SB 178: Provide for temporary lease of water rights - Montana

SB0178_X(4).pdf → SB0178_X(5).pdf · 7 edits

MODERATE

The bill modifies Montana's temporary water lease rules to simplify lease duration limits, clarify volume restrictions, and strengthen protections for existing water rights holders. Key changes include removing a 10-year lease cycle cap, adjusting the maximum annual lease period, and adding new requirements for department review timelines and adverse effect mitigation.

Scope change

The bill's scope remains focused on temporary water appropriation leases, but eligibility criteria and procedural requirements have been tightened to better protect existing water rights.

REQUIREMENT

Changed lease duration limits from '5 years one time during any consecutive 10-year period' to '5 years during any consecutive 10-year period', removing the one-time restriction.

Removed the 20-day annual lease limit, changing it to a maximum of 40 days per year.

Changed volume limits from a fixed 2,000 acre-feet to the appropriator's original water appropriation right limit.

Reorganized department review process into structured steps for application completeness, requirement evaluation, and approval/denial decisions.

TIMELINE

Added requirement for department to notify potentially affected appropriators within 10 days of application receipt.

ENFORCEMENT

Added new provision allowing department to revoke or modify approval if other water rights are adversely affected.

Added misdemeanor penalty with up to $500 fine for malicious frivolous objections to temporary leases.

SB0178_X(2).pdf → SB0178_X(3).pdf · 3 edits

MINOR

This bill removes redundant language from the title and adds a new requirement for lessees to provide a description of how existing beneficial use will cease when a water right is leased. The changes streamline the bill's title while clarifying reporting obligations for water right lessees.

Scope change

The bill's scope remains focused on temporary water right leases, but the reporting requirements for lessees have been expanded to include descriptions of how existing beneficial use will be affected.

TECHNICAL

Removed redundant 'AND' from the bill title for grammatical correctness.

Adjusted formatting and removed blank lines in the document structure.

REQUIREMENT

Added requirement for lessees to provide a description of how existing beneficial use of the water right will cease when the lease is executed.

SB0178_3(5).pdf → SB0178_X.pdf · 8 edits

MODERATE

This bill amends Montana's water rights law to create a streamlined process for temporarily leasing water rights, removing several regulatory hurdles while adding new protections for neighboring water users. The changes clarify eligibility requirements, establish measurement and reporting obligations, and introduce a formal objection process to protect against adverse impacts on other appropriators.

Scope change

The bill expands the scope by creating a new temporary lease mechanism for water rights that previously did not have this specific process, while adding protections for nearby water users through an objection and hearing system.

REQUIREMENT

Removed exemptions from standard water right application procedures (85-2-402, 85-2-407, 85-2-408, 85-2-410, 85-2-436) for temporary lease applications.

Added requirement that leased water must be measured at the point of diversion by a department-approved meter with annual reporting.

New application requirements include lessee names, owner names, water source, lease dates, flow rates, and evidence of recent water use.

Added prohibition on transporting leased water outside Montana, with out-of-state uses subject to standard water right procedures.

New provision allowing temporary storage at the point of diversion if water is diverted at the original location and put to beneficial use.

ELIGIBILITY

Clarified that leased water must be used only during the original period of diversion for the water right and cannot exceed 20-40 days per year.

ENFORCEMENT

Establishes a 30-day objection period for potentially affected appropriators and a hearing process if objections are deemed valid.

TIMELINE

Department must provide written notice to potentially affected appropriators within 10 days of application receipt.

SB0178_2(15).pdf → SB0178_3.pdf · 8 edits

MODERATE

This bill revises Montana's temporary water lease laws to clarify application requirements, add objection procedures for affected water right holders, and adjust lease duration limits. The changes aim to improve transparency and protect existing water rights while maintaining flexibility for temporary water needs.

Scope change

The bill extends rulemaking authority and amends existing sections related to water rights definitions and lease provisions, with no change to the overall scope of the legislation.

REQUIREMENT

Changed lease duration limit from 20 days to 40 days per year for temporary water leases.

Added requirement for lessees to provide executed lease agreements to the department before water use begins.

Added new objection process allowing affected water right holders to formally object to proposed leases within 30 days of application.

Added requirement for departments to notify potentially affected water right holders within 10 days of receiving lease applications.

Added requirement for applications to include description of how existing beneficial use would cease during lease period.

Added requirement for applications to include number and location of acres to be removed from irrigation if applicable.

TIMELINE

Changed department approval timeline from 30 days to 10 days for complete applications.

DEFINITION

Revised definitions section to clarify instream flow and temporary lease provisions.

