AN ACT RELATING TO WATER; ALLOWING TE CREATION OF SECIAL WATER USERS' ASSOCIATIONS; AUTORIZING LEASING OF ALLOTMENTS OF WATER FROM IRRIGATION DISTRICTS ORGANIZED URSUANT TO CATER 7, ARTICLE 1 NMSA 1978; ALTERING ROCEDURES FOR CANGES OF LACE AND UROSE OF USE OF LEASED WATER; AMENDING, REEALING AND ENACTING SECTIONS 1 OF TE NMSA 1978. E IT ENACTED Y TE LEGISLATURE OF TE STATE OF NEW MEXICO: Sction 1. Sction 72-1-9 NMSA 1978 (bin Lws 1985, Chptr 198, Sction 1, s mndd) is mndd to rd: "72-1-9. MUNICIAL, COUNTY, MEMER-OWNED COMMUNITY WATER SYSTEMS AND STATE UNIVERSITY WATER DEVELOMENT LANS-- RESERVATION OF MUNICIAL, COUNTY AND STATE UNIVERSITY WATER SULIES.-- A. It is rconizd by th stt tht it promots th public wlfr nd th consrvtion of wtr within th stt for municiplitis, countis, stt univrsitis, mmbr-ownd community wtr systms, spcil wtr usrs' ssocitions nd public utilitis supplyin wtr to municiplitis or countis to pln for th rsonbl dvlopmnt nd us of wtr rsourcs. Th stt furthr rconizs th stt ninr's dministrtiv policy of not llowin municiplitis, mmbr-ownd community wtr systms, countis nd stt univrsitis to cquir nd hold unusd wtr rihts in n mount rtr thn thir rsonbl nds within forty yrs.. Municiplitis, countis, stt univrsitis, mmbr-ownd
community wtr systms, spcil wtr usrs' ssocitions nd public utilitis supplyin wtr to municiplitis or countis shll b llowd wtr us plnnin priod not to xcd forty yrs, nd wtr rihts for municiplitis, countis, stt univrsitis, mmbr-ownd community wtr systms, spcil wtr usrs' ssocitions nd public utilitis supplyin wtr to such municiplitis or countis shll b bsd upon wtr dvlopmnt pln th implmnttion of which shll not xcd 2 forty-yr priod from th dt of th ppliction for n pproprition or chn of plc or purpos of us pursunt to wtr dvlopmnt pln or for prsrvtion of municipl, county, mmbr-ownd community wtr systm or stt univrsity wtr supply for rsonbly projctd dditionl nds within forty yrs." Sction 2. Sction 72-6- NMSA 1978 (bin Lws 1967, Chptr 1, Sction, s mndd) is mndd to rd: "72-6-. OWNER MAY LEASE USE OF WATER.-- A. An ownr my ls to ny prson ll or ny prt of th wtr us du him undr his wtr riht, nd th ownr's wtr riht shll not b ffctd by th ls of th us. Th us to which th ownr is ntitld undr his riht shll, durin th xrcis of th ls, b rducd by th mount of wtr so lsd. Upon trmintion of th ls, th wtr us nd loction of us subjct to th ls shll rvrt to th ownr's oriinl us nd loction of us.. Th ls my b ffctiv for immdit us of wtr or my b ffctiv for futur us of th wtr covrd by th ls; howvr, th ls shll not b ffctiv to cumult wtr from yr to yr or to substntilly nlr th us of th wtr in such mnnr tht it would injur othr wtr usrs. Th ls shll not toll ny forfitur of wtr rihts for nonus, nd th ownr shll not, by rson of th
ls, scp th forfitur for nonus prscribd by lw; providd, howvr, tht th stt ninr shll notify both th ownr nd th lss of dclrtion of nonusr s providd in Sctions 72-5-28 nd 72-12-8 NMSA 1978. Th initil or ny rnwl trm of ls of wtr us shll not xcd tn yrs, xcpt s providd in Subsction C of this sction. C. A wtr us my b lsd for forty yrs by municiplitis, countis, stt univrsitis, spcil wtr usrs' ssocitions, public utilitis supplyin wtr to municiplitis or countis nd mmbr-ownd community wtr systms s lss nd shll b ntitld to th protction of th forty-yr wtr us plnnin priod s providd in Sction 72-1-9 NMSA 1978. A wtr us drivin from n cqui or community ditch ornizd pursunt to Chptr 7, Articl 2 or NMSA 1978, whthr ownd by wtr riht ownr undr th cqui or community ditch or by th cqui or community ditch my b lsd for trm not to xcd tn yrs." Sction. Sction 72-6-5 NMSA 1978 (bin Lws 1967, Chptr 1, Sction 5, s mndd) is mndd to rd: "72-6-5. AROVAL.-- A. Th stt ninr shll pprov th ppliction if th pplicnt hs rsonbly shown tht his proposd us nd loction of us is bnficil us nd: (1) will not impir ny xistin riht to rtr dr thn such riht is, or would b, impird by th continud us nd loction of us by th ownr; nd (2) will not b contrry to th consrvtion of wtr within th stt or dtrimntl to th public wlfr of th stt.. In th cs of nnul llotmnts of projct wtr lsd to spcil
