Mineral County v. Walker River Irrigation Dist.

Procedural entryThis page is a short order in Mineral County v. Walker River Irrigation Dist.. Read the opinion of the Court — 986 F.3d 1197
Court of Appeals for the Ninth Circuit·Decided August 20, 2018·No. 15-16342·Published

Opinion

FOR PUBLICATION

UNITED STATES COURT OF APPEALS FOR THE NINTH CIRCUIT

MINERAL COUNTY, No. 15-16342 Intervenor-Plaintiff- Appellant, D.C. No. 3:73-cv-00128-RCJ- WALKER LAKE WORKING WGC GROUP, Defendant-Appellant, ORDER AND and AMENDED ORDER CERTIFYING UNITED STATES OF AMERICA, QUESTIONS TO THE Plaintiff, SUPREME COURT OF NEVADA WALKER RIVER PAIUTE TRIBE, Intervenor-Plaintiff,

v.

WALKER RIVER IRRIGATION DISTRICT; NEVADA DEPARTMENT OF WILDLIFE; FENILI FAMILY TRUST, c/o Peter Fenili and Veronica Fenili, Trustees; SIX N RANCH, INC., c/o Richard and Cynthia Nuti; MICHAEL NUTI; NANCY NUTI; RALPH E. NUTI; MARY E. NUTI; LAWRENCE 2 MINERAL CTY. V. WALKER RIVER IRRIGATION DIST.

M. NUTI; LESLIE NUTI; MICA FARMS, LLC, c/o Mike Faretto; JOHN AND LURA WEAVER FAMILY TRUST, c/o Lura Weaver, Trustee; SMITH VALLEY GARAGE, INC., c/o Dan Smith and Shawna Smith; DONALD GIORGI; LORIE MCMAHON; MERLE MCMAHON; CENTENNIAL LIVESTOCK; LYON COUNTY; ANNETT’S MONO VILLAGE; F.I.M. CORPORATION; R.N. FULSTONE COMPANY; JAMES T. FOUSEKIS, Trustee; CHRIS H. GANSBERG, JR.; FAYE E. GANSBERG; TODD GANSBERG; HUNEWILL LAND & LIVESTOCK CO., INC.; DAVID SCEIRINE; PAMELA HAAS; VIRGINIA LAKE MUTUAL WATER COMPANY; MONO COUNTY, County Counsel, Defendants-Appellees. MINERAL CTY. V. WALKER RIVER IRRIGATION DIST. 3

Filed May 22, 2018 Amended August 20, 2018

Before: A. Wallace Tashima, Raymond C. Fisher and Jay S. Bybee, Circuit Judges.

Order; Amended Order

SUMMARY*

Water Rights

The panel amended the certification order, filed on May 22, 2018, in an appeal raising issues pertaining to Nevada state water law. The panel certified to the Supreme Court of Nevada the following questions:

Does the public trust doctrine apply to rights already adjudicated and settled under the doctrine of prior appropriation and, if so, to what extent?

If the public trust doctrine applies and allows for reallocation of rights settled under the doctrine of prior appropriation, does the abrogation of such adjudicated or vested rights constitute a “taking” under the Nevada

* This summary constitutes no part of the opinion of the court. It has been prepared by court staff for the convenience of the reader. 4 MINERAL CTY. V. WALKER RIVER IRRIGATION DIST.

Constitution requiring payment of just compensation?

ORDER

The certification order filed May 22, 2018, and reported at 890 F.3d 1174, is amended. An amended certification order is filed concurrently with this order.

AMENDED ORDER1

Pursuant to Rule 5 of the Nevada Rules of Appellate Procedure, we respectfully certify to the Supreme Court of Nevada the questions of law set forth in Section III of this order. The answers to the certified questions may determine issues pending before this court and their resolution will have significant implications for Nevada state water law. There is no clearly controlling precedent in the decisions of the Nevada Supreme Court.

