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Sisters, Oregon
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The contents of the on-line edition of The Nugget represent a selection among the stories that appear in the weekly print edition.

Cyrus v. SCID ends in mediation
By Jim Cornelius

A long and expensive legal wrangle between the Keith Cyrus family of Sisters and the Squaw Creek Irrigation District (SCID) ended last week after a marathon, 16-1/2-hour mediation session.

The conflict was sparked when SCID refused to deliver Cyrus irrigation water during a fee dispute in 1999. SCID refused to deliver Cyrus water for a little over one month, from April 23, 1999 until June 4, 1999, according to court documents.

An ensuing lawsuit kicked up a controversy over the ownership of the Cloverdale Ditch and put a kink in SCID's efforts to pipe the ditch for water conservation.

Legal fees piled up as the dispute dragged on in court. Matt Cyrus estimated his family's fees to run as high as $300,000. SCID manager Marc Thalacker said the district's attorney's fees are above $150,000.

Through the mediation, SCID agreed to pay the Cyrus family $60,000 in attorney's fees. The district will deliver water to the Cyruses without charge as required in an agreement dating back to 1940.

The mediated settlement acknowledges and upholds an earlier court opinion that states "Cyrus has an ownership interest in the Cloverdale Ditch and related right-of-way, but (the opinion) does not define those interests."

Under the settlement, the district has the right to control the operation and maintenance of the Cloverdale Ditch.

The district is not allowed to pipe any portion of the ditch on or above the Skelton Property (which includes the Cyrus homeplace) without the permission of the Cyrus family.

The ditch across the Aspen Lakes Golf Course is included in the area that cannot be piped without permission.

According to Thalacker, the agreement does not have any impact on the piping project that enclosed just under three miles of ditch with some 15,840 feet of 24-inch high density polyurethane (HDP) pipe.

The agreement allows the Cyruses to transport non-district (well) water through the ditch, including areas that are piped.

The Cyruses relinquished their access to and use of ditch right-of-way over the piped portion of the ditch.

However, easements revert back to them if the district stops operating the ditch.

"We're pretty pleased," Matt Cyrus said. "We got at least some of our attorney's fees and protection on the ownership of the ditch."

The settlement ends litigation in the dispute and requires both the Cyrus family and SCID to settle any future differences in connection with this agreement through a dispute resolution process or binding arbitration.

"The district is very comfortable with that," Thalacker said.

"We're very happy with this settlement and looking forward to peaceful co-existance with the Cyruses."

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