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federal agencies, Tribal governments, holders of valid water rights and the interested <br />public, rather that through unilateral regulatory action by the Forest Service. <br />1. State Authority to Issue Water Rights: <br />The states are responsible for the allocation of water available for appropriation. In <br />western states, water is allocated through granting water rights for identified beneficial <br />uses. The Forest Service must apply for water rights under state and federal law for use <br />of water on National Forest System lands, and must identify water needed during state <br />water rights adjudications when joined in those adjudications under the McCarran <br />Amendment, 43 U.S.C. §666 (the McCarran Amendment). Because the management of <br />land and water are intimately connected, a clearly defined and executed state system of <br />water rights adjudication and granting of water rights provides for the certainty necessary <br />for land management. Such a system also'provides for the orderly distribution of rights <br />between competing interests for a limited resource. <br />2. Respect for Water Rights Granted by the States: <br />Water rights are valuable property interests that are granted, exercised, transferred and <br />otherwise managed in accordance with state law. These rights are held by private and <br />public entities, including the federal government, and are assigned priority based upon <br />the date on which they were established. In many instances, water rights predate the <br />reservation of federal lands and the establishment of the national forest system. <br />Recognition of and respect for these rights is a fundamental tenet of responsible federal <br />land management and is essential to maintaining order and predictability among water <br />uses and water users. Frequently the exercise of a water right is connected to or <br />dependent upon the permitted occupancy or use of national forest system lands. In these <br />instances, it is incumbent upon the federal land manager to pursue land, water and other <br />resource management objectives in a manner that minimizes potential negative impacts to <br />the exercise of these rights. As noted below, there are some cases where conflicts will <br />exist. However, such conflicts can and should be resolved through cooperation among <br />the Forest Service, water right holders, state, tribal and local governments, and other <br />interested parties. <br />3. Forest Service Responsibility for Managing Water Resources on Lands: <br />The responsibilities and duties of the Forest Service for managing water resources on the <br />National Forests begins with the U.S. Property Clause of the Constitution. Article IV, <br />Section 3 confers plenary authority to Congress over all federal property, which includes <br />the land and resources of the National Forest System. <br />Congress used this authority to pass laws that establish and govern the National Forests, <br />and define Forest Service management responsibility, including: the Organic <br />Administration Act of 1897, 30 Stat.1 l; the Multiple -Use Sustained -Yield Act of 1960 <br />5 <br />