Department of Ecology
Committees, Boards, and Workgroups

The 2021 state operating budget (page 316) directed Ecology to work with Tribes and stakeholders to “refine recommendations on improving the state’s framework for water banking, water trust, and water right transfers.” Specifically, these recommendations are intended to address “issues of private investment in water banking and the merits of incentives and regulations pertaining to the out-of-basin transfer of water rights.”

Final Report

Ecology has completed the final Legislative Report on Water Right Transfers, Water Banking, and Trust and has delivered the report to the Legislature. To view the final report please use the link below:

• Final Legislative Report on Water Right Transfers, Water Banking, and Trust

Previous Work

Draft Report

Although not required, Ecology gave the public the opportunity to provide feedback on our draft report and recommendations. Please follow the link below to view the draft report:

• Draft Legislative Report on Water Right Transfers, Water Banking, and Trust

Identify Possible Statutory Changes for Legislative Report

We convened Tribes and stakeholders to discuss possible statutory changes to address concerns with private investment in water rights, speculation using the trust water rights program and water banks, and the impacts of out-of-basin water right transfers. Ecology developed eight draft discussion papers to facilitate these conversations. Each of these draft discussion papers described one or more concepts for a potential Legislative change that may help address these issues. These eight concepts were developed based on input from Tribes and stakeholders in 2020 and 2021, and analysis Ecology conducted using the water right tracking database.

Draft Discussion Papers:

• Refine and expand public interest evaluations
• Limit who can use trust and banking
• Limit new temporary donations
• Address out-of-basin water right transfers
• Streamflow dedication for new water banks
• Encourage efficient water markets
• Water right sales disclosure
• Graduated fees for new water banks

 Relevant Information From Other Work

• Ecology’s update to the House Rural Development, Agriculture, & Natural Resources Committee on November 19, 2021:
  • Agenda and Documents: https://app.leg.wa.gov/committeeschedules/Home/Documents/29307?//0/10-31-2021/12-31-2021/Schedule///Bill/.
  • Video (starts at 53:50): https://www.tvw.org/watch/?clientID=9375922947&eventID=2021111060&startStreamAt=3230.
• Information on the Advisory Group on Water Trust, Banking, and Transfers, including Ecology’s findings and recommendations: https://www.ezview.wa.gov/site/alias__1962/37617/advisory-group-water-trust-banking-transfers.aspx.
• Background information on water right transfers: https://www.ezview.wa.gov/site/alias__1962/37696/water_right_transfers_project.aspx.
• Draft Policy and Interpretive Statement on Administration of the Statewide Trust Water Rights Program (includes links to Draft Guidance and Form to Request to Establish or Modify a Water Bank): https://apps.ecology.wa.gov/publications/SummaryPages/2111017.html.