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OKLAHOMA WATER RESOURCES BOARD MEETING INFORMATION

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OKLAHOMA WATER RESOURCES BOARD MEETING INFORMATION Powered By Docstoc
					       OKLAHOMA WATER RESOURCES BOARD MEETING INFORMATION

The Oklahoma Water Resources Board meets monthly (generally the second Tuesday of each
month, at 9:30 a.m.) at the agency’s Oklahoma City office, 3800 N. Classen Boulevard, unless
otherwise specified. A draft Board meeting agenda and packet materials are scheduled to be
prepared approximately 10 days prior to the Board’s meeting. A final agenda is scheduled to be
posted approximately one week prior to the meeting; supplemental agenda items (those
unknown at the final meeting agenda’s posting, but known more than 24 hours prior to the
meeting) are scheduled to be posted on the Friday prior to the Board meeting. The standard
sections of the agenda are numbered in a series; additional or special items will appear on the
agenda subsequently. Standard sections include the following:

       •      01000 = Call to Order
       •      02000 = Financial Assistance Division
       •      03000 = Summary Disposition Agenda
       •      04000 = Items of Interest
       •      05000 = Special Consideration Items
       •      06000 = Agency Budget Report
       •      07000 = Consideration of Supplement Agenda


This meeting packet contains expanded information (summary documents, proposed orders,
etc.) associated with individual agenda items. Each section of the packet contains a cover
sheet noting the appropriate corresponding agenda item/number. (For example, to locate
agenda item 2.D., concerning a grant or loan, review the packet for the section labeled, “2.
Financial Assistance Division,” which will begin on page 02000. Item D. is placed in
alphabetical order in the section and is labeled accordingly.)

If you require assistance in locating an item or accompanying documents, please contact
OWRB staff at (405) 530-8800.
1.C. June 9, 2009 Draft Official Minutes

       For consideration at the
     July 14, 2009 Board meeting




                                           1100
                                        DRAFT

                    OKLAHOMA WATER RESOURCES BOARD
                           OFFICIAL MINUTES

                                        June 9, 2009
1. Call to Order

        The regular monthly meeting of the Oklahoma Water Resources Board was called to
order by Chairman Mark Nichols at 9:30 a.m., on June 9, 2009, in the Board Room of the
Oklahoma Water Resources Board, 3800 N. Classen Boulevard, Oklahoma City, Oklahoma.
        The June meeting was conducted pursuant to the Oklahoma Open Meeting Law with due
and proper notice provided pursuant to Sections 303 and 311 thereof. The agenda was posted on
June 2, 2009, at 3:00 p.m. at the Oklahoma Water Resources Board’s offices.

A.     Invocation

       Prior to proceeding with the meeting, Chairman Nichols recognized that Mr. Lonnie
Farmer has passed away suddenly following the May Board meeting. He recognized Mr.
Farmer's achievements while serving on the OWRB, as well as his contributions to Oklahoma
rural water.
       Chairman Mark Nichols asked Mr. Ed Fite to provide the invocation.

B.     Roll Call

      Board Members Present
      Mark Nichols, Chairman
      Rudy Herrmann, Vice Chairman
      Linda Lambert, Secretary
      Ford Drummond
      Ed Fite
      Jack Keeley
      Kenneth Knowles
      Vacant

      Board Members Absent
      Richard Sevenoaks


       Staff Members Present
       Duane A. Smith, Executive Director
       Dean Couch, General Counsel
       Joe Freeman, Chief, Financial Assistance Division
       Monte Boyce, Comptroller
                                                                                        1101
       Julie Cunningham, Chief, Planning and Management Division
       Derek Smithee, Chief, Water Quality Programs Division
       Mary Lane Schooley, Executive Secretary
       Mike Melton, Executive Administration Division

       Others Present
       Josh McClintock, McClintock Associates, Oklahoma City, OK
       Mark Daniels, City of Norman, OK
       Joel Cantwell, City of Norman, OK
       Anthony Francisco, City of Norman, OK
       Ben Oglesby, Municipal Finance Services, Edmond, OK
       Chris Wolfe, Municipal Finance Services, Edmond, OK
       Erin Boeckman, eCapitol, Oklahoma City, OK
       Charlie Swinton, BancFirst, Oklahoma City, OK
       Larry Roach, CH Guernsey, Oklahoma City, OK
       Tom Liu, Bank of America/Merrill Lynch, New York City, NY
       Tim Peterson, First Southwest Co., Oklahoma City, OK
       Gena Dickerson, Union City, OK
       Joseph Bosler, Union City, OK
       Michael McCort, Union City, OK
       Mike Wofford, Doerner Saunders Daniel & Anderson, Oklahoma City, OK


C.     APPROVAL OF MINUTES

       Chairman Nichols stated the draft minutes of the May 12, 2009, Regular Meeting had
been distributed. He stated he would accept a motion to approve the minutes. Ms. Lambert
moved to approve the minutes, and Mr. Knowles seconded.
       AYE:           Lambert, Fite, Herrmann, Drummond, Keeley, Knowles, Nichols
       NAY:           None
       ABSTAIN: None
       ABSENT:        Sevenoaks


