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[House Report 106-743]
[From the U.S. Government Publishing Office]

106th Congress                                                   Report
                        HOUSE OF REPRESENTATIVES
 2d Session                                                     106-743

======================================================================

 
     SHIVWITS BAND OF THE PAIUTE INDIAN TRIBE OF UTAH WATER RIGHTS 
                             SETTLEMENT ACT

                                _______
                                

 July 17, 2000.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed

                                _______
                                

  Mr. Young of Alaska, from the Committee on Resources, submitted the 
                               following

                              R E P O R T

                        [To accompany H.R. 3291]

      [Including cost estimate of the Congressional Budget Office]

  The Committee on Resources, to whom was referred the bill 
(H.R. 3291) to provide for the settlement of the water rights 
claims of the Shivwits Band of the Paiute Indian Tribe of Utah, 
and for other purposes, having considered the same, report 
favorably thereon with an amendment and recommend that the bill 
as amended do pass.
  The amendment is as follows:
  Strike out all after the enacting clause and insert in lieu 
thereof the following:

SECTION 1. SHORT TITLE.

  This Act may be cited as the ``Shivwits Band of the Paiute Indian 
Tribe of Utah Water Rights Settlement Act''.

SEC. 2. FINDINGS.

  Congress finds the following:
          (1) It is the official policy of the United States, in 
        keeping with its trust responsibility to Indian tribes, to 
        promote Indian self-determination and economic self-
        sufficiency, and to settle the water rights claims of Indian 
        tribes to avoid lengthy and costly litigation.
          (2) Any meaningful policy of Indian self-determination and 
        economic self-sufficiency requires the development of viable 
        Indian reservation economies.
          (3) The quantification of water rights and the development of 
        water use facilities is essential to the development of viable 
        Indian reservation economies, particularly in the arid Western 
        States.
          (4) The Act of March 3, 1891, provided for the temporary 
        support of the Shebit (or Shivwits) tribe of Indians in 
        Washington County, Utah, and appropriated moneys for the 
        purchase of improvements on lands along the Santa Clara River 
        for the use of said Indians. Approximately 26,880 acres in the 
        same area were set aside as a reservation for the Shivwits Band 
        by Executive order dated April 21, 1916. An additional 1,280 
        acres were added to the reservation by Congress on May 28, 
        1937.
          (5) The waters of the Santa Clara River are fully 
        appropriated except during high flow periods. A water right was 
        awarded to the United States for the benefit of the Shivwits 
        Band in the 1922 adjudication entitled St. George Santa Clara 
        Field Co., et al. v. Newcastle Reclamation Co., et al., for 
        ``1.38 cubic feet of water per second for the irrigation of 
        83.2 acres of land and for culinary, domestic, and stock 
        watering purposes'', but no provision has been made for water 
        resource development to benefit the Shivwits Band. In general, 
        the remainder of the Santa Clara River's flow is either 
        diverted on the reservation and delivered through a canal 
        devoted exclusively to non-Indian use that traverses the 
        reservation to a reservoir owned by the Ivins Irrigation 
        Company; dedicated to decreed and certificated rights of 
        irrigation companies downstream of the reservation; or 
        impounded in the Gunlock Reservoir upstream of the reservation. 
        The Band's lack of access to water has frustrated its efforts 
        to achieve meaningful self-determination and economic self-
        sufficiency.
          (6) On July 21, 1980, the State of Utah, pursuant to title 
        73, chapter 4, Utah Code Ann., initiated a statutory 
        adjudication of water rights in the Fifth Judicial District 
        Court in Washington County, Utah, Civil No. 800507596, which 
        encompasses all of the rights to the use of water, both surface 
        and underground, within the drainage area of the Virgin River 
        and its tributaries in Utah (``Virgin River Adjudication''), 
        including the Santa Clara River Drainage (``Santa Clara 
        System'').
          (7) The United States was joined as a party in the Virgin 
        River Adjudication pursuant to section 666 of title 43, United 
        States Code. On February 17, 1987, the United States filed a 
        Statement of Water User Claim asserting water rights and 
        aboriginal claims for the benefit of the Shivwits Band to water 
        from the Santa Clara River System; said claim covered all 
        potential water rights for Indian tribes or bands in the Virgin 
        River System.
          (8) The Virgin River Adjudication will take many years to 
        conclude, entail great expense, and prolong uncertainty as to 
        the availability of water supplies, and thus the parties have 
        sought to settle their dispute over water and reduce the 
        burdens of litigation.
          (9) After lengthy negotiation, which included participation 
        by representatives of the United States Government for the 
        benefit of the Shivwits Band, the State of Utah, the Shivwits 
        Band, the Washington County Water Conservancy District, the 
        city of St. George, and others on the Santa Clara River System, 
        the parties have entered into agreements to resolve all water 
        rights claims between and among themselves and to quantify the 
        water right entitlement of the Shivwits Band, and to provide 
        for the construction of water projects to facilitate the 
        settlement of these claims.
          (10) Pursuant to the St. George Water Reuse Project 
        Agreement, the Santa Clara Project Agreement, and the 
        Settlement Agreement, the Shivwits Band will receive the right 
        to a total of 4,000 acre-feet of water annually in settlement 
        of its existing State law claims and Federal reserved water 
        right claims.
          (11) To advance the goals of Federal Indian policy and 
        consistent with the trust responsibility of the United States 
        to the Shivwits Band, it is appropriate that the United States 
        participate in the implementation of the St. George Water Reuse 
        Project Agreement, the Santa Clara Project Agreement, and the 
        Settlement Agreement in accordance with this Act.

SEC. 3. PURPOSES.

