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This is a Bill, not an Act. For current law, see the Acts databases.


WATER MANAGEMENT AMENDMENT BILL 2010





                            New South Wales




Water Management Amendment
Bill 2010


Contents

                                                                        Page
              1    Name of Act                                             2
              2    Commencement                                            2
     Schedule 1    Amendments to Water Management Act 2000 No 92 relating to
                   Commonwealth requirements                               3
     Schedule 2    Other amendments to Water Management Act 2000 No 92 10
     Schedule 3    Amendment of other Acts                                76




b2010-072-07.d11
                             New South Wales




Water Management Amendment
Bill 2010
No     , 2010


A Bill for

An Act to amend the Water Management Act 2000 with respect to specific purpose
access licences and other access licences, environmental water, offences relating to
taking water and water meters and private irrigation and drainage bodies; and for
other purposes.
Clause 1      Water Management Amendment Bill 2010




The Legislature of New South Wales enacts:                                        1

 1    Name of Act                                                                 2

           This Act is the Water Management Amendment Act 2010.                   3

 2    Commencement                                                                4

           This Act commences on a day or days to be appointed by proclamation.   5




Page 2
Water Management Amendment Bill 2010

Amendments to Water Management Act 2000 No 92 relating to                 Schedule 1
Commonwealth requirements



Schedule 1             Amendments to Water Management Act                                   1
                       2000 No 92 relating to Commonwealth                                  2
                       requirements                                                         3

[1]   Sections 63A and 63B                                                                  4

      Insert after section 63:                                                              5

      63A   Commonwealth and other access licences arising from                             6
            arrangements                                                                    7

             (1)   The Minister may grant an access licence to the Commonwealth,            8
                   or a person nominated by the Commonwealth, at the Minister's             9
                   discretion, if the Minister is satisfied that:                          10
                   (a) the licence is required in order to give effect to an               11
                          agreement or other arrangement (including, but not limited       12
                          to, a funding agreement or arrangement) entered into by or       13
                          on behalf of the State, and                                      14
                   (b) the licence is to form part of the Commonwealth                     15
                          environmental water holdings within the meaning of the           16
                          Water Act 2007 of the Commonwealth.                              17

             (2)   Sections 61 and 63 (1) and (2) do not apply to an access licence        18
                   granted under this section.                                             19

      63B   Licences arising out of State arrangements or agreements                       20

             (1)   The Minister may grant an access licence to the State or a public       21
                   authority prescribed by the regulations, at the Minister's              22
                   discretion, if the Minister is satisfied that the licence is required   23
                   in order to give effect to an agreement or other arrangement            24
                   (including, but not limited to, a funding agreement or                  25
                   arrangement) entered into by or on behalf of the State.                 26

             (2)   A licence granted by the Minister under this section:                   27
                   (a) may be granted subject to an adaptive environmental water           28
                         condition, or                                                     29
                   (b) may be a licence of an environmental subcategory, or                30
                   (c) may be for water taken or permitted to be taken under a             31
                         licence of a class prescribed by the regulations for              32
                         environmental purposes.                                           33

             (3)   Sections 61 and 63 (1) and (2) do not apply to an access licence        34
                   granted under this section.                                             35




                                                                               Page 3
                 Water Management Amendment Bill 2010

Schedule 1       Amendments to Water Management Act 2000 No 92 relating to
                 Commonwealth requirements



[2]    Section 140 Definitions                                                               1
       Insert in alphabetical order:                                                         2
                     landholder's water entitlement means the part of the share              3
                     component of a private irrigation board's access licence that is        4
                     available to a landholder of an irrigated holding within the private    5
                     irrigation district.                                                    6

[3]    Chapter 4, Part 2, Division 10A                                                       7

       Insert after Division 10:                                                             8

       Division 10A        Transformation of water entitlements                              9

      190A   Water entitlements of landholders                                              10

              (1)   A private irrigation board must, if requested to do so in writing       11
                    by a landholder of an irrigated holding to which water is supplied      12
                    by the board, determine the landholder's water entitlement.             13

              (2)   A board must have regard to the following matters when                  14
                    determining the landholder's water entitlement:                         15
                    (a) the nature of agricultural activities on the land,                  16
                    (b) the amount of water currently supplied to the landholder,           17
                    (c) any present or past water sharing arrangements applicable           18
                          to the landholder,                                                19
                    (d) any other matter it considers relevant,                             20
                    (e) any other matter prescribed by the regulations.                     21

              (3)   A determination may specify the different parts of the                  22
                    landholder's water entitlement that are available to the                23
                    landholder for different purposes.                                      24

              (4)   A determination must be in writing and comply with the                  25
                    requirements prescribed by the regulations. Notice of a                 26
                    determination must be given in writing by the board to the              27
                    landholder.                                                             28

              (5)   A determination may be varied or redetermined only on a further         29
                    application made by the landholder within 3 months of the               30
                    determination or in the circumstances prescribed by the                 31
                    regulations.                                                            32

              (6)   A person must not participate in a determination of a landholder's      33
                    water entitlement if the person or a member of the person's             34
                    immediate family (within the meaning of the regulations) has an         35
                    interest in the entitlement.                                            36




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Water Management Amendment Bill 2010

Amendments to Water Management Act 2000 No 92 relating to              Schedule 1
Commonwealth requirements



    190B    Transformation of landholder's water entitlement                             1
             (1)   A private irrigation board may make an application under              2
                   Division 4 of Part 2 of Chapter 3 for the purpose of wholly or        3
                   partly transforming a landholder's water entitlement into an          4
                   access licence under this Act.                                        5

             (2)   On transformation of the whole or part of a landholder's water        6
                   entitlement to an access licence:                                     7
                   (a) the landholder is not entitled to vote (as a member of the        8
                          private irrigation board or as a landholder within the         9
                          private irrigation district) on any matter relating to the    10
                          transformation of one or more other landholders' water        11
                          entitlements or the supply of water to landholders who        12
                          have not transformed their water entitlements, and            13
                   (b) the board may continue to exercise functions in relation to      14
                          any works that are located on the landholding for which it    15
                          exercised functions immediately before the transformation     16
                          (whether or not the board is to deliver the landholders'      17
                          water entitlement under the access licence or the             18
                          landholding remains in the private irrigation district).      19

             (3)   If the whole of a landholder's water entitlement is transformed      20
                   and the landholder does not have a right to the delivery of that     21
                   water by the board:                                                  22
                    (a) the landholder is not entitled to vote as a landholder within   23
                          the private irrigation district, and                          24
                   (b) the board must not fix rates and charges in respect of the       25
                          landholder's landholding for that water (other than           26
                          termination charges).                                         27

             (4)   The regulations may make provision for or with respect to:           28
                   (a) other circumstances in which a landholder whose                  29
                         landholder's water entitlement has been transformed            30
                         ceases to be a voting member, and                              31
                   (b) the voting rights of landholders who have partially              32
                         transformed their landholders' water entitlements.             33

             (5)   A board may require a landholder to provide security as a            34
                   condition of consent to transformation of the whole or part of the   35
                   landholder's water entitlement, subject to the regulations.          36

             (6)   Without limiting subsection (5), the following kinds of security     37
                   may be required by a board:                                          38
                   (a) a charge over a part of an irrigation right that is not          39
                        transformed,                                                    40




                                                                             Page 5
                 Water Management Amendment Bill 2010

Schedule 1       Amendments to Water Management Act 2000 No 92 relating to
                 Commonwealth requirements



                    (b)    a charge over an access licence or other entitlement to          1
                           water acquired by the person and resulting from the              2
                           transformation,                                                  3
                    (c)    a guarantee by an authorised deposit-taking institution,         4
                    (d)    a deposit lodged with the board.                                 5

              (7)   In addition to any other charges it may fix under this Part, a board    6
                    may fix the following charges:                                          7
                     (a) termination charges payable by a landholder after                  8
                          transformation of the whole or part of the landholder's           9
                          water entitlement,                                               10
                    (b) charges payable by a landholder for the delivery of water          11
                          after transformation of the whole or part of the                 12
                          landholder's water entitlement.                                  13

[4]    Section 221 Definitions                                                             14

       Insert in alphabetical order:                                                       15
                     landholder's water entitlement means the part of the share            16
                     component of an access licence held by or on behalf of a private      17
                     water trust that is available to a landholder for irrigation.         18

[5]    Chapter 4, Part 4, Division 5A                                                      19

       Insert after Division 5:                                                            20

       Division 5A         Water entitlements                                              21

      237A   Water entitlements of landholders                                             22

              (1)   The members of a private water trust must, if requested to do so       23
                    in writing by a landholder of a landholding within the water           24
                    supply district of the trust to which water is supplied by the trust   25
                    for irrigation, determine the landholder's water entitlement.          26

              (2)   The members of the trust must have regard to the following             27
                    matters when determining the landholder's water entitlement:           28
                    (a) the nature of agricultural activities on the land,                 29
                    (b) the amount of water currently supplied to the landholder,          30
                    (c) any present or past water sharing arrangements applicable          31
                          to the landholder,                                               32
                    (d) any other matter they consider relevant,                           33
                    (e) any other matter prescribed by the regulations.                    34




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Water Management Amendment Bill 2010

Amendments to Water Management Act 2000 No 92 relating to               Schedule 1
Commonwealth requirements



             (3)   A determination may specify the different parts of the                 1
                   landholder's water entitlement that are available to the               2
                   landholder for different purposes.                                     3

             (4)   A determination must be in writing and comply with the                 4
                   requirements prescribed by the regulations. Notice of a                5
                   determination must be given in writing by the members of the           6
                   trust to the landholder.                                               7

             (5)   A determination may be varied or redetermined only on a further        8
                   application made by the landholder within 3 months of the              9
                   determination or in the circumstances prescribed by the               10
                   regulations.                                                          11

             (6)   A person must not participate in a determination of a landholder's    12
                   water entitlement if the person or a member of the person's           13
                   immediate family (within the meaning of the regulations) has an       14
                   interest in the entitlement.                                          15

    237B    Transformation of landholder's water entitlement                             16

             (1)   The holders of an access licence for the water supply district of a   17
                   private water trust may make an application under Division 4 of       18
                   Part 2 of Chapter 3 for the purpose of wholly or partly               19
                   transforming a landholder's water entitlement into an access          20
                   licence under this Act.                                               21

             (2)   On transformation of the whole or part of a landholder's water        22
                   entitlement to an access licence:                                     23
                   (a) the landholder is not entitled to vote (as a member of the        24
                          trust or as a voting member in the water supply district) on   25
                          any matter relating to the transformation of one or more       26
                          other landholders' water entitlements or the supply of         27
                          water to landholders who have not transformed their water      28
                          entitlements, and                                              29
                   (b) the members of the trust and the trust may continue to            30
                          exercise functions in relation to any works that are located   31
                          on the landholding for which they exercised functions          32
                          immediately before the transformation (whether or not the      33
                          trust is to deliver the landholders' water entitlement under   34
                          the access licence or the landholding remains in the water     35
                          supply district of the trust).                                 36

             (3)   If the whole of a landholder's water entitlement is transformed       37
                   and the landholder does not have a right to the delivery of that      38
                   water by the trust:                                                   39
                    (a) the landholder is not entitled to vote as a landholder within    40
                          the water supply district of the trust, and                    41




                                                                             Page 7
               Water Management Amendment Bill 2010

Schedule 1     Amendments to Water Management Act 2000 No 92 relating to
               Commonwealth requirements



                   (b)   the trust must not fix rates and charges in respect of the      1
                         landholder's landholding for that water (other than             2
                         termination charges).                                           3

             (4)   The regulations may make provision for or with respect to:            4
                   (a) other circumstances in which a landholder whose                   5
                         landholder's water entitlement has been transformed             6
                         ceases to be a voting member in the water supply district       7
                         of the trust, and                                               8
                   (b) the voting rights of landholders who have partially               9
                         transformed their landholders' water entitlements.             10

             (5)   The members of a trust may require a landholder to provide           11
                   security as a condition of consent to transformation of the whole    12
                   or part of the landholder's water entitlement, subject to the        13
                   regulations.                                                         14

             (6)   Without limiting subsection (5), the following kinds of security     15
                   may be required by the members of a trust:                           16
                   (a) a charge over a part of an irrigation right that is not          17
                        transformed,                                                    18
                   (b) a charge over an access licence or other entitlement to          19
                        water acquired by the person and resulting from the             20
                        transformation,                                                 21
                   (c) a guarantee by an authorised deposit-taking institution,         22
                   (d) a deposit lodged with the trust.                                 23

             (7)   In addition to any other charges it may fix under this Part, the     24
                   members of a trust may fix the following charges:                    25
                    (a) termination charges payable by a landholder after               26
                         transformation of the whole or part of the landholder's        27
                         water entitlement,                                             28
                   (b) charges payable by a landholder for the delivery of water        29
                         after transformation of the whole or part of the               30
                         landholder's water entitlement.                                31

[6]   Section 368 Appeals to Land and Environment Court                                 32

      Insert at the end of section 368 (2) (b):                                         33
                           , and                                                        34
                     (c) no appeal lies against a decision of the Minister to grant a   35
                           licence under section 63A or 63B or to impose a              36
                           discretionary condition on such a licence.                   37




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Water Management Amendment Bill 2010

Amendments to Water Management Act 2000 No 92 relating to                Schedule 1
Commonwealth requirements



[7]   Schedule 1A Access Register                                                      1
      Insert ", 63A or 63B" after "63" wherever occurring in clause 1.                 2

[8]   Schedule 9 Savings, transitional and other provisions                            3

      Insert at the end of clause 1 (1):                                               4

                   Water Management Amendment Act 2010                                 5

[9]   Dictionary, definition of "Ministerial action"                                   6

      Insert ", 63A or 63B" after "section 63" in paragraph (a).                       7




                                                                              Page 9
                Water Management Amendment Bill 2010

Schedule 2      Other amendments to Water Management Act 2000 No 92




Schedule 2             Other amendments to Water                                          1
                       Management Act 2000 No 92                                          2

[1]   Section 8 Environmental water                                                       3

      Omit section 8 (1) (b). Insert instead:                                             4
                   (b) water (licensed environmental water) that is:                      5
                           (i) committed by an adaptive environmental water               6
                                 condition under section 8B, 8C, 8D or 63B, or            7
                          (ii) taken or permitted to be taken under a licence of an       8
                                 environmental subcategory, or                            9
                         (iii) taken or permitted to be taken under a licence of a       10
                                 class prescribed by the regulations for the purposes    11
                                 of this paragraph.                                      12

[2]   Section 8 (4)                                                                      13

      Omit the subsection.                                                               14

[3]   Section 8A Planned environmental water                                             15

      Omit "If the relevant management plan so provides, the" from section 8A (1).       16

      Insert instead "The".                                                              17

[4]   Section 8B Adaptive environmental water through dedication of existing             18
      water entitlements                                                                 19

      Omit "If the relevant management plan so provides, the" from section 8B (1).       20

      Insert instead "The".                                                              21

[5]   Section 8B (2)                                                                     22

      Omit "licence". Insert instead "licence, except as provided by the regulations".   23

[6]   Section 8C Adaptive environmental water through system                             24
      improvements                                                                       25

      Omit "If the relevant management plan so provides, the" from section 8C (1).       26

      Insert instead "The".                                                              27




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Water Management Amendment Bill 2010

Other amendments to Water Management Act 2000 No 92                     Schedule 2




[7]   Section 8D                                                                          1
      Omit the section. Insert instead:                                                   2

      8D    Adaptive environmental water conditions after surrender of                    3
            licences                                                                      4

             (1)   The Minister may keep an access licence surrendered by the             5
                   holder of the licence or transfer it to a catchment management         6
                   authority or other public body, and may change the licence to a        7
                   different category or subcategory, if:                                 8
                   (a) the share component of the licence is equivalent to the            9
                          share component of the surrendered licence (subject to the     10
                          application of any conversion factor prescribed by the         11
                          access licence dealing principles or the regulations), and     12
                   (b) an adaptive environmental water condition is or has been          13
                          imposed on the licence.                                        14

             (2)   The Minister may cancel an access licence surrendered by the          15
                   holder of the licence and transfer the share component of the         16
                   surrendered licence (subject to the application of any conversion     17
                   factor prescribed by the access licence dealing principles or the     18
                   regulations) to another licence if an adaptive environmental          19
                   water condition is or has been imposed on the licence.                20

[8]   Section 8E General provisions relating to access licences with adaptive            21
      environmental water conditions                                                     22

      Omit section 8E (6).                                                               23

[9]   Section 8F                                                                         24

      Insert after section 8E:                                                           25

      8F    Auditing of compliance with extraction limits                                26

             (1)   This section applies for the purpose of auditing compliance with      27
                   the long-term extraction limit (however expressed) under a            28
                   management plan.                                                      29

