Pueblo as recognized and confirmed by a patent 
issued under the Act of December 22, 1858 (11 
Stat. 374, chapter V); or 
(D) within the exterior boundaries of any 
real property located outside the Pojoaque 
Basin set aside for a Pueblo by law, executive 
order, or court decree, if the land is within or 
contiguous to land held by the United States in 
trust for the Pueblo as of January 1, 2005. 
(18) PUEBLO WATER FACILITY.— 
(A) IN
GENERAL.—The term ‘‘Pueblo 
Water Facility’’ means— 
(i) a portion of the Regional Water 
System that serves only water customers 
on Pueblo land; and 
(ii) portions of a Pueblo water system 
in existence on the date of enactment of 
this Act that serve water customers on 
non-Pueblo land, also in existence on the 
date of enactment of this Act, or their suc-
cessors, that are— 
(I) depicted in the final project 
design, as modified by the drawings 
reflecting 
the 
completed 
Regional 
Water System; and 
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(II) described in the Operating 
Agreement. 
(B) 
INCLUSIONS.—The 
term 
‘‘Pueblo 
Water Facility’’ includes— 
(i) the barrier dam and infiltration 
project on the Rio Pojoaque described in 
the Engineering Report; and 
(ii) the Tesuque Pueblo infiltration 
pond described in the Engineering Report. 
(19) REGIONAL WATER SYSTEM.— 
(A) IN
GENERAL.—The term ‘‘Regional 
Water System’’ means the Regional Water Sys-
tem described in section 111(a). 
(B) EXCLUSIONS.—The term ‘‘Regional 
Water System’’ does not include the County or 
Pueblo water supply delivered through the Re-
gional Water System. 
(20) SAN
JUAN-CHAMA
PROJECT.—The term 
‘‘San Juan-Chama Project’’ means the Project au-
thorized by section 8 of the Act of June 13, 1962 
(76 Stat. 96, 97) and the Act of April 11, 1956 (70 
Stat. 105). 
(21) 
SECRETARY.—The 
term 
‘‘Secretary’’ 
means the Secretary of the Interior. 
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(22) SETTLEMENT
AGREEMENT.—The term 
‘‘Settlement Agreement’’ means the stipulated and 
binding agreement among the State, the Pueblos, 
the United States, the County, and the City dated 
January 19, 2006, and signed by all of the govern-
ment parties to the Settlement Agreement (other 
than the United States) on May 3, 2006 and as 
amended in conformity with this Act. 
(23) STATE.—The term ‘‘State’’ means the 
State of New Mexico. 
Subtitle A—Pojoaque Basin 
Regional Water System 
SEC. 111. AUTHORIZATION OF REGIONAL WATER SYSTEM. 
(a) IN GENERAL.—The Secretary, acting through the 
Commissioner of Reclamation, shall plan, design, and con-
struct a regional water system in accordance with the Set-
tlement Agreement, to be known as the ‘‘Regional Water 
System’’— 
(1) to divert and distribute water to the Pueb-
los and to the County Water Utility, in accordance 
with the Engineering Report; and 
(2) that consists of— 
(A) surface water diversion facilities at 
San Ildefonso Pueblo on the Rio Grande; and 
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(B) any treatment, transmission, storage 
and distribution facilities and wellfields for the 
County Distribution System and Pueblo Water 
Facilities that are necessary to supply a min-
imum of 4,000 acre-feet of water within the 
Pojoaque Basin, in accordance with the Engi-
neering Report. 
(b) FINAL PROJECT DESIGN.—The Secretary shall 
issue a final project design within 90 days of completion 
of the environmental compliance described in section 116 
for the Regional Water System that— 
(1) is consistent with the Engineering Report; 
and 
(2) includes a description of any Pueblo Water 
Facilities. 
(c) ACQUISITION OF LAND; WATER RIGHTS.— 
(1) ACQUISITION OF LAND.—Upon request, and 
in exchange for the funding which shall be provided 
in section 117(c), the Pueblos shall consent to the 
grant of such easements and rights-of-way as may 
be necessary for the construction of the Regional 
Water System at no cost to the Secretary. To the 
extent that the State or County own easements or 
rights-of-way that may be used for construction of 
the Regional Water System, the State or County 
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shall provide that land or interest in land as nec-
essary for construction at no cost to the Secretary. 
