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1. Water RightsCity of Kalispell Public works Department Past Office Box 1997, Kalispell, Montana 59903-1997 -Telephone (406)758-7720, Fax (406)758-783I REPORT TO: Mayor and City Council FROM.- James C. Hansz, P.E., Director of Public SUBJECT: Work Session — Water Rights Issues — MEETING DATE: July 16, 2007 Recently, Councilman Olson asked for a work session to discuss issues related to Water rights and the potential impacts to cities for their continued ability to serve new customers. Staff and Mr. Roger Noble representing .Applied Water Consulting Will be available to discuss this subject and answer questions from members of City Council. July 16, 2007 Work session Water Rights Discussion.doc I. Background Information A. The State of Montana owns all the water in the State, owners of water rights posses only the right to use some of that water B. water Rights in Montana are guided by the Doctrine of Prior Appropriation. That is first in time, is first in right. C. A. water Right is a Property Right; it runs with the land. If you own a piece of real estate, and it has a water right on it, when you sell that real estate, if you don't mention the rights in the conveyance, the water rights automatically transfer to the buyer of the real estate. D. Water rights are transferable; water rights can be changed to: 1) a new place of use totally unrelated to the original real estate; 2) any change in the purpose; and 3) any point of diversion. A change of water right must first be approved by the DNRC. H. Montana water Law Montana water Use Act became effective July 1, 1973 A. Established adjudication for water rights prior to July 1, 1973. B. Established a new permitting system for obtaining a water right for developments after July 1, 1973. C. An authorization system was established for changing water rights. D. A centralized record system was established. E. A system was provided to maintain instream flows. III, Status of water Rights in the Flathead Basin A. Compact Negotiations with Confederated Salish and Kootenai Tribes B. Adjudication. Program C. Avista Corporation -- Thompson River Lumber Company Final Order D. Surface Water -- Water Rights E. groundwater Water Rights PA153-05 Kalispell Water RightsMater Right Presantativn.doc Avista Water Rights Water Right No. Priority Date Flow Volume (acre-feet/year) 76LJ 125799 00 Febru 20, 1951 35,000 cfs IOpO,000 76LJ 211889 00 September 01, 1959 5400 cfs 3,909,421 76LJ 4189 00 November 19, 1974 15,000 cfs TOTAL 55,400 cfs 13,909,421 PA153-05 Kalispell Water RightMater Right Presentaticn.dcc - 2 - Yearly Average Discharge of Clark Fork at Plains, MT 351000 30,000 25,000 20,000 15,000 10,000 5)000 1900 1920 1940 1960 1980 2000 2020 Year PAUSGS Gage Station Data\plainsyearly TV. Summary of Kalispe1 's Water Rights A. Municipal Supply Sources B. 2002 Facility Plan Service Area C. 2007 Facility Plan Updated Service Area D. Other Water Rights Water Rights Summary for Municipal Supply Sources Water Right No. Source Name Pumping Rate (gpm)acre-feet/ Volume ear Priority Date 76LJ 45077 00 ArmqU Well 15650 356.00 May 12, 1964 76LJ 30008766 Armory Well 2,305.00 November 26, 2003 76LJ 10756 00 Buffalo Hill Production Well 2,000 3,200.00 December 13, 1976 76LJ 23590 00 Buffalo Hill Test Well 200 322.50 August 26, 1979 76LJ 45076 00 Depot Park Well 1,250 603.30 March 31, 1954 76LJ 3008765 Depot Park Well 11,413.00 November 26, 2003 76LJ 97205 00 Grandview Wells No. 1 & No.2 200 2,515.56 March 13,1996 76LJ 45075 00 Noffsin er Spring 6,200 1,729.00 December 31, 1913 Old School Station Wells 1,000 675.00 TOTAL 14,300 139119.36 PA153-05 Kalispell Water Rights\Water Right Presentation. doc - 4 - Water Rights Summary for Other Sources Water Right No. Source Name Pumping Rate m Volume acre-feet/ ear Priority Date Purpose 76LJ 104710 00 Ashle Creek 25244 3,620 August 26, 1885 Municipal 76LJ 148840 00 Stillwater River 11200 265 Au ust 31, 1940 Irrigation at Buffalo Hills Golf Course 76LJ 30008767 Stillwater River 1,700 281.75 November 26, 2003 76LJ 45074 00 Stillwater River 4,488 1,100 August 24, 1940 Municipal to augment Noffs' er Spring 76LJ 460100 Woodland Park 2,693 4,344 August 23, 1973 Municipal TOTAL 12,325 9,610.75 PAI 53-05 Kalispell Ulster RightsMater Right Presentation. doc - 6 - a p r _ � � W 'e5 I a - T► 1' u • " P9 ° e p e; t _ IN Mi h ...., . ,:_._..,. ,' re ' , e ^ , Y 2002 FACILITY :r I SERVICEAREA4�. 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J-y •�' � - e e .. e ', vL3 F y r _ OT In e e° @ .n - . d'� �a "ice Y � , .: � � - : ' �, �eti "��F` � n e ! . •^, 4 � y rl�.-� . ,u "Fps,` k • "ri'�e, .. {I , i u , u �' S . ,y ' ee'1:, J •�"'Y la L @ ". y ? r s F _ { v e i h p r r _ n u r r oe ss r .r_ --. .lerle �► -{ 1 .