wtr usrs' ssocition from n irrition district ornizd pursunt to Chptr 7, Articl 1 NMSA 1978, if th stt ninr dtrmins tht th proposd chns in plc nd purpos of us nd point of divrsion comply with th ruls stblishd pursunt to Subsction G of Sction 7-1-8 NMSA 1978, th bord of dirctors of th irrition district my pprov th ppliction in ccordnc with th provisions of Sction 7-1-8 NMSA 1978." Sction. Sction 72-6-6 NMSA 1978 (bin Lws 1967, Chptr 1, Sction 6) is mndd to rd: "72-6-6. ALICATION--NOTICE--ROTEST--EARING.-- A. Upon th filin of n ppliction by lss, th stt ninr shll cus notic of th filin to b publishd onc wk for thr conscutiv wks in nwsppr of nrl circultion in th county in which th wtr riht is situtd.. Any ownr who blivs his wtr rihts will b dvrsly ffctd by th rntin of th ppliction my fil protst. Th protst shll b spcific s to how th rntin of th ppliction will dvrsly ffct his wtr rihts. Th protst shll b fild in writin with th stt ninr nd copy snt to th pplicnt by crtifid mil within tn dys ftr th lst publiction of notic of ppliction. C. If protst is fild, th stt ninr shll hold hrin on th rntin of th ppliction, nd th pplicnt nd protstnts shll b notifid by th stt ninr s to th dt nd plc of th hrin. D. If no objctions r fild, th stt ninr my rnt th ppliction without hrin. If no objctions r fild nd th stt ninr dnis th ppliction, th stt ninr shll hold hrin if rqustd to do so by th
pplicnt. Th rqust shll b fild with th stt ninr within tn dys ftr th dnil of th ppliction. E. If th stt ninr rnts th ppliction but llows th pplicnt to us lss wtr thn th mount of wtr th ownr would b llowd to us, th stt ninr shll hold hrin on th mttr if rqustd to do so by th pplicnt. Th rqust shll b fild with th stt ninr within tn dys ftr th 5 rntin of th ppliction. F. In hrin bfor th stt ninr, full rcord nd trnscript of th procdin shll b kpt by him. G. Th provisions of this sction do not pply to lss pprovd pursunt to Sction 7-1-8 NMSA 1978." Sction 5. Sction 7-1-8 NMSA 1978 (bin Lws 2, Chptr 7, Sction 1) is rpld nd nw Sction 7-1-8 NMSA 1978 is nctd to rd: "7-1-8. SECIAL WATER USERS' ASSOCIATIONS--LEASE OF ALLOTMENTS OF IRRIGATION DISTRICT WATER--CANGE OF LACE AND UROSE OF USE OF LEASED WATER RIGTS--CANGE OF OINT OF DIVERSION OF WATER RIGTS--AROVAL ROCESS.-- A. As usd in this sction: (1) "nnul llotmnt of projct wtr" mns tht portion of th pro rt shr of wtr, dtrmind by th irrition district to b vilbl to ssssd cr within th district ch yr, for which n djudiction subfil ordr hs bn ntrd or n offr of judmnt hs bn irrvocbly ccptd by th lndownr nd th stt; (2) "irrition district" mns n irrition district ornizd
pursunt to Chptr 7, Articl 1 NMSA 1978; nd () "public utility" mns utility tht supplis wtr to municiplitis or countis.. A municiplity, county, stt univrsity, mmbr-ownd community wtr systm or public utility within Nw Mxico my stblish "spcil wtr usrs' ssocition" to ls th us of wtr from lndownrs in n irrition district if: 6 (1) th municiplity, county, stt univrsity, mmbr-ownd community wtr systm or public utility supplis or proposs to supply wtr for municipl nd industril uss, t lst portion of which is supplid to prsons within th boundris of n irrition district; nd (2) th irrition district nd th stt ninr pprov of th stblishmnt of th