use up to one thousand (1,000) AFA, of the right to Granite Creek surface water established by CVID pursuant to Arizona law and to be confirmed in the Gila River Adjudication, or to permit the diversion, treatment and delivery by Prescott of a portion of this water to facilitate deliveries of absolute priority water by Prescott pursuant to Subparagraph 5.1 of the Water Service Agreement, as further described in paragraph 6.0 hereof. The priority of the Tribe's right to such Granite Creek water shall be the priority for that water as determined by the confirmation of CVID's right to Granite Creek water in the Gila River Adjudication. 4.3. In addition to water supplies provided to the Tribe pursuant to Subparagraphs 4.1, 4.2 and 4.4. hereof, the Tribe shall have the right to withdraw groundwater beneath the Reservation for on-Reservation beneficial use in accordance with any groundwater management plan which may be developed by the Tribe pursuant to Section 11(c) of the Act and Paragraph 7.0 hereof. The parties to this Agreement, except as provided in Section 13(a) and 13(b) of the Act, recognize, ratify, confirm and declare to be valid the Tribe's right and entitlement to the on-Reservation beneficial use of all groundwater beneath the Reservation, in accordance with any groundwater management plan developed by the Tribe pursuant to Section 11(c) of the Act and Paragraph 7.0 hereof, and agree to not object to, dispute or challenge, in the Gila River Adjudication or in any other judicial or administrative proceeding, this right and entitlement. 4.4. In addition to water supplies provided to the Tribe pursuant to Subparagraphs 4.1, 4.2 and 4.3 hereof, effluent generated on the Reservation may either be used on the Reservation or sold to off-Reservation users, in accordance with the Water Service Agreement. The parties to this Agreement, except as provided in Sections 13(a) and 13(b) of the Act, recognize, ratify, confirm and declare to be valid the Tribe's right and entitlement to use and/or sell to third parties all effluent generated by Reservation water users, in accordance with the Water Service Agreement, and agree to not object to, dispute or challenge, in the Gila River Adjudication or in any other judicial or administrative proceeding, this right and entitlement. All use of Effluent off the Reservation shall be in accordance with applicable state and federal law. 5.0 WATER SERVICE AGREEMENT 5.1. The Water Service Agreement between the Tribe and Prescott, attached as Exhibit 2.15 hereof, is hereby incorporated into and made a part hereof. 5.2. The parties to this Agreement, except as provided in Sections 13(a) and 13(b) of the Act, recognize, ratify, confirm and declare to be valid Prescott's rights and entitlements to water from the Verde and Gila River watersheds and agree to not object to, dispute or challenge, in the Gila River Adjudication or in any other judicial or administrative proceeding, such rights and entitlements, which rights and entitlements are evidenced by, described, stated, claimed, confirmed or established in the following documents and instruments: a. Judgment, Chino Valley Irrigation Dist. v. City of Prescott, No. 12,681 (Yavapai County Sup. Ct., June 28, 1935). b. Town of Chino Valleys v. City of Prescott, 131 Ariz. 78, 638 P.2d 1324 (1981). c. Statement of Claimant Form for Other Uses No. 39-05-50068, In Re the General Adjudication of All Rights to Use Water in the Gila River System and Source, Nos. N-1 through W-4 (Maricopa County Sup. Ct.) d. Statement of Claimant Form for Other Uses No. 39-05-55003, In Re the General Adjudication of All Rights to Use Water in the Gila River System and Source, Nos. W-1 through W-4 (Maricopa County Sup. Ct.). e. Certificate of Water Right No. 1659 (Application No. R-432, Permit No. R-222). f. Certificate of Water Right No. 3711 (Application No. A-4584, Permit No. A-3032). g. Water Right Registration Act Statement of Claim of Right to Use Public Waters of the State No. 3640301. h. Water Right Registration Act Statement of Claim of Right to Use Public Waters of the State No. 3640302. i. Water Right Registration Act Statement of Claim of Right to Use Public Waters of the State No. 3641650. j. Water Right Registration Act Statement of Claim of Right to Use Public Waters of the State No. 3643928. k. Water Right Registration Act Statement of Claim of Right to Use Public Waters of the State No. 3643929. 