Source: https://www.verdeditch.com/new-page.html
Timestamp: 2019-04-19 11:13:43+00:00

Document:
Much has happened in the past few months. The Verde Ditch Company sent packets to every shareholder with a wealth of information regarding the VDC/SRP work that has been in progress for the past several years including the MOU. Next the VDC hosted a meeting on January 24, 2015 to explain the MOU contained in the mailing. The VDC Commissioners feel that the meeting was a success. The meeting was a monumental task that took the efforts of many. The VDC staff, Commissioners and attorney in cooperation with SRP staff and attorney worked many hours to compile the information presented at the meeting. Representing the VDC were Commissioners Teague, Myers, Cooley, Dupuy and attorney Mabery. Representing SRP were Rebecca Davidson, Lucas Shaw, Bruce Hallin and attorney McGinnis. There were over 150 in attendance most being VDC shareholders. The moderator was local resident Linda Buchanan. Linda’s gift for just the right amount of humor and focus on the task at hand was amazing. All of us that poured hours into making the meeting a success thank Linda for volunteering for this very important meeting. Below we have included the information presented at the meeting for those that were not able to attend.
The waters of the Verde River bring abundant life to the Verde Valley. The historic irrigation ditches, of which the Verde Ditch is one of many, perform a critical role in delivering this water to hundreds of users who value and understand the important role of water. The Verde Ditch has the distinction of being the longest and one of the oldest ditches in the Verde Valley. At eighteen miles in length, the Verde Ditch serves approximately 1,200 acres of irrigated lands. Most lands served by the Verde Ditch are the same areas homesteaded by early Verde Valley pioneers. Most of these water uses are well documented and the water rights are widely recognized.
However, over the years some landowners have brought additional lands under irrigation which lack evidence of historic water use or without properly obtaining a state right. These new water uses not only put strain on the delivery system, but also create disputes for the continued delivery of water to all senior water users. The Verde Ditch Company and the Salt River Project are entering into an agreement, if approved by the court, called a Memorandum of Understanding (MOU), to permanently establish the locations of historic water use on lands served by the Verde Ditch. The MOU also defines a process where water users who lack a historic water use can work with the Verde Ditch Company and SRP to obtain one through a severance and transfer. The Verde Ditch shareholders are crucial to the success of this effort and the Verde Ditch Company wants to ensure that all shareholders are aware of the issues and the proposed process included in the MOU.
​​ATTENTION SHAREHOLDERS! AS WE CONTINUE OUR HISTORIC USE RESEARCH THE VERDE DITCH COMMISSIONERS, STAFF AND ATTORNEY ASK YOU TO ASSIST US IN GATHERING ANY HISTORIC INFORMATION YOU MAY HAVE OR ARE AWARE OF. THESE CAN INCLUDE ITEMS SUCH AS MAPS, DOCUMENTS, AGREEMENTS AND ANY OTHER EVIDENCE YOU FEEL MIGHT BE RELEVANT. CURRENTLY WE ARE CONTACTING LONG TIME VERDE VALLEY RESIDENTS IN HOPES THAT THEY CAN PROVIDE US WITH HISTORY REGARDING WATER USE IN THE PAST. IF YOU KNOW SOMEONE THAT MAY HAVE KNOWLEDGE OF THE HISTORY OF THE VERDE VALLEY PLEASE CONTACT US.
For more details and full information regarding MOU court rulings, please click here.
​Read Hance vs Arnold here.
The March 5th, 2015 scheduled hearing for the Court's consideration of the MOU proceeded as scheduled. There were four objections to the MOU. The MOU process will now go through further review and modifications which will result in a delay of the scheduled shareholder workshops.
The Verde Ditch Company is hosting an informational meeting for all Shareholders commencing at 10:00 a.m. on the 24th day of January, 2015, at the Multi-Use Complex, 280 Camp Lincoln Road, Camp Verde High School, Camp Verde, Arizona. All Shareholders are urged to attend this important meeting.
The Verde Ditch Company will be providing background information regarding the analysis and process that laid the groundwork in the formation of the proposed Memorandum of Understanding (MOU) with Salt River Project (SRP), a copy of which is enclosed.