The Secretary shall acquire any other land or inter-
est in land that is necessary for the construction of 
the Regional Water System with the exception of the 
Bishop’s Lodge Extension. 
(2) WATER RIGHTS.—The Secretary shall not 
condemn water rights for purposes of the Regional 
Water System. 
(d) CONDITIONS FOR CONSTRUCTION.— 
(1) IN
GENERAL.—The Secretary shall not 
begin construction of the Regional Water System fa-
cilities until the date on which— 
(A) the Secretary executes— 
(i) the Settlement Agreement; and 
(ii) the Cost-Sharing and System In-
tegration Agreement; and 
(B) the State and the County have entered 
into an agreement with the Secretary to con-
tribute the non-Federal share of the costs of the 
construction in accordance with the Cost-Shar-
ing and System Integration Agreement. 
(e) APPLICABLE LAW.—The Indian Self-Determina-
tion and Education Assistance Act (25 U.S.C. 450 et seq.) 
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shall not apply to the design and construction of the Re-
gional Water System. 
(f) CONSTRUCTION COSTS.— 
(1) PUEBLO WATER FACILITIES.—The costs of 
constructing the Pueblo Water Facilities, as deter-
mined by the final project design and the Engineer-
ing Report— 
(A) shall be at full Federal expense subject 
to the amount authorized in section 117(a)(1); 
and 
(B) shall be nonreimbursable to the United 
States. 
(2) COUNTY DISTRIBUTION SYSTEM.—The costs 
of constructing the County Distribution System shall 
be at State and local expense. 
(g) STATE AND LOCAL CAPITAL OBLIGATIONS.—The 
State and local capital obligations for the Regional Water 
System described in the Cost-Sharing and System Integra-
tion Agreement shall be satisfied on the payment of the 
State and local capital obligations described in the Cost- 
Sharing and System Integration Agreement. 
(h) CONVEYANCE OF REGIONAL WATER SYSTEM FA-
CILITIES.— 
(1) IN GENERAL.—Subject to paragraph (2), on 
completion of the construction of the Regional Water 
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under paragraph (1), the Pueblos, County, or the 
Authority, as applicable, may, at the expense of the 
Pueblos, County, or the Authority, construct any ad-
ditional infrastructure that is necessary to fully use 
the water delivered by the Regional Water System. 
(6) LIABILITY.— 
(A) IN GENERAL.—Effective on the date of 
conveyance of any land or facility under this 
section, the United States shall not be held lia-
ble by any court for damages of any kind aris-
ing out of any act, omission, or occurrence re-
lating to the land and facilities conveyed, other 
than damages caused by acts of negligence by 
the United States, or by employees or agents of 
the United States, prior to the date of convey-
ance. 
(B) TORT CLAIMS.—Nothing in this sec-
tion increases the liability of the United States 
beyond the liability provided in chapter 171 of 
title 28, United States Code (commonly known 
as the ‘‘Federal Tort Claims Act’’). 
(7) EFFECT.—Nothing in any transfer of own-
ership provided or any conveyance thereto as pro-
vided in this section shall extinguish the right of any 
Pueblo, the County, or the Regional Water Author-
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ity to the continuous use and benefit of each ease-
ment or right of way for the use, operation, mainte-
nance, repair, and replacement of Pueblo Water Fa-
cilities, the County Distribution System or the Re-
gional Water System or for wastewater purposes as 
provided in the Cost-Sharing and System Integra-
tion Agreement. 
SEC. 112. OPERATING AGREEMENT. 
(a) IN GENERAL.—The Pueblos and the County shall 
submit to the Secretary an executed Operating Agreement 
for the Regional Water System that is consistent with this 
Act, the Settlement Agreement, and the Cost-Sharing and 
System Integration Agreement not later than 180 days 
after the later of— 
(1) the date of completion of environmental 
compliance and permitting; or 
(2) the date of issuance of a final project design 
for the Regional Water System under section 
111(b). 