D.     EXECUTIVE DIRECTOR’S REPORT

         Mr. Duane Smith, Executive Director, welcomed the members and provided and update
about the activities of the Legislature since the May meeting. The Legislature passed, and the
Governor has signed, HB 1483, which Mr. Smith believed to be the single most significant piece
of water legislation for as long as he had been at the OWRB. He distributed the final version of
the bill, and explained that it is now the Board's responsibility to interpret the statute. Over the
next months, staff will be hosting meetings and will propose rules and regulations that will
interpret the statute to be presented to the Board for consideration. The measure sets out an
even-handed way in which out-of-state permits will be processed. There will be an assessment
of whether compact violations have occurred, an assessment of compacted water and non-
                                                                                               1102
compacted water according to the four compacts, and interpretation through rulemaking the
compact. Mr. Smith said he had met with Governor Henry on this matter and he was well versed
on the information and took a personal interest, understanding this needed to be done now, and
without his leadership there would likely not have been successful legislation. He said in the
Hugo case and in the Tarrant case, those petitions have been updated to say this is
unconstitutional. He said the Board members played a special role and assumed a leadership role
in the policy implementation in the state. And the House and Senate conducted several meetings
and there was only five House votes against, and the Senate was unanimous. He said, now the
real work starts.
          Ms. Lambert suggested the Board express its appreciation to the Governor and
Legislators. Chairman Nichols complimented Mr. Smith and Mr. Couch for their diligent work
on the issue. Mr. Keeley asked if the moratorium had been removed; Mr. Smith said that would
be one interpretation, and there could be another interpretation as well. He said that clearly there
is still legislative oversight. Mr. Drummond asked about the inclusion of the "New Mexico"
language; Mr. Smith said that it is, and he explained the language as it appeared on page two and
three (section 2, number 1); he said the Board will get a chance to decide what the language
means, along with meetings with the public and technical and water plan involvement. Mr.
Keeley asked about the effect (of the legislation) on the Tarrant case, and Mr. Smith said there
have been some motions made and to the extent the case is altered or dismissed there are
ongoing meetings with the Attorney General's office and with Chuck Dumars to determine the
state's legal position, but at this time he did not know the result would be.
          Mr. Smith informed the members of the activities of the recent meeting of the National
Drinking Water Advisory Council that met in Seattle, of which he is a member. He said this
meeting focused on small systems, and how EPA is going to deal with small systems. Roughly,
there is the same percentage of small systems in America that is in Oklahoma: 90% of the
systems under 10,000 population serve 10% of the population; therefore 10% of the systems
serve 90% of the population. He said the problem is how to move forward in rural Oklahoma,
rural America, and meet drinking water standards and infrastructure requirements. One element
for consideration is an affordability rule in meeting requirements, i.e., can small systems claim
they can't afford treatment and get out of a particular drinking water standard, but this is very
controversial--do we want rural populations to have less quality drinking water than urban
populations, yet at the same time how do we deal with the reality that if we want a vibrant rural
Oklahoma, its going to cost money. The EPA is trying to develop a "toolbox" of tools that can
be used by small communities, but clearly full cost pricing and the costs of water and wastewater
in rural Oklahoma is going up, and there will not be enough stimulus money and grant money to
fill those needs. We are at a crisis stage with small systems in Oklahoma, so this needs to be a
major focus in the Oklahoma Comprehensive Water Plan. He suggested organizing meetings
across rural Oklahoma to discuss with the rural systems and learn firsthand what their issues are
and to come up with better ideas and better approaches, and this will be a major focus. He added
that Rep. Don Armes has requested an interim study to look at water resources in southwest
Oklahoma and asked the OWRB to put together some tour ideas in southwest Oklahoma.
          Ms. Lambert asked with the community needs fluctuating, is it possible to have different
solutions for different communities. Mr. Smith said that the process of the water plan is by
watershed and then by community so that every community has a 50-year water plan, which
could include regionalization. What will be considered is the current infrastructure, needs over
                                                                                              1103
the next 50 years, population projections, other types of needs the community may have and then
what is the gap between what is current and 2060, and then look at potential solutions. Chairman
Nichols mentioned the Rural Development money available, and Mr. Smith said that timeline is
different and he would get an update on the status of that funding. Mr. Smith added there is a lot
of overtime required on the part of the OWRB and DEQ, but the work will get done and the
money will be distributed.
         Mr. Smith said he had been invited to Henderson, Nevada, to talk to the leadership of the
Bureau of Reclamation and the Corps of Engineers at their annual Leadership Collaborative
Workshop. The key portion of the program Mr. Smith addressed concerned state plans and how
the Bureau and Corps can better interact with states. This has come from efforts by the Western
States Water Council and the state water planning, and Mr. Smith said we are now known as the
"Oklahoma Model." The COE, BOR, and EPA are looking at how Oklahoma is setting up the
model to include the federal agencies in our state planning process. Oklahoma is the only state
that is taking this type an approach by matching federal dollars, setting priorities and federal
technical expertise and funding to fulfill the plan. He said he believed that what Oklahoma is
doing in its plan is critically important, and critically important to do it right; there is no
opportunity for us to not have an AAA water plan, we cannot settle for less. He said people are
watching what we are doing and we are being invited to speak at these types of organizational
meetings and it is unacceptable to not have a top-notch plan. He said that everything that we do,
every division the agency has, every employee we have, and every report we publish, is going to
talk about the water plan. The management team will be meeting on June 11 and discussing
what the water plan may look like in two years and be focused on those activities. He distributed
and EPA news release that focused on activities in the OWRB comprehensive plan, and part of
the stimulus money, another $191,880.00 in economic recovery funds to improve water quality--
the activities to be funded through the OWRB were listed, including the triennial review of the
water quality standards, update of the water quality monitoring strategy (data collection
requirements that are necessary in order to the foundation underpinnings for good quality
decision-making) , water level mass measurement program and development of BMPs for
sensitive water supplies, and the Garber Welling aquifer study (quantity and quality
components). He complimented J.D. Strong for his support as the Secretary of Environment.
Mr. Keeley pondered how we could use the comprehensive water plan to promote Oklahoma,
and Mr. Herrmann suggested a stronger alliance with the Department of Commerce. Mr. Smith
discussed how the agency has been building relationships with federal agencies and possibilities
for funding the water plan. He said that as part of the stimulus package, $6 million will be
available for "green projects" and EPA is expected to consider some of the projects as "green"
and provide grants to the Conservation Commission, the Wildlife Department, GRDA, fellow
state partners for improvements to water quality to take streams and lakes off the 303(d) listing
to improve water quality in Oklahoma and show these agencies this isn't about the OWRB, its
about Oklahoma! Mr. Smith noted many activities the agency's divisions are involved in that
bring attention to the high level of work product and involvement in their areas of expertise.
         Mr. Smith said the first round of planning workshops was very well received, and there is
more strategic thinking to do. The annual OWRB picnic and golf tournament will be held on
June 12.


