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<br />a3/26/2aa4 '13:31 72a4B9aS24 <br /> <br />FAX <br /> <br />PAGE a7/6B <br /> <br />001116 <br /> <br />,i <br />.i <br /> <br />introduced reflected the neutral nature of the Settlement Agreement <br />conCerning the legality of interstate marketing of reserved water rights <br />under the Law of the River. However, Lower Colorado River Basin <br />states adamantly opposed the provision, and demanded that the <br />Tribes be prohibited from applying for any out of state changes <br />in place of use. Other western states objected to the <br />potential alienation of any federal reserved water right from <br />the federal reservation. The final Act therefore limited use of Tribal <br />rights in the Colorado River Basin until a final court order <br />or' 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 <br />Re~ervation will result in the right being changed to a State of <br />Colorado water right for the term of such use. <br />: <br />Th~ 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 IlUlch as <br />needed for the Towaoc Pipeline, and $5.6 million for the <br />Ridges Basin cost sharing. <br /> <br />., <br />i <br />~: ) <br /> <br />, i <br /> <br />In December 1991, the Water Court approved the consent decrees that had <br />been submitted to it based on the stipulations entered pursuant to the <br />Settlement Agreement, .and following the enactment of necessary <br />f~deral and state legislation. <br /> <br />! <br /> <br />Co~oraclo ute Settlement Act A1IIendments of 2000 <br /> <br />I <br /> <br />The debate over construction of the Animas-La Plata Project with <br />environmental opponents did not stop despite the 1988 Agreement <br />and the entry of the water court decrees. A separate process, <br />was undertaken to try to bring final closure to the Tribal claims <br />ort the Animas and La Plata Rivers. The culmination of that <br />process was the Amendments of 2000 to the 1988 Settlement <br />Agreement which in short reduced the size of Ridges Basin <br />R$servoir by approximately one-half and restricted the project to <br />municipal, industrial and recreational purposes, eliminating the <br />irrigation component of the project. The amendments also reduced <br />the water allocations to various project beneficiaries and <br />created "resource funds" for the Southern Utes and Ute Mountain <br />Utes. <br /> <br />ConcJ.usj.on <br /> <br />In summary, all of the conditions of the Settlement have been <br />satisfied, except for the construction of the Animas:"La Plata <br />Project, and the Agreement remains in full effect. Therefore, <br />completion of the Animas-La Plata Project is of the upmost <br />importance to Colorado if it is to avoid litigation with the Ute <br />Tribes over their reserved water rights claims on the Animas and <br />La Plata Rivers. After the extraordinary efforts by all the <br />parties involved in these settlement discussions since 1972, the <br /> <br />6 <br /> <br />