             (2)   The long-term extraction limit is taken to be varied by the amount    30
                   of any change to the amount of water committed as licensed            31
                   environmental water.                                                  32

             (3)   The variation in the long-term extraction limit is to be determined   33
                   in accordance with a methodology approved by the Minister and         34
                   published in the Gazette.                                             35




                                                                            Page 11
                 Water Management Amendment Bill 2010

Schedule 2          Other amendments to Water Management Act 2000 No 92




              (4)      To avoid doubt, water savings in a system (within the meaning of        1
                       section 8C) are not to be taken into account when determining the       2
                       variation.                                                              3

              (5)      Water committed as licensed environmental water is not to be            4
                       accounted for as extraction.                                            5

[10]   Section 20 Core provisions                                                              6

       Omit "and provisions relating to adaptive environmental water" from                     7
       section 20 (1) (a).                                                                     8

[11]   Section 52 Domestic and stock rights                                                    9

       Insert at the end of section 52 (2) (c):                                               10
                            , or                                                              11
                      (d) to carry out a controlled activity without a controlled             12
                            activity approval.                                                13

[12]   Section 52A                                                                            14

       Insert after section 52:                                                               15

       52A   Removal of domestic and stock rights                                             16

              (1)      An owner or occupier of a landholding has no entitlement to            17
                       domestic and stock rights in respect of land, if a domestic and        18
                       stock rights removal recording is in force for the land.               19

              (2)      The Registrar-General must, on lodgment of an application by a         20
                       landholder in the form approved by the Registrar-General, make         21
                       a recording (a domestic and stock rights removal recording) to         22
                       the effect that the land is not subject to domestic and stock rights   23
                       under section 52.                                                      24

              (3)      An application must be consented to by:                                25
                       (a) each person who is the registered proprietor of an estate or       26
                            interest in the land, if the land is under the Real Property      27
                            Act 1900, or                                                      28
                       (b) each person who has a legal interest in the land, if the land      29
                            is not under the Real Property Act 1900.                          30
                             Note. Regulations under section 71YA may require a domestic      31
                             and stock rights removal recording to be made before a dealing   32
                             may be registered in the Access Register.                        33

              (4)      A recording is to be made:                                             34
                       (a) by making an entry in the relevant folio of the Register, if       35
                             the land is under the Real Property Act 1900, or                 36




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Water Management Amendment Bill 2010

Other amendments to Water Management Act 2000 No 92                       Schedule 2




                     (b)   by registering the application in the General Register of        1
                           Deeds, if the land is not under the Real Property Act 1900.      2

              (5)   A domestic and stock rights removal recording may be removed            3
                    by the Registrar-General only on application by the Minister.           4

              (6)   The Registrar-General must notify the Minister in writing of any        5
                    domestic and stock rights removal recording made by the                 6
                    Registrar-General.                                                      7

[13]   Section 60B Contravention of terms and conditions of access licence                  8

       Insert "(other than the holder)" after "person" where firstly occurring.             9

[14]   Section 60B (2) and (3)                                                             10

       Insert at the end of section 60B:                                                   11

              (2)   If any term or condition of an access licence is contravened by        12
                    any person, each holder of the access licence is guilty of an          13
                    offence.                                                               14
                    Tier 2 penalty.                                                        15

              (3)   It is a defence to a prosecution under subsection (2) if the accused   16
                    person establishes:                                                    17
                     (a) that the contravention of the term or condition was caused        18
                             by another person, and                                        19
                    (b) that the other person was not associated with the holder at        20
                             the time the term or condition was contravened, and           21
                     (c) that the holder took all reasonable steps to prevent the          22
                             contravention of the term or condition.                       23

                    A person is associated with the holder for the purposes of this        24
                    subsection (but without limiting any other circumstances of            25
                    association) if the person is an employee, agent, licensee,            26
                    contractor or sub-contractor of the holder.                            27

[15]   Section 60C                                                                         28

       Omit the section. Insert instead:                                                   29

       60C   Taking water for which there is no, or insufficient, water allocation         30

              (1)   A person who takes water from a water source to which this Part        31
                    applies otherwise than in accordance with the water allocation for     32




                                                                              Page 13
                Water Management Amendment Bill 2010

Schedule 2         Other amendments to Water Management Act 2000 No 92




                      the access licence by which the taking of water from that water         1
                      source is authorised and:                                               2
                       (a) who intentionally or negligently fails to ascertain whether        3
                            the taking of water is in accordance with the water               4
                            allocation, or                                                    5
                      (b) who knows or has reasonable cause to believe that the               6
                            taking of the water is not in accordance with the water           7
                            allocation,                                                       8

                      is guilty of an offence.                                                9
                      Tier 1 penalty.                                                        10

             (2)      A person who takes water from a water source to which this Part        11
                      applies otherwise than in accordance with the water allocation for     12
                      the access licence by which the taking of water from that water        13
                      source is authorised is guilty of an offence.                          14
                      Tier 2 penalty.                                                        15

             (3)      If a person who has the control or management of a water supply        16
                      work takes water by means of that work in contravention of             17
                      subsection (2), and the water supply work is nominated in              18
                      relation to an access licence held by some other person, both          19
                      persons are taken to have contravened that subsection.                 20

             (4)      Either person referred to in subsection (3) may be proceeded           21
                      against and convicted for an offence under subsection (2), as the      22
                      case requires, whether or not the other person has been proceeded      23
                      against or convicted for such an offence.                              24

[16]   Section 60G Minister may charge for water illegally taken                             25

       Insert "water allocation" before "account" in section 60G (1) (b).                    26

[17]   Section 60I                                                                           27

       Insert after section 60H:                                                             28

       60I   Access licence required for water used in mining activities                     29

             (1)      A person who takes water in the course of carrying out a mining        30
                      activity is, for the purposes of this Act, taking water from a water   31
                      source.                                                                32

             (2)      Without limiting the generality of subsection (1), a person takes      33
                      water in the course of carrying out a mining activity if, as a         34
                      result of or in connection with, the activity or a past mining         35
                      activity carried out by the person, water is removed or diverted       36




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Other amendments to Water Management Act 2000 No 92                          Schedule 2




                    from a water source (whether or not water is returned to that          1
                    water source) or water is re-located from one part of an aquifer to    2
                    another part of an aquifer.                                            3

              (3)   To avoid doubt, a person who takes water in the course of              4
                    carrying out a mining activity as referred to in subsection (2) is     5
                    required to hold an access licence authorising the taking of that      6
                    water.                                                                 7

              (4)   In this section:                                                       8
                    mineral has the same meaning as it has in the Mining Act 1992.         9
                    mineral exploration means prospecting pursuant to an                  10
                    assessment lease, exploration licence, mineral claim, mining          11
                    lease or opal prospecting licence under the Mining Act 1992.          12
                    mining means the winning or removal of materials by methods           13
                    such as excavating, dredging, drilling or tunnelling for the          14
                    purpose of obtaining minerals or petroleum, and includes:             15
                     (a) the construction, commissioning, operation and                   16
                           decommissioning of associated works, and                       17
                    (b) the stockpiling, processing, treatment and transportation of      18
                           materials extracted, and                                       19
                     (c) the rehabilitation of land affected by mining.                   20
                    mining activity means any of the following:                           21
                     (a) mining,                                                          22
                    (b) mineral exploration,                                              23
                     (c) petroleum exploration.                                           24
                    petroleum has the same meaning as it has in the Petroleum             25
                    (Onshore) Act 1991.                                                   26
                    petroleum exploration means prospecting pursuant to a                 27
                    petroleum title under the Petroleum (Onshore) Act 1991.               28

              (5)   This section does not limit any other provision of this Act.          29

[18]   Section 63 Determination of applications                                           30

       Insert after section 63 (7):                                                       31

              (8)   This section does not prevent the transfer of a local water utility   32
                    access licence or a major utility access licence to persons other     33
                    than utilities if it is otherwise permitted under this Act.           34
                    Note. Such a transfer is permitted under section 71N.                 35

[19]   Section 66 Conditions of access licence generally                                  36

       Insert "or the regulations" after "this Act" in section 66 (1) (a).                37




                                                                                Page 15
                    Water Management Amendment Bill 2010

Schedule 2          Other amendments to Water Management Act 2000 No 92




[20]   Section 66 (1B)                                                                           1
       Insert after section 66 (1A):                                                             2

             (1B)      The regulations may make provision for or with respect to                 3
                       conditions of an access licence that are required to be imposed,          4
                       amended, revoked or suspended in connection with a dealing in,            5
                       or relating to, that licence.                                             6

[21]   Section 66 (3)                                                                            7

       Omit "is to". Insert instead "may".                                                       8

[22]   Section 67 Imposition of conditions after access licence is granted                       9

       Omit section 67 (2A). Insert instead:                                                    10

             (2A)      Mandatory conditions of an access licence may be imposed,                11
                       amended, revoked or suspended by the Minister whenever it is             12
                       necessary to do so in order to enable compliance with or to give         13
                       effect to this Act, the regulations or a relevant management plan.       14

[23]   Section 67 (3)                                                                           15

       Insert ", amended, revoked or suspended" after "imposed".                                16

[24]   Section 67 (4)                                                                           17

       Insert "imposed, or a change, as" after "A condition".                                   18

[25]   Section 71D Creation of registered security interests by recording in                    19
       Access Register                                                                          20

       Omit section 71D (2) (a). Insert instead:                                                21
                    (a) a specific purpose access licence of a kind prescribed by               22
                         the regulations, or                                                    23

[26]   Section 71L How does a dealing take effect?                                              24

       Insert after section 71L (1):                                                            25
                       Note. The regulations may provide that a dealing may not be registered   26
                       in the Access Register until a condition of consent to that dealing is   27
                       complied with (see section 71YA (6)).                                    28

[27]   Section 71M Transfer of access licences                                                  29

       Omit section 71M (2). Insert instead:                                                    30

              (2)      A local water utility access licence may be transferred only if:         31
                       (a) the transferee is a local water utility, or                          32




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                    (b)    the transferee is a major utility and the water supply                  1
                           functions of the utility from which the licence is                      2
                           transferred are to be carried out by the transferee.                    3

[28]   Section 71M (3)                                                                             4

       Insert at the end of the subsection:                                                        5
                    Note. The holder of a local water utility access licence or a major utility    6
                    access licence may transfer the licence to a person other than a local         7
                    water utility or a major utility for a term transfer (see section 71N).        8

[29]   Section 71N Term transfers of entitlements under access licences                            9

       Omit section 71N (1) and (2). Insert instead:                                              10

              (1)   The holder of an access licence (the actual holder of the licence)            11
                    may transfer the whole of the water entitlements conferred by the             12
                    licence to another person for a specified period of not less than 6           13
                    months (a term transfer).                                                     14

[30]   Section 71N (7B)                                                                           15

       Insert after section 71N (7A):                                                             16

            (7B)    The Minister may end a term transfer of a local water utility                 17
                    access licence or a major utility access licence, without the                 18
                    consent of the transferor or transferee:                                      19
                    (a) if the Minister is satisfied that it is necessary to do so                20
                          because there is a risk to the water supply of a local water            21
                          utility or major utility, or                                            22
                    (b) in circumstances of a kind prescribed by the regulations.                 23

[31]   Section 71O Conversion of access licence to new category                                   24

       Omit section 71O (2). Insert instead:                                                      25

              (2)   This section does not apply to a supplementary water access                   26
                    licence.                                                                      27

[32]   Section 71Q Assignment of rights under access licence                                      28

       Omit section 71Q (5).                                                                      29

[33]   Section 71R Amendment of share component of access licence                                 30

       Omit "local water utility access licence or" from section 71R (2).                         31

[34]   Section 71T Assignment of water allocations between access licences                        32

       Insert "the water allocation account for" after "credited to" in section 71T (3).          33




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[35]    Section 71V Interstate assignment of water allocations                                1
        Insert "the water allocation account for" after "water allocations to" in             2
        section 71V (2).                                                                      3

[36]    Section 71V (2)                                                                       4

        Insert "the water allocation account for" after "water allocations from".             5

[37]    Section 71V (3)                                                                       6

        Insert "the water allocation account for" after "credited to".                        7

[38]    Section 71Y General                                                                   8

        Insert at the end of section 71Y (1) (c):                                             9
                             , and                                                           10
                       (d) the regulations.                                                  11

[39]    Section 71Y (6)                                                                      12

        Insert after section 71Y (5):                                                        13

               (6)      The Minister may, if the Minister thinks it appropriate, deal with   14
                        2 or more related dealings under this Act at the same time, and in   15
                        the same application, as if they comprised one dealing.              16

[40]    Section 71YA                                                                         17

        Insert after section 71Y:                                                            18

       71YA   Conditions of consents to dealings in licences                                 19

               (1)      The Minister may consent to a dealing in an access licence           20
                        subject to conditions.                                               21

               (2)      The regulations may make provision for or with respect to            22
                        mandatory conditions of consent for dealings (consent                23
                        conditions) in all or any access licences or access licences of a    24
                        class prescribed by the regulations.                                 25

               (3)      The Minister must impose the applicable consent conditions on a      26
                        dealing in an access licence.                                        27

               (4)      Without limiting any other provision of this section, regulations    28
                        may be made for or with respect to the following consent             29
                        conditions:                                                          30
                        (a) conditions applying to particular locations, areas or water      31
                              sources,                                                       32
                        (b) conditions requiring a specified proportion of the share         33
                              component of an access licence of a specified class to be      34



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                           committed as environmental water in a specified manner            1
                           or traded for environmental purposes,                             2
                     (c)   conditions requiring or relating to water savings or              3
                           proposed water savings,                                           4
                    (d)    conditions requiring domestic and stock rights removal            5
                           recordings (within the meaning of section 52A) to be              6
                           obtained in circumstances prescribed by the regulations.          7

              (5)   A consent condition imposed by the Minister under this section           8
                    has effect despite any condition of the access licence or an             9
                    approval imposed by or under this Act.                                  10

              (6)   The regulations may provide that the Minister's consent to a            11
                    dealing does not take effect, or that a dealing must not be             12
                    registered in the Access Register, until a specified consent            13
                    condition or a consent condition of a specified class is complied       14
                    with.                                                                   15

              (7)   Consent conditions may be imposed, amended, revoked or                  16
                    suspended by the Minister whenever it is necessary to do so in          17
                    order to enable compliance with or to give effect to this Act, the      18
                    regulations or a relevant management plan.                              19

[41]   Section 71Z Access licence dealing principles                                        20

       Insert "or on which adaptive environmental water conditions are imposed, or          21
       under which water is otherwise required to be committed for environmental            22
       purposes, under this Act in connection with a dealing in an access licence"          23
       after "Division" in section 71Z (1) (c).                                             24

[42]   Section 76 Water allocations may be credited                                         25

       Insert "the water allocation account for" after "recredited to" in section 76 (2).   26

[43]   Section 77A Cancellation of access licences that can no longer be used               27
       or are no longer required                                                            28

       Omit "is to cancel" from section 77A (2). Insert instead "may cancel".               29

[44]   Section 77A (3)                                                                      30

       Omit "is to consider". Insert instead "may consider".                                31

[45]   Section 78 Suspension and cancellation of access licences                            32

       Insert "water allocation" before "account" in section 78 (3) (c).                    33




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[46]   Section 85 Keeping of water allocation accounts                                        1
       Insert "the water allocation account for" before "the licence" wherever                2
       occurring in section 85 (1).                                                           3

[47]   Section 85 (2)­(4)                                                                     4

       Omit "the account" wherever occurring.                                                 5

       Insert instead "the water allocation account".                                         6

[48]   Section 85 (5) and (6)                                                                 7

       Omit "an account" wherever occurring.                                                  8

       Insert instead "a water allocation account".                                           9

[49]   Section 85A Authorisation to take water from uncontrolled flows                       10

       Insert "water allocation" before "accounts" and "account" in section 85A (2)          11
       and (6), respectively.                                                                12

[50]   Section 88 Regulations                                                                13

       Omit "under an access licence" wherever occurring in section 88 (1).                  14

       Insert instead "in the water allocation account for an access licence".               15

[51]   Section 91A Using water without, or otherwise than as authorised by, a                16
       water use approval                                                                    17

       Omit section 91A (4). Insert instead:                                                 18

             (4)      It is a defence to a prosecution under subsection (1) if the accused   19
                      person establishes that the water was used pursuant to a basic         20
                      landholder right.                                                      21

             (5)      It is a defence to a prosecution under subsection (2) if the accused   22
                      person establishes:                                                    23
                       (a) that the contravention of the subsection was caused by            24
                               another person, and                                           25
                      (b) that the other person was not associated with the accused          26
                               person at the time the subsection was contravened, and        27
                       (c) that the accused person took all reasonable steps to prevent      28
                               the commission of the offence.                                29

