Oregon Revised Statutes

Or. Rev. Stat. § 540.520 (2026)

Application for change of use, place of use or point of diversion; public notice; protest; proposed final order; hearing; exemptions

✓ current as of May 2026

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540.520 Application for change of use, place of use or point of diversion; public notice; protest; proposed final order; hearing; exemptions. (1)(a) Except when the application is made under ORS 541.327 or when an application for a temporary transfer is made under ORS 540.523, if the holder of a water use subject to transfer for irrigation, domestic use, manufacturing purposes, or other use, for any reason desires to change the place of use, the point of diversion, or the use made of the water, an application to make such change, as the case may be, shall be filed with the Water Resources Department.

(b) A holder of a water right certificate that authorizes the storage of water may change the type of use identified in the water right certificate, as described in this section.

(2) The application required under subsection (1) of this section shall include:

(a) The name of the owner;

(b) The previous use of the water;

(d) A description of the premises upon which it is proposed to use the water;

(e) The use that is proposed to be made of the water;

(f) The reasons for making the proposed change; and

(g) Evidence that the water has been used over the past five years according to the terms and conditions of the owner’s water right certificate or that the water right is not subject to forfeiture under ORS 540.610.

(3) If the application required under subsection (1) of this section is necessary to allow a change in a water right pursuant to ORS 537.348, is necessary to complete a project funded under ORS 541.932, or is approved by the State Department of Fish and Wildlife as a change that will result in a net benefit to fish and wildlife habitat, the Water Resources Department, at the discretion of the Water Resources Director, may waive or assist the applicant in satisfying the requirements of subsection (2)(c) and (d) of this section. The assistance provided by the department may include, but need not be limited to, development of an application map.

(4) If the application is to change the point of diversion, the transfer shall include a condition that the holder of the water right provide a proper fish screen at the new point of diversion, if requested by the State Department of Fish and Wildlife.

(5) The Water Resources Department shall undertake an initial review of an application under subsection (1) of this section.

(6)(a) Upon completion of the initial review, the department shall notify the applicant of its preliminary determinations, identify any outstanding information that is necessary to continue processing the application and allow the applicant 30 days from the date of notice to:

(A) Notify the department to stop processing the application; or

(B) Notify the department to continue processing the application and provide any outstanding information to the department.

(b) If, within 30 days from the date of the notice, the applicant does not notify the department as provided in paragraph (a) of this subsection, does not provide all outstanding information as provided in paragraph (a)(B) of this subsection or notifies the department to stop processing the application, the department shall close the file for the application and take no further action on the application. The department may allow an applicant up to 60 additional days to provide outstanding information if the applicant requests additional time and the department determines that the applicant is undertaking reasonable efforts to provide the information in a timely manner to the department.

(c) If, within 30 days from the date of the notice or an additional time period allowed under paragraph (b) of this subsection, the applicant notifies the department to proceed with the application and provides any outstanding information necessary to continue processing the application, the department shall:

(A) Proceed with processing the application.

(B) Give notice of the initial review in the weekly public notice of the department and accept written public comments for 30 days.

(7) Upon issuance of a proposed final order, the department shall give notice of the order in the weekly public notice of the department. If the department determines that more than five water rights would be injured as a result of the change proposed in an application under subsection (1) of this section, the department shall publish notice once each week for two consecutive weeks in a newspaper of general circulation in the area in which the water rights are located. The cost of the publication shall be paid by the applicant in advance to the department.

(8) Within 30 days after the publication in the department’s weekly public notice any person may file a protest against the proposed final order.

(9) The provisions of ORS 536.076 and 536.077, and rules adopted thereunder, apply to a contested case proceeding on a proposed final order issued under this section.

(10) If in the opinion of the Water Resources Director a hearing is necessary to determine whether the proposed changes as described by the application would result in injury to existing water rights, the department shall hold a hearing on the matter.