The Memorandum of Understanding provides a procedure for Shareholders to protect and confirm their historic water use through an amendment to the Hance v. Arnold Decree. For the Shareholders that have a historical use challenge, the MOU provides a process to assist those owners to obtain a confirmable historical use.
The Verde Ditch Company and the Court want to hear your concerns, objections or comments to the terms of the MOU. We understand that there will be questions and this will be an opportunity for Shareholders to receive detailed information and consider others' comments on the MOU before the deadline to file a formal objection with the Court.
In 1909, the territorial court for Yavapai County issued a judgment commonly referred to as the Hance V. Arnold Decree. At that time, there were 16 property owners claiming the right to receive Verde River water through the Verde Ditch. Currently, there are over 563 Shareholders and over 1200 acres receiving water or entitled to receive water from the Verde Ditch.
The Commissioners of the Verde Ditch Company have undertaken a multi-year effort to research and document the historic use of water to every parcel of land that currently receives or may be entitled to receive water from the Verde Ditch (except for the Yavapai Apache Tribal claims and uses). This effort has been in cooperation with the Salt River Project. It includes the review of a variety of information and culminated in the proposed Memorandum of Understanding, which requires Court approval.
Fortunately, the vast majority of the current water users historic uses are supported by the records and are easily confirmed. However, there are over 100 acres presently receiving water from the Verde Ditch where there are questions and/or potential challenges in documenting a historical use predating 1919.
Please review the documents enclosed carefully as every Shareholder needs to be knowledgeable as to the impact of the terms of the MOU. A hearing is now set for March 5, 2015 at 1:30 p.m. at the Camp Verde Judicial Center, Camp Verde, Arizona for consideration of the MOU. Any objections to the MOU must be filed on or before February 17, 2015.
The Verde Ditch Company will hold multiple workshops commencing in March, 2015 to provide every interested Shareholder detailed documentation that has been compiled as to a parcel's historical water use. A hearing has been set for August 3, 2015 commencing at 9:00a.m. for the Court to consider modification of the Hance v. Arnold Decree resulting from the Verde Ditch Report to be filed with the Court if the Court approves the MOU.
The Verde Ditch Commissioners recommend that every Shareholder consider the information compiled as to their property and join in the supplementation of existing information to corroborate a parcel's historical water use.
​Q. What is the Memorandum of Understanding between the Verde Ditch Company and SRP?
​The Memorandum of Understanding (“MOU”) is an agreement between the Verde Ditch Company (“VDC”) and the Salt River Project (“SRP”) that establishes a process to determine the location of lands served by VDC that have Historic Water Uses, including a process to recognize the water uses on lands served by VDC that currently lack evidence of Historic Water Uses and to reconcile the ownership of VDC shares with lands having Historic Water Uses.
​Q. Why are VDC and SRP signing the MOU?
VDC and SRP are signing the MOU, if approved by the Court, to address conflicts over uses of Verde River water on lands served by VDC prior to time-consuming and costly litigation. VDC and SRP believe that their resources are better spent working cooperatively to seek mutually acceptable solutions to conflicts over the use of Verde River water. In addition to resolving conflicts among themselves and Verde Ditch shareholders, VDC and SRP also expect that the lands with Historic Water Uses will eventually be documented in agreements among the shareholders, VDC, and SRP. The corresponding reconciliation of Verde Ditch shares also will be formally recognized by the Yavapai County Superior Court which oversees the Verde Ditch pursuant to orders issued in Hance v. Arnold, which was originally entered in 1909.
​Q. What is a “Historic Water Use,” and why is it important?