                      A person is associated with the accused person for the purposes        30
                      of this subsection (but without limiting any other circumstances       31
                      of association) if the person is an employee, agent, licensee,         32
                      contractor or sub-contractor of the accused person.                    33




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[52]   Section 91B Constructing or using water supply work without, or                      1
       otherwise than as authorised by, a water supply work approval                        2

       Insert after section 91B (4):                                                        3

              (5)   It is a defence to a prosecution under subsection (1) if the accused    4
                    person establishes that the water supply work was constructed or        5
                    used pursuant to a basic landholder right.                              6

[53]   Section 91G                                                                          7

       Omit the section. Insert instead:                                                    8

       91G   Contravention of terms and conditions of approval                              9

              (1)   A person (other than the holder) who uses water, constructs or         10
                    uses a water management work or carries out a controlled activity      11
                    or an aquifer interference activity, pursuant to an approval is        12
                    guilty of an offence if the person contravenes any term or             13
                    condition of the approval.                                             14
                    Tier 2 penalty.                                                        15

              (2)   If any term or condition of an approval is contravened by any          16
                    person, each holder of the approval is guilty of an offence.           17
                    Tier 2 penalty.                                                        18

              (3)   It is a defence to a prosecution under subsection (2) if the accused   19
                    person establishes:                                                    20
                     (a) that the contravention of the term or condition was caused        21
                             by another person, and                                        22
                    (b) that the other person was not associated with the holder at        23
                             the time the term or condition was contravened, and           24
                     (c) that the holder took all reasonable steps to prevent the          25
                             contravention of the term or condition.                       26

                    A person is associated with the holder for the purposes of this        27
                    subsection (but without limiting any other circumstances of            28
                    association) if the person is an employee, agent, licensee,            29
                    contractor or sub-contractor of the holder.                            30




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[54]   Section 91I Taking water when metering equipment not working                           1
       Omit section 91I (1). Insert instead:                                                  2

              (1)      A person who takes water from a water source to which this Part        3
                       applies by means of a metered work while its metering equipment        4
                       is not operating properly or is not operating and:                     5
                        (a) who intentionally or negligently fails to ascertain whether       6
                              the metering equipment is not operating properly or is          7
                              operating, or                                                   8
                       (b) who knows or has reasonable cause to believe that the              9
                              metering equipment is not operating properly or is not         10
                              operating,                                                     11
                       is guilty of an offence.                                              12
                       Tier 1 penalty.                                                       13

[55]   Section 91I (3)                                                                       14

       Omit the subsection. Insert instead:                                                  15

              (3)      Subsections (1) (b) and (2) do not apply if the person who takes      16
                       the water:                                                            17
                        (a) reports, in accordance with the regulations, that the            18
                             metering equipment is not operating properly or is not          19
                             operating, and                                                  20
                       (b) complies with the requirements (if any) of the regulations        21
                             as to the taking of water in such circumstances, the keeping    22
                             of records and the repair or replacement (including             23
                             temporary replacement) of the metering equipment.               24

[56]   Section 91K Meter tampering                                                           25

       Insert after section 91K (4) (b):                                                     26
                            , or                                                             27
                      (c) that is done to metering equipment by or on behalf of the          28
                            holder of the water supply work approval or drainage work        29
                            approval solely for the purposes of complying with any           30
                            requirements of regulations made under this Division.            31

[57]   Section 91M General defence                                                           32

       Omit section 91M (2). Insert instead:                                                 33

              (2)      It is a defence to a prosecution under this Division in relation to   34
                       the doing of anything without an approval if the accused person       35
                       establishes that the person was exempt, pursuant to this Act or the   36




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                    regulations, from any requirement for an approval in relation to        1
                    the doing of that thing.                                                2

[58]   Section 100 Conditions of approval generally                                         3

       Insert "or the regulations" after "this Act" in section 100 (1) (a).                 4

[59]   Section 100 (4)                                                                      5

       Insert after section 100 (3) (before the note):                                      6

              (4)   The regulations may make provision for or with respect to               7
                    conditions of an approval that are required to be imposed,              8
                    amended, revoked or suspended in connection with a dealing in,          9
                    or relating to, an access licence.                                     10

[60]   Section 102 Imposition or change of conditions after approval is granted            11

       Omit "vary" from section 102 (1). Insert instead "amend".                           12

[61]   Section 102 (1) and (2)                                                             13

       Omit "a variation" wherever occurring. Insert instead "an amendment".               14

[62]   Section 102 (2) (b)                                                                 15

       Omit "variation". Insert instead "amendment".                                       16

[63]   Section 102 (3)                                                                     17

       Omit the subsection. Insert instead:                                                18

              (3)   Mandatory conditions of an approval may be imposed, amended,           19
                    revoked or suspended by the Minister whenever it is necessary to       20
                    do so in order to enable compliance with or to give effect to this     21
                    Act, the regulations or a relevant management plan.                    22

[64]   Section 102 (4)                                                                     23

       Omit "or variation made". Insert ", amended, revoked or suspended".                 24

[65]   Section 102 (5)                                                                     25

       Omit "or variation". Insert "imposed or a change".                                  26

[66]   Sections 104 (3) and 109 (1) (c2)                                                   27

       Omit "bore" wherever occurring. Insert instead "water bore".                        28

[67]   Section 106 Land benefited by approval                                              29

       Omit "private irrigation board, private drainage board" from section 106 (3).       30

       Insert instead "private water corporation".                                         31



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[68]    Section 120A                                                                           1
        Insert after section 120:                                                              2

       120A   Entry and investigation powers                                                   3

               (1)      An irrigation corporation may appoint a person to act as an            4
                        authorised officer of the corporation under this section. An           5
                        appointment is to be in writing and to comply with any                 6
                        requirements of the regulations.                                       7

               (2)      An authorised officer of a corporation may enter land at any           8
                        reasonable time if the authorised officer is reasonably of the         9
                        opinion that the landholder has contravened an irrigation, water      10
                        supply or drainage agreement with the corporation and that it is      11
                        necessary to enter the land for the purpose of investigating that     12
                        contravention.                                                        13

               (3)      An authorised officer who enters land under this section may          14
                        exercise the powers set out in section 339B (2) (a)­(g).              15

               (4)      Sections 339D, 339F and 340 apply to authorised officers              16
                        appointed under this section.                                         17

               (5)      A corporation, and authorised officers of a corporation, may          18
                        exercise the functions conferred by this section only if authorised   19
                        to do so by the operating licence of the corporation.                 20

               (6)      This section does not empower an authorised officer to enter any      21
                        part of premises used only for residential purposes.                  22

               (7)      An irrigation corporation must compensate all interested parties      23
                        for any damage caused by a person exercising a power of entry         24
                        on to land under this section on behalf of the corporation (but not   25
                        any damage caused by the exercise of any other power), unless         26
                        the occupier obstructed or hindered the person in the exercise of     27
                        the power of entry.                                                   28

[69]    Section 125A                                                                          29

        Insert after section 125:                                                             30

       125A   Offence to contravene operating licence                                         31

               (1)      An irrigation corporation must not contravene the operating           32
                        licence of the corporation.                                           33
                        Tier 2 penalty.                                                       34

               (2)      Action may be taken both under this section and section 125 in        35
                        respect of the same contravention of an operating licence.            36




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[70]    Section 130                                                                          1
        Omit sections 130 and 131. Insert instead:                                           2

        130   Inclusion of land in area of operations                                        3

               (1)    The Minister may determine an application for the inclusion of         4
                      land within an irrigation corporation's area of operations by          5
                      granting or refusing the application.                                  6

               (2)    If the Minister grants the application, the Minister must, by order    7
                      published in the Gazette, include the land within the irrigation       8
                      corporation's area of operations.                                      9

[71]    Section 134                                                                         10

        Omit sections 134 and 135. Insert instead:                                          11

        134   Exclusion of land from area of operations                                     12

               (1)    The Minister may determine an application for the exclusion of        13
                      land from an irrigation corporation's area of operations by           14
                      granting or refusing the application.                                 15

               (2)    If the Minister grants the application, the Minister must, by order   16
                      published in the Gazette, exclude the land from the irrigation        17
                      corporation's area of operations.                                     18

[72]    Section 136A                                                                        19

        Insert after section 136:                                                           20

       136A   Charges for water illegally taken and damage to works                         21

               (1)    An irrigation corporation may impose a charge on a person for         22
                      water taken if the corporation is satisfied on the balance of         23
                      probabilities that the person has knowingly taken water from a        24
                      water management work that is owned by, or is under the control       25
                      and management of, the corporation in contravention of this Act,      26
                      the regulations or an agreement with the corporation.                 27

               (2)    A corporation may impose a charge on a person for the repair or       28
                      replacement of a work if the corporation is satisfied on the          29
                      balance of probabilities that the person has destroyed, damaged       30
                      or interfered with a work that is owned by, or is under the control   31
                      or management of, the corporation.                                    32

               (3)    The charge imposed by the corporation may include a penalty           33
                      component.                                                            34




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               (4)      The maximum charge that a corporation may impose under this           1
                        section:                                                              2
                        (a) for the taking of water, is an amount not exceeding 5 times       3
                              the value of the water so taken, as determined in               4
                              accordance with the regulations, or                             5
                        (b) for destroying, damaging or interfering with a work, is an        6
                              amount not exceeding 5 times the reasonable cost of the         7
                              repair or replacement (as required) of the work.                8

               (5)      Action under this section may not be taken against a person           9
                        unless the corporation:                                              10
                        (a) has given written notice to the person that the corporation      11
                              proposes to take such action, and                              12
                        (b) has given the person a reasonable opportunity to make            13
                              submissions to the corporation with respect to the             14
                              proposed action, and                                           15
                        (c) has taken any such submissions into consideration.               16

               (6)      A charge imposed by a corporation under this section is              17
                        recoverable in any court of competent jurisdiction as a debt due     18
                        to the corporation.                                                  19

               (7)      A corporation is not entitled to take action under this section      20
                        unless the operating licence of the corporation authorises the       21
                        corporation to take action under this section.                       22

               (8)      Action may be taken under this section against a former member       23
                        of the corporation.                                                  24

               (9)      The exercise of powers by a corporation under this section is        25
                        subject to any requirements of, or limits imposed by, the            26
                        regulations or the operating licence of the corporation.             27

[73]    Section 137 Indemnities                                                              28

        Insert after section 137 (2):                                                        29

               (3)      This section does not apply to an action, liability, claim or        30
                        demand referred to in section 137A.                                  31

[74]    Section 137A                                                                         32

        Insert after section 137:                                                            33

       137A   Liability for water source and other changes                                   34

               (1)      An irrigation corporation, any officer or employee of an             35
                        irrigation corporation or a person acting under the direction of a   36




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                    corporation, officer or employee is not subject to any action,         1
                    liability, claim or demand arising:                                    2
                     (a) from the unavailability of water, or                              3
                    (b) from the escape of water from a water management work              4
                            owned by, or under the control or management of, the           5
                            corporation, or                                                6
                     (c) from a failure to supply, distribute or drain water that is       7
                            authorised by its operating licence or this Act or the         8
                            regulations,                                                   9
                    as a consequence of anything done or omitted to be done in good       10
                    faith by the corporation, officer, employee or person for the         11
                    purposes of executing this Act or carrying out the functions of the   12
                    corporation.                                                          13

             (2)    This section does not limit section 397.                              14

[75]   Chapter 4 Joint private works                                                      15

       Omit Parts 2 and 3. Insert instead:                                                16


       Part 2       Private water corporations                                            17


       Division 1          Preliminary                                                    18

       139   Definitions                                                                  19

                    In this Part:                                                         20
                    board means the board of a corporation.                               21
                    corporation means a private water corporation established under       22
                    this Part and listed in Schedule 13.                                  23
                    corporation work means a water management work, or a                  24
                    proposed water management work, specified in the works plan           25
                    for a corporation.                                                    26
                    member's water entitlement means the part of the share                27
                    component of the corporation's access licence that is available to    28
                    a member.                                                             29
                    rules means the rules of a private water corporation, as in force     30
                    from time to time.                                                    31
                    works plan means the works plan for a corporation specified for       32
                    the corporation, as in force from time to time.                       33




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     140     Requirements for access licences and approvals                                  1
                      Nothing in this Part authorises a corporation or landholder to do      2
                      anything for which this Act requires an access licence or approval     3
                      unless the corporation or landholder holds an appropriate access       4
                      licence or approval.                                                   5

      Division 2            Constitution and management of private                           6
                            water corporations                                               7

     141     Application for establishment of private water corporations                     8

             (1)      Two or more landholders of landholdings that are being worked          9
                      on as 2 or more holdings may apply to the Minister to constitute      10
                      a private water corporation in relation to those landholdings.        11

             (2)      An application is:                                                    12
                      (a) to be in the approved form, and                                   13
                      (b) to be accompanied by a works plan for the corporation and         14
                           proposed rules for the corporation, and                          15
                      (c) to be accompanied by any other information required by            16
                           the Minister or prescribed by the regulations, and               17
                      (d) to be accompanied by the fee (if any) prescribed by the           18
                           regulations.                                                     19

     142     Determination of application and constitution of corporation                   20

             (1)      The Minister may grant an application to establish a corporation      21
                      if:                                                                   22
                       (a) the Minister is satisfied that the purpose of the corporation    23
                           is to provide, maintain or operate any or all of a water         24
                           supply system, water distribution system or drainage             25
                           system, and                                                      26
                      (b) the corporation and any proposed works plan and rules of          27
                           the corporation comply with any requirements of this Act         28
                           and the regulations.                                             29

             (2)      A corporation is to be constituted by the Minister by order           30
                      published on the NSW legislation website.                             31

             (3)      In addition to constituting the corporation, the order must specify   32
                      the following:                                                        33
                       (a) the name of the corporation,                                     34
                      (b) the water supply, water distribution or water drainage            35
                             purposes of the corporation,                                   36




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                   (c)   the landholdings for which the corporation may exercise        1
                         functions and the works plan for the corporation,              2
                  (d)    the members of the corporation,                                3
                  (e)    the board members of the corporation, pending the first        4
                         election of board members,                                     5
                   (f)   the date, time and place of the first election of the board    6
                         members of the corporation,                                    7
                  (g)    the rules of the corporation.                                  8

            (4)   On the order being published or on such later day as may be           9
                  specified in the order:                                              10
                  (a) the corporation is constituted as a body corporate with the      11
                         name specified in the order, and                              12
                  (b) the members of the corporation are the members specified         13
                         in the order, and                                             14
                  (c) the rules and works plan specified by the order take effect.     15

            (5)   A corporation is not a NSW government agency.                        16

     143    Functions of private water corporations                                    17

            (1)   A corporation has the following functions:                           18
                  (a) to provide, maintain or operate a water supply system,           19
                        water distribution system or drainage system,                  20
                  (b) any other function conferred or imposed on the corporation       21
                        by or under this or any other Act.                             22

            (2)   A corporation may supply water:                                      23
                  (a) under an access licence or approval held by the                  24
                        corporation, or                                                25
                  (b) for the purpose of an access licence or approval held by a       26
                        member whose member's water entitlement has been               27
                        transformed under Division 4.                                  28

            (3)   A corporation must exercise its functions in accordance with this    29
                  Act, the regulations and the rules.                                  30

     144    Boards of private water corporations                                       31

            (1)   There is to be a board of a corporation.                             32

            (2)   The board is to consist of not less than 3 and not more than         33
                  10 members of the corporation.                                       34




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             (3)      The board has the following functions:                               1
                      (a) to direct, control and manage the affairs of the corporation,    2
                            in accordance with this Act, the regulations and the rules,    3
                      (b) any other functions conferred on the board by or under this      4
                            Act.                                                           5

             (4)      A board member holds office for the term prescribed by the rules.    6

             (5)      The regulations may prescribe the circumstances in which a           7
                      board member ceases to be a board member.                            8

     145     Rules of private water corporations                                           9

             (1)      A corporation may, from time to time, amend or replace the rules    10
                      of the corporation.                                                 11

             (2)     The rules may make provision for or with respect to the following    12
                     matters:                                                             13
                      (a) elections of the board,                                         14
                      (b) the members and procedure of the board,                         15
                      (c) the members of the corporation,                                 16
                      (d) meetings of the corporation,                                    17
                      (e) the voting rights of members of the corporation, or classes     18
                           of members of the corporation,                                 19
                       (f) new members of the corporation,                                20
                      (g) the functions of the corporation that may be exercised only     21
                           by resolution of the corporation at a meeting of the           22
                           members of the corporation,                                    23
                      (h) the imposition of rates and charges on members of the           24
                           corporation for services (including water) provided by the     25
                           corporation,                                                   26
                       (i) the regulation of a water supply, water distribution or        27
                           drainage system provided by the corporation,                   28
                       (j) the regulation of the supply, taking or use of water           29
                           provided by a water supply or water distribution system        30
                           provided by the corporation,                                   31
                      (k) the regulation of the draining or disposal of water through     32
                           a drainage system provided by the corporation,                 33
                       (l) the financial management and systems of the corporation,       34
                     (m) the manner in which the rules are to be amended or               35
                           replaced,                                                      36
                      (n) any other matters prescribed by the regulations,                37