SB0178_2(5).pdf → SB0178_2(6).pdf · 3 edits

MINOR

The bill underwent minor formatting and text cleanup changes, removing extra spaces and consolidating line breaks in several sections. These changes improve readability and consistency without altering the substantive policy or legal requirements of the bill.

TECHNICAL

Removed extra spaces between section numbers (e.g., changed '(11) (12)' to '(11)(12)' and '(12) (13)' to '(12)(13)' for cleaner formatting).

Adjusted line breaks in Section 7 to improve text flow, moving the reference to 'in 5-5-231' to a new line for better readability.

Consolidated line breaks in Section 8 by removing unnecessary spacing between 'leased' and 'and' for cleaner formatting.

SB0178_1(45).pdf → SB0178_2.pdf · 6 edits

MODERATE

This bill amends Montana's water rights law to create a new temporary lease process for appropriators, allowing them to lease water rights for up to 40 days per year with specific volume limits. The changes add new definitions, modify application requirements, and establish notification procedures for affected water right holders.

Scope change

The bill expands the scope by adding a new temporary lease mechanism for appropriation rights that previously did not exist, while maintaining existing lease provisions for other water rights.

REQUIREMENT

New temporary lease section added with specific limits: maximum 40 days per year, 2,000 acre-feet annually, and 2 acre-feet per acre irrigated

New requirement that leased water must be put to beneficial use as defined in existing law

Application requirements expanded to include statement demonstrating no adverse effects and copy of executed lease agreement

ENFORCEMENT

Department must provide written notice by certified mail to known water right holders with diversions on the same source within 30 days of approval

DEFINITION

New definition added for temporary lease of appropriation right

TIMELINE

Department must terminate temporary lease if applicant violates terms of executed lease agreement

SB0178_1(38).pdf → SB0178_1(39).pdf · 1 edit

MINOR

The only change to Senate Bill 178 is a reordering of the sponsors' names from 'B. USHER, S. VINTON' to 'S. VINTON, B. USHER'. This is a purely administrative or technical change with no impact on the bill's content, policy, or legal effect.

TECHNICAL

The order of the bill's sponsors was changed from B. Usher and S. Vinton to S. Vinton and B. Usher.

SB0178_1(21).pdf → SB0178_1(22).pdf · 1 edit

MINOR

The bill added a co-sponsor to the legislation, expanding the legislative support for the measure. This change does not alter the substantive policy content of the bill but indicates broader political backing.

TECHNICAL

Added S. Vinton as a co-introducer alongside B. Usher, indicating expanded legislative sponsorship without changing bill content.

SB0178_1(18).pdf → SB0178_1(19).pdf · 1 edit

MINOR

The bill's sponsor was changed from S. Vinton to B. Usher. This is a procedural change that updates the legislative record to reflect who introduced the bill, but does not alter the bill's substantive policy, scope, or requirements.

TECHNICAL

The name of the bill's sponsor was updated from S. Vinton to B. Usher.

SB0178_1(15).pdf → SB0178_1(16).pdf · 1 edit

MINOR

The bill underwent minor formatting changes, specifically adjusting the formatting of the sponsor's name on the first page. No substantive policy changes were identified in the provided text.

TECHNICAL

Formatting adjustment to the sponsor's name line, removing a comma after the first sponsor's name.

SB0178_1(7).pdf → SB0178_1(8).pdf · 1 edit

MINOR

The bill adds a co-sponsor (B. Usher) to the list of sponsors, indicating expanded legislative support. This is a procedural change that does not alter the bill's substantive policy content.

TECHNICAL

Added co-sponsor B. Usher to the sponsor list, expanding the legislative backing for the bill.

SB0178_1(4).pdf → SB0178_1(5).pdf · 1 edit

MINOR

The sponsor of Senate Bill 178 changed from B. Usher to S. Vinton. This is a procedural update that does not alter the bill's substantive policy, scope, or requirements.

TECHNICAL

The bill's sponsor was changed from B. Usher to S. Vinton in the introductory section.

LC0431.pdf → SB0178_1.pdf · 3 edits

MINOR

The bill was renumbered from LC 0431 to SB 178.1 and updated to reflect Senate sponsorship by B. Usher. A new definition for 'beneficial use' was added, clarifying how stored water may be used after injection.

Scope change

The bill's scope remains focused on temporary water leases, but the addition of a 'beneficial use' definition clarifies how stored water can be utilized after injection.

TECHNICAL

Bill number changed from LC 0431 to SB 178.1, indicating a shift from a legislative committee bill to a Senate bill.

DEFINITION

Added a new definition for 'beneficial use' to clarify how stored water may be used after injection, either by pumping or natural drainage.

REQUIREMENT

Added a new section (5) specifying that beneficial use includes pumping from injection wells or allowing natural drainage for beneficial purposes.

Provide for temporary lease of water rights

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