BP BHEAD INT H

AN ACT Relating to water resources; amending RCW 90.03.015, 90.03.130, 43.21B.110, 90.03.170, 90.03.180, 90.03.210, 90.03.230, 90.54.020, 90.03.040, 43.21A.064, 90.03.070, 90.14.130, 90.14.140, 90.14.200, 90.03.330, 90.03.600, 80.28.070, 90.48.495, 90.48.285, 90.48.290, 35.67.030, 36.94.030, 36.94.140, 56.08.020, 90.42.020, 90.42.030, 90.42.040, 90.42.080, 90.14.160, 90.14.170, 90.14.180, 90.54.180, 90.03.340, 90.03.270, 90.03.280, 90.03.290, 90.03.320, 90.03.380, 90.03.390, 90.44.100, and 90.14.190; reenacting and amending RCW 90.42.010; adding new sections to chapter 90.03 RCW; adding new sections to chapter 90.54 RCW; adding new sections to chapter 43.27A RCW; adding new sections to chapter 87.03 RCW; adding new sections to chapter 54.16 RCW; adding new sections to chapter 35.92 RCW; adding new sections to chapter 57.08 RCW; adding new sections to chapter 80.28 RCW; adding new sections to chapter 43.99E RCW; adding new sections to chapter 43.21B RCW; repealing RCW 90.03.110, 90.03.120, 90.03.140, 90.03.160, 90.03.190, 90.03.200, 90.03.243, 90.38.005, 90.38.010, 90.38.020, 90.38.030, 90.38.040, 90.38.050, 90.38.900, 90.38.901, and 90.38.902; and prescribing penalties.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

Sec. 1. RCW 90.03.015 and 1987 c 109 s 65 are each amended to read as follows:

As used in this chapter:

(1) "Department" means the department of ecology((;)).

(2) "Director" means the director of ecology((~~; and~~)).

(3) "Essential domestic use" means water use within a residence for drinking, cooking, cleaning, or sanitation and water used for fire protection.

(4) "Person" means ((~~any firm, association, water users' association, corporation, irrigation district, or municipal corporation, as well as an individual.~~)) an individual, partnership, association, irrigation district, public or private corporation, city or other municipality, county, or a state agency, and the United States of America when claiming water rights established under the laws of the state of Washington.

(5) "Water right" or "right" means a certificate of water right issued pursuant to this chapter, a valid vested right as determined by adjudication under this chapter, or a permit issued after June 30, 1994, with a limited term as provided by RCW 90.14.200.

(6) "Indian tribe" or "tribe" means tribes now or hereafter recognized by the federal government.

(7) "Board" means the pollution control hearings board created under chapter 43.21B RCW.

(8) "Water rights examiner" is an individual duly certified by the department pursuant to section 7 of this act.

NEW SECTION. Sec. 2. The department shall ensure that all rights to the use of the waters of the state are efficiently and fairly adjudicated and shall develop a comprehensive process for making decisions on future water resource allocation and use.

NEW SECTION. Sec. 3. The department shall divide the state into watersheds that shall represent one or more of the water resource inventory areas designated pursuant to RCW 90.54.040, and to the extent possible, shall represent separate hydrologic systems considering the surface and ground water hydrology and physical characteristics of the region. The department shall list the priority of the watersheds for the purpose of future adjudications and shall estimate the date when the department intends to commence its investigation in each of the five highest priority watersheds. The department shall periodically review the priority list of watersheds and update the intended date to commence investigations in the five highest priority watersheds.

NEW SECTION. Sec. 4. (1) If the department determines that a general water rights adjudication will be conducted in a specific watershed, the department shall commence an investigation of all uses of and demands for water in the basin. The department shall notify all persons, federal and state agencies, and Indian tribes located in the watershed of the department's intent to adjudicate the water rights in the watershed and of its decision to commence an investigation. The department shall provide notice as follows:

(a) Immediately upon the determination to commence an investigation, cause a notice in writing to be placed twice a month for four consecutive months in a prominent and conspicuous place in all newspapers of general circulation published in the watershed;

(b) Cause a notice substantially the same as a notice in writing to be broadcast by at least one commercial radio station operating from each county of the watershed having such a station, monthly for the twelve-month period for filing affidavits of water use;

(c) Cause a notice in writing to be placed in a prominent and conspicuous location in all post offices and each county courthouse located in the watershed; and

(d) Provide copies of the notice in writing to the press services with offices located in Thurston county.

(2) The director may also, in the director's discretion, give notice in any other manner that will carry out the purposes of this section.

(3) The county treasurer of each county shall enclose with each mailing of one or more statements of taxes due a copy of a notice in writing and a declaration that it is the duty of the recipient of the statement of taxes due to forward the notice to the beneficial owner of the property. A sufficient number of copies of the notice and declaration shall be supplied to each county treasurer by the director before the fifteenth day of January. In the implementation of this subsection, the department shall provide reimbursement to the county treasurer for the reasonable additional costs, if any, incurred by the treasurer arising from the inclusion of a notice in writing as required in this subsection.

(4) The notice shall specify the requirements for filing an affidavit of water use as provided in section 6 of this act, and shall provide the estimated date of completing the investigation and filing the preliminary report as provided in section 10(2) of this act. The department shall hold a minimum of three public meetings in each watershed to inform and assist persons wishing to file an affidavit of water use.

NEW SECTION. Sec. 5. (1) Except as provided in subsection (2) of this section, all persons using, or claiming the right to the beneficial use of surface or ground waters of the state, shall file with the department by January 1, 1996, an affidavit of water use for each water use and priority date claimed. All persons in each watershed for which the department has determined that a general water rights adjudication will be conducted shall file the affidavit of water use within twelve months of notice being completed in accordance with section 4(1) of this act by the department if such notice is issued before January 1, 1995.

(2) Any person having relinquished any right, title, or interest in a water right pursuant to chapter 90.14 RCW, or by order of a court, or for failure to file a statement of claim, pursuant to RCW 90.14.041 or 90.14.043, may not file an affidavit of water use stating any portion of their relinquished right. Any affidavit of water use filed on a right which was so relinquished shall have no force and effect and shall not be evidence in a general adjudication.

(3) A person may not state in an affidavit of water use the right to the use of water in amounts greater than or for a larger area of use than authorized pursuant to a water right permit or certificate issued under this chapter and chapter 90.44 RCW, or in amounts greater than or for a larger area of use than was stated on a statement of claim filed under RCW 90.14.041 and 90.14.043, or as amended under RCW 90.14.065 as of the effective date of this section. Any amount of water and area of use stated in the affidavit of water use that is greater than authorized in a permit or certificate, or stated in the statement of claim, or as amended under RCW 90.14.065 as of the effective date of this section has no force and effect and is not evidence in a general adjudication.

NEW SECTION. Sec. 6. (1) The affidavit of water use for each right claimed shall include the following information to the extent it can be determined by the exercise of reasonable diligence:

(a) The person's name and mailing address;

(b) The name of the water course or other water source from which the right to divert or make use of water is claimed;

(c) The quantity of water used based on an instantaneous rate of withdrawal in cubic feet per second or gallons per minute and on a yearly quantity in acre feet per year for each year since 1967. All documentation available to the person that supports the quantity of use shall be provided, including but not limited to flow meter records and electrical records;

(d) The legal description of the area where the water was first used and the area where the water has been used for each of the ten years before the effective date of this section. The area of use shall be presented on a map drawn to scale and shall be described with specificity by metes and bounds, section, township, and range, or, if less than a section by section, and, if applicable, by quarter-quarter parcel numbers within a platted area represented by a map drawn to scale;

(e) The legal description of the point or points of diversion or withdrawal, the method of diversion or withdrawal, the method of conveying the water to the place of use, including the dimensions and capacity of all ditches, pipelines, and similar structures existing at the time of making the affidavit;

(f) The purpose or purposes of the water used or claimed for each of the ten years before the effective date of this section, specifying: (i) The purpose of the use when the water was first used; (ii) the current purpose of the use of water; and (iii) any other purposes for which the water was used for each of the ten years before the effective date of this section;

(g) The legal basis for the water right stated, such as a water right permit, water right certificate, any right that was claimed in a statement of claim filed under RCW 90.14.041, riparian rights that were not subject to the filing of a statement of claim under RCW 90.14.041, the right to the use of ground water pursuant to the exemption under RCW 90.44.050, or rights derived from federal or tribal reserved rights. Copies of any relevant documents evidencing such legal right to the use of water shall be provided with the affidavit of water use when filed;

(h) The date of initiation of the right and commencement of the use;

(i) The date of beginning and completion of construction;

(j) The amount of land under irrigation and the maximum quantity of water used for irrigation for: (i) The year the water was first appropriated; (ii) the current year; (iii) each of the ten years before the effective date of this section and, if for power and other purposes, the maximum quantity of water used for the ten years before the effective date of this section; and

(k) The number of residences served by the water used or stated.

(2) Any person filing an affidavit of water use shall pay a filing fee to the department when the affidavit of water use is filed. The fee or fee schedule shall be determined by the department and shall be sufficient to fund the adjudication process performed pursuant to sections 3 through 13 and 15 through 18 of this act fully. The fees shall be deposited in the water resources protection account created in section 26 of this act.

(3) Any person who fails to file the affidavit of water use with the filing fee within twelve months of notice and to comply with the requirements of this section shall be conclusively deemed to have waived and relinquished any right, title, or interest in said right.

(4) The affidavit of water use shall be made under oath and sworn before a notary public that the matters set forth are true and correct.

(5) The department shall not accept for filing an affidavit of water use that has not been verified and signed by a water rights examiner, certified pursuant to section 7 of this act. The water rights examiner shall certify that the examiner has conducted a site visit of the place of use of the water, that the affidavit of water use is complete, that it complies with the requirements of this section, and that the information provided is true and accurate.

NEW SECTION. Sec. 7. (1) A water rights examiner shall be certified by the department. Any individual may apply to the department to be a water rights examiner on a form provided by the department.

(2) The department shall develop and administer an examination for certifying private water right examiners. The applicant shall be tested on and show knowledge in areas of water laws and related laws and regulations of the state, surface and ground water hydrology, water conveyance and application systems, water efficiency and conservation techniques, and legal property descriptions. In preparing the examination, the department shall consult with persons in the private sector known to be knowledgeable regarding these topics.

(3) An application fee of two hundred fifty dollars shall be paid by an applicant for any individual certification as a water rights examiner under this section. The certification shall be effective for five years and may be renewed upon payment of a fee of two hundred fifty dollars and a demonstration of knowledge of recent developments in the field.

(4) The department shall suspend the certification or decertify a water rights examiner for failure to perform properly duties and obligations relating to verification of affidavit of water use.

(5) The department shall retain and periodically update a list of certified water rights examiners as well as a record of comments, recommendations, and complaints filed regarding examiners. The list and the records shall be made available to the public upon request.

NEW SECTION. Sec. 8. In watersheds where the department has determined to conduct a general adjudication and initiate an investigation as provided in section 4 of this act:

(1) The department shall contact all federal agencies and Indian tribes that may have any interest in the basin for the purpose of obtaining information and documentation on the federal and tribal current use and future need of water in the watershed. The department shall recognize that the tribal and federal reserved water rights include a quantity of water sufficient to satisfy the primary purposes of the reservation and applicable treaties with the United States, including the water necessary to fulfill any tribal treaty right to fish.

(2) The department may enter into any available negotiation or mediation process with Indian tribes and the federal government acting as trustee for the tribes in an attempt to define the scope and attributes of rights to the use of water claimed by the tribes under their treaties with the United States. Any agreement between the department, the federal government, and the Indian tribe of their intent to negotiate or mediate shall be made within sixty days of the department completing the notice requirements to the United States and the tribes that the investigation has commenced as provided in section 4 of this act. The sixty days may be extended by agreement of the department, the federal government, and the Indian tribe. During any negotiated or mediated process the department shall obtain input from any regional planning process created under RCW 90.54.045. Any agreement entered into with the tribes and the federal government shall be filed with the preliminary report as set forth in section 10(2) of this act and, with the exception of the department, shall not be binding on other persons claiming a right to use water in the basin unless and until the agreement is incorporated into and made a part of the final adjudication decree entered by the board.

NEW SECTION. Sec. 9. (1) In its investigation of water use and demand in a basin, if determined necessary by the department, the department may request additional information from water users, and subpoena witnesses, compel their attendance, administer oaths, take the testimony of any person under oath, enter onto property of persons having filed water use affidavits for field investigations, and require the production of any books or papers if the department deems these measures necessary in its investigation. Failure of a water user to cooperate with the department in its investigation may be a basis for denying the claim in an adjudication commenced pursuant to section 4 of this act.