  The purposes of this Act are--
          (1) to achieve a fair, equitable, and final settlement of all 
        claims to water rights in the Santa Clara River for the 
        Shivwits Band, and the United States for the benefit of the 
        Shivwits Band;
          (2) to promote the self-determination and economic self-
        sufficiency of the Shivwits Band, in part by providing funds to 
        the Shivwits Band for its use in developing a viable 
        reservation economy;
          (3) to approve, ratify, and confirm the St. George Water 
        Reuse Project Agreement, the Santa Clara Project Agreement, and 
        the Settlement Agreement, and the Shivwits Water Right 
        described therein;
          (4) to authorize the Secretary of the Interior to execute the 
        St. George Water Reuse Project Agreement, the Santa Clara 
        Project Agreement, and the Settlement Agreement, and to take 
        such actions as are necessary to implement these agreements in 
        a manner consistent with this Act; and
          (5) to authorize the appropriation of funds necessary for 
        implementation of the St. George Water Reuse Project Agreement, 
        the Santa Clara Project Agreement, and the Settlement 
        Agreement.

SEC. 4. DEFINITIONS.

  In this Act:
          (1) Secretary.--The term ``Secretary'' means the Secretary of 
        the Interior.
          (2) Utah.--The term ``Utah'' means the State of Utah, by and 
        through its Department of Natural Resources.
          (3) Shivwits band.--The term ``Shivwits Band'' means the 
        Shivwits Band of the Paiute Indian Tribe of Utah, a constituent 
        band of the Paiute Indian Tribe of Utah, a federally recognized 
        Indian tribe organized under section 16 of the Indian 
        Reorganization Act of June 18, 1934 (48 Stat. 987; 25 U.S.C. 
        476), and the Act of April 3, 1980 (94 Stat. 317).
          (4) Paiute indian tribe of utah.--The term ``Paiute Indian 
        Tribe of Utah'' means the federally recognized Indian Tribe 
        organized under section 16 of the Indian Reorganization Act of 
        June 18, 1934 (48 Stat. 987; 25 U.S.C. 476), and the Act of 
        April 3, 1980 (94 Stat. 317), comprised of five bands of 
        Southern Paiute Indians (Shivwits, Indian Peaks, Cedar, 
        Koosharem, and Kanosh Bands).
          (5) District.--The term ``District'' means the Washington 
        County Water Conservancy District, a Utah water conservancy 
        district.
          (6) St. george.--The term ``St. George'' means St. George 
        City, a Utah municipal corporation.
          (7) Virgin river adjudication.--The term ``Virgin River 
        Adjudication'' means the statutory adjudication of water rights 
        initiated pursuant to title 73, chapter 4, Utah Code Ann. and 
        pending in the Fifth Judicial District Court in Washington 
        County, Utah, Civil No. 800507596.
          (8) St. george water reuse project agreement.--The term ``St. 
        George Water Reuse Project Agreement'' means the agreement 
        among the United States for the benefit of the Shivwits Band, 
        Utah, the Shivwits Band, and St. George City, together with all 
        exhibits thereto, as the same is approved and executed by the 
        Secretary of the Interior pursuant to section 8 of this Act.
          (9) Santa clara project agreement.--The term ``Santa Clara 
        Project Agreement'' means the agreement among the United States 
        for the benefit of the Shivwits Band, Utah, the Shivwits Band, 
        the Washington County Water Conservancy District, St. George 
        City, the New Santa Clara Field Canal Company, the St. George 
        Clara Field Canal Company, the Ivins Irrigation Company, the 
        Southgate Irrigation Company, Bloomington Irrigation Company, 
        Ed Bowler, and the Lower Gunlock Reservoir Company, together 
        with all exhibits thereto, as the same is approved and executed 
        by the Secretary of the Interior pursuant to section 8 of this 
        Act.
          (10) Settlement agreement.--The term ``Settlement Agreement'' 
        means that agreement among the United States for the benefit of 
        the Shivwits Band, Utah, the Shivwits Band, the Washington 
        County Water Conservancy District, St. George City, the New 
        Santa Clara Field Canal Company, the St. George Clara Field 
        Canal Company, the Ivins Irrigation Company, the Southgate 
        Irrigation Company, Bloomington Irrigation Company, Ed Bowler, 
        and the Lower Gunlock Reservoir Company, together with all 
        exhibits thereto, as the same is approved and executed by the 
        Secretary of the Interior pursuant to section 8 of this Act.
          (11) Shivwits water right.--The term ``Shivwits Water Right'' 
        means the water rights of the Shivwits Band set forth in the 
        Settlement Agreement and as settled, confirmed, and ratified by 
        section 7 of this Act.
          (12) Shivwits band trust fund.--The term ``Shivwits Band 
        Trust Fund'' means the Trust Fund authorized in section 11 of 
        this Act to further the purposes of the Settlement Agreement 
        and this Act.
          (13) Virgin river resource management and recovery program.--
        The term ``Virgin River Resource Management and Recovery 
        Program'' means the proposed multiagency program, to be 
        administered by the United States Fish and Wildlife Service, 
        Bureau of Land Management, National Park Service, Utah, and the 
        District, whose primary purpose is to prioritize and implement 
        native fish recovery actions that offset impacts due to future 
        water development in the Virgin River basin.

SEC. 5. ST. GEORGE WATER REUSE PROJECT.

  (a) St. George Water Reuse Project.--The St. George Water Reuse 
Project shall consist of water treatment facilities, a pipeline, and 
associated pumping and delivery facilities owned and operated by St. 
George, which is a component of, and shall divert water from, the Water 
Reclamation Facility located in St. George, Utah, and shall transport 
this water for delivery to and use by St. George and the Shivwits Band. 
St. George shall make 2,000 acre-feet of water available annually for 
use by the Shivwits Band in accordance with the St. George Water Reuse 
Project Agreement and this Act.
  (b) Project Construction Operation and Maintenance.--(1) St. George 
shall be responsible for the design, engineering, permitting, 
construction, operation, maintenance, repair, and replacement of the 
St. George Water Reuse Project, and the payment of its proportionate 
share of these project costs as provided for in the St. George Water 
Reuse Project Agreement.
  (2) The Shivwits Band and the United States for the benefit of the 
Shivwits Band shall make available, in accordance with the terms of the 
St. George Water Reuse Agreement and this Act, a total of $15,000,000 
to St. George for the proportionate share of the design, engineering, 
permitting, construction, operation, maintenance, repair, and 
replacement of the St. George Water Reuse Project associated with the 
2,000 acre-feet annually to be provided to the Shivwits Band.

