The Rural Water Association of Utah, in conjunction with the Utah Division of Water Rights, offers a two-day water rights training course. The course covers a variety of water right topics, including priority, change applications, water rights vs. water shares, water right title, well regulations, and much more. At the end of the training course, there is a certification exam that you can take.
This course is very informative, and I highly recommend it to anyone wanting to learn about Utah water rights. I took the course when it was first offered in 2014 (in fact, I was the first person to complete the certification exam), and I learned a lot from attending.
The course is being offered on April 14-15, 2016. For more information about the course, click here.
Monday, April 4, 2016
Saturday, March 19, 2016
2016 Legislature: Bills That Passed
H.B. 222: Nonuse Application Amendments
House Bill 222 amends Utah's statute regarding nonuse applications. The bill inserts language into the statute to provide (1) that
one or more successive overlapping change applications do not protect a water
right that is already subject to forfeiture due to nonuse, and (2) that the
approval of one or more nonuse applications does not constitute beneficial use
of the water for purposes of calculating the 15-year period during which a
forfeiture action must be brought.
To view this bill, as enrolled, click here.
H.B. 305 (Second Substitute): Water Rights and Resources Amendments
The Legislature passed Rep. Joel Briscoe's (D-Salt Lake) House Bill 305, which is intended to improve the accuracy of water use data. The bill
instructs the Drinking Water Board to require a certified water operator of a
public water supplier, or professional engineer performing the duties of an
operator, to verify the accuracy of water use and supply data submitted to the
Division of Drinking Water. It also provides that the Division of Water Rights
may collect and validate water use data. The bill further requires the Division
of Water Rights to enact rules specifying the type of water use data that will
be reported and how that data will be verified.
To view this bill, as enrolled, click here.
H.B. 464 (Third Substitute): Wildfire on Public Lands and Watersheds
The Utah Legislature passed House Bill 464 to require the
Conservation Commission within the Department of Agriculture and Food to work
with Utah State University and certain conservation districts to study the
environmental and economic impacts of wildfire on public lands in Utah. Among
other things, the study will analyze the impacts of wildfire on the state's
watersheds and air quality. The Legislature also authorized a one-time,
$200,000 appropriation from the General Fund to carry out the study.
To view this bill, click here.
H.C.R. 1: Concurrent Resolution on Waters of the United
States
On March 1, Governor Herbert signed House Concurrent Resolution 1, a concurrent
resolution expressing his and the Legislature's joint disapproval of the
so-called "Waters of the United States" rule. The Environmental
Protection Agency (EPA) and the U.S. Army Corps of Engineers finalized the rule
last year to resolve uncertainty the U.S. Supreme Court created in its divided
Rapanos v. United States decision regarding the extent of Clean Water Act (CWA)
jurisdiction. The rule has drawn praise from conservation groups and the ire of
farmers, industry, and at least 30 states, including Utah, which have filed
challenges in courts across the country to stop the rule.
The resolution, which Rep. Mike Noel (R-Kanab) introduced,
criticizes the rule as an "unlawful exercise of federal regulatory
authority" that will improperly expand the CWA to include dry land and
infringe on the ability of states to manage their water resources. It would
also express support for Attorney General Sean Reyes's ongoing efforts to
vacate the rule. The rule is currently on hold pursuant to a nationwide stay
the Sixth Circuit Court of Appeals issued in October while it determines which
courts have jurisdiction to hear the various court challenges.
To view this bill, as enrolled, click here.
H.J.R. 4 (First Substitute): Water Infrastructure
House Joint Resolution 4 urges Utah's congressional
delegation to support the efforts of Utah water users to secure title transfer
of reclamation projects and associated water rights from the federal government
to local water user organizations. The project specifically mentioned in the
joint resolution are the Strawberry Valley Project, Moon Lake Project, Emery
County Project, Sanpete Project, and Provo River Project.
To view this bill, as enrolled, click here.
S.B. 23 (Second Substitute): Protected Purchaser Amendments
Senate Bill 23 modifies the definition of a "protected
purchaser" in the Investment Securities chapter of the Utah Uniform Commercial Act. The bill adds additional requirements for a purchaser of a share of stock
in a water company to qualify as a protected purchaser. The standard
requirements of a protected purchaser are (1) give value, (2) not have notice
of an adverse claim, and (3) obtain control of the certificate. A purchaser of a share of stock in a water
company will also need to show that he, or his predecessors in interest, (1)
paid assessments on the share for at least four of the prior seven years, or
(2) used water available under the share for at least four of the prior seven
years.
