Senate Committee of Reference Report

Committee on Agriculture & Natural Resources

All text that will be removed from the bill will be indicated by strikethrough as follows:

This is text that is removed from law.

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  • This all capitals text would be added to law.
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May 7, 2026

After consideration on the merits, the Committee recommends the following:

HB26-1340   be amended as follows, and as so amended, be referred to the Committee of the Whole with favorable recommendation:

Page 1, Line 1Amend reengrossed bill, page 5, line 5, strike "The" and substitute

Page 1, Line 2"Within ninety days before November 1 of each year, the".

Page 1, Line 3Page 5, line 21, strike "owner," and substitute "owner on or before

Page 1, Line 4December 1 of each year,".

Page 1, Line 5Page 6, strike lines 3 through 27 and substitute:

Page 1, Line 6"(IV) (A)  Annual field reviews and status reports shall

Page 1, Line 7continue pursuant to subsection (4.7)(a)(III) of this section until

Page 1, Line 8the water court determines, based on the third-party expert's

Page 1, Line 9status report and after considering any comments or rebuttals

Page 1, Line 10submitted within the comment period, that revegetation or

Page 1, Line 11conversion to dryland farming is successfully established on a

Page 1, Line 12field. Upon such a determination, the water court may deem the

Page 1, Line 13terms and conditions set forth in this subsection (4.7)(a) satisfied

Page 1, Line 14as to that field.

Page 1, Line 15(B)  If the water court finds that the water right owner

Page 1, Line 16has demonstrated, over multiple reporting periods, a sustained

Page 1, Line 17failure toward achieving revegetation or conversion to

Page 1, Line 18dryland farming, the water court may, in its discretion, limit the

Page 1, Line 19percentage of the water subject to the changed water right

Page 1, Line 20available for the new beneficial use. Such a limitation must be

Page 1, Line 21proportional to the extent to which revegetation or conversion

Page 1, Line 22to dryland farming has not been successfully established.

Page 1, Line 23(C)  If the water court determines that revegetation or

Page 1, Line 24conversion to dryland farming is successfully established and

Page 1, Line 25the court makes specific findings, supported by the record, that

Page 2, Line 1the field presents a substantial risk that revegetation or

Page 2, Line 2conversion to dryland farming will not continue to be

Page 2, Line 3successfully established, then the court may impose additional,

Page 2, Line 4time-limited oversight periods.".

Page 2, Line 5Page 7, strike lines 1 through 22.

Page 2, Line 6Page 8, line 11, strike "or conversion to".

Page 2, Line 7Page 8, line 12, strike "dryland farming".

Page 2, Line 8Page 8, line 22, before "establishes" insert "requires financial

Page 2, Line 9assurances to the local land use authority in an amount

Page 2, Line 10sufficient to cover the reasonably anticipated total cost to

Page 2, Line 11achieve successfully established revegetation or that".

Page 2, Line 12Page 9, before line 14 insert:

Page 2, Line 13"(VII)  This subsection (4.7)(a) is not intended to and must

Page 2, Line 14not be construed to affect the provisions governing land use

Page 2, Line 15authority set forth in article 65.1 of title 24.".

Page 2, Line 16Page 9, strikes lines 14 and 15 and substitute:

Page 2, Line 17"(b)  As used in subsection (4.7)(a) of this section:

Page 2, Line 18(I)  "Permit" means a permit issued pursuant to section

Page 2, Line 1924-65.1-501.

Page 2, Line 20(II)  "Successfully established" or "successful

Page 2, Line 21establishment" means".