In Re in Re the General Adjudication of All Rights

Arizona Supreme Court·Decided November 30, 2007·Published

Opinion

SUPREME COURT OF ARIZONA

En Banc

IN RE THE GENERAL ADJUDICATION ) Arizona Supreme Court OF ALL RIGHTS TO USE WATER IN ) No. WC-07-0002-IR THE GILA RIVER SYSTEM AND SOURCE )

) Maricopa County

) Superior Court

) No. W-1

) W-2

) W-3

) W-4

) (Consolidated Cases)

)

) Contested Case No. W1-208 )

) O P I N I O N

__________________________________)

Interlocutory Appeal from the Superior Court in Maricopa County The Honorable Eddward Ballinger, Jr., Judge

Affirmed

SACKS TIERNEY, P.A. Scottsdale By Judith M. Dworkin Marvin S. Cohen

Attorneys for City of Tucson

SOMACH SIMMONS & DUNN Paradise Valley By Robert B. Hoffman Attorneys for Farmers Investment Co. and Farmers Water Co. (FICO)

THE SPARKS LAW FIRM, P.C. Scottsdale By Joe P. Sparks Susan B. Montgomery

Robyn L. Interpreter

Attorneys for Pascua Yaqui Tribe and Intervenors San Carlos Apache Tribe, Yavapai-Apache Nation and Tonto Apache Tribe

JONATHAN L. JANTZEN, TOHONO O’ODHAM NATION Sells ACTING ATTORNEY GENERAL By Jonathan L. Jantzen, Acting Attorney General Attorneys for Tohono O’Odham Nation

RONALD J. TENPAS, ACTING ASSISTANT Washington, DC UNITED STATES ATTORNEY GENERAL MICHAEL B. MUKASEY, UNITED STATES ATTORNEY GENERAL By John L. Smeltzer F. Patrick Barry

Attorneys for the Department of Justice, United States of America

RYLEY CARLOCK & APPLEWHITE, P.A. Phoenix By L. William Staudenmaier, III Attorneys for Arizona Public Service Company

SALMON LEWIS & WELDON, P.L.C. Phoenix By John B. Weldon, Jr.

Lisa M. McKnight

Attorneys for Salt River Valley Water Users’ Association and Salt River Project Agricultural Improvement and Power District

Jennifer K. Giff Sacaton And Rodney B. Lewis Sacaton And

John T. Hestand Chandler Timothy L. Pierson Ruth E. Koester Ann Marie Chischilly

And

AKIN GUMP STRAUSS HAUER & FELD, L.L.P. Washington, DC By Donald R. Pongrace Attorneys for Gila River Indian Community

R Y A N, Justice

I

A

¶1 This case arises from the ongoing adjudication of rights to the use of Gila River water and the impact of recent federal legislation facilitating the resolution of tribal water claims subject to the adjudication.1

¶2 In 2004, Congress passed the Arizona Water Settlements Act (“AWSA”), Pub. L. No. 108-451, 118 Stat. 3478 (2004). Title III of the AWSA authorizes the settlement of the federal water rights claims of the Tohono O’odham Nation (“Nation”).2 Under

1 For an outline of the facts and procedural history of this ongoing adjudication, see In re the General Adjudication of All Rights to Use Water in the Gila River System and Source, 195 Ariz. 411, 414, ¶ 5, 989 P.2d 739, 742 (1999) (“Gila River III”); San Carlos Apache Tribe v. Superior Court ex rel. County of Maricopa, 193 Ariz. 195, 202, ¶ 3, 972 P.2d 179, 186 (1999); In re Rights to the Use of the Gila River, 171 Ariz. 230, 232- 33, 830 P.2d 442, 444-45 (1992) (“Gila River I”). 2 The Arizona Department of Water Resources’ Technical Assessment of the Tohono O’odham Nation Water Rights Settlement, (“assessment”) describes the geographic scope of the agreement as follows:

The Settlement Agreement encompasses only those lands of the Nation that are within the “Tucson Management Area,” which is a geographic area comprised of the Tucson Active Management Area . . . , the Santa Cruz Active Management Area, and that portion of the Upper Santa Cruz Basin not within either of the Active Management Areas. Included within the Tucson Management Area are the entire San Xavier Reservation and the eastern portion of the Schuk Toak District of the Sells Papago Reservation.

