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(a) If the commissioner grants an applicant preferred use status under 11 AAC 93.250, the commissioner will issue a permit to appropriate for preferred use when
(1) notice has been given under 11 AAC 93.080; and
(2) the applicant has submitted to the commissioner either certified copies of any compensation agreements or any court orders directing the payment of compensation.
(b) If there are no compensation agreements or orders and if limited water availability has resulted in the need for immediate action, the commissioner will:
(1) order the applicant to post a bond or certificate of deposit, in the name of the department and the applicant, in an amount the commissioner considers necessary to compensate prior lawful appropriators of record for damages sustained as the result of the reallocation; and
(2) order reallocation of available water among all users by established priority.
(c) An order issued under (b) of this section continues in effect until an agreement on compensation is arrived at as provided in (a) of this section or until the limited water condition is over.
History: Eff. 2/8/67, Register 23; am 12/29/79, Register 72; am 11/7/90, Register 116
Authority: AS 46.15.020
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Last modified 7/05/2006