(b) APPROVAL.—Not later than 180 days after re-
ceipt of the operating agreement described in subsection 
(a), the Secretary shall approve the Operating Agreement 
upon determination that the Operating Agreement is con-
sistent with this Act, the Settlement Agreement, and the 
Cost-Sharing and System Integration Agreement. 
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(c) CONTENTS.—The Operating Agreement shall in-
clude— 
(1) provisions consistent with the Settlement 
Agreement and the Cost-Sharing and System Inte-
gration Agreement and necessary to implement the 
intended benefits of the Regional Water System de-
scribed in those documents; 
(2) provisions for— 
(A) the distribution of water conveyed 
through the Regional Water System, including 
a delineation of— 
(i) distribution lines for the County 
Distribution System; 
(ii) distribution lines for the Pueblo 
Water Facilities; and 
(iii) distribution lines that serve 
both— 
(I) the County Distribution Sys-
tem; and 
(II) the Pueblo Water Facilities; 
(B) the allocation of the Regional Water 
System capacity; 
(C) the terms of use of unused water ca-
pacity in the Regional Water System; 
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(D) the construction of additional infra-
structure and the acquisition of associated 
rights-of-way or easements necessary to enable 
any of the Pueblos or the County to fully use 
water allocated to the Pueblos or the County 
from the Regional Water System, including pro-
visions addressing when the construction of 
such additional infrastructure requires approval 
by the Authority; 
(E) the allocation and payment of annual 
operation, maintenance, and replacement costs 
for the Regional Water System, including the 
portions of the Regional Water System that are 
used to treat, transmit, and distribute water to 
both the Pueblo Water Facilities and the Coun-
ty Water Utility; 
(F) the operation of wellfields located on 
Pueblo land; 
(G) the transfer of any water rights nec-
essary to provide the Pueblo water supply de-
scribed in section 113(a); 
(H) the operation of the Regional Water 
System with respect to the water supply, includ-
ing the allocation of the water supply in accord-
ance with section 3.1.8.4.2 of the Settlement 
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Agreement so that, in the event of a shortage 
of supply to the Regional Water System, the 
supply to each of the Pueblos’ and to the Coun-
ty’s distribution system shall be reduced on a 
prorata basis, in proportion to each distribution 
system’s most current annual use; and 
(I) dispute resolution; and 
(3) provisions for operating and maintaining 
the Regional Water System facilities before and 
after conveyance under section 111(h), including 
provisions to— 
(A) ensure that— 
(i) the operation of, and the diversion 
and conveyance of water by, the Regional 
Water System is in accordance with the 
Settlement Agreement; 
(ii) the wells in the Regional Water 
System are used in conjunction with the 
surface water supply of the Regional 
Water System to ensure a reliable firm 
supply of water to all users of the Regional 
Water System, consistent with the intent 
of the Settlement Agreement that surface 
supplies will be used to the maximum ex-
tent feasible; 
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(iii) the respective obligations regard-
ing delivery, payment, operation, and man-
agement are enforceable; and 
(iv) the County has the right to serve 
any new water users located on non-Pueblo 
land in the Pojoaque Basin; and 
(B) allow for any aquifer storage and re-
covery projects that are approved by the Office 
of the New Mexico State Engineer. 
(d) EFFECT.—Nothing in this title precludes the Op-
erating Agreement from authorizing phased or interim op-
erations if the Regional Water System is constructed in 
phases. 
SEC. 113. ACQUISITION OF PUEBLO WATER SUPPLY FOR 
THE REGIONAL WATER SYSTEM. 
(a) IN GENERAL.—For the purpose of providing a 
reliable firm supply of water from the Regional Water Sys-
tem for the Pueblos in accordance with the Settlement 
Agreement, the Secretary, on behalf of the Pueblos, 
shall— 
(1) acquire water rights to— 
(A) 302 acre-feet of Nambe reserved water 
described in section 2.6.2 of the Settlement 
Agreement pursuant to section 117(c)(1)(C); 
and 
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(B) 1,141 acre-feet from water acquired by 
the County for water rights commonly referred 
to as ‘‘Top of the World’’ rights in the Aamodt 
case; 
(2) make available 1,079 acre-feet to the Pueb-
los pursuant to a contract entered into among the 
Pueblos and the Secretary in accordance with sec-
tion 11 of the Act of June 13, 1962 (76 Stat. 96, 
97) (San Juan-Chama Project Act) under water 
rights held by the Secretary; and 
(3) by application to the State Engineer, obtain 
approval to divert the water acquired and made 
available under paragraphs (1) and (2) at the points 
of diversion for the Regional Water System, con-
sistent with the Settlement Agreement and the Cost- 
Sharing and System Integration Agreement. 