SEC. 6. SANTA CLARA PROJECT.

  (a) Santa Clara Project.--The Santa Clara Project shall consist of a 
pressurized pipeline from the existing Gunlock Reservoir across the 
Shivwits Reservation to and including Ivins Reservoir, along with main 
lateral pipelines. The Santa Clara Project shall pool and deliver the 
water rights of the parties as set forth in the Santa Clara Project 
Agreement. The Santa Clara Project shall deliver to the Shivwits Band a 
total of 1,900 acre-feet annually in accordance with the Santa Clara 
Project Agreement and this Act.
  (b) Instream Flow.--The Santa Clara Project shall release instream 
flow water from the Gunlock Reservoir into the Santa Clara River for 
the benefit of the Virgin Spinedace, in accordance with the Santa Clara 
Project Agreement and this Act.
  (c) Project Funding.--The Utah Legislature and the United States 
Congress have each appropriated grants of $750,000 for the construction 
of the Santa Clara Project. The District shall provide a grant of 
$750,000 for the construction of the Santa Clara Project. The District 
shall provide any additional funding required for the construction of 
the Santa Clara Project.
  (d) Project Construction, Operation, and Maintenance.--The District 
shall be responsible for the permitting, design, engineering, 
construction, and the initial operation, maintenance, repair, and 
replacement of the Santa Clara Project. Operation, maintenance, repair, 
and replacement activities and costs of the Santa Clara Project shall 
be handled in accordance with the terms of the Santa Clara Project 
Agreement.

SEC. 7. SHIVWITS WATER RIGHT.

  (a) In General.--The Shivwits Band and its members shall have the 
right in perpetuity to divert, pump, impound, use, and reuse a total of 
4,000 acre-feet of water annually from the Virgin River and Santa Clara 
River systems, to be taken as follows:
          (1) 1,900 acre-feet annually from the Santa Clara River 
        System, with an 1890 priority date in accordance with the terms 
        of the Santa Clara Project Agreement.
          (2) 2,000 acre-feet of water annually from the St. George 
        Water Reuse Project as provided for in the St. George Water 
        Reuse Project Agreement. The Shivwits Band shall have first 
        priority to the reuse water provided from the St. George Water 
        Reclamation Facility.
          (3) 100 acre-feet annually, with a 1916 priority date, from 
        groundwater on the Shivwits Reservation.
  (b) Water Rights Claims.--All water rights claims of the Shivwits 
Band, and the Paiute Indian Tribe of Utah acting on behalf of the 
Shivwits Band, are hereby settled. The Shivwits Water Right is hereby 
ratified, confirmed, and shall be held in trust by the United States 
for the benefit of the Shivwits Band.
  (c) Settlement.--The Shivwits Band may use water from the springs and 
runoff located on the Shivwits Reservation. The amount used from these 
sources will be reported annually to the Utah State Engineer by the 
Shivwits Band and shall be counted against the annual 4,000 acre-feet 
Shivwits Water Right.
  (d) Abandonment, Forfeiture, or Nonuse.--The Shivwits Water Right 
shall not be subject to loss by abandonment, forfeiture, or nonuse.
  (e) Use of Lease.--The Shivwits Band may use or lease the Shivwits 
Water Right for either or both of the following:
          (1) For any purpose permitted by tribal or Federal law 
        anywhere on the Shivwits Band Reservation. Once the water is 
        delivered to the Reservation, such use shall not be subject to 
        State law, regulation, or jurisdiction.
          (2) For any beneficial use off the Shivwits Reservation in 
        accordance with the St. George Water Reuse Agreement, the Santa 
        Clara Project Agreement, the Settlement Agreement, and all 
        applicable Federal and State laws.
No service contract, lease, exchange, or other agreement entered into 
under this subsection may permanently alienate any portion of the 
Shivwits Water Right.

SEC. 8. RATIFICATION OF AGREEMENTS.

  Except to the extent that the St. George Water Reuse Project 
Agreement, the Santa Clara Project Agreement, and the Settlement 
Agreement conflict with the provisions of this Act, such agreements are 
hereby approved, ratified, and confirmed. The Secretary is hereby 
authorized to execute, and take such other actions as are necessary to 
implement, such agreements.

SEC. 9. SATISFACTION OF CLAIMS.

