13.20.060 Annexations.
A. Requirement for Transfer and Conveyance of Water Rights. Prior to approval of any annexation subject to this chapter, a property owner(s) who has petitioned for annexation shall transfer and convey water rights in the full amount deemed necessary to serve the property proposed for annexation based on the city’s equivalent residential unit calculation, as provided in Section 13.20.070(B), below.
B. Annexation/Development Agreement. As an alternative to the transfer and conveyance of water rights as set forth in Section 13.20.060(A) above, and at the election of the city, the property owner(s) and the city may enter into an annexation/development agreement, in which the city may: waive the requirement for transfer and conveyance of the full amount of water rights necessary to serve the property proposed for annexation where the property owner(s) agrees to make payments pursuant to Section 13.20.070 below in lieu of transfer and conveyance of water rights; limit total water usage on the property; implement conservation measures; and/or provide such other consideration to the city as determined by the city council. The city and the property owner(s) may also enter into an agreement, at the election of the city, to delay the transfer and conveyance to the city of the water rights associated with the subject property until such future point in time as the city determines appropriate, for the purpose of accommodating potential delays encountered in the transfer process or to accommodate continued use of water rights associated with uses in existence at the time of annexation and anticipated to continue until further development of the subject property occurs. In determining whether to waive or delay the requirement for transfer and conveyance of the full amount of water needed by the property proposed for annexation, the city shall consider factors including but not limited to the following:
1. The amount of water available within the city’s water system for other new development, redevelopment, and/or annexations;
2. Prevailing and projected environmental conditions affecting the amount of the city’s water supply, including snowpack, precipitation, drought, temperature, and ocean current patterns (including La Nina or La Nino systems);
3. Prevailing and projected rates of new development and annexation within the city and Kittitas County;
4. The availability of existing water rights for purchase and the legal and environmental potential for new water rights by the city; and
5. Potential tax revenue or other public benefits to be provided by proposed development associated with a proposed annexation.
As part of any such alternative Annexation/Development Agreement, the city may require the property owner(s) to:
1. Acquire adequate water rights and transfer and convey the same to the city;
2. Deposit an amount into the city water fund equal to the payment in lieu of transfer provided in Section 13.20.070, which sum is refundable to the extent of the successful transfer of the water rights; and/or
3. Submit and diligently pursue approval of the water right transfer and conveyance at the expense of the property owner(s).