Friday, January 17, 2025

2025 Legislative Preview

The 2025 general session of the Utah Legislature begins next week. Below are summaries (written by the water attorneys at Smith Hartvigsen) of the water-related bills that have been released so far. As the session goes along, additional water bills will certainly be added.

HB 41 – State Water Policy
Rep. Carl R. Albrecht

House Bill 41 seeks to amend Utah Code section 73-1-21, which enunciates water policy for the State of Utah. This bill came out of the Legislative Water Development Commission and will likely have widespread support. It adds promotion of the quality of groundwater, in addition to lakes and rivers already listed. It also adds “the monitoring of activities in watersheds that provide water to drinking water systems to protect the watersheds”; the promotion of “state water planning, including the formation of the state water plan as provided in Section 73-10-15”; and “water reuse with appropriate conditions for the region in which the water reuse” as water policy objectives.

All of the additions are laudable and will likely have little opposition. There are two deletions from existing water policy in the bill which may be controversial. The first is the deletion of the “balanc[ing] social, economic, public interest, and environmental” needs or values when considering water pricing and funding mechanisms or the “study and development of strategies and practices necessary to address declining water levels and protect the water quality and quantity of the Great Salt Lake, Utah Lake, and Bear Lake.”

To read the full text of the bill, click here.

HB 45 – Irrigation Amendments
Rep. Rex P. Shipp

House Bill 45 seeks to modify Utah Code section 73-1-8 regarding the duties and liabilities of the owners or operators of irrigation ditches and canals. While the section already specifies that the owners or operators of water facilities must exercise “reasonable and ordinary care” in operating and maintaining those facilities, the bill would clearly assign liability to the owners or operators of ditches and canals if their failure to meet that care standard results in the waste of water, property damage, or injury to others. In addition, if an individual is held liable to a third party for any waste, damage, or injury directly caused by the failure of an owner or operator to exercise reasonable and ordinary care in maintaining a ditch or canal located within a municipality, the bill would allow that individual to recover the amount for which they are liable from the owner or operator of the ditch or canal.

To read the full text of the bill, click here.

HB 46 – Water Rights Applications Amendments
Rep. Doug Owens

House Bill 46 seeks to modify Utah Code section 73-3-18 regarding the State Engineer’s process of reinstating lapsed applications. The law currently allows the State Engineer to reinstate a lapsed application within 60 days of the lapsed application upon a showing of reasonable cause but gives no guidance on how a water right owner is to file this request for reinstatement. HB 46 directs the State Engineer to create a reinstatement form that will be used (in conjunction with a request for extension of time) for future requests to reinstate lapsed applications within the 60-day time period. The bill also provides that if an application is reinstated, the priority date will be changed to the date that the request for reinstatement was filed.

To read the full text of the bill, click here.

HB 47 – Public Lands Water Rights Amendments
Rep. Carl R. Albrecht

House Bill 47 seeks to modify Utah Code sections 73-2-14 and 73-3-31 regarding water claims under Public Water Reserve No. 107. In 1926, President Calvin Coolidge created Public Water Reserve Number 107 through an executive order. Public Water Reserve No. 107 reserved land containing water for the federal government for it to manage livestock watering on these lands. The rationale behind Public Water Reserve No. 107 was to promote western settlement and prevent monopolization of scarce water resources on federally managed lands. Public Water Reserve Number 107 created federal reserved water rights that are leased by the federal government to private individuals for grazing. Currently, Utah Code sections 73-2-14 and 73-3-31 do not recognize Public Water Reserve No. 107 separately and instead combine Public Water Reserve No. 107 uses with livestock water use certificates held by public agencies. HB 47 recognizes that Public Water Reserve No. 107 uses are unique and establishes a procedure and guidelines for federal agencies to file information with the Division of Water Rights so that the State Engineer may determine beneficial use for water claims under Public Water Reserve No. 107.

To read the full text of the bill, click here.

HB 81 – Fluoride Amendments
Rep. Stephanie Gricius

House Bill 81 seeks to prohibit public water suppliers from adding fluoride into a public water system.

To read the full text of the bill, click here.

