delivered the opinion of the Court.
This original action involves a dispute between Kansas, Colorado, and the United States over alleged violations of the Arkansas River Compact. The Special Master has filed a report (Report) detailing his findings and recommendations concerning the liability phase of the trial. Both Kansas and Colorado have filed exceptions to those findings and recommendations. We agree with the Special Master’s disposition of the liability issues. Accordingly, we overrule the parties’ exceptions.
I
The Continental Divide in the United States begins at the Canadian border in the mountains of northwestern Montana. From there, it angles southeast through Montana and Wyoming until it enters Colorado. It then runs roughly due south through Colorado, following first the crest of the Front Range of the Rocky Mountains, and then shifting slightly west to follow the crest of the Sawatch Range. The Arkansas River rises on the east side of the Continental Divide,
The Arkansas River flows at a steep gradient from its source south to Canon City, Colorado, whence it turns east and enters the Royal Gorge. As it flows through the Royal Gorge, the Arkansas River is at some points half a mile below the summit of the bordering cliffs. The Arkansas River thence descends gradually through the high plains of eastern Colorado and western Kansas; its elevation at the Colorado-Kansas border is 3,350 feet. It then makes its great bend northward through Kansas, and from there flows southeasterly through northeastern Oklahoma and across Arkansas. The Arkansas River covers about 1,450 miles from its source in the Colorado Rockies to the point in southeastern Arkansas where it flows into the Mississippi River. It is the fourth longest river in the United States, and it drains in an area of 185,000 square miles.
The first Europeans to see the Arkansas River were members of the expedition of Francisco Coronado, in the course of their search for the fabled Seven Golden Cities of Cibola. In 1541, they crossed the Arkansas River near what is now the Colorado-Kansas border. One year later, those in the expedition of Hernando DeSoto would see the Arkansas River 1,000 miles downstream at its mouth. The western borders of the Louisiana Purchase, acquired from France in 1803, included within them most, if not all, of the Arkansas River drainage basin. Zebulon Pike, in his expedition of 1805-1806, in the course of which he sighted the mountain peak named after him, traveled up the Arkansas River.
Today, as a result of the Kerr McClellan Project, the Arkansas River is navigable for oceangoing vessels all the way from its mouth to Tulsa, Oklahoma. The Arkansas River is unique in that the pronunciation of its name changes from State to State. In Colorado, Oklahoma, and Arkansas, it is pronounced as is the name of the State of Arkansas, but in Kansas, it is pronounced Ar-KAN-sas.
The reach of the Arkansas River system at issue here is a fertile agricultural region that extends from Pueblo, Colorado, to Garden City, Kansas. This region has been developed in Colorado by 23 major canal companies and in Kansas by 6 canal companies, which divert the surface flows of the Arkansas River and distribute them to individual farmers. Report 35-38. Also relevant to this dispute, the United States has constructed three large water storage projects in the Arkansas River basin. Id,, at 43-48. The John Martin Reservoir, located on the Arkansas River about 60 miles west of the Kansas border, was authorized by Congress in 1936, 49 Stat. 1570, and was completed in 1948. It is the largest of the federal reservoirs, and initially it had a storage capacity of about 700,000 acre-feet. 1 Report 45. The Pueblo Reservoir, located on the Arkansas River about 150 miles west of the Kansas border, was authorized by Congress in 1962, and was substantially completed in 1975. Id., at 44. In 1977, the storage capacity of the Pueblo Reservoir was estimated to be about 357,000 acre-feet. Ibid. Finally, the Trinidad Reservoir, located on the Purgatoire River (a major tributary of the Arkansas River) was approved by Congress in 1958, and was completed in 1977. Id., at 43. The total capacity of the Trinidad Reservoir is about 114,000 acre-feet. Ibid.
In 1949, after three years of negotiations, Kansas and Colorado approved, and Congress ratified, the Arkansas River Compact (Compact). See 63 Stat. 145; see also Report 5-6; App. to Report 1-17 (reprinting text of Compact). Article VIII of the Compact creates the Arkansas River Compact Administration (Administration) and vests it with the power and responsibility for administering the Compact. Id., at 11-15. The Administration is composed of a nonvoting presiding officer designated by the President of the United States, and three voting representatives from each State. Each State has one vote, and every decision, authorization, or other action by the Administration requires a unanimous vote. Id., at 12-13 (Article VIII-D).