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                  (o)   any other matters necessary for, or ancillary to, the            1
                        purposes of the corporation.                                     2

            (3)   The rules must:                                                        3
                  (a) not be inconsistent with this Act or the regulations, and          4
                  (b) comply with any requirements prescribed by the                     5
                        regulations.                                                     6

            (4)   A corporation must notify changes to the rules, or replaced rules,     7
                  in the manner prescribed by the regulations.                           8

            (5)   The rules are binding on the members of the corporation, board         9
                  members and landholders to whom the corporation provides              10
                  services and it is presumed that the members and any such             11
                  landholders have notice of the rules.                                 12

            (6)   A rule has no effect to the extent to which it is inconsistent with   13
                  this Act or the regulations.                                          14

            (7)   A corporation must not make a change to a rule unless the             15
                  proposed change has been approved by at least two thirds of the       16
                  members of the corporation who are entitled to vote on the            17
                  question or the change is authorised under the rules.                 18

            (8)   The regulations may vary the proportion of members of a               19
                  corporation who must approve any such change or any class of          20
                  change.                                                               21

     146    Corporation must provide copy of rules to Minister                          22

            (1)   A corporation must, if required to do so by the Minister, provide     23
                  the Minister with a copy of the rules of the corporation.             24
                  Maximum penalty: 20 penalty units.                                    25

            (2)   A corporation must, on the request of a member and payment by         26
                  the member of the fee (if any) prescribed by the rules of the         27
                  corporation, provide the member with a copy of the rules of the       28
                  corporation.                                                          29

     147    Delegation by corporations and boards                                       30

                  A corporation or a board may by instrument in writing delegate:       31
                  (a) to any member of the corporation or board, or                     32
                  (b) to any employee of the corporation,                               33
                  any of its functions, other than this power of delegation.            34




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      Division 3            Operational functions                                           1

     148     Corporation works and other works                                              2

             (1)      A corporation may exercise the following functions for the            3
                      purpose of its water supply, water distribution and drainage          4
                      functions:                                                            5
                       (a) construct, install, maintain, operate and manage                 6
                            corporation works,                                              7
                      (b) repair, replace, maintain, remove, extend, connect,               8
                            disconnect, improve or do any other things in relation to       9
                            corporation works that are necessary for the purposes of       10
                            carrying out its functions.                                    11

             (2)      The corporation may enter into an arrangement with a landholder      12
                      to provide services in relation to works that are not corporation    13
                      works.                                                               14

     149     Members may be required to provide distribution works                         15

             (1)      A corporation may require a member of the corporation, or a          16
                      landholder who is supplied with water by the corporation, to do      17
                      any of the following:                                                18
                       (a) to provide water delivery systems on a landholding to           19
                            enable the supply of water to the land at the rate specified   20
                            by the corporation,                                            21
                      (b) to provide water storage works in the locations, and of a        22
                            kind, specified by the corporation for water supplied for      23
                            stock or domestic purposes,                                    24
                       (c) to maintain any water delivery systems or water storage         25
                            works on the land so as to enable the corporation to           26
                            properly exercise its functions in relation to the supply of   27
                            water.                                                         28

             (2)      The requirement is to be made by notice in writing given by the      29
                      corporation to the member or landholder.                             30

             (3)      A requirement may be made under this section only if it is           31
                      necessary for the efficient or effective operation of corporation    32
                      works or the carrying out of the corporation's functions.            33

     150     Discontinuation of water supply by corporation                                34

             (1)      A corporation may at any time suspend or restrict the supply of,     35
                      or refuse to supply, water to a member or landholder if the          36




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                  corporation is reasonably satisfied that any of the following         1
                  circumstances exist:                                                  2
                  (a) the water that is available to the corporation cannot meet        3
                        the demand,                                                     4
                  (b) the water that is available to the corporation is not suitable    5
                        for the required purpose,                                       6
                  (c) the corporation is unable to provide sufficient conveyance        7
                        water in connection with the operation of an irrigation         8
                        system,                                                         9
                  (d) the corporation is not lawfully able to supply the quantity      10
                        of water,                                                      11
                  (e) the member or landholder has failed to pay rates or charges      12
                        for water or other services provided by the corporation,       13
                   (f) the member or landholder has contravened or failed to           14
                        comply with a condition on which water or drainage             15
                        services are supplied by the corporation,                      16
                  (g) the member or landholder has contravened or failed to            17
                        comply with a requirement of the corporation relating to       18
                        the provision, maintenance or repair of distribution works     19
                        or any other requirement made by the corporation in            20
                        accordance with this Act, the regulations or the rules,        21
                  (h) the member or landholder has contravened or failed to            22
                        comply with a requirement of this Act, the regulations or      23
                        the rules,                                                     24
                   (i) the corporation is unable to dispose of water draining into     25
                        its drainage system because of the degraded quality of the     26
                        water.                                                         27

            (2)   A corporation that takes action under this section may reduce the    28
                  amount of water available by different amounts or proportions        29
                  according to such factors as the corporation thinks fit.             30

     151    Supply of services to other persons                                        31

            (1)   A corporation may enter into an agreement with a person who is       32
                  not a member of the corporation to supply water for the purpose      33
                  of irrigating land or other purposes, or to drain water from land,   34
                  by means of a water supply, water distribution or drainage system    35
                  provided and managed by the corporation.                             36

            (2)   A corporation must not supply water for domestic purposes if a       37
                  supply of water is available to the person from a local water        38
                  utility or major utility.                                            39




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     152     Powers of entry and inspection                                                    1
             (1)      A corporation may, by its employees and agents, enter onto land          2
                      on which corporation works are situated, or any other land, for          3
                      the following purposes:                                                  4
                       (a) to carry out any of its functions in relation to corporation        5
                             works,                                                            6
                      (b) to read a meter that measures water supplied by the                  7
                             corporation or monitors drainage for quantity or quality or       8
                             both,                                                             9
                       (c) to carry out investigations or inspections, take levels, drill     10
                             test bore-holes, dig trenches, make surveys and marks, and       11
                             fix pegs and stakes, for the purposes of designing,              12
                             constructing or determining the site of a proposed               13
                             corporation work,                                                14
                      (d) to remove samples of materials from the land for the                15
                             purposes of carrying out the corporation's functions, but        16
                             only if the landholder has been consulted and the views of       17
                             the landholder have been considered,                             18
                       (e) to exercise any other powers that are incidental to the            19
                             corporation's functions or that are reasonably necessary         20
                             for carrying out the corporation's functions.                    21

             (2)      The powers of entry conferred by this section are not to be             22
                      exercised for a purpose referred to in subsection (1) (a), (c) or (d)   23
                      without prior notice to the landholder of the land.                     24

             (3)      A corporation must ensure that as little damage as possible is          25
                      caused by the exercise of powers under this section.                    26

     153     Works plans                                                                      27

             (1)      A works plan for a corporation must:                                    28
                      (a) identify the water management works or proposed works               29
                           that are the corporation works, and                                30
                      (b) specify the location of, and describe, the works, and               31
                      (c) specify the land to which the works plan applies.                   32

             (2)      A works plan must comply with any requirements prescribed by            33
                      the regulations and the rules.                                          34

             (3)      A works plan may be amended or replaced if the amendment or             35
                      replacement is consented to by any landholder on whose land an          36
                      affected work is situated or is authorised by the rules.                37




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            (4)   A works plan may specify works on land of former members of         1
                  the corporation who have transformed their member's water           2
                  entitlements.                                                       3

            (5)    Regulations may be made for or with respect to the keeping of,     4
                   and provision of, copies of works plans by corporations.           5

      Division 4         Sale and transformation of water                             6
                         entitlements                                                 7

     154    Water entitlements of members                                             8

            (1)   A corporation may, if requested to do so in writing by a member     9
                  of the corporation, determine the member's water entitlement.      10

            (2)   The corporation must determine an entitlement if the request is    11
                  made by a member who is supplied by the corporation with water     12
                  for irrigation.                                                    13

            (3)   A corporation must have regard to the following matters when       14
                  determining the member's water entitlement:                        15
                  (a) the nature of agricultural activities on the land to which     16
                        water is supplied,                                           17
                  (b) the amount of water currently supplied to the member,          18
                  (c) any present or past water sharing arrangements applicable      19
                        to the member,                                               20
                  (d) any other matter it considers relevant,                        21
                  (e) any other matter prescribed by the regulations.                22

            (4)   A determination may specify the different parts of the member's    23
                  water entitlement that are available to the member for different   24
                  purposes.                                                          25

            (5)   A determination must be in writing and comply with the             26
                  requirements prescribed by the regulations. Notice of a            27
                  determination must be given in writing by the corporation to the   28
                  member.                                                            29

            (6)    A determination may be varied or redetermined only on a further   30
                   application made by the member within 3 months of the             31
                   determination or in the circumstances prescribed by the           32
                   regulations.                                                      33

            (7)   A person must not participate in a determination of a member's     34
                  water entitlement if the person or a member of the person's        35
                  immediate family (within the meaning of the regulations) has an    36
                  interest in the entitlement.                                       37




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     155     Sale or transfer of group entitlement                                           1
                      A corporation must not enter into a dealing to sell or mortgage the    2
                      whole or part of its water entitlement under its access licence        3
                      unless the dealing is permitted under, and is in accordance with,      4
                      the rules of the corporation.                                          5

     156     Sale or transfer of members' water entitlements                                 6

             (1)      A member of a corporation may sell or transfer the whole or any        7
                      part of the member's water entitlement to another member or to         8
                      the corporation.                                                       9

             (2)      A member must not sell or transfer the whole or part of the           10
                      member's water entitlement under this section unless the sale or      11
                      transfer has been approved by the corporation in accordance with      12
                      the rules or the regulations.                                         13

             (3)      A sale or transfer by a member does not affect the member's           14
                      membership of the corporation, except as provided by this Act or      15
                      the rules of the corporation.                                         16

     157     Transformation of member's water entitlement                                   17

             (1)      A corporation may make an application under Division 4 of             18
                      Part 2 of Chapter 3 for the purpose of wholly or partly               19
                      transforming a member's water entitlement into an access licence      20
                      under this Act.                                                       21

             (2)      On transformation of the whole or part of a member's water            22
                      entitlement to an access licence:                                     23
                      (a) the member is not entitled to vote (as a board member) or         24
                             as a member of the corporation on any matter relating to       25
                             the transformation of one or more other members' water         26
                             entitlements or the supply of water to members who have        27
                             not transformed their water entitlements, and                  28
                      (b) the corporation may continue to exercise functions in             29
                             relation to any corporation works that are located on the      30
                             landholding (whether or not the corporation is to deliver      31
                             the member's water entitlement under the access licence or     32
                             the landholder is a member of the corporation).                33

             (3)      If the whole of a person's water entitlement is transformed and       34
                      the person does not have a right to the delivery of that water by     35
                      the corporation:                                                      36
                       (a) the person ceases to be a member of the corporation, and         37




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                   (b)   the corporation must not fix rates and charges in respect of    1
                         the person's landholding for that water (other than             2
                         termination charges).                                           3

            (4)   The rules may make provision for or with respect to other              4
                  circumstances in which a person whose member's water                   5
                  entitlement has been transformed ceases to be a member of the          6
                  corporation.                                                           7

            (5)   A corporation may require a member to provide security as a            8
                  condition of consent to transformation of the whole or part of the     9
                  member's water entitlement, subject to the regulations.               10

            (6)   Without limiting subsection (5), the following kinds of security      11
                  may be required by a corporation:                                     12
                  (a) a charge over a part of an irrigation right that is not           13
                       transformed,                                                     14
                  (b) a charge over an access licence or other entitlement to           15
                       water acquired by the person and resulting from the              16
                       transformation,                                                  17
                  (c) a guarantee by an authorised deposit-taking institution,          18
                  (d) a deposit lodged with the corporation.                            19

      Division 5         Changes to private water corporations                          20

     158    Changes in membership requiring works plan changes                          21

            (1)    A corporation must not make a change in membership that              22
                   requires a change to the works plan unless the proposed change       23
                   to the works plan has been approved by at least two thirds of the    24
                   members of the corporation who are entitled to vote on the           25
                   question.                                                            26

            (2)    The regulations may vary the proportion of members of a              27
                   corporation who must approve any such change.                        28

            (3)    Any change to the works plan takes effect from the date approval     29
                   is given or such other date (being an earlier or later date) as is   30
                   specified in the approval.                                           31

     159    Application for amalgamation of private water corporations                  32

            (1)   Two or more corporations may apply to the Minister to constitute      33
                  one private water corporation.                                        34

            (2)   An application is:                                                    35
                  (a) to be in the approved form, and                                   36




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                      (b)   to be accompanied by a works plan for the land and               1
                            proposed rules for the new corporation, and                      2
                      (c)   to be accompanied by any other information required by           3
                            the Minister or prescribed by the regulations, and               4
                      (d)   to be accompanied by the fee (if any) prescribed by the          5
                            regulations.                                                     6

     160     Determination of application for amalgamation                                   7

             (1)      The Minister may grant an application to amalgamate 2 or more          8
                      corporations if:                                                       9
                      (a) the Minister is satisfied that the purpose of the                 10
                            amalgamated corporation is to provide, maintain or              11
                            operate any or all of a water supply system, water              12
                            distribution system or drainage system, and                     13
                      (b) the corporation and any proposed works plan or rules of           14
                            the corporation comply with any requirements of this Act        15
                            and the regulations.                                            16

             (2)      The amalgamated corporation is to be constituted by the Minister      17
                      by order published on the NSW legislation website.                    18

             (3)      In addition to constituting the corporation, the order must specify   19
                      the following:                                                        20
                       (a) the name of the corporation,                                     21
                      (b) the water supply, water distribution or water drainage            22
                             purposes of the corporation,                                   23
                       (c) the landholdings for which the corporation may exercise          24
                             functions and the works plan of the corporation,               25
                      (d) the members of the corporation,                                   26
                       (e) the board members of the corporation, pending the first          27
                             election of board members,                                     28
                       (f) the date, time and place for the first election of the board     29
                             members of the corporation,                                    30
                      (g) the rules of the corporation.                                     31

             (4)      On the order being published or on such later day as may be           32
                      specified in the order:                                               33
                      (a) the new corporation is constituted as a body corporate with       34
                             the name specified in the order, and                           35
                      (b) the members specified in the order are the members of the         36
                             corporation, and                                               37




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                   (c)   the rules and works plan specified by the order take effect,     1
                         and                                                              2
                   (d)   the amalgamated corporations are abolished, and                  3
                   (e)   the new corporation is taken for all purposes to be a            4
                         continuation of and the same legal entity as each of the         5
                         amalgamated corporations.                                        6

            (5)    The new corporation is not a NSW government agency.                    7

     161    Effect of sale of land                                                        8

            (1)    If a member of a corporation sells to a person land to which the       9
                   corporation provides or is able to provide water supply or            10
                   drainage services:                                                    11
                    (a) the member ceases to be a member in respect of that land         12
                         when that sale takes effect, and                                13
                   (b) the purchaser is taken to be a member of the corporation          14
                         when the sale takes effect, and                                 15
                    (c) the purchaser has all the entitlements and liabilities of the    16
                         vendor as a member, in respect of the land, that the vendor     17
                         had immediately before the sale took effect.                    18

            (2)    A member of a corporation who sells land as referred to in this       19
                   section must notify the corporation of the sale in accordance with    20
                   any requirements of the regulations or the rules.                     21

     162    Effect of subdivision                                                        22

                   The subdivision of land by a member of a corporation:                 23
                   (a) does not of itself entitle any other person to be a member        24
                         of the corporation or entitle any other person to be supplied   25
                         with water or provided with drainage or other services by       26
                         the corporation, and                                            27
                   (b) does not of itself affect any existing entitlement of any         28
                         other person in relation to any such service, and               29
                   (c) does not of itself affect any functions of the corporation in     30
                         relation to corporation works.                                  31

      Division 6         Rates and charges                                               32

     163    Fixing of rates and charges                                                  33

            (1)    A corporation must for each year commencing on 1 July fix the         34
                   rates and charges payable in respect of each landholding that is a    35
                   landholding owned or occupied by its members for which the            36




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                      corporation may exercise functions, or for which it provides           1
                      water or drainage services in that year.                               2

