| (14) |
| (a) | A contract entered into or renewed on or after July 1, 2025, between a secondary water supplier and an end user shall allow for billing by tiered conservation rates. |
| (b) | Except as provided in Subsection (14)(f), by no later than July 1, 2030, regardless of whether the secondary water supplier is fully metered or has modified existing contracts with end users, a secondary water supplier shall begin billing an end user using a tiered conservation rate that considers:
| (ii) | water conservation; and |
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| (c) | A secondary water supplier may comply with Subsection (14)(b) by entering into a contract with a third-party, including the public water system that serves an end user of the secondary water supplier, to bill the end user according to end user's usage of secondary water and the secondary water supplier's tiered conservation rate. |
| (d) | By no later than April 1, 2030, a secondary water supplier shall provide an educational component for end users as determined by the division by rule made in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, either on a monthly statement or by an end user specific Internet portal that provides information on the end user's usage more frequently than monthly. |
| (e) | A public water system:
| (i) | shall enter into a contract with a secondary water supplier described in Subsection (14)(c) upon request from the secondary water supplier if the secondary water supplier agrees to provide water use and other data necessary for accurate billing in a file format compatible with the public water supplier's billing system; |
| (ii) | may collect the costs associated with billing on behalf of a secondary water supplier under this section from the secondary water end users, including reasonable administrative and overhead expenses; and |
| (iii) | shall, as the public water supplier and the secondary water supplier find necessary or convenient, exchange with the secondary water supplier, for the purpose of maintaining accurate records, relevant information with regard to an end user of the secondary water supplier, such as:
| (B) | an address where the secondary water is delivered; |
| (C) | a parcel identification number; and |
| (D) | ownership information. |
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| (f) |
| (i) | A secondary water supplier is not required to bill an end user a tiered conservation rate if the secondary water supplier is:
| (A) | exempt from metering under Subsection (9), (10), or (11); or |
| (B) | authorized to meter at strategic points of the system under Subsection (13). |
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| (ii) | Notwithstanding the other provisions of this section, on or after July 1, 2030, a secondary water supplier with a tiered conservation rate under this Subsection (14) shall charge an end user at the lowest rate of the tiered conservation rate if the end user is using a portion of the water to grow food, including growing a garden, fruit trees, or pasture for grazing. |
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| (g) |
| (i) | If a secondary water supplier violates this Subsection (14) on or after April 1, 2030, the secondary water supplier:
| (A) | may not receive state money for water related purposes until the secondary water supplier complies with this Subsection (14); and |
| (B) | is subject to an enforcement action of the state engineer in accordance with this Subsection (14)(g). |
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| (ii) | The state engineer shall commence an enforcement action under this Subsection (14)(g) if the state engineer receives a referral from the director of the Division of Water Resources. |
| (iii) | The director of the Division of Water Resources shall submit a referral to the state engineer if the director:
| (A) | finds that a secondary water supplier fails to comply with this Subsection (14); and |
| (B) | determines an enforcement action is necessary to conserve or protect a water resource in the state. |
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| (iv) | To commence an enforcement action under this Subsection (14)(g), the state engineer shall issue a notice of violation that includes notice of the administrative fine described in Subsection (14)(g)(xiii) to which a secondary water supplier is subject. |
| (v) | The state engineer's issuance and enforcement of a notice of violation is exempt from Title 63G, Chapter 4, Administrative Procedures Act. |
| (vi) | In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the state engineer shall make rules necessary to enforce a notice of violation, that includes:
| (A) | provisions consistent with this Subsection (14)(g) for enforcement of the notice if a secondary water supplier to whom a notice is issued fails to respond to the notice or abate the violation; |
| (B) | the right to a hearing, upon request by a secondary water supplier against whom the notice is issued; and |
| (C) | provisions for timely issuance of a final order after the secondary water supplier to whom the notice is issued fails to respond to the notice or abate the violation, or after a hearing held under Subsection (14)(g)(vi)(B). |
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| (vii) | A person may not intervene in an enforcement action commenced under this Subsection (14)(g). |
| (viii) | After issuance of a final order under rules made pursuant to Subsection (14)(g)(vi), the state engineer shall serve a copy of the final order on the secondary water supplier against whom the order is issued by:
| (A) | personal service under Utah Rules of Civil Procedure, Rule 5; or |
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| (ix) | The state engineer's final order may be reviewed by trial de novo by a court with jurisdiction in Salt Lake County or the county where the violation occurred. |
| (x) | A secondary water supplier shall file a petition for judicial review of the state engineer's final order issued under this Subsection (14)(g) within 20 days from the day on which the final order was served on the secondary water supplier. |
| (xi) | The state engineer may bring suit in a court to enforce a final order issued under this Subsection (14)(g). |
| (xii) | If the state engineer prevails in an action brought under Subsection (14)(g)(x) or (xi), the state may recover court costs and reasonable attorney fees. |
| (xiii) | The administrative fine imposed under this section shall be an amount not to exceed the sum of any money received by the secondary water supplier under this section or Section 73-10-34.5 to fund costs related to metering. |
| (xiv) | Money collected under this Subsection (14) shall be deposited into the Water Resources Conservation and Development Fund, created in Section 73-10-24. |
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