(11) An application for a change of use under this section is not required if the beneficial use authorized by the water use subject to transfer is irrigation and the owner of the water right uses the water for incidental agricultural, stock watering and other uses related to irrigation use, so long as there is no increase in the rate, duty, total acreage benefited or season of use.

(12) A water right transfer under subsection (1) of this section is not required for a general industrial use that was not included in a water right certificate issued for a specific industrial use if:

(a) The quantity of water used for the general industrial use is not greater than the rate allowed in the original water right and not greater than the quantity of water diverted to satisfy the authorized specific use under the original water right;

(b) The location where the water is to be used for general industrial use was owned by the holder of the original water right at the time the water right permit was issued; and

(A) The name and mailing address of the person using water under the water right;

(B) The water right certificate number;

(C) A description of the location of the industrial facility owned by the holder of the original water right at the time the water right permit was issued; and

(D) A description of the general industrial use to be made of the water after the change. [Amended by 1983 c.807 §1; 1985 c.673 §94; 1987 c.339 §3; 1989 c.1000 §7; 1995 c.274 §7; 1995 c.490 §2; 1997 c.42 §3; 1999 c.555 §4; 1999 c.664 §2; 2011 c.52 §6; 2021 c.633 §2; 2025 c.575 §§20,20a]

Note: The amendments to 540.520 by section 20a, chapter 575, Oregon Laws 2025, become operative April 1, 2026, and apply to applications and petitions submitted on or after April 1, 2026. See section 30, chapter 282, Oregon Laws 2025, as amended by section 21b, chapter 575, Oregon Laws 2025, and see section 48, chapter 282, Oregon Laws 2025, as amended by section 21c, chapter 575, Oregon Laws 2025. The text that is operative until April 1, 2026, is set forth for the user’s convenience.

540.520. (1)(a) Except when the application is made under ORS 541.327 or when an application for a temporary transfer is made under ORS 540.523, if the holder of a water use subject to transfer for irrigation, domestic use, manufacturing purposes, or other use, for any reason desires to change the place of use, the point of diversion, or the use made of the water, an application to make such change, as the case may be, shall be filed with the Water Resources Department.

(b) A holder of a water right certificate that authorizes the storage of water may change the type of use identified in the water right certificate, as described in this section.

(2) The application required under subsection (1) of this section shall include:

(a) The name of the owner;

(b) The previous use of the water;

(d) A description of the premises upon which it is proposed to use the water;

(e) The use that is proposed to be made of the water;

(f) The reasons for making the proposed change; and

(3) If the application required under subsection (1) of this section is necessary to allow a change in a water right pursuant to ORS 537.348, is necessary to complete a project funded under ORS 541.932, or is approved by the State Department of Fish and Wildlife as a change that will result in a net benefit to fish and wildlife habitat, the department, at the discretion of the Water Resources Director, may waive or assist the applicant in satisfying the requirements of subsection (2)(c) and (d) of this section. The assistance provided by the department may include, but need not be limited to, development of an application map.

(5) Upon the filing of the application the department shall give notice by publication in a newspaper having general circulation in the area in which the water rights are located, for a period of at least two weeks and not less than one publication each week. The notice shall include the date on which the last notice by publication will occur. The cost of the publication shall be paid by the applicant in advance to the department. In applications for only a change in place of use or for a change in the point of diversion of less than one-fourth mile, and where there are no intervening diversions between the old diversion of the applicant and the proposed new diversion, no newspaper notice need be published. The department shall include notice of such applications in the weekly notice published by the department.

(6) The department shall issue a proposed final order approving or denying the application or approving the application with modifications or conditions. Within 30 days after the publication in the department’s weekly public notice any person may file a protest against the proposed final order.

(7) The provisions of ORS 536.076 and 536.077, and rules adopted thereunder, apply to a contested case proceeding on a proposed final order issued under this section.