The Compact’s primary purposes are to “[s]ettle existing disputes and remove causes of future controversy . . . concerning the waters of the Arkansas River” and to “[ejquitably divide and apportion” the waters of the Arkansas River, “as well as the benefits arising from the construction, opera
“This Compact is not intended to impede or prevent future beneficial development of the Arkansas River basin in Colorado and Kansas by Federal or State agencies, by private enterprise, or by combinations thereof, which may involve construction of dams, reservoir, and other works for the purposes of water utilization and control, as well as the improved or prolonged functioning of existing works: Provided, that the waters of the Arkansas River . . . shall not be materially depleted in usable quantity or availability for use to the water users in Colorado and Kansas under this Compact by such future development or construction.” Id., at 5 (emphasis added).
In 1983, Kansas conducted an independent investigation of possible violations of the Compact arising from the impact of increases in post-Compact well pumping in Colorado and the operation of two of the federal reservoirs. Report 9-10. In December 1985, Kansas brought this original action against the State of Colorado to resolve disputes arising under the Compact.
Id.,
at 10. The Court granted Kansas leave to file its complaint,
Kansas
v.
Colorado,
Kansas advanced three principal claims, each involving an alleged Compact violation. See Report 58. First, Kansas alleged that increases in groundwater well pumping in Colorado in the years following adoption of the Compact have caused a significant decline in the Arkansas River’s surface
The Special Master bifurcated the trial into a liability phase and a remedy phase. At the conclusion of the liability phase, the Special Master filed his Report, outlining his findings and recommendations. In his Report, the Special Master recommended, among other things, that the Court: (1) find that post-Compact well pumping in Colorado has “materially depleted” the “usable” flow at the Colorado-Kansas border (stateline) in violation of Article IV-D of the Compact, Report 336; (2) find that “Kansas has failed to prove that operation of the [WWSP] program has violated the [C]ompact,” ibid.; and (3) “dismiss the Kansas claim arising from the operation of Trinidad Reservoir,” ibid. 2
Both Kansas and Colorado have filed exceptions to the Special Master’s Report. Kansas excepts to the Special Master’s rejection of its (1) Trinidad Reservoir claim, see
id.,
at 373-433; (2) WWSP claim, see
id.,
at 306-335; and (3) preferred method for determining the usability of depletions of stateline flows, see
id.,
at 291-305. Colorado excepts to the Special Master’s determination that: (1) Kansas was not guilty of inexcusable delay in making its post-Compact well-pumping claim and that Colorado was not prejudiced by this
We turn to the parties’ exceptions.
II
A
In 1958, Congress authorized construction of the Trinidad Project, a dam and a reservoir system on the Purgatoire River slightly upstream from the city of Trinidad, Colorado. See
id.,
at 382-388. Recognizing that Article IV-D of the Compact prohibited any development of the Arkansas River basin that resulted in a material depletion of usable river flow, the Bureau of Reclamation conducted studies regarding the future operation of the Trinidad Project.
Id.,
at 388-390. The Bureau of Reclamation established Operating Principles whereby the Trinidad Project could be administered “without adverse effect on downstream water users and the inflow to John Martin Reservoir.”
Id.,
at 390 (internal quotation marks omitted). The Governor of Kansas reviewed the Bureau of Reclamation’s proposed Operating Principles and indicated that if five additional conditions were accepted, then “Kansas would be in a position to approve the amended Operating Principles and to support completion of the project.”
Id.,
at 392-393. In June 1967, the
In 1979, Colorado began storage of water at the Trinidad Reservoir. Id., at 396. Kansas immediately complained that the Operating Principles were being violated. Id., at 397. In 1988, at the request of the Administration, the Bureau of Reclamation conducted a study of the Trinidad Reservoir. It concluded that two storage practices at the Trinidad Reservoir constituted a ‘“departure from the intent of the operating principles.’” Ibid.
At trial, Kansas argued that the Operating Principles were binding on the State of Colorado and that any departure from them constituted a violation of the Compact “regardless of injury.” Id., at 408 (internal quotation marks omitted). Kansas, however, “offered no evidence, apart from the Bureau studies, to show that the actual operation of the Trinidad project caused it to receive less water than under historical, without-project conditions.” Id., at 412. Instead, Kansas sought to quantify depletions by “comparing the flows into John Martin Reservoir ‘as they would have occurred under the Operating Principles with the flows that occurred under actual operations.’ ” Id., at 409. The Special Master concluded that in order to prove a violation of the Compact, Kansas was required to demonstrate that “the Trinidad operations caused a material depletion within the meaning of Article IV-D.” Id., at 431. The Special Master recommends that we dismiss Kansas’ Trinidad claim because “Kansas has not established, and did not attempt to establish, such injury.” Ibid.