                                                                                            1104
2.     FINANCIAL ASSISTANCE DIVISION

A.      Consideration of and Possible Action on a Proposed Order Approving Emergency Grant
for Salina Public Works Authority, Mayes County. Recommended for Approval. Mr. Joe
Freeman, Chief, Financial Assistance Division, stated to the members this first item is a
$69,700.00 grant request by the Salina Public Works Authority located in Mayes County. Heavy
rainfall earlier this spring resulted in extensive damage to Salina's water treatment plant
equipment and controls. It is estimated it will cost approximately $82,000.00 to replace the
damaged equipment and return the plan to full service for the Authority's approximate 800
customers. The project will be funded with $12,300.00 in local funds, and $69,700.00 OWRB
emergency grant. Staff recommended approval.
        Salina Mayor Darrell Blalock was present in support of the application.
        Mr. Fite moved to approve the emergency grant in the amount of $69,700.00 to the Salina
Public Works Authority, and Ms. Lambert seconded.
        AYE:              Lambert, Fite, Herrmann, Drummond, Keeley, Knowles, Nichols
        NAY:              None
        ABSTAIN: None
        ABSENT:           Sevenoaks


B.       Consideration of and Possible Action on a Proposed Order Approving Funding
Application for Norman Utilities Authority, Cleveland County. Recommended for Approval.
Mr. Freeman stated this item is an $8,675,000.00 funding request by the Norman Utilities
Authority. He said the funds will be utilized to increase the existing pump station capacity to 6
MGD, eliminate five pump stations and enlarge the existing flow equalization basin to a 4.8
MGD storage capacity. In addition, the project will include an emergency generator, yard piping
and electrical and instrumentation improvements. The project will be funded with Clean Water
SRF loan funds, and other funds made available for an amount not less than 20% project costs,
with a targeted goal of 30%. Mr. Freeman noted provisions of the loan agreement; ARRA funds
will be in the form of principal forgiveness. Norman water and sewer connections have
increased by approximately 20% over the past 10 years. Norman has been a long-time excellent
loan customer of the Board, and currently has two outstanding loans with a principal balance of
$3.5 million. The debt-coverage ratio stands at approximately 2.4-times. Staff recommended
approval of the loan request.
         Mr. Anthony Francisco, finance director; Mark Daniel, Joel Cantwell, and Financial
Advisor Rick Smith were present in support of the loan application.
         Mr. Herrmann moved to approve the loan request to the Norman Utilities Authority, and
Mr. Knowles seconded.
         Mr. Herrmann asked if the debt forgiveness for the ARRA funds is at the outset or as the
loan is serviced. Mr. Freeman said that staff is "learning as it goes along", but will start principal
forgiveness in the beginning and as the process moves along and loan funds are drawn up and it
is seen how the money is "shaking out", the loan funds will be reduced trying to get up to the
30%. Mr. Herrmann said there is a $2 million cap no matter what, and Mr. Freeman answered
that is correct.
         There being no further questions, Chairman Nichols called for the vote.
                                                                                                1105
       AYE:           Lambert, Fite, Herrmann, Drummond, Keeley, Knowles, Nichols
       NAY:           None
       ABSTAIN:       None
       ABSENT:        Sevenoaks