(b) FORFEITURE.—The nonuse of the water supply 
secured by the Secretary for the Pueblos under subsection 
(a) shall in no event result in forfeiture, abandonment, re-
linquishment, or other loss thereof. 
(c) TRUST.—The Pueblo water supply secured under 
subsection (a) shall be held by the United States in trust 
for the Pueblos. 
(d) CONTRACT
FOR SAN JUAN-CHAMA PROJECT 
WATER SUPPLY.—With respect to the contract for the 
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Project which were determined nonreimbursable 
and nonreturnable pursuant to Public Law 88– 
293, 78 Stat. 171 (March 26, 1964) shall re-
main nonreimbursable and nonreturnable. 
(2) TERMINATION.—The contract shall provide 
that it shall terminate only upon the following condi-
tions— 
(A) failure of the United States District 
Court for the District of New Mexico to enter 
a final decree for the Aamodt case by December 
15, 2012 or within the time period of any ex-
tension of that deadline granted by the court; 
or 
(B) entry of an order by the United States 
District Court for the District of New Mexico 
voiding the final decree and Settlement Agree-
ment for the Aamodt case pursuant to section 
10.3 of the Settlement Agreement. 
(e) LIMITATION.—The Secretary shall use the water 
supply secured under subsection (a) only for the purposes 
described in the Settlement Agreement. 
(f) FULFILLMENT OF WATER SUPPLY ACQUISITION 
OBLIGATIONS.—Compliance with subsections (a) through 
(e) shall satisfy any and all obligations of the Secretary 
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to acquire or secure a water supply for the Pueblos pursu-
ant to the Settlement Agreement. 
(g) RIGHTS OF PUEBLOS IN SETTLEMENT AGREE-
MENT UNAFFECTED.—Notwithstanding the provisions of 
subsections (a) through (f), the Pueblos, the County or 
the Regional Water Authority may acquire any additional 
water rights to ensure all parties to the Settlement Agree-
ment receive the full allocation of water provided by the 
Settlement Agreement and nothing in this Act amends or 
modifies the quantities of water allocated to the Pueblos 
thereunder. 
SEC. 114. DELIVERY AND ALLOCATION OF REGIONAL 
WATER SYSTEM CAPACITY AND WATER. 
(a) ALLOCATION OF REGIONAL WATER SYSTEM CA-
PACITY.— 
(1) IN GENERAL.—The Regional Water System 
shall have the capacity to divert from the Rio 
Grande a quantity of water sufficient to provide— 
(A) 4,000 acre-feet of consumptive use of 
water; and 
(B) the requisite peaking capacity de-
scribed in— 
(i) the Engineering Report; and 
(ii) the final project design. 
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(2) ALLOCATION TO THE PUEBLOS AND COUN-
TY WATER UTILITY.—Of the capacity described in 
paragraph (1)— 
(A) there shall be allocated to the Pueb-
los— 
(i) sufficient capacity for the convey-
ance of 2,500 acre-feet consumptive use; 
and 
(ii) the requisite peaking capacity for 
the quantity of water described in clause 
(i); and 
(B) there shall be allocated to the County 
Water Utility— 
(i) sufficient capacity for the convey-
ance of 1,500 acre-feet consumptive use; 
and 
(ii) the requisite peaking capacity for 
the quantity of water described in clause 
(i). 
(3) APPLICABLE
LAW.—Water shall be allo-
cated to the Pueblos and the County Water Utility 
under this subsection in accordance with— 
(A) this title; 
(B) the Settlement Agreement; and 
(C) the Operating Agreement. 