(2) In the course of its investigation the department shall:

(a) Seek the initiation of a process of negotiation of tribal water rights based on federal law as provided in section 8(2) of this act;

(b) Determine the quantity of water available under reasonable predictions of annual yield or flow of water in the watershed, including the safe sustaining yield of all ground water sources;

(c) Determine the necessary base flows in all rivers and streams in the basin and the water level of other water bodies in the watershed based on and in recognition of the public's inherent rights to the use, enjoyment, and preservation of wildlife, fish, scenic, aesthetic, and other environmental values, and navigational values;

(d) Field check, as determined necessary by the department, the uses of water stated in the affidavits of water use and related claims, permits, and certificates; and

(e) Make findings as to the existence, priority, quantification, places of use, and points of diversion or withdrawal and any other defining conditions for each water use.

NEW SECTION. Sec. 10. (1) On the basis of its investigation, the department shall prepare a preliminary report setting forth the determinations and findings from its investigation as required under section 4 of this act. Only those uses of water that are claimed in a completed and notarized affidavit of water use, and those uses claimed as federal or tribal reserved water rights, shall be considered in the department's preliminary report and in the general adjudication of rights in the watershed. Based on its findings, the department shall include in the preliminary report a process for developing and recommending the elements of a comprehensive water resources plan in the watershed. This report shall not conclusively establish or disestablish any person's rights but is tentative in nature only.

(2) The department shall file the preliminary report of its findings from its investigation with the board. Upon filing the preliminary report, the board shall issue a summons, in the name of the state of Washington as plaintiff, against all known persons claiming the right to the use of water in the watershed. The summons shall be served by certified mail, return receipt requested, or in the same manner of service of summons in civil actions commenced in the superior court of the state. The summons shall commence the general adjudication of all rights to the use of water in the watershed. The summons shall include a copy of the preliminary report and shall contain a brief statement of the objects and purpose of the proceedings. The summons shall also state that hearings before the board shall be scheduled after the department files a final report.

(3) The summons shall require all persons mentioned in the preliminary report, tribes, and the federal government to appear before the board if they claim a right to the use of water in the watershed.

NEW SECTION. Sec. 11. (1) The summons shall set forth the procedure and the schedule to implement the process of developing the final report and the comprehensive water resource program efficiently and fairly. The procedure and schedule as outlined in the summons shall include, but not be limited to, identification of deadlines for the closure of the departmental record. Any party objecting to any portion of the preliminary report shall file with the department by the date specified by the board additional evidence that party desires to be considered by the department. The board may also allow for a rebuttal filing by the objecting party before the record is closed. Information may be filed in support of one's own claim or in opposition to the department's tentative determination in relation to rights of other parties.

(2) Any information filed after the deadlines as established in the summons shall not be considered by the department. The filing deadline is a mandatory deadline and can only be extended by the board for good cause as established under RCW 90.03.320.

NEW SECTION. Sec. 12. Concurrent with the service of summons under section 10 of this act, the department shall initiate a planning process for developing a comprehensive water resource program for the watershed consistent with RCW 90.54.045 that shall be the mechanism for making decisions on future water resource allocations and uses in the basin. All parties to the general adjudication, as well as identified interest groups, shall be invited to participate. At the time of filing its final report with the board, as provided in section 16 of this act, the department shall propose rules establishing a water resource program for decisions on future use of water in the watershed. These proposed rules shall include the establishment of instream flows for the watershed. The adoption of such rules shall follow the normal process provided by law, and shall not await the outcome of the adjudication procedure before the board.

NEW SECTION. Sec. 13. Within twenty-four months after filing the preliminary report, the department shall conduct a public hearing pursuant to chapter 34.05 RCW in each county any part of which is located in the adjudicated basin to obtain testimony on the preliminary report. The department shall obtain input and advice from any regional planning process created under RCW 90.54.045 that exists and is available for input before the time for filing the final report.

Sec. 14. RCW 90.03.130 and 1987 c 109 s 74 are each amended to read as follows:

Service of said summons shall be made in the same manner and with the same force and effect as service of summons in civil actions commenced in the superior courts of the state: PROVIDED, That for good cause, the ((~~court~~)) board, at the request of the department, as an alternative to personal service, may authorize service of summons to be made by certified mail, with return receipt signed by defendant, a spouse of a defendant, or another person authorized to accept service. If the defendants, or either of them, cannot be found within the state of Washington, of which the return of the sheriff of the county in which the proceeding is pending shall be prima facie evidence, upon the filing of an affidavit by the department, or its attorney, in conformity with the statute relative to the service of summons by publication in civil actions, such service may be made by publication in a newspaper of general circulation in the county in which such proceeding is pending, and also publication of said summons in a newspaper of general circulation in each county in which any portion of the water is situated, once a week for six consecutive weeks (six publications). In cases where personal service can be had, such summons shall be served at least twenty days before the return day thereof. The summons by publication shall state that statements of claim must be filed within twenty days after the last publication or before the return date, whichever is later.

Personal service of summons may be made by department of ecology employees for actions pertaining to water rights.

NEW SECTION. Sec. 15. The department shall complete a final report within twenty-four months after the date of issuance of the preliminary report unless the board, for good cause, grants additional time. The final report shall recommend findings relating to all uses of water claimed in the basin. The findings shall set forth the basis for confirming rights to the use of water and for denying any claimed uses. The priority, quantity, place of use, and point of diversion, if applicable, for all confirmed rights to the uses of water in the basin shall be described in detail and set forth on a map of the basin.

In preparing the final report, the department shall apply the definition of "beneficial use" in RCW 90.54.020(1). Rights may in no case be recommended of greater scope than originally appropriated through the exercise of the right holder's due diligence. Within that scope, rights shall be based on the maximum beneficial use of water under the right within the five years preceding the date the general adjudication proceeding was filed, unless compelling cause is shown for why a larger quantity, rate, or area should be confirmed. If no use has been made within the five years, the right shall be declared relinquished unless the nonuse is excused under RCW 90.14.140. The final report shall recommend the instream flows necessary to satisfy all beneficial uses of water as provided in RCW 90.54.020(1) and (3) and 90.22.010, and to otherwise satisfy the public's paramount right to the uses of the water. The final report shall recommend rules establishing elements of a water resource program for the watershed for decisions of future use of water.

NEW SECTION. Sec. 16. The department shall file the final report and the department's record with the board. Service of the final report shall be made upon all persons who filed their appearance in the proceedings, and shall include a notice that a person has ninety days from the date of issuance of the final report to file with the board any objections or clarifications to the report. The notice shall further specify the dates upon which the board will hear all objections and clarifications to the final report. Service shall be made by certified mail with return receipt requested or in the same manner and with the same force and effect that service of summons in civil actions commence in the superior court of the state.

NEW SECTION. Sec. 17. Persons who fail to file with the board objections or clarifications to the final report, or who fail to appear at the hearing, shall be deemed to have waived any objections to the report and are subject to the findings of the report and the final order of the board. The board shall conduct a de novo hearing on the objections filed. If no objections are made, the determination of water rights shall be made according to the department's final report. The board shall grant substantial deference to any agreement entered into between the department, an Indian tribe, and the federal government pursuant to section 8(2) of this act.

NEW SECTION. Sec. 18. The board shall be limited to the department record in hearing objections to the final report. The board may not authorize additional filings unless the party requesting additional time can establish one of the following causes:

(1) Accident or surprise that ordinary prudence could not have guarded against;

(2) Newly discovered evidence, material for the party making the application, that the party could not with reasonable diligence have discovered and produced by the filing deadline; or

(3) A board determination that additional testimony or other evidence is necessary to review and determine the objections fully and fairly.

NEW SECTION. Sec. 19. The legislature recognizes that all of the waters of the state are public and are held in trust by the state for the benefit of the people of the state. The department shall protect the public trust in administrating and regulating all the waters in the state. To complete a full adjudication of water rights and complete a comprehensive water resources plan, all uses of water in the state must be quantified. To this end, the department and the board, in conducting a general adjudication, shall recognize the public's paramount right to the uses of all waters of the state and quantify the amount of water necessary to protect the public's right.

Sec. 20. RCW 43.21B.110 and 1993 c 387 s 22 are each amended to read as follows:

(1) The hearings board shall only have jurisdiction to hear and decide appeals from the following decisions of the department, the director, the administrator of the office of marine safety, and the air pollution control boards or authorities as established pursuant to chapter 70.94 RCW, or local health departments:

(a) Civil penalties imposed pursuant to RCW 18.104.155, 70.94.431, 70.105.080, 70.107.050, 88.46.090, 90.03.600, 90.48.144, 90.56.310, and 90.56.330((.));

(b) Orders issued pursuant to RCW 18.104.043, 18.104.060, 43.27A.190, 70.94.211, 70.94.332, 70.105.095, 86.16.020, 88.46.070, 90.14.130, and 90.48.120((.));

(c) The issuance, modification, or termination of any permit, certificate, or license by the department or any air authority in the exercise of its jurisdiction, including the issuance or termination of a waste disposal permit, the denial of an application for a waste disposal permit, or the modification of the conditions or the terms of a waste disposal permit((.));

(d) Decisions of local health departments regarding the grant or denial of solid waste permits pursuant to chapter 70.95 RCW((.));

(e) Decisions of local health departments regarding the issuance and enforcement of permits to use or dispose of biosolids under RCW 70.95J.080((.)); and

(f) Any other decision by the department, the administrator of the office of marine safety, or an air authority which pursuant to law must be decided as an adjudicative proceeding under chapter 34.05 RCW.

(2) The following hearings shall not be conducted by the hearings board:

(a) Hearings required by law to be conducted by the shorelines hearings board pursuant to chapter 90.58 RCW((.));

(b) Hearings conducted by the department pursuant to RCW 70.94.332, 70.94.390, 70.94.395, 70.94.400, 70.94.405, 70.94.410, and 90.44.180((.)); and

(c) ((~~Proceedings by the department relating to general adjudications of water rights pursuant to chapter 90.03 or 90.44 RCW.~~

~~(d)~~)) Hearings conducted by the department to adopt, modify, or repeal rules.

(3) Review of rules ((~~and regulations~~)) adopted by the hearings board shall be subject to review in accordance with the provisions of the Administrative Procedure Act, chapter 34.05 RCW.

(4) The hearings board may conduct proceedings relating to general adjudications of water rights pursuant to chapter 90.03 or 90.44 RCW. At the hearing provided for in section 16 of this act, an administrative appeals judge appointed pursuant to RCW 43.21B.005 shall preside over the receiving testimony and evidence. The board may hear the matter en banc or may make its decision on review of the verbatim record. The board shall appoint technical staff to assist in the hearings board review of the record and objections filed in the general adjudication proceedings.

Sec. 21. RCW 90.03.170 and 1987 c 109 s 77 are each amended to read as follows:

((Thereupon the department shall fix a time and place for such hearing and serve written notice thereof upon all persons who have appeared in said proceeding, their agents or attorneys. Notice of such hearing shall be served at least ten days before the time fixed therefor. Such hearings)) The hearings before the board may be adjourned from time to time and place to place. The ((~~duly authorized designee~~)) board shall have authority to subpoena witnesses and administer oaths in the same manner and with the same powers as referees in civil actions. The fees and mileage of witnesses shall be advanced by the party at whose instance they are called as in civil actions. ((A final decree adjudicating rights or priorities, entered in any case decided prior to June 6, 1917, shall be conclusive among the parties thereto and the extent of use so determined shall be prima facie evidence of rights to the amount of water and priorities so fixed as against any person not a party to said decree.))

Sec. 22. RCW 90.03.180 and 1982 c 15 s 2 are each amended to read as follows:

At the time of filing ((~~the statement as provided in RCW 90.03.140, each defendant shall pay to the clerk of the superior court a fee of twenty-five dollars~~)) an objection or request for clarification with the board as provided in section 17 of this act, the person objecting or requesting clarification shall pay the clerk of the board a fee of one hundred fifty dollars.

Sec. 23. RCW 90.03.210 and 1988 c 202 s 92 are each amended to read as follows:

During the pendency of such adjudication proceedings prior to judgment or upon review by ((~~an appellate court~~)) the board, the stream or other water involved shall be regulated or partially regulated according to the schedule of rights specified in the department's report upon an order of the ((~~court~~)) board authorizing such regulation: PROVIDED, Any interested party may file a bond and obtain an order staying the regulation of said stream as to ((~~him~~)) that party, in which case the court shall make such order regarding the regulation of the stream or other water as he or she may deem just. The bond shall be filed within five days following the service of notice of appeal in an amount to be fixed by the ((~~court~~)) board and with sureties satisfactory to the ((~~court~~)) board, conditioned to perform the judgment of the ((~~court~~)) board.

Sec. 24. RCW 90.03.230 and 1987 c 109 s 81 are each amended to read as follows:

The clerk of the ((~~superior court~~)) board, immediately upon the entry of any decree by the superior court, shall transmit a certified copy thereof to the director, who shall immediately enter the same upon the records of the department.

