§ 99-1-305 — Terms; management plan; restriction on sale of water and the project; loan acceleration

(a) There shall be no lease, sale, assignment or transfer
of ownership of water from the project for purposes other than
the board's municipal or domestic use without written prior
approval of the commission and the state engineer or board of
control. If such a transaction is approved, the revenues
generated by the lease, sale, assignment or transfer of
ownership of water from the project shall be utilized to retire
principal on the loan described in section 4(a) of this act [§
99-1-304(a)] consistent with the provisions of W.S.
16-1-107(a)(iii). After that loan is paid in full the board
shall receive thirty-three percent (33%) of the revenues
generated by the lease, sale, assignment or transfer of
ownership of water from the project and the state of Wyoming
shall receive sixty-seven percent (67%) of the revenues
generated by the lease, sale, assignment or transfer of
ownership of water from the project consistent with the
provisions of W.S. 16-1-107(a)(iii).
(b) There shall be no lease, sale, assignment or transfer
of ownership of the project until the loan described in Section
4(a) is paid in full, and until prior written approval is
obtained from the commission. If these conditions are met, the
board shall receive thirty-three percent (33%) and the state of
Wyoming shall receive sixty-seven percent (67%) of the revenues
generated by the lease, sale, assignment or transfer of
ownership of the project. Before the board may lease, sell,
assign or transfer ownership of the project, the state of
Wyoming shall be given a one (1) year first right of refusal
option to purchase the board's interest in the project for an
amount equal to the principal, interest, maintenance and
replacement costs incurred by the board at the date the option
is exercised.
(c) After the loan described in Section 4(a) of this act
is paid in full, the board may purchase the position of the
state of Wyoming, as described in subsections (a) and (b) of
this section, for the amount of the grant described in Section
4(b) of this act plus the interest that would have accrued on
the grant amount in the water development account from the date
the project was substantially completed as defined by the
commission. The interest that would have accrued on the grant
amount shall be established by the state auditor.
(d) Any revenues generated by the state from the lease,
sale, assignment or transfer of ownership of project water or
the project itself shall be deposited in water development
account I. (Laws 1990, ch. 83, §§ 5a, 5b, 5c, 5d; 1991, ch. 231,
§ 6.)