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(b) DELIVERY
OF
REGIONAL
WATER
SYSTEM 
WATER.—The Authority shall deliver water from the Re-
gional Water System— 
(1) to the Pueblos water in a quantity sufficient 
to allow full consumptive use of up to 2,500 acre- 
feet rights by the Pueblos in accordance with— 
(A) the Settlement Agreement; 
(B) the Operating Agreement; and 
(C) this Title; and 
(2) to the County water in a quantity sufficient 
to allow full consumptive use of up to 1,500 acre- 
feet per year of water rights by the County Water 
Utility in accordance with— 
(A) the Settlement Agreement; 
(B) the Operating Agreement; and 
(C) this title. 
(c) ADDITIONAL USE
OF ALLOCATION QUANTITY 
AND UNUSED CAPACITY.—The Regional Water System 
may be used to— 
(1) provide for use of return flow credits to 
allow for full consumptive use of the water allocated 
in the Settlement Agreement to each of the Pueblos 
and to the County; and 
(2) convey water allocated to one of the Pueblos 
or the County Water Utility for the benefit of an-
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other Pueblo or the County Water Utility or allow 
use of unused capacity by each other through the 
Regional Water System in accordance with an inter-
governmental agreement between the Pueblos, or be-
tween a Pueblo and County Water Utility, as appli-
cable, if— 
(A) such intergovernmental agreements are 
consistent with the Operating Agreement, the 
Settlement Agreement and this Act; 
(B) capacity is available without reducing 
water delivery to any Pueblo or the County 
Water Utility in accordance with the Settlement 
Agreement, unless the County Water Utility or 
Pueblo contracts for a reduction in water deliv-
ery or Regional Water System capacity; 
(C) the Pueblo or County Water Utility 
contracting for use of the unused capacity or 
water has the right to use the water under ap-
plicable law; and 
(D) any agreement for the use of unused 
capacity or water provides for payment of the 
operation, maintenance, and replacement costs 
associated with the use of capacity or water. 
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SEC. 115. AAMODT SETTLEMENT PUEBLOS’ FUND. 
(a) ESTABLISHMENT OF THE AAMODT SETTLEMENT 
PUEBLOS’ FUND.—There is established in the Treasury 
of the United States a fund, to be known as the ‘‘Aamodt 
Settlement Pueblos’ Fund,’’ consisting of— 
(1) such amounts as are made available to the 
Fund under section 117(c); and 
(2) any interest earned from investment of 
amounts in the Fund under subsection (b). 
(b) MANAGEMENT OF THE FUND.—The Secretary 
shall manage the Fund, invest amounts in the Fund, and 
make amounts available from the Fund for distribution 
to the Pueblos in accordance with— 
(1) the American Indian Trust Fund Manage-
ment Reform Act of 1994 (25 U.S.C. 4001 et seq.); 
and 
(2) this title. 
(c) INVESTMENT
OF
THE FUND.—The Secretary 
shall invest amounts in the Fund in accordance with— 
(1) the Act of April 1, 1880 (25 U.S.C. 161); 
(2) the first section of the Act of June 24, 
1938 (25 U.S.C. 162a); and 
(3) the American Indian Trust Fund Manage-
ment Reform Act of 1994 (25 U.S.C. 4001 et seq.). 
(d) TRIBAL MANAGEMENT PLAN.— 
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(A) IN GENERAL.—The Pueblos shall sub-
mit to the Secretary for approval an expendi-
ture plan for any portion of the amounts in the 
Fund that the Pueblos do not withdraw under 
this subsection. 
(B) DESCRIPTION.—The expenditure plan 
shall describe the manner in which, and the 
purposes for which, amounts remaining in the 
Fund will be used. 
(C) APPROVAL.—On receipt of an expendi-
ture plan under subparagraph (A), the Sec-
retary shall approve the plan if the Secretary 
determines that the plan is reasonable and con-
sistent with this title, the Settlement Agree-
ment, and the Cost-Sharing and System Inte-
gration Agreement. 
(D) ANNUAL REPORT.—The Pueblos shall 
submit to the Secretary an annual report that 
describes all expenditures from the Fund during 
the year covered by the report. 
