© 2023 Concerned Citizens of Western Montana

Note: This is a repost of an article that was published a year ago. Because we are hearing that consensual agreements are being offered to objectors in at least some of the mediation sessions we felt if was important to reemphasize the pitfalls and dangers of accepting any consensual agreement with the tribes. We have no idea as to which objectors are being offered these agreements.

To the original article we would like to add the following thoughts for you to consider:

Consensual agreements do not modify any provision of the compact.  The compact is and continues to be “non-negotiable.”      

We would argue that in reality, by entering into a consensual agreement with the tribe pertaining to the Flathead Water Compact, you could unknowingly be agreeing to:

  • give your personal consent to the provisions of the water compact
  • tribal jurisdiction over your water use
  • relinquish your right to go to state courts for any water disputes, or your ability to hold the state accountable for what it has done to its citizens via this compact.
  • forever bind your property, and heirs and assigns to the agreement
  • the adjudication of your irrigation project water right as part of the Flathead Compact decree 
  • less water than your historic use, and because the compact proposes to pare down water deliveries based upon “adaptive management,” there is no limit as to how much your water deliveries will be further reduced

We urge any objector considering accepting the tribe’s offer of a consensual agreement to fully inform yourself on the issues associated with such an agreement before you sign it.  It is irrevocable and will forever restrict the property rights on your land, and submit future owners of the land to the same terms and conditions. 

We are not saying this is in included in the agreements, but we wouldn’t be surprised to find out that such agreements may also give the tribe the right to first refusal when you or your heirs try to sell the property in the future.

Here is the original article posted on July 30, 2022:

Irrigators beware.

The phrase “consensual agreement” appears in the CSKT water compact legislation sixteen times, but like so much of the compact, the underlying historical predicates to such an agreement, and its jurisdictional implications are not addressed, nor were they ever explained to the public in any meaningful way.

Instead, the compact explains that if you have an irrigation water right anywhere within the Flathead Project “influence area” that meets certain conditions, you may enter into a consensual agreement with the CSKT, the United States, and the Project Operator.

Those criteria include water rights:

  • whose purpose is irrigation
  • whose point(s) of diversion or places(s) of use are within the FIP influence Area, and
  • whose source of supply is surface water, or
  • whose source of supply is groundwater and whose flow rate is greater than 100 gallons per minute.
Appendix 2 map

In exchange for the privilege of being able to sign a consensual agreement with the tribe, they generously agree to not call your water right, but only if you agree to stringent measurement standards and reporting mandates, with the understanding that if you sign such an agreement, it is permanent and is binding on the heirs and assigns of the owner of each water right arising under state law who enters into such agreement.

Read that again.  It permanently binds you, your heirs, tenants, other assigns, and we assume future owners of that property to these yet to be determined standards and mandates of the tribe.  All that just to keep your water right from being called. Water rights that in many instances, will provide far less water than historically used.

For all intents and purposes, in either their complicity or ignorance, the compacts’ authors, supporters and ratifiers agreed to this additional level of tribal control over the use of private fee land property, should a property owner feel the need to protect their water rights.

To those readers who own valuable Flathead Irrigation Project water rights, some with double and triple duty water, it’s important to understand that the compact essentially stripped your claims of their value by ignoring historic use of water and providing instead a one size fits all “water allowance” that severely limits your water right to an average delivery of 1.03 acre feet of water per year.

This represents an astounding 42% to 74% reduction of water based upon historic usage depending upon your location and duty of water.

An analysis of the water compact abstracts also shows that 89% of Flathead Irrigation Project Water has been designated for fish, and a mere 11% for Irrigation (kind of, sort of, maybe).

Please reference the chart below by clicking on it.  The analysis shows historic Flathead Project water deliveries as noted in the 1946 Walker Report compared to those “agreed to” in the CSKT Compact

Duty of Water Analysis Walker Report v CSKT Compact

It’s highly probable that the Compact Commission provisions for Consensual Agreements was also meant to target Secretarial and Walton water rights holders whose claims are located within the Flathead Project Influence Area.

These types of claims are the gold standard of water rights because of their very early priority dates and the volume of water awarded in them. Historically, these water rights in and of themselves, increased the value of land. It can be argued that these water rights are also at great risk of their very existence due to the scope and magnitude of the tribe’s claims.

