1. Utah Division of Water Rights June 21, 2004 Current Water Right Issues Rural Water Users Association Boyd Clayton boydclayton@utah.govboydclayton@utah.gov February 28, 2008

3. Presentation Topics Role of State Engineer Water Right Administration Changing water policy landscape (legislation)

4. State Engineer Appointed by Governor for 4 year term –Confirmed by Senate Licensed Professional Engineer –Knowledge of water issues, water laws, state water resources Division of Water Rights - Support Staff –SE serves as director of division –Department of Natural Resources Agency Responsible for Water Right Administration –Policy set by legislature through statute –Gatekeeper to provide order and certainty Reduces potential for conflict Protects investments Respect for existing rights Public waters appropriated according to policy set by legislature –Decisions reviewed in district courts

5. State Engineer Does Maintain Water Right Records Approve, deny, lapse, and terminate water right applications based on statutory criteria Issue water right certificates based on demonstrated and measured beneficial use Evaluate and quantify existing water rights using beneficial use as the limit for a change application Make recommendations to the court in judicial proceedings as required by statute Regulate water rights by priority

6. State Engineer Does Not Adjudicate Title Award or Adjudicate Water Rights Declare a water right forfeited Take away water rights Sell or trade water or water rights Set water right policy

7. STATE ENGINEER PROGRAMS –Water Right Administration Application Processing Water Diversion Management Court Proposals (General Adjudication) Illegal Use Enforcement Records –Water Well Drillers Driller Licensing Well Log Records –Stream Environment –Dam/Water Structure Safety –Research and data collection

8. State Engineer Decisions Decisions Issued ~ 6000 per year Decision basis – Science & Law Subject matter contested ~ 2000 per year Reconsideration request ~ 120 per year Judicial Review ~ 10 per year

9. SE Decision Making Process Regional staff gather and analyze facts Regional staff provide draft decision based on published criteria and local knowledge Statewide consistency review by program Attorney General legal review if needed State Engineer final review and revision

10. What is a Water Right? Right to divert and use waters of the public for a beneficial purpose

11. Utah Law Basic Concepts Water property of the public Beneficial use is the basis, the measure, and limit of all rights. First in time, first in right Use it or loose it (forfeiture) –Enables maximum benefit and use –Brings reality to undefined claims

12. Origin of Water Rights Pre-Statutory Use –Surface water uses prior to 1903 –Ground-water uses prior to 1935 Court Decree Federal Reservation Application to State Engineer

13. Water Right Elements Ownership Priority Basis of right Diversion location Diversion quantity Storage Uses Period of use Place of use

14. How Do I get a Water Right? Transferred by deed recorded in County –Silent land deeds transfer appurtenant water right interest –Specific deeds convey specific water right interest –NO CONNECTION TO SE RECORDS –Conflicts can develop over deeds vs water right record Application to appropriate approved by SE –Covered by SE administrative process

15. Water Right Applications Application to Appropriate –Creates a new water right Change Application –Converts an existing water right to new equivalent features Exchange Application –Option for existing water right to trade diversions with another source

16. Application Process File application in proper form Advertise for 2 consecutive weeks 20 day protest period Protested? –Response –Hearing SE study and approval or rejection –Reconsideration/Judicial Review Develop, proof of beneficial use Certificate

17. Approval Criteria Unappropriated water in source. Will not impair existing rights. Physically and economically feasible. Not monopolistic / speculative In the public interest / welfare. Entitled to Use/Priority Impairment –Ownership –Historic use –Equivalent diversion and depletion

18. Water Right Management

19. Management by Use Goal is Sustainability (use renewable supply) Unused water indicator of availability Water right record develops over time, preserved by uses Beneficial use with presumption of forfeiture forces closure of rights and uses. Reservations and forfeiture exemptions frustrate convergence of rights and uses.

20. Water Appropriation Areas

21. Existing Nonuse/Forfeiture Pressure to beneficially use water or allow right to revert to the public for other use 5 years triggers, 15 years erases Judicial action to finalize Nonuse application exempts –Filed within 5 years of nonuse –Must be extended, placed back to use or loss of right Poor policing fuels speculation/uncertainty When is it appropriate to measure use (or nonuse)?

22. 2008 Water Right Legislation HB0042Water Right Application for Electrical CooperativeHB0042 HB0051Water Right Forfeiture ProtectionHB0051 HB0117Instream Flow to Protect Trout HabitatHB0117 HB0143Administration of Interstate WaterHB0143 HB0170Process for Entering into the Snake Valley AgreementHB0170 HB0179Water Right Appropriation AmendmentsHB0179 HB0203Judicial Review of State Engineer's DecisionHB0203 HB0208Livestock Watering RightsHB0208 HB0225Proof for a Water Right ApplicationHB0225 SB0085Water Rights BoardSB0085 SB0228Regulation of WellsSB0228 SB0269Water Rights – OmbudsmanSB0269 SB0279Water and Land Use DevelopmentSB0279

23. Legislative Trends Reservation rather than use Growing distaste for forfeiture View water right as a commodity Struggling with water user duties Increase political control in administration Policy by exemption

24. HB51 Intent Language Fifth Substitute H.B. 51, "Water Right Amendments," is not intended to: (1) change the way the State Engineer evaluates change applications based on historic beneficial use; (2) provide a mechanism for public water suppliers to hoard water beyond the amount of water needed in the next 40 years by persons within the public water supplier's projected service area; (3) validate any invalid water rights; (4) promote or allow for speculation in water rights; or (5) provide a mechanism for any out-of-state person or entity to acquire water rights in Utah for the purpose of providing water in another state.

25. HB51 Forfeiture Protections Nonuse period change to 7 years Nonuse applications become nonuse free card Water right “ceases” presumption eliminated Changes forfeiture from operation of law to judicial contest Change applications protect from forfeiture Exemptions –Public water supplier future requirement (with change app) –Fallowing –Reservoirs –Well difficulties Bill is prospective, does not fix past problems Question: How do you quantify a water right claim if there is no evidence of historic use but the water right is “exempt”? Question 2: How do you limit change applications to historic use if there is no operation of law which supports the practice?

26. SB85 Water Rights Board Creates 5 member board Board nominates SE Assumes rule making authority of SE Assumes legislative duties of SE SE decisions become function of board Replaces FREE reconsideration with fee funded admin law judge review Forecloses agency appeal of admin law judge review

27. You can reshuffle priorities, reserve for future use, hobble the process, introduce politics, play games with title… But in the end, there is only so much water.