  (a) Full Satisfaction of Claims.--The benefits realized by the 
Shivwits Band and its members under the St. George Water Reuse Project 
Agreement, the Santa Clara Project Agreement, the Settlement Agreement, 
and this Act shall constitute full and complete satisfaction of all 
water rights claims, and any continuation thereafter of any of these 
claims, of the Shivwits Band and its members, and the Paiute Indian 
Tribe of Utah acting on behalf of the Shivwits Band, for water rights 
or injuries to water rights under Federal and State laws from time 
immemorial to the effective date of this Act. Notwithstanding the 
foregoing, nothing in this Act shall be--
          (1) deemed to recognize or establish any right of a member of 
        the Shivwits Band to water on the Shivwits Reservation; or
          (2) interpreted or construed to prevent or prohibit the 
        Shivwits Band from participating in the future in other water 
        projects, or from purchasing additional water rights for their 
        benefit and use, to the same extent as any other entity.
  (b) Release.--By the approval, ratification, and confirmation herein 
of the St. George Water Reuse Project Agreement, the Santa Clara 
Project Agreement, and the Settlement Agreement, the United States 
executes the following waiver to be effective upon satisfaction of the 
conditions set forth in section 14 of this Act. For purposes of this 
section--
          (1) ``water rights'' means rights under State and Federal law 
        to divert, pump, impound, use, or reuse, or to permit others to 
        divert, pump, impound, use or reuse water; and
          (2) ``injuries to water rights'' means the loss, deprivation, 
        or diminution of water rights.
  (c) Waiver and Release.--Except as otherwise provided in the 
Settlement Agreement, this Act, or the proposed judgment and decree 
referred to in section 14(a)(7) of this Act, the United States, on 
behalf of the Shivwits Band and the Paiute Indian Tribe of Utah acting 
on behalf of the Shivwits Band, waives and releases the following:
          (1) All claims for water rights or injuries to water rights 
        for lands within the Shivwits Reservation that accrued at any 
        time up to and including the effective date determined by 
        section 14 of this Act, and any continuation thereafter of any 
        of these claims, that the United States for the benefit of the 
        Shivwits Band may have against Utah, any agency or political 
        subdivision thereof, or any person, entity, corporation, or 
        municipal corporation.
          (2) All claims for water rights or injuries to water rights 
        for lands outside of the Shivwits Reservation, where such 
        claims are based on aboriginal occupancy of the Shivwits Band, 
        its members, or their predecessors, that accrued at any time up 
        to and including the effective date determined by section 14 of 
        this Act, and any continuation thereafter of any of these 
        claims, that the United States for the benefit of the Shivwits 
        Band may have against Utah, any agency or political subdivision 
        thereof, or any person, entity, corporation, or municipal 
        corporation.
          (3) All claims for trespass to lands on the Shivwits 
        Reservation regarding the use of Ivins Reservoir that accrued 
        at any time up to and including the effective date determined 
        by section 14 of this Act.
  (d) Savings Provision.--In the event the authorizations contained in 
subsection (d) of this section do not become effective pursuant to 
section 14, the Shivwits Band and the United States shall retain the 
right to assert past and future water rights claims as to all lands of 
the Shivwits Reservation, and the water rights claims and defenses of 
all other parties to the agreements shall also be retained.

SEC. 10. WATER RIGHTS AND HABITAT ACQUISITION PROGRAM.

  (a) In General.--The Secretary is authorized to establish a water 
rights and habitat acquisition program in the Virgin River Basin--
          (1) primarily for the benefit of native plant and animal 
        species in the Santa Clara River Basin which have been listed, 
        are likely to be listed, or are the subject of a duly approved 
        conservation agreement under the Endangered Species Act; and
          (2) secondarily for the benefit of native plant and animal 
        species in other parts of the Virgin River Basin which have 
        been listed, are likely to be listed, or are the subject of a 
        duly approved conservation agreement under the Endangered 
        Species Act.
  (b) Water and Water Rights.--The Secretary is authorized to acquire 
water and water rights, with or without the lands to which such rights 
are appurtenant, and to acquire shares in irrigation and water 
companies, and to transfer, hold, and exercise such water and water 
rights and related interests to assist the conservation and recovery of 
any native plant or animal species described in subsection (a).
  (c) Requirements.--Acquisition of the water rights and related 
interests pursuant to this section shall be subject to the following 
requirements:
          (1) Water rights acquired must satisfy eligibility criteria 
        adopted by the Secretary.
          (2) Water right purchases shall be only from willing sellers, 
        but the Secretary may target purchases in areas deemed by the 
        Secretary to be most beneficial to the water rights acquisition 
        program established by this section.
          (3) All water rights shall be transferred and administered in 
        accordance with any applicable State law.
  (d) Habitat Property.--The Secretary is authorized to acquire, hold, 
and transfer habitat property to assist the conservation and recovery 
of any native plant or animal species described in section 10(a). 
Acquisition of habitat property pursuant to this section shall be 
subject to the following requirements:
          (1) Habitat property acquired must satisfy eligibility 
        criteria adopted by the Secretary.
          (2) Habitat property purchases shall be only from willing 
        sellers, but the Secretary may target purchases in areas deemed 
        by the Secretary to be most beneficial to the habitat 
        acquisition program established by this section.
  (e) Contract.--The Secretary is authorized to administer the water 
rights and habitat acquisition program by contract or agreement with a 
non-Federal entity which the Secretary determines to be qualified to 
administer such program. The water rights and habitat acquisition 
program shall be administered pursuant to the Virgin River Resource 
Management and Recovery Program.
  (f) Authorization.--There is authorized to be appropriated from the 
Land and Water Conservation Fund in fiscal year 2003 or any year 
thereafter, a total of $3,000,000 for the water rights and habitat 
acquisition program authorized in this section. The Secretary is 
authorized to deposit and maintain this appropriation in an interest 
bearing account, said interest to be used for the purposes of this 
section. The funds authorized to be appropriated by this section shall 
not be in lieu of or supersede any other commitments by Federal, State, 
or local agencies. The funds appropriated pursuant to this section 
shall be available until expended, and shall not be expended for the 
purpose set forth in subsection (a)(2) until the Secretary has 
evaluated the effectiveness of the instream flow required and provided 
by the Santa Clara Project Agreement, and has assured that the 
appropriations authorized in this section are first made available for 
the purpose set forth in subsection (a)(1).

SEC. 11. SHIVWITS BAND TRUST FUND.

