Chapter 13.50
WATER RIGHT TRANSFERS
Sections:
13.50.040 Determination of water right quantities.
13.50.050 Transfer of water rights or payment in lieu of – Process.
13.50.010 Purpose.
The purpose of this chapter is to ensure the city has adequate water rights to support future development within the city. (Ord. 904 § 1 (Exh. A), 2025)
13.50.020 Definitions.
For purposes of this chapter, the following terms shall have the following meanings:
(1) An “applicant” shall mean the property owner(s) involved in the action that triggers the requirements under this chapter through a permit approval process.
(2) The phrase “potential uses of the real property,” as used in this chapter, shall mean the uses permitted under city zoning regulations applicable to the real property or, in the case of real property proposed for annexation to the city, the uses permitted under city zoning regulations that would apply to the real property upon annexation.
(3) A “utility extension” in this chapter shall mean an extension of domestic water service by an applicant which triggers the requirement for the applicant to enter into a developer extension agreement with the city in accordance with EMC 19.02.090.
(4) A “water right” shall mean and include all of the various types of water rights or rights to water including, but not necessarily limited to, permits, certificates, change report of examinations and claims issued by or on file with the Washington State Department of Ecology, or any of its predecessors. (Ord. 904 § 1 (Exh. A), 2025)
13.50.030 Applicability.
This chapter is applicable to any new development within or outside of the city limits that would require a utility extension for a new water service connection, or permit resulting in an increased water demand for existing service connections, as of the adoption date of this chapter.
Applicable building permit applications or development permit applications for real property located within or outside the city limits of the city shall require either the transfer of water rights to the city in quantities as determined in accordance with EMC 13.50.040 and the payment of applicable water right review fee in accordance with the city fee schedule; or payment to the city of a water right acquisition fee in lieu of transfer in accordance with the city fee schedule.
For certain proposed uses of the real property, including single residential, duplex residential and commercial or industrial uses with demands less than 2,500 gallons per day, the city shall only accept payment of a water right acquisition fee in lieu of transfer. (Ord. 904 § 1 (Exh. A), 2025)
13.50.040 Determination of water right quantities.
(1) Quantifying Water Needs. The amount of water rights to be transferred to the city, or equivalent fee in lieu pursuant to EMC 13.50.050, shall be sufficient to serve the estimated equivalent residential units (ERUs) of water usage of the potential uses of the real property. The determination of how much water the city will deliver to the property at issue (expressed in ERUs) shall be made by the public works director (working with the city engineer) and the determination communicated in writing to the applicant as identified within Chapter 14.08 EMC. An ERU (in gallons per day) shall be consistent with the city’s most recent water system plan. For standard customer classes (single-family residential, multifamily residential, commercial, government) the city will rely on the ERU Demand Factor by Customer Class as documented in the city’s most recent water system plan for the corresponding customer class. For nonstandard customers (industrial or other), the city will rely on information provided by the applicant and guidance from the Washington State Department of Health Water System Design Manual in making their determination.
In calculating the amount of water rights that must be transferred to the city, credit shall be provided for any existing and previously approved connections to the city’s municipal water system that are currently in use on the subject property.
The city may determine based on actual metered water use data that the ERU determination was inadequate. This determination shall be based on whether the measured average daily water use over the period of a year is greater than the estimated water use. The city may require additional fees for the deficit quantities, on an ERU basis, in accordance with the city fee schedule.
(2) Irrigation Water Service Available. If the property to be served by the city is located within and served by the Entiat Irrigation District, and the property shall continue to be served by the District for irrigation purposes, the applicant shall only be required to transfer the equivalent ERU of water rights for nonirrigation uses, or provide a payment in lieu for said quantity as directed by EMC 13.50.050. (Ord. 904 § 1 (Exh. A), 2025)
13.50.050 Transfer of water rights or payment in lieu of – Process.
(1) Terms of Water Right Transfer. Transferred water rights may be associated with the property that is the subject of the application, or a separate water right which the applicant is able to prove ownership of.
(2) Form of Transfer. The transfer of water rights pursuant to this section shall be in such forms as approved by the city. Applicants transferring water rights pursuant to this section shall execute all documents required by the city and/or any other governmental entity that may be necessary to achieve the purposes of this section, shall pay the water right review fee in accordance with the city fee schedule, and shall provide the city with documentation of the validity and ownership of the water rights as requested by the city engineer.
The applicants transferring water rights pursuant to this section must convey the water right to the city by statutory warranty deed or other appropriate conveyance instrument, as determined by the city.
(3) Water Right Review. The city is entitled to evaluate the likely validity and transferability of rights offered for transfer, and to receive technical assistance from the Department of Ecology on the same. The city may decline the acceptance of such transfer if it believes, following such evaluation and/or technical assistance, that such rights are unlikely to be successfully transferred for use by the city. The city will complete their water right review and issue a decision to the applicant as identified within Chapter 14.08 EMC.
(4) Timing. The city shall not require a decision by the Department of Ecology on the water right transfer prior to approving the applicant’s permit. In the event the water rights transfer through the Department of Ecology is not successful, the city is entitled to require payment of the fee in lieu, even following permit approval.
(5) Excess Water Rights. To the extent the water rights to be transferred exceed the anticipated water requirement for the subject property as determined pursuant to EMC 13.50.040, the city may enter into a separate agreement with the applicant to purchase any amount of the excess water rights for an amount representing the market value of the excess water rights.
(6) Payment in Lieu. In lieu of providing a valid and transferable water right to the city in the quantities determined under EMC 13.50.040, the applicant shall pay to the city a water right acquisition fee as established in the city fee schedule the full or deficit water right quantities.
(7) Determination of Market Value for Payment in Lieu. The market value shall be based upon a water rights market study or similar investigation of the fair market value of perfected water rights that can be transferred to the city. (Ord. 904 § 1 (Exh. A), 2025)