(8) If in the opinion of the Water Resources Director a hearing is necessary to determine whether the proposed changes as described by the application would result in injury to existing water rights, the department shall hold a hearing on the matter.

(9) An application for a change of use under this section is not required if the beneficial use authorized by the water use subject to transfer is irrigation and the owner of the water right uses the water for incidental agricultural, stock watering and other uses related to irrigation use, so long as there is no increase in the rate, duty, total acreage benefited or season of use.

(10) A water right transfer under subsection (1) of this section is not required for a general industrial use that was not included in a water right certificate issued for a specific industrial use if:

(b) The location where the water is to be used for general industrial use was owned by the holder of the original water right at the time the water right permit was issued; and

(A) The name and mailing address of the person using water under the water right;

(B) The water right certificate number;

(C) A description of the location of the industrial facility owned by the holder of the original water right at the time the water right permit was issued; and

(D) A description of the general industrial use to be made of the water after the change.

Notes of Decisions

Cited in 20 cases (6 in the last 5 years), 1973–2025 · leading case: Fort Vannoy Irrigation Dist. v. Water Resources Comm'n, 188 P.3d 277 (Or. 2008).

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Fort Vannoy Irrigation Dist. v. Water Resources Comm'n, 188 P.3d 277 (Or. 2008). · cites it 10× “510(1) provides, in part: “Except as provided in subsections (2) to (8) of this section, all water used in this state for any purpose shall remain appurtenant to the premises upon which it is used and no change in use or place of use of any water for any purpose may be made…”

Fort Vannoy Irrigation Dist. v. Water Resources Comm'n, 162 P.3d 1066 (Or. Ct. App. 2007). · cites it 12× “Although the commission did not address the issue, 2 it appears to have reasoned that, as the owner of the appurtenant land, applicant is the “holder of a water use subject to transfer” under ORS 540.520 and entitled to seek a change in the diversion point for the water use.”

Huff v. Bretz, 592 P.2d 204 (Or. 1979). · cites it 4× “510 provides that: "All water used in this state for any purpose shall remain appurtenant to the premises upon which it is used and no change in use or place of use of any water for any purpose may be made without compliance with the provisions of ORS 540.520 and 540.530.…”

Hannigan v. Hinton, 97 P.3d 1256 (Or. Ct. App. 2004). · cites it 3× “510(1), which provides, in part: “Except as provided in subsections (2) to (8) of this section, all water used in this state for any purpose shall remain appurtenant to the premises upon which it is used and no change in use or place of use of any water for any purpose may be…”

Teel Irrigation Dist. v. Water Resources Dep't, 919 P.2d 1172 (Or. 1996). “ORS 540.520; ORS 540.570. Once the permittee has completed the construction and has begun applying the water to a beneficial use, a “final proof survey” is prepared as “proof’ of a perfected water right.”

Teel Irrigation Dist. v. Water Resources Dep't, 898 P.2d 1344 (Or. Ct. App. 1995). · cites it 2× “Turning to the facts of this case, Teel is an irrigation district located in Umatilla County, organized pursuant to ORS chapter 545, for the purpose of delivering irrigation water to patrons within its district. The department is the state agency charged with administering water…”

WaterWatch of Oregon v. Water Resources Dept., 468 P.3d 478 (Or. Ct. App. 2020). · cites it 3× “510(1) (pro- viding that “the holder of any water use subject to transfer may, upon compliance with the provisions of ORS 540.520 and 540.530, change the use and place of use, the point of diversion or the use theretofore made of the water in all cases without losing priority of…”

Russell-Smith v. Water Resources Dep't, 952 P.2d 104 (Or. Ct. App. 1998). · cites it 14× “510(1) forbids a water right holder from changing his or her use or place of use of the water except in accordance with the procedures of the statute: “[N]o change in use or place of use of any water for any purpose may be made without compliance with the provisions of ORS…”

