111TH CONGRESS 
2D SESSION 
H. R. 3342 
AN ACT 
To authorize the Secretary of the Interior, acting through 
the Commissioner of Reclamation, to develop water infra-
structure in the Rio Grande Basin, and to approve the 
settlement of the water rights claims of the Pueblos 
of Nambe, Pojoaque, San Ildefonso, and Tesuque. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 
(a) SHORT TITLE.—This Act may be cited as the 
‘‘Aamodt Litigation Settlement Act’’. 
(b) TABLE OF CONTENTS.—The table of contents of 
this Act is as follows: 
Sec. 1. Short title; table of contents. 
Sec. 2. Definitions. 
TITLE I—POJOAQUE BASIN REGIONAL WATER SYSTEM 
Sec. 101. Authorization of Regional Water System. 
Sec. 102. Operating Agreement. 
Sec. 103. Acquisition of Pueblo water supply for the Regional Water System. 
Sec. 104. Delivery and allocation of Regional Water System capacity and water. 
Sec. 105. Aamodt Settlement Pueblos’ Fund. 
Sec. 106. Environmental compliance. 
Sec. 107. Authorization of appropriations. 
TITLE II—POJOAQUE BASIN INDIAN WATER RIGHTS 
SETTLEMENT 
Sec. 201. Settlement Agreement and contract approval. 
Sec. 202. Environmental compliance. 
Sec. 203. Conditions precedent and enforcement date. 
Sec. 204. Waivers and releases. 
Sec. 205. Effect. 
SEC. 2. DEFINITIONS. 
In this Act: 
(1) AAMODT CASE.—The term ‘‘Aamodt Case’’ 
means the civil action entitled State of New Mexico, 
ex rel. State Engineer and United States of Amer-
ica, Pueblo de Nambe, Pueblo de Pojoaque, Pueblo 
de San Ildefonso, and Pueblo de Tesuque v. R. Lee 
Aamodt, et al., No. 66 CV 6639 MV/LCS (D.N.M.). 
(2) ACRE-FEET.—The term ‘‘acre-feet’’ means 
acre-feet of water per year.
(3) AUTHORITY.—The term ‘‘Authority’’ means 
the Pojoaque Basin Regional Water Authority de-
scribed in section 9.5 of the Settlement Agreement 
or an alternate entity acceptable to the Pueblos and 
the County to operate and maintain the diversion 
and treatment facilities, certain transmission pipe-
lines, and other facilities of the Regional Water Sys-
tem. 
(4) CITY.—The term ‘‘City’’ means the city of 
Santa Fe, New Mexico. 
(5) COST-SHARING AND SYSTEM INTEGRATION 
AGREEMENT.—The term ‘‘Cost-Sharing and System 
Integration Agreement’’ means the agreement to be 
executed by the United States, the State, the Pueb-
los, the County, and the City that— 
(A) describes the location, capacity, and 
management (including the distribution of 
water to customers) of the Regional Water Sys-
tem; and 
(B) allocates the costs of the Regional 
Water System with respect to— 
(i) the construction, operation, main-
tenance, and repair of the Regional Water 
System;
(ii) rights-of-way for the Regional 
Water System; and 
(iii) the acquisition of water rights. 
(6) COUNTY.—The term ‘‘County’’ means 
Santa Fe County, New Mexico. 
(7) COUNTY DISTRIBUTION SYSTEM.—The term 
‘‘County Distribution System’’ means the portion of 
the Regional Water System that serves water cus-
tomers on non-Pueblo land in the Pojoaque Basin. 
(8) 
COUNTY
WATER
UTILITY.—The 
term 
‘‘County Water Utility’’ means the water utility or-
ganized by the County to— 
(A) receive water distributed by the Au-
thority; and 
(B) provide the water received under sub-
paragraph (A) to customers on non-Pueblo land 
in the Pojoaque Basin. 