NEW SECTION. Sec. 25. After an adjudication has been completed in a watershed pursuant to sections 3 through 13 and 15 through 18 of this act, all uses of water that the department permits and certifies pursuant to RCW 90.03.290 and 90.03.330 and as provided in the respective water resource program shall be conclusive as to all rights to the use of water in the watershed, without requiring the permit or certificate to be determined in a general adjudication in the watershed. Nothing in this section relieves the water user of complying with all conditions of the water right including continuous beneficial use of the water as required under RCW 90.14.130.

NEW SECTION. Sec. 26. The water resources protection account is created in the state treasury. The fees collected under sections 6(2) and 27 of this act shall be deposited into the account. The account shall be subject to legislative appropriation and shall be used only to fund the following:

(1) The leasing and purchase of water rights for placement in the trust water program under chapter 90.42 RCW;

(2) The development of appropriate fee structures pursuant to section 27 of this act; and

(3) The adjudication process performed pursuant to sections 3 through 13 and 15 through 18 of this act.

NEW SECTION. Sec. 27. Beginning January 1, 1996, the department shall impose a water use fee on all water users that have been identified pursuant to section 5(1) of this act. The fee may vary by type of water user and shall be:

(1) Based on water use; and

(2) Designed to promote water conservation and prevent waste and misuse as defined in RCW 90.54.020(1).

Sec. 28. RCW 90.54.020 and 1989 c 348 s 1 are each amended to read as follows:

Utilization and management of the waters of the state shall be guided by the following general declaration of fundamentals:

(1) As used in this section, "beneficial use" includes both the type of use and the manner of use as follows:

(a) As to the type of use, uses of water for domestic, stock watering, industrial, commercial, agricultural, irrigation, hydroelectric power production, mining, fish and wildlife maintenance and enhancement, recreational, and thermal power production purposes, and preservation of environmental and aesthetic values, and all other uses compatible with the enjoyment of the public waters of the state, are declared to be beneficial.

(b) The manner of use means the reasonably efficient use of water by methods that involve neither waste nor misuse.

(c) Waste is the use of water in excess of that rate and amount that will provide the duty of water for the type of use involved plus a reasonable transportation loss. In the case of existing rights, what constitutes waste shall be adjusted to take into account any beneficial effects of return flows, where alternate means of achieving such effects are not readily available.

(d) Misuse is the degradation of water quality contrary to subsection (3)(b) of this section.

(2) Allocation of waters among potential uses and users shall be based generally on the securing of the maximum net benefits for the people of the state. Maximum net benefits shall constitute total benefits less costs including opportunities lost.

(3) The quality of the natural environment shall be protected and, where possible, enhanced as follows:

(a) Perennial rivers and streams of the state shall be retained with base flows necessary to provide for preservation of wildlife, fish, scenic, aesthetic and other environmental values, and navigational values. Lakes and ponds shall be retained substantially in their natural condition. Withdrawals of water which would conflict therewith shall be authorized only in those situations where it is clear that overriding considerations of the public interest will be served.

(b) Waters of the state shall be of high quality. Regardless of the quality of the waters of the state, all wastes and other materials and substances proposed for entry into said waters shall be provided with all known, available, and reasonable methods of treatment prior to entry. Notwithstanding that standards of quality established for the waters of the state would not be violated, wastes and other materials and substances shall not be allowed to enter such waters which will reduce the existing quality thereof, except in those situations where it is clear that overriding considerations of the public interest will be served. Technology-based effluent limitations or standards for discharges for municipal water treatment plants located on the Chehalis, Columbia, Cowlitz, Lewis, or Skagit river shall be adjusted to reflect credit for substances removed from the plant intake water if:

(i) The municipality demonstrates that the intake water is drawn from the same body of water into which the discharge is made; and

(ii) The municipality demonstrates that no violation of receiving water quality standards or appreciable environmental degradation will result.

(4) Adequate and safe supplies of water shall be preserved and protected in potable condition to satisfy human domestic needs.

(5) Multiple-purpose impoundment structures are to be preferred over single-purpose structures. Due regard shall be given to means and methods for protection of fishery resources in the planning for and construction of water impoundment structures and other artificial obstructions.

(6) Federal, state, and local governments, individuals, corporations, groups and other entities shall be encouraged to carry out practices of conservation as they relate to the use of the waters of the state. In addition to traditional development approaches, improved water use efficiency and conservation shall be emphasized in the management of the state's water resources and in some cases will be a potential new source of water with which to meet future needs throughout the state.

(7) Development of water supply systems, whether publicly or privately owned, which provide water to the public generally in regional areas within the state shall be encouraged. Development of water supply systems for multiple domestic use which will not serve the public generally shall be discouraged where water supplies are available from water systems serving the public.

(8) Full recognition shall be given in the administration of water allocation and use programs to the natural interrelationships of surface and ground waters.

(9) Expressions of the public interest will be sought at all stages of water planning and allocation discussions.

(10) Water management programs, including but not limited to, water quality, flood control, drainage, erosion control and storm runoff are deemed to be in the public interest.

NEW SECTION. Sec. 29. (1) The department shall adopt rules regarding the reasonably efficient use of water. The rules shall take effect on or before January 1, 1995, and be based on the following:

(a) The method by which the duty of water for any locality shall be determined, having due regard for local differences in soil, climate, topography, and other relevant factors;

(b) The method by which reasonable transportation losses for any locality shall be determined, having due regard for the customary practices in the area, available current technology, and reasonable economy;

(c) Guidelines for identification of the beneficial effects of return flows and for the determination on a case-by-case basis of the rates and amounts of water to be allocated to the maintenance of such effects in adjusting what would otherwise constitute waste. These guidelines shall also include criteria for whether alternative means of achieving such effects are readily available;

(d) In adopting rules under subsections (a) through (c) of this section, the department may rely upon and incorporate technical publications generally regarded as authoritative.

(2) For the purposes of this section, "duty of water" means a quantity of water, which when efficiently applied or conducted without waste, is reasonably required to carry out its intended purpose.

NEW SECTION. Sec. 30. A new section is added to chapter 90.54 RCW to read as follows:

(1) The department shall require the reasonably efficient use of water in all determinations regarding the use of and management of water.

(2) Commencing January 1, 1995, in the granting or amendment of a permit or authorizing a change or transfer, the rate and quantity that constitutes reasonable efficiency for the use proposed shall be specified.

(3) Commencing January 1, 1995, if the department determines that waste or misuse is occurring the department shall issue regulatory orders pursuant to RCW 43.27A.190 to the holders of existing permits and certificates requiring that reasonably efficient use of water be achieved. Such orders shall include a reasonable time for compliance.

NEW SECTION. Sec. 31. (1) If a water right holder achieves water savings of that water that has been beneficially used, the holder may be authorized by the department, subject to subsection (2) of this section, to expand the scope of the initial right, or transfer the savings to another person without change of priority date, by application of the water saved, consistent with reasonable efficiency, if expansion does not impair existing water rights. The department shall verify such savings and upon verification shall issue any amendment to the water right increasing the place of use or otherwise altering the relevant permit or certificates as may be necessary to reflect the expanded application of water.

(2) In approving an expansion in place of use, the department shall require that fifty percent of the water savings be returned to the state for use in the trust water rights program, as provided in chapter 90.42 RCW, however trust water rights acquired in this manner may only be exercised for instream purposes.

Sec. 32. RCW 90.03.040 and 1917 c 117 s 4 are each amended to read as follows:

The beneficial use of water, as defined in RCW 90.54.020(1) is hereby declared to be a public use, and any person may exercise the right of eminent domain to acquire any property or rights now or hereafter existing when found necessary for the storage of water for, or the application of water to, any beneficial use, including the right to enlarge existing structures employed for the public purposes mentioned in this chapter and use the same in common with the former owner, and including the right and power to condemn an inferior use of water for a superior use. In condemnation proceedings the court shall determine what use will be for the greatest public benefit, and that use shall be deemed a superior one: PROVIDED, That no property right in water or the use of water shall be acquired ((~~hereunder~~)) under this section by condemnation for irrigation purposes, which shall deprive any person of such quantity of water as may be reasonably necessary for the irrigation of ((~~his~~)) the person's land then under irrigation to the full extent of the soil, ((by the most economical method of artificial irrigation applicable to such land according to the usual methods of artificial irrigation employed in the vicinity where such land is situated. In any case, the court shall determine what is the most economical method of irrigation)) through reasonably efficient means. Such property or rights shall be acquired in the manner provided by law for the taking of private property for public use by private corporations.

Sec. 33. RCW 43.21A.064 and 1977 c 75 s 46 are each amended to read as follows:

The director of the department of ecology shall have the following powers and duties:

(1) The supervision of public waters within the state and their appropriation, diversion, and use, and of the various officers connected therewith;

(2) Insofar as may be necessary to assure safety to life or property, ((~~he shall~~)) to inspect the construction of all dams, canals, ditches, irrigation systems, hydraulic power plants, and all other works, systems, and plants pertaining to the use of water, and ((he)) may require such necessary changes in the construction or maintenance of said works, to be made from time to time, as will reasonably secure safety to life and property;

(3) ((~~He shall~~)) To regulate and control the diversion of water in accordance with the rights thereto. Such regulation and control shall be exercised on the basis of the director's determination of the various rights involved, based on a review of the department's records and investigation of relevant facts as provided in RCW 90.03.070;

(4) ((~~He shall~~)) To determine the discharge of streams and springs and other sources of water supply, and the capacities of lakes and of reservoirs whose waters are being or may be utilized for beneficial purposes;

(5) ((~~He shall~~)) To keep such records as may be necessary for the recording of the financial transactions and statistical data thereof, and shall procure all necessary documents, forms, and blanks. ((He)) The director shall keep a seal of the office, and all certificates by him or her covering any of his or her acts or the acts of his or her office, or the records and files of his or her office, under such seal, shall be taken as evidence thereof in all courts;

(6) ((~~He shall~~)) To render when required by the governor, a full written report of the work of his or her office with such recommendations for legislation as he or she may deem advisable for the better control and development of the water resources of the state;

(7) ((~~The director and~~)) To, in addition to duly authorized deputies ((~~may~~)), administer oaths;

(8) ((~~He shall~~)) To establish and ((~~promulgate~~)) adopt rules governing the administration of chapter 90.03 RCW;

(9) ((~~He shall~~)) To perform such other duties as may be prescribed by law.

Sec. 34. RCW 90.03.070 and 1987 c 109 s 70 are each amended to read as follows:

It shall be the duty of the water master, acting under the direction of the department, to divide in whole or in part, the water supply of ((~~his~~)) the water master's district among the several water conduits and reservoirs using said supply, according to the right and priority of each, respectively. ((He)) The water master shall divide, regulate, and control the use of water within ((~~his~~)) the district by such regulation of headgates, conduits, and reservoirs as shall be necessary to prevent the use of water in excess of the amount to which the owner of the right is lawfully entitled. Whenever, in the pursuance of ((~~his~~)) duties, the water master regulates a headgate of a water conduit or the controlling works of a reservoir, ((he)) the water master shall attach to such headgate or controlling works a written notice, properly dated and signed, stating that such headgate or controlling works has been properly regulated and is wholly under ((~~his~~)) the water master's control and such notice shall be a legal notice to all parties. In addition to dividing the available waters and supervising the stream ((~~patrolmen~~)) patrol in ((~~his~~)) the district, ((he)) the water master shall enforce such rules ((~~and regulations~~)) as the department shall from time to time prescribe.

The county or counties in which water master districts are created shall deputize the water masters appointed ((~~hereunder~~)) under this chapter, and may without charge provide to each water master suitable office space, supplies, equipment and clerical assistance as are necessary to the water master in the performance of ((~~his~~)) duties.

Regulation under this section shall be exercised on the basis of the water master's tentative determination of the various rights involved, based on a review of the department's records and investigation of relevant facts.

NEW SECTION. Sec. 35. A new section is added to chapter 43.27A RCW to read as follows:

In issuing orders pursuant to RCW 43.27A.190 for the purpose of regulating between or among the users of water, the department shall determine whether any use of water is based on a valid existing water right. In making such determination, the department shall investigate and make a tentative determination as to the priority, quantity, place of use, and point of diversion of any water right necessary for proper administration and regulation. Unless exigent circumstances exist, the department shall notify the person whose use of water will be regulated before issuing an order of regulation. The notice shall state that the order of regulation shall be issued within ten days after receipt by the person of the notice, unless the person can show cause in writing to the department why the department's decision is in error. The order of regulation is effective immediately upon issuance unless otherwise stated in the order. The department's determination of the validity of a water right is not binding in any subsequent general adjudication, but shall be admissible as prima facie evidence of the existence and conditions of the right.

NEW SECTION. Sec. 36. A new section is added to chapter 43.27A RCW to read as follows:

In any appeal of a regulatory order issued pursuant to RCW 43.27A.190 it is not a defense that any of the rights recognized have not been confirmed in a general water rights adjudication.