             (2)      In determining the amount of rates and charges payable, the            3
                      corporation must fix an amount that it considers is sufficient to      4
                      meet the estimated costs of the following:                             5
                       (a) the corporation's likely costs in providing irrigation, water     6
                            supply and drainage services for that year,                      7
                      (b) the liabilities of the corporation,                                8
                       (c) the corporation's likely costs relating to corporation            9
                            works, including (but not limited to) maintenance,              10
                            improvement and replacement of works and new works,             11
                      (d) provision for a sinking fund (if necessary),                      12
                       (e) any other matters prescribed by the regulations.                 13

             (3)      The rates and charges payable may (but are not required to) be        14
                      fixed on the basis of any one or more of the following:               15
                       (a) the volume or quality of water supplied or proposed to be        16
                             supplied to a landholding,                                     17
                      (b) the area of a landholding,                                        18
                       (c) whether or not water or drainage services are or are             19
                             proposed to be provided to a landholding,                      20
                      (d) the purpose for which water services are supplied or              21
                             proposed to be supplied to a landholding.                      22

             (4)      If rates and charges are payable on the basis of the area of a        23
                      landholding, a landholding that has an area equal to a number of      24
                      hectares and a remaining fraction of a hectare is to be rounded up    25
                      to the nearest hectare.                                               26

             (5)      A corporation may also fix the following charges:                     27
                      (a) termination charges payable by a member or former                 28
                            member after transformation of the whole or part of the         29
                            member's water entitlement,                                     30
                      (b) charges payable for the delivery of water to a member or          31
                            former member after transformation of the whole or part of      32
                            the member's water entitlement.                                 33

             (6)      A corporation must give notice of its fees and charges for a year     34
                      in the manner prescribed by the regulations and must specify in       35
                      the notice the basis on which the rates and charges are calculated.   36




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            (7)    The rules of a corporation must provide for the procedures for           1
                   setting rates and charges and the period within which rates and          2
                   charges must be paid.                                                    3
                   Note. The regulations may prescribe requirements for rules made under    4
                   this section (see section 145 (3) (b)).                                  5

     164    Recovery of unpaid rates and charges                                            6

            (1)    The owner or occupier of a landholding for which rates or                7
                   charges are levied by a corporation must pay the rates and               8
                   charges to the corporation.                                              9

            (2)    If a landholding for which rates or charges are levied is owned or      10
                   occupied by more than one person the following provisions               11
                   apply:                                                                  12
                    (a) the rates or charges may be levied on one or more of those         13
                           persons and may be recovered by the corporation from any        14
                           one or more of those persons,                                   15
                   (b) the corporation is not entitled to recover more than the total      16
                           amount of the rates and charges (and any interest payable).     17

            (3)    If any land in a holding reverts to the Crown during any year for       18
                   which rates or charges are or are to be assessed, the person who        19
                   immediately before the reversion was the landholder of the land         20
                   is liable for payment of only that part of the rates or charges         21
                   proportionate to the part of the year for which the land was held       22
                   by the person, and any excess payment by the person must be             23
                   refunded to the person.                                                 24
                   Note. Rates and charges are a charge on the land, procedures for the    25
                   sale of land for overdue rates are set out in Part 4 of Chapter 7.      26

     165    Abandonment of rates and charges                                               27

            (1)    A corporation may, in accordance with the rules, waive or reduce        28
                   rates, charges and interest due.                                        29

            (2)    Rates and charges may be waived under this section only if the          30
                   auditor of the corporation certifies that the waiver is in              31
                   accordance with the rules and has been approved by the board of         32
                   the corporation.                                                        33

      Division 7         Finance                                                           34

     166    Financial records                                                              35

            (1)    A corporation must cause proper accounts and records to be kept         36
                   in relation to all its operations.                                      37




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             (2)      A corporation must prepare financial statements for each               1
                      financial year of the corporation.                                     2

             (3)      Sections 41B and 41BA of the Public Finance and Audit Act              3
                      1983 apply to financial statements required to be prepared under       4
                      this section in the same way that they apply to financial reports      5
                      required to be prepared under that Act.                                6

             (4)      The financial statements must be submitted for verification and        7
                      certification to an auditor appointed by the corporation in the        8
                      manner prescribed by the rules of the corporation.                     9

             (5)      The regulations may provide for the qualifications for                10
                      appointment as an auditor under this section.                         11

             (6)      A member of a corporation or a board member of the corporation        12
                      must not be appointed to audit the financial statements of the        13
                      corporation.                                                          14

     167     Auditor's right to access to information                                       15

             (1)      An auditor of a corporation has a right of access at all reasonable   16
                      times to the accounts and records of the corporation.                 17

             (2)      A board member, or an employee of, a corporation must comply          18
                      with any reasonable request by the auditor of the corporation to      19
                      provide information or documents relating to the accounts or          20
                      financial statements or related records of the corporation.           21
                      Maximum penalty: 20 penalty units.                                    22

     168     Presentation of audited financial statements                                   23

             (1)      A corporation must, at the request of the Minister, furnish to the    24
                      Minister the audited financial statements and any other               25
                      documents requested within the time specified in the request.         26

             (2)      The audited financial statements must be laid before the annual       27
                      general meeting of the corporation following their verification       28
                      and certification by the auditor.                                     29

     169     Borrowing and investment by corporations                                       30

             (1)      A corporation may obtain financial accommodation, and may             31
                      invest the funds of the corporation, in any manner it thinks fit.     32

             (2)      A corporation may, for the purpose of obtaining financial             33
                      accommodation:                                                        34
                      (a) charge the whole or any part of any of its property               35
                           (including any income arising from rates or charges) by          36
                           debenture, mortgage or in any other manner, and                  37




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                   (b)   enter into arrangements to provide guarantees or                  1
                         indemnities.                                                      2

            (3)   If a corporation defaults in carrying out its obligations under a        3
                  debenture charged on income arising from rates or charges, the           4
                  Supreme Court may, on the application of a creditor or a trustee         5
                  for the debenture holders:                                               6
                   (a) direct the corporation to appropriate a specified portion of        7
                         its income to satisfy its obligations under the debenture, or     8
                  (b) direct the corporation to raise a specified amount by way            9
                         of charges and direct the amount to be applied towards           10
                         satisfying those obligations,                                    11
                  and may give any other ancillary or incidental directions that it       12
                  thinks fit.                                                             13

            (4)   The rights of a creditor or trustee in subsection (3) are in addition   14
                  to any other rights of the creditor or trustee.                         15

            (5)   The obligations of a corporation are not guaranteed by the State        16
                  of New South Wales.                                                     17

            (6)   The State of New South Wales is not liable to any action,               18
                  liability, claim or demand in respect of the exercise by or on          19
                  behalf of a corporation of any function under this Division.            20

            (7)   In this section:                                                        21
                  funds includes any funds under the control of the corporation and       22
                  real property, securities or other property comprising an               23
                  investment.                                                             24
                  obtaining of financial accommodation has the same meaning as            25
                  it has in the Public Authorities (Financial Arrangements) Act           26
                  1987.                                                                   27

      Division 8         Enforcement powers                                               28

     170    Charges for water illegally taken and damage to works                         29

            (1)   A corporation may impose a charge on a person for water taken           30
                  if the corporation is satisfied on the balance of probabilities that    31
                  the person has knowingly taken water from a water management            32
                  work that is owned by, or is under the control and management           33
                  of, the corporation in contravention of this Act, the regulations,      34
                  the rules or an agreement with the corporation.                         35

            (2)    A corporation may impose a charge on a person for the repair or        36
                   replacement of a work if the corporation is satisfied on the           37
                   balance of probabilities that the person has destroyed, damaged        38




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                      or interfered with a work that is owned by, or is under the control    1
                      or management of, the corporation.                                     2

             (3)      The charge imposed by the corporation may include a penalty            3
                      component.                                                             4

             (4)      The maximum charge that a corporation may impose under this            5
                      section:                                                               6
                      (a) for the taking of water, is an amount not exceeding 5 times        7
                            the value of the water so taken, as determined in                8
                            accordance with the regulations, or                              9
                      (b) for destroying, damaging or interfering with a work, is an        10
                            amount not exceeding 5 times the reasonable cost of the         11
                            repair or replacement (as required) of the work.                12

             (5)      Action under this section may not be taken against a person           13
                      unless the corporation:                                               14
                      (a) has given written notice to the person that the corporation       15
                            proposes to take such action, and                               16
                      (b) has given the person a reasonable opportunity to make             17
                            submissions to the corporation with respect to the              18
                            proposed action, and                                            19
                      (c) has taken any such submissions into consideration.                20

             (6)      A charge imposed by a corporation under this section is               21
                      recoverable in any court of competent jurisdiction as a debt due      22
                      to the corporation.                                                   23

             (7)      A corporation is not entitled to take action under this section       24
                      unless the Minister has approved the application of this section to   25
                      the corporation.                                                      26

             (8)      Action may be taken under this section against a former member        27
                      of the corporation.                                                   28

             (9)      The exercise of powers by a corporation under this section is         29
                      subject to any requirements of, or limits imposed by, the             30
                      regulations or the rules of a corporation.                            31

     171     Entry and investigation powers                                                 32

             (1)      A corporation may appoint a person to act as an authorised officer    33
                      of the corporation under this section. An appointment is to be in     34
                      writing and is to comply with any requirements of the                 35
                      regulations.                                                          36

             (2)      An authorised officer of a corporation may enter land at any          37
                      reasonable time if the authorised officer is reasonably of the        38




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                   opinion that the landholder has contravened an irrigation, water       1
                   supply, water distribution or drainage agreement with the              2
                   corporation and that it is necessary to enter the land for the         3
                   purpose of investigating that contravention.                           4

            (3)    An authorised officer who enters land under this section may           5
                   exercise the powers set out in section 339B (2) (a)­(g).               6

            (4)    Sections 339D, 339F and 340 apply to authorised officers               7
                   appointed under this section.                                          8

            (5)    A corporation, and authorised officers of a corporation, may           9
                   exercise the functions conferred by this section only if authorised   10
                   to do so by the rules of the corporation.                             11

            (6)   This section does not empower an authorised officer to enter any       12
                  part of premises used only for residential purposes.                   13

            (7)    A corporation must compensate all interested parties for any          14
                   damage caused by a person exercising a power of entry on to land      15
                   under this section on behalf of the corporation (but not any          16
                   damage caused by the exercise of any other power), unless the         17
                   occupier obstructed or hindered the person in the exercise of the     18
                   power of entry.                                                       19

     172    Ministerial directions about rules                                           20

            (1)    The Minister may, by notice in writing to a corporation, direct the   21
                   corporation to comply with, or cease to contravene, the rules of      22
                   the corporation.                                                      23

            (2)    The notice may direct the corporation to take specified action or     24
                   to cease to take specified action.                                    25

            (3)    A corporation must not contravene a direction under this section.     26
                   Tier 2 penalty.                                                       27

      Division 9         Winding up of private water corporations                        28

     173    Appointment of an administrator                                              29

            (1)    The Minister may, by order published in the Gazette, remove the       30
                   members of the board of a corporation from office and appoint an      31
                   administrator to conduct the affairs of the corporation.              32

            (2)    The Minister may make an order if the Minister is of the opinion      33
                   that:                                                                 34
                    (a) the board or the corporation has failed, or is unable to,        35
                         carry out its functions as required by or under this Act, or    36




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                      (b)   without limiting paragraph (a), the corporation has failed         1
                            or is unable to provide or maintain water supply, water            2
                            distribution or drainage services or corporation works, or         3
                      (c)   the corporation is unable to pay its debts as they fall due, or    4
                      (d)   the board or corporation has regularly or materially               5
                            contravened this Act, the regulations or the rules of the          6
                            corporation, or                                                    7
                      (e)   in all the circumstances of the case it is just and equitable      8
                            to do so.                                                          9

             (3)      Before making an order, the Minister must:                              10
                      (a) cause notice of the proposed order to be published in a             11
                            newspaper circulating in the local area in which the              12
                            corporation provides services, and                                13
                      (b) in that notice, invite submissions to be made to the                14
                            Minister about the proposal within the period of 4 weeks          15
                            following the publication of the notice, and                      16
                      (c) consider any submissions made within that period.                   17

             (4)      The Minister is not required to comply with subsection (3) if the       18
                      Minister is of the opinion that the special circumstances of the        19
                      case require the order to be made immediately.                          20

     174     Functions of administrator                                                       21

             (1)      The administrator of a corporation appointed under this Division        22
                      holds office for such period as is specified in the order appointing    23
                      the administrator. The administrator ceases to hold office if the       24
                      Minister, by a subsequent order published in the Gazette, revokes       25
                      the appointment or on the election of a new board under this            26
                      section.                                                                27

             (2)      The administrator has and may exercise the functions of the             28
                      board of the corporation or corporation specified in the                29
                      administrator's order of appointment (subject to any conditions         30
                      specified in that order) but is not required to comply with the         31
                      rules of the corporation.                                               32

             (3)      The administrator may amend the rules of the corporation and            33
                      take such other action as is necessary to enable the corporation to     34
                      properly exercise its functions.                                        35

             (4)      The administrator is entitled to be paid such remuneration, from        36
                      the funds of the corporation, as the Minister may from time to          37
                      time determine.                                                         38




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            (5)   The Minister may at any time, by order published in the Gazette,        1
                  extend the period of appointment of an administrator.                   2

            (6)   The administrator must, if required to do so by the Minister,           3
                  report to the Minister on the administrator's conduct of the affairs    4
                  of the corporation.                                                     5

            (7)   The administrator may at any time recommend to the Minister             6
                  that elections be held for a new board or that the corporation be       7
                  wound up.                                                               8

            (8)   The administrator must, if required to do so by the Minister,           9
                  arrange for elections to be held for a new board.                      10

     175    Removed board members not eligible for re-election                           11

                  If the board of a corporation has been removed from office, each       12
                  of the board members is ineligible for election to the board at any    13
                  subsequent election, unless the Minister declares in writing that      14
                  the board member is eligible for election at such an election.         15

     176    Effect of administration on existing contracts                               16

                  On the appointment of an administrator of a corporation:               17
                  (a) all contracts of employment with the corporation are               18
                        terminated, and                                                  19
                  (b) the administrator may terminate any contract for the               20
                        provision of services to or by the corporation.                  21

     177    Winding up of corporations                                                   22

            (1)   The Minister may, by order published in the Gazette, order that a      23
                  corporation be wound up if:                                            24
                  (a) requested to do so by the corporation, after a resolution to       25
                        wind up the corporation was passed at a meeting of the           26
                        corporation by not less than 75% of the members, or              27
                  (b) the administrator of the corporation has recommended that          28
                        the corporation be wound up.                                     29

            (2)   The order must appoint a person as the liquidator of the               30
                  corporation.                                                           31

            (3)   The regulations may make provision for or with respect to the          32
                  winding up of a corporation and for the disposal of residual assets    33
                  of the corporation.                                                    34

            (4)   The Minister may, by order published in the Gazette, abolish a         35
                  corporation if satisfied that the winding up of the corporation        36
                  under this section has been completed.                                 37




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       Division 10          Miscellaneous                                                   1

       178   Liability for water source and other changes                                   2

             (1)      A corporation, any officer or employee of a corporation or a          3
                      person acting under the direction of the corporation, officer or      4
                      employee is not subject to any action, liability, claim or demand     5
                      arising:                                                              6
                       (a) from the unavailability of water, or                             7
                      (b) from the escape of water from a corporation work, or              8
                       (c) from a failure to supply, distribute or drain water that is      9
                             authorised by the rules, this Act or the regulations,         10
                      as a consequence of anything done or omitted to be done in good      11
                      faith by the corporation, officer, employee or person for the        12
                      purposes of executing this Act or of carrying out the functions of   13
                      the corporation.                                                     14

             (2)      This section does not limit section 397.                             15

       179   Amendment of Schedule 13 to insert, change, omit name of                      16
             corporation                                                                   17

                      The Minister may, by order published on the NSW legislation          18
                      website, amend Schedule 13:                                          19
                      (a) to insert the name of a private water corporation                20
                            constituted under this Act, or                                 21
                      (b) to change the name of a private water corporation                22
                            constituted under this Act, or                                 23
                      (c) to omit the name of a private water corporation, if the          24
                            corporation is abolished.                                      25

[76]   Section 221 Definitions                                                             26

       Insert in alphabetical order:                                                       27
                     member's water entitlement means the part of the share                28
                     component of an access licence held by or on behalf a private         29
                     water trust that is available to a member.                            30
                     rules means the rules of a private water trust, as in force from      31
                     time to time.                                                         32
                     trust work means a water management work, or a proposed water         33
                     management work, specified in the works plan for a private water      34
                     trust.                                                                35
                     works plan means the works plan for a private water trust             36
                     specified for the trust, as in force from time to time.               37