(6) NO PER CAPITA PAYMENTS.—No part of 
the principal of the Fund, or the interest or income 
accruing on the principal shall be distributed to any 
member of a Pueblo on a per capita basis. 
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(7) AVAILABILITY
OF
AMOUNTS
FROM
THE 
FUND.— 
(A) APPROVAL
OF
SETTLEMENT
AGREE-
MENT.—Amounts made available under sub-
paragraphs (A) and (C) of section 117(c)(1) 
shall be available for expenditure or withdrawal 
only after the date on which the United States 
District Court for the District of New Mexico 
issues an order approving the Settlement Agree-
ment. 
(B) COMPLETION OF CERTAIN PORTIONS 
OF REGIONAL WATER SYSTEM.—Amounts made 
available under section 117(c)(1)(B) shall be 
available for expenditure or withdrawal only 
after those portions of the Regional Water Sys-
tem described in section 1.5.24 of the Settle-
ment Agreement have been declared substan-
tially complete by the Secretary. 
(C) FAILURE
TO
FULFILL
CONDITIONS 
PRECEDENT.—If the conditions precedent in 
section 123 have not been fulfilled by June 30, 
2016, the United States shall be entitled to set 
off any funds expended or withdrawn from the 
amounts appropriated pursuant to section 
117(c), together with any interest accrued, 
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against any claims asserted by the Pueblos 
against the United States relating to the water 
rights in the Pojoaque Basin. 
SEC. 116. ENVIRONMENTAL COMPLIANCE. 
(a) IN GENERAL.—In carrying out this subtitle, the 
Secretary shall comply with each law of the Federal Gov-
ernment relating to the protection of the environment, in-
cluding— 
(1) the National Environmental Policy Act of 
1969 (42 U.S.C. 4321 et seq.); and 
(2) the Endangered Species Act of 1973 (16 
U.S.C. 1531 et seq.). 
(b) NATIONAL
ENVIRONMENTAL
POLICY
ACT.— 
Nothing in this title affects the outcome of any analysis 
conducted by the Secretary or any other Federal official 
under the National Environmental Policy Act of 1969 (42 
U.S.C. 4321 et seq.). 
SEC. 117. AUTHORIZATION OF APPROPRIATIONS. 
(a) REGIONAL WATER SYSTEM.— 
(1) IN GENERAL.—Subject to paragraph (4), 
there is authorized to be appropriated to the Sec-
retary for the planning, design, and construction of 
the Regional Water System and the conduct of envi-
ronmental compliance activities under section 116 a 
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total of $106,400,000 between fiscal years 2009 and 
2021. 
(2) PRIORITY OF FUNDING.—Of the amounts 
authorized under paragraph (1), the Secretary shall 
give priority to funding— 
(A) the construction of the San Ildefonso 
portion of the Regional Water System, con-
sisting of— 
(i) the surface water diversion, treat-
ment, and transmission facilities at San 
Ildefonso Pueblo; and 
(ii) the San Ildefonso Pueblo portion 
of the Pueblo Water Facilities; and 
(B) that part of the Regional Water Sys-
tem providing 475 acre-feet to Pojoaque Pueblo 
pursuant to section 2.2 of the Settlement 
Agreement. 
(3) ADJUSTMENT.—The amount authorized 
under paragraph (1) shall be adjusted annually to 
account for increases in construction costs since Oc-
tober 1, 2006, as determined using applicable engi-
neering cost indices. 
(4) LIMITATIONS.— 
(A) IN GENERAL.—No amounts shall be 
made available under paragraph (1) for the 
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construction of the Regional Water System 
until the date on which the United States Dis-
trict Court for the District of New Mexico 
issues an order approving the Settlement Agree-
ment. 
(B) RECORD OF DECISION.—No amounts 
made available under paragraph (1) shall be ex-
pended unless the record of decision issued by 
the Secretary after completion of an environ-
mental impact statement provides for a pre-
ferred alternative that is in substantial compli-
ance with the proposed Regional Water System, 
as defined in the Engineering Report. 