For that reason, we suppose that in some tortured form of rationalization, the Compact Commission believed that providing an option for consensual agreements with the tribe would somehow be a stop gap measure to fulfill Montana’s publicly stated commitment to “protect existing uses of water.”

So why might people with irrigation water rights located within the Flathead Project Influence area find it necessary to protect their water rights from being called?

Because Montana agreed to award most if not all of the water in the Flathead Project Influence area to the United States / CSKT with a time immemorial priority date.  The massive volumes of water, coupled with a time immemorial priority date places all of these water rights at great risk of being called by the tribe.

To put all of this in perspective, the CSKT have publicly claimed that their tribal water rights have suffered from two principal stresses, 1) the construction, operation and maintenance of the project has degraded their natural resources and 2) that ongoing development has substantially diminished reservation riparian and aquatic habitats.

So given their position, how well do you think that irrigation, property rights, or future growth and development will fare under the control of a political and adversarial anti-irrigation and anti-growth tribal government?

What is a Consensual Agreement?

While it may be tempting to consider working with the tribe on a consensual agreement, we’d like to provide you with information that may give you good reason to consider declining their “generous” offer.

Over 30 years ago, the U.S. Supreme Court created two exceptions to the general rule that Indian tribes cannot exercise civil jurisdiction over nonmembers in Montana v. United States, 450 U.S. 544, 565–66 (1981). The first of the two Montana exceptions, also known as the “consensual relationship” exception, establishes that a tribe may regulate the activities of nonmembers entering consensual relationships with the tribe or members thereof through “commercial dealing, contracts, leases, or other arrangements.” Methods of such regulation include “taxation, licensing, or other means.”

Source (web archives):  Conducting Business with Tribes

This essentially means that by signing a consensual agreement with the tribe, you most likely are agreeing to submit to their jurisdiction, up to and including going to tribal court for resolution of any disputes.

The tribe is well known for promising to do the right thing, and then reneging on that promise later. For example in 1984, the C$KT tribal council promised through tribal resolution to pay the taxes on Kerr Dam when they acquired it, however they reneged on that promise AFTER their acquisition of the dam in 2015.

See: Tribes Won’t Help Offset Loss of Tax Revenue from Kerr Dam

So what happens if you sign a consensual agreement with the tribe and at some future date you are out of favor with the tribal government, or you disagree on the terms and conditions of the agreement and the tribe decides to ignore the agreement and call your water?

Because the Montana Water Use Act no longer applies on the reservation, you have no recourse through the state courts to resolve or adjudicate this issue, or to recover damages from the tribal default on your contract.  That leaves either the expensive United States or biased CSKT Courts as the only venues for litigation.

Keep in mind you signed a contract with a tribal government that you have no rights in, nor are you able to participate.

And then there is the issue of subject matter jurisdiction of the federal courts:

Contracts with Indian tribes should specify a venue for disputes arising from those agreements. A common mistake for attorneys drafting agreements involving tribes is to assume that federal courts automatically have subject matter jurisdiction over matters involving Indian tribes. In fact, the presence of an Indian tribal party in litigation invokes neither diversity nor “arising-under” federal jurisdiction. Contracts often specify a federal court as the venue for disputes, likely because tribal parties sometimes distrust state courts and non-tribal parties may distrust tribal courts, so federal court seems like a neutral choice.

However, experienced Indian law attorneys know that federal courts generally lack subject matter jurisdiction over contract disputes and will summarily dismiss such actions.  As a result, litigants may unexpectedly find themselves in state and tribal courts. In fact, state courts increasingly defer to tribal courts when such courts have jurisdiction and may dismiss in favor of tribal court as a matter of comity.

Source: Illusion of Federal Jurisdiction in Tribal Contracts 

If this happens, good luck getting a good outcome in tribal court.

The purpose of this article is not to provide legal advice, but rather to try to inform you as to the pitfalls and landmines that have been written into the CSKT compact so that you can decide for yourself the course of action you need to take to protect your water rights from the overreach of the Three Amigo Governments.

At a minimum, we ask you to do your homework before you enter into any agreements with the tribe. Your civil rights and constitutional protections of equal protection and due process under the law, and perhaps even your legal standing may be compromised if you choose to sign on the dotted line.

Thanks for taking the time to read.