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[77]   Section 221                                                                          1
       Omit the definitions of member and water supply district.                            2

       Insert in alphabetical order:                                                        3
                     trustee of a private water trust means a trustee elected under         4
                     section 223.                                                           5

[78]   Section 222 Requirements for access licences and approvals                           6

       Insert ", the trustees of a trust" after "private water trust" where firstly         7
       occurring.                                                                           8

[79]   Section 222                                                                          9

       Omit "private water trust" where secondly occurring.                                10

       Insert instead "(or the trustees on behalf of the trust),".                         11

[80]   Chapter 4, Part 4, Divisions 2­9                                                    12

       Omit Chapter 4, Part 4, Divisions 2­6. Insert instead:                              13

       Division 2          Management of private water trusts                              14

       223   Trustees of private water trusts                                              15

              (1)    The number of trustees of a private water trust is to be the number   16
                     when section 220 commenced.                                           17

              (2)    The trustees of a trust are to be elected.                            18

              (3)    The trustees must elect one of the trustees as chairperson of the     19
                     trust.                                                                20

              (4)    The trustees have the following functions:                            21
                     (a) to direct, control and manage the affairs of the trust, in        22
                           accordance with this Act, the regulations and the rules,        23
                     (b) any other functions conferred on the trustees by or under         24
                           this Act.                                                       25

              (5)    The trustees are to act for and on behalf of the trust.               26

              (6)    A trustee holds office for the term prescribed by the rules.          27

              (7)    The regulations may prescribe the circumstances in which a            28
                     trustee ceases to be a trustee.                                       29

              (8)    For the purposes of this Act and the regulations, a trust is taken    30
                     to be the holder of any access licence or approval that is held by    31
                     any former or other current trustees on behalf of the trust.          32




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             (9)      A trustee must, as soon as practicable after ceasing to be a trustee,    1
                      take all necessary action to transfer any interest in property held      2
                      by the former trustee on behalf of the trust to the trustees of the      3
                      trust or the trust.                                                      4

     224     Water supply and other functions of trusts                                        5

             (1)      A private water trust has the following functions:                       6
                      (a) to provide, maintain or operate a water supply system,               7
                            water distribution system or drainage system,                      8
                      (b) any other function conferred or imposed on the trust by or           9
                            under this or any other Act.                                      10

             (2)      The trust may supply water:                                             11
                      (a) under an access licence or approval held by the trustees or         12
                            trust, or                                                         13
                      (b) for the purpose of an access licence or approval held by a          14
                            member whose member's water entitlement has been                  15
                            transformed under Division 4.                                     16

     225     Rules of private water trusts                                                    17

             (1)      A private water trust may, from time to time, amend or replace          18
                      the rules of the trust.                                                 19

             (2)      The rules may make provision for or with respect to the following       20
                      matters:                                                                21
                      (a) elections of trustees,                                              22
                      (b) the trustees and procedures of the trustees,                        23
                      (c) the members of the trust,                                           24
                      (d) meetings of the trust,                                              25
                      (e) meetings of trustees of the trust,                                  26
                       (f) the voting rights of members of the trust, or classes of           27
                            members of the trust,                                             28
                      (g) new members of the trust,                                           29
                      (h) the functions of the trust that may be exercised only by            30
                            resolution at a meeting of the members of the trust,              31
                       (i) the imposition of rates and charges on members of the trust        32
                            for services (including water) provided by the trust,             33
                       (j) the regulation of a water supply, water distribution or            34
                            drainage system provided by the trust,                            35




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                  (k)    the regulation of the supply, taking or use of water             1
                         provided by a water supply or water distribution system          2
                         provided by the trust,                                           3
                   (l)   the regulation of the draining or disposal of water through      4
                         a drainage system provided by the trust,                         5
                  (m)    the financial management and systems of the trust,               6
                   (n)   the manner in which the rules are to be amended or               7
                         replaced,                                                        8
                  (o)    any other matters prescribed by the regulations,                 9
                  (p)    any other matters necessary for, or ancillary to, the           10
                         purposes of the trust.                                          11

            (3)   The rules must:                                                        12
                  (a) not be inconsistent with this Act or the regulations, and          13
                  (b) comply with any requirements prescribed by the                     14
                        regulations.                                                     15

            (4)   A trust must notify changes to the rules, or replaced rules, in the    16
                  manner prescribed by the regulations.                                  17

            (5)   The rules are binding on the trustees and members of the trust and     18
                  landholders to whom the trust provides services and it is              19
                  presumed that the trustees, members and landholders have notice        20
                  of the rules.                                                          21

            (6)   A rule has no effect to the extent to which it is inconsistent with    22
                  this Act or the regulations.                                           23

            (7)   A trust must not make a change to a rule unless the proposed           24
                  change has been approved by at least two thirds of the members         25
                  of the trust who are entitled to vote on the question or the change    26
                  is authorised by the rules.                                            27

            (8)   The regulations may vary the proportion of members of a trust          28
                  who must approve any such change or any class of change.               29

     226    Trustees must provide copy of rules                                          30

            (1)   A trustee of a private water trust must, if required to do so by the   31
                  Minister, provide the Minister with a copy of the rules of the         32
                  trust.                                                                 33
                  Maximum penalty: 20 penalty units.                                     34

            (2)   A private water trust must, on the request of a member of the trust    35
                  and payment by the member of the fee (if any) prescribed by the        36
                  rules of the trust, provide the member with a copy of the rules of     37
                  the trust.                                                             38




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     227     Delegation                                                                      1
                      A private water trust or the trustees of a trust may by instrument     2
                      in writing delegate:                                                   3
                       (a) to any trustee or to any member of the trust, or                  4
                      (b) to any employee of the trust,                                      5
                      any of their functions, other than this power of delegation.           6

      Division 3            Operational functions                                            7

     228     Trust works and other works                                                     8

             (1)      A private water trust may exercise the following functions for the     9
                      purpose of its water supply, water distribution and drainage          10
                      functions:                                                            11
                       (a) construct, install, maintain, operate and manage trust           12
                            works,                                                          13
                      (b) repair, replace, maintain, remove, extend, connect,               14
                            disconnect, improve or do any other things in relation to       15
                            trust works that are necessary for the purpose of carrying      16
                            out their functions.                                            17

             (2)      A private water trust may enter into an arrangement with a            18
                      landholder to provide services in relation to works that are not      19
                      trust works.                                                          20

     229     Members may be required to provide distribution works                          21

             (1)      A private water trust may require a member of the trust, or a         22
                      landholder who is supplied with water by the trust, to do any of      23
                      the following:                                                        24
                       (a) to provide water delivery systems on a landholding to            25
                             enable the supply of water to the land at the rate specified   26
                             by the trust,                                                  27
                      (b) to provide water storage works in the locations, and of a         28
                             kind, specified by the trust for water supplied for stock or   29
                             domestic purposes,                                             30
                       (c) to maintain any water delivery systems or water storage          31
                             works on the land so as to enable the trust to properly        32
                             exercise functions in relation to the supply of water.         33

             (2)      The requirement is to be made by notice in writing given by the       34
                      trust to the member or landholder.                                    35




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            (3)   A requirement may be made under this section only if it is              1
                  necessary for the efficient or effective operation of trust works or    2
                  the carrying out of the trust's functions.                              3

     230    Discontinuation of water supply by trust                                      4

            (1)   A private water trust may at any time suspend or restrict the           5
                  supply of, or refuse to supply, water to a member or landholder if      6
                  the trust is reasonably satisfied that any of the following             7
                  circumstances exist:                                                    8
                   (a) the water that is available to the trust cannot meet the           9
                        demand,                                                          10
                  (b) the water that is available to the trust is not suitable for the   11
                        required purpose,                                                12
                   (c) the trust is unable to provide sufficient conveyance water        13
                        in connection with the operation of an irrigation system,        14
                  (d) the trust is not lawfully able to supply the quantity of           15
                        water,                                                           16
                   (e) the member or landholder has failed to pay charges or fees        17
                        for water or other services provided by the trust,               18
                   (f) the member or landholder has contravened or failed to             19
                        comply with a condition on which water or drainage               20
                        services are supplied by the trust,                              21
                  (g) the member or landholder has contravened or failed to              22
                        comply with a requirement of the trust relating to the           23
                        provision, maintenance or repair of distribution works or        24
                        any other requirement made by the trust in accordance            25
                        with this Act, the regulations or the rules,                     26
                  (h) the member or landholder has contravened or failed to              27
                        comply with a requirement of this Act, the regulations or        28
                        the rules,                                                       29
                    (i) the trust is unable to dispose of water draining into its        30
                        drainage system because of the degraded quality of the           31
                        water.                                                           32

            (2)   A private water trust that takes action under this section may         33
                  reduce the amount of water available by different amounts or           34
                  proportions according to such factors as it thinks fit.                35

     231    Supply of services to other persons                                          36

            (1)   A private water trust may enter into an agreement with a person        37
                  who is not a member of the trust to supply water for the purpose       38
                  of irrigating land or other purposes, or to drain water from land,     39




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                      by means of a water supply, water distribution or drainage system        1
                      provided and managed by the trust.                                       2

             (2)      A private water trust must not supply water for domestic                 3
                      purposes if a supply of water is available to the person from a          4
                      local water utility or a major utility.                                  5

     232     Powers of entry and inspection                                                    6

             (1)      A private water trust may, by its employees or agents, enter onto        7
                      land on which trust works are situated, or any other land, for the       8
                      following purposes:                                                      9
                       (a) to carry out any of the trust's functions in relation to trust     10
                            works,                                                            11
                      (b) to read a meter that measures water supplied by the trust or        12
                            monitors drainage for quantity or quality or both,                13
                       (c) to carry out investigations or inspections, take levels, drill     14
                            test bore-holes, dig trenches, make surveys and marks, and        15
                            fix pegs and stakes, for the purposes of designing,               16
                            constructing or determining the site of a proposed trust          17
                            work,                                                             18
                      (d) to remove samples of materials from the land for the                19
                            purpose of carrying out trust functions, but only if the          20
                            landholder has been consulted and the views of the                21
                            landholder have been considered,                                  22
                       (e) to exercise any other powers that are incidental to the            23
                            trust's functions that are reasonably necessary for carrying      24
                            out those functions.                                              25

             (2)      The powers of entry conferred by this section are not to be             26
                      exercised for a purpose referred to in subsection (1) (a), (c) or (d)   27
                      without prior notice to the landholder of the land.                     28

             (3)      The trust must ensure that as little damage as possible is caused       29
                      by the exercise of powers under this section and must repair any        30
                      damage caused or pay compensation for the damage.                       31

     233     Works plans                                                                      32

             (1)      A works plan for a trust must:                                          33
                      (a) identify the water management works or proposed works               34
                           that are the trust works, and                                      35
                      (b) specify the location of, and describe, the works, and               36
                      (c) specify the land to which the works plan applies.                   37




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            (2)   A works plan must comply with any requirements prescribed by        1
                  the regulations and the rules.                                      2

            (3)   A works plan may be amended or replaced if the amendment or         3
                  replacement is consented to by any landholder on whose land         4
                  affected works are situated or is authorised by the rules.          5

            (4)   A works plan may specify works on land of former members of         6
                  the trust who have transformed their member's water                 7
                  entitlements.                                                       8

            (5)    Regulations may be made for or with respect to the keeping of,     9
                   and provision of, copies of works plans.                          10

      Division 4         Sale and transformation of water                            11
                         entitlements                                                12

     234    Water entitlements of members                                            13

            (1)   A private water trust may, if requested to do so by a member of    14
                  the trust, determine the member's water entitlement.               15

            (2)   The trust must determine a member's water entitlement if the       16
                  request is made by a member who is supplied by the trust with      17
                  water for irrigation.                                              18

            (3)    The trust must have regard to the following matters when          19
                   determining the member's water entitlement:                       20
                   (a) the nature of agricultural activities on the land to which    21
                         water is supplied,                                          22
                   (b) the amount of water currently supplied to the member,         23
                   (c) any present or past water sharing arrangements applicable     24
                         to the member,                                              25
                   (d) any other matter it considers relevant,                       26
                   (e) any other matter prescribed by the regulations.               27

            (4)   A determination may specify the different parts of the member's    28
                  water entitlement that are available to the landholding for        29
                  different purposes.                                                30

            (5)   A determination must be in writing and comply with the             31
                  requirements of the regulations. Notice of a determination must    32
                  be given in writing by the trust to the member.                    33

            (6)    A determination may be varied or redetermined only on a further   34
                   application made by the member within 3 months of the             35
                   determination or in the circumstances prescribed by the           36
                   regulations.                                                      37




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             (7)      A person must not participate in a determination of a member's        1
                      water entitlement if the person or a member of the person's           2
                      immediate family (within the meaning of the regulations) has an       3
                      interest in the entitlement.                                          4

     235     Sale or transfer of group entitlement                                          5

                      A private water trust must not enter into a dealing to sell or        6
                      mortgage the whole or part of the water entitlement of a trust        7
                      under an access licence unless the dealing is permitted under, and    8
                      is in accordance with, the rules of the trust.                        9

     236     Sale or transfer of members' water entitlements                               10

             (1)      A member of a private water trust may sell or transfer the whole     11
                      or any part of the member's water entitlement to another member      12
                      or to the trust.                                                     13

             (2)      A member must not sell or transfer the whole or part of the          14
                      member's water entitlement under this section unless the sale or     15
                      transfer has been approved by the trust in accordance with the       16
                      rules or the regulations.                                            17

             (3)      A sale or transfer by a member does not affect the member's          18
                      membership of the trust, except as provided by this Act and the      19
                      rules of the trust.                                                  20

     237     Transformation of member's water entitlements                                 21

             (1)      A private water trust may make an application under Division 4       22
                      of Part 2 of Chapter 3 for the purpose of wholly or partly           23
                      transforming a member's water entitlement into an access licence     24
                      under this Act.                                                      25

             (2)      On transformation of the whole or part of a member's water           26
                      entitlement to an access licence:                                    27
                      (a) the member is not entitled to vote (as a trustee) or as a        28
                             member on any matter relating to the transformation of one    29
                             or more other members' water entitlements or the supply       30
                             of water to members who have not transformed their water      31
                             entitlements, and                                             32
                      (b) the trust may continue to exercise functions in relation to      33
                             any trust works that are located on the landholding           34
                             (whether or not the trust is to deliver the member's water    35
                             entitlement under the access licence or the landholder        36
                             remains a member of the trust).                               37




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            (3)   If the whole of a person's water entitlement is transformed and        1
                  the person does not have a right to the delivery of that water by      2
                  the trust:                                                             3
                   (a) the person ceases to be a member of the trust, and                4
                  (b) the trust must not fix rates and charges in respect of the         5
                         person's landholding for that water (other than termination     6
                         charges).                                                       7

            (4)    The rules may make provision for or with respect to other             8
                   circumstances in which a person whose member's water                  9
                   entitlement has been transformed ceases to be a member of the        10
                   trust.                                                               11

            (5)   The trust may require a member to provide security as a condition     12
                  of consent to transformation of the whole or part of the member's     13
                  water entitlement, subject to the regulations.                        14

            (6)   Without limiting subsection (5), the following kinds of security      15
                  may be required by the trust:                                         16
                  (a) a charge over a part of an irrigation right that is not           17
                       transformed,                                                     18
                  (b) a charge over an access licence or other entitlement to           19
                       water acquired by the person and resulting from the              20
                       transformation,                                                  21
                  (c) a guarantee by an authorised deposit-taking institution,          22
                  (d) a deposit lodged with the trust.                                  23

      Division 5         Changes to private water trusts                                24

     238    Changes in membership requiring works plan changes                          25

            (1)   A private water trust must not make a change in membership that       26
                  results in a consequential change to the works plan of the trust      27
                  unless the proposed change to the works plan has been approved        28
                  by at least two thirds of the members of the trust who are entitled   29
                  to vote on the question.                                              30

            (2)    The regulations may vary the proportion of the members of the        31
                   trust who must approve any such change.                              32

            (3)    Any change to the works plan takes effect from the date approval     33
                   is given or such other date (being an earlier or later date) as is   34
                   specified in the approval.                                           35




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     239     Application for amalgamation of private water trusts                              1
             (1)      Two or more private water trusts may apply to the Minister to            2
                      constitute one private water trust.                                      3

             (2)      An application is:                                                       4
                      (a) to be in the approved form, and                                      5
                      (b) to be accompanied by a works plan and proposed rules for             6
                           the new trust, and                                                  7
                      (c) to be accompanied by any other information required by               8
                           the Minister or prescribed by the regulations, and                  9
                      (d) to be accompanied by the fee (if any) prescribed by the             10
                           regulations.                                                       11

    239A     Determination of application for amalgamation                                    12