C.       Consideration of and Possible Action on Selection of Investment Banker(s) in
Connection with the Issuance of Obligations to Provide Funding for the Clean Water State
Revolving Fund and Drinking Water State Revolving Fund Loan Programs. Mr. Freeman stated
to the members that this item is for the selection of investment bankers in conjunction with the
State Revolving Fund Loan program. He said he anticipated that later this year the Board would
consider a new debt issue in the $100-million range. He said request for proposals were sent to
approximately 35 firms; ten firms submitted proposals for senior manager, and eight firms
submitted proposals for co-manager, which he named. The proposals were reviewed by staff and
the Board's financial advisors from First Southwest Company looking at the firms' relative
experience, marketing and distribution capabilities and quality of the proposed financing plan.
Based upon the review, a recommendation was made to the Board's Finance Committee and
interviews were conducted with JP Morgan, Bank of America Merrill Lynch, and Morgan
Stanley. The Board's Finance Committee, composed of Mr. Mark Nichols, Mr. Rudy Herrmann,
Mr. Ford Drummond, and Mr. Ed Fite met on July 8, 2009.
         Mr. Herrmann commented that the municipal bond market has been through more than a
bit of a turmoil as the Committee needed to learn who the investment bankers are working for
now and what bank is owned by whom and how much the government owes, etc. He said it was
very clear from all the presenters that the municipal bond market and tax bond market are
functioning well, and the Board's well-managed program over the years and the AAA rating will
be a real plus as the next bond package goes to market. He said while there are many changes
and new players, and its been five years since the OWRB has been to market, this will be very
important, and the recommendations the Finance Committee has made will reflect a strong
marketing component for this issue.
         Mr. Herrmann stated that in the matter of the underwriters to the Board for the proposed
series 2009 Revolving Fund Revenue Bond debt issuance, the Finance Committee recommends
and he so moved the Board select the underwriting firm of Bank of America Merrill Lynch to
serve as Senior Managing Investment Banker to the Board, and that the Board select the
underwriting firm of BOSC and its subsidiary BOK Financial, Capitol West and Wells Nelson
Associates to serve as co-managing underwriters to the Board. Mr. Drummond seconded the
motion.
         Ms. Lambert asked the size of the bond issue, and Mr. Freeman answered request for
proposals were for the range of $75 million to $125 million. He said staff is also looking at the
loans involving ARRA. Ms. Lambert asked if there would be staggered maturity, and Mr.
Freeman answered, yes.
         There were no other questions and Chairman Nichols called for the vote.
         AYE:           Lambert, Fite, Herrmann**, Drummond, Keeley, Knowles, Nichols
         NAY:           None
         ABSTAIN: None
         ABSENT:        Sevenoaks

                                                                                            1106
       **Mr. Herrmann recused himself from voting on BOSC and its subsidiary BOK
Financial.
3.    SUMMARY DISPOSITION AGENDA ITEMS

       Any item listed under this Summary Disposition Agenda may, at the requested of any
member of the Board, the Board’s staff, or any other person attending this meeting, may be
transferred to the Special Consideration Agenda. Under the Special Consideration Agenda,
separate discussion and vote or other action may be taken on any items already listed under that
agenda or items transferred to that agenda from this Summary Disposition Agenda.

A.     Requests to Transfer Items from Summary Disposition Agenda to the Special
Consideration Agenda, and Action on Whether to Transfer Such Items.
       There were no requests to transfer items from the Summary Disposition Agenda to the
Special Consideration Agenda.

B.     Discussion, Questions, and Responses Pertaining to Any Items Remaining on Summary
Disposition Agenda and Action on Items and Approval of Items 3.C. through 3.O.
       Ms. Julie Cunningham, Chief, Planning and Management Division, asked that items M.
2. And M.3., (page 5) for dam and reservation construction be removed due to publishing errors.
       Mr. Freeman noted that C.1., Union City Municipal Authority representatives were
present at the meeting today.
       There being no further questions or discussion regarding items on the Summary
Disposition Agenda, Chairman Nichols asked for a motion.
       Ms. Lambert moved to approve the Summary Disposition Agenda as amended, and Mr.
Herrmann seconded.
       AYE:            Lambert, Fite, Herrmann, Drummond, Keeley, Knowles, Nichols
       NAY:            None
       ABSTAIN: None
       ABSENT:         Sevenoaks

The following items were approved:
C.     Consideration of Approval of the Following Applications for REAP Grants in
       Accordance with the Proposed Orders Approving the Grants:

       REAP                                                                         Amount
       Item No. Application No.    Entity Name                       County      Recommended
       ACOG
          1.    FAP-08-0018-R      Union City Municipal Authority Canadian           $70,223.00
       COEDD
          2.    FAP-05-0027-R      Rural Water District #5           Hughes           85,000.00
       EODD
          3.    FAP-08-0005-R      Rural Water District #12          Cherokee         70,000.00
       GGEDA
          4.    FAP-08-0035-R      Delaware Public Works             Nowata           79,999.00
                                   Authority
                                                                                            1107
        5.     FAP-08-0012-R Fairland Public Works             Ottawa          99,999.00
                             Authority
      KEDDO
        6.  FAP-07-0003-R Rural Water District #4              Pittsburg      140,000.00
      NODA
        7.  FAP-06-0017-R Rural Water, Sewer & Solid           Major           99,999.00
                          Waste Management District #1
      SODA
        8.  FAP-05-0043-R Roff Public Works Authority          Pontotoc        70,000.00

D.    Consideration of and Possible Action on Contracts and Agreements, Recommended for
      Approval:
1.    Memorandum Agreement between OWRB, USGS and Hardage Site Remedy
      Corporation for water monitoring and data collection.
2.    Memorandum Agreement between OWRB, USGS and Lugert-Altus Irrigation District
      for water monitoring and data collection.

3.    Memorandum Agreement between OWRB, USGS and The City of Moore for water
      monitoring and data collection.

4.    Memorandum Agreement between OWRB, USGS and The City of Ada for water
      monitoring and data collection.

5.    Memorandum Agreement between OWRB, USGS and Central Oklahoma Master
      Conservancy District for water monitoring and data collection.

6.    Memorandum Agreement between OWRB, USGS and Fort Cobb Master Conservancy
      District for water monitoring and data collection.

7.    Memorandum Agreement between OWRB, USGS and Grand River Dam Authority for
      water monitoring and data collection.

8.    Memorandum Agreement between OWRB, USGS and Foss Master Conservancy District
      for water monitoring and data collection.