ssocition. C. Th intrstt strm commission my stblish spcil wtr usrs' ssocition with th pprovl of th irrition district. D. A spcil wtr usrs' ssocition my ls th us of th nnul llotmnt of projct wtr dirctly from mmbr of th irrition district or throuh th irrition district. Th ssocition shll ppr s rcord ownr of lnds from which wtr is lsd durin th trm of th ls on th irrition district's ssssmnt rolls for th purpos of irrition district nnul ssssmnts, lvis, tolls, chrs nd othr fs for nnul llotmnts of projct wtr lsd by th ssocition, which shll b pid by th ssocition to th irrition district durin th trm of th ls. E. Th irrition district my: (1) consolidt ssssmnts of district mmbrs lsin to spcil wtr usrs' ssocition nd ssss th ssocition for th totl ssssd
cr of thos district mmbrs; (2) coordint th dlivry of lsd nnul llotmnts of projct wtr to th ssocition; () mk ssssmnts nd lvis on lnds with ppurtnnt wtr rihts within th ssocition; () chr rsonbl dministrtiv fs to th ssocition; 7 nd (5) dopt ruls to crry out th provisions of this sction. F. An irrition district my pprov ls of n nnul llotmnt of projct wtr by spcil wtr usrs' ssocition for: (1) chn in th plc of us or point of divrsion of th lsd wtr within or without th boundris of th district; or (2) chn in th purpos of us of th lsd wtr within or without th boundris of th district for: () wtr trtmnt plnt to supply wtr for municipl nd industril uss; or (b) th purpos of mtin intrstt compct dlivry rquirmnts of projct wtr to Txs. G. Th stt ninr shll dopt ruls stblishin critri ovrnin chns in plc or purpos of us or point of divrsion of nnul llotmnts of projct wtr for dtrminin th rs of us nd purposs of us of wtr lsd by spcil wtr usrs' ssocition. Th ruls shll nsur tht th proposd chns will b bnficil us, will not rsult in n incrs in nt dpltions of wtr, will not impir xistin wtr rihts, r not contrry to th consrvtion of wtr within th
stt nd r not dtrimntl to th public wlfr of th stt.. Th spcil wtr usrs' ssocition shll submit to th stt ninr on form prscribd by th stt ninr ll informtion rquird to dtrmin whthr th ssocition nd its proposd chns in plc nd purpos of us nd point of divrsion of wtr r in complinc with th stt ninr's ruls. If th stt ninr dtrmins tht th proposd chns r in conformity with th 8 ruls, th ssocition shll b notifid nd th stt ninr shll publish, in nwsppr of nrl circultion in th county in which th chns r loctd t lst onc wk for thr conscutiv wks, th ppliction nd notic tht th proposd chns in plc nd purpos of us nd point of divrsion conform to th stt ninr's ruls. Objctions by prson ownin wtr rihts within th district's boundris nd whos wtr rihts my b impird by th stt ninr's dcision my b fild with th stt ninr nd srvd by crtifid mil within tn dys ftr th lst publiction of th notic. Th stt ninr shll issu dcision in nswr to n objction within thirty dys of th filin of th objction. Th protstnt my ppl tht dcision dirctly to th district court within thirty dys of notic by crtifid mil of th stt ninr's dcision. Appls to th district court shll b limitd to rviw of whthr th stt ninr's dcision ws md in ccordnc with th ruls, nd jury tril shll not b llowd. Onc th stt ninr's pprovl of th ppliction is finl, th irrition district my thn pprov th chns uthorizd in Subsction F of this sction pursunt to th irrition district pprovl procss dscribd in Subsction I of this sction. I. Th bord of dirctors of th irrition district shll publish notic t lst onc wk for thr conscutiv wks, in nwsppr of nrl circultion
