(The Center Square) – The Washington Department of Ecology has up to $11.3 million in funding available to qualifying counties seeking to “bank” local water supplies.
The department began accepting grant applications earlier this month and will continue until all funds are awarded, or by a June 30, 2025 deadline.
The grants are intended to help rural communities located in headwater basins across the state preserve water supplies for local use.
As the demand for water increases, supplies available for new water users are becoming increasingly scarce. According to the Department of Ecology, “market interest” in existing water rights – buying, selling or banking them – has increased dramatically in recent years, which has led to a number of high-profile purchases and transfers.
“The purpose of this funding is for local areas to buy water rights or portions of water rights at fair market value,” said Vanessa Brinkhuis, the Department of Ecology’s grant unit supervisor. “Water can be bought with this money now and banked to be used later.”
“These water banking pilot grants are the first of their kind,” said Brinkhuis.
In July 2021, the state Legislature provided $14 million in funding for development of “water banks” in rural headwater counties. That initial funding opportunity closed this June with three grant recipients. Chelan County Water Bank was awarded just under $1.74 million; Okanogan County Water Bank received $932,723, and Kittitas County Water Bank was in negotiations as of Aug. 1.
Last month, the Legislature reappropriated the remaining $11.3 million in unspent funds from the original allocation.
Of Washington’s 39 counties, 25 are considered eligible to apply for funding. They are Adams, Asotin, Chelan, Clallam, Columbia, Cowlitz, Ferry, Garfield, Grays Harbor, Jefferson, Kittitas, Klickitat, Lewis, Lincoln, Mason, Okanogan, Pacific, Pend Oreille, Skagit, Skamania, Stevens, Wahkiakum, Walla Walla, Whitman, and Yakima counties.
Once a water right is transferred downstream, it is difficult to later transfer that water right back to the headwater county, say department officials.
One-third of all water rights acquired under the state program will be permanently set aside solely to support instream flows to benefit fish and wildlife, said the department.
Grant awards may not exceed $2 million per applicant. To be eligible for funding, applicants must demonstrate their status as a public entity or formal partnership with such an entity, the capacity and expertise to establish and operate a water bank, a valid interest in purchasing a specific and adequate water right, and agreeing to set aside one-third of instream flow for “aquatic resources.”
The Department of Ecology is offering consultation meetings with prospective applicants to discuss program details. When applications are submitted, they will be subject to a 30-day public comment period.
For more information, visit Ecology’s water banking grant page.
