NEGOTIATED SETTLEMENT (PUBLIC LAW 101-618) (NEVADA AND CALIFORNIA)

Omnibus legislation passed by the 101st Congress at the end of its 1990 session intended to settle a number of outstanding disputes concerning the Truckee and Carson Rivers. The legislation authorized an ambitious environmental restoration program to benefit the Lahontan Valley Wetlands and Pyramid Lake and the lower Truckee River. It also established a framework for resolving separate by closely-related water-resource conflicts involving the Pyramid Lake Paiute and Fallon Paiute-Shoshone Tribes, the cities of Reno and Sparks (Nevada), the states of Nevada and California, and (pending the resolution of several as-yet unsatisfied controversies) the Newlands Project. The legislation contains two primary titles: TITLE I: The Fallon Paiute-Shoshone Indian Tribal Settlement Act; and TITLE II: The Truckee-Carson-Pyramid Lake Water Rights Settlement Act. Collectively, the legislation can be referred to as the Negotiated Settlement. The seven (7) main elements covered by the legislation include: (1) Promote the Enhancement and Recovery of Endangered and Threatened Fish Species: A recovery program is to be developed for the Pyramid Lake endangered fish species cui-ui (Chasmistes cujus) and the threatened fish species Lahontan cutthroat trout (Oncorhynchus clarki henshawi) in compliance with the Endangered Species Act (ESA) and the Truckee-Carson-Pyramid Lake Water Rights Settlement Act. Water rights acquisitions are authorized for this purpose. (2) Protect Wetlands from Further Degradation: A water rights purchase program is authorized for Lahontan Valley Wetlands, with the intent of sustaining an average of 25,000 acres of wetlands (Stillwater National Wildlife Refuge: 14,000 acres; Carson Lake and Pasture: 10,200 acres; and Fallon Reservation and Indian Lakes: 800 acres) to both prevent further degradation and improve the habitat of the fish and wildlife which depend on those wetlands. The U.S. Fish and Wildlife Service (USFWS) has estimated that this will require up to 125,000 acre-feet (AF) of water per year. (3) Encourage the Development of Solutions for Demands on Truckee River Waters: An operating agreement is to be negotiated for the Truckee River: The Truckee River Operating Agreement (TROA): covering procedures for using storage capacity in upstream reservoirs in California consistent with recovery objectives for listed Pyramid Lake fishes. This includes the implementation of the terms and conditions of the Primary Settlement Agreement (PSA) between SPPCo and the Pyramid Lake Paiute Tribe. (4) Improve Management and Efficiency of the Newlands Project: The Secretary of the Interior is authorized to operate and maintain the Newlands Project to serve additional purposes, including recreation, improved water quality flowing to the wetlands, improved fish and wildlife habitat, and municipal water supply for Lyon and Churchill counties. A project efficiency study is required. The 1973 Gesell Decision is recognized and the 1988 Operating Criteria and Procedures (OCAP) is to remain in effect at least through 1997. (5) Fallon Paiute-Shoshone Water Issues Settlement: Establishment of a settlement fund for the Fallon Paiute-Shoshone Tribe totaling $43 million. The Tribe is authorized to purchase land and water rights to consolidate tribal holdings within the reservation. Specific litigation filed by the Tribe is to be dismissed. (6) Pyramid Lake Paiute Tribe Issues Settlement: A tribal economic development fund of $40 million was established for the Pyramid Lake Paiute Indian Tribe to provide for the settlement of water, fish, and other issues. Another fund of $25 million was established for the Pyramid Lake fishery. (7) Interstate Water Apportionment Settlement: Facilitate an interstate allocation of the waters of the Truckee River, Carson River, and Lake Tahoe between the states of California and Nevada. Also see Newlands Project (Nevada), Truckee River Agreement (Nevada and Californ