Kansas argues that “[departure from the Operating Principles is
ipso facto
a violation of the Compact, and it [is] entirely sufficient, for purposes of quantifying the effects of the violation, to compare the actual operation with simulated operation as it should have been under the Operating Principles.” Kansas’ Exceptions to Special Master’s Report 12. But, it must be recalled, this is an original action to enforce
Thus Kansas, in order to establish a Compact violation based upon failure to obey the Operating Principles, was required to demonstrate that this failure resulted in a material depletion under Article IV-D. Kansas “has not established, and did not attempt to establish, such injury.” Id., at 431. We overrule Kansas’ exception to the Special Master’s dismissal of its Trinidad Reservoir claim.
In 1964, the Bureau of Reclamation and Colorado began planning a program to use excess capacity at Pueblo Reservoir in order to store a portion of the winter-time flow of the Arkansas River for beneficial use at other times. Under the WWSP, winter-time flow — much of which was used previously to flood uncultivated cropland — is instead stored at the Pueblo Reservoir. Kansas contends that the Special Master erred in finding that it had failed to prove that the WWSP had “materially depleted” usable stateline flows. We disagree.
In his Report, the Special Master concluded:
“Kansas has not proved that the WWSP has caused material Stateline depletions. Kansas’ case has not been helped by its own contradictions in quantifying impacts to usable flow — ranging during this trial from 255,000 acre-feet initially, to 44,000 to 40,000; nor by the fact that depletions are essentially eliminated if accretions are taken into account.” Report 335.
The Special Master examined the computer models submitted by Kansas and Colorado and determined that “the depletions shown by the Kansas model are well within the model’s range of error.” Id., at 334-335. As a result, “[o]ne [could not] be sure whether impact or error [was] being shown.” Id., at 335.
We believe that the Special Master gave Kansas every reasonable opportunity to meet its burden of proving its WWSP claim. Kansas, however, failed to prove that operation of the WWSP program resulted in material depletions of usable flows in violation of Article IV-D. See ibid. Therefore, we overrule Kansas’ exception to the Special Master’s conclusion that Kansas had failed to prove its WWSP claim.
C
Article IV-D of the Compact permits future development and construction along the Arkansas River Basin provided
Kansas’ first expert, Timothy J. Durbin, analyzed flow data for the period between 1951 and 1985 by plotting actual river diversions in Kansas against actual stateline flows. Report 293-294. Using these data, Durbin developed criteria to determine what river flows were usable. Durbin concluded that during the summer months, April through October, (1) 78% of the stateline flows were diverted; (2) flows greater than 40,000 acre-feet per month were not usable; and (3) flows greater than 140,000 acre-feet for the whole period were not usable. Id., at 293. With respect to the winter months, November through March, Durbin concluded that (1) 24% of the winter flow was diverted; (2) flows greater than 7,500 acre-feet per month were not usable; and (3) flows greater than 40,000 acre-feet for the whole period were not usable. Id., at 293-294.
After Colorado isolated errors in Durbin’s analysis, Kansas presented a replacement case. Kansas’ second group of experts, led by Stephen P. Larson, adopted the same methodology but revised certain exhibits and made minor corrections in data. As a result, Larson modified Durbin’s coefficients, using 72% for the summer months and 25% for the winter months. Id., at 295.
The Special Master concluded that “the Durbin approach, using Larson’s coefficients, is the best of the several methods presented for determining usable flow” and that it provided “a reasonable way in which to determine depletions of usable flow.”
Id.,
at 305. We agree. Each of the three methods that Kansas proposed for calculating usable depletions required two steps: (1) a calculation of total depletions using the Kansas hydrological model, and (2) an application of “usability” criteria. See Brief for United States in Response to Exeptions of Kansas and Colorado 30. Each of the three methods proposed by Kansas was dependent on the Kansas hydrological model to estimate total depletions. The Spronk method required the Kansas hydrological model to predict accurately depletions for each and every month. Report 303. But as Durbin, Kansas’ first expert, testified, Kansas’ hydrological model was only a “‘good predictor’ when ‘looking at long periods of time.’”
Id.,
at 303, n. 130 (quoting Durbin’s testimony). Thus, the Spronk method required the Kansas hydrological model to do something it was not designed to do,
i. e.,
predict accurately depletions on a monthly basis.
