1. (a) A contract to lease water may be exercised only if the chief engineer approves an application for a term permit to divert the leased water.

2. (b) The following conditions shall be imposed by the chief engineer on the term permit authorizing the use of water leased from a water bank:

   1. (1) The maximum reasonable quantity of water that may be diverted per calendar year, as set forth in K.A.R. 5-17-17, and the maximum quantity of water that may be diverted during the term of the permit;
   2. (2) the maximum rate of diversion;
   3. (3) the term of the permit, which shall not exceed the length of the water bank charter plus three calendar years;
   4. (4) the authorized point of diversion;
   5. (5) the authorized place of use;
   6. (6) the authorized use made of the leased water;
   7. (7) a provision that the diversion shall not cause the impairment of any existing water rights;
   8. (8) a provision that the diversion shall not cause an increase in depletion to any severely depleted groundwater aquifer or severely depleted stream course;
   9. (9) a provision that the leased water shall be diverted from, and used within, the same hydrologic unit where the water rights were deposited; and
   10. (10) a provision that any violation of a term permit used to exercise a lease shall make the permittee subject to the penalty provisions of K.A.R. 5-17-13.

(Authorized by K.S.A. 2003 Supp. 82a-769; implementing K.S.A. 2003 Supp. 82a-763 and K.S.A. 2003 Supp. 82a-769; effective Aug. 13, 2004.)