(b) ACQUISITION OF WATER RIGHTS.—There is au-
thorized to be appropriated to the Secretary funds for the 
acquisition 
of 
the 
water 
rights 
under 
section 
113(a)(1)(B)— 
(1) in the amount of $5,400,000 if such acqui-
sition is completed by December 31, 2009; and 
(2) the amount authorized under paragraph 
(b)(1) shall be adjusted according to the CPI Urban 
Index commencing January 1, 2010. 
(c) AAMODT SETTLEMENT PUEBLOS’ FUND.— 
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(1) IN GENERAL.—There is authorized to be 
appropriated to the Fund the following amounts for 
the period of fiscal years 2009 through 2021: 
(A) $8,000,000, which shall be allocated to 
the Pueblos, in accordance with section 2.7.1 of 
the Settlement Agreement, for the rehabilita-
tion, improvement, operation, maintenance, and 
replacement of the agricultural delivery facili-
ties, waste water systems, and other water-re-
lated infrastructure of the applicable Pueblo. 
The amount authorized herein shall be adjusted 
according to the CPI Urban Index commencing 
October 1, 2006. 
(B) $37,500,000, which shall be allocated 
to an account, to be established not later than 
January 1, 2016, to assist the Pueblos in pay-
ing the Pueblos’ share of the cost of operating, 
maintaining, and replacing the Pueblo Water 
Facilities and the Regional Water System. 
(C) $5,000,000 and any interest thereon, 
which shall be allocated to the Pueblo of Nambe´ 
for the acquisition of the Nambe´ reserved water 
rights in accordance with section 113(a)(1)(A). 
The amount authorized herein shall be adjusted 
according to the CPI Urban Index commencing 
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January 1, 2011. The funds provided under 
this section may be used by the Pueblo of 
Nambe´ only for the acquisition of land, other 
real property interests, or economic develop-
ment. 
(2) OPERATION, MAINTENANCE, AND REPLACE-
MENT COSTS.— 
(A) IN GENERAL.—Prior to conveyance of 
the Regional Water System pursuant to section 
111, the Secretary shall pay any operation, 
maintenance or replacement costs associated 
with the Pueblo Water Facilities or the Re-
gional Water System up to an amount that does 
not exceed $5,000,000, which is authorized to 
be appropriated to the Secretary. 
(B) OBLIGATION OF THE FEDERAL GOV-
ERNMENT
AFTER
COMPLETION.—Except as 
provided in section 113(a)(4)(B), after con-
struction of the Regional Water System is com-
pleted and the amounts required to be deposited 
in the account have been deposited under this 
section the Federal Government shall have no 
obligation to pay for the operation, mainte-
nance, and replacement costs of the Regional 
Water System. 
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Subtitle B—Pojoaque Basin Indian 
Water Rights Settlement 
SEC. 121. SETTLEMENT AGREEMENT AND CONTRACT AP-
PROVAL. 
(a) APPROVAL.—To the extent the Settlement Agree-
ment and the Cost-Sharing and System Integration Agree-
ment do not conflict with this title, the Settlement Agree-
ment and the Cost-Sharing and System Integration Agree-
ment (including any amendments to the Settlement Agree-
ment and the Cost-Sharing and System Integration Agree-
ment that are executed to make the Settlement Agreement 
or the Cost-Sharing and System Integration Agreement 
consistent with this title) are authorized, ratified, and con-
firmed. 
(b) EXECUTION.—To the extent the Settlement 
Agreement and the Cost-Sharing and System Integration 
Agreement do not conflict with this title, the Secretary 
shall execute the Settlement Agreement and the Cost- 
Sharing and System Integration Agreement (including 
any amendments that are necessary to make the Settle-
ment Agreement or the Cost-Sharing and System Integra-
tion Agreement consistent with this title). 
(c) AUTHORITIES OF THE PUEBLOS.— 
(1) IN GENERAL.—Each of the Pueblos may 
enter into contracts to lease or exchange water 
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rights or to forbear undertaking new or expanded 
water uses for water rights recognized in section 2.1 
of the Settlement Agreement for use within the 
Pojoaque Basin in accordance with the other limita-
tions of section 2.1.5 of the Settlement Agreement 
provided that section 2.1.5 is amended accordingly. 
(2) EXECUTION.—The Secretary shall not exe-
cute the Settlement Agreement until such amend-
ment is accomplished under paragraph (1). 