To view this bill, as enrolled, click here.
S.B. 28: Water System Conservation Pricing
Senate Bill 28, sponsored by Sen. Scott Jenkins (R-Plain City)
and recommended by the Natural Resources, Agriculture, and Environment Interim
Committee, sailed through the legislature and was passed on February 10th. It now awaits the Governor's signature. It requires retail water providers to
establish a tiered rate structure where the price per unit of water increases
as the quantity of water delivered increases from tier to tier. Many water retailers already use tiered
pricing as a conservation incentive and to obtain assistance from state
revolving loan funds. Each retailer
retains the flexibility of identifying the size and number of tiers or blocks
of water and of setting the increasing rate applicable to each tier. This bill mandates this pricing approach for
all "retailer water providers," a term that is already defined by
statute as entities which supply culinary water to more than 500 end user
connections. The bill also requires that
the end users be given, at least annually, notice of: (1) the amount of water
used, (2) the billing cycle or period; and (3) the tiered rates.
To view this bill, as enrolled, click here.
S.B. 75: Adjudication Amendments
Senate Bill 75 makes a number of changes to the general adjudication
statutes found in Title 73, Chapter 4 of the Utah Code. As with other general
adjudication amendments that have passed in the last few years, this bill seeks
to take more responsibility from the Division of Water Rights and puts it on
the water users to ensure that timely and proper water claims are filed.
A substantial change is with respect to the hydrographic survey maps. Previously, these surveys of water use were completed as an
initial step by the Division of Water Rights, and were the primary source of
information that the Division then used to complete Water User's Claims for the
water users to review and sign. Under the bill, no survey will be done in the
preliminary stages of the adjudication; rather, the hydrographic survey maps
will be prepared late in the process-at the same time that the proposed
determination is prepared-using the data from the submitted claims to prepare
the maps.
Other significant provisions of the bill include:
-Changing the term "Water User's Claims" to
"Statements of Claim"
-Allowing the Division to accept electronic Statements of
Claim
-Providing a mechanism for water users to ask the Division
for an extension of time to file their Statements of Claim
-Providing additional notice and a public meeting regarding
unclaimed rights of record, which will occur after claim are due but before a
proposed determination is published. Owners of the unclaimed rights of record
may object to the list of unclaimed rights (i.e., assert that their rights
should be included in the general adjudication), but the claimants will have to
demonstrate that their failure to file a timely statement of claim was excused
by circumstances beyond their control, mistake, or other justification.
To view this bill, as enrolled, click here.
S.B. 80 (Second Substitute): Infrastructure Funding Amendments
Senate Bill 80, sponsored by Senator Stuart Adams (R-Layton),
moved well through the process and was substituted twice, and then held until
the very last day because it includes a budget appropriation. As substituted, the bill redirects over time
a 1/16% sales tax rate from the Transportation Fund back to the water community
and places it in the new Water Infrastructure Restricted Account that was
created last year. By 2021, all of these
sales tax revenues will go to the new water fund. This sales tax rate was originally destined
for water project funding but got diverted to major transportation needs, most
of which have now been met. Now that the
state has identified $33 billion in costs for essential water infrastructure
need between now and 2060, there is a clear need for these sales tax funds back
in the Water Infrastructure Account.
To view this bill, as enrolled, click here.
S.B. 251 (Third Substitute): Water
Infrastructure Funding Amendments
Senate Bill 251, sponsored by Senator Stuart Adams (R-Layton),
came out late in the session on March 1st, was substituted three times, and
then one version passed the Senate and another the House. On the last day, the two bodies agreed on a
compromise version and passed that version.
The bill, among other things, requires new procedures to be established
for funding state water projects on the Bear and Colorado Rivers and funds
certain studies related to those projects.
To view this bill, as enrolled, click here.
