[Congressional Record Volume 145, Number 158 (Wednesday, November 10, 1999)]
[Senate]
[Pages S14560-S14561]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. LOTT (for Mr. McCain (for himself and Mr. Kyl)):
  S. 1913. A bill to amend the Act entitled ``An act relating to the 
water rights of the Ak-Chin Indian Community'' to clarify certain 
provisions concerning the leasing of such water rights, and for other 
purposes; to the Committee on Indian Affairs.


       The Ak-Chin Water Rights Settlement Act Amendments of 1999

 Mr. McCAIN. Mr. President, I rise on behalf of myself and my 
colleague, Senator Kyl, to offer legislation that will make an 
important clarification to the Ak-Chin Water Rights Settlement Act of 
1984. Similar legislation has been introduced in the House by 
Representative Shadegg.
  Let me explain why this legislation is necessary.
  In 1992, Congress amended the Ak-Chin Water Rights Settlement Act to 
allow the Ak-Chin Indian Community to enter into leases of the 
Community's water for a term not to exceed 100 years. On December 15, 
1994, the Ak-Chin Indian Community entered into an agreement with the 
Del Webb Corporation to allow the company the option to lease up to 
10,000 acre-feet of water for a period of 100 years from the date the 
option was exercised. Del Webb exercised the option on December 6, 
1996, with a principal objective of providing a water supply for its 
development of a master-planned community in the Phoenix area.
  However, since 1995, the State of Arizona, through its Department of 
Water Resources, has required certificates of assured water supply for 
100 years for developments within the Phoenix Active Management Area. 
The 100-year assured water supply requirement is one of the key tenets 
of Arizona's water resource management. A certificate cannot be 
obtained unless a developer demonstrates that sufficient groundwater, 
surface water or adequate quality effluent will be continuously 
available to satisfy the proposed use of the development for at least 
100 years.
  Unfortunately, the lease as signed in 1996 has now matured for three 
years without the actual application to the Arizona Department of Water 
Resources for a certificate of assured water supply. The Arizona 
Department of Water Resources advised the company that it interprets 
its regulations to require Del Webb to demonstrate that water leased 
under the agreement with the Community will be available for a period 
of 100 years from the date each certificate issued. Under ADWR's 
interpretation, if Del Webb applies for a certificate of assured water 
supply on December 6, 1999, it must show that water will be available 
under the lease agreement until December 6, 2099. However, because Del 
Webb exercised its option in 1996, the lease agreement between Del Webb 
and the Community will expire on December 6, 2096, and will not meet 
the State's test of continuing legal and physical availability of water 
supply. Moreover, the Community does not have statutory authority to 
grant leases with terms in excess of 100 years.
  To resolve this unanticipated conflict, the affected parties have 
agreed that what is required is a simple modification to the Ak-Chin 
Water Rights Settlement Act of 1984 to allow the extension of leasing 
authority to include options to lease and renew or extend existing 
leases. This change will allow the Ak-Chin Indian Community to extend 
or renew the existing lease to Del Webb for a cumulative term that 
would expire more than 100 years from today.
  Mr. President, this legislation will make a technical change to the 
Ak-Chin Water Rights Settlement Act in order for the Ak-Chin/Del Webb 
agreement to be in compliance with State law. All parties and interests 
directly impacted by this lease agreement are

[[Page S14561]]

supportive of this amendment. Therefore, it is our hope that we can 
move this legislation quickly.
  I ask to include a complete text of the legislation in the Record.
  The bill follows:

                                S. 1913

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. CONSTITUTIONAL AUTHORITY.

       The Constitutional authority for this Act rests in article 
     I, section 8, authorizing Congress to ``regulate Commerce 
     with foreign Nations, and among the several States, and with 
     the Indian tribes''.

     SEC. 2. TECHNICAL AMENDMENTS TO AK-CHIN WATER USE ACT OF 
                   1984.

       (a) Short Title.--This section may be cited as the ``Ak-
     Chin Water Use Amendments Act of 1999''.
       (b) Authorization of Use of Water.--Section 2(j) of the Act 
     of October 19, 1984 (Public Law 98-530; 98 Stat. 2698) is 
     amended to read as follows:
       ``(j)(1) The Ak-Chin Indian Community (hereafter in this 
     subsection referred to as the `Community') shall have the 
     right to devote the permanent water supply provided for by 
     this Act to any use, including agricultural, municipal, 
     industrial, commercial, mining, recreational, or other 
     beneficial use, in the areas initially designated as the 
     Pinal, Phoenix, and Tucson Active Management Areas pursuant 
     to the Arizona Groundwater Management Act of 1980, laws 1980, 
     fourth special session, chapter 1. The Community is 
     authorized to lease or enter into options to lease, to renew 
     options to lease, to extend the initial terms of leases for 
     the same or a lesser term as the initial term of the lease, 
     to renew leases for the same or a lesser term as the initial 
     term of the lease, to exchange or temporarily dispose of 
     water to which it is entitled for the beneficial use in the 
     areas initially designated as the Pinal, Phoenix, and Tucson 
     Active Management Areas pursuant to the Arizona Groundwater 
     Management Act of 1980, laws 1980, fourth special session, 
     chapter 1.
       ``(2) Notwithstanding paragraph (1), the initial term of 
     any lease entered into under this subsection shall not exceed 
     100 years and the Community may not permanently alienate any 
     water right. In the event the Community leases, enters into 
     an option to lease, renews an option to lease, extends a 
     lease, renews a lease, or exchanges or temporarily disposes 
     of water, such action shall only be valid pursuant to a 
     contract that has been accepted and ratified by a resolution 
     of the Ak-Chin Indian Community Council and approved and 
     executed by the Secretary.''.
       (c) Approval of Lease and Amendment of Lease.--The option 
     and lease agreement among the Ak-Chin Indian Community, the 
     United States, and Del Webb Corporation, dated as of December 
     14, 1996, and the Amendment Number One thereto among the Ak-
     Chin Indian Community, the United States, and Del Webb 
     Corporation, dated as of January 7, 1999, are hereby ratified 
     and approved. The Secretary of the Interior is hereby 
     authorized and directed to execute Amendment Number One, and 
     the restated agreement as provided for in Amendment Number 
     One, not later than 60 days after the date of the enactment 
     of this Act.
                                 ______