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. t-- .-1 ..... ,..'" , , .c . . I . . . . . . . GOVERNOR'S CENTRAL ARIZONA PROJECT ADVISORY COMMITTEE . CAWCD and DWR should support the Indian communities' effort to negotiate with the federal government to assume OM&R and other appropriate costs for CAP water provided through Indian settlements and water contracts. . The state should continue to participate financially, where appropriate, in Indian water rights settlements. . In order to encourage the use of non-Indian agricultural water as a water source for Indian settlements, the unquantified nature of the allocation, its low priority and the "take or pay" provisions for fixed OM&R should be evaluated. . Once a settlement has been completed, the Indians should be allowed to lease CAP water first within the CAP service area and then, within the state. This will provide a revenue source for the Indians. · Under past settlements, non-Indians have been required to pay OM&R charges on the leased water, but capital costs have been non-reimbursable. The state should request that the federal government continue this policy. Environmental Issues . Three levels of water allocated for environmental enhancement, i.e. 50,000, 100,000, and 150,000 acre feet, should be evaluated. For each of these assumptions an evaluation of which costs, if any, will become a federal responsibility and what the impact would be on CAP water users should be identified. A large amount of the water reserved for environmental enhancement would be required on the Colorado mainstem and a task force should be named to discuss the economic, environmental and political consequences of an allocation of CAP water for environmental enhancement with appropriate representatives of the federal government and Colorado River Basin states. FINAL REPORT AND RECOMMENDA TIONS 30