9.    Memorandum Agreement between OWRB, USGS and The City of Lawton for water
      monitoring and data collection.

10.   Memorandum Agreement between OWRB, USGS and Oklahoma 4-H Foundation for the
      OWRB/4-H speech contest and recognition program.

11.   Amendment of Joint Funding Agreement with USGS to increase funding and extend end
      date for the project “Streamflow Duration Statistics Web Application for Oklahoma”.

12.   Amendment of Joint Funding Agreement with USGS to increase funding for the project
                                                                                     1108
        “Garber-Wellington Aquifer Management, Central Oklahoma”.

13.     Amendment of Joint Funding Agreement with USGS to increase funding for the project
        “The continuance to investigate the water resources of the Arbuckle-Simpson Aquifer
        Special Studies, South Central Oklahoma”.

14.     Catering Event Agreement with the Oklahoma City Zoo for OWRB Management Retreat.

15.     Interagency Agreement with the Oklahoma Department of Environmental Quality
        regarding the Drinking Water State Revolving Fund.

16.     Renewal of Professional Services Agreement with Charles Dumars.

E.    Applications for Temporary Permits to Use Groundwater:
      1.   Iva Ruth Cooper Trust, Major County, #2009-507
      2.   Beulah Wall, Dewey County, #2009-512

F.    Applications to Amend Temporary Permits to Use Groundwater:
      None

G.    Applications for Regular Permits to Use Groundwater:
      1.   B C Operating, Inc., Okfuskee County, #2008-597
      2.   Mark & Pam Harbin, Hughes County, #2009-508
      3.   Southern Oklahoma Water Corp., Love County, #2009-510

H.    Applications to Amend Regular Permits to Use Groundwater:
      1.   Kasey Lynn & Heather Damron, Beckham County, #1992-601
      2.   Dean & Twylah Simmons, Texas County, #2001-582

I.    Applications to Amend Prior Rights to Use Groundwater:
      1.  Bryan Kroeker, Kingfisher County, #1968-416

J.    Applications for Regular Permits to Use Stream Water:
      1.   Paul Knapp Anderson, Choctaw County, #2009-004
      2.   Johnny R. & Dana D. McElroy, Tillman County, #2009-008

K.    Forfeitures of Stream Water Rights:
      1.    O.T. & Gale Moss, Caddo County, #1972-510
      2.    Bennie Wilkerson, Caddo County, #1980-182
      3.    J.C. Addington, Custer County, #1954-020
      4.    Roger Stockton, Custer County, #1969-025
      5.    Mr. & Mrs. Earl G. Smith, Custer County, #1971-304
      6.    Marvin Bischel, Custer County, #1987-028
      7.    Peggy Blakely, Caddo County, #1958-280
      8.    Lloyd Mogg, Caddo County, #1989-016
                                                                                        1109
     9.    Frank Bryson, Caddo County, #1978-087
     10.   Rayburn & Lottie Teeter, Caddo County, #1982-066
     11.   Harlan Lockey/Treva Gale, Caddo County, #1973-182
     12.   Paul West, Kiowa County, #1973-108
     13.   William Troub/Jim Troub, Kiowa County, #1958-205
     14.   Elnora Higgins, Kiowa County, #1964-284
     15.   Darlene Cox, Dewey County, #1954-188A
     16.   Darlene Cox, Dewey County, #1954-189
     17.   Darlene Cox, Dewey County, #1958-273
     18.   Gary Pierce/Equitable Variable Life Insurance, Washita County, #1952-600
     19.   Gary Pierce/Equitable Variable Life Insurance, Washita County, #1964-600
     20.   Equitable Variable Life Insurance, Washita County, #1985-016
     21.   Kevin Geis, Washita County, #1987-016
     22.   Ricky Davis, Washita County, #1980-060
     23.   Richard K. Young, Comanche County, #1994-035

L. Well Driller and Pump Installer Licensing:
   1. New Licenses, Accompanying Operator Certificates and Activities:
   a. Licensee:        Sesco                                                     DPC-0751
      1. Operator: Larry Kelly                                                   OP-1678
      Activities:      Cathodic protection wells only
   b. Licensee:        LPS                                                       DPC-0773
      1. Operator: William J. Looper                                             OP-1700
          Activities: Pump installation

M. Dam and Reservoir Construction:
   1.   Garfield County Conservation District, Garfield County, #DS-09-02
   2.   Adair County Conservation District, Adair County, #DS-09-03 Item withdrawn
   3.   Adair County Conservation District, Adair County, #DS-09-04 Item withdrawn

N.   Permit Applications for Proposed Development on State Owned or Operated Property
     within Floodplain Areas:
     1.    Oklahoma Department of Transportation, Woods County, #FP-09-10

O.   Applications for Accreditation of Floodplain Administrators:
              Names of floodplain administrators to be accredited and their associated communities
              are individually set out in the June 9, 2009 packet of Board materials