publishd within th county whr th offic of th irrition district is loctd, of th bord's intntion to considr rsolution to llow th ls of th us of nnul llotmnts of projct wtr. Th notic shll indict th ownrs nd loction of lnds from which nnul llotmnts of projct wtr will b lsd nd ny chn in point of divrsion, plc or purpos of us of tht wtr nd th priod of th ls. Th bord my pprov th ls if it finds it to b in th bst intrst of th district. 9 Mmbrs of th district whos wtr rihts my b ffctd by th ls my protst t th mtin t which th rsolution is bin considrd. Th bord shll tk forml ction upon th rsolution nd shll iv notic to ll protstnts of th bord's dcision. A protstnt my ppl to th district court from ny ction tkn by th bord upon th rsolution. An ppl shll b fild with th court nd notic srvd on th prtis within tn dys of rcipt of notic of th bord's doption or rjction of th rsolution. Th ppl shll b on th rcord of th hrin bfor th irrition district bord nd riht of tril by jury shll not b llowd." Sction 6. A nw sction of Chptr 7, Articl 1 NMSA 1978 is nctd to rd: "SECIAL WATER USERS' ASSOCIATION--CERTIFICATE OF ORGANIZATION.--Th ornizrs of spcil wtr usrs' ssocition shll xcut nd fil with th stt ninr crtifict sttin forth: A. th nm of th ssocition; providd tht nm shll not b ssumd tht is in us by nothr ssocition or corportion in this stt, or tht is so nrly similr s to ld to uncrtinty or confusion;. th nms of th ntitis formin th ssocition; C. th loction of th ssocition's principl offic in this stt, th
nm nd ddrss of its ristrd nt, th county or countis in which it will oprt nd nrl dscription of th rs it will srv; D. th purposs of th ssocition nd th purposs of th us of wtr lsd by th ssocition; E. th pln for providin funds or mns for th cquisition, construction, improvmnt nd mintnnc of its works nd for its ncssry xpnss; 1 F. th priod of durtion of th ssocition; G. th numbr of nd mnnr of slctin th bord of dirctors, trusts or ovrnin bord of th ssocition, nd th nm of th prsons who shll srv s such until thir succssors r slctd;. th nm of th irrition district from which th ssocition will b lsin th us of wtr; nd I. ny provision, not inconsistnt with th lws of this stt, tht th ornizrs my choos to insrt for th rultion nd conduct of th businss nd ffirs of th ssocition, for nlrin or chnin th scop of its oprtions, for collctin th ncssry funds for xpnss nd purposs of th ssocition, for dfinin or limitin its powrs nd for its dissolution nd th distribution or othr disposition of its proprty." Sction 7. A nw sction of Chptr 7, Articl 1 NMSA 1978 is nctd to rd: "SECIAL WATER USERS' ASSOCIATION--ORGANIZATIONAL STATUS-- OFFICERS.-- A. Upon th filin of th crtifict of orniztion, by duly doptd
rsolution, with th stt ninr nd copy with th county clrk of th county or city, s pproprit, whr th spcil wtr usrs' ssocition is formd, th ntitis so ssocitin shll constitut body corport by th nm st forth in th crtifict nd by tht nm my su nd b sud nd shll hv th cpcity to mk contrcts; cquir, hold, njoy, dispos of nd convy proprty rl nd prsonl; nd do ny othr ct or thin ncssry or propr for crryin out th purposs of th ssocition. 1 1. An ssocition my hv officrs or nts chosn or ppointd in mnnr nd for trms s my b providd by th bylws. Vcncis occurrin mon officrs or mon th bord of dirctors, trusts or ovrnin bord shll b filld s providd by th bylws or, in th bsnc of such provision, by th dirctors, trusts or ovrnin bord." Sction 8. SEVERAILITY.--If ny prt or ppliction of provision of this ct is hld invlid, th rmindr or its ppliction to othr situtions or prsons shll not b ffctd. Sction 9. TEMORARY ROVISION.--A ls of projct wtr by municipl wtr usrs' ssocition xistin on th ffctiv dt of this ct my b trnsfrrd to spcil wtr usrs' ssocition if th ls is in ccordnc with, or is mndd to ccord with, th provisions of this ct. Sction 1. EFFECTIVE DATE.--Th ffctiv dt of th provisions of this ct is July 1, 2. 11