Thursday, January 28, 2010

2010 Legislature: Shareholder Change Applications

Senator John Valentine has introduced a bill that modifies Utah Code section 73-3-3.5 regarding shareholder change applications. The bill is numbered Senate Bill 99 (SB 99). The bill clarifies that a water company (i.e., irrigation company, canal company, or ditch company) cannot deny a shareholder's request for a change application merely because the change would result in water being used outside of the water company's historic service area. The bill also clarifies that the water company may charge the shareholder for the costs of the change application, including the costs for the water company's engineers and/or attorneys and the costs associated with submitting proof. The water company must, however, provide the shareholder of an accounting of the fees and costs and copies of invoices for the fees and costs.

Click here to read the full text of the bill.

(For an update on this bill, click here.)

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