1. Water Right Registration Act Statement of Claim of Right to Use Public Waters of the State No. 3643930. m. Water Right Registration Act Statement of Claim of Right to Use Public Waters of the State No. 3643931. n. Water Right Registration Act Statement of Claim of Right to Use Public Waters of the State No. 3643932. o. Water Right Registration Act Statement of Claim of Right to Use Public Waters of the State No. 3643933. p. Water Right Registration Act Statement of Claim of Right to Use Public Waters of the State No. 36 q. Right to Withdraw Groundwater, Service Area Right No. 56003017.0000. r. Certificate of Type 2 Non-Irrigation Grandfathered Right No. 58-117267. 5.3. The parties to this Agreement, except as provided in Sections 13(a) and 13(b) of the Act, recognize, ratify, confirm and declare to be valid the Tribe's rights and entitlements under the Water Service Agreement and agree to not object to, dispute or challenge, in the Gila River Adjudication or in any other judicial or administrative proceeding, such rights and entitlements. 5.4. The parties to this Agreement, except as provided in Sections 13(a) and 13(b) of the Act, further recognize, ratify, confirm and declare to be valid the Tribe's conditional right and entitlement, under the Water Service Agreement, to elect to assume Reservation water service in the circumstances listed in Subparagraph 8.5 of the Water Service Agreement and agree, in the event of such an assumption, to not object to, dispute or challenge, in the Gila River Adjudication or in any other judicial or administrative proceeding. the Tribe's right and entitlement to utilize the specified Type 2 Grandfathered Groundwater Rights or the equivalent thereof to withdraw groundwater in the Prescott Active Management Area for delivery to and use on the Reservation in accordance with the State of Arizona's Groundwater Code. 6.0 GRANITE CREEK WATER 6.1. The parties to this Agreement, except as provided in Sections 13(a) and 13(b) of the Act, recognize, ratify, confirm and declare to be valid CVID's rights and entitlements to water from the Verde River watershed and agree to not object to, dispute or challenge, in the Gila River Adjudication or in any other judicial or administrative proceeding, such rights and entitlements, which rights and entitlements are evidenced by, described, stated, claimed, confirmed or established in the following documents and instruments: a. Judgment, Chino Valley Irrigation Dist. v. City of Prescott, No. 12,681 (Yavapai County Sup. Ct., June 28, 1935). b. Judgment and Decree, Rees v. Chino Valley Irrigation Dist., No. 20,219 (Yavapai County Sup. Ct., Mar. 19, 1958). c. Judgment and Decree, Ericson v. Chino Valley Irrigation Dist., No. 25,649 (Yavapai County Sup. Ct., May 11, 1971). d. Judgment, Salt River Valley Water Users' Ass'n v. Chino Valley Irrigation Dist., No. 22,088 (Yavapai County Sup. Ct., Nov. 22, 1971). e. Statement of Claimant Form for Domestic Use No. 39-05-46143, In Re the General Adjudication of All Rights to Use Water in the Gila River System and Sources, Nos. W-1 through W-4 (Maricopa County f. Statement of Claimant Form for Irrigation and Other Uses No. 39-05-46144, In Re the General Adjudication of All Rights to Use Water in the Gila River System and Source, Nos. W-1 through W-4 (Maricopa County Sup. Ct.). g. Statement of Claimant Form for Irrigation Use h. Certificate of Water Right No. 1673. 1. Water Right Registration Act Statement of Claim of Right to Use Public Waters of the State No. 3640234. m. Permit to Appropriate No. 33-86560, to the extent the exercise of such right is not adverse to the rights of Prescott pursuant to Arizona Public Service Co. v. Long, 160 Ariz. 429, 773 P.2d 988 (1989), or the Tribe pursuant to the Water Service Agreement and Subparagraph 4.4 of this Agreement. n. Certificate of Irrigation Grandfathered Right No. 57-003001.0000. 