(3) APPROVAL
BY
SECRETARY.—Consistent 
with the Settlement Agreement as amended under 
paragraph (1), the Secretary shall approve or dis-
approve a lease entered into under paragraph (1). 
(4) PROHIBITION
ON
PERMANENT
ALIEN-
ATION.—No lease or contract under paragraph (1) 
shall be for a term exceeding 99 years, nor shall any 
such lease or contract provide for permanent alien-
ation of any portion of the water rights made avail-
able to the Pueblos under the Settlement Agreement. 
(5) APPLICABLE LAW.—Section 2116 of the Re-
vised Statutes (25 U.S.C. 177) shall not apply to 
any lease or contract entered into under paragraph 
(1). 
(6) LEASING OR MARKETING OF WATER SUP-
PLY.—The water supply provided on behalf of the 
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Pueblos pursuant to section 113(a)(1) may only be 
leased or marketed by any of the Pueblos pursuant 
to the intergovernmental agreements described in 
section 114(c)(2). 
(d) AMENDMENTS TO CONTRACTS.—The Secretary 
shall amend the contracts relating to the Nambe Falls 
Dam and Reservoir that are necessary to use water sup-
plied from the Nambe Falls Dam and Reservoir in accord-
ance with the Settlement Agreement. 
SEC. 122. ENVIRONMENTAL COMPLIANCE. 
(a) EFFECT
OF
EXECUTION
OF
SETTLEMENT 
AGREEMENT.—The execution of the Settlement Agree-
ment under section 121(b) shall not constitute a major 
Federal action under the National Environmental Policy 
Act of 1969 (42 U.S.C. 4321 et seq.). 
(b) COMPLIANCE WITH ENVIRONMENTAL LAWS.—In 
carrying out this subtitle, the Secretary shall comply with 
each law of the Federal Government relating to the protec-
tion of the environment, including— 
(1) the National Environmental Policy Act of 
1969 (42 U.S.C. 4321 et seq.); and 
(2) the Endangered Species Act of 1973 (16 
U.S.C. 1531 et seq.). 
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SEC. 123. CONDITIONS PRECEDENT AND ENFORCEMENT 
DATE. 
(a) CONDITIONS PRECEDENT.— 
(1) IN GENERAL.—Upon the fulfillment of the 
conditions precedent described in paragraph (2), the 
Secretary shall publish in the Federal Register a 
statement of finding that the conditions have been 
fulfilled. 
(2) REQUIREMENTS.—The conditions prece-
dents referred to in paragraph (1) are the conditions 
that— 
(A) to the extent that the Settlement 
Agreement conflicts with this title, the Settle-
ment Agreement has been revised to conform 
with this title; 
(B) the Settlement Agreement, so revised, 
including waivers and releases pursuant to sec-
tion 124, has been executed by the appropriate 
parties and the Secretary; 
(C) Congress has fully appropriated, or the 
Secretary has provided from other authorized 
sources, all funds authorized by section 117, 
with the exception of subsection (a)(1) of that 
section, by June 30, 2016; 
(D) the State of New Mexico has enacted 
any necessary legislation and provided any 
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funding that may be required under the Settle-
ment Agreement; 
(E) a partial final decree that sets forth 
the water rights and other rights to water to 
which the Pueblos are entitled under the Settle-
ment Agreement and this title and that sub-
stantially conforms to the Settlement Agree-
ment has been approved by the United States 
District Court for the District of New Mexico; 
and 
(F) a final decree that sets forth the water 
rights for all parties to the Aamodt Case and 
that substantially conforms to the Settlement 
Agreement has been approved by the United 
States District Court for the District of New 
Mexico by December 15, 2012, or within the 
time period of any extension of that deadline 
granted by that court. 
(b) ENFORCEMENT DATE.—The Settlement Agree-
ment shall become enforceable as of the date that the 
United States District Court for the District of New Mex-
ico enters a partial final decree pursuant to subsection 
(a)(2)(E) and an Interim Administrative Order consistent 
with the Settlement Agreement. The waivers and releases 
executed pursuant to section 124 shall become effective 
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