Code of Colorado Regulations
400 - Department of Natural Resources
402 - Division of Water Resources
2 CCR 402-12 - RULES GOVERNING THE ARKANSAS RIVER WATER BANK PILOT PROGRAM
2 CCR 402-12.3 - Definitions

1. "Bankable water" means any Legally Stored Water that meets the necessary criteria established by these rules. Direct flow water rights are not included in this definition.

2. "Article Il water" means Legally Stored Water stored within individual Water District 67 ditch accounts pursuant to Section II of the Resolution Concerning an Operating Plan for John Martin Reservoir adopted by the Arkansas River Compact Administration on April 24, 1980 (as amended) and accounted as "winter stored water" under "Agreement B" dated November 1984.

3. "Beneficial consumptive use" means the amount of water actually consumed in applying the water right to its legal use.

4. "Deposit account" means the amount of Legally Stored Water a person or entity places in the water bank.

5. "Interruptible supply" means the temporary cessation of the historic use of stored water and the temporary use of such water at another location, and/or for a different use, and/or at a different time. Such temporary cessation/use may be during a full or partial season of historic use.

6. "Legally stored water" means water legally stored pursuant to a water court decree, statutory provision, or an existing authorization of the Arkansas River Compact Administration, and that is physically in such storage within 60 days of deposit/enrollment in the Water Bank.

7. "Option agreement" means an agreement by which a buyer pays a seller for the option to use a specified amount of stored water and pays for the right, but is not obligated, to purchase a defined amount of banked water at a specified price within a fixed time period. The buyer of the option may be required to pay a defined premium to the seller for this right. An option agreement may authorize the water bank operator to release deposited water for the seller's use at times when the water is available for use and the buyer is not exercising the option, or allow the seller to use the stored water until the option is exercised.

8. "Return flow(s)" means the amount of the water that is not consumed and returns to the stream following a legal use of a given amount of water.

9. "Transit loss" means the amount of water deducted by the Division Engineer in the delivery of water from one point to another due to stream and environmental conditions.

10. "Water bank" means the Arkansas River Water Bank, which is a program authorized by the

Colorado General Assembly to receive and safeguard legally stored water for exchange, lease, options or loans and to facilitate such transactions.

11. "Water banking" means temporarily placing legally stored water into an account within the Water Bank whereby that water is then leased, loaned, optioned or exchanged to another user.

12. "Transaction fee" may include a percentage of water in lieu of monetary compensation.

13. "Water bank operator" means the State Engineer, a delegated public entity or a delegated public-private partnership who administers the water bank and is entitled to charge a transaction fee for deposits, withdrawals, or both, sufficient to cover the bank's administrative costs.

14. "Winter water" means water stored using the Winter Water Storage Program as described in Case No. 84CW179, Water Division 2.