AB134 - Establishes provisions relating to water conservation. (BDR 48-379)

A.B. 134 - *AB134* ASSEMBLY BILL NO. 134–COMMITTEE ON NATURAL RESOURCES (ON BEHALF OF THE JOINT INTERIM STANDING COMMITTEE ON NATURAL RESOURCES) PREFILED JANUARY 28, 2025 ____________ Referred to Committee on Natural Resources SUMMARY—Establishes provisions relating to water conservation. (BDR 48-379) FISCAL NOTE: Effect on Local Government: No. Effect on the State: Yes. ~ EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted. AN ACT relating to water; authorizing the holder of a perfected water right to file a water conservation plan and establishing provisions relating to water conservation plans; revising the policy of this State concerning the conservation of water; and providing other matters properly relating thereto. Legislative Counsel’s Digest: Under existing law, the State Engineer is charged with managing the 1 appropriation of water in this State. (Title 48 of NRS) Section 1 of this bill: (1) 2 authorizes a holder of a perfected water right to submit a water conservation plan to 3 the State Engineer for approval; (2) sets forth certain requirements for such a plan; 4 and (3) authorizes the State Engineer to require a person who submits such a plan to 5 submit periodic statements of the amount of water that is conserved under the plan. 6 Section 1 prohibits: (1) the State Engineer from charging a fee for the submission 7 of a water conservation plan; and (2) a person holding a perfected water right that is 8 subject to water conservation plan from changing the place of diversion, manner of 9 use or place of use of the perfected water right during the term of the water 10 conservation plan. 11 Section 2 of this bill declares the policy of this State to promote and encourage 12 the conservation, development, augmentation and efficient use of the waters of this 13 State. 14 Existing law establishes procedures for the abandonment and forfeiture of 15 water rights. (NRS 533.060, 534.090) Sections 1, 3 and 6 of this bill provide that 16 such provisions do not apply to a perfected water right that is subject to a water 17 conservation plan. 18 – 2 – - *AB134* Sections 4 and 5 of this bill require the State Engineer to reject an application 19 for a permit to appropriate water if the proposed use conflicts with existing rights, 20 including, without limitation, existing rights that are subject to a water conservation 21 plan. (NRS 533.370, 533.371) 22 Existing law requires that each right of an appropriator to appropriate 23 groundwater allows for a reasonable lowering of the static water level at the 24 appropriator’s point of diversion. Existing law further provides that the State 25 Engineer is not prevented from granting permits to appropriate groundwater later in 26 time on the basis that the diversion under the proposed later appropriations may 27 cause the water level to be lowered at the point of diversion of a prior appropriator, 28 so long as any protectable interests in existing domestic wells and the rights of 29 holders of existing appropriations can be satisfied under such conditions. (NRS 30 534.110) Section 7 of this bill includes any existing rights that are subject to a 31 water conservation plan in the types of rights that must be protected when the State 32 Engineer grants such a permit. 33 Existing law establishes certain powers and duties of the State Engineer in 34 certain designated groundwater basins. (NRS 534.120) Section 8 of this bill 35 authorizes the State Engineer to approve a water conservation plan in such 36 designated basins. 37 THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS: Section 1. Chapter 533 of NRS is hereby amended by adding 1 thereto a new section to read as follows: 2 1. A person who holds a perfected water right, may submit a 3 water conservation plan to the State Engineer for approval. The 4 plan must be on a form prescribed by the State Engineer and must 5 include: 6 (a) The name and mailing address of the person; 7 (b) A description of each perfected water right that will be 8 subject to the plan, including, without limitation, the certificate 9 number of the perfected water right; 10 (c) The point of diversion and beneficial use of each perfected 11 water right that is subject to the plan; 12 (d) A description of the practices of water conservation that 13 have been or will be used to conserve water; 14 (e) The term for which the plan will be implemented, which 15 may not exceed 10 years; 16 (f) A statement that the person voluntarily submitted the plan; 17 (g) A statement that the intent of the plan is to temporarily 18 reduce the use or diversion of water; 19 (h) A statement that the practices of water conservation 20 described in the plan will contribute to the practical and 21 economical management, conservation and use of water in this 22 State; and 23 – 3 – - *AB134* (i) A statement that the person who holds the perfected water 1 right that is subject to the plan does not intend to abandon or 2 forfeit the perfected water right during the term of the plan. 3 2. The owner of a perfected water right that is subject to a 4 water conservation plan may submit a subsequent water 5 conservation plan before the expiration of the current plan for 6 additional terms which may not exceed 10 years each. 7 3. The State Engineer may not charge a fee for the 8 submission of a water conservation plan pursuant to this section. 