  (a) Establishment of Trust Fund.--There is established in the 
Treasury of the United States a fund to be known as the ``Shivwits Band 
Trust Fund'' (hereinafter called the ``Trust Fund''). The Secretary 
shall deposit into the Trust Fund the funds authorized to be 
appropriated in subsections (b) and (c). Except as otherwise provided 
in this Act, the Trust Fund principal and any income accruing thereon 
shall be managed in accordance with the American Indian Trust Fund 
Management Reform Act (108 Stat. 4239; 25 U.S.C. 4001 et seq.).
  (b) Authorization.--There is authorized to be appropriated a total of 
$20,000,000, in the 2001, 2002, or 2003 fiscal years for the following 
purposes:
          (1) $5,000,000, which shall be made available to the Shivwits 
        Band from the Trust Fund for purposes including but not limited 
        to those that would enable the Shivwits Band to put to 
        beneficial use all or part of the Shivwits Water Right, to 
        defray the costs of any water development project in which the 
        Shivwits Band is participating, or to undertake any other 
        activity that may be necessary or desired for implementation of 
        the St. George Water Reuse Project Agreement, the Santa Clara 
        Project Agreement, the Settlement Agreement, or for economic 
        development on the Shivwits Reservation.
          (2) $15,000,000, which shall be made available by the 
        Secretary and the Shivwits Band to St. George for the St. 
        George Water Reuse Project, in accordance with the St. George 
        Water Reuse Project Agreement.
  (c) Share of Certain Costs.--There is authorized to be appropriated 
to the Trust Fund in fiscal year 2001, 2002, or 2003 a total of 
$1,000,000 to assist with the Shivwits Band's proportionate share of 
operation, maintenance, repair, and replacement costs of the Santa 
Clara Project as provided for in the Santa Clara Project Agreement.
  (d) Use of the Trust Fund.--Except for the $15,000,000 appropriated 
pursuant to subsection (b)(2), all Trust Fund principal and income 
accruing thereon may be used by the Shivwits Band for the purposes 
described in subsection (b)(1). The Shivwits Band, with the approval of 
the Secretary, may withdraw the Trust Fund and deposit it in a mutually 
agreed upon private financial institution. That withdrawal shall be 
made pursuant to the American Indian Trust Fund Management Reform Act 
of 1994 (25 U.S.C. 4001 et seq.). If the Shivwits Band exercises its 
right pursuant to this subsection to withdraw the Trust Fund and 
deposit it in a private financial institution, except as provided in 
the withdrawal plan, neither the Secretary nor the Secretary of the 
Treasury shall retain any oversight over or liability for the 
accounting, disbursement, or investment of the funds.
  (e) No Per Capita Payments.--No part of the principal of the Trust 
Fund, or of the income accruing thereon, or of any revenue generated 
from any water use subcontract, shall be distributed to any member of 
the Shivwits Band on a per capita basis.
  (f) Limitation.--The moneys authorized to be appropriated under 
subsections (b) and (c) shall not be available for expenditure or 
withdrawal by the Shivwits Band until the requirements of section 14 
have been met so that the decree has become final and the waivers and 
releases executed pursuant to section 9(b) have become effective. Once 
the settlement becomes effective pursuant to the terms of section 14 of 
this Act, the assets of the Trust Fund belong to the Shivwits Band and 
are not returnable to the United States Government.

SEC. 12. ENVIRONMENTAL COMPLIANCE.

  (a) National Environmental Policy Act.--Execution by the Secretary of 
the St. George Water Reuse Project Agreement, the Santa Clara Project 
Agreement, or the Settlement Agreement shall not constitute major 
Federal action under the National Environmental Policy Act of 1969 (42 
U.S.C. 4321 et seq.).
  (b) Other Requirements.--The Secretary shall comply with all other 
aspects of the National Environmental Policy Act of 1969 (42 U.S.C. 
4321 et seq.), and other applicable environmental laws in implementing 
the terms of the St. George Water Reuse Agreement, the Santa Clara 
Project Agreement, the Settlement Agreement, and this Act.

SEC. 13. MISCELLANEOUS PROVISIONS.

  (a) Other Indian Tribes.--Nothing in the Settlement Agreement or this 
Act shall be construed in any way to quantify or otherwise adversely 
affect the land and water rights, claims, or entitlements to water of 
any Indian tribe, pueblo, or community, other than the Shivwits Band 
and the Paiute Indian Tribe of Utah acting on behalf of the Shivwits 
Band.
  (b) Precedent.--Nothing in this Act shall be construed or interpreted 
as a precedent for the litigation of reserved water rights or the 
interpretation or administration of future water settlement Acts.
  (c) Waiver of Sovereign Immunity.--Except to the extent provided in 
subsections (a), (b), and (c) of section 208 of the Department of 
Justice Appropriation Act, 1953 (43 U.S.C. 666), nothing in this Act 
may be construed to waive the sovereign immunity of the United States. 
Furthermore, the submission of any portion of the Settlement Agreement 
to the District Court in the Virgin River Adjudication shall not expand 
State court jurisdiction or expand in any manner the waiver of 
sovereign immunity of the United States in section 666 of title 43, 
United States Code, or any other provision of Federal law.
  (d) Appraisals.--Notwithstanding any other law to the contrary, the 
Secretary is authorized to approve any right-of-way appraisal which has 
been completed in accordance with the provisions of the Santa Clara 
Project Agreement.

SEC. 14. EFFECTIVE DATE.

  (a) In General.--The authorization contained in section 9(b) of this 
Act shall become effective as of the date the Secretary causes to be 
published in the Federal Register a statement of findings that--
          (1) the funds authorized by section 11 (b) and (c) have been 
        appropriated and deposited into the Trust Fund;
          (2) the funds authorized by section 10(c) have been 
        appropriated;
          (3) the St. George Water Reuse Project Agreement has been 
        modified to the extent it is in conflict with this Act and has 
        been executed by all parties thereto;
          (4) the Santa Clara Project Agreement has been modified to 
        the extent it is in conflict with this Act and has been 
        executed by all parties thereto;
          (5) the Settlement Agreement has been modified to the extent 
        it is in conflict with this Act and has been executed by all 
        parties thereto;
          (6) the State Engineer of Utah has taken all actions and 
        approved all applications necessary to implement the provisions 
        of the St. George Water Reuse Agreement, the Santa Clara 
        Project Agreement, and the Settlement Agreement, from which no 
        further appeals may be taken; and
          (7) the court has entered a judgment and decree confirming 
        the Shivwits Water Right in the Virgin River Adjudication 
        pursuant to Utah Rule of Civil Procedure 54(b), that confirms 
        the Shivwits Water Right and is final as to all parties to the 
        Santa Clara Division of the Virgin River Adjudication and from 
        which no further appeals may be taken, which the United States 
        and Utah find is consistent in all material aspects with the 
        Settlement Agreement and with the proposed judgment and decree 
        agreed to by the parties to the Settlement Agreement.
  (b) Deadline.--If the requirements of paragraphs (1) through (7) of 
subsection (a) are not completed to allow the Secretary's statement of 
findings to be published by December 31, 2003--
          (1) except as provided in section 9(c), this Act shall be of 
        no further force and effect; and
          (2) all unexpended funds appropriated under section 11 (b) 
        and (c), together with all interest earned on such funds shall 
        revert to the general fund of the United States Treasury on 
        December 31, 2004.

