Docket Code 000 Page 1

On November 22, 2002, the State of Arizona filed a Motion

for Partial Summary Judgment in the Little Colorado River

Adjudication seeking an order from this court declaring that the

approximately 8.8 million acres of land currently held in trust

by the State, which was acquired by way of various grants from

the United States government, possess federal reserved water

rights in accordance with the principles recognized in Winters

v. United States, 207 U.S. 564 (1908), Arizona v. California,

373 U.S. 546 (1963) and Cappaert v. United States, 426 U.S. 128

(1976). The State requested that the court set a briefing

schedule and oral argument on its motion.

Several parties filed responses in support and in

opposition to the State’s requests. On March 6, 2003, the court

deferred consideration of the motion until the first general

hearing held in the Little Colorado River Adjudication during

2004.

SUPERIOR COURT OF ARIZONA

APACHE COUNTY

07/20/2004 CLERK OF THE COURT

FORM V000

HONORABLE EDDWARD BALLINGER, JR. R. Luiszer

Deputy

CV-6417

Docket Code 000 Page 2

At a recent hearing, the court informed the parties that

it believed the State’s motion, if granted, could have

significant impact on both of Arizona’s pending adjudications.

Accordingly, the court instructed the State to file its motion

(and the accompanying request for oral argument and a briefing

schedule) in the Gila River Adjudication. The State filed its

requests on June 21, 2004.

To ensure that all potentially affected claimants in both

adjudications are given adequate notice of the relief requested

and an opportunity to be heard,

IT IS ORDERED, that a joint status hearing for claimants in

the Little Colorado River Adjudication and the Gila River

Adjudication will be held on October 1, 2004 at 1:30 p.m. in the

Central Court Building, Courtroom 402, 201 West Jefferson

Avenue, Phoenix, Arizona, to consider whether the court will set

oral argument and a briefing schedule on the State’s Motion for

Partial Summary Judgment declaring Federal Reserved Water Rights

for State Trust Lands.

IT IS FURTHER ORDERED,

1. Immediately following the joint hearing scheduled above,

the court will meet with the Little Colorado River

Adjudication Settlement Committee. Topics to be discussed

at this meeting include:

a. Committee prospects for significant contribution to

the meaningful settlement of claims.

b. If the committee remains a viable entity, who should

become or remain a committee member? Who should

chair the committee?

c. Means for providing for more aggressive informal

resolution on non-Indian tribe federal claims.

d. Methods for fostering resolution of claim disputes

between Indian tribes.

SUPERIOR COURT OF ARIZONA

APACHE COUNTY

07/20/2004 CLERK OF THE COURT

FORM V000

HONORABLE EDDWARD BALLINGER, JR. R. Luiszer

Deputy

CV-6417

Docket Code 000 Page 3

e. Consideration of a replacement settlement

facilitator to promote informal resolution of

claims, and the proper method of generating funds to

cover the costs associated with use of a

facilitator.

2. That retired Judge Michael Nelson shall be removed from

the court-approved mailing list.

* * * *

A copy of this minute entry is mailed to all parties on the

Court-approved LCR mailing list dated October 6, 2003.