� :u,Fe Myl e - 'ra. �Y. ,••.:�_ .,., --,� .. -.•,-Tlri�' Y` e Y u _ ,T, e - - .,E-. •.r -:. . :.. J a x[x,s u� _ � as ar ��• , - -•`. 1 .# ..� .�E'. J • o• : • e e p �� xS'1"::.rlP q,ti. • d a - n. r ,r u' e 4 Yp'y .eu .•..,-_ .waec ... Le ' is LL e r p , y 1 e ti .S 4 . u . IN Ja tl, L Y°, E w ' id 9, @ h' � •�'ei;ex� � e • ,P , n e� �' � �� . .. _., L"d` .," Y.�. ,•, � . e. �<�_.�.� __ T y e* e ,. a '" S �• e to b 1" h Ilk- e 1 P�.', ".. t x 1 ,° n e NIL �.10 V. Water Rights and Annexation A. Silverbrook Subdivision. — Stillwater River B. Flathead Village Greens — Stillwater River C. Glacier Center Townsite -- Stillwater River D. West View Subdivision -- Stillwater River E. Valley Ranch -- Stillwater River F. Starling Subdivision — Groundwater G. Willow Creek -- Ashley Creek H. Two Rivers Master plan -- need further research 1. Riverdale Master Plan — need further research Willow Creep - Ashley Creek Water Right No. Priority Date Flaw Volume (acre-feeqear) 76LJ 30880 00 November Z 1, 1980 350 gpm 50 76LJ 103289 00 June 01, 1884 64 76LJ 39788 00 Au st 08, 1896 5.76 cfs 320 76LJ 103290 00 June 01, 1884 155 Sil erbrook -Stillwater River Water Right No. Priority Date Flow Volume acre-feet/ ear 76LJ 40583 00 May 21, 1937 5 cfs 312 76LJ 40584 00 November 16, 1949 6 cfs 356.7 Starling Subdivision - Groundwater Well [76LJ er Right No. Priority Bate Flow Volume (acre-feet�yea!) 1484 00 February 4, 1974 800 m 80 1525 00 February 8, 1074 1600 gpm 320 Note: 1 cfs = 450 gpm P:1153-05 Kalispell Water RightsMater Right PresentationAm - 7 - General Colloquialisms • Water runs uphill - toward money 0 whiskey is for drink.in' and water is for fi ghten' In general, the Flathead Valley is water -rich PAI53-05 Kalispell Water RightsMatef Right Presentatian.doc - 8 - DVORTANT FACTS ABOUT THE HISTORY OF WATER RIGHTS IN MONTANA The prior appropriation doctrine had a close relationship with the development of mining policies and law. The greatest impetus for the Doctrine came from the customs developed by miners during the California gold rush. The Ekstrt Lund Act of 1877 provided for the settlement of Western lands, and provided for the use of water by prior appropriation, reserving the unused water for future appropriations. The territoLry of Montana was established on. May.,26,1864, and the enabling act was approved on February 22, 1889. Montana's 1889 Constitution (Article III, Section 15) -states that "The use of all waters .. . and the rights of way over the lands of others, for all ditches ... shall be held a public use." Montana's 1972 Constitution goes on to (1) recognize existing rights; (2) provide that "the use of all waters . . . shall be held a public use", (3) provide that "all waters are the property of the state for the use of its people and are subject to appropriation for beneficial uses as provided by law", and (4) direct the legislature to provide for administration of centralized and local. records. The Montana Water Use Act 9U.1973 (Title 85, Chapter 2, Montana Codes Annotated) provided innovative changes to Montana water law: 1. All water rights existing prior to July 1, 1973 were to be made final through an adjudication process in state courts. 2. A permit system was established for obtaining water rights for new or additional water developments. 3. A centralized records system was established. Prior to 1973 water rights were recorded but not consistently, in county courthouses throughout the state. 4. A system was provided to reserve water for future beneficial uses or to maintain minimum streamflows. 5. Highly appropriated basins could be partially or totally closed to new appropriations of water through adoption of an administrative rule. Senate Bill 76, the Adjudication bill passed by the legislature in 1979, modified the statutes originally established by the Montana Use Act: 1. Montana was divided into four water divisions and a water court was created to preside over each for the purpose of adjudicating all existing water rights in a statewide proceeding. 2. The Deserved water Rights Compact Commission was created to negotiate compacts with federal agencies and Indian tribes that quantify their federal reserved water rights in Montana. 3. On June 6th, 1979, the Montana Supreme Court issued an Order requiring every person to claiming ownership of an existing water right to file a statement of claim for that right with DNRC no later than January 1, later extended to April 309 1982. Existing water rights not filed on would be presumed abandoned. Basic water Rights Definitions Handy Water Equivalents 1 cubic foot ....... 7.48 gallons. . . . . . . 62.4 lbs of water 1 acre-foot ...... 