As Amended by Senate Committee
Session of 2025
SENATE BILL No. 58
By Committee on Agriculture and Natural Resources
1-22
AN ACT concerning water; relating to multi-year flex accounts; modifying
the requirements for and authorized allocations from such accounts;
amending K.S.A. 2024 Supp. 82a-736 and repealing the existing
section.
Be it enacted by the Legislature of the State of Kansas:
Section 1. K.S.A. 2024 Supp. 82a-736 is hereby amended to read as
follows: 82a-736. (a) It is hereby recognized that an opportunity exists The
chief engineer is authorized to establish multi-year flex accounts to
improve water management by enabling multi-year flexibility in the use of
water authorized to be diverted under a groundwater water right, provided
that if such flexibility neither impairs existing water rights, nor increases
the total amount of water diverted, so that such flexibility has no long-term
negative effect on the source of supply. It is therefore declared necessary
and advisable to permit the establishment of multi-year flex accounts for
groundwater water rights, together with commensurate protections for
existing water rights and their source of supply.
(b) As used in this section:
(1) "Alternative base average usage" means an allocation based on
net irrigation requirements calculated pursuant to subsection (c)(1)(D)(ii)
that may be used in place of the base average usage.
(2) "Base water right" means a water right under which an applicant
applies to the chief engineer to establish a multi-year flex account and
where all of the following conditions exist that is vested or has been
issued a certificate of appropriation and:
(A) The water right's authorized source of supply is groundwater; and
(B) the water right is not currently the subject of to a multi-year
allocation due to a change approval that allows an expansion of the
authorized place of use pursuant to any other program or order issued by
the chief engineer;
(C) the water right is not subject to any order issued by the chief
engineer pursuant to K.S.A. 82a-703a, 82a-706b or 82a-717a, and
amendments thereto;
(D) neither the water right nor any portion thereof has been
deposited or placed in a safe deposit account in a chartered water bank;
(E) the water right is not deemed abandoned and is in compliance
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with all provisions of any order of the chief engineer; and
(F) the chief engineer determines that no other conditions exist that
make establishment of a multi-year flex account for such water right
contrary to the public interest.
(3)(2) "Multi-year flex account" means a term permit for up to five
years that suspends a base water right during its term, except when the
term permit may be no longer exercised because of an order of the chief
engineer, and is subject to the terms and conditions as provided in
subsection (e).
(4) "Base average usage" means:
(A) The average amount of water actually diverted for the authorized
beneficial use under the base water right during calendar years 2000
through 2009, excluding:
(i) Any amount diverted in any such year that exceeded the amount
authorized by the base water right;
(ii) any amount applied to an unauthorized place of use; and
(iii) diversions in calendar years when water was diverted under a
multi-year allocation with an expansion of the authorized place of use due
to a change approval;
(B) if water use records are inadequate to accurately determine actual
water use or upon demonstration of good cause by the applicant, the chief
engineer may calculate the base average usage with less than all 10
calendar years during 2000 and 2009. In no case shall the base average
usage be calculated with less than five calendar years during 2000 and
2009; or
(C) if the holder of the base water right shows to the satisfaction of
the chief engineer that water conservation reduced water use under the
base water right during calendar years 2000 through 2009, then the base
average usage shall be calculated with the five calendar years immediately
before the calendar year when water conservation began.
(5) "Chief engineer" means the chief engineer of the division of water
resources of the department of agriculture.
(6) "Flex account acreage" means the maximum number of acres
lawfully irrigated during a calendar year, except for any acres irrigated
under a multi-year allocation that allowed for an expansion of the
authorized place of use due to a change approval and any of the following
conditions are met:
(A) The calendar year is 2000 through 2009;
(B) if water conservation reduced water use under the base water
right during calendar years 2000 through 2009, the calendar year is a year
within the five calendar years immediately prior to the calendar year when
water conservation began; or
(C) if an application to appropriate water was approved after
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December 31, 2004, the calendar year is any during the perfection period
and assigns a multi-year quantity allocation to such base water right in
place of the base water right's annual quantity limitation for the duration
of the term permit.