We hold Mineral County’s public trust claim for the reallocation of the waters of Walker River and the Takings Clause claim in abeyance pending the result of certification.

1 This amended Order supersedes the published Order filed May 22, 2018. MINERAL CTY. V. WALKER RIVER IRRIGATION DIST. 5

I. Background

The circumstances here are virtually identical to those that led to the Nevada Supreme Court’s decision in Mineral County v. Nevada Department of Conservation & Natural Resources, 20 P.3d 800, 802–05 (Nev. 2001), in which Mineral County and the Walker Lake Working Group (the “Working Group”) brought essentially the same suit as this one. In Mineral County, the Nevada Supreme Court ultimately declined to exercise jurisdiction in light of the federal district court’s continuing and exclusive jurisdiction over the Walker River Basin litigation. See id. at 807. We reproduce the relevant background here in brief.

A. The Walker River Basin and Walker Lake’s Decline

The Walker River Basin covers about 4000 square miles, running northeast from its origins in the Sierra Nevada Mountains in California before turning south and ultimately flowing into Walker Lake in Nevada. The first quarter of the basin lies in California, and California accounts for a majority of the precipitation and surface water flow into the basin. The vast majority of the water is consumed across the border in Nevada.

Walker Lake is about 13 miles long, five miles wide and 90 feet deep – a large lake by most any measure. But its size and volume have shrunk significantly since they were first measured in 1882. By 1996, Walker Lake had retained just 50 percent of its 1882 surface area and 28 percent of its 1882 volume. Today’s Walker Lake also suffers from high concentrations of total dissolved solids (“TDS”) – meaning it has a high salt content, low oxygen content and a high temperature. 6 MINERAL CTY. V. WALKER RIVER IRRIGATION DIST.

These conditions have drastically degraded the lake’s environmental and economic well-being. The high TDS concentrations have proven so inhospitable to fish species that, according to Mineral County, much of the lake’s fishing industry “has been eliminated for the time being.” Walker Lake’s decline also threatens its status as an important shelter for migratory birds, and it has “drive[n] away the many Nevadans and other Americans who used Walker Lake for recreational enjoyment and economically productive activities.” Although the parties dispute the cause of Walker Lake’s troubles, it seems clear that upstream appropriations play at least some part, together with declining precipitation levels and natural lake recession over time.

B. Litigation Over Water Rights in the Basin

In an effort to protect and rehabilitate Walker Lake, Mineral County intervened in the long-running litigation over water rights in the Walker River Basin. That litigation began in 1902, when one cattle and land company sued another in the United States District Court for the District of Nevada over appropriations from the Walker River. After considerable back and forth in state and federal court – including a Supreme Court decision holding that the Nevada federal court had prior, exclusive jurisdiction over the action, see Rickey Land & Cattle Co. v. Miller & Lux, 218 U.S. 258, 262 (1910) – the case ended in 1919.

Five years later, the United States brought a new action in Nevada federal court, seeking to establish the water rights of the Walker Lake Paiute Tribe. After 12 more years of litigation – bringing us to 1936 – that proceeding resulted in the Walker River Decree. The Walker River Decree adjudicated the water rights of hundreds of claimants under MINERAL CTY. V. WALKER RIVER IRRIGATION DIST. 7

the doctrine of prior appropriation.2 The Decree also created the Walker River Commission and the United States Board of Water Commissioners. The federal district court in Nevada has maintained jurisdiction over the Decree and its administration ever since.

In 1987, the Paiute Tribe intervened in the Walker River litigation to establish procedures for reallocating water rights under the Decree. Since that proceeding’s conclusion in 1988, the Nevada State Engineer reviews all applications to change allocations under the Decree in Nevada, subject to review by the Nevada federal district court. It appears that Nevada’s prior appropriation law, which has largely been codified, governs the Engineer’s decisions and the district court’s review. See, e.g., Nev. Rev. Stat.

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