HB 89 – Water Transfer Amendments
Rep. Gay Lynn Bennion

House Bill 89 seeks to modify Utah Code section 75-3-1201 regarding “small estate affidavits.” A small estate affidavit is used when a person has passed away and has personal property (such as furniture, jewelry, money in bank accounts, shares of stock, etc.) that are still in the deceased person’s name. The family of the deceased person can fill out the affidavit and then use the affidavit to have the personal property transferred out of the name of the deceased person and into the name of the successors/heirs. The affidavit cannot be used to transfer title to real property and the affidavit can only be used if the total value of the assets is less than $100,000. In the past, the small estate affidavit has been used in circumstances where a deceased person owned shares of stock in an irrigation company and the successors/heirs are seeking to have the irrigation company re-issue the shares into the name of the successors/heirs. HB 89 would disallow this practice. The bill states that “Shares of stock in a water company . . . are not eligible for transfer” using the small estate affidavit. This means that successors/heirs will be forced to go through the probate process in court in order to get water shares transferred out of the name of a deceased person.

To read the full text of the bill, click here.

HB 174 – Water Rights Restricted Account
Rep. Carl R. Albrecht

House Bill 174 seeks to modify Utah Code section 73-2-1.6 regarding how the Division of Water Rights can utilize funds in the Water Rights Restricted Account. Previously, the law allowed the Division to use funds for legal support related to water right adjudications. HB 174 would allow the Division to use funds for general legal support (i.e., “not limited to geographic areas of adjudication”).

To read the full text of the bill, click here.

HB 243 – Agriculture Water Optimization Amendments
Rep. Casey Snider

House Bill 243 seeks to amend two code sections in the Agricultural Water Optimization Act. The current law requires a 25% match for “a drip or automated surge irrigation project.” This language is amended to clarify that the match is for “(A) a subsurface drip irrigation project; (B) an automated surge irrigation project; or (C) a measurement, telemetry, or reporting project.” The bill would also add a provision that money in the Agricultural Water Optimization Account can be used for research that “establishes methods for measuring saved water or the effectiveness of the agricultural water optimization funding.”

To read the full text of the bill, click here.

HCR 1 – Regarding the Grand County Water Conservancy District
Rep. Carl R. Albrecht

Resolutions do not have the power of law but show the position and will of the legislature and governor (if not vetoed) on the topic addressed. HCR 1 supports the transfer of water infrastructure and approximately 2,500 acre-feet of water rights from the United States Department of Energy to the Grand County Water Conservancy District. The infrastructure and water rights are currently used in the Moab Uranium Mill Tailings Remedial Action (UMTRA) Project to remove radioactive uranium mill tailings from a 130-acre tailings pile adjacent to the Colorado River, just north of Moab. The tailings are transported by rail to a remote off-river site near Crescent Junction. These tailings posed a serious threat to the Colorado River. If not removed, a major flood event would wash the tailings into the river and create a catastrophe for the millions of people who rely on the Colorado River below Moab. This federally funded Project, which is nearing completion, began in 2008 and has already removed 14.4 million tons of tailings. Once the Project is complete the water rights and infrastructure will no longer be needed by the Department of Energy and could be used for the benefit of Grand County.

To read the full text of the bill, click here.

SB 33 – Water Right Recording Amendments
Sen. Evan J. Vickers

Senate Bill 33 seeks to revise Utah Code section 57-3-109 regarding water right deed addenda. The law currently requires that the grantor’s signature on the addendum must be an original signature, whereas the grantee’s signature can be “by facsimile or electronic means.” SB 33 would allow for both the grantor’s and grantee’s signatures to be “by facsimile or electronic means.”

To read the full text of the bill, click here.

SB 36 – Water Quality Board Amendments
Sen. Todd D. Weiler

Senate Bill 36 seeks to revise Utah Code section 19-5-104 to establish a process for the Utah Quality Board to review settlement negotiations between the director and a party in alleged violation of the Water Quality Act and to issue a final order establishing a reasonable penalty in ongoing settlement negotiations.

To read the full text of the bill, click here.

SB 80 – Drinking Water Amendments
Sen. Scott D. Sandall

Senate Bill 80 seeks to enact Utah Code section 19-4-116, which would require the Department of Environmental Quality to establish a fee schedule for the regulation of public water systems in the state. The code section would outline the requirements related to the fee schedule, allow DEQ to establish a financial incentive for compliance, provide for the collection and monitoring of fees, and create an exemption for wholesale water suppliers. DEQ would also be required to evaluate other sources of funding to support the regulation of public water systems. Versions of this bill have appeared in every legislative session for the past several years as the Division of Drinking Water works to identify reliable funding mechanisms for its programs.

To read the full text of the bill, click here.

