BP BHEAD INT S [atlas:bill]

AN ACT Relating to public water systems; amending RCW 90.03.320 and 90.03.330; adding a new section to chapter 90.03 RCW; and creating a new section.

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

NEW SECTION. Sec. 1. The legislature finds that it is in the public interest for water rights held by public water systems to be managed and regulated in a manner that:

(1) Allows such systems to prolong and maximize the use of water rights applied to municipal purposes consistent with the population demand projections established in state-approved water system plans and adopted growth management plans; and

(2) Promotes water conservation, with enhanced efforts occurring in water critical areas, promotes water system efficiencies, and eliminates disincentives for investments in water efficient technologies.

The department of ecology is therefore directed to administer water rights laws consistent with the provisions of sections 2 through 4 of this act.

NEW SECTION. Sec. 2. A new section is added to chapter 90.03 RCW to read as follows:

For the purposes of this chapter "municipal purpose" and "municipal water supply purposes" mean water distributed by a public water system purveyor as defined by chapter 70.116 RCW, and includes domestic, commercial, and industrial water uses provided as an integral element of the public water system. This definition does not include commercial, industrial, irrigation, or other water systems that are not designated as a public water system for potable water use recognized by a state-approved public water system plan or withdrawals of public ground waters excepted under RCW 90.44.050.

Sec. 3. RCW 90.03.320 and 1987 c 109 s 67 are each amended to read as follows:

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. In fixing public water system construction schedules and the time, or extension of time, for application of water to beneficial use for municipal use, the department shall also take into consideration the term and amount of financing required to complete the project, delays that may result from planned and existing conservation and water use efficiency measures installed by the public water system, and the supply needs of the public water system's service area, consistent with an approved comprehensive plan under chapter 36.70A RCW, or in the absence of such a plan, a county-approved comprehensive plan under chapter 36.70 RCW or a plan approved under chapter 35.63 RCW, and related demand projections prepared by public water systems in accordance with state law. If the terms of the permit or extension thereof, are not complied with the department shall give notice by registered mail that such permit will be canceled unless the holders thereof shall show cause within sixty days why the same should not be so canceled. If cause be not shown, said permit shall be canceled.

Sec. 4. 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 appropriation has been perfected in accordance with the provisions of this chapter, it shall be the duty of the department to issue to the applicant a certificate stating such facts in a form to be prescribed by ((~~him~~)) the director, and such certificate shall thereupon be recorded with the department.

(2) For those public water supplies designed to accommodate future growth as defined by a state-approved water system plan, the amount of instantaneous diversion considered to be applied to beneficial use at the time of perfection of the certificate shall be based upon the capacity of the diversion structure or structures installed at such time. Further, the amount of annual appropriation considered to be applied to beneficial use at the time of perfection shall be based on the growth projection contained in the most current state-approved water system plan, provided, the department may not issue a certificate for quantities of water in excess of those contained in a permit if a permit has been issued. This subsection shall apply to the administration of water rights existing on the effective date of this section and prospectively issued water rights, but shall not apply to water rights subject to the terms of final adjudication decrees entered in accordance with this chapter.

(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, and thereafter be transmitted to the owner thereof.