Vandehey v. Wheeler, 499 P.2d 1319 (Or. Ct. App. 1973). · cites it 3× “1PZ+ArllcLMRrwGmid8O30pYKM12c5mc6ENorJRvZOY4Vur3vz/f78thkWJnzsAAAAASUVORK5CYII=" width="1122"/> *42 The water code also provided- that a water user desiring to do so could apply to the State Engineer for a change in the type or character of use or change in point of diversion or…”

Kusyk v. Water Resources Dep't, 994 P.2d 798 (Or. Ct. App. 2000). “Under ORS 540.520(6), “whenever a timely protest is filed * * * the department shall hold a hearing on the matter” pursuant to contested case procedures.”

Kerivan v. Water Resources Comm'n, 72 P.3d 659 (Or. Ct. App. 2003). · cites it 9× “Respondents note that a transfer application must, under ORS 540.520(2)(g), include “[e]vidence that the water has been used over the past five years according to the terms and conditions of the owner’s water right certificate or that the water right is not subject to forfeiture…”

Fort Klamath Critical Habitat Landowners v. Woodcock (Or. Ct. App. 2024). · cites it 21× “We describe briefly the statutory context for the issues raised by the parties on appeal, which primarily con- cern the statutory construction of ORS 540.520 and ORS 540.523. ORS 540.520 states the requirements for a perma- nent transfer of water rights: “(1)(a) Except * * *…”

Show all 20 citing cases →

— Or. Rev. Stat. § 540.520(1) — 4 cases

Fort Vannoy Irrigation Dist. v. Water Resources Comm'n, 162 P.3d 1066 (Or. Ct. App. 2007). “Although the commission did not address the issue, 2 it appears to have reasoned that, as the owner of the appurtenant land, applicant is the “holder of a water use subject to transfer” under ORS 540.520 and entitled to seek a change in the diversion point for the water use.”

Russell-Smith v. Water Resources Dep't, 952 P.2d 104 (Or. Ct. App. 1998). “510(1) forbids a water right holder from changing his or her use or place of use of the water except in accordance with the procedures of the statute: “[N]o change in use or place of use of any water for any purpose may be made without compliance with the provisions of ORS…”

Fort Klamath Critical Habitat Landowners v. Woodcock (Or. Ct. App. 2024). “We describe briefly the statutory context for the issues raised by the parties on appeal, which primarily con- cern the statutory construction of ORS 540.520 and ORS 540.523. ORS 540.520 states the requirements for a perma- nent transfer of water rights: “(1)(a) Except * * *…”

Fort Klamath Critical Habitat Landowners v. Woodcock (Or. Ct. App. 2024).

— Or. Rev. Stat. § 540.520(1)(a) — 2 cases

East Valley Water v. Water Resources Comm'n, 374 Or. 148 (Or. 2025).

— Or. Rev. Stat. § 540.520(2) — 3 cases

Fort Klamath Critical Habitat Landowners v. Woodcock (Or. Ct. App. 2024).

Vanderzanden v. Sexson, 555 P.2d 946 (Or. Ct. App. 1976).

— Or. Rev. Stat. § 540.520(2)(a) — 1 case

— Or. Rev. Stat. § 540.520(2)(g) — 1 case

Kerivan v. Water Resources Comm'n, 72 P.3d 659 (Or. Ct. App. 2003). “Respondents note that a transfer application must, under ORS 540.520(2)(g), include “[e]vidence that the water has been used over the past five years according to the terms and conditions of the owner’s water right certificate or that the water right is not subject to forfeiture…”

— Or. Rev. Stat. § 540.520(5) — 1 case

— Or. Rev. Stat. § 540.520(6) — 2 cases

— Or. Rev. Stat. § 540.520(7) — 1 case

— Or. Rev. Stat. § 540.520(8) — 1 case

Bridge Creek Ranch v. Water Resources Dept. (Or. Ct. App. 2023).

— Or. Rev. Stat. § 540.520(l)(g) — 1 case

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