Oregon Revised Statutes

Or. Rev. Stat. § 541.010 (2026)

Furnishing of water for certain purposes declared to be a public use; rates; amendment of law

✓ current as of May 2026
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      541.010 Furnishing of water for certain purposes declared to be a public use; rates; amendment of law. (1) The use of the water of the lakes and running streams of Oregon, for general rental, sale or distribution, for purposes of irrigation, and supplying water for household and domestic consumption, and watering livestock upon dry lands of the state, is a public use, and the right to collect rates or compensation for such use of water is a franchise. A use shall be deemed general within the purview of this section when the water appropriated is supplied to all persons whose lands lie adjacent to or within reach of the line of the ditch, canal or flume in which the water is conveyed, without discrimination other than priority of contract, upon payment of charges therefor, as long as there may be water to supply.

      (2) Rates for the uses of water mentioned in this section may be fixed by the Legislative Assembly or by such officer as may be given that authority by the Legislative Assembly, but rates shall not be fixed lower than will allow the net profits of any ditch, canal, flume or system thereof to equal the prevailing legal rate of interest on the amount of money actually paid in and employed in the construction and operation of the ditch, canal, flume or system.

      (3) This section and ORS 541.020 to 541.080 may at any time be amended by the Legislative Assembly, and commissioners for the management of water rights and the use of water may be appointed.

Notes of Decisions
Cited in 2 cases, 1988–2020 · leading case: Diack v. City of Portland, 759 P.2d 1070 (Or. 1988).
Diack v. City of Portland, 759 P.2d 1070 (Or. 1988). ““(2) ORS 541.010 to 541.080 [governing water companies organized under 1891 act] shall not apply to Bull Run Creek or River.”
Smith v. Tumalo Irrigation Dist. (D. Or. 2020). · cites it 2× “See ORS §§ 541.010 – 541.130 (reflecting rights and obligations of Oregon irrigation districts).”
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