NEW SECTION. Sec. 37. A new section is added to chapter 43.27A RCW to read as follows:

No regulatory order, based in whole or part on a conclusion that all or any portion of any water right has been relinquished for nonuse shall be issued, unless the department initiates proceedings under RCW 90.14.130 with regard to the asserted relinquishment. Appeals of the regulatory order and of the relinquishment order may be consolidated for hearing before the pollution control hearings board. Notwithstanding the provisions of RCW 43.27A.190, such a regulatory order shall not become effective unless or until the relinquishment order becomes final.

Sec. 38. RCW 90.14.130 and 1987 c 109 s 13 are each amended to read as follows:

When it appears to the department of ecology that a person entitled to the use of water has not beneficially used his or her water right or some portion thereof, and it appears that said right has or may have reverted to the state because of such ((~~nonuse~~)) failure, as provided by RCW 90.14.160, 90.14.170, or 90.14.180, the department of ecology shall notify such person by order: PROVIDED, That where a company, association, district, or the United States has filed a blanket claim under the provisions of RCW 90.14.060 for the total benefits of those served by it, the notice shall be served on such company, association, district or the United States and not upon any of its individual water users who may not have used the water or some portion thereof which they were entitled to use. The order shall contain: (1) A description of the water right, including the approximate location of the point of diversion, the general description of the lands or places where such waters were used, the water source, the amount involved, the purpose of use, and the apparent authority upon which the right is based; (2) a statement that unless sufficient cause be shown on appeal the water right will be declared relinquished; and (3) a statement that such order may be appealed to the pollution control hearings board. Any person aggrieved by such an order may appeal it to the pollution control hearings board pursuant to RCW 43.21B.310. The order shall be served by registered or certified mail to the last known address of the person and be posted at the point of division or withdrawal. The order by itself shall not alter the recipient's right to use water, if any.

Sec. 39. RCW 90.14.140 and 1987 c 125 s 1 are each amended to read as follows:

(1) For the purposes of RCW 90.14.130 through 90.14.180 "failure to beneficially use" includes both nonuse of water and misappropriation of water. Misappropriation means use that is contrary to the definition of beneficial use in RCW 90.54.020.

(2) For the purposes of RCW 90.14.130 through 90.14.180, "sufficient cause" shall be defined as the ((~~nonuse of~~)) failure to use beneficially all or a portion of the water by the owner of a water right for a period of five or more consecutive years where such ((~~nonuse~~)) failure occurs as a result of:

(a) Drought, or other unavailability of water;

(b) Active service in the armed forces of the United States during military crisis;

(d) ((~~The operation of legal proceedings~~)) An administrative order or court order that temporarily prevents the use of the right;

(e) Federal laws imposing land or water use restrictions either directly or through the voluntary enrollment of a landowner in a federal program implementing those laws, or acreage limitations, or production quotas; or

(f) Compliance with a permit issued under chapter 90.48 RCW to discharge wastes.

((~~(2)~~)) (3) Notwithstanding any other provisions of RCW 90.14.130 through 90.14.180, there shall be no relinquishment of any water right:

(a) If such right is claimed for power development purposes under chapter 90.16 RCW and annual license fees are paid in accordance with chapter 90.16 RCW, or

(b) If such right is used for a standby or reserve water supply to be used in time of drought or other low flow period so long as withdrawal or diversion facilities are maintained in good operating condition for the use of such reserve or standby water supply, or

(c) ((If such right is claimed for a determined future development to take place either within fifteen years of July 1, 1967, or the most recent beneficial use of the water right, whichever date is later, or

~~(d)~~)) If such right is claimed for municipal water supply purposes under chapter 90.03 RCW, or

((~~(e)~~)) (d) If such waters are not subject to appropriation under the applicable provisions of RCW 90.40.030 as now or hereafter amended.

Sec. 40. RCW 90.14.200 and 1989 c 175 s 180 are each amended to read as follows:

(1) All matters relating to the implementation and enforcement of this chapter by the department of ecology shall be carried out in accordance with chapter 34.05 RCW, the Administrative Procedure Act, except where the provisions of this chapter expressly conflict with chapter 34.05 RCW. Proceedings held pursuant to RCW 90.14.130 are adjudicative proceedings within the meaning of chapter 34.05 RCW. Final decisions of the department of ecology in these proceedings are subject to review in accordance with chapter 43.21B RCW.

(2) ((~~RCW 90.14.130 provides nonexclusive procedures for determining a relinquishment of water rights under RCW 90.14.160, 90.14.170, and 90.14.180.~~)) No ruling on a request for an amendment to a permit or certificate pursuant to RCW 90.03.380 or 90.44.100 based in whole or in part on a conclusion that all or any portion of any water right has been relinquished for nonuse may be issued until the department initiates proceedings under RCW 90.14.130 with regard to the asserted relinquishment. Appeals of the relinquishment order and of the ruling on the amendment may be consolidated for hearing before the pollution control hearings board, however no amended certificate or permit may be issued until the relinquishment order becomes final.

(3) The relinquishment of water rights on the basis of RCW 90.14.160, 90.14.170, and 90.14.180 may ((~~be applied~~)) occur in((~~, among other proceedings,~~)) general adjudication proceedings initiated under RCW 90.03.110 or 90.44.220: PROVIDED, That nothing herein shall apply to litigation involving determinations of the department of ecology under RCW 90.03.290 relating to the impairment of existing rights.

NEW SECTION. Sec. 41. In evaluating whether a water appropriation or amendment of a water right would be detrimental to the public interest and in evaluating the public interest regarding allocation of water for future use, the department shall consider at a minimum the following public interest factors:

(1) Local and state economic net benefits, including the consideration of the opportunity costs of alternative foregone uses of the water;

(2) Cost-effectiveness of the proposed use in comparison to alternative sources of water, including the consideration of external costs and benefits;

(3) Effects on public uses of water including the instream uses listed in RCW 90.22.010 and 90.54.020(3)(a);

(4) Effects on public land and facilities and on other water-related public resources;

(5) Effects on local communities in the area of origin from proposals to transfer water to another location;

(6) Effects on water quality, public health, or safety;

(7) Discouragement of waste and encouragement of conservation and efficient use;

(8) Long-term public costs to regulate the use to protect other water rights and instream flows; and

(9) The water resource fundamentals listed in RCW 90.54.020.

NEW SECTION. Sec. 42. (1) After June 30, 1994, all permits issued under this chapter, except those issued for essential domestic use, shall be in the form of a term permit that shall ordinarily specify a period of allowable use of thirty years after the initial beneficial use of water. A shorter period may be specified for uses of water intended to be shorter in duration. A shorter term may also be specified if a regional public water system capable of providing water to the user is planned for implementation in the area within less than thirty years.

(2) Upon the transfer of ownership of property to which a term permit is appurtenant, if ten years or fewer remain in the term of the permit, the buyer may request renewal of the permit for a term of thirty years. The department shall respond to the request within ninety days of the date of last publication of the notice required by RCW 90.03.280 with its decision to grant or deny renewal.

(3) Within two years of the expiration of a term permit, the permittee may request renewal of the permit for a term of thirty years. The department shall respond within ninety days of the date of last publication of the notice required by RCW 90.03.280 with its decision to grant or deny renewal.

(4) In determining whether to renew a permit, the department shall investigate and take into consideration the factors listed in RCW 90.03.290, 90.54.020, and section 41 of this act.

Sec. 43. RCW 90.03.330 and 1987 c 109 s 89 are each amended to read as follows:

(1) Upon a showing satisfactory to the department that ((~~any~~)) an appropriation for essential domestic use has been perfected in accordance with the provisions of this chapter, ((~~it shall be the duty of~~)) the department ((to)) shall issue to the applicant a certificate stating ((~~such~~)) the pertinent facts ((~~in a form to be prescribed by him, and such certificate shall thereupon be recorded with the department~~)), parameters, and conditions affecting the use.

(2) For purposes of this section, an appropriation for essential domestic use is perfected only when the water system has been fully developed, is capable of pumping the quantity intended for essential domestic use, and is delivering water to all intended households. A certificate of water right shall be issued only for the amount put to beneficial use as defined in RCW 90.54.020(1). The certificate shall continue to exist as issued unless amended, condemned, abandoned, forfeited for nonuse, or regulated or rescinded to meet the public trust responsibilities of the state. The use of water under a permit or certificate issued by the state after June 30, 1994, for a new use shall be subject to periodic review by the department and may be further conditioned or limited to prevent any impairment the use is shown to cause to other rights, the natural environment, including water quality, or the public interest.

(3) Any original ((~~water~~)) right certificate issued, as provided by this chapter, shall be recorded with the department and thereafter((~~, at the expense of the party receiving the same, be by the department~~)) transmitted to the county auditor of the county or counties where the distributing system or any part thereof is located, ((~~and be~~)) recorded in the office of such county auditor at the expense of the recipient, and thereafter ((be)) transmitted to the ((~~owner thereof~~)) recipient.

NEW SECTION. Sec. 44. When considering whether to issue a new permit for use of water, the department shall identify potential sources of reclaimed water and shall deny an application for development of a new water supply if a cost-effective source of reclaimed water is available to the applicant. In making its determination, the department shall consult with the department of labor and industries, the department of health, and the local health authority, as appropriate, to determine whether reclaimed water can be used for the purpose proposed without impairment of public health or safety.

NEW SECTION. Sec. 45. A new section is added to chapter 90.54 RCW to read as follows:

The legislature finds that the recovery of endangered and threatened anadromous fish stocks and prevention of further listings under the federal endangered species act require an unprecedented level of interstate cooperation regarding management of waters shared by the states of the Pacific Northwest. Waters acquired in upstream states or within the state of Washington for purposes of improvement in habitat and passage conditions for anadromous fish stocks shall be fully protected from appropriation by new and existing diversions as those waters flow through the state of Washington. The department shall, as a matter of highest priority, cooperate with other states, the federal government, the Northwest power planning council, and water users to assure the full protection of water acquired for these purposes.

Sec. 46. RCW 90.03.600 and 1987 c 109 s 157 are each amended to read as follows:

(1) The ((~~power is granted to the~~)) department ((~~of ecology to~~)) may levy civil penalties ((~~of up to one hundred dollars per day~~)) for violation of any of the provisions of this chapter and chapters 43.83B, 90.22, and 90.44 RCW, and rules, permits, and similar documents and regulatory orders of the department ((~~of ecology~~)) adopted or issued pursuant to such chapters. The procedures of RCW 90.48.144 shall be applicable to all phases of the levying of a penalty as well as review and appeal of the same.

(2) There are established two categories of violations punishable under this section: Minor and major.

(a) A minor violation is an action contrary to law, rule, permit condition, or order that does not seriously threaten public health, safety, senior water rights, or the environment. The penalty for a minor violation is not less than one hundred dollars and not more than five hundred dollars.

(b) A major violation is an action contrary to law, rule, permit condition, or order that poses a potential serious threat to public health, safety, or the environment, or that has already resulted in damage to public health, safety, senior water rights, or the environment. Repeated minor violations also constitute a major violation. The penalty for a major violation is not less than five hundred dollars and not more than ten thousand dollars.

(3) In determining the appropriate penalty under subsection (2) of this section, the department shall consider whether the person:

(a) Has demonstrated a general disregard for public health, safety, senior water rights, or the environment through the number and magnitude of violations;

(b) Had demonstrated a disregard for the laws, rules, permit conditions, or regulatory orders governing the user's appropriation of state waters; or

(4) Penalties provided for in this section shall be imposed pursuant to RCW 43.21B.300.

(5) Penalties collected under this section shall be deposited in the state reclamation revolving account established by chapter 89.16 RCW. Subject to legislative appropriation, the revenues from penalties collected under this section may be spent only for purposes related to the restoration and enhancement of the water resources of the state, including, but not limited to the acquisition of trust water rights in accordance with chapter 90.42 RCW.

NEW SECTION. Sec. 47. A new section is added to chapter 87.03 RCW to read as follows:

Irrigation districts shall establish or amend the rates and charges levied against water users to provide an incentive to conserve water. This shall be accomplished by use of inverted block rates in which the greater the quantity of water used, the more a unit of water costs.

NEW SECTION. Sec. 48. A new section is added to chapter 87.03 RCW to read as follows:

By January 1, 2000, each irrigation district serving more than fifteen water users shall install measuring devices at the points of delivery of water to each land parcel receiving water from the district. The district shall take and maintain records of water deliveries at each delivery point and shall make those records publicly available. The district shall also provide for continuous measurement of water and records of same at points of diversion or withdrawal and at appropriate points in the conveyance system and on wasteways.

NEW SECTION. Sec. 49. A new section is added to chapter 54.16 RCW to read as follows:

Public utility districts shall establish or amend the rates and charges levied against users to provide an incentive to conserve water. This shall be accomplished by use of inverted block rates in which the greater the quantity of water used, the more a unit of water costs.

NEW SECTION. Sec. 50. A new section is added to chapter 54.16 RCW to read as follows:

By January 1, 2000, each public utility district serving more than fifteen water users shall install measuring devices at the points of use of water supplied by the district. The district shall take and maintain records of water use at each point of use and shall make those records publicly available. The district shall also provide for continuous measurement of water and records of same at points of diversion or withdrawal and at appropriate points in the conveyance system.