Id.,
at 303 (“The Spronk analysis assumes that the H-I model can accurately predict changes of State-line flow on a monthly basis”). Because the Spronk method for determining “usable” river flows was less compatible with Kansas’ hydrological model than the other methods proposed, we conclude that the Special Master properly rejected
Ill
A
The Special Master concluded that Kansas was not guilty of inexcusable delay in making its well-pumping claim, and that Colorado had not been prejudiced by Kansas’ failure to press its claim earlier. Id., at 170. Colorado has excepted to this determination. Colorado argues that the equitable doctrine of laches should bar Kansas’ claim for relief. See Colorado’s Exceptions to Special Master’s Report (Colorado’s Exceptions) 24-64. We overrule Colorado’s exception.
The defense of laches “requires proof of (1) lack of diligence by the party against whom the defense is asserted, and (2) prejudice to the party asserting the defense.”
Costello
v.
United States,
Colorado argues that Kansas knew or should have known by 1956, or at the latest, before 1968, that both the number of post-Compact wells and the amount of post-Compact pumping in Colorado had increased substantially. Colorado’s Exceptions 37, 39. Colorado argues that by 1956 Kansas had sufficient information about increased well pumping in Colorado and its potential impact on usable stateline flows to call for an investigation to determine if a Compact violation existed. Id., at 46.
The Special Master concluded that prior to 1984, Kansas had made no formal complaint to the Administration regarding post-Compact well pumping in Colorado. Report 155-156. Nevertheless, the Special Master concluded that Colorado’s evidence did not “deal with the issue of impact on usable flow at the Stateline,” id., at 161, and did “not demonstrate that [the Kansas officials] were aware of the nümber of wells, the extent of Colorado’s pumping, or the impact or even potential impact of pumping on usable Stateline flows,” id., at 164. The Special Master explained the difficulty of assessing the impact of increases in post-Compact well pumping on usable stateline flows because of changing conditions during the 1970’s and early 1980’s:
“The 1970s were generally dry years and some reduction in flow was to have been expected. Pueblo Dam came on line in 1976 and began to reregulate native flows. Transmountain imports increased, which to some extent provided an offset to pumping. The 1980 Operating Plan was placed into effect, which Colorado alleges offset the impacts of increased pumping downstream from John Martin Reservoir. The Winter Water Storage Program was instituted. Moreover, there was no quantitative or specific entitlement against which depletions to usable flow could be judged. Nor were there any agreed upon criteria for establishing what flows were usable.” Id., at 162-163.
As late as 1985, Colorado officials refused to permit an investigation by the Administration of well development in Colorado because they claimed that the evidence produced by Kansas did not “ ‘suggest that well development in Colorado has had an impact on usable stateline flows.’” Id., at 163 (quoting memorandum of J. William McDonald, chief of the Colorado delegation to the Administration). In light of the vague and conflicting evidence available to Kansas, we conclude that Colorado has failed to demonstrate lack of diligence, i. e., inexcusable delay, on the part of Kansas.
Accordingly, we overrule Colorado’s exception to the Special Master’s conclusion that the defense of laches should not bar Kansas’ well-pumping claim.
B
The Compact prohibits “future beneficial development of the Arkansas River basin” that “materially deplete [s]” the usable flows of the Arkansas River. App. to Report 5 (Article IV-D) (emphasis added). Because some wells in Colorado were in existence prior to the Compact, both parties agree that a certain amount of post-Compact well pumping is allowable under the Compact. Report 182. Kansas and Colorado, however, dispute the extent of this allowance. The Special Master determined that the “highest annual amount shown to have been pumped during the negotiations, namely 15,000 acre-feet, should be. allowed under the [Compact.” Id., at 200. Colorado makes both a legal and a factual challenge to this determination. Colorado’s Exceptions 66-73, 73-84.
Colorado argues as a legal matter that the Compact does not limit the pumping by pre-Compact wells to the highest amount actually pumped in pre-Compact years; rather, Colo
We conclude that the clear language of Article IV-D refutes Colorado’s legal challenge. Article IV-D permits “future beneficial development of the Arkansas River basin ... which may involve construction of dams, reservoir, and other works for the purposes of water utilization and control,
as well as the improved or prolonged functioning of existing works:
Provided, that the waters of the Arkansas River ... shall not be materially depleted in usable quantity or availability . ...” App. to Report 5 (emphasis added). Regardless of subsequent practice by the parties, improved and increased pumping by existing wells clearly falls within Article IV-D’s prohibition against “improved or prolonged functioning of existing works,” if such action results in “materia[l] depletions] in usable” river flows.
Ibid.;
see
Texas
v.
