Senator Jacob L. Anderegg proposes the following substitute bill:




Chief Sponsor: Jacob L. Anderegg

House Sponsor: Timothy D. Hawkes


8     General Description:
9          This bill addresses the metering of pressurized secondary water.
10     Highlighted Provisions:
11          This bill:
12          ▸     defines terms;
13          ▸     requires a secondary water provider that begins design work for new secondary
14     water services to certain users on or after April 1, 2020, to meter the use of water;
15          ▸     requires a secondary water supplier to develop a plan related to metering for
16     submission to the Division of Water Resources;
17          ▸     requires reporting;
18          ▸     requires a study of issues related to metering secondary water by a task force within
19     the Department of Natural Resources and reporting its findings; and
20          ▸     permits loans to fund metering of secondary water.
21     Money Appropriated in this Bill:
22          None
23     Other Special Clauses:
24          None
25     Utah Code Sections Affected:

26     ENACTS:
27          73-10-34, Utah Code Annotated 1953

29     Be it enacted by the Legislature of the state of Utah:
30          Section 1. Section 73-10-34 is enacted to read:
31          73-10-34. Secondary water metering.
32          (1) As used in this section:
33          (a) (i) "Commercial user" means a secondary water user that is a place of business.
34          (ii) "Commercial user" does not include a multi-family residence, an agricultural user,
35     or a customer that falls within the industrial or institutional classification.
36          (b) (i) "Industrial user" means a secondary water user that manufactures or produces
37     materials.
38          (ii) "Industrial user" includes a manufacturing plant, an oil and gas producer, and a
39     mining company.
40          (c) (i) "Institutional user" means a secondary water user that is dedicated to public
41     service, regardless of ownership.
42          (ii) "Institutional user" includes a school, church, hospital, park, golf course, and
43     government facility.
44          (d) (i) "Residential user" means a secondary water user in a residence.
45          (ii) "Residential user" includes a single-family or multi-family home, apartment,
46     duplex, twin home, condominium, or planned community.
47          (e) "Secondary water" means water that is:
48          (i) not culinary or water used on land assessed under Title 59, Chapter 2, Part 5,
49     Farmland Assessment Act; and
50          (ii) delivered to and used by an end consumer for the irrigation of landscaping or a
51     garden.
52          (f) "Secondary water supplier" means an entity that supplies pressurized secondary
53     water.
54          (2) A secondary water supplier that begins design work for new service on or after
55     April 1, 2020, to a commercial, industrial, institutional, or residential user shall meter the use
56     of pressurized secondary water by the users receiving that new service.

57          (3) (a) A secondary water provider that provides pressurized secondary water to a
58     commercial, industrial, institutional, or residential user shall develop a plan for metering the
59     use of the pressurized water in accordance with this Subsection (3).
60          (b) The plan required by this Subsection (3) shall be filed with the Division of Water
61     Resources by no later than December 31, 2019, and address the process the secondary water
62     supplier will follow to implement metering, including:
63          (i) the costs of full metering by the secondary water provider;
64          (ii) how long it would take the secondary water provider to complete full metering,
65     including an anticipated begin date and completion date; and
66          (iii) how the secondary water supplier will finance metering.
67          (4) (a) The Department of Natural Resources shall oversee a study by the Utah Water
68     Task Force within the Department of Natural Resources of issues related to metering secondary
69     water in the state including cost, timing, the need for exemptions, resources to pay the cost of
70     metering, and any other issues the Department of Natural Resources finds relevant.
71          (b) The Department of Natural Resources shall report the results of the study to the
72     Natural Resources, Agriculture, and Environment Interim Committee by no later than the
73     November interim meeting of 2019.
74          (5) A secondary water supplier shall on or before March 31 of each year, report to the
75     Division of Water Rights:
76          (a) for commercial, industrial, institutional, and residential users whose pressurized
77     secondary water use is metered, the number of acre feet of pressurized secondary water the
78     secondary water supplier supplied to the commercial, industrial, institutional, and residential
79     users during the preceding 12-month period;
80          (b) the number of secondary water meters within the secondary water supplier's service
81     boundary;
82          (c) a description of the secondary water supplier's service boundary;
83          (d) the number of connections in each of the following categories through which the
84     secondary water supplier supplies pressurized secondary water:
85          (i) commercial;
86          (ii) industrial;
87          (iii) institutional; and

88          (iv) residential;
89          (e) the total volume of water that the secondary water supplier receives from its
90     sources; and
91          (f) the dates of service during the preceding 12-month period in which the secondary
92     water supplier supplied pressurized secondary water.
93          (6) (a) Beginning July 1, 2019, the Board of Water Resources may make up to
94     $10,000,000 in low-interest loans available each year:
95          (i) from the Water Resources Conservation and Development Fund, created in Section
96     73-10-24; and
97          (ii) for financing the cost of secondary water metering.
98          (b) The Division of Water Resources and the Board of Water Resources shall make
99     rules in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act,
100     establishing the criteria and process for receiving a loan described in this Subsection (6), except
101     the rules may not include prepayment penalties.