(7)(3) "Net irrigation requirement" means the net irrigation
requirement for 50% chance rainfall of the county that corresponds with
the location of the authorized place of use of the base water right as
provided in K.A.R. 5-5-12, on the effective date of this act.
(c) (1) Except as provided in K.S.A. 2024 Supp. 82a-774 and section
1 of chapter 76 of the 2023 Session Laws of Kansas, and amendments
thereto, any holder of a base water right that has not been deposited or
placed in a safe deposit account in a chartered water bankAny holder of a
base water right may establish a multi-year flex account where the holder
may deposit, in advance, the authorized quantity of water from such a
base water right for any in advance for a period of up to five consecutive
calendar years, except when the chief engineer determines a shorter period
is necessary for compliance with a local enhanced management area or an
intensive groundwater use control area and the corrective controls in the
area do not prohibit the use of multi-year flex accounts, and subject to all
of the following:
(A) The water right must be vested or shall have been issued a
certificate of appropriation;
(B) the withdrawal of water pursuant to the water right shall be
properly and adequately metered;
(C) the water right is not deemed abandoned and is in compliance
with the terms and conditions of its certificate of appropriation, all
applicable provisions of law and orders of the chief engineer;
(D). Each multi-year flex account shall meet the following
requirements:
(1) The amount of water deposited in the multi-year flex account
shall not exceed the greatest of the following:
(i) 500% of the base average usage;
(ii) 500% of the product of the annual net irrigation requirement
multiplied by the flex account base water right's authorized acreage,
multiplied by 110%, but and such amount shall not greater than exceed
five times the maximum annual quantity authorized by the base water
right;
(iii) if the authorized place of use is located wholly within the
boundaries of a groundwater management district, an amount that shall not
increase the long-term average use of the groundwater right as specified by
rule or regulation promulgated pursuant to K.S.A. 82a-1028(o), and
amendments thereto; or
(iv) pursuant to subparagraph (F), the amount computed in (i), (ii) or
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(iii) plus any deposited water remaining in a multi-year flex account up to
100% of the base average usage or alternative base average usage;
(E) if the multi-year flex account is approved for less than five
calendar years, the amount of water deposited in the multi-year flex
account shall be prorated based on the number of calendar years approved
and otherwise calculated as required by subsection (c)(1)(D)(i), (ii) or (iii);
and
(F) any deposited water remaining in a multi-year flex account up to
100% of the base average usage or alternative base average usage may be
added to the deposit amount calculated in subparagraph (D) if the base
water right is enrolled in another multi-year flex account during the
calendar year in which the existing multi-year flex account expires. The
total amount of water deposited in any multi-year flex account shall not
exceed 500% of the authorized quantity of the base water right.
(2) The provisions of K.A.R. 5-5-11 are limited to changes in annual
authorized quantity and shall not apply to this subsection.
(d) The chief engineer shall implement a program providing for the
issuance of term permits to holders of groundwater water rights who have
established flex accounts in accordance with this section. Such term
permits shall authorize the use of water in a flex account at any time
during the consecutive calendar years for which the application for the
term permit authorizing a multi-year flex account is made, without annual
limits on such use.
(e) Term permits provided for by this section shall be subject to the
following:
(1) A separate term permit shall be required for each point of
diversion authorized by the base water right.
(2) The quantity of water authorized for diversion shall be limited to
the amount deposited pursuant to subsection (c)(1)(D).
(3) The rate of diversion for each point of diversion authorized under
the term permit shall not exceed the rate of diversion for each point of
diversion authorized under the base water right.
(4) The authorized place of use shall be the place of use or a
subdivision of the place of use for the base water right. Any approval of an
application to change the place of use of the base water right shall
automatically result in a change to the place of use for the term permit.
(5) The point of diversion authorized by the term permit shall be
specified by referencing one point of diversion authorized by the base
water right at the time the multi-year flex account term permit application
is filed with the chief engineer or at the time any approvals changing such
referenced point of diversion of the base water right are approved during
the multi-year flex account period. For a base water right with multiple
points of diversion, each point of diversion authorized by a term permit
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shall receive a specific assignment of a maximum authorized quantity of
water, assigned proportionately to the authorized annual quantities of the
respective points of diversion under the base water right.