SB 92 – Golf Course Amendments
Sen. Daniel McCay

Senate Bill 92 seeks to authorize the Utah State University Institute of Land, Air, and Water to study the use of water on golf courses in the state. The Institute would identify best practices for water use in Utah relative to golf courses, and then work with golf course owners to “identify strategic water saving opportunities.” The bill also sets up an advisory committee of golf professionals to consult with the Institute. Additionally, the bill would require the Division of State Parks to develop a master plan for state-owned golf courses, which would address water use and conservation. Finally, the bill would classify water data records provided to the Institute as “protected records” under GRAMA.

To read the full text of the bill, click here.

SB 131 – Water Commitment Amendments
Sen. Nate Blouin

Senate Bill 131 seeks to amend Utah Code section 73-10-32 regarding water conservation plans. SB 131 would add a provision that a water conservation plan may include information regarding “the commitment of available water to uses on sovereign lands.” In this context, sovereign lands refers to “those lands lying below the ordinary high water mark of navigable bodies of water at the date of statehood and owned by the state by virtue of its sovereignty.”

To read the full text of the bill, click here.

 

Friday, December 13, 2024

Public Meeting Regarding Groundwater Management Plan for Sand Hollow Area

The Utah Division of Water Rights has sent out notice of a public meeting to discuss the development of a groundwater management plan for the Sand Hollow area. The following information comes from the notice:

What: Public Meeting

Who: Sand Hollow Area Water Users

When: January 14, 2025, 6:00 p.m.

Where: Hurricane City Office, 147 N 870 W, Hurricane, Utah

Online: Remote participation of the public meeting will also be available online:  https://waterrights.utah.gov/publicmeetings/

Purpose: The purpose of the meeting is to discuss the development of a groundwater management plan for the Sand Hollow area. Personnel from the Division of Water Rights will be available to take all questions and comments provided by the general public and interested parties.

Agenda for January 14, 2025 Public Meeting
1. Welcome/Introduction
2. Sand Hollow Groundwater Hydrology Presentation by USGS
3. Groundwater Management Plan Discussion
4. Current Work and Next Steps
5. Public Questions/Comments

If you are unable to attend the meeting, but would like to provide input, please send your comments to:
Division of Water Rights
1594 West North Temple Suite 220
PO Box 146300
Salt Lake City UT 84114-6300
Email:  waterrights@utah.gov
Subject: Public Comment Regarding Sand Hollow Area GWMP

In accordance with the Americans with Disability Act, individuals needing special accommodations should notify Melissa Bowdren at (801) 538-7370 at least three (3) days prior to the meeting.

Information from the meeting will be posted on the Utah Division of Water Rights website at https://waterrights.utah.gov/groundwater/ManagementReports/SandHollow/ as a resource for those who are unable to attend the meeting or require additional information.

Monday, December 2, 2024

Planned Adjudication of Gould Wash Area

The Division of Water Rights has sent out notice that it will be initiating a general adjudication of water rights in the Gould Wash area (Book 81-4). This area includes the communities of Apple Valley, Hildale, Virgin, Rockville, and Springdale, as well as portions of Hurricane and La Verkin. See map below. The Division has not yet scheduled the initial public meeting.



Tuesday, November 19, 2024

Water Infrastructure Study

In 2023, the Utah Legislature passed SB 34: Water Infrastructure Funding Study. SB 34 required the Department of Natural Resources to study the use of property tax revenue for fund water infrastructure, treatment, and delivery. Over the years, the question has often been raised whether property taxes are an appropriate funding mechanism for water development. Some critics have asserted that using property tax revenue "hides" the true cost of water, and that user fees should be the sole (or at least primary) source of funding for water development.

The Department of Natural Resources, in conjunction with LRB Public Finance Advisors, has issued its report to the Legislature. The study looked at how other western states handle water development funding. and found that Utah is not alone in how it funds water operations and infrastructure. The study notes several benefits of using property tax revenue for water development, including stability in revenue collections, lower costs of developing and delivering water, and increased public confidence.
The study's conclusions are summarized as follows:
This report concludes that Utah’s water purveyors utilize commonly used best practices to deliver affordable water and have dependable revenues. Utahns enjoy some of the lowest costs of water in the Comparable States. To change how water is funded would require thoughtful implementation as to not threaten the stable financial operations established by Utah’s water industry. Managing risk in revenue collections is a real consideration in establishing rates. Increasing water conservation measures will prepare the State for tomorrow’s needs. 
Balancing water conservation and revenue streams is a delicate matter that will require constant attention. Tiered rates economically motivate water conservation. Securing stable revenue streams through base rates and property taxes helps lower the costs of water. Seeking this balance to maintain reliable revenues and encourage water conservation. Coupled with continued secondary water management to increase water conservation are effective efforts to maintain a resilient water supply for Utah today and into the future
The study's ultimate recommendation was "To balance water conservation and revenues, continue to utilize property taxes and base rates and implement a more aggressive tiered rate."
To read the full report, click here.

