WSP02305

• File Number: 8220.106
• Description: Animas-La Plata
• State: CO
• Basin: San Juan/Dolores
• Water Division: 7
• Date: 12/1/1994
• Author: Bookman-Edmonston
• Title: Economic Impact Study - Animas-La Plata and Colorado Ute Water Rights Settlement Act
• Water Supply Pro - Doc Type: Report/Study

I
I
I
I
I
I

REGIONAL ECONOMY WITHOUT PROJECT

I
I
I
I

As shown in Table 3.1, the Indian water rights claims were significant in terms of not only
the quantity of water involved but also in terms of the potential loss of non-Indian irrigated
acreage. Given the enormous reach of the claims, the parties proceeded with negotiations
and reached the Settlement Agreement that resolved the claims and assured long-term water
supplies for both Indian and non-Indian uses. A summary of the water rights obtained by
both Tribes through the Settlement Agreement is presented in Table 3.2. As shown in
Table 3.2, approximately 47 percent of the water rights obtained by the Tribes through the
Settlement Agreement is obtained from ALP. The question then arises as to what would
happen in terms of the Settlement Agreement if ALP is not constructed. Beginning at
page 17 of the Settlement Agreement pertaining to the Ute Mountain Ute Indian Tribe and
repeated beginning at page 31 pertaining to the Southern Ute Indian Tribe, the following
provision would apply if ALP is not constructed:

I
I
I

If Ridges Basin Reservoir, Long Hollow Tunnel, and the Dry Side Canal to the
turnout to the Dry Side Lateral are not completed so as to enable the delivery of
water to the Tribe as described in this subsection by January 1, 2000, then by
January 1, 2005, the Tribe, in consultation with the United States as trustee, must
elect either: (a) to retain the project reserved water right (water delivered from ALP];
or (b) to commence litigation or renegotiation of its pending reserved water rights
claims on the Animas and La Plata Rivers. If the Tribe, in consultation with the
United States as trustee, has not elected to commence litigation or renegotiation of
its pending claims on the Animas and La Plata Rivers by notification to the parties
by January 1, 2005, as provided below, then: (a) the Tribe shall be deemed to have
elected to retain its project reserved water right; (b) the settlement of the Tribe's
pending reserved and appropriative water rights claims on the Animas and La Plata
Rivers contained in this Agreement shall become final; and (c) the Tribe shall not be
entitled to claim any additional reserved water rights either on the Animas River or
on the La Plata River. If the Tribe elects to commence litigation or renegotiation of
its pending reserved water rights claims on the Animas and La Plata Rivers then the
Tribe shall relinquish and forfeit the project reserved water right from the Animas-
La Plata Project as described in this subsection; provided, however, that if Ridges
Basin Reservoir, Long Hollow Tunnel, and the Dry Side Canal to the turnout to the
Dry Side Lateral are at any time thereafter completed so as to enable the delivery of
water to the Tribe or if the Tribe elects at any time thereafter to receive an allocation
of water from Ridges Basin Reservoir, then: (a) the Tribe shall be entitled to the full
project reserved water right as described in this subsection; (b) the Tribe shall not be
entitled to claim any other reserved water rights either on the Animas River or on
the La Plata River; and (c) the Tribe shall relinquish any then pending reserved water
rights claims or any benefits it may have obtained by litigating or renegotiating its
reserved water rights claims on the Animas or La Plata Rivers, including all reserved
water rights which may have been decreed.

I
I
I
I
I
I

As shown above, the Settlement Agreement contains a provision for renegotiation or

litigation if ALP is not constructed. Although some negotiations would probably be

3-6