New Mexico,
Second, Colorado argues as a factual matter that the Special Master unreasonably relied upon faulty reports by the United States Geological Survey (USGS) and the Colorado Legislature to conclude that the greatest amount of annual pre-Compact pumping in Colorado was 15,000 acre-feet. Colorado’s Exceptions 73-74. The Special Master concluded:
“There is no precise answer to the amount of [preCompact] pumping.... That amount must simply remain as an estimate of water use that affected the general allocation of water between the states when the [Compact was being negotiated. Two responsible reports, one published by the USGS and one prepared for the Colorado legislature, reached similar conclusions as to the amounts of Colorado pumping during the 1940s. . . . They have since been used by the Colorado State Engineer. I have relied on these reports and recommend that the highest annual amount shown to have been pumped during the negotiations, namely 15,000 acre-feet, should be allowed under the [C]ompact.” Report 199-200.
Although the ultimate responsibility for deciding what are correct findings of fact remains with the Court,
Colorado
v.
New Mexico,
C
In April 1980, the Administration adopted a resolution concerning the method for operating John Martin Reservoir (1980 Operating Plan). Report 47. The 1980 Operating
Colorado argues that increases in usable stateline flows resulting from the 1980 Operating Plan should offset depletions to usable stateline flows. Colorado’s Exceptions 85. Colorado maintains that the Administration adopted the 1980 Operating Plan “for more efficient utilization of water under its control because of changes in the regime of the Arkansas River,” id., at 91, “including [post-Compact] well pumping in Colorado and Kansas,” ibid.; see also App. to Report 107 (Resolution Concerning an Operating Plan for John Martin Reservoir) (“WHEREAS, the Arkansas River Compact Administration . . . recognizes that, because of changes in the regime of the Arkansas River, the present operation of the conservation features of John Martin Reservoir does not result in the most efficient utilization possible of the water under its control”). We disagree.
As Colorado acknowledges, the resolution adopting the 1980 Operating Plan “does not state that [post-Compact] well pumping in Colorado or Kansas was a cause of changes in the regime of the Arkansas River.” Colorado’s Exceptions 88. In fact, Colorado argues in a separate part of its brief that “Kansas had made no complaint about well pumping in Colorado to the Compact Administration . . . before 1984.”
Id.,
at 32. The 1980 Operating Plan expressly reserves the parties’ rights under the Compact, stating that “[a]doption of this resolution does not prejudice the ability of Kansas or of any Colorado ditch to object or to otherwise represent its
“The 1980 Operating Plan provided benefits to both Kansas and Colorado which were separately bargained for. There is no evidence to support the claim that benefits to Kansas were in settlement of its well claims. Colorado received ample consideration under the agreement for the 1980 plan without a waiver of Kansas’ well claims. The benefits received by Kansas under the plan should not be offset against compact violations, and should not be a bar to any of the Kansas claims in this case.” Report 180-181.
We agree with the Special Master’s resolution of Colorado’s claim. Accordingly, we overrule Colorado’s exception.
D
Finally, Colorado argues that Kansas is required to prove its well-pumping claim by clear and convincing evidence. Colorado’s Exceptions 91. The Special Master, relying upon
Nebraska
v.
Wyoming,
We need not, however, resolve this issue. The Special Master concluded that “regardless of which burden of proof
IV
For these reasons, we overrule the exceptions filed by the States of Kansas and Colorado. We remand the case to the Special Master for determination of the unresolved issues in a manner not inconsistent with this opinion.
It is so ordered.
Notes
An acre-foot is equivalent to 325,900 gallons of water; it represents the volume of water necessary to cover one acre of land with one foot of water. Report xvii.
Colorado presented two counterclaims against Kansas. The Special Master recommended that the Court grant Kansas’ motions to dismiss those counterclaims. Report 337. Colorado has not filed exceptions to those recommendations. We adopt the Special Master’s recommendations on Colorado’s counterclaims.
The Special Master did “not address the possible question of whether Kansas has a claim for violation of the Operating .Principles that is independent of the Compact, that is, a cause of action based upon a separate agreement with Colorado, or as a third party beneficiary under the repayment contract, or otherwise.” Report 408, n. 6. We express no view as to that question.
Article VI-A(2) provides: “Except as otherwise provided, nothing in this Compact shall be construed as supplanting the administration by Colorado of the rights of appropriators of waters of the Arkansas River in said State as decreed to said appropriators by the courts of Colorado, nor as interfering with the distribution among said appropriators by Colorado, nor as curtailing the diversion and use for irrigation and other beneficial purposes in Colorado of the waters of the Arkansas River.” App. to Report 10 (emphasis added).