43,560 cubic feet ...... 325,900 gallons An acre-foot covers one acre of land one foot deep. 1 cubic foot per second (cfs) ....... 448.8 gallons per minute 1 cfs = 40 Mont. statutory miner's inches. 1 cfs .:........ . . . . . . . . . . . . . 646,272 gallons per day For 24 hours ..................... 1.983 acre-feet For30 days .. . . .. . . . . . . . . . . . . . . . . . . 59.5 awe -feet For1 year ....................... 724 acre-feet t million gallons . . . . . . . . . . . . . . .. . .. . . . 3. P acne -feet 1 million gallons per day (mgd) ...... 1,122 acre-feet per year 1,000 gallons perminute �m) . . . ■ . . . ■ . . . ■ ■ . . 2.23 c& 1,00o gpm . . . . + . , f * * r . r , * . ' a a .. 4.42 am -fee per &y An acre --foot supplies a family of 5 for 1 year. 40-nullion acre-feet flow out of Montana in an average year. Adjudication �- A hearing and settlement by judicial procedure; m the case of .water rights, the action of settling claims. Beneficial use - The use of water for the benefit of the appropriator, other persons, or the public, including but not limited to agricultural (including stock water), domestic, fish and wildlife, industrial, irrigation, 10n9, mumcipal, power, and recreational uses. A beneficial use also includes the use of water for leasing under special provisions of MCA 85-2-141. Clahca - A filing made on an existing (pre -July 1, 1973) water right, in accordance with Senate Bill 76 (the adjudication statute), and as ordered by the Montana Supreme Court. Decree - The judgement of a court; an official order or settlement. As related to Montana water law, a court adjudication of pre -July 1, 1973 existing water rights mO a particular river basin. itm_ limin a listing of state -based claims in a particular river basin Erelmiary decree --- a listing of state -based and reserved rights in a particular river basin. ELmaI d ry --- A finalized record and adjudication of all rights in a basin, allowing for sound administration of water rights. Dote: all decrees subject to hearings and objections before . water Rights - water rights that originated before July 1, 1973, the effective date of the Montana water Use Act. Flow Rate -- How fast water is taken from a source, or how fast it flows past a point (e.g., gallons per hour or minute, cubic feet per second, etc.) Groundwater -- Any water beneath the land surface or beneath the bed of a stream, lake, or reservoir, and which is not a part of the surface water. Hydrology - The.science of the behavior of water in the atmosphere, on the earth's surface, and underground. Provisional Permit - As issued by DNRC, the right to appropriate water for a post- 1973 beneficial use as indicated in a permit application. Prior Appropriation Doctrine - A court -decreed legal doctrine; A system of water rights management which recognizes the priority of water use. That is, an individual's right to a specific quantity of water depends on when the use began. The first person to use the water from a source established the first right, the second person could establish the next right, and so on. During dry years, the person with the first right has the first chance to use the available right. The holder of the second right (a junior right) would have the second chance, and so on. The traditional elements of a valid, appropriation are: INTENT to apply water to a beneficial use - An actual DIVERSION of water from the natural source - Application of the water to a BENMCLAL USE within a reasonable tinge Reserved water fight - A water right created under federal law by a federal reservation of land in an amount sufficient to meet the purposes of the reservation whether it be for Indian reservations or for other federal rmrvations of lands. The right is not lost by non-use and its priority date is the date the land was reserved by federal law. River Basin or watershed - The area from which water drains to a single point; in a natural basin, the area (drainage area) contributing flow to a given point on a stream. Surface Water - water above the surface of the land including, but not limited to, lakes, rivers, streams, diffused surface water, waste water, flood water, and ponds. Volume - The amount of water in terms of gallons, acre --feet, cubic feet, or even. 5-gallon- buckets full. Water - All water of the state, surface or subsurface, regardless of its character or manner of occupance, including but not limited to geothermal water, diffuse surface water, and sewage effluent. Water Reservation. - A water right granted by the Board of Natural Resources and Conservation to public entities, on behalf of the public, for existing or future beneficial uses- or to maintain a nn' m* num flow, level, or duality of water.