                          PURPOSE OF THE BILL

    The purpose of H.R. 3291 is to provide for the settlement 
of the water rights claims of the Shivwits Band of the Paiute 
Indian Tribe of Utah, and for other purposes.

                  BACKGROUND AND NEED FOR LEGISLATION

    On July 21, 1980, the State of Utah initiated a statutory 
adjudication of water rights within the drainage of the Virgin 
River, including the Santa Clara River. The United States was 
joined as a party in the Virgin River Adjudication and filed a 
claim on its own behalf and on behalf of the Shivwits Band of 
Paiute Indian Tribe as their trustee. However, due to the time 
and expense of such adjudication, the parties have entered into 
agreements to resolve the water rights claims by construction 
of two water projects and guaranteeing 4,000 acre-feet of water 
per year to the Shivwits. These projects are particularly 
necessary due to the variability of water flows in the Santa 
Clara River.
    First, the St. George Water Reuse Project, consisting of 
water treatment facilities, a pipeline, and other associated 
facilities, would be built to provide reuse water to St. 
George, Utah, and provide 2,000 acre-feet annually to the 
Shivwits Band. Construction cost for the project, amounting to 
$15 million, would be provided by the Shivwits Band and the 
United States pursuant to this legislation.
    Second, the Santa Clara Project, a pressurized pipeline, 
would pool and deliver water, including 1,900 acre-feet in an 
average or above average year to the Shivwits Band. 
Additionally, the Santa Clara Project would release instream 
flow water from the Gunlock Reservoir for the benefit of the 
Virgin Spinedace, a fish. Utah, the United States, the 
Washington County Water Conservancy District would each 
contribute a grant of $750,000 for the construction of this 
project. The District will provide any additional funding 
required for the construction of the project. The United States 
would make available to the Shivwits Band $1 million to cover 
the Shivwits' proportionate share of the operation, maintenance 
repair and replacement costs of the Project.
    Third, the Shivwits would receive the right to 100 acre-
feet annually of groundwater produced from wells on the 
Shivwits Reservation. A $5 million Trust Fund is established 
for the Shivwits for the purposes of using the Shivwits water, 
defraying other water development project costs or for economic 
development on the reservation.
    Finally, this legislation authorizes the Secretary of the 
Interior to establish a water right and habitat acquisition 
program in the Virgin River Basin for the benefit of native 
plant and animal species, which have been listed, are likely to 
be listed, or are the subject of a conservation agreement under 
the Endangered Species Act. Acquisition of water rights and 
habitat property must be primarily in the Santa Clara River 
Basin and secondarily in other parts of the Virgin River Basin, 
be from willing sellers and would be funded by an appropriation 
of $3 million.

                            COMMITTEE ACTION

    H.R. 3291 was introduced on November 10, 1999, by 
Congressman James V. Hansen (R-UT). The bill was referred to 
the Committee on Resources. On April 4, 2000, the Full 
Committee on Resources held a hearing on the bill. On May 24, 
2000, the Full Resources Committee met to consider the bill. 
Congressman Hansen offered an amendment in the nature of a 
substitute which, along with technical corrections to the bill, 
did four things. First, it dictated that the requirements of 
section 14 of the bill be met before funds are available. 
Second, it stated that nothing in the bill may be construed as 
expanding the waiver of U.S. sovereign immunity provided for in 
43 U.S.C. 666. Third, it established a deadline to limit the 
further funding of the project if the requirements of section 
14 of the bill is not met. Fourth, it authorized to be 
appropriated from the Land and Water Conservation Fund in 
fiscal 2003 a total of $3 million for the water rights and 
habitat acquisition program authorized in the bill.
    The main objective of these changes is to clarify intent 
and conform the language to existing statutory law and 
practice. The amendment was the result of discussions between 
the Department of the Interior, the Shivwits Band of the Paiute 
Indian Tribe of Utah, the Department of Justice, the State of 
Utah, the City of St. George and the Washington County Water 
Conservancy District. The amendment was adopted by voice vote. 
The bill as amended was then ordered favorably reported to the 
House of Representatives by voice vote.

                      SECTION-BY-SECTION ANALYSIS

Section 1. Short title

    The short title of the bill is the Shivwits Band of the 
Paiute Indian Tribe of Utah Water Rights Settlement Act.

Section 2. Findings

    This section provides 11 findings.

Section 3. Purposes

    The main purpose of H.R. 3291 is to resolve and settle all 
water right claims of the Shivwits Band and the United States 
for the benefit of the Shivwits Band on the Santa Clara River 
system.

Section 4. Definitions

    This section defines 13 terms used in the bill.

Section 5. St. George Water Reuse Project

    The St. George Water Reuse Project will consist of water 
treatment facilities, a pipeline, and associated pumping and 
delivery facilities owned and operated by City of St. George, 
Utah. These facilities will divert water from the Water 
Reclamation Facility near St. George, Utah, and transport this 
water for delivery and use by St. George and Shivwits Band. St. 
George will make 2,000 acre feet of water available annually to 
the Shivwits Band at the eastern boundary of the Shivwits 
Reservation and shall be responsible for the construction, 
operation and maintenance, repair and replacement of the St. 
George Water Reuse Project. The Shivwits Band, and the United 
States on behalf of the Shivwits, is obligated to pay $15 
million to St. George for the Shivwits proportionate share of 
the construction, operation, maintenance, repair and 
replacement of the St. George Water Reuse Project.

