[Congressional Record Volume 153, Number 98 (Monday, June 18, 2007)]
[Senate]
[Pages S7816-S7817]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. DOMENICI:
  S. 1643. A bill to establish the Reclamation Water Settlements Fund, 
and for other purposes; to the Committee on Indian Affairs.
  Mr. DOMENICI. Mr. President, one unresolved issue that is of grave 
concern to many in the west is unresolved Indian water rights claims. 
Over the past century, many parties have sought to determine the extent 
of Indian water rights in the courts. However, litigation to determine 
Indian water rights has failed in many respects for both Indians and 
non-Indians. Unresolved Indian water rights claims are of particular 
concern in New Mexico which has 23 Indian tribes.
  As with all litigation, the outcome is uncertain and one party 
generally loses. If the Indian nations were to receive a large award by 
the courts and those water rights were exercised, the senior priority 
date of many Indian water rights claims have the potential to displace 
existing users. This means that non-Indian towns, farmers, and industry 
could ultimately have their water supply cut off. However, in many 
instances, even if an Indian nation were to receive a water windfall 
from the courts, many of the Indian nations lack the water 
infrastructure to make use of the water awarded by the courts. 
Additionally, Indian water rights litigation often takes decades. For 
example, the Aamodt litigation in New Mexico was filed in 1966 and is 
the longest standing litigation in the federal judiciary. Finally, the 
numerous unresolved Indian water rights claims in many western states 
such as New Mexico impair our ability to effectively undertake water 
rights planning as we are unsure of the award that the Indian nations 
will receive.
  Over the past two decades, many parties have pursued negotiated 
settlements in lieu of litigation, an approach beneficial to all 
parties involved. In negotiated settlements, multiple parties get 
together and determine how best to allocate water among Indians and 
non-Indians in a way that does not curtail existing uses. Many of the 
settlements also contain authorization for the Federal Government to 
provide funding to the Indian nations so that the Indian nations 
involved can make use of the water they are awarded under the terms of 
the settlement, resulting in economic development and health benefits 
on the Indian nation.
  Secretary of the Interior Dirk Kempthorne and his staff deserve a 
great deal of credit for trying to advance the New Mexico Indian water 
rights settlements. However, current Federal budgets cannot accommodate 
the upcoming New Mexico settlements. This is troublesome for several 
reasons. First, it impairs Congress's ability to resolve Indian water 
rights claims in a way that keeps all water users whole. Additionally, 
many of the settlements require the construction of water 
infrastructure benefiting an Indian nation. Lack of a steady stream of 
Federal money results in water projects that take far longer to 
construct, costing taxpayers significantly more money in the long run.
  Today I introduce the Reclamation Water Settlements Fund Act of 2007. 
This bill would establish a reliable source of Federal funding to 
resolve Indian water rights claims in New Mexico. The bill provides 
that, over the next 10 years, 30 percent of the revenues generated in 
New Mexico that would otherwise be deposited in the reclamation fund 
would instead be used to fund Indian water rights settlements. The 
amounts deposited in this fund could be used to pay for the Aamodt, 
Abeyta, and Navajo Indian water rights settlements after the parties 
resolve outstanding issues and the settlements are signed into law. It 
is important to note that the fund created by this legislation would 
allow us to fund New Mexico Indian water rights settlements without 
compromising the sustainability of the reclamation fund.
  The consequences of not settling outstanding Indian water rights 
claims in New Mexico are dire. The legislation I introduce today would 
remove the main impediment to the resolution of Indian water rights 
settlement.
  I ask unanimous consent that the text of the bill be printed in the 
Record.
  There being no objection, the text of the bill was ordered to be 
printed in the Record, as follows:

                                S. 1643

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

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Reclamation Water 
     Settlements Fund Act of 2007''.

     SEC. 2. DEFINITIONS.

       In this Act:
       (1) Fund.--The term ``Fund'' means the Reclamation Water 
     Settlements Fund established by section 3(a).
       (2) Secretary.--The term ``Secretary'' means the Secretary 
     of the Interior.
       (3) State.--The term ``State'' means the State of New 
     Mexico.

     SEC. 3. RECLAMATION WATER SETTLEMENTS FUND.

       (a) Establishment.--There is established in the Treasury of 
     the United States a fund, to be known as the ``Reclamation 
     Water Settlements Fund'', consisting of--
       (1) such amounts as are deposited to the Fund under 
     subsection (b); and
       (2) any interest earned on investment of amounts in the 
     Fund under subsection (d).
       (b) Deposits to Fund.--
       (1) In general.--For each of the 10 years after the date of 
     enactment of this Act, the Secretary of the Treasury shall 
     deposit in the Fund an amount equal to 30 percent of the 
     revenues generated within the external boundaries of the 
     State of New Mexico that would otherwise be deposited for the 
     fiscal year in the fund established by the first section of 
     the Act of June 17, 1902 (32 Stat. 388, chapter 1093).
       (2) Availability of amounts.--On deposit, the amounts in 
     the Fund under subsection (a)(1), and on accrual, any 
     interest earned under subsection (d), shall be available 
     annually, without further appropriation, to carry out 
     subsection (c).
       (c) Use.--
       (1) In general.--On request of the Secretary, the Secretary 
     of the Treasury shall transfer to the Secretary such amounts 
     in the Fund as are necessary to fund any activities of the 
     Bureau of Reclamation relating to Indian water rights 
     settlements in the State that are approved by Congress and 
     are associated with the planning, designing, or construction 
     of--
       (A) water supply infrastructure; or
       (B) a project to rehabilitate a water delivery system to 
     conserve water.
       (2) Priority.--
       (A) In general.--Except as provided in subparagraph (B), 
     amounts shall be transferred under paragraph (1) in the order 
     in which the Indian water rights settlements are approved by 
     Congress.
       (B) Exception.--Amounts may be made simultaneously 
     available under paragraph (1) to fund activities relating to 
     multiple approved Indian water rights settlements in the 
     State if the Secretary determines that--
       (i) sufficient amounts are available in the Fund to carry 
     out activities relating to more than 1 Indian water rights 
     settlement simultaneously; and
       (ii) deviation from the priority order required under 
     subparagraph (A) would not adversely affect the timely 
     completion of the activities that would otherwise have 
     priority under that subparagraph.
       (d) Investment of Amounts.--
       (1) In general.--The Secretary of the Treasury shall invest 
     such portion of the Fund as is not, in the judgment of the 
     Secretary of the Treasury, required to meet current 
     withdrawals.
       (2) Interest-bearing obligations.--Investments may be made 
     only in interest-bearing obligations of the United States.
       (3) Acquisition of obligations.--For the purpose of 
     investments under paragraph (1), obligations may be 
     acquired--
       (A) on original issue at the issue price; or
       (B) by purchase of outstanding obligations at the market 
     price.

[[Page S7817]]

       (4) Sale of obligations.--Any obligation acquired by the 
     Fund may be sold by the Secretary of the Treasury at the 
     market price.
       (5) Credits to fund.--The interest on, and the proceeds 
     from the sale or redemption of, any obligations held in the 
     Fund shall be credited to, and form a part of, the Fund.
       (e) Transfers of Amounts.--The amounts required to be 
     transferred to the Fund under this section shall be 
     transferred at least annually.
                                 ______