Tuesday, February 19, 2013

2013 Legislature: Division of Water Rights Amendments

Representative Curt Webb has introduced House Bill 326 (H.B. 326), entitled "Division of Water Rights Amendments."  The bill seeks to make several changes to the Utah Water Code. 

First, the bill seeks to amend Utah Code section 73-1-10 by including a provision to clarify that a recorded Water Rights Addendum will act as a Report of Conveyance to update water right ownership information with the Division.  The Division has already been doing this as a matter of policy, but this statutory amendment gives clarification and confirmation of this practice. 

Second, the bills seeks to amend Utah Code section 73-1-11 to allow the Division to update water right ownership information based on deeds and other documents relied on by county recorder offices to update title to land.  This corrects an existing problem that arises when a county recorder's office has updated its tract index based on a recorded deed or document, but the Division has an issue or concern with that same deed or document, thereby making it difficult to update ownership information for water rights appurtenant to the land. 

Third, the bill seeks to amend Utah Code section 73-1-11 to shares in a water corporation (canal company, ditch company, irrigation company, etc.) are not appurtenant to land, and are transferred only under Chapter 8 of the Uniform Commercial Code.  The currently language states that shares "shall not be deemed appurtenant to land," but courts have interpreted this language to mean that there is only a "rebuttable presumption" that shares are not appurtenant, which has caused confusion and dispute about when shares are and are not appurtenant.

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

For an update on this bill, click here.

Wednesday, February 6, 2013

2013 Legislature: Public Trust Obligations and Constitutional Protections

Representative Kay McIff has introduced House Bill 68 (H.B. 68), entitled "Public Trust Obligations and Constitutional Protections."  This bill seeks to define the scope and limits of the public trust doctrine in Utah. The bill also clarifies that a water right is a property right that is protected by the Utah Constitution, and cannot be taken for public use without just compensation.

This bill may face some oppoition from the angling community (see, for example, this letter to the editor published in the Salt Lake Tribune), so it will be interesting to watch this bill.

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

2013 Legislature: Change Application Procedure

Senator Ralph Okerlund has introduced Senate Bill 109 (S.B. 109), entitled "Change Application Procedure."  This bill is similar to S.B. 187 from 2012, and is intended to make changes in response to the the Salt Lake City v. Big Ditch case and the Jensen v. Jones case.  The bill seeks to better define who is permitted to file a change application.  The other major purpose of the bill is to give the State Engineer statutory authority to act as a "gatekeeper" and consider nonuse in the context of a change application.  Essentially, it allows the State Engineer to limit the approval of a change application to the amount of water that has been beneficially used in the past seven years.

This bill has produced a lot of discussion and proposed amendments.  Accordingly, it is likely that this bill will see several amendments if it is to get passed by both the Senate and the House.

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

For an update on this bill, click here.

2013 Legislature: Division of Water Right Revisions

Senator Margaret Dayton has introduced Senate Bill 101 (S.B. 101), entitled "Division of Water Right Revisions."  This bill makes mostly re-wording and technical changes to several sections of the Utah Water Code.  The bill does make some important changes to the law regarding diligence claims.  For example, the bill would allow a court, as part of the general adjudication process, to issue a decree prohibiting any future diligence claims with an area.  The bill allows provides some clarification on the filing of a corrected diligence claim.

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

For an update on this bill, click here.

2013 Legislature: Water Easement Amendments

Representative John G. Mathis has introduced House Bill 73 (H.B. 73), which is entitled "Water Easement Amendments." The bill seeks to amend Title 57, Chapter 13a of the Utah Code by establishing a procedure a for person who holds a prescriptive easement for a water conveyance (ditch, canal, pipeline, etc.) to abandon all or part of the prescriptive easement.  The bill would require the easement holder to publish, provide, and record notice of the abandonment.  The bill provides that the abandonment does not affect any rights that others may have to the easement.

To read a copy of the bill, as amended, click here.

For an update on this bill, click here.