ID H0268

Establishes a 5-year deadline for permit holders to complete construction and apply water to beneficial use, with the department issuing a 60-day notice before the completion date requiring submission of a completion statement or extension request.

Allows extensions of time in six categories: (a) delays caused by federal, state, or local government actions or litigation; (b) large irrigation projects diverting over 25,000 acre-feet annually on 5,000+ acres (up to 12 additional years); (c) reservoirs over 10,000 acre-feet capacity (upon showing reasonable diligence); (d) permits diverting 2+ cubic feet per second or developing 100+ acres (up to 10 additional years); (e) United States or Idaho Water Resource Board permits (as deemed necessary); and (f) all other situations (one 5-year extension maximum).

Municipal provider permits for reasonably anticipated future needs are exempt from the 5-year deadline and instead must submit periodic incremental statements of completion during reporting intervals set by the department, with lapsed portions subject to reinstatement procedures.

Permit holders who fail to comply with deadline provisions forfeit their water rights, except for municipal providers who forfeit only the unlicensed portion of their permit.

Applies to all existing permits pending as of July 1, 2021, allowing them to qualify for the maximum available extension regardless of prior extensions received.