydrographic Survey
Navajo Nation Water Development Trust Fund

Notes:

Service Federal Completion
Acres Funds Date
110,630 $277.4 million 1 Dec. 2015
3,335 $ 5.7 million Dec. 2010
8,830 $ 12.0 million Dec. 2015
N/A $463.4 million 3 Dec. 2016
N/A $ 5.0 million Dec. 2009
N/A $ 77.6 million Dec. 2016
N/A $ 5.0 million Sep.2008
N/A $ 25.0 million 6 Dec. 2016
.

The authorization for federal appropriations of $277.4 million to complete construction of the
Navajo Indian Irrigation Project is in addition to the currently authorized cost ceiling for the Project
and includes funding to complete refurbishment of existing on-farm facilities on the Project. The
construction costs for the Project would be non-reimbursable. The United States would continue to
pay the operation and maintenance costs for the Navajo Indian Irrigation Project as it does currently.

2 The Navajo Nation would pay the operation and maintenance costs of the Navajo-Gallup Water
Supply Project and the Animas-La Plata Project that are allocable to the Navajo Nation. The City of
Gallup and the Jicarilla Apache Nation would pay the operation and maintenance costs of the
Navajo-Gallup Water Supply Project allocable to them. The total population within the service area
of the Navajo-Gallup Water Supply Project, the Navajo Nation Municipal Pipeline and the
conjunctive use groundwater wells is projected to be about 250,000 people by the year 2040, of
which over 80 percent will be members of the Navajo Nation. The City of Gallup's population is
anticipated to grow from approximately 20,000 today to almost 50,000 by 2040.

3 The City of Gallup and the Jicarilla Apache Nation would be required to repay the construction
costs of the Navajo-Gallup Water Supply Project that are allocable to each, estimated to be $85.1
million and $15.2 million, respectively, based on their ability to pay. The remainder of the federal
fundingfor !he Project,_ which incl~des $363.1 million for construction costs allocable to the Navajo
Nation, would be non-reimbursable. Funds expended by the City of Gallup arid the-Stafe of New
Mexico prior to authorization of the Project for enhancement and expansion of the regional water

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