(6) The chief engineer may establish, by rules and regulations, criteria
for such term permits.
(7) Except as explicitly provided for by this section, such term
permits shall be subject to all provisions of the Kansas water appropriation
act, and rules and regulations adopted under such act, and nothing in this
section shall authorize impairment of any vested right or prior
appropriation right by the exercise of such term permit.
(f) An(2) for each multi-year flex account that overlaps in place of
use with other water rights, including other multi-year flex accounts or
other term permits, the multi-year flex account's authorized quantity shall
be further limited by the net irrigation requirement for the common place
of use when combined with the quantities authorized by the overlapping
water rights or term permits;
(3) a separate multi-year flex account application shall be required
for each point of diversion authorized by the base water right;
(4) the authorized rate of diversion of each multi-year flex account
shall be the maximum authorized rate of diversion for the point of
diversion authorized by the base water right; and
(5) the authorized point of diversion and place of use shall be the
point of diversion and place of use for the base water right. Any approval
of an application to change the point of diversion or place of use of the
base water right shall automatically result in a change to the point of
diversion or place of use for the multi-year flex account.
(d) Each application for a multi-year flex account shall be filed with
the chief engineer on or before December 31 of the first year of the multi-
year flex account term for which the application is being made. Such
application shall be subject to the same fee required for other term permits
pursuant to K.S.A. 82a-708c, and amendments thereto.
(e) If there is deposited water remaining in a multi-year flex account
upon the expiration of such account's term, an amount of water not to
exceed the lesser of the annual net irrigation requirement for the base
water right's authorized acres or the base water right's authorized annual
quantity may be added to the deposit amount determined in paragraph (c)
(1) for a subsequent multi-year flex account term if such addition does not
result in the multi-year allocation for the subsequent multi-year flex
account term exceeding the base water right's authorized annual quantity
multiplied by the number of years of the subsequent multi-year flex
account term and the base water right is enrolled in the subsequent multi-
year flex account during the calendar year in which the existing multi-
year flex account term expires.
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(f) Except as otherwise provided in this section, multi-year flex
accounts shall be subject to all provisions of the Kansas water
appropriation act and any rules and regulations adopted thereunder.
(g) All costs of administration of this section shall be paid from fees
for term permits provided for by this section the water appropriation
certification fund when moneys are available in such fund. Any
appropriation or transfer from any fund other than the water appropriation
certification fund for the purpose of paying such costs shall be repaid to
the fund from where such appropriation or transfer is made. At the time of
repayment, the secretary of agriculture shall certify to the director of
accounts and reports the amount to be repaid and the fund to be repaid.
Upon receipt of such certification, the director of accounts and reports
shall promptly transfer the amount certified to the specified fund.
(h) The fee for a multi-year flex account term permit shall be the
same as specified for other term permits in K.S.A. 82a-708c, and
amendments thereto.
(i) The chief engineer shall have full authority pursuant to K.S.A.
82a-706c, and amendments thereto, to require any additional measuring
devices and any additional reporting of water use for term permits issued
pursuant to this section. Failure to comply with any measuring or reporting
requirement may result in a penalty, up to and including the revocation of
the term permit and the suspension of the base water right for the duration
of the term permit period may adopt rules and regulations to implement,
administer and enforce this section.
(j)(i) The chief engineer shall submit a written report on the
implementation of this section to the house standing committee
committees on agriculture and natural resources and water and the senate
standing committee on agriculture and natural resources or any successor
committees on or before February 1 of each year, 2028 January 15, 2029,
and every three four years thereafter.
(k)(j) This section shall be a part of and supplemental to the Kansas
water appropriation act.
Sec. 2. K.S.A. 2024 Supp. 82a-736 is hereby repealed.
Sec. 3. This act shall take effect and be in force from and after its
publication in the statute book.
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