EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted. Green numbers along left margin indicate location on the printed bill (e.g., 5-15 indicates page 5, line 15).

1-1 Section 1. NRS 533.360 is hereby amended to read as follows:

1-2 533.360 1. Except as otherwise provided in subsection 4, NRS

1-15 place of diversion.

2-1 (f) The purpose for which the water is to be appropriated.

2-2 The publisher shall add thereto the date of the first publication and the date

2-3 of the last publication.

2-4 2. Except as otherwise provided in subsection 4, proof of publication

2-5 must be filed within 30 days after the final day of publication. The state

2-6 engineer shall pay for the publication from the application fee. If the

2-7 application is canceled for any reason before publication, the state engineer

2-8 shall return to the applicant that portion of the application fee collected for

2-9 publication.

2-10 3. If the application is for a proposed well:

2-11 (a) In a county whose population is less than 400,000;

2-12 (b) For municipal, quasi-municipal or industrial use; and

2-13 (c) Whose reasonably expected rate of diversion is one-half cubic foot

2-14 per second or more,

2-15 the applicant shall mail a copy of the notice of application to each owner of

2-16 real property containing a domestic well that is within 2,500 feet of the

2-17 proposed well . [, to his] The notice must be mailed to the address of the

2-18 owner as shown in the latest records of the county assessor. If there are not

2-19 more than six [such] of those wells, notices must be sent to each owner by

2-20 certified mail, return receipt requested. If there are more than six [such] of

2-21 those wells, at least six notices must be sent to owners by certified mail,

2-22 return receipt requested. The return receipts from [these] the notices must

2-23 be filed with the state engineer before he may consider the application.

2-24 4. The provisions of this section do not apply to an environmental

2-25 permit.

2-26 Sec. 2. NRS 533.370 is hereby amended to read as follows:

2-27 533.370 1. Except as otherwise provided in this section and NRS

2-42 reasonable diligence.

3-1 2. Except as otherwise provided in subsection [5,] 6, the state engineer

3-2 shall [either] approve or reject each application within 1 year after the final

3-3 date for a filing protest. However:

3-4 (a) Action [can] may be postponed by the state engineer upon written

3-5 authorization to do so by the applicant or, [in case of a protested

3-6 application, by both] if an application is protested, by the protestant and

3-7 the applicant; and

3-8 (b) In areas where studies of water supplies are being made or where

3-9 court actions are pending, the state engineer may withhold action until it is

3-10 determined there is unappropriated water or the court action becomes final.

3-11 3. Except as otherwise provided in this subsection [5, where there]

3-12 and subsection 6, if action on an application for an interbasin transfer of

3-13 ground water is postponed or withheld pursuant to subsection 2, and the

3-14 application is not approved or rejected within 5 years after the final date

3-15 for filing a protest to the application, the application must be

3-16 subordinated to each application to appropriate ground water from the

3-17 basin of origin that is filed after the application. The provisions of this

3-18 subsection do not apply to an application for an interbasin transfer of

3-19 ground water for which action is withheld pursuant to paragraph (b) of

3-20 subsection 2 because of a pending court action.

3-21 4. Except as otherwise provided in subsection 6, if an application

3-22 specified in subsection 1 is submitted to the state engineer and:

3-23 (a) There is no unappropriated water in the proposed source of supply [,

3-24 or where its] ;

3-25 (b) The proposed use or change set forth in the application conflicts

3-26 with existing rights [,] or threatens to prove detrimental to the public

3-27 interest [,] ; or

3-28 (c) The application is for an interbasin transfer of ground water and

3-29 approval of the application would be inconsistent with the protection of

3-30 the identified requirements for ground water for present and future

3-31 development in the basin of origin,

3-32 the state engineer shall reject the application and refuse to issue the

3-33 requested permit. [Where] If a previous application for a similar use of

3-34 water within the same basin has been rejected on [these] those grounds, the

3-35 new application may be denied without publication. In determining

3-36 whether an application must be rejected pursuant to paragraph (c), the

3-37 state engineer shall consider the economy, environment and quality of

3-38 life in the basin of origin.

3-39 [4.] 5. If a hearing is held regarding an application, the decision of the

3-40 state engineer must be in writing and include findings of fact, conclusions

3-41 of law and a statement of the underlying facts supporting the findings of

3-42 fact. The written decision may take the form of a transcription of an oral

3-43 ruling. The rejection or approval of an application must be endorsed on a

4-1 copy of the original application, and a record made of the endorsement in

4-2 the records of the state engineer. The copy of the application so endorsed

4-3 must be returned to the applicant. Except as otherwise provided in

4-4 subsection [6,] 7, if the application is approved, the applicant may, on

4-5 receipt thereof, proceed with the construction of the necessary works and

4-6 take [all] any steps required to apply the water to beneficial use and to

4-7 perfect the proposed appropriation. If the application is rejected , the

4-8 applicant may take no steps toward the prosecution of the proposed work

4-9 or the diversion and use of the public water [so] as long as the rejection

4-10 continues in force.

4-11 [5.] 6. The provisions of subsections 1 [, 2 and 3] to 4, inclusive, do

4-12 not apply to an application for an environmental permit.

4-13 [6.] 7. The provisions of subsection [4] 5 do not authorize the recipient

4-14 of an approved application to use any state land administered by the

4-15 division of state lands of the state department of conservation and natural

4-16 resources without the appropriate authorization for [such a] that use from

4-17 the state land registrar.

4-18 8. As used in this section, "basin of origin" means a basin from

4-19 which ground water is proposed to be transferred to another basin.

4-20 Sec. 3. NRS 538.171 is hereby amended to read as follows:

4-21 538.171 1. The commission shall receive, protect and safeguard and

4-43 shall also furnish to the state engineer any other information it possesses

5-1 relating to the use of water from the Colorado River which the state

5-2 engineer deems necessary to allow him to act on applications for permits

5-3 for the subsequent appropriation of [these] those waters after they fall

5-4 within the [state engineer’s jurisdiction.] jurisdiction of the state engineer.

5-5 4. Notwithstanding any provision of chapter 533 of NRS, any original

5-6 appropriation and use of the waters described in subsection 1 by the

5-7 commission or by any entity to whom or with whom the commission has

5-8 contracted the water is not subject to regulation by the state engineer.