S.C.R. 1: Concurrent
Resolution Encouraging Universal Metering of Water Systems
Senate Concurrent Resolution 1, sponsored by Sen. Scott Jenkins (R-Plain
City) and recommended by the Natural Resources, Agriculture, and Environment
Interim Committee, encourages public water suppliers to implement metering of
water on "all retail public and private water systems," including
secondary water systems, because water users tend to voluntarily conserve more
water when they know how much water they are actually using. It flew through both houses and on to the
Governor's desk, who signed the resolution on February 24, 2016.
To view this bill, as enrolled, click here.
2016 Legislature: Bills That Did Not Pass
H.B. 82: Property Taxing Authority for Public Water
The Utah Legislature failed to act on House Bill 82 during the
2016 Legislative session. The bill would have modified the maximum property tax
rate that water districts served by the Colorado River Compact to the Upper
Basin can charge. Currently, Section 17B-2a-1006 of the Utah Code allows Upper
Basin water districts to increase the amount of property taxes they may impose
on individuals and businesses up to a maximum of 0.004 per dollar of taxable
value of taxable property. H.B. 82 would have continued the current maximum
rate through fiscal year 2020, but would have lowered the rate to 0.002
beginning in fiscal year 2021. The fiscal note for the bill estimated that the
legislation may have decreased the amount of property taxes Upper Basin
districts can impose by about $33.6 million beginning in fiscal year 2021. The
fiscal note also observed that districts could make up the decrease through
user fees.
To view the bill, click here.
To view the bill, click here.
H.B. 257: Water Funding Revisions
House Bill 257, which sought to send some of the State sales
tax to the Water Infrastructure Restricted Account, was similar to S.B. 80,
which did pass.
To view the bill, click here.
To view the bill, click here.
H.B. 283: Public Utility Easement Amendments
The Legislature failed to act on House Bill 283 during the 2016
Session. The bill would have required public utilities to provide notice to
affected property owners within 48 hours after the utility disturbs property
subject to a public utility easement. The required notice would have described
the name, address, and phone number of the utility company. Telephone
corporations and electrical corporations with less than 30,000 customers would
not have been subject to this requirement.
To view the bill, as substituted, click here.
To view the bill, as substituted, click here.
H.B. 309: Sales and Use Tax Earmark Amendments
Rep. Daniel McCay (R-Riverton) sponsored House Bill 309 seeking
to repeal the 1/16th % sales tax that has been dedicated to water funds within
the Utah Department of Natural Resources.
This bill was assigned to the House Standing Tax and Revenue
Committee, but was never considered by that committee or otherwise acted upon
To view the bill, click here.
To view the bill, click here.
H.B. 326: Special and Local District Transparency Amendments
Rep. Justin Fawson (R-North Ogden) sponsored House Bill 326
seeking to, among other things: (1) change the election process for district
trustees; (2) place districts under the jurisdiction of cities and/or counties
and grant them authority to audit districts; and (3) changing the process for
dissolving districts. This bill was assigned
to the House Standing Political Subdivisions Committee, but was never
considered by that committee or otherwise acted upon.
To view the bill, click here.
To view the bill, click here.
H.B. 432: Governmental Nonprofit Entity Compliance
Amendments
Rep. Kim Coleman (R-West Jordan) sponsored House Bill 432 seeking
to re-classify private nonprofit organizations that have governmental entities
as shareholders or members that together have a "controlling
interest" in the organization as "governmental nonprofit
corporations." All such
re-classified organizations would then become subject to governmental
regulatory laws such as the "Open and Public Meetings Act," the
"Government Records Access and Management Act" (GRAMA), and other
governmental reporting acts. This bill
was assigned to the House Standing Tax and Revenue Committee, which voted to
substitute the bill, but it was never considered thereafter or otherwise acted
upon.
To view the bill, as substituted, click here.
To view the bill, as substituted, click here.
H.B. 457: Water Quality Revisions
The Legislature failed to pass House Bill 457 to revise the Utah
Water Quality Act to provide that inadvertent releases of water from publicly
owned culinary water systems do not constitute a "discharge of a
pollutant," which the Act prohibits absent compliance with specific
requirements. The bill did provide, however, that inadvertent discharges from a
publicly owned culinary water system will qualify as a "discharge of a
pollutant" if they are caused by misconduct, a primary cause of pollution,
and released in violation of numeric water quality standards.
To view this bill, click here.
To view this bill, click here.
