UT HB0494

Water company shares are explicitly declared not to be water rights and are not appurtenant to land, meaning they do not automatically transfer with property sales unless specifically provided in company bylaws

Transfers of water company shares on or after May 14, 2013 must comply with the Uniform Commercial Code - Investment Securities (Title 70A, Chapter 8)

Water company records, not state engineer records, determine ownership of shares in a water company

When a water company designates a specific unit of land for water delivery, the company is only obligated to deliver water to that location unless written consent is given for delivery elsewhere

The bill takes effect on May 6, 2026