NEW SECTION. Sec. 51. A new section is added to chapter 35.92 RCW to read as follows:

Municipal water utilities shall establish or amend the rates and charges levied against water users to provide an incentive to conserve water. This shall be accomplished by use of inverted block rates in which the greater the quantity of water used, the more a unit of water costs.

NEW SECTION. Sec. 52. A new section is added to chapter 35.92 RCW to read as follows:

By January 1, 2000, each municipal water utility serving more than fifteen water users shall install measuring devices at the points of use of water supplied by the district. The utility shall take and maintain records of water use at each point of use and shall make those records publicly available. The utility shall also provide for continuous measurement of water and records of same at points of diversion or withdrawal and at appropriate points in the conveyance system.

NEW SECTION. Sec. 53. A new section is added to chapter 57.08 RCW to read as follows:

Water districts shall establish or amend the rates and charges levied against water users to provide an incentive to conserve water. This shall be accomplished by use of inverted block rates in which the greater the quantity of water used, the more a unit of water costs.

NEW SECTION. Sec. 54. A new section is added to chapter 57.08 RCW to read as follows:

By January 1, 2000, each water district serving more than fifteen water users shall install measuring devices at the points of use of water supplied by the district. The district shall take and maintain records of water use at each point of use and shall make those records publicly available. The district shall also provide for continuous measurement of water and records of same at points of diversion or withdrawal and at appropriate points in the conveyance system.

Sec. 55. RCW 80.28.070 and 1961 c 14 s 80.28.070 are each amended to read as follows:

Nothing in this chapter shall be taken to prohibit a gas company((,)) or electrical company ((~~or water company~~)) from establishing a sliding scale of charges, whereby a greater charge is made per unit for a lesser than a greater quantity for gas((,)) or electricity ((~~or water~~)), or any service rendered or to be rendered.

NEW SECTION. Sec. 56. A new section is added to chapter 80.28 RCW to read as follows:

The commission shall establish or amend the rates and charges levied against water users by a water company to provide an incentive to conserve water. This shall be accomplished by requiring use of inverted block rates in which the greater the quantity of water used, the more a unit of water costs.

NEW SECTION. Sec. 57. A new section is added to chapter 80.28 RCW to read as follows:

Each water company under the commission's jurisdiction serving more than fifteen water users shall be required to install, by January 1, 2000, measuring devices at the points of use of water supplied by the company. The company shall be required to take and maintain records of water use at each point of use and shall make those records publicly available. The company shall also provide for continuous measurement of water and records of same at points of diversion or withdrawal and at appropriate points in the conveyance system.

Sec. 58. RCW 90.48.495 and 1989 c 348 s 10 are each amended to read as follows:

The department of ecology shall require sewer plans to include a discussion of water conservation measures considered or underway, including the installation of water service meters, use of water conserving rate structures by the water supplier, and adoption of wastewater rate structures that incorporate consideration of the quantity of water used, and their anticipated impact on public sewer service. The department shall require that sewer plans evaluate the cost-effectiveness of water conservation measures that could be implemented in conjunction with water suppliers in reducing the quantity of sewage generated in comparison to the development of additional treatment capacity. The department shall require that sewage plans select the most cost-effective means of pollution prevention or treatment. If a plan fails to meet this requirement, it shall not be approved by the department as provided by RCW 90.48.110, nor shall a waste discharge permit be granted for a new or expanded sewage treatment system if a more cost-effective means of preventing pollution, including water conservation, is available.

Sec. 59. RCW 90.48.285 and 1987 c 109 s 144 are each amended to read as follows:

The department is authorized to enter into contracts with any municipal or public corporation or political subdivision within the state for the purpose of assisting such agencies to finance the construction of water pollution control projects necessary to prevent the discharge of untreated or inadequately treated sewage or other waste into the waters of the state, including but not limited to, cost-effective water conservation projects that will minimize the quantity of sewerage created and systems for the control of storm or surface waters which will provide for the removal of waste or polluting materials in a manner conforming to the comprehensive plan of water pollution control and abatement proposed by the agencies and approved by the department. Any such contract may provide for:

The payment by the department to a municipal or public corporation or political subdivision on a monthly, quarterly, or annual basis of varying amounts of moneys as advances which shall be repayable by said municipal or public corporation, or political subdivision under conditions determined by the department.

Contracts made by the department shall be subject to the following limitations:

(1) No contract shall be made unless the department shall find that the project cannot be financed at reasonable cost or within statutory limitations by the borrower without the making of such contract.

(2) No contract shall be made with any public or municipal corporation or political subdivision to assist in the financing of any project located within a sewage drainage basin for which the department shall have previously adopted a comprehensive water pollution control and abatement plan unless the project is found by the department to conform with the basin comprehensive plan.

(3) The department shall determine the interest rate, not to exceed ten percent per annum, which such advances shall bear.

(4) The department shall provide such reasonable terms and conditions of repayment of advances as it may determine.

(5) The total outstanding amount which the department may at any time be obligated to pay under all outstanding contracts made pursuant to this section shall not exceed the moneys available for such payment.

(6) Municipal or public corporations or political subdivisions shall meet such qualifications and follow such procedures in applying for contract assistance as shall be established by the department.

In making such contracts the department shall give priority to projects which will provide relief from actual or potential public health hazards or water pollution conditions and which provide substantial capacity beyond present requirements to meet anticipated future demand.

Sec. 60. RCW 90.48.290 and 1987 c 109 s 145 are each amended to read as follows:

The department is authorized to make and administer grants within appropriations authorized by the legislature to any municipal or public corporation, or political subdivision within the state for the purpose of aiding in the construction of water pollution control projects necessary to prevent the discharge of untreated or inadequately treated sewage or other waste into the waters of the state including, but not limited to, projects for the control of storm or surface waters which will provide for the removal of waste or polluting materials therefrom and cost-effective water conservation projects that will minimize the quantity of sewage created.

Grants so made by the department shall be subject to the following limitations:

(1) No grant shall be made in an amount which exceeds the recipient's contribution to the estimated cost of the project: PROVIDED, That the following shall be considered a part of the recipient's contribution:

(a) Any grant received by the recipient from the federal government pursuant to section 8(f) of the Federal Water Pollution Control Act (33 U.S.C. 466) for the project;

(b) Any expenditure which is made by any municipal or public corporation, or political subdivision within the state as a part of a joint effort with the recipient to carry out the project and which has not been used as a matching contribution for another grant made pursuant to this chapter, and

(c) Any expenditure for the project made by the recipient out of moneys advanced by the department from a revolving fund and repayable to said fund.

(2) No grant shall be made for any project which does not qualify for and receive a grant of federal funds under the provisions of the Federal Water Pollution Control Act as now or hereafter amended: PROVIDED, That this restriction shall not apply to state grants made in any biennium over and above the amount of such grants required to match all federal funds allocated to the state for such biennium.

(3) No grant shall be made to any municipal or public corporation, or political subdivision for any project located within a drainage basin unless the department shall have previously adopted a comprehensive water pollution control and abatement plan and unless the project is found by the department to conform with such basin comprehensive plan: PROVIDED, That the requirement for a project to conform to a comprehensive water pollution control and abatement plan may be waived by the department for any grant application filed with the department prior to July 1, 1974, in those situations where the department finds the public interest would be served better by approval of any grant application made prior to adoption of such plan than by its denial.

(4) Recipients of grants shall meet such qualifications and follow such procedures in applying for grants as shall be established by the department.

(5) Grants may be made to reimburse recipients for expenditures made after July 1, 1967 for projects which meet the requirements of this section and were commenced after the recipient had filed a grant application with the department.

Sec. 61. RCW 35.67.030 and 1985 c 445 s 1 are each amended to read as follows:

Whenever the legislative body of any city or town, shall deem it advisable that such city or town shall purchase, acquire or construct any public utility mentioned in RCW 35.67.020, or make any additions, betterments, or alterations thereto, or extensions thereof, such legislative body shall provide therefor by ordinance, which shall specify and adopt the system or plan proposed, and declare the estimated cost thereof as near as may be.

In selecting projects for sewer system improvements, a city or town shall evaluate the cost-effectiveness of implementing water conservation measures that would minimize the quantity of sewage requiring treatment and shall implement such water conservation measures as are cost-effective in comparison to the increased sewage treatment capacity required without water conservation.

Sec. 62. RCW 36.94.030 and 1981 c 313 s 15 are each amended to read as follows:

Whenever the county legislative authority deems it advisable and necessary for the public health and welfare of the inhabitants of the county to establish, purchase, acquire, and construct a system of sewerage and/or water, or make any additions and betterments thereto, or extensions thereof, the board shall adopt a sewerage and/or water general plan for a system of sewerage and/or water for all or a portion of the county as deemed necessary by the board. If the county has adopted a comprehensive plan for a physical development of the county pursuant to chapter 36.70 RCW and/or chapter 35.63 RCW, then the sewerage and/or water general plan shall be adopted as an element of that comprehensive plan pursuant to the applicable statute.

Every sewerage and water general plan developed under this section shall include an evaluation of the cost-effectiveness of implementing water conservation measures that would minimize the need for additional water supply and the quantity of sewage requiring treatment and shall propose for implementation such water conservation measures as are cost-effective in comparison to the increased water supply development and sewage treatment capacity required without water conservation.

Sec. 63. RCW 36.94.140 and 1990 c 133 s 2 are each amended to read as follows:

Every county, in the operation of a system of sewerage and/or water, shall have full jurisdiction and authority to manage, regulate and control it and to fix, alter, regulate and control the rates and charges for the service to those to whom such county service is available, and to levy charges for connection to such system. The rates for availability of service and connection charges so charged must be uniform for the same class of customers or service.

In classifying customers served, service furnished or made available by such system of sewerage and/or water, or the connection charges, the board may consider any or all of the following factors:

(1) The difference in cost of service to the various customers within or without the area;

(2) The difference in cost of maintenance, operation, repair and replacement of the various parts of the systems;

(3) The different character of the service furnished various customers;

(4) The quantity and quality of the sewage and/or water delivered and the time of its delivery;

(5) Capital contributions made to the system or systems, including, but not limited to, assessments;

(6) The cost of acquiring the system or portions of the system in making system improvements necessary for the public health and safety; ((~~and~~))

(7) For both sewage and water systems, the achievement of water conservation goals and the discouragement of wasteful water use practices; and

(8) Any other matters which present a reasonable difference as a ground for distinction.

Such rates shall produce revenues sufficient to take care of the costs of maintenance and operation, revenue bond and warrant interest and principal amortization requirements, and all other charges necessary for the efficient and proper operation of the system.

Sec. 64. RCW 56.08.020 and 1990 1st ex.s. c 17 s 34 are each amended to read as follows:

The sewer commissioners before ordering any improvements hereunder or submitting to vote any proposition for incurring indebtedness shall adopt a general comprehensive plan for a system of sewers for the district. They shall investigate all portions and sections of the district and select a general comprehensive plan for a system of sewers for the district suitable and adequate for present and reasonably foreseeable future needs thereof. The general comprehensive plan shall provide for treatment plants and other methods for the disposal of sewage and industrial and other liquid wastes now produced or which may reasonably be expected to be produced within the district and shall, for such portions of the district as may then reasonably be served, provide for the acquisition or construction and installation of laterals, trunk sewers, intercepting sewers, syphons, pumping stations, or other sewage collection facilities. Every general comprehensive plan for sewerage developed under this section shall include an evaluation of the cost-effectiveness of implementing water conservation measures that would minimize the quantity of sewage requiring treatment and shall propose for implementation such water conservation measures as are cost-effective in comparison to the increased sewage treatment capacity required without water conservation. The general comprehensive plan shall provide the method of distributing the cost and expense of the sewer system provided therein against the district and against utility local improvement districts within the district, including any utility local improvement district lying wholly or partially within any other political subdivision included in the district; and provide whether the whole or some part of the cost and expenses shall be paid from sewer revenue bonds. The commissioners may employ such engineering and legal services as they deem necessary in carrying out the purposes hereof.

The general comprehensive plan shall be adopted by resolution and submitted to an engineer designated by the legislative authority of the county in which fifty-one percent or more of the area of the district is located, and to the director of health of the county in which the district or any portion thereof is located, and must be approved in writing by the engineer and director of health. The general comprehensive plan shall be approved, conditionally approved, or rejected by the director of health within sixty days of the plan's receipt and by the designated engineer within sixty days of the plan's receipt. However, this sixty-day time limitation may be extended by the director of health or engineer for up to an additional sixty days if sufficient time is not available to review adequately the general comprehensive plans.

