AN ACT

RELATING TO WATER; CREATING THE INDIAN WATER RIGHTS SETTLEMENT FUND; PROVIDING FOR LEGISLATIVE APPROVAL OF CERTAIN INDIAN WATER RIGHTS SETTLEMENTS; MAKING AN APPROPRIATION.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

     Section 1. INDIAN WATER RIGHTS SETTLEMENTS--APPROVAL OF SETTLEMENTS--REPORTS.--

           A. Upon congressional authorization of funding of the federal government's portion of the costs of an Indian water rights settlement, the state engineer shall notify the legislature of the amount of the state's portion of the costs necessary to implement the settlement. Upon joint resolution of the legislature, the interstate stream commission may expend money in the Indian water rights settlement fund to implement the terms of the approved settlement.

          B. On or before November 15 of each year, the state engineer and the interstate stream commission shall report to the appropriate legislative interim committee dealing with Indian affairs and to the legislative finance committee on:

                (1) the status of proposed Indian water rights settlements requiring state financing;

                (2) the distribution of funds from the Indian water rights settlement fund to implement approved settlements; and

                (3) recommendations on the level of funding for the Indian water rights settlement fund necessary to timely implement Indian water rights settlements.

          C. As used in Sections 1 and 2 of this act:

                (1) "Indian water rights settlement" means an agreement between the state and a tribe, but not exclusive of any other party as appropriate, that resolves all of the tribe's water rights claims and that has been approved by the United States congress; and

                (2) "tribe" means a federally recognized Indian nation, tribe or pueblo.

     Section 2. INDIAN WATER RIGHTS SETTLEMENT FUND.--The "Indian water rights settlement fund" is created in the state treasury to facilitate the implementation of the state's portion of Indian water rights settlements. The fund consists of appropriations, gifts, grants, donations, income from investment of the fund and money otherwise accruing to the fund. Money in the fund shall not revert to any other fund at the end of a fiscal year. Money in the Indian water rights settlement fund shall be used to pay the state's portion of the costs necessary to implement Indian water rights settlements approved by the legislature and the United States congress. The interstate stream commission shall administer the fund and money in the fund is appropriated to the commission to carry out the purposes of the fund. Money in the fund shall be disbursed on warrants of the secretary of finance and administration pursuant to vouchers signed by an authorized representative of the interstate stream commission.

     Section 3. EFFECTIVE DATE.--The effective date of the provisions of this act is July 1, 2005.