Section 6. Santa Clara project

    The Santa Clara Project pools the water from the water 
rights of the St. George Clara Field
    Canal Company, the New Santa Clara Field Canal Company, the 
Ivins Irrigation Company and the Lower Gunlock Reservoir 
Corporation and the Shivwits Band. This pooled water is then 
distributed to the pooling parties. Pursuant to the Santa Clara 
Project Agreement, the Shivwits Band will receive 1900 acre 
feet annually from the Santa Clara River in an average water 
year.
    All users will take proportionate reductions in below-
average water years. Surface water rights will be supplemented 
by underground water rights of the parties, including St. 
George, in below-average years.

Section 7. Shivwits water right

    The total water right of the Shivwits Band under the 
settlement agreements is 4,000 acre-feet per year. The water 
will be provided from three projects or sources, which are: 
2,000 acre-feet from the St. George Water Reuse Project; 1,900 
acre-feet from the Santa Clara Project; and 100 acre-feet from 
wells on the Shivwits reservation.

Section 8. Ratification of agreements

    Except to the extent that the St. George Water Reuse 
Project Agreement, the Santa Clara Project Agreement, and the 
Settlement Agreement conflict with the provisions of this bill, 
this section approves, ratifies and confirms those agreements.

Section 9. Satisfaction of claims

    The benefits realized by the Shivwits Band and its members 
under the settlement agreements and this bill constitute full 
and complete satisfaction of all water rights claims of the 
Shivwits Band and its members.
    On behalf of the Shivwits Band, and the Paiute Indian Tribe 
of Utah acting on behalf of the Shivwits Band, the United 
States waives all claims for water rights or injuries to those 
rights within the Shivwits Reservation or lands outside the 
reservation where such claims are based on aboriginal occupancy 
of the Shivwits Band, that accrued up to and including the 
effective date determined by section 14 of this bill, that they 
may have against the State of Utah, any agency or political 
subdivision thereof, or any person, entity, corporation, or 
municipal corporation.

Section 10. Water rights and habitat acquisition program

    Under existing practices, the Santa Clara River below the 
Gunlock Reservoir is generally dry during the non-irrigation 
season. The River is habitat for the Virgin Spinedace. Under 
this section, the Secretary of the Interior is authorized to 
establish a water rights and habitat acquisition program. This 
section authorizes to be appropriated from the Land and Water 
Conservation Fund in fiscal years 2003 or thereafter a total of 
$3 million for the water rights and habitat acquisition 
program. These funds are non-lapsing.

Section 11. Shivwits Band Trust Fund

    It is established in the Treasury of the United States a 
fund that will be known as the Shivwits Band Trust Fund. There 
is authorized to be appropriated a total of $20 million in the 
2001, 2002, and 2003 fiscal years, for this fund. This fund 
shall be managed in accordance with the American Indian Trust 
Fund Management Reform Act (25 U.S.C. 4001).
    From the Shivwits Band Trust Fund, $15 million shall be 
made available by the Secretary and Shivwits Band to St. George 
for the St. George Water Reuse Project. The remaining $5 
million should go toward putting to beneficial use the Shivwits 
water rights or any water development projects the tribe is 
participating in, or for economic development on the Shivwits 
Reservation.
    There is also authorized to be appropriated to the Trust 
Fund in fiscal year 2001, 2002, or 2003 a total of $1 million 
to assist with the Shivwits Band's proportionate share of 
operation, maintenance, repair, and replacement costs of the 
Santa Clara Project.
    No part of the Shivwits Trust Fund or income accruing 
thereon may be distributed to any member of the Shivwits Band 
on a per capita basis.

Section 12. Environmental compliance

    Execution by the Secretary of the St. George Water Reuse 
Project Agreement, the Santa Clara Project Agreement, or the 
Settlement Agreement does not constitute major federal action 
under the National Environmental Policy Act of 1969 (42 U.S.C. 
4321 et seq.).

Section 13. Miscellaneous provisions

    Nothing in the bill may be construed as waiving or 
expanding the waiver of U.S. sovereign immunity as provided for 
in 43 U.S.C. 666 or as a precedent for the litigation of 
reserved water rights or the interpretation or administration 
of future water settlement acts. Nothing in this bill or the 
Settlement Agreement be construed to affect land and water 
rights claims of a Indian tribe, pueblo, or community, other 
than the Shivwits Band and the Paiute Indian Tribe of Utah 
acting on behalf of the Shivwits Band.
    The Secretary of Interior is authorized to approve right-
of-way appraisals completed in accordance with the provisions 
of the Santa Clara Project Agreement.

Section 14. Effective date

    The authorization contained in section 9(b) of this bill 
shall become effective once the requirements of section 14 are 
met. If the requirements of this section are not met by 
December 31, 2003, the authorization contained in section 9(b) 
of this bill shall not take effect and all unexpended funds 
appropriated or otherwise generated under subsections 11(b) and 
(c), shall revert to the general fund of the United States 
Treasury on December 31, 2004.

            COMMITTEE OVERSIGHT FINDINGS AND RECOMMENDATIONS

    Regarding clause 2(b)(1) of rule X and clause 3(c)(1) of 
rule XIII of the Rules of the House of Representatives, the 
Committee on Resources' oversight findings and recommendations 
are reflected in the body of this report.

                   CONSTITUTIONAL AUTHORITY STATEMENT

    Article I, section 8 of the Constitution of the United 
States grants Congress the authority to enact this bill.