4. QUESTIONS AND DISCUSSION ABOUT AGENCY WORK AND OTHER ITEMS
   OF INTEREST.

A. Update Report on Oklahoma Comprehensive Water Plan Activities. Mr. Mike Langston,
   Oklahoma Water Resources Research Institute, updated the members about the first in a
   series of three planning workshops that was held on June 4 at the Springlake MetroTech
                                                                                         1110
   Center in Oklahoma City. He said being the first meeting not everything went the way that
   staff had wanted but it went very well overall, and he thanked those Board members who
   attended for coming as well as OWRB staff. There were 220 attendees, and two sessions:
   one in the morning and one in the afternoon. There were five different workgroups at each
   session each covering a different topic, and participants were only allowed to be in one
   workgroup. Each workgroup was facilitated by a professional facilitator who was trained;
   OWRB staff was present as were other members of academic community and other state
   agency personnel. Each workgroup produced three strategies to deal with a specific theme;
   there was no time for detail, just general development of a strategy. The August 13
   workshop will be more specific. It was anticipated greater detail would be needed in order
   for CDM to run these strategies through its model. He said staff would be tapping CDM,
   other professionals and OWRB staff to address the technical issues. Information will be
   available on the OWRRI/OCWP website. He added that Mr. Smith's vision for the OCWP as
   addressed in the Executive Director's report is what he sees happening as these issues came
   up at the workshop. Mr. Langston said that comments/feedback will be provided to the
   group participants.
       Mr. Herrmann said he felt that the Board needed to be very careful at this part of the
   process to properly manage expectations of the participants in the planning workshops. He
   said that just because a group of people have a particular theme to discuss, doesn't mean that
   will be a part of the Plan; it is this body's responsibility to ultimately sort out which of the
   ideas are workable and which are not feasible. Its unlikely that 240 people will have their
   ideas in the water plan and he didn't want the participants to be disappointed in the process.
   Mr. Langston added that explanation to the participants about the Town Hall meeting would
   be helpful.


5. SPECIAL CONSIDERATION

     For INDIVIDUAL PROCEEDINGS, a majority of a quorum of Board members, in a
recorded vote, may call for closed deliberations for the purpose of engaging in formal
deliberations leading to an intermediate or final decision in an individual proceeding under the
legal authority of the Oklahoma Open Meeting Act, 25 O.S. 2001, Section 307 (B)(8) and the
Administrative Procedures Act, 75 O.S. 2001, Section 309 and following.
     A majority vote of a quorum of Board members present, in a recorded vote, may authorize
an executive session for the purposes of CONFIDENTIAL COMMUNICATIONS between the
public body and its attorney concerning a pending investigation, claim, or action if the public
body, with the advice of its attorney, determines that disclosure will seriously impair the ability
of the public body to process the claim or conduct the pending investigation, litigation, or
proceeding in the public interest, under the legal authority of the Oklahoma Open Meetings Act,
25 O.S. 2001, Section 307(B)(4).

A.      In the Matter of Stream Water Right No. 1966-196 of Glen O. Russell, Jr., Stream
System 1-8-3, Kiowa County, Oklahoma:
      1. Summary – Ms. Julie Cunningham, Chief of the Planning and Management Division,
said this item is the cancellation of a stream water right in Kiowa County for Glen Russell. She
                                                                                               1111
said that staff reviewed the water right and determined no water use report had been returned
since 1997, and notification was sent and staff received a letter from Mr. Russell's son stating the
permittee had passed away in 1997. A show-cause hearing was offered and Mr. Russell attended
and requested a 30-day extension to provide additional evidence; however, no evidence was
received. Staff recommended cancellation of the water right due to nonuse. Cancellation of the
water right does not preclude the filing of an additional application.
      2.     Discussion and presentation by parties. There were no parties present at the meeting.
      3.     Possible executive session. The Board did not vote to enter executive session.
      4. Vote on whether to approve the proposed order as presented or as may be amended,
or vote on any other action or decision relating to the proposed order.
      Ms. Lambert moved to approve the cancellation of water right 1966-196, and Mr.
Herrmann seconded.
         AYE:           Lambert, Fite, Herrmann, Drummond, Keeley, Knowles, Nichols
         NAY:           None
         ABSTAIN: None
         ABSENT:        Sevenoaks

B.     In the Matter of Stream Water Right Nos. 1950-249 and 1967-202 of O. Dwight
Whitworth, Stream System 1-8-3, Caddo County, Oklahoma:
     1.      Summary – Ms. Cunningham said this item is consideration of a proposed reduction
of two stream water rights in the name of Dwight Whitworth in Caddo County in the Washita
River basin. She said that a review of the records showed no water use had been reported since
1993; a show-cause hearing was held on March 29. The claimant presented evidence that
irrigation had occurred and also asked that the hearing record be held open until April 23 at
which time the claimant provided water use reports for use and reason for nonuse for 2007-2008.
The hearing examiner considered all the information and recommended reduction of the water
right 1950-249 to seven acre-feet which is the maximum amount used, and water right 1967-202
be reduced to four acre feet. Staff recommended approval.
      2.    Discussion and presentation by parties. There were no parties present at the meeting
      3. Possible executive session. The Board did not vote to enter executive session.
      4. Vote on whether to approve the proposed order as presented or as may be amended,
or vote on any other action or decision relating to the proposed order.
      Mr. Herrmann moved to approve the staff recommendation, and Ms. Lambert seconded.
      AYE:              Lambert, Fite, Herrmann, Drummond, Keeley, Knowles, Nichols
      NAY:              None
      ABSTAIN:          None
      ABSENT:           Sevenoaks

C. Items transferred from Summary Disposition Agenda, if any. There were no items
transferred from the Summary Disposition Agenda for further consideration.




                                                                                               1112
6.      PRESENTATION OF AGENCY BUDGET REPORT.

