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Statement of Basis, Statutory Authority, and Purpose Page 3 of 5 Amendment of Designated Basin Rules 4.2.8, 5.3.9, 5.11.5, 5.11.6.B, 7.5, 7.11 and 14 September 30, 2022 the terms of the right as they existed prior to the change could allow future use of the right to be expanded beyond its historical use. • The Commission staff further believes that allowing future use of the water right to be greater than the historical use contradicts the standard for all other changes of water rights that all future use be limited to the true measure of the right based on the historical use. • The Commission staff further believes that allowing the changed water right to operate under the terms of the right as they existed prior to the change could be interpreted as inappropriately allowing the right to be used as if the historical use determination and the change of water right had never been approved. • The amendment to Rule 7.5 results in application of the same standard to a change of water right for an increase in permitted irrigated acres as is applied to all other changes of water rights, which is that all future use of the right is limited based on the historical use of the right. • Consistent with Rule 3.7, which states "[t]he Rules are not intended to change any terms or conditions of any permits already issued or of any approvals already granted", and Rule 7.1.1, which states "[t]his rule applies to all Changes of Water Rights to designated ground water to be processed pursuant to Section 37-90-111(1)(g), C.R.S.", this amendment to Rule 7.5 does not remove or change any operational flexibility contained in any previously approved changes of water right for an increase in permitted irrigated acreage, as such flexibility was allowed by previous versions of these rules and may have been granted by previous approvals. By way of example and not limitation, these changes to Rule 7.5 do not alter or amend a previous change approval that provides a Well Owner with the ability to choose to operate, in any given year, under terms of the original permit or the approved expanded acres. • Amended Rule 7.5.6, and new Rules 7.5.6.1 and 7.5.6.2, are intended to address the concerns of certain districts in the Northern High Plains regarding administration of previous approvals of a change of water right to increase the permitted irrigated acreage. The districts raised concerns that any changes to current Rules 7.5.4 and 7.5.6 which remove any reference to the operational flexibility allowed under the current Rules would lead to ambiguity and frustrate the administration of existing approvals, particularly for those permits that provide a Well Owner with the ability to operate under either the terms of the approved change or the terms of the original permit, but do not explicitly state such operational flexibility may occur on a year-to-year basis. To address these concerns, the districts requested that memorialization of the former operational flexibility be incorporated into these Rule amendments to reduce the potential for issues to arise in the future regarding administration of these existing approvals. The districts also raised concerns regarding the conditions under which a changed water right may be allowed to operate under the original permit with the annual appropriation described in the original permit. To address these issues, Rule 7.5.6 was amended to identify the date upon which the previous ability to approve such alternate operation ended and make clear that previously approved changes are not altered by this rulemaking. In addition, new Rule 7.5.6.1 was added to clarify that previous approvals that allow a water right to irrigate increased acres and the acres under the original permit but do not explicitly provide that such alternate operations are allowed on a year-to-year basis are to be understood as allowing such alternate