Navajo water rights settlements face setbacks despite federal commitments
WINDOW ROCK
The American Relief Act, 2025, signed into law by President Joe Biden providing $1.7 trillion in federal funding to maintain government operations through March 2025, does not include the Northeastern Arizona Indian Water Rights Settlement, or the Navajo Nation Rio San Jose Stream System Water Rights Settlement Agreement.
But one of the central focuses of the package is the critical investment in Native American water infrastructure, with significant provisions for the Navajo Nation. Despite these commitments, unresolved water rights settlements for Navajo communities in Arizona and New Mexico leave critical challenges unaddressed.
Among the most significant allocations in the legislation is $1.64 billion for the Navajo-Gallup Water Supply Project, a lifeline for the Navajo Nation spanning Arizona, New Mexico, and Utah. This initiative is designed to bring clean, reliable water to Navajo communities and surrounding areas. The funding extension through 2025 supports the construction of nearly 300 miles of pipeline, water treatment plants, pumping stations, and storage tanks. These efforts will provide 22,650 acre-feet of water annually to 43 Navajo chapters in New Mexico and Arizona, the city of Gallup, and the Jicarilla Apache Nation.
New Mexico has played a crucial role in advancing this project. In 2022, the state fulfilled its $50 million cost-sharing obligation, enabling the completion of the Cutter Lateral pipeline and treatment plant in 2021. Despite this progress, the San Juan Lateral remains unfinished due to a $600 million funding gap. Efforts to secure additional funding, including legislative measures introduced by New Mexico Senator Ben Ray Luján, are ongoing but have yet to bridge the shortfall.
Securing water rights settlements
However, the Navajo Nation continues to face significant setbacks in securing water rights settlements in Arizona and New Mexico. These unresolved claims leave communities without legally affirmed access to vital resources, particularly in areas reliant on the Colorado River.
In Arizona, disputes over water allocation have been compounded by the state’s broader challenges with overuse and drought. Negotiations have stalled, leaving the Navajo Nation in a precarious position as water shortages intensify.
In New Mexico, the Rio San Jose Stream System remains another area of concern. This settlement involves multiple stakeholders, including the Acoma and Laguna Pueblos, as well as the Navajo Nation. While progress has been made in negotiations, the failure to reach an agreement delays critical infrastructure projects and perpetuates inequities in water access.
A contrasting success story lies in Utah, where the Navajo Utah Water Rights Settlement Act secured the Navajo Nation’s rights to 81,500 acre-feet of water annually from the Upper Colorado River Basin. It also established a $200 million trust fund for water infrastructure projects in Utah, funded by federal and state contributions.
The settlement in Utah grants the Navajo Nation the authority to allocate, distribute, and lease water for various uses, ensuring sustainability and sovereignty over these resources. Projects funded under the agreement aim to improve access to drinking water, enhance irrigation, and support agricultural development.
While the success in Utah shows the potential for collaborative solutions to longstanding water rights issues, it also shows the uneven progress in addressing similar challenges in Arizona and New Mexico.
Funding for other infrastructure projects
Beyond the Navajo Nation, the American Relief Act includes funding for other tribal water infrastructure projects. A total of $920 million is allocated to the Emergency Watershed Protection Program, which will benefit tribal communities in states like Oklahoma, South Dakota, and Montana. These funds are intended to restore watersheds damaged by natural disasters and mitigate future risks.
The Rural Development Disaster Assistance Fund receives $362.5 million to repair and rebuild water systems in tribal communities affected by extreme weather events, including wildfires and floods. States like Washington and California are expected to benefit from these funds.
Native American households are nearly 19 times more likely than white households to lack indoor plumbing, a stark reminder of the systemic neglect of tribal infrastructure.
The failure to pass key water rights settlements for the Navajo Nation exacerbates existing inequities. The Navajo Nation tribal government cites that about 30% of Navajo households still rely on hauled water for drinking, cooking, and sanitation, a reality that reflects decades of underinvestment.
Navajo government leadership has emphasized that addressing these challenges requires sustained political and financial commitment. Comprehensive settlements, coupled with increased tribal control over planning and implementation, are essential to ensuring long-term equity and sustainability.
The Navajo Nation’s water rights claims in Arizona and New Mexico remain critical to the future of its communities.