​ Under the MOU, a Historic Water Use is a use of water from the Verde River on property served by the Verde Ditch in accordance with state law. Generally, whether property has a Historic Water Use depends on when water use was first initiated and whether the water user followed state or territorial law. Before the State Water Code enactment of June 12, 1919, a water user only had to put the water to a beneficial use to secure a water right. The State Water Code established an application, permit, and certificate system for new water users to follow. Accordingly, a Historic Water Use is a water use commenced on a particular parcel prior to June 12, 1919 or one commenced after June 12, 1919 under a certificate of water right issued by the State of Arizona. A Historic Water Use could also be a water use commenced after June 12, 1919 under a valid severance and transfer of a pre-1919 water right or a post-1919 certificate. A “severance and transfer” is the acquisition of a water right from other property that is based upon a pre-1919 use or a post-1919 certificate and the transfer of that right to another property. After 1919, some water users may not have followed the requirements established by the State Water Code and simply started using water on new lands without complying with the Code. Through the process described in the MOU, SRP and VDC seek to work with Verde Ditch shareholders to address those properties where shareholders are currently using water from VDC but do not appear to have Historic Water Uses.
​Q. What is the basis for determining Historic Water Uses on lands served by the Verde Ditch Company?
VDC and SRP also used extensive aerial photography, field inspections, patents and applications, Verde Ditch records, Yavapai County GIS, updated County records and GIS imagery to determine if lands served by VDC are currently using water. All lands served by the Verde Ditch were further evaluated through a GIS mapping program to provide a basis to correlate current irrigation and Historic Water Uses for each parcel.
​​Q. How will this MOU affect Verde Ditch shareholders?
Through the process described in the MOU, VDC and SRP will provide information to shareholders about Historic Water Uses on shareholder property and, under certain circumstances, the shareholders will have the option to have VDC and SRP recognize their Historic Water Uses. Through the process, other shareholders may be identified as using water from the Verde Ditch without a Historic Water Use. These shareholders will have an opportunity to provide evidence of their Historic Water Uses. For shareholders using water without a verifiable Historic Water Use, the shareholders, VDC and SRP can work cooperatively to find a solution for the shareholder.
​Q. What are the benefits of this process to Verde Ditch shareholders?
VDC and SRP intend to memorialize individual shareholders’ Historic Water Uses through a “Historic Water Use Agreement” (“HWU Agreement”). Through the HWU Agreement, VDC, SRP and the individual shareholder will agree that the shareholder property has a Historic Water Use and that the shareholder’s property is entitled to receive water from the Verde Ditch. The HWU Agreement will be signed by the shareholder, VDC and SRP. This HWU Agreement will recognize the existence of the Historic Water Use, and the parties will agree not to contest the location of each other’s water rights in future legal proceedings, including the Gila River General Stream Adjudication. The HWU Agreement will provide shareholders with greater legal certainty regarding the use of Verde River water on their property. The HWU Agreements will be recorded with the county, providing notice to existing and future landowners and will be consistent with Hance v. Arnold as modified.
​Q. How will shareholders receive information regarding water uses on their properties?
VDC and SRP will provide unique parcel information to shareholders at upcoming workshops regarding the Historic Water Uses on each of the properties served by VDC. Specifically, SRP will provide shareholders with its assessment of the Historic Water Uses on the shareholders’ property, and VDC will provide its accumulated summary or VDC Assessment. Verde Ditch shareholders will also have the opportunity to submit from their investigation of all available sources any information they have regarding Historic Water Uses on their property.
​Q. What are the SRP assessment and the VDC field verification?
As part of the process established in the MOU, VDC and SRP will provide each shareholder with two documents at an upcoming workshop for Verde Ditch shareholders. SRP will provide a recent analysis of the location of irrigation on shareholder properties and whether there are documented Historic Water Uses on the properties, called the “SRP Assessment.” VDC will provide shareholders with a document called a “VDC Assessment”, which includes VDC’s evaluation of present-day water uses on the property. For some shareholders, the Assessments may indicate locations where shareholder lands have questioned Historic Water Use.
​Q. What if shareholders don’t agree with SRP’s Assessment of Historic Water Uses and/or VDC’s field verification?
It is possible that SRP’s Assessment or VDC’s Assessment regarding a shareholder’s property are incorrect or incomplete. We encourage shareholders to contact VDC and set an appointment to discuss their particular situation. VDC and SRP encourage shareholders to provide any historical information they may have about the location of Historic Water Uses on their property for evaluation. Shareholders will also have an opportunity to present their own historical information to the Yavapai County Superior Court through the process established by the Court as set forth in the MOU.
