Prior to the state engineer approving an application for Underground Storage and Recovery, the applicant must meet its burden of proof. The applicant has the burden of proving:

1. A. the applicant has the technical and financial capability to construct and operate the project;
2. B. the project is hydrologically feasible;
3. C. the project will not impair existing water rights or the state’s interstate obligations;
4. D. the project will not be contrary to the conservation of water within the state;
5. E. the project will not be detrimental to the public welfare of the state;

6. F. the applicant has a valid water right for the recharge water quantified by one of the following legal processes:

   (1) a water rights adjudication;

   (2) a consent decree;

   (3) an act of congress, including a negotiated settlement ratified by congress;

   (4) a contract pursuant to the Colorado River Storage Project Act, 43 U.S.C. Section 620 (1986 and Supp. 1999); or

   (5) an agreement with an owner who has a valid water right subject to an application for a change in purpose, place of use or point of diversion

7. G. the applicant will obtain all other permits for the project required by state and federal law. A project shall not be operated under the Act until an applicant has obtained all other state and federal permits required for the project; and
8. H. the project will not impair water rights or cause harm to owners or land within the area of hydrologic effect.

[19.25.8.22 NMAC - N, 01-31-2001]