Before becoming effective, the general comprehensive plan shall also be submitted to, and approved by resolution of, the legislative authority of every county within whose boundaries all or a portion of the sewer district lies. The general comprehensive plan shall be approved, conditionally approved, or rejected by each of these county legislative authorities pursuant to the criteria in RCW 56.02.060 for approving the formation, reorganization, annexation, consolidation, or merger of sewer districts, and the resolution, ordinance, or motion of the legislative body which rejects the comprehensive plan or a part thereof shall specifically state in what particular the comprehensive plan or part thereof rejected fails to meet these criteria. The general comprehensive plan shall not provide for the extension or location of facilities that are inconsistent with the requirements of RCW 36.70A.110. Nothing in this chapter shall preclude a county from rejecting a proposed plan because it is in conflict with the criteria in RCW 56.02.060. Each general comprehensive plan shall be deemed approved if the county legislative authority fails to reject or conditionally approve the plan within ninety days of submission to the county legislative authority or within thirty days of a hearing on the plan when the hearing is held within ninety days of the plan's submission to the county legislative authority. However, a county legislative authority may extend this ninety-day time limitation by up to an additional ninety days where a finding is made that ninety days is insufficient to review adequately the general comprehensive plan. In addition, the sewer commissioners and the county legislative authority may mutually agree to an extension of the deadlines in this section.

If the district includes portions or all of one or more cities or towns, the general comprehensive plan shall be submitted also to, and approved by resolution of, the governing body of such cities and towns before becoming effective. The general comprehensive plan shall be deemed approved by the city or town governing body if the city or town governing body fails to reject or conditionally approve the plan within ninety days of the plan's submission to the city or town or within thirty days of a hearing on the plan when the hearing is held within ninety days of submission to the county legislative authority. However, a city or town governing body may extend this time limitation by up to an additional ninety days where a finding is made that insufficient time exists to adequately review the general comprehensive plan within these time limitations. In addition, the sewer commissioners and the city or town governing body may mutually agree to an extension of the deadlines in this section.

Before becoming effective, any amendment to, alteration of, or addition to, a general comprehensive plan shall also be subject to such approval as if it were a new general comprehensive plan: PROVIDED, That only if the amendment, alteration, or addition, affects a particular city or town, shall the amendment, alteration, or addition be subject to approval by such particular city or town governing body.

NEW SECTION. Sec. 65. A new section is added to chapter 43.99E RCW to read as follows:

The department of ecology shall provide a priority for funding assistance under this chapter for projects that result in creation of trust water rights pursuant to chapter 90.42 RCW through water conservation or improved water use efficiency.

NEW SECTION. Sec. 66. A new section is added to chapter 43.99E RCW to read as follows:

The department of ecology may, in the administration of the agricultural water supply bond funds authorized in RCW 43.99E.025, expend such funds by grants or loans directly or through a public body for purposes of financing on-farm water system improvements, if the land owner agrees in advance in writing that the net water savings, as defined in RCW 90.42.020(2), from such improvements will return to the state as a trust water right as provided in chapter 90.42 RCW. Trust water rights acquired in this manner shall be dedicated to public purposes, including but not limited to instream flow restoration.

NEW SECTION. Sec. 67. A new section is added to chapter 43.99E RCW to read as follows:

The department of ecology shall not provide a grant or loan for any water conserving project unless the recipient agrees in advance in writing that a reasonable proportion of the net water savings, as defined in RCW 90.42.020(2), will return to the state as a trust water right to benefit the public. The department may make direct expenditures of appropriated funds authorized under this chapter for purposes of purchasing or leasing water to be managed in the trust water rights program established in chapter 90.42 RCW.

Sec. 68. RCW 90.42.010 and 1993 sp.s. c 4 s 14 and 1993 c 98 s 1 are each reenacted and amended to read as follows:

(1) The legislature finds that a need exists to develop and test a means to facilitate the voluntary transfer of water and water rights, including conserved water, to provide water for presently unmet needs and emerging needs. ((Further, the legislature finds that water conservation activities have the potential of affecting the quantity of return flow waters to which existing water right holders have a right to and rely upon.)) It is the intent of the legislature that persons holding rights to water, including return flows, not be adversely affected in the implementation of the provisions of this chapter.

(2) The department shall provide to the appropriate legislative committees by December 31, 1993, a written evaluation of the implementation of RCW 90.42.010 through 90.42.090 and recommendations for future application. Recommendations shall include methods of applying RCW 90.42.010 through 90.42.090 to the rivers that are designated as high priority by the department of ecology under RCW 90.22.060 in order to use net water savings to enhance stream flows.

Sec. 69. RCW 90.42.020 and 1991 c 347 s 6 are each amended to read as follows:

Unless the context clearly requires otherwise, the definitions in this section apply throughout this chapter.

(1) "Department" means the department of ecology.

(2) "Net water savings" means the amount of water that is determined to be conserved and usable within a specified stream reach or reaches for other purposes without impairment ((~~or detriment to~~)) of water rights existing at the time that a water conservation project is undertaken, reducing the ability to deliver water, or reducing the supply of water that otherwise would have been available to other existing water uses.

(3) "Trust water right" means any water right acquired by the state under this chapter for management in the state's trust water rights program.

(4) ((~~"Pilot planning areas" means the geographic areas designated under RCW 90.54.045(2).~~

~~(5)~~)) "Water conservation project" means any project or program that achieves physical or operational improvements that provide for increased water use efficiency in existing systems of diversion, conveyance, application, or use of water under existing water rights ((~~existing on July 28, 1991~~)).

Sec. 70. RCW 90.42.030 and 1993 c 98 s 2 are each amended to read as follows:

(1) For purposes of this chapter, the state may enter into contracts to provide moneys to assist in the financing of water conservation projects. In consideration for the financial assistance provided, the state shall obtain public benefits defined in guidelines developed under RCW 90.42.050.

(2) If the public benefits to be obtained require conveyance to the state of all or a portion of a water right or modification of a water right, the recipient of funds shall convey to the state the recipient's interest in that part of the water right or claim constituting all or a portion of the resulting net water savings for deposit in the trust water rights program. The amount to be conveyed shall be finitely determined by the parties, in accordance with the guidelines developed under RCW 90.42.050, before the expenditure of state funds. Conveyance may consist of complete transfer, lease contracts, or other legally binding agreements. When negotiating for the acquisition of conserved water or net water savings, or a portion thereof, the state may require evidence of a valid water right.

(3) As part of the contract, the water right holder and the state shall specify the process to determine the amount of water the water right holder would continue to be entitled to once the water conservation project is in place. Any water right or portion thereof that the department determines has been relinquished due to nonuse or that will not be required by the water user in the future and that is not conveyed to the state as a trust water right shall be relinquished in accordance with RCW 90.14.130.

(4) The state shall cooperate fully with the United States in the implementation of this chapter. Trust water rights may be acquired through expenditure of funds provided by the United States and shall be treated in the same manner as trust water rights resulting from the expenditure of state funds. A contract with the United States may determine and limit the specific purpose or purposes of use of a trust water right acquired in whole or in part as a result of efforts by the United States.

(5) If water is proposed to be acquired by or conveyed to the state as a trust water right by an irrigation district, evidence of the district's authority to represent the water right holders shall be submitted to and for the satisfaction of the department.

(6) The state shall not contract with any person to acquire a water right served by an irrigation district without the approval of the board of directors of the irrigation district. Disapproval by a board shall be factually based on probable adverse effects on the ability of the district to deliver water to other members or on maintenance of the financial integrity of the district.

Sec. 71. RCW 90.42.040 and 1993 c 98 s 3 are each amended to read as follows:

(1) All trust water rights acquired by the state shall be placed in the state trust water rights program to be managed by the department. Trust water rights acquired by the state shall be held or authorized for use by the department for instream flows, irrigation, municipal, or other beneficial uses consistent with applicable regional or basin water resource plans ((~~for pilot planning areas~~)), or to resolve critical water supply problems.

(2) If the department authorizes use of a trust water right for irrigation, municipal, or industrial purposes, or other offstream purposes, the means of putting the trust water right to use shall be through highly efficient practices and such use shall be metered or otherwise measured. For trust water rights acquired through the investment of state funds, the following shall apply:

(a) The department may authorize use of the trust water right for offstream purposes if the water is in excess of or not practically available for meeting instream flow needs;

(b) If the department determines that it has a trust water right available for an offstream use, it shall publish a notice regarding the availability that requests submission of proposals for use of the water in a newspaper of general circulation in the county in which the trust water right is located;

(c) Use of the trust water right for offstream purposes shall occur through a leasehold arrangement between the department and the user. The terms of such lease shall be based on the market value of water in the region in which the trust water right exists; and

(d) The proceeds of such leases shall be deposited in the state reclamation revolving account established by chapter 89.16 RCW. Subject to legislative appropriation, the revenues from proceeds of such leases shall be used to acquire trust water rights in accordance with this chapter.

(3) The department shall issue a water right certificate in the name of the state of Washington for each permanent trust water right conveyed to the state indicating the reach or reaches of the stream, the quantity, and the use or uses to which it may be applied. A superseding certificate shall be issued that specifies the amount of water the water right holder would continue to be entitled to as a result of the water conservation project. The superseding certificate shall retain the same priority date as the original right. For nonpermanent conveyances, the department shall issue certificates or such other instruments as are necessary to reflect the changes in purpose or place of use or point of diversion or withdrawal. Water rights for which such nonpermanent conveyances are arranged shall not be subject to relinquishment for nonuse.

((~~(3)~~)) (4) A trust water right retains the same priority date as the water right from which it originated, but as between them the trust right shall be deemed to be inferior in priority unless otherwise specified by an agreement between the state and the party holding the original right.

((~~(4)~~)) (5) Exercise of a trust water right may be authorized only if the department first determines that neither water rights existing at the time the trust water right is established, nor the public interest will be impaired. If impairment becomes apparent during the time a trust water right is being exercised, the department shall cease or modify the use of the trust water right to eliminate the impairment. If the department chooses to continue exercising a trust water right after impairment of another right becomes evident, the department shall at its own expense provide an alternate source of water for the affected right holder.

((~~(5)~~)) (6) Before any trust water right is created or modified, the department shall, at a minimum, require that a notice be published in a newspaper of general circulation published in the county or counties in which the storage, diversion, and use are to be made, and in other newspapers as the department determines is necessary, once a week for two consecutive weeks. At the same time the department shall send a notice containing pertinent information to all appropriate state agencies, potentially affected local governments and federally recognized tribal governments, and other interested parties.

((~~(6)~~)) (7) RCW 90.14.140 through 90.14.230 have no applicability to trust water rights held by the department under this chapter or exercised under this section.

((~~(7)~~)) (8) RCW 90.03.380 has no applicability to trust water rights acquired by the state ((~~through the funding of water conservation projects~~)) under this chapter.

Sec. 72. RCW 90.42.080 and 1993 c 98 s 4 are each amended to read as follows:

(1) The state may acquire all or portions of existing water rights, by purchase, gift, or other appropriate means other than by condemnation, from any person or entity or combination of persons or entities. Once acquired, such rights are trust water rights.

(2) The department may enter into leases, contracts, or such other arrangements with other persons or entities as appropriate, to ensure that trust water rights acquired in accordance with this chapter may be exercised to the fullest possible extent. The purpose of use of a trust water right donated by any person to the state may be specified or limited in accordance with the deed of gift, contract, or other document conveying the water right to the state. The department may refuse to accept a donation if the donor's intended purpose of use would be detrimental to the public interest.

(3) Trust water rights may be acquired by the state on a temporary or permanent basis.

(4) ((~~The provisions of RCW 90.03.380 and 90.03.390 apply to transfers of water rights under this section.~~

~~(5)~~)) No funds may be expended for the purchase of water rights by the state pursuant to this section unless specifically appropriated for this purpose by the legislature.

Sec. 73. RCW 90.14.160 and 1981 c 291 s 1 are each amended to read as follows:

Any person entitled to divert or withdraw waters of the state through any appropriation authorized by enactments of the legislature prior to enactment of chapter 117, Laws of 1917, or by custom, or by general adjudication, who abandons the same, or who voluntarily fails, without sufficient cause, to beneficially use all or any part of said right to divert or withdraw for any period of five successive years after the effective date of this act, shall relinquish such right or portion thereof, and said right or portion thereof shall revert to the state, and the waters affected by said right shall become available for appropriation in accordance with RCW 90.03.250. After June 30, 1994, any water rights relinquished under this section as a result of failure to use water beneficially shall be dedicated to and managed in accordance with the trust water rights program established under chapter 90.42 RCW if the relinquished water right is needed and can be used to protect or restore instream flows.

Sec. 74. RCW 90.14.170 and 1967 c 233 s 17 are each amended to read as follows:

Any person entitled to divert or withdraw waters of the state by virtue of his or her ownership of land abutting a stream, lake, or watercourse, who abandons the same, or who voluntarily fails, without sufficient cause, to beneficially use all or any part of said right to withdraw or divert said water for any period of five successive years after ((~~the effective date of this act~~)) July 1, 1967, shall relinquish such right or portion thereof, and such right or portion thereof shall revert to the state, and the waters affected by said right shall become available for appropriation in accordance with the provisions of RCW 90.03.250. After June 30, 1994, any water rights relinquished under this section as a result of failure to use water beneficially shall be dedicated to and managed in accordance with the trust water rights program established under chapter 90.42 RCW if the relinquished water right is needed and can be used to protect or restore instream flows.