         Mr. Monte Boyce, OWRB Comptroller, addressed the members and stated that the agency had
received notification there would be a reduction to the FY2009 appropriation from the June allocation; for
operations that means a reduction of $5,200, REAP grants $2,700 less and ORWA $300 less, or 1.21% of
the June allocation.
         Mr. Smith interjected this was the first month the agency had received a reduction. He
anticipated that July--the first month of the fiscal year--would also see a reduction. He said the agency is
budgeting 10% of state dollars to make sure there is some plan for further reduction in state funding. He
explained the appropriation for FY2010 was reduced 7% from last year, coupled with reduction in fees of
$100,000, an increase in rent of $78,000, health insurance costs and retirement cost increases, totaling an
18% difference. He added the Financial Assistance Division is not taking any cuts as it does not receive
state appropriated dollars, as we understand the importance of the management of the program and
maintaining the AAA rating.
         Mr. Boyce said the state appropriates 95% of the expected income for the agency, and in FY'09
the agency had a 5% cushion. He noted the monthly report saying the agency had completed 92% of the
fiscal year, expended and obligated 92% of the budget, and collected 88% of the budget.


7.      CONSIDERATION OF SUPPLEMENTAL AGENDA ITEMS, IF ANY

        Chairman Nichols stated there is a Supplemental Agenda for the Board's consideration.

A.      Contracts and Agreements Recommended for Approval.

        1. Consideration of Joint Funding Agreement with USGS for the project “Garber-
Wellington Aquifer Management, Central Oklahoma”. Ms. Julie Cunningham said this item is
for the consideration of a joint funding agreement with the USGS on a joint project on the
Garber Wellington study. She said the USGS is able to provide a $50,000 match to continue the
study for one year.
        Mr. Herrmann moved to approve the Supplemental Agenda item as presented and Mr.
Drummond seconded.
      AYE:             Lambert, Fite, Herrmann, Drummond, Keeley, Knowles, Nichols
      NAY:             None
      ABSTAIN:         None
      ABSENT:          Sevenoaks


8.      Election of Officers (for 2009--2010)

A.      Office of Chairman.

       Mr. Jack Keeley stated that he believed that the next two-four years there are potential
problems coming before the Board: the water plan will be completed, legal issues are on the
horizon, and the Arbuckle Study will be completed. He said his reflection is that the leadership
provided by Mr. Herrmann and Mr. Nichols has been exceptional -- not diminishing the

                                                                                                      1113
capability of other Board members -- but he would suggest that the next few years the experience
of Rudy and Mark be taken into the future.
        Mr. Keeley nominated Rudy Herrmann as Chairman. There was discussion of the two-
year term for Chairman. Mr. Drummond seconded. There were no other nominations.
        Chairman Nichols said he would entertain a motion to elect Rudy Herrmann as Chairman
by acclamation. Mr. Fite so moved and Ms. Lambert seconded.
        AYE:           Lambert, Fite, Herrmann, Drummond, Keeley, Knowles, Nichols
        NAY:           None
        ABSTAIN: None
        ABSENT:        Sevenoaks

B.     Office of Vice Chairman

       Mr. Drummond moved to nominate Mark Nichols as Vice Chairman, and Mr. Fite
seconded. There were no other nominations.
       Chairman Nichols said he would accept a motion to elect Mr. Nichols as Vice Chairman
by acclamation. Mr. Fite so moved and Mr. Drummond seconded.
       AYE:          Lambert, Fite, Herrmann, Drummond, Keeley, Knowles, Nichols
       NAY:          None
       ABSTAIN: None
       ABSENT:       Sevenoaks

C.     Office of Secretary

       Mr. Fite moved the Board elect Linda Lambert as Secretary, and Mr. Keeley seconded.
There were no other nominations.
       Mr. Herrmann moved to elect Ms. Lambert as Secretary by acclamation, and Mr.
Knowles seconded.
       AYE:          Lambert, Fite, Herrmann, Drummond, Keeley, Knowles, Nichols
       NAY:          None
       ABSTAIN: None
       ABSENT:       Sevenoaks


9.     NEW BUSINESS

        Under the Open Meeting Act, this agenda item is authorized only for matters not known
about or which could not have been reasonably foreseen prior to the time of posting the agenda
or any revised agenda.
        There were no New Business items for the Board's consideration. Chairman Nichols
stated that Mr. Herrmann would be absent at the July meeting and he would preside. He said
Committee assignments would be made by the July meeting, and he suggested members contact
Mr. Herrmann. Mr. Smith and Chairman Nichols noted Mr. Farmer had served as Chairman of
the Audit Committee. The members talked about the process for the Governor's appointment to
fill Mr. Farmer's position.
                                                                                           1114
       The members thanked Mr. Nichols for his service as chairman.



10.    ADJOURNMENT

      There being no further business, Chairman Nichols adjourned the meeting of the Oklahoma
Water Resources Board at 10:55 a.m. on Tuesday, June 9, 2009.



