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<br />001545 <br /> <br />regulated by the states in <br /> <br />an evenhanded manner but only w~o;:n <br />. '-.i:''''~: <br /> <br />necessary to promote a legitimate local interest. <br /> <br />rd. <br /> <br />While <br /> <br />,~, <br /> <br />confirming that the protection of the p1.lblic welfare and the <br /> <br />conservation of water were legitimate reasons for regulating and <br />for limiting the interstate transfer of water rights, federal law <br /> <br />II' <br /> <br />now requires that a state must demonstr,ate a specific state <br /> <br />conservation and welfare interest and any limitation on interstate <br /> <br />commerce must be narrowly drawn to achieve that specific purpose. <br /> <br />( <br /> <br />As stated by Johnson and Dumars, supra, at p.383: <br /> <br />(, <br /> <br />[T]he range of reaction in prior appropriation <br />states to the potential for interstate <br />transfers of water has been varied. ' Some <br />states have attempted to capture economic <br />value as water is transferred out of the state <br />by assessing export fees or by establishing a <br />lease system. Others have attempted to <br />control the activity through legislative <br />approval of transfer. Still others have <br />adopted broad, even-handed criteria related to <br />the conservation of water and the public <br />welfare similar to that referred to as <br />, legi tima te ' in Sporhase. Others ha ve <br />attempted to promote bona fide water planning <br />with respect to unappropriated water to insure <br />that their state has sufficient water s1.lpplies <br />in the future. The constitutionality of each <br />of these provisions will undoubtedly depend on <br />the factual context in which they are <br />challenged and the evolution of Supreme Court <br />case law. <br /> <br />~ <br /> <br />Regardless of whether transfers are intrastate or interstate, <br /> <br />certain conditions must be met. First, the water transferred must <br /> <br />be put to some beneficial use, second, existing water right users <br /> <br />, <br />, <br /> <br />must not be impaired by such transfers, and third, areas of origin <br /> <br />must be protected, i.e. a replacement economic activity needs to}?e <br /> <br /> <br />arranged for those areas subject ,to a long-term transfer of water. <br /> <br />\. <br /> <br />19 <br />