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Second Substitute S.B. 108


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Senate 3rd Reading Amendments 2-16-2011 rd/pla
This document includes Senate 3rd Reading Floor Amendments incorporated into the bill on Wed, Feb 16, 2011 at 11:13 AM by rday. -->
Senator Dennis E. Stowell proposes the following substitute bill:


             1     
JOINT USE OF A CANAL OR DITCH

             2     
2011 GENERAL SESSION

             3     
STATE OF UTAH

             4     
Chief Sponsor: Dennis E. Stowell

             5     
House Sponsor: Melvin R. Brown

             6     

             7      LONG TITLE
             8      General Description:
             9          This bill requires a person to negotiate in good faith to form a S. written .S contract
             9a      before the use or
             10      enlargement of another person's canal or ditch to convey water.
             11      Highlighted Provisions:
             12          This bill:
             13          .    requires a person to negotiate in good faith to form a S. written .S contract before
             13a      the use or
             14      enlargement of another person's canal or ditch to convey water;
             15          .    prohibits a person seeking to use or enlarge another person's canal or ditch from
             16      relying on the S. [ right of way ] right-of-way .S provisions of Section 73-1-6 unless the person
             16a      has, after
             17      negotiating in good faith, failed to enter into a S. written .S contract;
             18          .    describes certain obligations of a person using another person's canal or ditch unless
             19      otherwise agreed to by S. written .S contract; and
             20          .    makes technical changes.
             21      Money Appropriated in this Bill:
             22          None
             23      Other Special Clauses:
             24          None
             25      Utah Code Sections Affected:



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Senate Committee Amendments 2-16-2011 rd/pla
             26
     AMENDS:
             27          73-1-7, Utah Code Annotated 1953
             28     

             29      Be it enacted by the Legislature of the state of Utah:
             30          Section 1. Section 73-1-7 is amended to read:
             31           73-1-7. Enlargement for joint use of ditch.
             32          (1) When [any] a person S. with no existing shareholder or contractual rights in the
             32a      canal or ditch described in this Subsection (1) .S desires to convey water for irrigation or any
             32b      other beneficial
             33      purpose and there is a canal or ditch already constructed that can be used or enlarged to convey
             34      the required quantity of water, [such] the person [shall have the right to] may use or enlarge
             35      [such] the canal or ditch already constructed[, by compensating] if:
             36          (a) the canal or ditch can be:
             37          (i) used without displacing current users or exceeding free board capacity; or
             38          (ii) enlarged to convey the required quantity of water necessary to deliver all water
             39      authorized for delivery to S. [ existing ] authorized .S users of the canal or ditch, provide
             39a      adequate free board
             40      capacity, and carry the additional quantity of water requested by the person;
             41          (b) the person compensates:
             42          (i) the owner of the canal or ditch to be used or enlarged for the damage caused by
             43      [such] the use or enlargement[, and by paying]; and
             44          (ii) each landowner whose land is encumbered by an easement related to the canal or
             45      ditch if the carrying of additional water will expand the scope of the easement;
             46          (c) the person pays an equitable proportion of the maintenance and operation of the
             47      canal or ditch jointly used or enlarged[; provided, that such]; and
             48          (d) the person complies with Subsections (2) through (4).
             49          (2) An enlargement made in accordance with Subsection (1) shall be made between
             50      [the 1st day of October and the 1st day of March, or at any other] October 1 and March 1,
             51      unless another time [that may be] is agreed [upon] to with:
             52          (a) the owner of [such] the canal or ditch[.]; and
             53          (b) each landowner whose land is encumbered by an easement related to the canal or
             54      ditch if the carrying of additional water will expand the scope of the easement.
             55          (3) The additional water turned in to the canal or ditch shall bear its proportion of loss
             56      by evaporation and seepage.



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Senate Committee Amendments 2-16-2011 rd/pla
             57
         (4) Before use or enlargement is allowed in accordance with this section, the person
             58      seeking to use or enlarge the canal or ditch shall negotiate in good faith to enter into a
             58a      S. written .S contract
             59      governing the relationship, including terms of use and payment, between the person and the
             60      following:
             61          (a) the canal or ditch owner; and
             62          (b) each landowner whose land is encumbered by an easement related to the canal or
             63      ditch if the carrying of additional water will expand the scope of the easement.
             64          (5) A person seeking to use or enlarge a canal or ditch in accordance with this section
             65      may not rely on the S. [ right of way ] right-of-way .S provisions of Section 73-1-6 against:
             66          (a) an owner of the canal or ditch unless the person has:
             67          (i) attempted in good faith to enter into a S. written .S contract pursuant to Subsection
             67a      4(a); and
             68          (ii) failed to enter into a S. written .S contract; S. and .S
             69          (b) a landowner whose land is encumbered by an easement related to the canal or ditch
             70      if the carrying of additional water will expand the scope of the easement unless the person has:
             71          (i) attempted in good faith to enter into a S. written .S contract pursuant to Subsection
             71a      (4)(b); and
             72          (ii) failed to enter into a S. written .S contract.
             73          (6) Unless otherwise agreed to in the S. written .S contract referenced in Subsection (4)
             73a      (a), a person
             74      using an existing canal or ditch under this section:
             75          (a) does not acquire any voting rights in the entity owning the canal or ditch not already
             76      possessed by a person;
             77          (b) does not acquire any rights to direct the operation of the canal or ditch;
             78          (c) may not add water to the canal or ditch that impairs the water quality in the canal or
             79      ditch, or increases the cost of any treatment, to a degree that adversely impacts the intended use
             80      of the water already in the canal or ditch;
             81          (d) may not add water to the canal or ditch that exceeds the capacity of the canal or
             82      ditch, including free board capacity;
             83          (e) may not modify any water rights without state engineer approval;
             84          (f) shall pay an equitable proportion of construction or upgrade costs, including any
             85      related debt service, incurred by the owner of the canal or ditch within five years before the day
             86      on which the person begins use of the existing canal or ditch;
             87          (g) is liable for an equitable proportion of any liability arising out of the operation or



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             88
     maintenance of the canal or ditch unless the event giving rise to the liability was caused solely
             89      by the person or by the owner of the canal or ditch;
             90          (h) is solely liable for any liability arising out of the operation or maintenance of the
             91      canal or ditch if the event giving rise to the liability was caused solely by the person; and
             92          (i) is not liable for any liability arising out of the operation or maintenance of the canal
             93      or ditch if the event giving rise to the liability was caused solely by the owner of the canal or
             94      ditch.
             95          (7) This section is not applicable to any type of water conveyance infrastructure other
             96      than a canal or ditch described in this section.
             97          (8) Nothing in this section will eliminate a criminal penalty resulting from conduct
             98      prohibited by Section 73-1-15 .


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