§ 41-2-124 — Accounts created; unexpended balance

(a) The following accounts are created:
(i) Water development account I into which shall be
deposited revenues pursuant to law;
(ii) Water development account II into which shall be
deposited revenues pursuant to law;
(iii) Water development account III into which shall
be deposited revenues pursuant to law.
(b) Any unexpended balance in water development accounts
I, II and III as defined by subsection (a) of this section shall
be invested by the state treasurer and the interest earned shall
be credited to the account.
(c) The state treasurer shall transfer such sums of money
from water development accounts I and II created by subsection
(a) of this section to the state drinking water revolving loan
account created by W.S. 16-1-302 to provide not to exceed one-
half (1/2) of the twenty percent (20%) state matching funds for
each federal capitalization grant to the drinking water state
revolving fund program account. The transferred funds shall be
proportioned between water development accounts I and II as
directed by the water development commission.
(d) No new dam with storage capacity of less than two
thousand (2,000) acre-feet of water or expansion of a dam with a
storage capacity of less than one thousand (1,000) acre-feet of
water shall be funded with funds from water development account
III. Without the approval of the legislature, funds deposited
into water development account III shall not be diverted from
that account, other than for the purpose of financing projects
related to dam construction or expansion.
(e) There is transferred to the water development account
III created by paragraph (a)(iii) of this section effective July
1, 2005:
(i) Fifty-four million seventy thousand dollars
($54,070,000.00) from water development account I reserved for
the Green River/Wind River project development fund established
in W.S. 99-3-604. The transfer of money into water development
account III shall not eliminate recognition of the water storage
potential in the Green River/Wind River basins;
(ii) Ten million dollars ($10,000,000.00) from the
budget reserve account.
(f) There is created the emergency water projects account.
All funds in the account are continuously appropriated to the
water development commission for the purpose of funding
emergency water projects as authorized by this subsection and
subsections (g) and (h) of this section. Except for funds
associated with the voluntary pool program that are placed in
the voluntary pool program subaccount within the emergency water
projects account, funds within the emergency water projects
account shall be invested in the pool A investment account by
the state treasurer pursuant to W.S. 9-4-715(p). Earnings from
funds in the account shall be deposited in the account.
Notwithstanding W.S. 9-1-417, if the state loan and investment
board determines that funds in the account are insufficient to
make payment for the full cost of addressing emergency water
projects which may occur in any year, the board is authorized to
obtain a loan from the legislative stabilization reserve account
of up to two million dollars ($2,000,000.00) which loan shall be
repaid by interest earnings or loan repayments from the
emergency water projects account.
(g) Emergency water projects funded from the emergency
water projects account under subsection (f) of this section
shall be limited as follows:
(i) Emergency water projects shall consist only of
repair, replacement or maintenance that is required for
irrigation infrastructure which is rendered or likely to be
rendered permanently inoperable due to an act of God including
fire, earthquake, hurricane, storm or other similar natural
disaster or phenomena or an unforeseen or impending natural or
man-made event that requires immediate action to prevent a
threat to or loss of life or property;
(ii) Only political subdivisions that own or have the
legal responsibility to operate or maintain irrigation
infrastructure shall be eligible for emergency water project
funding.
(h) The commission shall adopt rules providing for
eligibility determination, procedures and criteria for the
application and award of funds from the emergency water projects
account. The total amount awarded under this subsection for each
emergency project shall not exceed three million dollars
($3,000,000.00) per fiscal biennium. The maximum grant amount
awarded for each emergency project shall not exceed seventy-five
percent (75%) of the total emergency project costs, the
remaining twenty-five percent (25%) may be funded by the
commission in the form of a loan. The term of a loan shall not
exceed fifty (50) years and interest shall provide a reasonable
return and shall not be less than four percent (4%). The
commission shall include the total amount of all emergency water
project grant or loan funds provided under this subsection and
subtract that total from the maximum allowable grant under W.S.
41-2-121(a)(ii)(E)(I) for a subsequent water development project
involving the same entity and project components. All emergency
water projects account funds awarded under this subsection shall
be approved by the state loan and investment board after review
and recommendation by the water development commission prior to
the release of funds.
(j) The water development commission shall adopt rules
authorizing a voluntary pool program within the emergency water
projects account. Participant contributions to the voluntary
pool program shall be deposited in a subaccount and funds within
the subaccount shall be expended only for emergency projects
involving a participant in the voluntary pool program. For
accounting and investment purposes only, all subaccounts shall
be treated as separate accounts. Expenditures from the voluntary
pool program may be credited in whole or in part to the twenty-
five percent (25%) loan for funding an emergency project of a
participant.
(k) As used in this section, "irrigation infrastructure"
includes dams, canals, ditches, pipelines, aqueducts, tunnels,
pumping stations, drainage and flow regulating structures.