Sec. 75. RCW 90.14.180 and 1987 c 109 s 101 are each amended to read as follows:

Any person hereafter entitled to divert or withdraw waters of the state through an appropriation authorized under RCW 90.03.330, 90.44.080, or 90.44.090 who abandons the same, or who voluntarily fails, without sufficient cause, to beneficially use all or any part of said right to withdraw for any period of five successive years shall relinquish such right or portion thereof, and such right or portion thereof shall revert to the state, and the waters affected by said right shall become available for appropriation in accordance with RCW 90.03.250. After June 30, 1994, any water rights relinquished under this section as a result of failure to use water beneficially shall be dedicated to and managed in accordance with the trust water rights program established under chapter 90.42 RCW if the relinquished water right is needed and can be used to protect or restore instream flows. All certificates hereafter issued by the department of ecology pursuant to RCW 90.03.330 shall expressly incorporate this section by reference.

Sec. 76. RCW 90.54.180 and 1989 c 348 s 5 are each amended to read as follows:

Consistent with the fundamentals of water resource policy set forth in this chapter, state and local governments, individuals, corporations, groups and other entities shall ((~~be encouraged to~~)) carry out water use efficiency and conservation programs and practices consistent with the following:

(1) Water efficiency and conservation programs ((~~should utilize~~)) shall use an appropriate mix of economic incentives, cost share programs, regulatory programs, and technical and public information efforts. Programs which encourage voluntary participation are preferred.

(2) Increased water use efficiency ((~~should~~)) shall receive consideration as a potential source of water in state and local water resource planning and water supply planning processes. In determining the cost-effectiveness of alternative water sources, consideration ((~~should~~)) shall be given to the benefits of conservation((,)) and waste water recycling((~~, and impoundment of waters~~)).

(3) In determining the cost-effectiveness of alternative water sources, full consideration ((~~should~~)) shall be given to ((~~the benefits of~~)) storage of water which can reduce the damage to stream banks and property, increase the utilization of land, provide water for municipal, industrial, agricultural, and other beneficial uses, provide for the generation of electric power from renewable resources, and improve stream flow regimes for fishery and other instream uses.

(4) Entities receiving state financial assistance for construction of water source expansion or acquisition of new sources shall develop, and implement if cost-effective, a water use efficiency and conservation element of a water supply plan pursuant to RCW 43.20.230(1).

(5) State programs to improve water use efficiency ((~~should~~)) shall focus on those areas of the state in which water is overappropriated; areas that experience diminished streamflows or aquifer levels; and areas where projected water needs, including those for instream flows, exceed available supplies.

(6) Existing and future generations of citizens of the state of Washington ((~~should~~)) shall be made aware of the importance of the state's water resources and the need for wise and efficient use and development of this vital resource. In order to increase this awareness, state agencies ((~~should~~)) shall integrate public education on increasing water use efficiency into existing public information efforts. This effort shall be coordinated with other levels of government, including local governments and Indian tribes.

Sec. 77. RCW 90.03.340 and 1987 c 109 s 90 are each amended to read as follows:

After January 1, 1995, the priority date of a water right acquired by appropriation ((~~shall relate back to~~)) is the date ((~~of filing of the original~~)) the completed application form for the water right is filed with the department. For the purposes of this section and RCW 90.03.270, a completed application form is one that contains all the information requested on the form and is accompanied by the application fee.

Sec. 78. RCW 90.03.270 and 1987 c 109 s 85 are each amended to read as follows:

Upon receipt of ((an)) a completed water right application form it shall be the duty of the department to ((~~make an endorsement thereon of the~~)) date ((~~of its receipt, and to~~)) stamp and keep a record of ((~~same~~)) it. If ((~~upon examination,~~)) an application form is filed with the department but the information requested on the application form is ((~~found to be defective,~~)) not complete or the form is not accompanied by the proper application fee, the form and any application fee filed with it shall be returned to the applicant ((~~for correction or completion,~~)) and the date and the reasons for the return thereof shall be ((endorsed thereon and made a record in his office. No application shall lose its priority of filing on account of such defects, provided acceptable maps, drawings and such data as is required by the department shall be filed with the department within such reasonable time as it shall require)) noted in the department's records and in a letter returning the form. The department may not require an applicant to provide information in support of an application for a water right permit that is not directly necessary for the department's investigations, determinations, or findings regarding that particular application.

Sec. 79. RCW 90.03.280 and 1988 c 36 s 65 are each amended to read as follows:

((~~Upon receipt of a proper application,~~)) The department shall instruct the applicant to publish notice ((~~thereof~~)) in a form and within a time prescribed by ((~~him~~)) the department in a newspaper of general circulation published in the county or counties in which the storage, diversion or withdrawal, and use is to be made, and in such other newspapers as ((he)) the department may direct, once a week for two consecutive weeks. The notice shall include information pertinent to the proposed appropriation, including the location, the source, the purpose or purposes of use, and the quantity proposed to be diverted or withdrawn. The notice shall state that persons wishing to protest the proposed appropriation must do so in writing to the department within thirty days of the last date of publication of the notice. In order to be considered by the department, a protest must be received by the department within thirty days of the last date of publication of the notice. Upon receipt by the department of ((an)) a complete application it shall send notice thereof containing pertinent information to the director of ((~~fisheries and the director of~~)) fish and wildlife.

NEW SECTION. Sec. 80. A new section is added to chapter 43.21B RCW to read as follows:

In any proceeding before the pollution control hearings board challenging a decision of the department relating to the issuance, conditioning, transfer, amendment, extension, or denial of a water right permit or certificate under Title 90 RCW, the burden of proof is on the person filing the appeal.

NEW SECTION. Sec. 81. A new section is added to chapter 43.21B RCW to read as follows:

Only a person with standing as defined in RCW 34.05.530 may appeal to the pollution control hearings board a decision of the department relating to the issuance, conditioning, transfer, amendment, or denial of a water right permit or certificate under Title 90 RCW.

NEW SECTION. Sec. 82. (1) The department shall develop a general permit system for appropriating water for nonconsumptive, nonbypass uses and a general permit system for appropriating marine waters for use on upland sites. These systems shall be designed and used to streamline the consideration of applications for nonconsumptive, nonbypass water uses and marine water uses that by their nature do not raise issues regarding water availability or the impairment of other water rights. The evaluation and report required for an application by RCW 90.03.290 are not required for applications processed under such a general permit system.

(2) The department shall establish the general permit systems by rules adopted in accordance with chapter 34.05 RCW. Before the adoption of rules for such a system, no fewer than four public hearings shall be held at various locations around the state. The hearings on the marine water general permit shall be held in appropriate coastal communities. The rules shall identify criteria for proposed uses of water for which applications may be processed under each system and shall establish procedures for filing and processing applications under the general permit systems.

(3) Unless the context clearly requires otherwise, the following definitions apply throughout this section.

(a) A "nonconsumptive, nonbypass use" means a use of water in which water is diverted from a stream or withdrawn from an aquifer and following its use is discharged back to or very near the point of diversion or withdrawal without diminishing quantity or quality.

(b) "Without diminishing quality" means that, before being discharged back to its source, the water being discharged meets state water quality standards adopted under chapter 90.48 RCW.

NEW SECTION. Sec. 83. (1) An application for appropriating water under a general permit system established under section 80 of this act shall be made on a form provided by the department.

(2) Within sixty days of the publication of a notice for such an application in accordance with RCW 90.03.280, the department shall determine whether the proposed use is eligible to be processed under the general permit system.

(3) If the department determines the proposed use is eligible to be processed under the system, the application shall be so processed.

(4) If the department determines that the proposed use is not eligible for such processing, the department shall explain to the applicant in writing the reasons for its determination.

(5) If the proposed use is not eligible for processing under subsection (2) of this section and the department finds that the information contained in the application form substantially satisfies the information requirements for an application for a use that would normally be filed for processing an application outside the general permit system, the department shall notify the applicant of its finding and shall process the application as if it were filed for processing outside the general permit system.

(6) If the department finds that the information does not substantially satisfy the requirements for processing an application outside the general permit system, the application shall be considered to be incomplete for such processing and the applicant shall be so notified.

Sec. 84. RCW 90.03.290 and 1988 c 36 s 66 are each amended to read as follows:

(1) When an application complying with the provisions of this chapter and with the rules ((~~and regulations~~)) of the department has been filed, the ((~~same~~)) application shall be placed on record with the department, and it shall be ((~~its~~)) the department's duty to ((~~investigate the application, and~~)) determine (a) what water, if any, is available for appropriation, ((~~and find and determine~~)) (b) to what beneficial use or uses it can be applied, (c) whether any other water right would be impaired, and (d) whether the public interest would be impaired by the proposed appropriation.

(2) The department shall investigate the application. The applicant shall provide a completed application form. In addition to providing the information requested on the form, the applicant shall provide such information as may be required for the department's investigation, determination, and findings regarding the application and may provide additional information. Any such information provided by the applicant shall satisfy the protocols, including study plans and criteria, established by the department for obtaining and providing the information. If an applicant provides the information and the protocols set by the department for obtaining and providing the information have been satisfied, the department shall review the information and may take actions to verify that the information is accurate. The department shall not, except to replace inaccurate information, take actions that would constitute obtaining major portions of the information.

(3) With regard to an application:

(a) If it is proposed to appropriate water for irrigation purposes, the department shall investigate, determine, and find what lands are capable of irrigation by means of water found available for appropriation((.));

(b) If it is proposed to appropriate water for the purpose of power development, the department shall investigate, determine, and find whether the proposed development is likely to prove detrimental to the public interest, having in mind the highest feasible use of the waters belonging to the public. The department shall also determine whether the application is consistent with the state comprehensive hydropower plan developed under RCW 90.54.800.

(4) If the application does not contain, and the applicant does not promptly furnish sufficient information on which to base such findings, the department may issue a preliminary permit, for a period ((of)) not to exceed three years, requiring the applicant to make such surveys, investigations, studies, and progress reports, as in the opinion of the department may be necessary. If the applicant fails to comply with the conditions of the preliminary permit, it and the application or applications on which it is based shall be automatically canceled and the applicant so notified. If the holder of a preliminary permit shall, before its expiration, file with the department a verified report of expenditures made and work done under the preliminary permit, which, in the opinion of the department, establishes the good faith, intent and ability of the applicant to carry on the proposed development, the preliminary permit may, with the approval of the ((~~governor~~)) department, be extended, but not to exceed a maximum period of five years from the date of the issuance of the preliminary permit.

(5) The department shall make and file as part of the record in the matter, written findings of fact concerning all things investigated, and if it ((~~shall~~)) finds that there is water available for appropriation for a beneficial use, and the appropriation ((~~thereof~~)) as proposed in the application will not impair existing rights or be detrimental to the public welfare, it shall issue a permit stating the amount of water to which the applicant ((~~shall be~~)) is entitled and the beneficial use or uses to which it may be applied((~~: PROVIDED, That where~~)). If the water applied for is to be used for irrigation purposes, it shall become appurtenant only to such land as may be reclaimed ((~~thereby~~)) to the full extent of the soil for agricultural purposes. ((~~But where~~))

(6) If the department determines that the proposed use would not be a beneficial use of water as defined in RCW 90.54.020(1); there is no unappropriated water in the proposed source of supply((,)); or ((~~where~~)) the proposed use conflicts with existing rights, or threatens to prove detrimental to the public interest, having due regard to the highest feasible development of the use of the waters belonging to the public, ((~~it shall be duty of~~)) the department ((to)) shall reject ((~~such~~)) the application and ((to)) refuse to issue the permit ((~~asked for~~)).

(7) If the permit is refused only because of conflict with existing water rights or permits and ((~~such~~)) the applicant ((~~shall~~)) acquires ((~~same~~)) those rights or permits by purchase or condemnation under RCW 90.03.040, the department may ((~~thereupon~~)) grant ((~~such~~)) the permit. Any application may be approved for a less amount of water than that applied for, if there exists substantial reason ((~~therefor~~)), and in any event shall not be approved for more water than can be applied to beneficial use for the purposes named in the application.

(8) In determining whether or not a permit shall issue ((~~upon any application, it shall be the duty of~~)), the department ((to)) shall investigate all facts relevant and material to the application. After the department approves ((~~said~~)) an application in whole or in part and before any permit ((~~shall be~~)) is issued ((~~thereon~~)) to the applicant, ((~~such~~)) the applicant shall pay the fee provided in RCW 90.03.470((~~: PROVIDED FURTHER, That~~)).

(9) In the event a permit is issued by the department upon any application in which the department of fish and wildlife has expressed an interest, ((~~it shall be its duty to~~)) the department shall notify ((~~both~~)) the ((~~director of fisheries and the director of~~)) department of fish and wildlife ((~~of such issuance~~)).

