73-3d-403. Security requirements.
| (1) |
As a condition of participating in mediation or arbitration under Section 73-3d-402, a person specified in the executive order declaring a temporary water shortage emergency shall post with the department a corporate surety bond, irrevocable letter of credit, trust fund agreement, or any other security agreement considered reasonable in an amount not less than $100,000. |
Terms Used In Utah Code 73-3d-403
- Arbitration: means a private hearing before a neutral or panel of neutrals from the department who hear the evidence, consider the contentions of the parties, and enters a written award to resolve the issues presented. See Utah Code 73-3d-401
- Department: means the Department of Agriculture and Food. See Utah Code 73-3d-401
- Fund: means the Agriculture Resource Development Fund created in Section 4-18-106. See Utah Code 73-3d-401
- Mediation: means a private forum in which one or more impartial persons from the department facilitate communication between the interrupted user and the preferential user to promote a mutually acceptable resolution or settlement. See Utah Code 73-3d-401
- Person: means :Utah Code 68-3-12.5
- Temporary water shortage emergency: means an interruption of water delivery for which the governor may declare an emergency in accordance with Section 73-3d-201. See Utah Code 73-3d-101
| (2) |
The bond or other security posted shall be conditioned upon:
| (a) |
the faithful performance in mediation or arbitration; and |
| (b) |
the payment of amounts owed under Section 73-3d-402. |
|
| (3) |
If the department determines that the conditions of Subsection (2) are not met, the commissioner of the department shall bring an action upon the bond or other security. |
Enacted by Chapter 126, 2023 General Session
