UtahH.B. 4102026 General SessionHouseWALLET

Water Leasing Amendments

Sponsored By: Jill Koford (Republican)

Signed by Governor

AgricultureEnvironmentNatural ResourcesWater RightsAdministrative Rulemaking and ProceduresAgriculture & FoodState EngineerWaterWater CompanyNew Rulemaking AuthorityGreat Salt Lake

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Bill Overview

Analyzed Economic Effects

7 provisions identified: 3 benefits, 3 costs, 1 mixed.

Program pays farms to lease water

The law creates a program to pay farmers to lease water for the Great Salt Lake. The board sets yearly lease rates using the five‑year average alfalfa hay price from the USDA Utah Direct Hay Report. Apply by December 1 for leases that start on or after April 1. Split‑season leases are allowed if the farm segment is at least four straight weeks, and no leases use underground diversions. A new board runs the program, and the commissioner can accept public or private money to fund leases; senior adjudicated rights get priority.

Limits and compliance for farm leases

Leases must benefit the Great Salt Lake and, for a full irrigation season, the same field can be leased only two years in any five. After a lease is awarded, the farmer must get the matching water‑right approval. The state engineer approves leases only for the lease period and requires yearly measuring and monitoring reports. The board posts each year how many acre‑feet reached the lake, how many leases were awarded, and how much was spent, and reports by November 30 for the prior October 1–September 30 period. The commissioner may spend on water purchases or leases only after a Trust Council review finds it matches the strategic plan.

Repayment and penalties for broken leases

If a leaseholder breaks lease terms or diverts water wrongly, the board can order them to repay state money. The board issues a notice stating the repayment amount, outside the usual Administrative Procedures Act. You can request a hearing, and a court can review the final order de novo if you file within 20 days in Salt Lake County or where the violation happened. The board may sue to enforce and recover court costs and attorney fees. Money collected goes to the General Fund as a dedicated credit to run the program.

Bigger planning role for lake commissioner

Beginning May 6, 2026, the commissioner leads more planning and coordination for the Great Salt Lake. The commissioner helps run leasing, reviews state‑funded water purchases or leases for consistency with the strategic plan, and works with the Department of Agriculture and Food on farm lease terms. The commissioner also meets and reports with the Trust Council and water districts.

Funding and carryover for lake program

Starting July 1, 2026, the law provides $2.75 million for FY 2027 to the Great Salt Lake Preservation Program. Beginning May 6, 2026, money given to this program does not lapse at year end and stays available.

Older water programs end on schedule

Several programs and councils end on set dates. The Agricultural Water Optimization program ends July 1, 2028. The Water Banking Act and related change‑application and creation rules end December 31, 2030. The Legislative Water Development Commission ends January 1, 2031, and the Utah Water Agent ends July 1, 2034. Advisory council authorities and staffing rules end July 1, 2027 and July 1, 2029. Title 73, Chapter 34 (Great Salt Lake Preservation Program) is scheduled to be repealed July 1, 2030.

State engineer protects leased water flows

Beginning May 6, 2026, only the state engineer can regulate approved leased water between the release point and the approved place of use. Intervening users cannot divert or impound that water, and the engineer may allocate it as if it were natural flow. If a dam or barrier blocks the water, the owner must pass the water through or around it at their own expense, unless a written agreement says otherwise.

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Sponsors & Cosponsors

Sponsor

  • Jill Koford

    Republican • House

Cosponsors

  • John Arthur

    Democratic • House

  • Jennifer Dailey-Provost

    Democratic • House

  • James A. Dunnigan

    Republican • House

  • Joseph Elison

    Republican • House

  • Jake Fitisemanu

    Democratic • House

  • Sahara Hayes

    Democratic • House

  • Clinton Okerlund

    Republican • House

  • Stephanie Pitcher

    Democratic • Senate

  • Scott D. Sandall

    Republican • Senate

  • David Shallenberger

    Republican • House

  • Jason E. Thompson

    Republican • House

Roll Call Votes

All Roll Calls

Yes: 217 • No: 2

House vote 3/5/2026

House Conference Committee - Final Passage

Yes: 71 • No: 1

House vote 3/5/2026

House/ refuse to concur with Senate amendment

Yes: 0 • No: 0

Senate vote 3/5/2026

Senate/ refused to recede from Senate amendments

Yes: 0 • No: 0

Senate vote 3/5/2026

Senate Motion to Adopt Joint Conference Comm Rpt

Yes: 0 • No: 0

Senate vote 3/5/2026

Senate Conference Committee - Final Passage

Yes: 25 • No: 0

House vote 3/5/2026

House Motion to Adopt Joint Conference Comm Rpt

Yes: 0 • No: 0

Senate vote 3/4/2026

Senate/ floor amendment

Yes: 0 • No: 0

Senate vote 3/4/2026

Senate/ passed 2nd & 3rd readings/ suspension

Yes: 22 • No: 0

House vote 2/24/2026

Senate Comm - Favorable Recommendation

Yes: 4 • No: 0

House vote 2/17/2026

House/ passed 3rd reading

Yes: 69 • No: 1

House vote 2/5/2026

House Comm - Substitute Recommendation

Yes: 13 • No: 0

House vote 2/5/2026

House Comm - Favorable Recommendation

Yes: 13 • No: 0

Actions Timeline

  1. Governor Signed

    3/23/2026
  2. House/ to Governor

    3/12/2026House
  3. House/ received enrolled bill from Printing

    3/12/2026House
  4. House/ enrolled bill to Printing

    3/11/2026House
  5. Enrolled Bill Returned to House or Senate

    3/11/2026
  6. Draft of Enrolled Bill Prepared

    3/6/2026
  7. Bill Received from House for Enrolling

    3/6/2026
  8. House/ signed by Speaker/ sent for enrolling

    3/6/2026House
  9. House/ received from Senate

    3/6/2026House
  10. Senate/ to House

    3/6/2026Senate
  11. Senate/ signed by President/ returned to House

    3/6/2026Senate
  12. Senate/ received from House

    3/6/2026Senate
  13. House/ to Senate

    3/5/2026House
  14. House Conference Committee - Final Passage

    3/5/2026
  15. House Motion to Adopt Joint Conference Comm Rpt

    3/5/2026
  16. House/ received from Senate

    3/5/2026House
  17. Senate/ to House

    3/5/2026Senate
  18. Senate Conference Committee - Final Passage

    3/5/2026
  19. Senate Motion to Adopt Joint Conference Comm Rpt

    3/5/2026
  20. Senate/ received from House

    3/5/2026Senate
  21. Conference Committee Report

    3/5/2026
  22. House/ to Senate

    3/5/2026House
  23. House Conference Committee Appointed

    3/5/2026
  24. House/ received from Senate

    3/5/2026House
  25. Senate/ to House

    3/5/2026Senate

Bill Text

  • Enrolled

    3/11/2026

  • Amended 3/6/2026 15:03:845

    3/6/2026

  • Substitute #1

    2/5/2026

  • Introduced

    1/28/2026

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