Sec. 85. RCW 90.03.320 and 1987 c 109 s 67 are each amended to read as follows:

(1) Actual construction work shall be commenced on any project for which permit has been granted within such reasonable time as shall be prescribed by the department, and shall thereafter be prosecuted with diligence and completed within the time prescribed by the department. The department, in fixing the time for the commencement of the work, or for the completion thereof and the application of the water to the beneficial use prescribed in the permit, shall take into consideration the cost and magnitude of the project and the engineering and physical features to be encountered, and shall allow such time as shall be reasonable and just under the conditions then existing, having due regard for the public welfare and public interests affected: and, for good cause shown, it shall extend the time or times fixed as aforesaid, and shall grant such further period or periods as may be reasonably necessary, having due regard to the good faith of the applicant and the public interests affected.

(2) For purposes of this section, good cause includes but is not limited to the following:

(a) Active service in the armed forces of the United States during military crisis;

(b) Nonvoluntary service in the armed forces of the United States;

(d) Delays in securing other permits necessary to proceed with the development;

(e) A single transfer in ownership of the property; or

(f) Encountering unanticipated physical impediments to construction.

(3) If the terms of the permit, transfer, or change authorization or extension thereof, are not complied with the department shall give notice by ((~~registered~~)) certified mail that ((~~such~~)) the permit will be canceled unless the ((~~holders thereof shall~~)) permittee shows cause within sixty days why the ((~~same~~)) permit should not be ((so)) canceled. If cause ((be)) is not shown, ((~~said~~)) the permit shall be canceled.

Sec. 86. RCW 90.03.380 and 1991 c 347 s 15 are each amended to read as follows:

(1) The right to the use of water which has been applied to a beneficial use in the state shall be and remain appurtenant to the land or place upon which the same is used((~~: PROVIDED, HOWEVER, That said~~)). However, all or a portion of a water right may be transferred to another ((~~or to others~~)) person or persons and become appurtenant to any other land or place of use without loss of priority of right ((~~theretofore established~~)) if ((~~such change~~)) the transfer can be made without detriment or injury to existing rights, the natural environment, or the public interest. Any part of a water right permit that has been perfected may also be transferred to a different place of use in this manner, however, a change in ownership of a permit or portion thereof must be recorded through an assignment in accordance with RCW 90.03.310.

(2) The point of diversion or withdrawal of water for beneficial use ((or)), the purpose of use, or the season of use under an existing water right or permit may be changed, if ((~~such~~)) the change can be made without detriment or injury to existing water rights, the natural environment, or the public interest.

(3) The source of water for an existing water right or permit may be changed from a surface water diversion to a ground water withdrawal or vice versa if the two sources are in direct hydraulic continuity and if the change can be made without detriment or injury to existing water rights or the public interest.

(4) The perfected portions of a permit may be transferred or changed. For a certificate, only the amount of water that has been beneficially used in accordance with the laws of the state may be transferred or changed. Any excess quantities shall be relinquished as provided by chapter 90.14 RCW. When a water right is transferred or changed, the amount diverted or withdrawn for beneficial use may not be enlarged as to annual quantity.

(5) A water right claim filed in accordance with chapter 90.14 RCW may be transferred or changed in the same manner authorized under this section for a certificated water right. For a claim, only the amount of water that has been beneficially used in accordance with state law may be transferred or changed. In evaluating a transfer or change request on a claim, the department shall determine the probable existence and legal extent of the right claimed. If the applicant does not accept the department's determination as to quantity or other limiting parameters of the right, the department may refuse to authorize the change or transfer. The department's determination is not binding on any adjudication proceeding under this chapter, but may be entered as prima facie evidence in such a proceeding.

(6) A riparian stockwater use in which stock drink directly from the watercourse may be changed at the request of the applicant to a diversionary appropriation to facilitate efforts to protect and restore stream banks and riparian vegetation. Because of the overriding public interest in stream bank and riparian zone protection and restoration, the fees normally required for amendment of a water right are waived for such changes.

(7) Before any transfer or change of ((~~such~~)) a water right ((~~to use water or change of the point of diversion of water or change of purpose of use~~)) or permit can be made, any person having an interest in the transfer or change((,)) shall file a written application ((~~therefor~~)) with the department((~~, and said application~~)) on a form provided by the department.

(8) A person proposing to replace a point of diversion of surface water shall not be required to file an application if the diversion point is moved no more than one-quarter mile from its original location and no other water rights will be impaired. At least fifteen days prior to construction of a replacement diversion point, the water right holder shall inform the department in writing of the intention to move the diversion point. If the department determines that the change may impair an existing water right or the public interest, the department has fifteen days from the date it receives notice of the intention of the water right holder to replace a point of diversion under this subsection to order that the transfer shall occur only upon the department's approval of an application to change the point of diversion.

(9) Authorization for the requested transfer or change shall not be granted until notice of ((~~said~~)) the application ((~~shall be~~)) has been published as provided in RCW 90.03.280.

(10) If it ((~~shall~~)) appears that ((~~such~~)) the transfer or ((~~such~~)) change may be made without injury or detriment to existing rights, the natural environment, or the public interest, the department shall issue to the applicant an authorization to proceed with the transfer or change. The department may include in its authorization any necessary conditions or limitations under which the transfer or change may be made, including a reasonable time for completion. The time may be extended upon request and a showing of good cause in accordance with RCW 90.03.320 and 90.03.470. If the person authorized to make a transfer or change of right fails to do so within the time allowed, including extensions granted for good cause, the department shall cancel the authorization and the water right or permit shall revert to its original form and substance.

(11) If the department determines that the proposed transfer or change may periodically operate to impair an existing right, the department's authorization may be made contingent on the proponent's willingness to subordinate the use to the potentially impaired right or rights and the authorization shall be so conditioned.

(12) The person authorized to make the transfer or change shall notify the department upon completion of the transfer or change. After verifying that the transfer or change has been completed in accordance with its authorization, the department shall issue to those persons having an interest in the resulting water right or rights a certificate, certificate of change, or superseding certificate as appropriate in duplicate ((~~granting~~)) that reflects the nature of the water right ((~~for such transfer or for such change of point of diversion or of use~~)) or rights as transferred or changed. The certificate or certificates so issued shall be filed and be made a record with the department and the duplicate certificate issued to the applicant ((~~may~~)) shall be filed with the county auditor in like manner and with the same effect as provided in the original certificate or permit to divert water.

If an application for change proposes to transfer water rights from one irrigation district to another, the department shall, before publication of notice, receive concurrence from each of the irrigation districts that such transfer or change will not adversely affect the ability to deliver water to other landowners or impair the financial integrity of either of the districts.

A change in place of use by an individual water user or users of water provided by an irrigation district need only receive approval for the change from the board of directors of the district if the use of water continues within the irrigation district.

This section shall not apply to trust water rights acquired by the state through the funding of water conservation projects under chapter 90.38 RCW or RCW 90.42.010 through 90.42.070.

Sec. 87. RCW 90.03.390 and 1991 c 350 s 3 are each amended to read as follows:

((~~RCW 90.03.380 shall not be construed to prevent~~)) (1) A water ((~~users from making~~)) right holder may make a seasonal or temporary change of ((~~point of diversion or place of use of water when such~~)) a water right if the change can be made without detriment to existing rights, but in no case shall such change be made without the permission of ((~~the water master of the district in which such proposed change is located, or of~~)) the department. ((Nor shall RCW 90.03.380 be construed to prevent construction of emergency interties between public water systems to permit exchange of water during short-term emergency situations, or rotation in the use of water for bringing))

(2) To bring about a more economical use of the available supply, ((provided however, that the department of health in consultation with the department of ecology shall adopt rules or develop written guidelines setting forth standards for determining when a short-term emergency exists and the circumstances in which emergency interties are permitted. The rules or guidelines shall be consistent with the procedures established in RCW 43.83B.400 through 43.83B.420.)) water users owning lands to which water rights are attached may rotate in the use of water to which they are collectively entitled, or an individual water user having lands to which are attached water rights of a different priority, may in like manner rotate in use when ((~~such~~)) rotation can be made without detriment to other existing water rights, and has the approval of the ((~~water master or~~)) department.

(3) A person or persons wishing to make a seasonal or temporary change or to rotate use in the manner provided in this section shall file an application with the department on a form provided by the department. The department shall waive the notice provisions of RCW 90.03.280 unless it has reason to believe that the water rights of other persons are likely to be affected by the proposed change. The department shall respond to the request in writing setting forth its approval or denial, including the reason for denial. The department shall retain a record of its decision as part of the records of the water right or rights being changed. To the extent practicable, the department shall expedite its consideration of requests under this section.

Sec. 88. RCW 90.44.100 and 1987 c 109 s 113 are each amended to read as follows:

((After an application to, and upon the issuance by the department of an amendment to the appropriate permit or certificate of ground water right, the holder of a valid right to withdraw public ground waters may, without losing his priority of right, construct wells or other means of withdrawal at a new location in substitution for or in addition to those at the original location, or he may change the manner or the place of use of the water: PROVIDED, HOWEVER, That such amendment shall be issued only after publication of notice of the application and findings as prescribed in the case of an original application. Such amendment shall be issued by the department only on the conditions that:)) (1) ((~~The~~)) A ground water permit or certificate may be transferred or changed in the manner provided in RCW 90.03.380 if:

(a) Any additional or substitute well or wells shall tap the same body of public ground water as the original well or wells;

((~~(2)~~)) (b) Use of the original well or wells shall be discontinued upon construction of the substitute well or wells;

((~~(3)~~)) (c) The construction of an additional well or wells shall not enlarge the right conveyed by the original permit or certificate; and

((~~(4)~~)) (d) Other existing rights shall not be impaired.

(2) The department may specify an approved manner of construction and shall require a showing of compliance with the terms of the amendment, as provided in RCW 90.44.080 in the case of an original permit.

(3) No authorization from the department is required for construction of a substitute well of the same size, depth, and capacity that will tap the same aquifer as the original well if the new well is within one-quarter mile of the original well and if the well being replaced is properly decommissioned in accordance with chapter 18.104 RCW. At least fifteen days before the construction of a substitute well, the well owner shall notify the department in writing of the intent to replace the original well and to describe the change in location. If the department determines that the change may impair an existing water right or the public interest, the department has fifteen days from the date it receives notice of the intention of the water right holder to replace a well under this subsection to order that the change shall occur only upon the department's approval of an application to change the point of withdrawal.

Sec. 89. RCW 90.14.190 and 1987 c 109 s 14 are each amended to read as follows:

Any person feeling aggrieved by any decision of the department of ecology may have the same reviewed pursuant to RCW 43.21B.310. In any such review, the findings of fact as set forth in the report of the department of ecology shall be prima facie evidence of the fact of any waiver or relinquishment of a water right or portion thereof. If the hearings board affirms the decision of the department, a party seeks review in superior court of that hearings board decision pursuant to chapter 34.05 RCW, and the court determines that the party was injured by an arbitrary((,)) or capricious((~~, or erroneous~~)) order of the department, the court may award reasonable attorneys' fees.

NEW SECTION. Sec. 90. Upon transfer of the ownership of a water right, the new owner shall inform the department of the transfer in writing. The department shall update its records regarding current ownership of the water right and shall acknowledge the ownership transfer in writing to the new owner.

NEW SECTION. Sec. 91. Sections 2 through 13, 15 through 19, 25 through 27, 29, 31, 41, 42, 44, 82, 83, and 90 of this act are each added to chapter 90.03 RCW.

NEW SECTION. Sec. 92. The following acts or parts of acts are each repealed:

(1) RCW 90.03.110 and 1987 c 109 s 72 & 1917 c 117 s 14;

(2) RCW 90.03.120 and 1987 c 109 s 73, 1977 ex.s. c 357 s 1, & 1917 c 117 s 15;

(3) RCW 90.03.140 and 1987 c 109 s 75, 1929 c 122 s 2, & 1917 c 117 s 17;

(4) RCW 90.03.160 and 1989 c 80 s 1, 1987 c 109 s 76, & 1917 c 117 s 19;

(5) RCW 90.03.190 and 1987 c 109 s 78 & 1917 c 117 s 22;

(6) RCW 90.03.200 and 1988 c 202 s 91, 1987 c 109 s 79, 1971 c 81 s 176, & 1917 c 117 s 23;

(7) RCW 90.03.243 and 1982 c 15 s 1;

(8) RCW 90.38.005 and 1989 c 429 s 1;

(9) RCW 90.38.010 and 1989 c 429 s 2;

(10) RCW 90.38.020 and 1989 c 429 s 3;

(11) RCW 90.38.030 and 1989 c 429 s 4;

(12) RCW 90.38.040 and 1989 c 429 s 5;

(13) RCW 90.38.050 and 1989 c 429 s 6;

(14) RCW 90.38.900 and 1989 c 429 s 7;

(15) RCW 90.38.901 and 1989 c 429 s 8; and

(16) RCW 90.38.902 and 1989 c 429 s 9.