                    COMPLIANCE WITH HOUSE RULE XIII

    1. Cost of Legislation. Clause 3(d)(2) of rule XIII of the 
Rules of the House of Representatives requires an estimate and 
a comparison by the Committee of the costs which would be 
incurred in carrying out this bill. However, clause 3(d)(3)(B) 
of that rule provides that this requirement does not apply when 
the Committee has included in its report a timely submitted 
cost estimate of the bill prepared by the Director of the 
Congressional Budget Office under section 402 of the 
Congressional Budget Act of 1974.
    2. Congressional Budget Act. As required by clause 3(c)(2) 
of rule XIII of the Rules of the House of Representatives and 
section 308(a) of the Congressional Budget Act of 1974, this 
bill does not contain any new budget authority, spending 
authority, credit authority, or an increase or decrease in 
revenues or tax expenditures.
    3. Government Reform Oversight Findings. Under clause 
3(c)(4) of rule XIII of the Rules of the House of 
Representatives, the Committee has received no report of 
oversight findings and recommendations from the Committee on 
Government Reform on this bill.
    4. Congressional Budget Office Cost Estimate. Under clause 
3(c)(3) of rule XIII of the Rules of the House of 
Representatives and section 403 of the Congressional Budget Act 
of 1974, the Committee has received the following cost estimate 
for this bill from the Director of the Congressional Budget 
Office:

                                     U.S. Congress,
                               Congressional Budget Office,
                                     Washington, DC, June 15, 2000.
Hon. Don Young,
Chairman, Committee on Resources,
House of Representatives, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for H.R. 3291, the Shivwits 
Band of the Paiute Indian Tribe of Utah Water Rights Settlement 
Act.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is Lanette Keith 
(for federal costs) and Majorie Miller (for the impact on 
state, local, and tribal governments).
            Sincerely,
                                          Barry B. Anderson
                                    (For Dan L. Crippen, Director).
    Enclosure.

H.R. 3291--Shivwits Band of the Paiute Indian Tribe of Utah Water 
        Rights Settlement Act

    Summary: H.R. 3291 would provide for the settlement of 
water rights claims of the Shivwits Band of the Paiute Indian 
Tribe, pending final approval by the tribe and the state of 
Utah. The bill would authorize appropriations for the 
Department of the Interior (DOI) to implement the agreement, 
but these funds could not be spent until the agreement is 
approved by a Utah court. H.R. 3291 would create the Shivwits 
Band Trust Fund and would allow the tribe to spend amounts 
appropriated to the fund. In addition, the bill would authorize 
funding to acquire water rights and wildlife habitat in the 
Virgin River Basin.
    Based on information from DOI, CBO estimates that 
implementing H.R. 3291 would cost $24 million over the 2001-
2005 period, assuming the appropriation of the authorized 
amounts. Enacting H.R. 3291 would not affect direct spending or 
receipts; therefore, pay-as-you-go procedures would not apply. 
H.R. 3291 contains no intergovernmental or private-sector 
mandates as defined in the Unfunded Mandates Reform Act (UMRA). 
Any costs resulting from the settlement agreement would be 
incurred voluntarily by the state, local, and tribal government 
as parties to that agreement.
    Estimated cost to the Federal Government: The estimated 
budgetary impact of H.R. 3291 is shown in the following table. 
The costs of this legislation would be discretionary and would 
fall within budget function 450 (community and regional 
development).

----------------------------------------------------------------------------------------------------------------
                                                                  By fiscal year, in millions of dollars--
                                                           -----------------------------------------------------
                                                              2000     2001     2002     2003     2004     2005
----------------------------------------------------------------------------------------------------------------
                                        SPENDING SUBJECT TO APPROPRIATION

Authorization level.......................................        0        0        0       24        0        0
Estimated outlays.........................................        0        0        0       22        1        1
----------------------------------------------------------------------------------------------------------------

            Basis of estimate
    H.R. 3291 would authorize the appropriation of $24 million 
over the 2001-2003 period; however, no funds could be spent 
until all requirements in section 14 are satisfied, including 
approval of the water rights settlement agreement by all 
parties to the agreement and by a Utah court. Based on 
information from the tribe, other parties to the agreement and 
DOI, CBO expects that the parties would approve the settlement 
during fiscal year 2001. For this estimate, CBO assumes the 
authorized funds would be appropriated in 2003 because, under 
the provisions of the bill, no funds would be available until 
an appropriation has been provided for the water rights and 
habitat acquisition program, which is authorized to commence in 
2003.
    Shivwits Band Trust Fund.--H.R. 3291 would authorize the 
appropriation of $21 million to the Shivwits Band Trust Fund 
over the 2001-2003 period. This amount includes $15 million for 
the St. George Water Reuse Project, $1 million for operation, 
maintenance and repair of the Santa Clara Project, and $5 
million for the tribe. After the settlement agreement is 
approved, funds deposited into this trust fund would become the 
tribe's property. Thus, assuming that appropriations of $21 
million are provided in 2003, outlays of that amount would be 
recorded in that year.
    Water Rights and Habitat Acquisition Program.--H.R. 3291 
would authorize the appropriation of $3 million in 2003 for DOI 
to develop a water rights and habitat acquisition program for 
the purpose of conserving native plant and animal species 
within the Virgin River Basin. None of these funds could be 
spent until the settlement agreement is approved. This 
appropriation would not be deposited into the trust fund, so 
spending would occur as the program is implemented over the 
2003-2005 period.
    Pay-as-you-go considerations: None.
    Estimated impact of State, local, and tribal governments: 
H.R. 3291, contains no intergovernmental mandates as defined in 
UMRA. Any costs resulting from the settlement agreement would 
be incurred voluntarily by the state, local, and tribal 
governments that are parties to that agreement. The tribe has 
agreed to release the United States from all claims relating to 
its water rights in exchange for the benefits to be provided by 
this bill. The state of Utah and the affected local governments 
have agreed to make financial contributions in support of the 
projects covered by this agreement
    Estimated impact on the private sector: This bill contains 
no new private-sector mandates as defined in UMRA.
    Estimate prepared by: Federal costs: Lanette Keith; impact 
on State, local, and tribal governments: Marjorie Miller; 
impact on the private sector: Natalie Tawil.
    Estimate approved by: Robert A. Sunshine, Assistant 
Director for Budget Analysis.

                    COMPLIANCE WITH PUBLIC LAW 104-4

    This bill contains no unfunded mandates.

                        CHANGES IN EXISTING LAW

    If enacted, this bill would make no changes in existing 
law.

                                
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