Oregon committee advances package of water, land‑use and wildlife measures; heated debate on exempt‑well commercial gardening cap

The House Committee on Agriculture, Land Use, Natural Resources and Water on April 9 advanced a package of bills that change how Oregon regulates some water uses, how the Oregon Water Resources Department (OWRD) is funded and staffed, and how certain land divisions and predator‑control districts are handled.

The committee voted to move multiple bills to the House floor or to the Joint Committee on Ways and Means after amendments. The most contested item was House Bill 3,372 (dash 5), which would allow exempt domestic wells to withdraw up to 3,000 gallons per day to irrigate up to one‑half acre of lawn, personal garden or commercial garden; that bill passed the committee after extended debate.

Why it matters: The measures touch everyday uses of groundwater, fees that pay for OWRD services, local land‑use transactions and programs that affect rural producers and small‑scale agriculture. The committee’s votes set the measures up for floor consideration and for funding decisions in Ways and Means.

House Bill 3,372 — exempt wells and small commercial gardens House Bill 3,372 as amended (dash 5) would explicitly authorize exempt domestic well users to withdraw up to 3,000 gallons per day to irrigate up to one‑half acre, and it distinguishes commercial gardens from other uses so those sellers of produce would not automatically be required to obtain a water right for that limited activity. The amendment was described by committee staff as a balance between access for small growers and protections for water resources.

Representative E. Warner Raschke (Klamath/Deschutes), who opposed unconstrained out‑of‑state transfers in a separate bill earlier in the hearing, testified about the policy context for transfers and water ownership. He quoted statute in arguing for careful review of transfers: “ORS 537.11 ... all water within the state from all sources of water supply belong to the public.”

Raquel Ranciere, deputy director at the Oregon Water Resources Department, told the committee the amendment “does not address stock watering,” clarifying that the measure was not intended to change the existing stock‑watering exemptions and that the department already has authority to require measuring devices where it suspects violations of exempt‑use limits.

Supporters said the bill helps small‑scale growers, farmers’ market vendors and food‑resilience projects that lack the resources to buy water rights. Opponents raised enforcement and equity concerns: some members said the provision could be a carve‑out that avoids measurement and reporting and complicates the department’s water‑data efforts.

Outcome: The committee adopted the dash 5 amendment and moved HB 3,372 to the House floor with a due‑pass recommendation.

OWRD fees and staffing — HB 2,803, HB 3,484, HB 2,808 and HB 2,165 (package) The committee took several linked actions on OWRD funding and fees.

- House Bill 2,803 (dash 3) reduced the originally proposed increases in some water‑right transaction fees to a 50% increase for those transaction fees and retained other proposed fee adjustments (for example, dam‑safety related fees). Committee discussion framed the change as a compromise to limit the fee burden on water users while recognizing the department’s staffing needs.

- House Bill 3,484 (dash 9) would appropriate $1,700,000 from the general fund to OWRD to “buy back” seven full‑time equivalent positions that fee changes would not fully support. Committee members said the one‑time appropriation is intended to preserve the department’s current processing capacity while the fee package and future budgets are resolved in Ways and Means.

- House Bill 2,808 would raise fees related to well construction (including start‑card fees); committee staff and the department described the start‑card fee as the primary revenue source for the well‑construction program and said a larger share of staff (about 9.8 FTE) is currently supported by that fee, which supported the proposed larger percentage increase for start cards versus other licensing fees.

- House Bill 2,165 would appropriate $830,415 general fund to OWRD for well construction and compliance work.

Committee members divided on the package. Some said it was necessary to avoid staff losses at OWRD and to reduce long backlogs in water‑right processing; others warned that fee increases should be backstopped by Ways and Means and the governor’s budget and expressed discomfort asking water users to shoulder substantial costs without a firm general‑fund pledge.

Outcome: The committee adopted the dash 3 to HB 2,803 and moved the amended bill to the House floor with a due‑pass recommendation and referral to the Joint Committee on Ways and Means. HB 3,484 (the $1.7M appropriation) also moved to Ways and Means with a due‑pass recommendation. HB 2,808 and HB 2,165 likewise moved forward with referrals to Ways and Means.

Klamath Basin transfers — House Bill 2,801 Representative E. Warner Raschke (Klamath/Deschutes) explained House Bill 2,801, which would extend the interim period allowing temporary transfers of determined water claims in the Klamath Basin until the Klamath County Circuit Court issues a water‑rights decree for that adjudication. Raschke reviewed the history: Senate Bill 206 (2015) set a 10‑year period that was intended to coincide with the adjudication, but the court decree has not yet issued, so the temporary allowance is expiring.

Raschke also reiterated concerns about the 2010s Thomas family transfer and whether transfers outside Oregon that resulted in federal payments comport with statutes that say water “belong[s] to the public.” He said he plans an amendment in the Senate to set stricter standards for out‑of‑state transfers and to work with OWRD in the interim.

Outcome: The committee moved HB 2,801 to the House floor with a due‑pass recommendation.

Remainder lots and land‑use clarification — House Bill 3,858 (dash 2) House Bill 3,858 (dash 2) seeks to clarify the ability of landowners to convey remainder parcels created by a division without requiring a second survey or additional paperwork that some landowners and buyers have found creates legal uncertainty after a recent LUBA decision. Supporters described the measure as a technical fix to prevent transaction delays for property owners; opponents and some land‑use advocates urged more time to review potential consequences for farm and forest zoning and asked for more legislative oversight.

Committee discussion focused on preserving existing zoning protections while correcting transactional law. Co‑chairs said corrective language and follow‑up fixes would be possible if unintended consequences appear.

Outcome: The committee adopted the dash 2 amendment and moved HB 3,858 to the floor with a due‑pass recommendation.

Predator damage control districts — House Bill 2,403 House Bill 2,403 would allow counties to form voluntary predator damage control districts to fund county services to prevent and mitigate property damage from predatory animals. The bill requires a threshold (at least 10 landowners holding a combined minimum acreage) and a five‑member board with representation from landowners and county commissioners.

Supporters said the districts would expand options for prevention, nonlethal tools and coordinated response; some colleagues said methodologies, oversight and use of Wildlife Services require further conversation and signaled they would address those questions in the Revenue Committee or later sessions.

Outcome: The bill passed the committee with a due‑pass recommendation and will be referred to the House Committee on Revenue.

Other items moved The committee also advanced several relatively noncontroversial or technical items, including: - House Bill 3,544 (dash 5), which standardizes contested‑case procedures related to water rights and includes timing adjustments; the amendment was adopted and the bill was referred to Ways and Means. - House Bill 3,342 (dash 4), which includes process improvements and documentation changes for OWRD; the committee adopted the dash 4 and moved the bill to the floor with a due‑pass recommendation. - House Bill 2,773 (dash 9), a grant program directed to the Oregon Department of Fish and Wildlife for urban fishing‑access projects (described as using dedicated bond funds); the amendment passed and the bill was referred to Ways and Means. - House Bill 3,596, a study appropriation for mule deer in the Steens Mountain herd range; committee members discussed the study cost and its referral to Ways and Means and moved it forward.

What the committee did not decide Several members urged follow‑up work in Ways and Means and on the floor, particularly on the fee and staffing package for OWRD and on the monitoring/enforcement mechanisms for exempt water uses. Several speakers asked the department for written commitments on enforcement practice where language could be misread.

Ending Committee co‑chairs closed the session after moving the listed bills forward. Co‑chairs and members said they expect additional technical fixes and follow‑up work in the Senate or in Ways and Means where funding and statutory cross‑references can be reconciled.