​​Q. I pay assessments for my shares in the Verde Ditch Company. Isn’t that enough to protect my surface water rights?
Paying assessments to the Verde Ditch Company does not ensure a shareholder’s Historic Water Use. Most properties served by VDC have both evidence of Historic Water Uses and VDC share ownership. Some shareholders, however, own property served by VDC and have shares in VDC, but their property has questioned Historic Water Use. VDC and SRP designed the process described in the MOU to cooperate with shareholders to reconcile share ownership with Historic Water Uses.
​Q. For those shareholders without a Historic Water Use, how will they obtain one?
If a shareholder agrees with VDC and SRP that the shareholder’s property does not have a Historic Water Use, then VDC and SRP will assist a shareholder to locate a Historic Water Use to sever and transfer to their property. These are property owners served by VDC who may sever a Historic Water Use from their property and transfer it to another property receiving water from the Verde Ditch Company. A severance and transfer may involve a financial transaction between shareholders. VDC and SRP will provide technical assistance to shareholders who wish to prepare and submit severance and transfer applications.
​Q. As a shareholder, is my participation in this process mandatory?
No. Although it is not mandatory for shareholders to participate in the process described in the MOU, there are significant benefits to doing so. For shareholders with mutually recognized Historic Water Uses, signing an HWU Agreement with VDC and SRP will provide greater legal certainty for the water rights related to their property.
For those shareholders who do not have Historic Water Uses, benefits will include VDC and SRP assisting them in locating a Historic Water Use to sever and transfer to their property. Shareholders without Historic Water Uses who continue to use water on their property, but who choose not to participate in the process, may later have their water uses legally challenged by SRP or others. Ultimately, signing an HWU Agreement with VDC and SRP will provide shareholders greater legal certainly over their water uses on their property and will mean the shareholder has a legally enforceable settlement with SRP, a major water right holder on the Verde watershed.
​Q. Does the MOU or the Historic Water Use Agreement give SRP any additional water rights?
No. The MOU and the HWU Agreements do not transfer any water rights to SRP, nor do they give SRP any additional rights to water. SRP’s interest in addressing these water use issues is to establish a process that defines where Historic Water Uses exist and where VDC is legally entitled to serve Verde River water. This process will ultimately create additional certainty for the shareholder, VDC, and SRP. This process will also set the stage for similar approaches with other ditch operators in the Verde Valley.
​Q. Are other ditch operators in Verde Valley ditches included in this MOU?
Although this MOU is only between VDC and SRP, SRP plans to undertake a similar process with other ditch operators in the Verde Valley. SRP has been approached by other ditch operators and has had preliminary discussions about resolving historic water use conflicts. These other ditch operators have expressed interest in resolving these same issues by following a similar process.
There are many benefits for shareholders to understand and participate in this process. SRP has agreed to legally recognize Verde Ditch shareholder’s valid water uses with a “Historic Water Use Agreement.” The Historic Water Use Agreement between SRP, the Verde Ditch Company, and the shareholder will provide shareholders greater legal certainty regarding the extent of the historic water uses on their property. For landowners who need to obtain a historic water use, the Verde Ditch Company and SRP will provide expertise and assistance in locating areas of historic water use to transfer to their property.
​An important part of the process in the MOU is for the Yavapai County Superior court, which oversees the Verde Ditch, to document and formally recognize historic water uses on lands served by the Verde Ditch. Ultimately, the Verde Ditch Company will know with certainty which lands are eligible for delivery of water and can ensure that a shareholder entitled to receive irrigation water corresponds to Hance v. Arnold.
SRP is also interested in formally recognizing the locations of historic water uses. SRP’s Historic Water Use Agreements with shareholders and the Verde Ditch Company will give all parties a greater understanding and recognition of where water can be used. Another key benefit to all parties, including SRP, is that this new approach for resolving disputes will allow everyone to use their best efforts to find solutions instead of spending money on costly litigation.
​historic rights to the Verde Ditch shareholders as efficiently as possible.

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