             (1)      The Minister may grant an application to amalgamate 2 or more           13
                      trusts if:                                                              14
                       (a) the Minister is satisfied that the purpose of the                  15
                              amalgamated trust is to provide, maintain or operate any or     16
                              all of a water supply system, water distribution system or      17
                              drainage system, and                                            18
                      (b) the trust and any proposed works plan or rules of the trust         19
                              comply with any requirements of this Act and the                20
                              regulations.                                                    21

             (2)      The amalgamated private water trust is to be constituted by the         22
                      Minister by order published on the NSW legislation website.             23

             (3)      In addition to constituting the trust, the order must specify the       24
                      following:                                                              25
                       (a) the name of the trust,                                             26
                      (b) the water supply, water distribution or water drainage              27
                            purposes of the trust,                                            28
                       (c) the landholdings for which the trust may exercise functions        29
                            and the works plan of the trust,                                  30
                      (d) the members of the trust,                                           31
                       (e) the trustees of the trust, pending the first election of           32
                            trustees,                                                         33
                       (f) the date, time and place for the first election of the trustees,   34
                      (g) the rules of the trust.                                             35




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            (4)   On the order being published or on such later day as may be             1
                  specified in the order:                                                 2
                  (a) the new trust is constituted, and                                   3
                  (b) the members of the trust are the members specified in the           4
                         order, and                                                       5
                  (c) the rules and works plan specified by the order take effect,        6
                         and                                                              7
                  (d) the amalgamated trusts are abolished, and                           8
                  (e) the new trust is taken for all purposes to be a continuation        9
                         of and the same legal entity as each of the amalgamated         10
                         trusts.                                                         11

            (5)   The new trust is not a NSW government agency.                          12

    239B    Effect of sale of land                                                       13

            (1)   If a member of a private water trust sells to a person land to which   14
                  the trust provides or is able to provide water supply or drainage      15
                  services:                                                              16
                   (a) the member ceases to be a member in respect of that land          17
                         when that sale takes effect, and                                18
                  (b) the purchaser is taken to be a member of the trust when the        19
                         sale takes effect, and                                          20
                   (c) the purchaser has all the entitlements and liabilities of the     21
                         vendor as a member, in respect of the land, that the vendor     22
                         had immediately before the sale took effect.                    23

            (2)   A member of a trust who sells land as referred to in this section      24
                  must notify the trust of the sale in accordance with any               25
                  requirements of the regulations or the rules.                          26

    239C    Effect of subdivision                                                        27

                  The subdivision of land by a member of a private water trust:          28
                  (a) does not of itself entitle any other person to be a member         29
                        of the trust or entitle any other person to be supplied with     30
                        water or provided with drainage or other services by the         31
                        trustees or trust, and                                           32
                  (b) does not of itself affect any existing entitlement of any          33
                        other person in relation to any such service, and                34
                  (c) does not of itself affect any functions of the trustees or trust   35
                        in relation to trust works.                                      36




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    239D     Conversion of private water trust to private water corporation                   1
             (1)      A private water trust may apply to the Minister to convert the          2
                      trust to a private water corporation.                                   3

             (2)      An application is:                                                      4
                      (a) to be in the approved form, and                                     5
                      (b) to be accompanied by a works plan for the corporation and           6
                           proposed rules for the corporation, and                            7
                      (c) to be accompanied by any other information required by              8
                           the Minister or prescribed by the regulations, and                 9
                      (d) to be accompanied by the fee (if any) prescribed by the            10
                           regulations.                                                      11

             (3)      The Minister must not grant the application unless the Minister is     12
                      satisfied that not less than two thirds of the members of the trust    13
                      have approved of the application being made.                           14

             (4)      The application is to be dealt with as if it were an application for   15
                      the constitution of a corporation made in accordance with Part 2.      16

             (5)      The regulations may make provision for or with respect to the          17
                      following matters:                                                     18
                       (a) the modification of the application of the provisions of          19
                            Part 2 for the purposes of this section,                         20
                      (b) provisions of a savings and transitional nature and any            21
                            other matter consequent on or ancillary to the creation of       22
                            the corporation.                                                 23

      Division 6            Rates and charges                                                24

    239E     Fixing of rates and charges                                                     25

             (1)      A private water trust must for each year commencing on 1 July          26
                      fix the rates and charges payable in respect of each landholding       27
                      owned or occupied by its members that is a landholding for which       28
                      the trust may exercise functions, or for which it provides water or    29
                      drainage services in that year.                                        30

             (2)      In determining the amount of rates and charges payable, the trust      31
                      must fix an amount that it considers is sufficient to meet the         32
                      estimated costs of the following:                                      33
                       (a) the trust's likely costs in providing irrigation, water           34
                             supply, drainage and flood control services for that year,      35
                      (b) the liabilities of the trust,                                      36




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                   (c)   the likely costs relating to trust works, including (but not      1
                         limited to) maintenance, improvement and replacement of           2
                         works and new works,                                              3
                  (d)    provision for a sinking fund (if necessary),                      4
                  (e)    any other matters prescribed by the regulations.                  5

            (3)   The rates and charges payable may (but are not required to) be           6
                  fixed on the basis of any one or more of the following:                  7
                   (a) the volume or quality of water supplied or proposed to be           8
                         supplied to a landholding,                                        9
                  (b) the area of a landholding,                                          10
                   (c) whether or not water or drainage services are or are               11
                         proposed to be provided to a landholding,                        12
                  (d) the purpose for which water services are supplied or                13
                         proposed to be supplied to a landholding.                        14

            (4)   If rates and charges are payable on the basis of the area of a          15
                  landholding, a landholding that has an area equal to a number of        16
                  hectares and a remaining fraction of a hectare is to be rounded up      17
                  to the nearest hectare.                                                 18

            (5)   The trust may also fix the following charges:                           19
                  (a) termination charges payable by a member or former                   20
                        member after transformation of the whole or part of the           21
                        member's water entitlement,                                       22
                  (b) charges payable for the delivery of water to a member after         23
                        transformation of the whole or part of the member's water         24
                        entitlement.                                                      25

            (6)   A trust must give notice of its fees and charges for a year in the      26
                  manner prescribed by the regulations and must specify in the            27
                  notice the basis on which the rates and charges are calculated.         28

            (7)   The rules of a trust must provide for the procedures for setting        29
                  rates and charges and the period within which rates and charges         30
                  must be paid.                                                           31
                  Note. The regulations may prescribe requirements for rules made under   32
                  this section (see section 225 (3) (b)).                                 33

    239F    Recovery of unpaid rates and charges                                          34

            (1)   The owner or occupier of a landholding for which rates or               35
                  charges are levied by a private water trust must pay the rates and      36
                  charges to the trust.                                                   37




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             (2)      If a landholding for which rates or charges are levied is owned or      1
                      occupied by more than one person the following provisions               2
                      apply:                                                                  3
                       (a) the rates or charges may be levied on one or more of those         4
                              persons and may be recovered by the trust from any one or       5
                              more of those persons,                                          6
                      (b) the trust is not entitled to recover more than the total            7
                              amount of the rates and charges (and any interest payable).     8

             (3)      If any land in a holding reverts to the Crown during any year for       9
                      which rates or charges are or are to be assessed, the person who       10
                      immediately before the reversion was the landholder of the land        11
                      is liable for payment of only that part of the rates or charges        12
                      proportionate to the part of the year for which the land was held      13
                      by the person, and any excess payment by the person must be            14
                      refunded to the person.                                                15
                      Note. Rates and charges are a charge on the land, procedures for the   16
                      sale of land for overdue rates are set out in Part 4 of Chapter 7.     17

    239G     Abandonment of rates and charges                                                18

             (1)      A private water trust may, in accordance with the rules, waive or      19
                      reduce rates, charges and interest due.                                20

             (2)      Rates and charges may be waived under this section only if the         21
                      auditor of the private water trust certifies that the waiver is in     22
                      accordance with the rules and has been approved by the trustees        23
                      of the trust.                                                          24

      Division 7            Finance                                                          25

    239H     Financial records                                                               26

             (1)      A private water trust must cause proper accounts and records to        27
                      be kept in relation to all the operations of the trust.                28

             (2)      The trust must prepare financial statements for each financial         29
                      year of the trust.                                                     30

             (3)      Sections 41B and 41BA of the Public Finance and Audit Act              31
                      1983 apply to financial statements required to be prepared under       32
                      this section in the same way that they apply to financial reports      33
                      required to be prepared under that Act.                                34

             (4)      The financial statements must be submitted for verification and        35
                      certification to an auditor appointed in the manner prescribed by      36
                      the rules of the trust.                                                37




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            (5)   The regulations may provide for the qualifications for                   1
                  appointment as an auditor under this section.                            2

            (6)   A trustee of a trust or a member of a trust must not be appointed        3
                  to audit the financial statements of the trust.                          4

     239I   Auditor's right to access to information                                       5

            (1)   An auditor of a private water trust has a right of access at all         6
                  reasonable times to the accounts and records of the trust.               7

            (2)   A trustee of a trust must comply with any reasonable request by          8
                  the auditor of the trust to provide information or documents             9
                  relating to the accounts or financial statements or related records     10
                  of the trust.                                                           11
                  Maximum penalty: 20 penalty units.                                      12

    239J    Presentation of audited financial statements                                  13

            (1)   A private water trust must, at the request of the Minister, furnish     14
                  to the Minister the audited financial statements and any other          15
                  documents requested within the time specified in the request.           16

            (2)   The audited financial statement must be laid before the annual          17
                  general meeting of the trust following their verification and           18
                  certification by the auditor.                                           19

    239K    Borrowing by private water trusts                                             20

            (1)   A private water trust has and may exercise the following                21
                  functions:                                                              22
                   (a) to pay to the Treasury, at such times as may be fixed by the       23
                        Minister, the interest and charges payable by the trust,          24
                  (b) to borrow money, but only as provided by this section.              25

            (2)   A loan by way of limited overdraft may be obtained for the              26
                  purpose of meeting necessary legitimate expenditure prior to the        27
                  collection of rates or for the purpose of carrying out urgent works     28
                  of renewal, or replacement, or other emergency, for which               29
                  sufficient funds are not immediately available.                         30

            (3)   On application by a trust the Minister may issue a certificate of       31
                  limit of overdraft, in which must be named the purpose in respect       32
                  of which the loan may be obtained and the limit of the amount to        33
                  be borrowed.                                                            34

            (4)   The sum to be stated in the certificate as the limit of the overdraft   35
                  is in the discretion of the Minister, but must not exceed the           36
                  estimated amount required for the purpose mentioned therein             37
                  plus 10% of such amount.                                                38



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             (5)      The loan is subject to any conditions inserted by the Minister in      1
                      the certificate, and the money borrowed is taken to be secured on      2
                      the income of the trust and must be repaid within the time fixed       3
                      in the certificate.                                                    4

             (6)      All sums received on account of a trust's sinking fund must be         5
                      carried by the Treasurer to a special account, to be called "The       6
                      Water Supply Loan Redemption Fund", and all other sums to the          7
                      Consolidated Fund.                                                     8

             (7)      The regulations may make provision for or with respect to              9
                      regulating the payment to the Crown of interest.                      10

      Division 8            Winding up of private water trusts                              11

    239L     Appointment of an administrator                                                12

             (1)      The Minister may, by order published in the Gazette, remove the       13
                      trustees of a private water trust from office and appoint an          14
                      administrator to conduct the affairs of the trust.                    15

             (2)      The Minister may make an order if the Minister is of the opinion      16
                      that:                                                                 17
                       (a) the trustees or the trust have failed, or are unable to, carry   18
                            out their functions as required by or under this Act, or        19
                      (b) without limiting paragraph (a), the trustees or trust have        20
                            failed or are unable to provide or maintain water supply,       21
                            water distribution or drainage services or trust works, or      22
                       (c) the trust is unable to pay its debts as they fall due, or        23
                      (d) the trustees or trust have regularly or materially                24
                            contravened this Act, the regulations or the rules of the       25
                            trust, or                                                       26
                       (e) in all the circumstances of the case it is just and equitable    27
                            to do so.                                                       28

             (3)      Before making an order, the Minister must:                            29
                      (a) cause notice of the proposed order to be published in a           30
                            newspaper circulating in the local area in which the trust      31
                            provides services, and                                          32
                      (b) in that notice, invite submissions to be made to the              33
                            Minister about the proposal within the period of 4 weeks        34
                            following the publication of the notice, and                    35
                      (c) consider any submissions made within that period.                 36




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            (4)   The Minister is not required to comply with subsection (3) if the        1
                  Minister is of the opinion that the special circumstances of the         2
                  case require the order to be made immediately.                           3

   239M     Functions of administrator                                                     4

            (1)   The administrator of a private water trust appointed under this          5
                  Division holds office for such period as is specified in the order       6
                  appointing the administrator. The administrator ceases to hold           7
                  office if the Minister, by a subsequent order published in the           8
                  Gazette, revokes the appointment or on the appointment of new            9
                  trustees under this section.                                            10

            (2)   The administrator has and may exercise the functions of the trust       11
                  specified in the administrator's order of appointment (subject to       12
                  any conditions specified in that order) but is not required to          13
                  comply with the rules of the trust.                                     14

            (3)   The administrator may amend the rules of the trust and take such        15
                  other action as is necessary to enable the trust to properly exercise   16
                  its functions.                                                          17

            (4)   The administrator is entitled to be paid such remuneration, from        18
                  the funds of the trust, as the Minister may from time to time           19
                  determine.                                                              20

            (5)   The Minister may at any time, by order published in the Gazette,        21
                  extend the period of appointment of an administrator.                   22

            (6)   The administrator must, if required to do so by the Minister,           23
                  report to the Minister on the administrator's conduct of the affairs    24
                  of the trust.                                                           25

            (7)   The administrator may at any time recommend to the Minister             26
                  that new trustees be appointed or that the trust be wound up.           27

            (8)   The administrator must, if required to do so by the Minister,           28
                  arrange for elections to be held for new elected trustees.              29

    239N    Removed trustees not eligible for re-election                                 30

                  If the trustees of a private water trust have been removed from         31
                  office, each of the trustees is ineligible for subsequent               32
                  appointment or election as a trustee of the trust, unless the           33
                  Minister declares in writing that the trustee is eligible for           34
                  subsequent appointment or election.                                     35




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    239O     Effect of administration on existing contracts                                     1
                      On the appointment of an administrator of a private water trust:          2
                      (a) all contracts of employment by or on behalf of the trust are          3
                            terminated, and                                                     4
                      (b) the administrator may terminate any contract for the                  5
                            provision of services to or by or on behalf of the trust.           6

    239P     Winding up of private water trusts                                                 7

             (1)      The Minister may, by order published in the Gazette, order that a         8
                      private water trust be wound up if:                                       9
                      (a) requested to do so by the trustees after a resolution to wind        10
                             up the trust was passed at a meeting of the trust by not less     11
                             than 75% of the members of the trust, or                          12
                      (b) the administrator of the trust has recommended that the              13
                             trust be wound up.                                                14

             (2)      The order must appoint a person as the liquidator of the trust.          15

             (3)      The regulations may make provision for or with respect to the            16
                      winding up of a trust and for the disposal of residual assets held       17
                      by or on behalf of the trust.                                            18

             (4)      The Minister may, by order published in the Gazette, abolish a           19
                      trust if satisfied that the winding up of the trust under this section   20
                      has been completed.                                                      21

      Division 9             Miscellaneous                                                     22

    239Q     Liability for water source and other changes                                      23

             (1)      A private water trust, the trustees of a trust, any officer or           24
                      employee of the trustees of a trust or a person acting under the         25
                      direction of the trust, trustees, officer or employee is not subject     26
                      to any action, liability, claim or demand arising:                       27
                       (a) from the unavailability of water, or                                28
                      (b) from the escape of water from a trust work, or                       29
                       (c) from a failure to supply, distribute or drain water that is         30
                             authorised by the rules, this Act or the regulations,             31
                      as a consequence of anything done or omitted to be done in good          32
                      faith by the trust, trustees, officer or employee or person for the      33
                      purposes of executing this Act or of carrying out the functions of       34
                      the trust.                                                               35

             (2)      This section does not limit section 397.                                 36




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       239R   Ministerial directions about rules                                              1
              (1)    The Minister may, by notice in writing to a private water trust or       2
                     the trustees of a trust, direct the trust or trustees to comply with,    3
                     or cease to contravene, the rules of the trust.                          4

              (2)    The notice may direct the trust or trustees to take specified action     5
                     or to cease to take specified action.                                    6

              (3)    A trust or the trustees of a trust must not contravene a direction       7
                     under this section.                                                      8
                     Tier 2 penalty.                                                          9

       239S   Name changes                                                                   10

                     The Minister may, by order published in the Gazette, change the         11
                     name of a private water trust, if the trust has been approved by the    12
                     voting members in accordance with the rules of the trust.               13