H.B. 218: Utah Revised Nonprofit Corporation Act
S.B. 116: Water Law - Nonprofit Corporation Amendments
House Bill 218 and Senate Bill 116 were identical bills that
sought to amend two provisions of the Utah Revised Nonprofit Corporation Act.
First, the bills sought to exempt shares of stock in water companies from the
general rule in the Act that memberships in nonprofit corporations may not be
transferred. This proposed change was primarily in response to the Utah Supreme
Court's decision in the Southam v. South Despain Ditch Co. case from 2014.
Second, the bills sought to clarify that shareholders in water companies have
an undivided interest in the property and water rights of the company and that
they are entitled to the use of water and right to change the use of water
under the Utah water code.
To view HB 218, click here.
To view HB 218, click here.
Friday, February 5, 2016
More 2016 Water Bills and Resolutions
Since the 2016 legislative session began, several more water bills have been introduced. These new bills are summarized below.
H.B. 218 - Utah Revised Nonprofit Corporation Act
S.B. 116 - Water Law - Nonprofit Corporation Amendments
Rep. Kay McIff (R-Richfield) and Sen. Curtis Bramble (R-Provo) are running identical bills with House Bill 218 and Senate Bill 116. The bills seek to amend two provisions of the Utah Revised Nonprofit Corporation Act. First, the bills seek to exempt shares of stock in water companies from the general rule in the Act that memberships in nonprofit corporations may not be transferred. This change is primarily in response to the Utah Supreme Court's decision in the Southam v. South Despain Ditch Co. case from 2014. Second, the bills seek to clarify that shareholders in water companies have an undivided interest in the property and water rights of the company and that they are entitled to the use of water and right to change the use of water under the Utah water code.
You can read the full text of the bills, as introduced, by clicking here and here.
H.B. 222 - Nonuse Application Amendments
Rep. Timothy Hawkes (R-Centerville) is sponsoring House Bill 222, which seeks to amend Utah's statute regarding nonuse applications. The bill proposes to insert language into the statute to provide (1) that one or more successive overlapping change applications do not protect a water right that is already subject to forfeiture due to nonuse, and (2) that the approval of one or more nonuse applications does not constitute beneficial use of the water for purposes of calculating the 15-year period during which a forfeiture action must be brought.
You can read the full text of the bill, as introduced, by clicking here.
H.B. 257 - Water Funding Revisions
Rep. Lee Perry (R-Perry) has introduced House Bill 257, which seeks to send some of the State sales tax to the Water Infrastructure Restricted Account. This bill is the same as S.B. 80, which you can read about by clicking here.
You can read the full text of the bill, as introduced, by clicking here.
H.B. 218 - Utah Revised Nonprofit Corporation Act
S.B. 116 - Water Law - Nonprofit Corporation Amendments
Rep. Kay McIff (R-Richfield) and Sen. Curtis Bramble (R-Provo) are running identical bills with House Bill 218 and Senate Bill 116. The bills seek to amend two provisions of the Utah Revised Nonprofit Corporation Act. First, the bills seek to exempt shares of stock in water companies from the general rule in the Act that memberships in nonprofit corporations may not be transferred. This change is primarily in response to the Utah Supreme Court's decision in the Southam v. South Despain Ditch Co. case from 2014. Second, the bills seek to clarify that shareholders in water companies have an undivided interest in the property and water rights of the company and that they are entitled to the use of water and right to change the use of water under the Utah water code.
You can read the full text of the bills, as introduced, by clicking here and here.
H.B. 222 - Nonuse Application Amendments
Rep. Timothy Hawkes (R-Centerville) is sponsoring House Bill 222, which seeks to amend Utah's statute regarding nonuse applications. The bill proposes to insert language into the statute to provide (1) that one or more successive overlapping change applications do not protect a water right that is already subject to forfeiture due to nonuse, and (2) that the approval of one or more nonuse applications does not constitute beneficial use of the water for purposes of calculating the 15-year period during which a forfeiture action must be brought.
You can read the full text of the bill, as introduced, by clicking here.
H.B. 257 - Water Funding Revisions
Rep. Lee Perry (R-Perry) has introduced House Bill 257, which seeks to send some of the State sales tax to the Water Infrastructure Restricted Account. This bill is the same as S.B. 80, which you can read about by clicking here.