(9) ENGINEERING REPORT.—The term ‘‘Engi-
neering 
Report’’ 
means 
the 
report 
entitled 
‘‘Pojoaque Regional Water System Engineering Re-
port’’ dated September 2008 and any amendments 
thereto, including any modifications which may be 
required by section 101(d)(2).
(10) FUND.—The term ‘‘Fund’’ means the 
Aamodt Settlement Pueblos’ Fund established by 
section 105(a). 
(11) OPERATING AGREEMENT.—The term ‘‘Op-
erating Agreement’’ means the agreement between 
the Pueblos and the County executed under section 
102(a). 
(12) OPERATIONS, MAINTENANCE, AND
RE-
PLACEMENT COSTS.— 
(A) IN GENERAL.—The term ‘‘operations, 
maintenance, and replacement costs’’ means all 
costs for the operation of the Regional Water 
System that are necessary for the safe, effi-
cient, and continued functioning of the Regional 
Water System to produce the benefits described 
in the Settlement Agreement. 
(B) EXCLUSION.—The term ‘‘operations, 
maintenance, and replacement costs’’ does not 
include construction costs or costs related to 
construction design and planning. 
(13) POJOAQUE BASIN.— 
(A) IN
GENERAL.—The term ‘‘Pojoaque 
Basin’’ means the geographic area limited by a 
surface water divide (which can be drawn on a 
topographic map), within which area rainfall
and runoff flow into arroyos, drainages, and 
named tributaries that eventually drain to— 
(i) the Rio Pojoaque; or 
(ii) the 2 unnamed arroyos imme-
diately south; and 
(iii) 2 arroyos (including the Arroyo 
Alamo) that are north of the confluence of 
the Rio Pojoaque and the Rio Grande. 
(B) INCLUSION.—The term ‘‘Pojoaque 
Basin’’ includes the San Ildefonso Eastern Res-
ervation recognized by section 8 of Public Law 
87–231 (75 Stat. 505). 
(14) PUEBLO.—The term ‘‘Pueblo’’ means each 
of the pueblos of Nambe, Pojoaque, San Ildefonso, 
or Tesuque. 
(15) PUEBLOS.—The term ‘‘Pueblos’’ means 
collectively the Pueblos of Nambe, Pojoaque, San 
Ildefonso, and Tesuque. 
(16) PUEBLO LAND.—The term ‘‘Pueblo land’’ 
means any real property that is— 
(A) held by the United States in trust for 
a Pueblo within the Pojoaque Basin; 
(B)(i) owned by a Pueblo within the 
Pojoaque Basin before the date on which a 
court approves the Settlement Agreement; or
(ii) acquired by a Pueblo on or after the 
date on which a court approves the Settlement 
Agreement, if the real property is located— 
(I) within the exterior boundaries of 
the Pueblo, as recognized and conformed 
by a patent issued under the Act of De-
cember 22, 1858 (11 Stat. 374, chapter 
V); or 
(II) within the exterior boundaries of 
any territory set aside for the Pueblo by 
law, executive order, or court decree; 
(C) owned by a Pueblo or held by the 
United States in trust for the benefit of a 
Pueblo outside the Pojoaque Basin that is lo-
cated within the exterior boundaries of the 
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. 
(17) 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 
(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. 
(18) REGIONAL WATER SYSTEM.—
(A) IN
GENERAL.—The term ‘‘Regional 
Water System’’ means the Regional Water Sys-
tem described in section 101(a). 
(B) EXCLUSIONS.—The term ‘‘Regional 
Water System’’ does not include the County or 
Pueblo water supply delivered through the Re-
gional Water System. 
(19) 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). 
(20) SAN
JUAN-CHAMA
PROJECT
ACT.—The 
term ‘‘San Juan-Chama Project Act’’ means sections 
8 through 18 of the Act of June 13, 1962 (76 Stat. 
96, 97). 
(21) 
SECRETARY.—The 
term 
‘‘Secretary’’ 
means the Secretary of the Interior. 
(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. 