Friday, October 18, 2024

Adoption of Parowan Valley Groundwater Management Plan

The Division of Water Rights has adopted the Parowan Valley Groundwater Management Plan, as of October 15, 2024. The plan notes that safe groundwater yield in the area is 22,000 acre-feet, but current groundwater withdrawals/depletions are nearly 33,000 acre-feet -- which is unsustainable. In order to bring the system back in harmony, water rights are going to be permanently "phased out" over the next several decades, starting in 2043. By the year 2080, all water rights with priority dates later than December 5, 1951 will be gone and the system will (hopefully) be brought into balance.

To view the full Plan, click here.

Saturday, October 12, 2024

Public Meeting Regarding Adoption of Groundwater Management Plan for Pahvant Valley

The Utah Division of Water Rights has set a public meeting to discuss the development of a groundwater management plan for Pahvant Valley (Area 67). Personnel from the Division of Water Rights will be available to take all questions and comments provided by the general public and interested parties.

What:  Public Meeting
Who:  Pahvant Valley Water Users
When:  November 13, 2024, 6:00 p.m. to 8:00 p.m.
Where: Millard County Courthouse, 50 South Main, Fillmore, UT 84631
Online:  Remote participation of the public meeting will also be available online:  https://waterrights.utah.gov/publicmeetings/

Agenda
1. Welcome/Introduction
2. Summary of Groundwater Hydrology Study by UGS Staff
3. Groundwater Management Plan Discussion
4. Policy, Current Work, and Next Steps
5. Public Questions/Comments

If you are unable to attend the meeting, but would like to provide input, please send your comments to:
Address: Division of Water Rights, 594 West North Temple Suite 220, PO Box 146300, Salt Lake City UT 84114-6300
Email: waterrights@utah.gov
Subject: Public Comment Regarding Pahvant GWMP

In accordance with the Americans with Disability Act, individuals needing special accommodations should notify Melissa Bowdren at (801) 538-7370 at least three (3) days prior to the meeting.

Information from the meeting will be posted on the Utah Division of Water Rights website as a resource for those who are unable to attend the meeting or require additional information.

For more information about the meeting, click here.


Public Meeting Concerning the Groundwater Policy for Emery / Johns Valley

The Utah Division of Water Rights has set a public meeting to discuss the results of a recently published groundwater hydrology study performed by the Utah Geological Survey and to discuss the groundwater appropriation policies in the Emery / Johns Valley. Personnel from the Division of Water Rights will be available to take all questions and comments provided by the general public and interested parties.

What:  Public Meeting
Who:  Emery/Johns Valley Water Users
When:  November 14, 2024, 6:00 p.m. to 8:00 p.m.
Where:  Garfield County Courthouse, 55 South Main, Panguitch, UT 84759
Online:  Remote participation of the public meeting will also be available online:  https://waterrights.utah.gov/publicmeetings/

Agenda
1. Welcome/Introduction
2. Summary of Groundwater Hydrology Study by UGS Staff
3. Groundwater Appropriate Policy Discussion
4. Public Questions/Comments

If you are unable to attend the meeting, but would like to provide input, please send your comments to:
Address:  Division of Water Rights, 1594 West North Temple Suite 220, PO Box 146300, Salt Lake City UT 84114-6300
Email:  waterrights@utah.gov
Subject:  Public Comment Regarding Emery/Johns Valley Public Meeting

In accordance with the Americans with Disability Act, individuals needing special accommodations should notify Melissa Bowdren at (801) 538-7370 at least three (3) days prior to the meeting.

Information from the meeting will be posted on the Utah Division of Water Rights website as a resource for those who are unable to attend the meeting or require additional information.

For more information about the meeting, click here.


Monday, September 30, 2024

Public Meeting Regarding Great Salt Lake Distribution Management Plan

The Utah Division of Water Rights has set a meeting to discuss its direction under Utah Code section 73-3-33 to "regulate the measurement, appropriation, apportionment, and distribution of water within the Great Salt Lake meander line" through the creation and adoption of a Distribution Management Plan for the Great Salt Lake. The meeting information below is from the public notice provided by the Division.