You can read the full text of the bill, as introduced, by clicking here.
Tuesday, January 26, 2016
2016 Water Bills and Resolutions
The 2016 legislative session is underway. Below are a list of bills and resolutions relating to water that will be considered during the session.
You can read the full text of the bill, as introduced, by clicking here.
H.B. 82: Property
Taxing Authority for Public Water
Rep. Kraig Powell (R–Heber) has proposed House Bill 82 to modify the maximum property tax rate that water districts served by the Colorado River Compact to the Upper Basin can charge. Currently, Section 17B-2a-1006 of the Utah Code allows Upper Basin water districts to increase the amount of property taxes they may impose on individuals and businesses up to a maximum of 0.004 per dollar of taxable value of taxable property.
Rep. Kraig Powell (R–Heber) has proposed House Bill 82 to modify the maximum property tax rate that water districts served by the Colorado River Compact to the Upper Basin can charge. Currently, Section 17B-2a-1006 of the Utah Code allows Upper Basin water districts to increase the amount of property taxes they may impose on individuals and businesses up to a maximum of 0.004 per dollar of taxable value of taxable property.
This bill would continue the current maximum rate through
fiscal year 2020, but lower the maximum rate to 0.002 beginning in fiscal year
2021. The fiscal note for the bill estimates that the legislation may decrease
the amount of property taxes Upper Basin districts can impose by about $33.6
million beginning in fiscal year 2021. The fiscal note also observes that the
districts could make up the decrease through user fees.
You can read the full text of the bill, as introduced, by clicking here.
H.C.R. 1: Concurrent
Resolution on Waters of the United States
Rep. Mike Noel (R–Kanab) has proposed House Concurrent Resolution 1
to express the Legislature’s and the Governor’s joint disapproval of the
so-called “Waters of the United States” rule. The Environmental Protection
Agency (EPA) and the U.S. Army Corps of Engineers finalized the rule last year
to resolve uncertainty the U.S. Supreme Court created in its divided Rapanos v.
United States decision regarding the extent of Clean Water Act (CWA) jurisdiction.
The rule has drawn praise from conservation groups and the ire of farmers,
industry, and at least 30 states, including Utah, which have filed challenges
in courts across the country to stop the rule.
The proposed resolution criticizes the rule as an “unlawful
exercise of federal regulatory authority” that will improperly expand the CWA
to include dry land and infringe on the ability of states to manage their water
resources. It would also express support for Attorney General Sean Reyes’s ongoing
efforts to vacate the rule. The rule is currently on hold pursuant to a
nationwide stay the Sixth Circuit Court of Appeals issued in October while it
determines which courts have jurisdiction to hear the various court challenges.
If enacted, the resolution would not be Utah’s first
concurrent resolution regarding federal CWA jurisdiction. In 2009, the
Legislature and former Governor John Huntsman issued HCR 6, strongly opposing federal
legislative efforts to expand the scope of the CWA. At the time, a number of
bills, commonly known as the “Clean Water Restoration Act,” had been introduced
to “restore” the scope of the CWA to the status quo that existed before Rapanos.
Republicans and some Democrats defeated these bills, and have since introduced
repeated legislation to stop the rule. Given this history, opponents have
criticized the rule for enacting provisions Congress has rejected through
regulation. EPA and the Corps, as well as the rule’s supporters, deny these
claims and maintain that the rule is less expansive that the pre-Rapanos status
quo and is needed to provide protections for water quality.
You can read the full text of the resolution, as introduced, by clicking here.
H.J.R. 4: Joint
Resolution on Water Infrastructure
Rep. Mike McKell (R–Spanish Fork) is sponsoring House Joint Resolution 4, which urges Utah’s congressional delegation to support the efforts
of Utah water users to secure title transfer of reclamation projects and
associated water rights from the federal government to local water user
organizations. The project specifically mentioned in the joint resolution are
the Strawberry Valley Project, Moon Lake Project, and Emery County Project.
You can read the full text of the resolution, as introduced, by clicking here.