TITLE I—POJOAQUE BASIN 
REGIONAL WATER SYSTEM 
SEC. 101. 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 
(B) any treatment, transmission, storage 
and distribution facilities and wellfields for the 
County Distribution System and Pueblo Water 
Facilities that are necessary to supply 4,000 
acre-feet of water within the Pojoaque Basin, 
unless modified in accordance with subsection 
(d)(2).
(b) FINAL PROJECT DESIGN.—The Secretary shall 
issue a final project design within 90 days of completion 
of the environmental compliance described in section 106 
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 107(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 
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.
(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. 
(2) MODIFICATIONS TO REGIONAL WATER SYS-
TEM.— 
(A) IN
GENERAL.—The State and the 
County, in agreement with the Pueblos, the 
City, and other signatories to the Cost-Sharing 
and System Integration Agreement, may modify 
the extent, size, and capacity of the County 
Distribution System as set forth in the Cost- 
Sharing and System Integration Agreement.
(B) EFFECT.—A modification under sub-
paragraph (A)— 
(i) shall not affect implementation of 
the Settlement Agreement so long as the 
provisions in section 203 are satisfied; and 
(ii) may result in an adjustment of 
the State and County cost-share allocation 
as set forth in the Cost-Sharing and Sys-
tem Integration Agreement. 
(e) APPLICABLE LAW.—The Indian Self-Determina-
tion and Education Assistance Act (25 U.S.C. 450 et seq.) 
shall not apply to the design and construction of the Re-
gional Water System. 
(f) CONSTRUCTION COSTS.— 
(1) PUEBLO WATER FACILITIES.— 
(A) IN GENERAL.—Except as provided in 
subparagraph (B), the expenditures of the Sec-
retary to construct the Pueblo Water Facilities 
under 
this 
section 
shall 
not 
exceed 
$106,400,000. 
(B) EXCEPTION.—The amount described 
in subparagraph (A) shall be increased or de-
creased, as appropriate, based on ordinary fluc-
tuations in construction costs since October 1,
2006, as determined using applicable engineer-
ing cost indices. 
(2) COSTS TO PUEBLO.—The costs incurred by 
the Secretary in carrying out activities to construct 
the Pueblo Water Facilities under this section shall 
not be reimbursable to the United States. 
(3) 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 
System, the Secretary, in accordance with the Oper-
ating Agreement, shall convey to— 
(A) each Pueblo the portion of any Pueblo 
Water Facility that is located within the bound-
aries of the Pueblo, including any land or inter-
est in land located within the boundaries of the
Pueblo that is acquired by the United States 
for the construction of the Pueblo Water Facil-
ity; 
(B) the County the County Distribution 
System, including any land or interest in land 
acquired by the United States for the construc-
tion of the County Distribution System; and 
(C) the Authority any portions of the Re-
gional Water System that remain after making 
the conveyances under subparagraphs (A) and 
(B), including any land or interest in land ac-
quired by the United States for the construc-
tion of the portions of the Regional Water Sys-
tem. 
(2) CONDITIONS FOR CONVEYANCE.—The Sec-
retary shall not convey any portion of the Regional 
Water System facilities under paragraph (1) until 
the date on which— 
(A) construction of the Regional Water 
System is complete; and 
(B) the Operating Agreement is executed 
in accordance with section 102. 
(3) SUBSEQUENT
CONVEYANCE.—On convey-
ance by the Secretary under paragraph (1), the 
Pueblos, the County, and the Authority shall not re-
convey any portion of the Regional Water System 
conveyed to the Pueblos, the County, and the Au-
thority, respectively, unless the reconveyance is au-
thorized by an Act of Congress enacted after the 
date of enactment of this Act. 
(4) INTEREST OF THE UNITED STATES.—On 
conveyance of a portion of the Regional Water Sys-
tem under paragraph (1), the United States shall 
have no further right, title, or interest in and to the 
portion of the Regional Water System conveyed. 
(5) ADDITIONAL CONSTRUCTION.—On convey-
ance of a portion of the Regional Water System 
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-
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. 102. 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 
101(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. 
(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; 
(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 103(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 
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 101(h), including 
provisions to— 
(A) ensure that—