Senator Jacob L. Anderegg proposes the following substitute bill:


1     
SECONDARY WATER REQUIREMENTS

2     
2020 GENERAL SESSION

3     
STATE OF UTAH

4     
Chief Sponsor: Jacob L. Anderegg

5     
House Sponsor: Carl R. Albrecht

6     

7     LONG TITLE
8     General Description:
9          This bill addresses the metering of pressurized secondary water.
10     Highlighted Provisions:
11          This bill:
12          ▸     repeals outdated language;
13          ▸     enacts exemptions; and
14          ▸     makes technical changes.
15     Money Appropriated in this Bill:
16          None
17     Other Special Clauses:
18          This bill provides a special effective date.
19     Utah Code Sections Affected:
20     AMENDS:
21          73-10-34, as enacted by Laws of Utah 2019, Chapter 449
22     

23     Be it enacted by the Legislature of the state of Utah:
24          Section 1. Section 73-10-34 is amended to read:
25          73-10-34. Secondary water metering.

26          (1) As used in this section:
27          (a) (i) "Commercial user" means a secondary water user that is a place of business.
28          (ii) "Commercial user" does not include a multi-family residence, an agricultural user,
29     or a customer that falls within the industrial or institutional classification.
30          (b) (i) "Industrial user" means a secondary water user that manufactures or produces
31     materials.
32          (ii) "Industrial user" includes a manufacturing plant, an oil and gas producer, and a
33     mining company.
34          (c) (i) "Institutional user" means a secondary water user that is dedicated to public
35     service, regardless of ownership.
36          (ii) "Institutional user" includes a school, church, hospital, park, golf course, and
37     government facility.
38          (d) (i) "Residential user" means a secondary water user in a residence.
39          (ii) "Residential user" includes a single-family or multi-family home, apartment,
40     duplex, twin home, condominium, or planned community.
41          (e) "Secondary water" means water that is:
42          (i) not culinary or water used on land assessed under Title 59, Chapter 2, Part 5,
43     Farmland Assessment Act; and
44          (ii) delivered to and used by an end consumer for the irrigation of landscaping or a
45     garden.
46          (f) "Secondary water supplier" means an entity that supplies pressurized secondary
47     water.
48          (2) A secondary water supplier that begins design work for new service on or after
49     April 1, 2020, to a commercial, industrial, institutional, or residential user shall meter the use
50     of pressurized secondary water by the users receiving that new service.
51          [(3) (a) A secondary water provider that provides pressurized secondary water to a
52     commercial, industrial, institutional, or residential user shall develop a plan for metering the
53     use of the pressurized water in accordance with this Subsection (3).]
54          [(b) The plan required by this Subsection (3) shall be filed with the Division of Water
55     Resources by no later than December 31, 2019, and address the process the secondary water
56     supplier will follow to implement metering, including:]

57          [(i) the costs of full metering by the secondary water provider;]
58          [(ii) how long it would take the secondary water provider to complete full metering,
59     including an anticipated begin date and completion date; and]
60          [(iii) how the secondary water supplier will finance metering.]
61          [(4) (a) The Department of Natural Resources shall oversee a study by the Utah Water
62     Task Force within the Department of Natural Resources of issues related to metering secondary
63     water in the state including cost, timing, the need for exemptions, resources to pay the cost of
64     metering, and any other issues the Department of Natural Resources finds relevant.]
65          [(b) The Department of Natural Resources shall report the results of the study to the
66     Natural Resources, Agriculture, and Environment Interim Committee by no later than the
67     November interim meeting of 2019.]
68          [(5)] (3) A secondary water supplier shall on or before March 31 of each year, report to
69     the Division of Water Rights:
70          (a) for commercial, industrial, institutional, and residential users whose pressurized
71     secondary water use is metered, the number of acre feet of pressurized secondary water the
72     secondary water supplier supplied to the commercial, industrial, institutional, and residential
73     users during the preceding 12-month period;
74          (b) the number of secondary water meters within the secondary water supplier's service
75     boundary;
76          (c) a description of the secondary water supplier's service boundary;
77          (d) the number of connections in each of the following categories through which the
78     secondary water supplier supplies pressurized secondary water:
79          (i) commercial;
80          (ii) industrial;
81          (iii) institutional; and
82          (iv) residential;
83          (e) the total volume of water that the secondary water supplier receives from its
84     sources; and
85          (f) the dates of service during the preceding 12-month period in which the secondary
86     water supplier supplied pressurized secondary water.
87          [(6)] (4) (a) Beginning July 1, 2019, the Board of Water Resources may make up to

88     $10,000,000 in low-interest loans available each year:
89          (i) from the Water Resources Conservation and Development Fund, created in Section
90     73-10-24; and
91          (ii) for financing the cost of secondary water metering.
92          (b) The Division of Water Resources and the Board of Water Resources shall make
93     rules in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act,
94     establishing the criteria and process for receiving a loan described in this Subsection [(6)] (4),
95     except the rules may not include prepayment penalties.
96          (5) This section does not apply to a secondary water supplier to the extent that the
97     secondary water supplier supplies secondary water within a county of the third, fourth, fifth, or
98     sixth class.
99          Section 2. Effective date.
100          If approved by two-thirds of all the members elected to each house, this bill takes effect
101     upon approval by the governor, or the day following the constitutional time limit of Utah
102     Constitution, Article VII, Section 8, without the governor's signature, or in the case of a veto,
103     the date of veto override.