the auspices of the AWSA, the Nation, the United States, the City of Tucson, Farmers Investment Company (“FICO”), and ASARCO, Inc. (“the settling parties”) sought entry of judgment confirming a settlement agreement among them. Under the settlement agreement, the Nation agreed to give up its claim to federally reserved groundwater rights on the Nation’s reservation in return for commitments from the United States to provide Colorado River water through the Central Arizona Project (“CAP”), and agreements from the City of Tucson, FICO, and ASARCO to limit groundwater pumping and compensate the Nation for injuries caused by pumping.

¶3 The AWSA is part of a broader effort by federal, state, and tribal entities to resolve water rights issues. As such, the AWSA contemplates more than the settlement agreement. For example, encouraged by Congress, the Arizona Legislature adopted legislation designed to protect groundwater in and

Assessment at 1-1 to 1-2, available at http://www.azwater.gov/ dwr/content/Hot_Topics/AZ_Water_Settlements/SAWRSA/TohonoOodham NationWaterRightsSettlement.pdf. Both the San Xavier Reservation and the Schuk Toak District are part of the Nation’s lands. Id. These two areas comprise all of the Nation’s lands within the upper basin of the Santa Cruz River, a Gila River Tributary. The Tucson Management Area is defined in the AWSA to mean the Tucson Active Management Area, the Santa Cruz Active Management Area, and that part of the upper Santa Cruz River Basin not within either management area. AWSA § 303(48). An Active Management Area is a geographic area designated under the Arizona Groundwater Code as requiring active groundwater management. See Ariz. Rev. Stat. (“A.R.S.”) §§ 45-411, -411.02, -411.03 (2003).

around the San Xavier Reservation near Tucson. See 2005 Ariz. Sess. Laws, ch. 143 (1st Reg. Sess.) (codified at A.R.S. §§ 45- 2701 to –2702, 45-2711 to -2712 (Supp. 2007)) (“Groundwater Protection Program”). Thus, the AWSA recognizes a comprehensive effort to both satisfy the Nation’s claims and protect water resources.

¶4 The timeliness of judicial approval and entry of judgment, however, is critical. For Title III of the AWSA to take effect, the Secretary of the Interior must publish certain findings by December 31, 2007, including that “the judgment and decree attached to the Tohono O'odham settlement agreement . . . has been approved by the [s]tate court having jurisdiction over the Gila River adjudication proceedings, and that judgment and decree have become final and nonappealable.” AWSA § 302(b)(5), (c). Likewise, in order for the Arizona legislation to become effective, the same finding must be made. 2005 Ariz. Sess. Laws, ch. 143, § 15 (requiring finding on or before December 31, 2010).

B

¶5 The settling parties filed an application for approval of the Tohono O’odham Nation settlement with the Gila River adjudication court in July 2006. The adjudication court then requested that the Arizona Department of Water Resources (“ADWR”) prepare a factual and technical assessment of the

proposed settlement. In October 2006, ADWR submitted its assessment.

¶6 The Pascua Yaqui Tribe (“Tribe”)3 filed objections to the judgment and decree in December 2006. A hearing on the objections took place in April 2007. In June 2007, the adjudication court summarily disposed of the Tribe’s objections. The court denied the Tribe’s motion for reconsideration in July 2007 and entered the judgment and decree along with a separate order detailing its reasoning.

¶7 Following the adjudication court’s rejection of the Tribe’s objections, both the settling parties and the Tribe sought interlocutory review in this Court. See Special Procedural Order providing for Interlocutory Appeals and Certifications (Sept. 26, 1989) (“Interlocutory Appeals Order”). Because of the time constraints imposed by the AWSA, this Court set an expedited briefing schedule and held oral argument on November 20, 2007.

¶8 In accordance with §§ (B)(3) and (B)(4) of the Interlocutory Appeals Order, we accept interlocutory review of this case because it is in the interest of justice and will save time, expense, and resources. We have jurisdiction under Article 6, Section 5(3) of the Arizona Constitution.

3 The Tribe’s reservation borders the north side of the San Xavier Reservation.

II

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