Who:Water Users, Stakeholders, and Interested Parties
When:October 24, 2024, 2:00 p.m. to 4:00 p.m.
Where:Department of Natural Resources Office
1594 West North Temple St
Salt Lake City, Utah 84116
(801) 538-7200
Online:Remote participation and live stream broadcast of the public meeting will also be available on-line at the following links:
Remote Participation: https://meet.google.com/nos-xckr-xei
Live Stream: https://youtube.com/live/iAV5aBQjGGY
Purpose:

In accordance with Chapter 73-3-33, Utah Code Annotated, the State Engineer has been directed to "regulate the measurement, appropriation, apportionment, and distribution of water within the Great Salt Lake meander line" through the creation and adoption of a Distribution Management Plan for the Great Salt Lake

The public is invited to attend a public meeting wherein the Great Salt Lake Distribution Management Plan process will be explained and the public will have an opportunity to ask questions or provide comments. Seating may be limited, consequently online/virtual participation is encouraged.

Information from the meeting will be posted on the Utah Division of Water Rights website at http://waterrights.utah.gov as a resource for those who are unable to attend the meeting or require additional information.

In accordance with the Americans with Disability Act, individuals needing special accommodations should notify Nick Stokes at (385) 321-9323 at least three (3) days prior to the meeting.

Agenda:1. Introduction: Teresa Wilhelmsen, P.E. - State Engineer
2. Great Salt Lake Distribution Management Plan presentation: Blake Bingham, P.E. - Deputy State Engineer
3. Public Comments & Questions

Tuesday, August 6, 2024

Adoption of Parowan Valley Groundwater Management Plan

The Utah Division of Water Rights has issued notice of its intent to adopt a groundwater management for Parowan Valley in Iron County. The groundwater management plan will be adopted in 60 days from the date of the notice (August 6, 2024). A copy of the notice is available by clicking here.

The Division has been working on the groundwater management plan for many years. A copy of the proposed groundwater management plan can be viewed by clicking here. The plan notes that safe groundwater yield in the area is 22,000 acre-feet, but current groundwater withdrawals/depletions are nearly 33,000 acre-feet -- which is unsustainable. In order to bring the system back in harmony, water rights are going to be permanently "phased out" over the next several decades, starting in 2043. By the year 2080, all water rights with priority dates later than December 5, 1951 will be gone and the system will (hopefully) be brought into balance.

For more information, click here.

Monday, June 24, 2024

Zundel v. Ramsdell

The Utah Court of Appeals recently issued its decision in the case of Zundel v. Ramsdell. The case focused on the issue of whether water shares were included in a land transaction based on appurtenance and the wording of the deed.

Robert Brough (through his Trust) owned 17 acres of farmland in Box Elder County, which was irrigated with 15.87 shares of stock in Bear River Canal Company. In 2007, the Trust conveyed the property to Brough Properties LLC, and the deed stated that the conveyance included "all water rights appurtenant thereto, if any." The Trust did not, however, transfer any water shares to Brough Properties. In 2011, Brough Properties sold the land to the Zundels. Nothing was said about water, but the Zundels expected to receive some water shares. However, no shares were ever transferred to the Zundels. Instead, the Trust transferred the water shares to Robert's daughters, with instructions that they not transfer any shares to the Zundels. In 2019, the Zundels filed suit against the daughters, seeking to quiet title to the water shares.

The Zundels' primary argument asserted that the water shares were appurtenant (or attached) to the land, and therefore the shares passed with the land when the land was conveyed from the Trust to Brough Properties, and then from Brough Properties to the Zundels. The case ultimately went to trial, and the jury determined that the water shares were appurtenant to the land, but that the Trust did not intend to transfer the water shares to Brough Properties. The Zundels attempted to challenge the jury's determinations, but the district court ultimately ruled that the daughters (and not the Zundels) were the legal owners of the shares. The Zundels then appealed.

The law in existence at the time of the 2007 conveyance was that water shares did not automatically pass with land, but that presumption could be rebutted by clear and convincing evidence (1) that the water shares were appurtenant to the land and (2) that the grantor intended to transfer the water shares to the grantee. The court determined that the deed from the Trust to Brough Properties, which included "all water rights," was ambiguous about whether the Trust intended to transfer the water shares -- particularly because the court noted that there is a difference between water rights and water shares. The court also noted that there was sufficient evidence that the Trust did not intend to transfer the water shares to Brough Properties, including evidence that Robert had transferred water shares separate from land in the past and also transferred land without water shares. Based on these determinations, the court held that the daughters (and not the Zundels) were the legal owners of the water shares.

It should be noted that this decision has limited applicability because in 2013, the Utah legislature modified the law to make it more clear that water shares are not appurtenant to land.

To read the full text of the opinion, click here.