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83rd OREGON LEGISLATIVE ASSEMBLY--2025 Regular Session
House Bill 3801
Sponsored by Representatives OWENS, HELM
SUMMARY
The following summary is not prepared by the sponsors of the measure and is not a part of the body thereof subject
to consideration by the Legislative Assembly. It is an editor’s brief statement of the essential features of the
measure as introduced. The statement includes a measure digest written in compliance with applicable readability
standards.
Digest: The Act makes changes to the law that allows agreements among persons that use
ground water. (Flesch Readability Score: 68.9).
Makes certain changes related to voluntary agreements among ground water users.
A BILL FOR AN ACT
Relating to voluntary agreements among ground water users; amending ORS 537.745.
Be It Enacted by the People of the State of Oregon:
SECTION 1.
ORS 537.745 is amended to read:
537.745. (1) In the administration of ORS 537.505 to 537.795 and 537.992, the Water Resources
Commission [ may] shall encourage, promote and recognize voluntary agreements among ground
water users from the same ground water reservoir[ .] or from the same portion of a ground water
reservoir that:
(a) Further ground water users’ understanding of ground water resources; and
(b) Allow ground water users to determine how to achieve long-term stability of ground
water resources in ways that best serve local communities.
(2) [ When the commission finds that any such agreement, ] The commission shall approve an
agreement described in subsection (1) of this section if the commission finds that the
agreement is:
(a) Executed in writing and filed with the commission[ ,];
(b) [ Is] Consistent with the intent, purposes and requirements of ORS 537.505 to 537.795 and
537.992, and in particular ORS 537.525, 537.730 to 537.740 and 537.780[ , the commission shall approve
the agreement. ];
(c) Likely to lead to a reduction in the volume of water used over time that protects the
economic viability of ground water users; and
(d) Likely to promote long-term stability of the ground water resource.
(3) The commission’s approval of an agreement under subsection (2) of this section may
not:
(a) Be contingent on a minimum participation level.
(b) Require specific outcomes such as a reduction in ground water use by a specific date
or a specific amount of a reduction in ground water use.
(4) The commission’s approval of an agreement under subsection (2) of this section shall
constitute an order other than contested cases for purposes of ORS chapter 183.
(5) Notwithstanding ORS 536.025 (2), the commission may not delegate authority or duties
under this section to the Water Resources Director.
NOTE:Matter in boldfaced type in an amended section is new; matter [ italic and bracketed] is existing law to be omitted.
New sections are in boldfaced type.
LC 4300
HB 3801
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(6) This state may only be a party to, or have rights as a party to, a voluntary agreement
described in this section in this state’s capacity as a landowner.
(7) [ Thereafter the agreement, until terminated as provided in this subsection, ] An agreement
under this section shall control in lieu of a formal order or rule of the commission under ORS
537.505 to 537.795 and 537.992 until the agreement is terminated as described in subsection (8)
of this section .
(8) [ Any ] An agreement [ approved by the commission ] under this section may be terminated
only by:
(a) The lapse of time as provided in the agreement[ , by ];
(b) Consent of the parties to the agreement ; or [ by]
(c) Order of the commission if the commission finds, after investigation and a public hearing
upon adequate notice, that :
(A) The agreement is not being substantially complied with by the parties thereto ; or [ that]
(B) Changed conditions have made the continuance of the agreement a detriment to the public
welfare, safety and health or contrary in any particular to the intent, purposes and requirements
of ORS 537.505 to 537.795 and 537.992.
[(2)] (9) When any irrigation district, drainage district, other district organized for public pur-
poses or other public corporation or political subdivision of this state is authorized by law to enter
into agreements [ of the kind referred to ] described in subsection (1) of this section, the commission
may approve such agreements as provided in subsection [ (1)] (2) of this section.
(10) [Any such ] An agreement described in subsection (9) of this section and approved by the
commission shall:
(a) Have the [ same] effect described in subsection (7) of this section; and [ shall]
(b) Be subject to termination in the same manner and for the same reasons set forth in sub-
section [ (1)] (8) of this section.
(11) Any water right that has not been canceled as described in ORS 540.610 may be in-
cluded in an agreement under this section.
(12) The parties to an agreement under this section:
(a) May make minor amendments to the agreement, such as the addition of a party,
without seeking approval from the commission.
(b) Notwithstanding ORS 540.520 and 540.523, may make changes described in ORS 540.520
and 540.523 without applying for approval for the changes.
(c) Shall meter any water well used to appropriate ground water.
(d) Shall report the parties’ total annual use of ground water under the agreement to the
commission.
(e) Shall establish plans for the parties’ total annual use of ground water under the
agreement before an irrigation season.
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