STATE OF OKLAHOMA

1st Session of the 53rd Legislature (2011)

SENATE BILL 596	By:	Fields

AS INTRODUCED

An Act relating to waters and water rights; creating the Oklahoma Water Center Act; creating the Oklahoma Water Center; stating purposes of the Center; providing for additional duties; creating the Board of the Oklahoma Water Center; stating membership of the Board; prohibiting compensation for members; providing for staffing; making an exemption from certain dual office holding prohibition; providing for application of certain laws; requiring an annual report; establishing advisory and research duties; directing the Center to make recommendations to be included in the Oklahoma Comprehensive Water Plan; specifying issues; establishing duties relating to the transfer of water outside of the state; directing Center to recommend certain fee schedule for water transferred outside the state; requiring metering, reporting and submission of severance fees by certain date; exempting certain permits from the severance fee; requiring deposit of severance fee monies in the Oklahoma Water Center Revolving Fund; directing the Center to distribute funds to public agencies for certain projects; defining term; specifying use of funds for certain types of water infrastructure projects; requiring certain public agencies to develop a water improvement plan; requiring certain approval for certain projects; requiring written report by certain public agencies; creating the Oklahoma Water Center Revolving Fund; making the Fund a continuing fund; stating source of funds; specifying use of funds; requiring expenditures to be on warrants; providing for noncodification; providing for codification; providing an effective date; and declaring an emergency.

BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
SECTION 1.     NEW LAW     A new section of law not to be codified in the Oklahoma Statutes reads as follows:
This act shall be known and may be cited as the “Oklahoma Water Center Act”.
SECTION 2.     NEW LAW     A new section of law to be codified in the Oklahoma Statutes as Section 1089.1 of Title 82, unless there is created a duplication in numbering, reads as follows:
A.  There is hereby created the Oklahoma Water Center.  The Center shall be a water science and research advisory council to the Oklahoma Water Resources Board, shall assist in the implementation of the Oklahoma Comprehensive Water Plan which is authorized by law and as is updated, and shall recommend to the Oklahoma Water Resources Board a water pricing structure and allocation of funds collected from the sale of water pursuant to the provisions of this act.  The Oklahoma Water Resources Board may include provisions in the Oklahoma Comprehensive Water Plan specifying additional duties for the Center.
B.  The Board of the Oklahoma Water Center shall consist of the following members:
1.  The Executive Director of the Oklahoma Water Resources Board or a designee;
2.  The Commissioner of the Oklahoma Department of Agriculture, Food, and Forestry or a designee;
3.  The Executive Director of the Department of Environmental Quality or a designee;
4.  The Director of the Department of Wildlife Conservation or a designee;
5.  The Executive Director of the Oklahoma Conservation Commission or a designee; and
6.  Two members one each to be appointed by the President Pro Tempore of the Senate and the Speaker of the House of Representatives, who shall serve two year terms.  Such appointments shall be made within sixty days of the effective date of this act.
C.  Members of the Board of the Oklahoma Water Center shall serve without compensation.
D.  The Oklahoma Water Resources Board shall provide staff support for the Oklahoma Water Center.
E.  Members who serve on the Board of the Oklahoma Water Center shall be exempt from the dual office holding prohibitions of Section 6 of Title 51 of the Oklahoma Statutes.
F.  The Oklahoma Water Center shall act in accordance with the provisions of the Oklahoma Open Meeting Act and the Oklahoma Open Records Act.
G.  The Oklahoma Water Center shall submit a report to the Governor, President Pro Tempore of the Senate, and Speaker of the House of Representatives by December 31 each year.
SECTION 3.     NEW LAW     A new section of law to be codified in the Oklahoma Statutes as Section 1089.2 of Title 82, unless there is created a duplication in numbering, reads as follows:
A.  The Oklahoma Water Center shall have the following advisory and research duties:
1.  Act as a water science and research advisory council to the Oklahoma Water Resources Board in implementing the Oklahoma Comprehensive Water Plan;
2.  Review state and federal assistance opportunities for coordinated research, planning, design, and construction for water-related environmental infrastructure and resource protection and development projects, including projects for water supply, storage, treatment, and related facilities, water quality protection, wastewater treatment, and related facilities, environmental restoration, and surface water resource protection, flood control, recreation, and development, as identified in the Oklahoma Comprehensive Water Plan;
3.  Recommend a set of water management tools customized to each watershed planning region of the state;
4.  Recommend specific actions to implement the provisions of the Oklahoma Comprehensive Water Plan which will:
a.	promote stewardship of the water resources of the state,
b.	protect and maintain water rights and the priority status of all legally authorized entities, including federally recognized tribal governments,
c.	protect the diverse customs, culture, environment and economic stability of the state,
d.	protect both the water supply and water quality of water in the state,
e.	promote cooperative strategies, based on concern for meeting the basic needs of all Oklahomans,
f.	meet the interstate compact obligations of the state,
g.	provide a basis for prioritizing infrastructure investment, and
h.	provide statewide continuity of policy and management relative to water resources of the state; and
5.  Perform other duties as may be identified in the Oklahoma Comprehensive Water Plan.
B.  The Oklahoma Water Center shall make recommendations for inclusion in the Oklahoma Comprehensive Water Plan addressing the following issues:
1.  Identify water conservation strategies and policies that will maximize the beneficial use of water, including reuse and recycling by conjunctive management of water resources to promote nonforfeiture of water rights;
2.  Promote drought management planning designed to address drought emergencies, strategies for prevention of drought-related emergencies in the future and coordination of statewide drought planning;
3.  Recognition of the relationship between water availability and land-use decisions;
4.  Promote river riparian and watershed restoration projects that focus on protecting water supplies, improving water quality and complying with federal Endangered Species Act of 1973 mandates;
5.  Develop water rights transfer policies that protect the legal authority, customs, culture, environment and economic health and stability of the diverse communities in the state while providing for timely and efficient transfers of water between uses to meet both short-term shortages and long-term economic development needs;
6.  Implement strategies and mechanisms for achieving coordination with all levels of local, state, federal and tribal governments;
7.  Integration of regional water plans with state water plan policies and strategies, if appropriate and consistent;
8.  Integration of water plans of water supply purveyors, including those of local governments, privately owned public utilities, associations, cooperatives and irrigation districts with state water plan policies and strategies, as appropriate and consistent;
9.  Identify water-related infrastructure and management investment needs and opportunities to leverage federal and other funding;
10.  Collaborate with the research institutions and entities in the state to address the water challenges of the state and to bring to the state demonstration projects in desalination, conservation, watershed restoration, weather modification and other technological approaches to enhance water supply and management; and
11.  Develop and encourage the adoption of water conservation plans and drought response plans, specifying minimum components for the conservation and drought plans, and giving priority consideration for financial assistance made available through limited state and federal funding to water users that have adopted water conservation and drought plans.
SECTION 4.     NEW LAW     A new section of law to be codified in the Oklahoma Statutes as Section 1089.3 of Title 82, unless there is created a duplication in numbering, reads as follows:
The Oklahoma Water Center shall have the following authority and duties relating to the transfer of water for use outside the state:
1.  Development of a severance fee schedule for the transfer of water outside the state.  The severance fee schedule shall be adopted for use by the Oklahoma Water Resources Board;
2.  Review, recommend and advise the Oklahoma Water Resources Board on applications submitted to the Board for transfer of any water outside the state and to advise the Board on the issuance of a regular, temporary, or provisional permit.  The Board may disapprove an application if the Board determines the amount of water requested will interfere with the amount needed for use within the state or that the proposed beneficial use will interfere with existing or proposed beneficial uses within the state; and
3.  Review any proposed applications for the storage, diversion, or carriage of water to be transferred outside the state and monitor the completion of the project.
SECTION 5.     NEW LAW     A new section of law to be codified in the Oklahoma Statutes as Section 1089.4 of Title 82, unless there is created a duplication in numbering, reads as follows:
A.  For new permits approved after the effective date of this act by the Oklahoma Water Resources Board for the use of water to be transferred outside the state, there is hereby levied upon the use of the water a severance fee based on the acre-foot volume of water transferred.  The amount of severance fee shall be recommended by the Oklahoma Water Center and adopted by the Oklahoma Water Resources Board.  The Center shall require permit holders to meter and report the volume of water used annually and to submit the severance fee by June 30 of each year.
B.  Any modification or renewal of a permit issued prior to the effective date of this act for the use of any water which transfers the water outside the state shall be exempt from the severance fee authorized pursuant to this section.
C.  All monies collected by the Center from the water severance fee levied pursuant to this section shall be deposited in the Oklahoma Water Center Revolving Fund created in Section 8 of this act.
SECTION 6.     NEW LAW     A new section of law to be codified in the Oklahoma Statutes as Section 1089.5 of Title 82, unless there is created a duplication in numbering, reads as follows:
A.  The Oklahoma Water Center shall distribute all severance fees collected from the transfer of water pursuant to Section 5 of this act and deposited in the Oklahoma Water Center Revolving Fund to public agencies for projects as established in Section 7 of this act.
B.  For purposes of the Oklahoma Water Center Act, a “public agency” shall be as defined in the Interlocal Cooperation Act, except public agencies of other states.
SECTION 7.     NEW LAW     A new section of law to be codified in the Oklahoma Statutes as Section 1089.6 of Title 82, unless there is created a duplication in numbering, reads as follows:
A.  All funds distributed by the Oklahoma Water Center to public agencies as provided for in Section 6 of this act shall be used by the public agency for the development of water infrastructure facilities in the state, including but not limited to water facilities and sewage facilities.
B.  Each public agency receiving funds shall develop and adopt a water improvement plan which shall establish a priority for the implementation of projects using funds distributed pursuant to the Oklahoma Water Center Act.
C.  Any project using funds distributed to a public agency pursuant to the Oklahoma Water Center Act shall be approved by a majority of the governing body of the public agency.
D.  Each public agency which receives funds from the Oklahoma Water Center Revolving Fund during the preceding fiscal year shall make a written report to the Oklahoma Water Center outlining the expenditure of the funds and any other information the Center may require.
SECTION 8.     NEW LAW     A new section of law to be codified in the Oklahoma Statutes as Section 1089.7 of Title 82, unless there is created a duplication in numbering, reads as follows:
There is hereby created in the State Treasury a revolving fund for the Oklahoma Water Resources Board to be designated the “Oklahoma Water Center Revolving Fund”.  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of all monies received by the Oklahoma Water Resources Board from the water severance fee levied pursuant to Section 5 of this act.  All monies accruing to the credit of said fund are hereby appropriated and may be budgeted and distributed by the Oklahoma Water Resources Board, in consultation with the Oklahoma Water Center, as provided for in Sections 6 and 7 of this act.  Expenditures from said fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.
SECTION 9.  This act shall become effective July 1, 2011.
SECTION 10.  It being immediately necessary for the preservation of the public peace, health and safety, an emergency is hereby declared to exist, by reason whereof this act shall take effect and be in full force from and after its passage and approval.

53-1-48	MJM	1/19/2011 3:02:52 PM