6.2. Of such quantity of the right or entitlement to surface water described in Subparagraph 6.1 hereof as is confirmed in the Gila River Adjudication, the Tribe shall be entitled to store, divert and use five hundred and fifty (550) AFA from Granite Creek and an additional ten (10) percent of the flow of Granite Creek, as measured at the State Highway 89 bridge across Granite Creek adjacent to the Reservation, up to a total maximum annual entitlement of one thousand (1,000) AFA; provided, however, that if existing and customary beneficial uses of surface water by CVID pursuant to the rights described in Subparagraph 6.1 hereof are reduced by virtue of a determination by the Court in the Gila River Adjudication which is not subject to further appeal that one or more of such rights is or are invalid, the Tribe's maximum annual entitlement pursuant to this Subparagraph shall be reduced by the same percentage as the percentage reduction in CVID's use rights, except that the Tribe's entitlement shall not be reduced below five hundred and fifty (550) AFA. The priority of storage, diversion and use of surface water by the Tribe pursuant to this Subparagraph 6.2 shall be as determined by the confirmation of CVID's right to Granite Creek water in the Gila River Adjudication. Any surface water not stored, diverted or used by the Tribe in a year shall be available for use by CVID, and the Tribe's annual entitlement under this Subparagraph 6.2 shall not be carried over from year to year; provided, however, that any water stored by the Tribe during a given year may be left in storage and/or consumptively used by the Tribe in subsequent years without such storage and/or use being counted against the Tribe's annual entitlements for such subsequent years. 6.3. During such times as the Tribe receives absolute priority water from Prescott, to which it has an absolute prior right, to prevent reduced or curtailed water deliveries, as more fully described in Subparagraph 5.1 of the Water Service Agreement, Prescott may elect, after receiving the Tribe's permission, to divert from Granite Creek a quantity of water equivalent to the absolute priority water delivered to the Reservation. Any such diversion by Prescott shall be in lieu of diversion by the Tribe of a corresponding portion of the Tribe's Granite Creek right as described in Subparagraph 6.2 hereof. 6.4. CVID's obligations pursuant to this Paragraph 6.0 shall be binding upon its successors and assigns. The parties to this Agreement agree that, notwithstanding a change of circumstances such as the termination of CVID's corporate existence, the Tribe's entitlement pursuant to this Paragraph 6.0 shall remain in full force and effect. 6.5. The parties of this Agreement, except as provided in Sections 13(a) and 13(b) of the Act, recognize, ratify, confirm and declare to be valid the Tribe's right and entitlement to store, divert and beneficially use CVID surface water pursuant to this Paragraph 6.0 and agree to not object to, dispute or challenge, in the Gila River Adjudication or in any other judicial or administrative proceeding, this right and entitlement. 7.0. REGULATION OF TRIBAL WATER RESOURCES 7.1. As provided in Section 11(c) of the Act, the Tribe shall establish a groundwater management plan for the Reservation which, except to be consistent with the Water Service Agreement, this Agreement and the Act, will be compatible with the groundwater management plan in effect for the Prescott Active Management Area and will include an annual information exchange with the Arizona Department of Water Resources. In establishing a groundwater management plan pursuant to this Paragraph, the Tribe will enter into a Memorandum of Understanding with the Arizona Department of Water Resources for consultation. The Memorandum of Understanding will be in the form set out in Exhibit 7.1 to this Agreement. 7.2. Notwithstanding other law, the Tribe may establish a Tribal water code, consistent with the above-described groundwater management plan, under which the Tribe will manage, regulate, and control the water resources granted it in the Act, this Agreement, and the Water Service Agreement; provided, however, that such management, regulation and control shall not authorize any action inconsistent with the trust ownership of the Tribe's water re sources. |