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OF THE INTERIOR THE DEPUTY SECRETARY OF THE INTERIOR WASHINGTON March 3. 1849 OCT - 7 1999 To: Lynn Cutler From: David J. Hayespyt Subject: Rocky Boys Settlement The Department of the Interior has been informed by Senate Committee staff that S. 438, the Chippewa-Cree Tribe of the Rocky Boys Reservation Indian Reserved Water Rights Settlement and Water Supply Enhancement Act of 1999, likely will be brought up for floor action in the Senate prior to adjournment. S. 438 has been reported out of the Indian Affairs Committee as well as the Energy & Natural Resources Committee (sequential referral), and has been placed on the Senate Legislative Calendar (No. 297). Similarly, the House version, H.R. 795, has been favorably reported by House Resources and House Committee staff expects floor action prior to adjournment. This bill represents the successful culmination of approximately eight years of negotiation among the United States, the State of Montana and the Chippewa Cree Tribe of the Rocky Boys Reservation over the Tribe's water rights claims. -It represents a true partnership among Federal, State and Tribal interests to reach a water rights settlement that satisfies Tribal rights and needs, while also taking into account the rights and needs of non-Indian water users. The bill had its genesis in a Compact approved by the Montana State legislature and the Tribal Council in April of 1997. In October of 1997, the United States, the State and the Tribe reached an agreement in principle concerning the financial contribution the United States should make to the settlement. In the early months of 1998, the parties negotiated the language of the bills that were introduced on April 1, 1998, by members of the Montana congressional delegation as S. 1899 and H.R. 3658 in the 105ᵗʰ Congress. Hearings on the bills were held before the Senate Committee on Indian Affairs and the House Subcommittee on Water & Power Resources on June 24, 1998, and September 23, 1998, respectively. Despite unanimous support for the bills by the Administration, the State and the Tribe, and our joint efforts to provide congressional staff with an understanding of the settlement legislation, the bills did not advance in the 105th Congress. In 1999, the State and the Tribe, with the assistance of the Department of the Interior, continued to work closely with congressional staff on revised bills to be introduced in the 106th Congress. As a result S. 438 and H.R. 795 were introduced in late February of this year. Again, hearings on the bills were held before the Senate Committee on Indian Affairs and the House Subcommittee on Water & Power Resources. (June 30, 1999, and July 1, 1999, respectively). Additional Minor changes have been made to the bills based on discussions with Committee staff