Environmental and social consequences

The dam had severe negative consequences for the local Native American tribes whose traditional way of life revolved around salmon and the original shrub steppe habitat of the area. Because it lacks a fish ladder, Grand Coulee Dam permanently blocks fish migration, removing over 1,100 mi (1,770 km) of natural spawning habitat.^[82] By largely eliminating anadromous fish above the Okanogan River, the Grand Coulee Dam also set the stage for the subsequent decision not to provide for fish passage at Chief Joseph Dam (built in 1953).^[83] Chinook, Steelhead, Sockeye and Coho salmon (as well as other important species including Lamprey) are now unable to spawn in the reaches of the Upper Columbia Basin. The extinction of the spawning grounds upstream from the dam has prevented the Spokane and other tribes from holding the first salmon ceremony.^[84]
Grand Coulee Dam flooded over 21,000 acres (85 km²) of prime bottom land where Native Americans had been living and hunting for thousands of years, forcing the relocation of settlements and graveyards.^[85] Kettle Falls, once a primary Native American fishing grounds, was inundated. The average catch of over 600,000 salmon per year was eliminated. In one study, the Army Corps of Engineers estimated the annual loss was over 1 million fish.^[86] In June 1941, Native Americans throughout the Northwest met at the Falls for the "Ceremony of Tears", marking the end of fishing there. One month later, the falls were inundated.^[84] The town of Kettle Falls, Washington, was relocated. The Columbia Basin Project has affected habitat ranges for species such as mule deer, pygmy rabbits and burrowing owls, resulting in decreased populations. However, it has created new habitats such as wetlands, and riparian corridors.^[86] The environmental impact of the dam effectively ended the traditional way of life of the native inhabitants. The government eventually compensated the Colville Indians in the 1990s with a lump settlement of approximately $53 million, plus annual payments of approximately $15 million.^[87] As of 2011, the Spokane tribe still seeks compensation, currently through congressional bill H.R. 3097.^[88]

Grand Coulee Dam commemorative stamp, issued 1952

To compensate for the lack of ladder, three fisheries have been created above the dam, releasing into the upper Columbia River. One half of the fish are reserved for the displaced tribes, and one quarter of the reservoir is reserved for tribal hunting and boating.^[89]