S.B. 23: Water Law –
Protected Purchaser Amendments
Sen. Margaret Dayton (R–Orem) is sponsoring Senate Bill 23, which
was recommended by the State Water Development Commission. It seeks to modify the definition of a
“protected purchaser” in the Investment Securities chapter of the Utah Uniform
Commercial Act. The bill would add additional requirements for a purchaser of a
share of stock in a water company to qualify as a protected purchaser. The
standard requirements of a protected purchaser are (1) give value, (2) not have
notice of an adverse claim, and (3) obtain control of the certificate. A purchaser of a share of stock in a water
company would also need to show that he, or his predecessors in interest, (1)
paid assessments on the share for at least four of the prior seven years, and
(2) used water available under the share for at least four of the prior seven
years.
You can read the full text of the bill, as introduced, by clicking here.
S.B. 28: Water
System Conservation Pricing
Sen. Scott Jenkins (R–Plain City) is sponsoring Senate Bill 28, which was recommended by the Natural Resources, Agriculture, and Environment
Interim Committee. It requires retail
water providers to establish a tiered rate structure where the price per unit
of water increases as the quantity of water delivered increases from tier to
tier. Many water retailers already use
tiered pricing as a conservation incentive and to obtain assistance from state
revolving loan funds. Each retailer
retains the flexibility of identifying the size and number of tiers or blocks
of water and of setting the increasing rate applicable to each tier. This bill mandates this pricing approach for
all “retailer water providers,” a term that is already defined by statute as
entities which supply culinary water to more than 500 end user
connections. The bill also requires that
the end users be given, at least annually, notice of: (1) the amount of water
used, (2) the billing cycle or period; and (3) the tiered rates.
You can read the full text of the bill, as introduced, by clicking here.
S.B. 75: Water
Rights Adjudication Amendments
Senator Margaret Dayton (R–Orem) is sponsoring Senate Bill 75,
which seeks to make a number of changes to the general adjudication statutes
found in Title 73, Chapter 4 of the Utah Code. As with other general
adjudication amendments that have passed in the last few years, this bill seeks
to take more responsibility from the Division of Water Rights and puts it on
the water users to ensure that timely and proper water claims are filed.
A substantial change is with respect to the hydrographic survey maps. Previously, these surveys of water use were completed as an
initial step by the Division of Water Rights, and were the primary source of
information that the Division then used to complete Water User’s Claims for the
water users to review and sign. Under the bill, no survey would be done in the
preliminary stages of the adjudication; rather, the hydrographic survey maps
would be prepared late in the process—at the same time that the proposed
determination is prepared—using the data from the submitted claims to prepare
the maps.
Other significant provisions of the bill include:
- Changing the term “Water User’s Claims” to “Statements of Claim”
- Allowing the Division to accept electronic Statements of Claim
- Providing a mechanism for water users to ask the Division for an extension of time to file their Statements of Claim
- Removing a provision under which a water user could petition the adjudication court for permission to file a late claim
- Providing additional notice and a public meeting regarding unclaimed rights of record, which will occur after claim are due but before a proposed determination is published. Owners of the unclaimed rights of record may object to the list of unclaimed rights (i.e., assert that their rights should be included in the general adjudication), but the claimants will have to demonstrate that their failure to file a timely statement of claim was excused by circumstances beyond their control, mistake, or other justification.
S.B. 80: Infrastructure Funding Amendments
Senator Stuart Adams (R–Layton) is sponsoring Senate Bill 80, which proposes that a 1/16% sales tax rate be redirected from the
Transportation Fund to the new Water Infrastructure Restricted Account that was
created last year. This sales tax rate
was originally destined for water project funding but got diverted to major
transportation needs, most of which have now been met. Now that the state has identified $33 billion
in costs for essential water infrastructure need between now and 2060, there is
a clear need for these sales tax funds back in the Water Infrastructure
Account.
You can read the full text of the bill, as introduced, by clicking here.
S.C.R. 1: Concurrent
Resolution Encouraging Universal Metering of Water Systems
Sen. Scott Jenkins (R–Plain City) is sponsoring Senate Concurrent Resolution 1, which was recommended by the Natural Resources, Agriculture, and
Environment Interim Committee. It
encourages public water suppliers to implement metering of water on “all retail
public and private water systems,” including secondary water systems, because
water users tend to voluntarily conserve more water when they know how much
water they are actually using.
You can read the full text of the resolution, as introduced, by clicking here.
Subscribe to:
Posts (Atom)