9 4. As a condition of approval, the State Engineer may require 10 a person who submits a water conservation plan pursuant to this 11 section to submit periodic statements of the amount of water that 12 is conserved under the water conservation plan once implemented. 13 5. If approved by the State Engineer, a person holding a 14 perfected water right that is subject to a water conservation plan 15 may not change the place of diversion, manner of use or place of 16 use of the perfected water right during the term of the water 17 conservation plan. 18 6. A perfected water right that is subject to a water 19 conservation plan: 20 (a) For which the holder of the perfected water right submits a 21 claim of a vested right pursuant to NRS 533.087 to 533.320, 22 inclusive, must be adjudicated in the same manner as all other 23 claims of vested rights; 24 (b) Constitutes water committed for use for the purposes of 25 NRS 533.0241; and 26 (c) Is not subject to abandonment or forfeiture pursuant to 27 NRS 533.060 or 534.090. 28 7. As used in this section, “perfected water right” means a 29 water right that has been finalized through the issuance of: 30 (a) A certificate of appropriation; or 31 (b) A court decree. 32 Sec. 2. NRS 533.024 is hereby amended to read as follows: 33 533.024 The Legislature declares that: 34 1. It is the policy of this State: 35 (a) To encourage and promote the use of effluent, where that use 36 is not contrary to the public health, safety or welfare, and where that 37 use does not interfere with federal obligations to deliver water of the 38 Colorado River. 39 (b) To recognize the importance of domestic wells as 40 appurtenances to private homes, to create a protectable interest in 41 such wells and to protect their supply of water from unreasonable 42 adverse effects which are caused by municipal, quasi-municipal or 43 industrial uses and which cannot reasonably be mitigated. 44 – 4 – - *AB134* (c) To encourage the State Engineer to consider the best 1 available science in rendering decisions concerning the available 2 surface and underground sources of water in Nevada. 3 (d) To encourage and promote the use of water to prevent or 4 reduce the spread of wildfire or to rehabilitate areas burned by 5 wildfire, including, without limitation, through the establishment of 6 vegetative cover that is resistant to fire. 7 (e) To manage conjunctively the appropriation, use and 8 administration of all waters of this State, regardless of the source of 9 the water. 10 (f) To promote and encourage the conservation, development, 11 augmentation and efficient use of the waters of this State through 12 the use of practices for the voluntary conservation of water, 13 including, without limitation, water conservation plans, crop 14 rotation or conversion, improved irrigation practices and 15 reductions in surface and seepage losses of water at the place of 16 use of water. 17 2. The procedures in this chapter for changing the place of 18 diversion, manner of use or place of use of water, and for 19 confirming a report of conveyance, are not intended to have the 20 effect of quieting title to or changing ownership of a water right and 21 that only a court of competent jurisdiction has the power to 22 determine conflicting claims to ownership of a water right. 23 Sec. 3. NRS 533.060 is hereby amended to read as follows: 24 533.060 1. Rights to the use of water must be limited and 25 restricted to as much as may be necessary, when reasonably and 26 economically used for irrigation and other beneficial purposes, 27 irrespective of the carrying capacity of the ditch. The balance of the 28 water not so appropriated must be allowed to flow in the natural 29 stream from which the ditch draws its supply of water, and must not 30 be considered as having been appropriated thereby. 31 2. Rights to the use of surface water shall not be deemed to be 32 lost or otherwise forfeited for the failure to use the water therefrom 33 for a beneficial purpose. 