       239T   Private trusts not NSW government agencies                                     14

                     A private water trust is not a NSW government agency.                   15

[81]    Section 336B Mandatory guidelines                                                    16

        Insert "or other persons" after "landholders" in section 336B (1).                   17

[82]    Section 340D                                                                         18

        Insert after section 340C:                                                           19

       340D   Extraterritorial application                                                   20

                     An order, direction or notice may be given under this Chapter to        21
                     a person in respect of a matter even though the person is outside       22
                     the State or the matter occurs or is located outside the State, so      23
                     long as the matter affects a matter to which this Act relates.          24

[83]    Section 342 Destruction, damage and interference with certain works                  25

        Omit "a private irrigation board, a private drainage board" wherever occurring       26
        in section 342 (1) and (2).                                                          27

        Insert instead "a private water corporation".                                        28

[84]    Section 343 Taking water from public or private works                                29

        Omit "a private irrigation board, a private drainage board" from                     30
        section 343 (1).                                                                     31

        Insert instead "a private water corporation".                                        32




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[85]   Section 343 (1)                                                                       1
       Omit "corporation, board,". Insert instead "corporation,".                            2

[86]   Section 346 Unlicensed bore drilling                                                  3

       Omit "of any kind".                                                                   4

[87]   Section 346                                                                           5

       Omit "of that kind".                                                                  6

[88]   Section 354 Definition                                                                7

       Omit "a private irrigation board, a private drainage board".                          8

       Insert instead "a private water corporation".                                         9

[89]   Section 359 Sale of land for unpaid rates and charges                                10

       Insert ", private water corporation or private water trust" after "authority"        11
       wherever occurring in section 359 (1) and (3) (a)­(c).                               12

[90]   Section 367 Evidentiary certificates                                                 13

       Insert "the water allocation account for" before "a specified access licence"        14
       wherever occurring in section 367 (2) (q) and (r).                                   15

[91]   Section 367 (2) (s1) and (s2)                                                        16

       Insert after section 367 (2) (s):                                                    17
                     (s1) a specified quantity of water that was taken was, or was          18
                            not, taken from a specified water source or part of a           19
                            specified water source, or                                      20
                     (s2) Part 2 or 3 of Chapter 3 of this Act does, or does not, apply     21
                            to a specified water source or part of a specified water        22
                            source, or                                                      23

[92]   Section 368 Appeals to Land and Environment Court                                    24

       Insert after section 368 (1) (o):                                                    25
                      (p) a decision by the Minister to give a direction to a private       26
                            water corporation, private water trust or the trustees of a     27
                            trust to comply with, or to cease to contravene, the rules of   28
                            the corporation or trust.                                       29




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[93]   Section 368 (1A)                                                                     1
       Insert after section 368 (1):                                                        2

            (1A)    An appeal lies to the Land and Environment Court against any of         3
                    the following decisions:                                                4
                     (a) a decision by a private water corporation or an irrigation         5
                           corporation to impose a charge under section 136A or 170         6
                           on a member, landholder or other person,                         7
                    (b) a decision by a private water corporation as to a member's          8
                           water entitlement,                                               9
                     (c) a decision by a private water trust or the trustees of a trust    10
                           as to a member's water entitlement.                             11

[94]   Section 368 (2) (a1)                                                                12

       Insert after section 368 (2) (a):                                                   13
                     (a1) no appeal lies against a decision imposing a condition on        14
                            consent to a dealing in an access licence, or any decision     15
                            imposing, amending, revoking or suspending a mandatory         16
                            condition of consent or a mandatory condition of an access     17
                            licence or an approval, for purposes related to a dealing in   18
                            an access licence, and                                         19

[95]   Section 375 Acquisition of land                                                     20

       Omit "private irrigation board" wherever occurring in section 375 (2).              21

       Insert instead "private water corporation".                                         22

[96]   Section 375 (2A)                                                                    23

       Insert after section 375 (2):                                                       24

            (2A)    The acquisition of land by the Ministerial Corporation for the         25
                    purposes of a private water trust is taken to be for the purposes of   26
                    this Act if the purpose of the acquisition is to enable the trustees   27
                    of the trust or the trust to exercise functions under this Act.        28

[97]   Section 389A Conferral of water management functions on catchment                   29
       management authorities                                                              30

       Omit "adaptive environmental water" from section 389A (1) (b).                      31

       Insert instead "licensed environmental water (within the meaning of                 32
       section 8)".                                                                        33

[98]   Section 397 Exclusion of personal liability                                         34

       Insert "or trustee" after "member" in section 397 (1) (b).                          35




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 [99]   Section 397 (2) (f) and (g)                                                            1
        Omit the paragraphs. Insert instead:                                                   2
                      (f) a private water corporation, or                                      3
                     (g) the administrator of a private water corporation or a private         4
                          water trust, or                                                      5

[100]   Schedule 9 Savings, transitional and other provisions                                  6

        Insert after clause 73:                                                                7

        73A    Application of metering offences                                                8

               (1)      A reference in sections 91H and 91I to a condition of an access        9
                        licence or approval includes a reference to a condition of an         10
                        entitlement as referred to in clause 2 of Schedule 10.                11

               (2)      This clause does not apply in respect of any proceedings for an       12
                        offence under those sections commenced before the date of             13
                        assent to the Water Management Amendment Act 2010.                    14

               (3)      Subclause (1) is taken to have commenced on the commencement          15
                        of section 91H.                                                       16

[101]   Schedule 9                                                                            17

        Insert at the end of the Schedule with appropriate Part and clause numbering:         18


        Part            Provisions consequent on enactment of                                 19
                        Water Management Amendment Act 2010                                   20

               Definitions                                                                    21

                        In this Part:                                                         22
                        new corporation means a private water corporation constituted         23
                        under this Part.                                                      24
                        the 2010 amending Act means the Water Management                      25
                        Amendment Act 2010.                                                   26

               Continuing application of provisions to private irrigation boards,             27
               private irrigation districts and private drainage boards                       28

               (1)      Parts 2 and 3 of Chapter 4 of the Act, and any regulations made       29
                        for the purposes of those Parts, as in force immediately before the   30
                        repeal of those Parts, continue to apply to a private irrigation      31




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                  board and its private irrigation district, or a private drainage      1
                  board, until they are wound up, abolished, or converted to private    2
                  water corporations under this Part (whichever occurs first).          3

            (2)   This clause is subject to this Part.                                  4

            Conversion of existing private irrigation boards and districts and          5
            private drainage boards                                                     6

            (1)   This clause applies to a private irrigation board and a private       7
                  irrigation district, or a private drainage board, in existence        8
                  immediately before the repeal of Parts 2 and 3 of Chapter 4 of the    9
                  Act by the 2010 amending Act.                                        10

            (2)   On the commencement of this clause:                                  11
                  (a) each private irrigation board and each private drainage          12
                        board is constituted as a body corporate that is a private     13
                        water corporation, and                                         14
                  (b) each private irrigation board and its associated private         15
                        irrigation district and each private drainage board are        16
                        abolished.                                                     17

            (3)   Each private water corporation constituted by this clause:           18
                  (a) has the same name as the private irrigation board or private     19
                        drainage board it replaces, unless the Minister otherwise      20
                        approves, and                                                  21
                  (b) is taken for all purposes to be a continuation of and the        22
                        same legal entity as the private irrigation board or private   23
                        drainage board it replaces.                                    24

            (4)   The regulations may make provision for or with respect to the        25
                  following matters:                                                   26
                   (a) deeming provisions of an instrument under this Act or an        27
                        instrument of the relevant board to be rules of the            28
                        corporation,                                                   29
                  (b) deeming works (including works for which the board               30
                        exercises functions after transformation of a landholder's     31
                        entitlement) to be corporation works of the corporation,       32
                   (c) specifying works and other matters that are deemed to           33
                        comprise the works plan of the corporation,                    34
                  (d) the landholdings for which the corporation may exercise          35
                        functions,                                                     36
                   (e) deeming existing rates and charges to be rates and charges      37
                        of the corporation,                                            38




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                      (f)    deeming existing members of private irrigation boards and       1
                             private drainage boards to be board members of the              2
                             corporation, pending the first election of board members,       3
                      (g)    the date, time and place for the first election of the board    4
                             members of the corporation,                                     5
                      (h)    the members of the corporation,                                 6
                       (i)   requirements for the preparation and adoption of a works        7
                             plan and rules of the corporation,                              8
                      (j)    provisions of a savings or transitional nature and any other    9
                             matter consequent on or ancillary to the creation of a new     10
                             corporation.                                                   11

             (5)      A corporation constituted under this clause is not a NSW              12
                      government agency.                                                    13

             Conversion of private water trusts to private water corporations               14

             (1)      The members of a private water trust may apply to the Minister        15
                      to convert the trust to a private water corporation.                  16

             (2)      If an application is made under this clause, the Minister may         17
                      convert the trust to a private water corporation under                18
                      section 239D and may dispense with any of the requirements of         19
                      that section.                                                         20

             (3)      The Minister may approve an application under this clause             21
                      subject to conditions requiring compliance with those                 22
                      requirements within a period specified by the Minister.               23

             (4)      The regulations may make provision for or with respect to the         24
                      following matters:                                                    25
                       (a) deeming provisions of an instrument under this Act or an         26
                            instrument of the trust to be rules of the corporation,         27
                      (b) deeming works (including works for which the trust                28
                            exercises functions after transformation of a landholder's      29
                            entitlement) to be corporation works of the corporation,        30
                       (c) specifying works and other matters that are deemed to            31
                            comprise the works plan of the corporation,                     32
                      (d) the landholdings for which the corporation may exercise           33
                            functions,                                                      34
                       (e) deeming existing rates and charges to be rates and charges       35
                            of the corporation,                                             36
                       (f) deeming existing members of trusts or trustees to be board       37
                            members of the corporation, pending the first election of       38
                            board members,                                                  39




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                  (g)    the date, time and place for the first election of the board      1
                         members of the corporation,                                       2
                  (h)    the members of the corporation,                                   3
                   (i)   requirements for the preparation and adoption of a works          4
                         plan and rules of the corporation,                                5
                   (j)   provisions of a savings or transitional nature and any other      6
                         matter consequent on or ancillary to the creation of the          7
                         corporation.                                                      8

            (5)   This clause ceases to have effect 24 months after the                    9
                  commencement of section 239D, as inserted by the                        10
                  2010 amending Act.                                                      11

            Existing chairpersons of private water trusts                                 12

                  The substitution of section 223 by the 2010 amending Act does           13
                  not affect the appointment of any chairperson of a private water        14
                  trust who held office as chairperson immediately before that            15
                  substitution.                                                           16

            Existing members of trusts                                                    17

            (1)   A member of a trust who held office immediately before the              18
                  commencement of section 223, as inserted by the 2010 amending           19
                  Act, is taken to have been elected as a trustee of the trust for the    20
                  period ending on the expiry of the period of the person's last          21
                  appointment, or until elections are held for trustees of the trust,     22
                  whichever first occurs.                                                 23

            (2)   A reference in any instrument to a member of a private water trust      24
                  (other than a voting member of such a trust) is taken to be a           25
                  reference to a trustee of a private water trust.                        26

            Rules of private water trusts                                                 27

            (1)   Clauses 50, 53­55, Divisions 6­12 of Part 7 and Part 9 (other           28
                  than Division 2) of the Water Management (General) Regulation           29
                  2004, as in force immediately before the commencement of                30
                  section 225 (as inserted by the 2010 amending Act), continue to         31
                  apply to or in respect of the trustees of a private water trust and     32
                  private water trusts and are taken to be the rules of the trust until   33
                  they are amended or replaced under section 225 (as inserted by          34
                  the 2010 amending Act).                                                 35

            (2)   This clause is subject to the regulations.                              36




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Schedule 2         Other amendments to Water Management Act 2000 No 92




             Works plans of private water trusts                                              1
                      The regulations may make provision for or with respect to the           2
                      following:                                                              3
                       (a) deeming works (including works for which a private water           4
                            trust exercises functions after transformation of an              5
                            entitlement) to be trust works of a private water trust,          6
                      (b) specifying the works and other matters that are deemed to           7
                            comprise the works plan of a private water trust,                 8
                       (c) the landholding for which a private water trust may                9
                            exercise functions.                                              10

             Existing rates and charges of private water trusts                              11

             (1)      The rates and charges fixed by a private water trust, and in force     12
                      immediately before the commencement of section 239E, as                13
                      inserted by the 2010 amending Act, continue to apply until new         14
                      rates and charges are fixed under this Act.                            15

             (2)      Until rules are adopted for a trust for the purposes of Division 6     16
                      of Part 4 of Chapter 4, as substituted by the 2010 amending Act:       17
                      (a) sections 232 and 233, as in force immediately before that          18
                             substitution, continue to apply to or in respect of the trust   19
                             and its water supply district, and                              20
                      (b) sections 239E and 239F, as inserted by the 2010 amending           21
                             Act, do not apply to or in respect of the trust.                22

             (3)      This clause is subject to the regulations.                             23

             Transfer of property by former trust members                                    24

             (1)      This clause applies to a former member of a private water trust        25
                      who had ceased to be such a member before the commencement             26
                      of section 223, as inserted by the 2010 amending Act.                  27

             (2)      The former member must take all action necessary to transfer any       28
                      interest in property held by the former member on behalf of the        29
                      private water trust to the trust or as directed in writing by the      30
                      current trustees.                                                      31

             References to adaptive environmental water conditions                           32

                      A reference in any instrument to an adaptive environmental water       33
                      condition is taken to be a reference to a condition referred to in     34
                      section 8 (1) (b) (i), as inserted by the 2010 amending Act.           35




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 Other amendments to Water Management Act 2000 No 92                        Schedule 2




              Application of new defences                                                    1
                     Sections 91A (4) and (5), 91B (5) and 91I (3), as inserted by the       2
                     2010 amending Act, do not apply to proceedings for offences             3
                     commenced before the commencement of those subsections.                 4

[102]   Schedule 10 Conversion of former entitlements to access licences and                 5
        approvals                                                                            6

        Omit "bore" wherever occurring in the definition of entitlement in clause 2.         7

        Insert instead "water bore".                                                         8

[103]   Schedule 10, clause 16                                                               9

        Omit "bore" wherever occurring. Insert instead "water bore".                        10

[104]   Schedule 13                                                                         11

        Insert after Schedule 12:                                                           12


        Schedule 13            Private water corporations                                   13

                                                                   (Sections 139 and 179)   14

[105]   Dictionary, definition of "adaptive environmental water condition"                  15

        Omit "section 8 (1) (b)". Insert instead "section 8 (1) (b) (i)".                   16

[106]   Dictionary, definition of "assignment dealing"                                      17

        Insert "the water allocation account for" before "an access licence" in             18
        paragraph (b).                                                                      19

[107]   Dictionary, definition of "nominated water supply work"                             20

        Insert "the water allocation account for" after "water credited to".                21

[108]   Dictionary, definitions of "private drainage board" and "private irrigation         22
        board"                                                                              23

        Omit the definitions. Insert instead:                                               24
                    private water corporation means a private water corporation             25
                    constituted under Part 2 of Chapter 4.                                  26

[109]   Dictionary, definition of "specific purpose access licence"                         27

        Omit paragraph (d).                                                                 28




                                                                               Page 75
               Water Management Amendment Bill 2010

Schedule 3     Amendment of other Acts




Schedule 3            Amendment of other Acts                                      1


3.1 Farm Water Supplies Act 1946 No 22                                             2

[1]   Section 16A Loan to private water corporation                                3

      Omit the definition of Board from section 16A (1).                           4

      Insert in alphabetical order:                                                5
                    private water corporation means a private water corporation    6
                    within the meaning of the Water Management Act 2000.           7

[2]   Section 16A (2), (4) and (6)                                                 8

      Omit "Board" wherever occurring.                                             9

      Insert instead "private water corporation".                                 10

[3]   Section 16A (5)                                                             11

      Omit "Board" where firstly occurring.                                       12

      Insert instead "private water corporation".                                 13

[4]   Section 16A (5)                                                             14

      Omit "Board" where secondly occurring.                                      15

      Insert instead "corporation".                                               16

3.2 Land and Environment Court Act 1979 No 204                                    17

      Section 17 Class 1--environmental planning and protection appeals           18

      Omit "section 368" from section 17 (c).                                     19

      Insert instead "section 368 (1) and (1A)".                                  20




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Amendment of other Acts                                                 Schedule 3




3.3 Roads Act 1993 No 33                                                                 1

      Section 99 Private bodies to maintain or repair certain water supply and           2
      drainage works                                                                     3

      Omit "a private irrigation board, a private drainage board" from section 99 (1).   4

      Insert instead "a private water corporation".                                      5




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