Las Vegas Sun

February 12, 2012

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State workshops will examine court’s decision on water rights

Wednesday, March 3, 2010 | 3:43 p.m.

CARSON CITY – Heeding the call of the Legislature, the state Division of Water Resources is holding a workshop to examine the effect of a court decision voiding efforts to pump water to Las Vegas from rural Nevada.

Gov. Jim Gibbons asked the special session of the Legislature to consider the effect of the ruling by the Nevada Supreme Court that may throw 14,500 water rights in jeopardy.

Assembly and Senate leaders both read statements into the record on the closing day of the special session urging the state engineer to hold hearings and develop recommendations to either request the governor to call a special session or get a bill ready for the 2011 Legislature.

The two houses said there was no time to consider all the interests and hear the parties during the special session that ended early Monday morning.

Acting State Engineer Jason King on Wednesday scheduled a workshop for March 16 in Carson City to be teleconferenced to Las Vegas to take testimony on such things as the protection of existing water rights, the status of pending applications, preservation of priorities and application of protest periods.

Sen. Randolph Townsend, R-Reno, said he appreciates the quickness in which King acted because this issue has “gigantic financial impacts” for Southern Nevada.

He said homebuilders, developers and new casino projects must have water rights to get financing or loans. And these water rights must extend the length of the loan or bond, Townsend said in a television interview on “Face the State.”

And those with existing water rights could face higher interest rates on existing bonds or loans if their water rights are called into question, Townsend said.

The Supreme Court on Jan. 28 ruled that the state engineer in 2007 violated the law in approving rights for the Southern Nevada Water Authority to withdraw 40,000 acre feet a year from Spring Valley in Eastern Nevada.

It overturned the ruling of District Judge Norman Robison and ordered him to decide whether the water authority must file new applications or if the state engineer must only reopen the protest period and the hearings.

The water authority has asked the Supreme Court to reconsider its decision. And it has refiled new applications for water rights in Eastern Nevada.

The court said the law was violated in this case because the state engineer did not make a decision within one year. That throws into question the approved water rights of thousands of others.

Without time to fully consider the issue, the Legislature said passing a bill in the closing hours of the special session “without sufficient deliberation will only raise more issues than it solves and will likely cause unintended and potentially harmful consequences.”

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