34 3. A surface water right that is appurtenant to land formerly 35 used primarily for agricultural purposes is not subject to a 36 determination of abandonment if the surface water right: 37 (a) Is appurtenant to land that has been converted to urban use; 38 or 39 (b) Has been dedicated to or acquired by a water purveyor, 40 public utility or public body for municipal use. 41 4. A surface water right that is subject to a water 42 conservation plan submitted pursuant to section 1 of this act is not 43 subject to a determination of abandonment. 44 – 5 – - *AB134* 5. In a determination of whether a right to use surface water 1 has been abandoned, a presumption that the right to use the surface 2 water has not been abandoned is created upon the submission of 3 records, photographs, receipts, contracts, affidavits or any other 4 proof of the occurrence of any of the following events or actions 5 within a 10-year period immediately preceding any claim that the 6 right to use the water has been abandoned: 7 (a) The delivery of water; 8 (b) The payment of any costs of maintenance and other 9 operational costs incurred in delivering the water; 10 (c) The payment of any costs for capital improvements, 11 including works of diversion and irrigation; or 12 (d) The actual performance of maintenance related to the 13 delivery of the water. 14 [5.] 6. A prescriptive right to the use of the water or any of the 15 public water appropriated or unappropriated may not be acquired by 16 adverse possession. Any such right to appropriate any of the water 17 must be initiated by applying to the State Engineer for a permit to 18 appropriate the water as provided in this chapter. 19 [6.] 7. The State of Nevada reserves for its own present and 20 future use all rights to the use and diversion of water acquired 21 pursuant to chapter 462, Statutes of Nevada 1963, or otherwise 22 existing within the watersheds of Marlette Lake, Franktown Creek 23 and Hobart Creek and not lawfully appropriated on April 26, 1963, 24 by any person other than the Marlette Lake Company. Such a right 25 must not be appropriated by any person without the express consent 26 of the Legislature. 27 Sec. 4. NRS 533.370 is hereby amended to read as follows: 28 533.370 1. Except as otherwise provided in this section and 29 NRS 533.0241, 533.345, 533.371, 533.372 and 533.503, the State 30 Engineer shall approve an application submitted in proper form 31 which contemplates the application of water to beneficial use if: 32 (a) The application is accompanied by the prescribed fees; 33 (b) The proposed use or change, if within an irrigation district, 34 does not adversely affect the cost of water for other holders of water 35 rights in the district or lessen the efficiency of the district in its 36 delivery or use of water; and 37 (c) The applicant provides proof satisfactory to the State 38 Engineer of the applicant’s: 39 (1) Intention in good faith to construct any work necessary to 40 apply the water to the intended beneficial use with reasonable 41 diligence; and 42 (2) Financial ability and reasonable expectation actually to 43 construct the work and apply the water to the intended beneficial use 44 with reasonable diligence. 45 – 6 – - *AB134* 2. Except as otherwise provided in subsection 10, where there 1 is no unappropriated water in the proposed source of supply, where 2 the groundwater that has not been committed for use has been 3 reserved pursuant to NRS 533.0241 or where its proposed use or 4 change conflicts with existing rights , including, without limitation, 5 existing rights that are subject to a water conservation plan 6 submitted pursuant to section 1 of this act, or with protectable 7 interests in existing domestic wells as set forth in NRS 533.024, or 8 threatens to prove detrimental to the public interest, the State 9 Engineer shall reject the application and refuse to issue the 10 requested permit. If a previous application for a similar use of water 11 within the same basin has been rejected on those grounds, the new 12 application may be denied without publication. 13 3. In addition to the criteria set forth in subsections 1 and 2, in 14 determining whether an application for an interbasin transfer of 15 groundwater must be rejected pursuant to this section, the State 16 Engineer shall consider: 17 (a) Whether the applicant has justified the need to import the 18 water from another basin; 19 (b) If the State Engineer determines that a plan for conservation 20 of water is advisable for the basin into which the water is to be 21 imported, whether the applicant has demonstrated that such a plan 22 has been adopted and is being effectively carried out; 23 (c) Whether the proposed action is environmentally sound as it 24 relates to the basin from which the water [Text truncated for display. Full text available on LegiScan.]