OKLAHOMA WATER RESOURCES BOARD



__________________________                 _____________________________
Rudolf J. Herrmann, Chairman               Jess Mark Nichols, Vice Chairman



__________________________                 _____________________________
Edward H. Fite                             Richard Sevenoaks



__________________________                 _____________________________
Jack W. Keeley                             Kenneth K. Knowles



__________________________                 _______________________________
F. Ford Drummond                           Vacant


ATTEST:


_____________________
Linda P. Lambert, Secretary
(SEAL)




                                                                                         1115
2. FINANCIAL ASSISTANCE DIVISION

           July 14, 2009




                                   2000
                                                 Oklahoma Water Resources Board
                                                    Emergency Grant Program
                                                          Priority List

 6/19/2009

 Priority    Priority     Date                                                                   Project       Amount
 Ranking     Points     Requested    Applicant                                          County    Type      Recommended      Status

    1           70       9/10/2008   Davenport Utility Authority                      Lincoln    Water     $    75,000.00   Pending

    2           66      10/10/2007   Hughes County Rural Water District #5            Hughes     Water         100,000.00   Pending

    3           66       6/15/2009   Beaver Public Works Authority                    Beaver     Water          98,736.51   Request +

    4           64      10/13/2006   Cherokee County Rural Water District #11         Cherokee   Sewer          70,000.00   Pending


                                                                             Total:                        $ 343,736.51
_____________________
   Request – Ready for Consideration
   Pending – Securing Other funds



   + Recommended for approval on 7/14/2009.




                                                                                                                                 2001
                                  WATER RESOURCES FUND
                                     GRANT ACCOUNT
                                       June 30, 2009

Beginning Balance,     06/01/2009                                   $1,443,775.96
Income:
Interest from investments maturing during month          4,353.08
Reserve Fund Earnings
Grant Refunds:




         Total Income                                                    4,353.08

Grants Funded:




  Total Grants Funded                                                        0.00

Ending Balance,         06/30/2009                                  $1,448,129.04

Funds obligated for approved grants                                  (786,200.00)
Total of grants recommended for approval                              (98,787.00)
Total unobligated funds available for grants                         $563,142.04




                                                                                    2002
                                 EMERGENCY GRANT APPLICATION
                                  RECOMMENDED FOR APPROVAL

APPLICANT: Town of Beaver                                           DATE RECEIVED: 6/15/2009
COUNTY:    Beaver                                         APPLICATION NUMBER: FAP-09-0005-G

Amount Requested: $98,736.51                                         Amount Recommended: $98,736.51

EMERGENCY DESCRIPTION: The Town of Beaver maintains a water distribution system that serves
approximately 850 residents. A fire caused by an electrical short severely damaged the Town’s main booster
pump station, including the electrical control system, electrical switch gear, pump, electric pump motor,
chlorine gas cylinders, and the pump building. The Town corrected their problem by repairing/replacing the
building and components as needed. The proposed project consists of reimbursement for replacing the
building that houses the booster pump, installing a liquid chlorination system, repairing/replacing the existing
pump and electrical components as needed, and all related construction and appurtenances. The total project
cost is $154,309.78 with funding provided by $55,573.27 in local funds and the requested OWRB
Emergency Grant of $98,736.51.

                                         Priority Ranking                                               Priority
                                                                                                         Points
 Emergency Ranking 1 (Maximum: 50 points)                                                                     50
 WATER AND SEWER RATE STRUCTURE (Maximum: 13 points)

 Water rate per 5000 gal/month: $ 21.25      (_)Flat Rate          -3                                              9
 Sewer rate per 5000 gal/month:   10.00      (_)Decreasing Block -2
                         TOTAL $ 31.25       (_)Uniform             0
                                             (x)Increasing Block   +2
                                   7 Points (_)Sales tax (W/S)     +1
 INDEBTEDNESS PER CUSTOMER (Maximum: 10 points)
 Total Indebtedness:           $           565,518.00
 Monthly Debt Payment:         $             7,280.00                                                              5
 Number of Customers:                             850
 Monthly Payment Per Customer: $                  8.56
 LOCAL PARTICIPATION (Maximum: 10 points)
 From Reserves:             $      55,573.27
 Contribution from Loan:    $           0.00                                                                       4
  % Project Local Funded:   36.01%    4 points
 MEDIAN HOUSEHOLD INCOME $ 37,560.00             (Maximum: 10 points)
                                                                                                                   1
 ABILITY TO FINANCE PROJECT                 (Maximum: 12 points)

    FP  ($98,736.51)(0.1102)
         =                   = $ 1.07                                                                              2
               (850)(12)
 AMOUNT OF GRANT REQUESTED (Maximum: 10 points)

   AR = $98,736.51 ; OWRB Loan: No                                                                             -5
 BENEFIT OF PROJECT TO OTHER SYSTEMS                         No    (Maximum: 5 points)
                                                                                                                   0
 REQUEST NUMBER              1
                                                                                                                   0
                                                                   TOTAL PRIORITY POINTS
                                                                                                               66


                                                                                                                       2003
              BEFORE THE OKLAHOMA WATER RESOURCES BOARD
                           STATE OF OKLAHOMA
IN THE MATTER OF GRANT APPLICATION                  )
NO. FAP-09-0005-G IN THE NAME OF                    )
TOWN OF BEAVER, BEAVER COUNTY,                      )
OKLAHOMA.                                           )
                                  PROPOSED
                       ORDER APPROVING GRANT APPLICATION

        This matter came on for consideration before the Oklahoma Water Resources Board on
the 14th day of July 2009. The Board finds that since the application for this grant was assigned
a priority ranking of 66 points under Chapter 50 of the Board's Rules and that since sufficient
funds are available in the Grant Account of the Water Resources Fund, the grant application for
an amount not to exceed $98,736.51 should be approved to be advanced for the following
purpose and subject to the following conditions:
Purpose:
The Town of Beaver maintains a water distribution system that serves approximately 850
residents. A fire caused by an electrical short severely damaged the Town’s main booster pump
station, including the electrical control system, electrical switch gear, pump, electric pump
motor, chlorine gas cylinders, and the pump building. The Town corrected their problem by
repairing/replacing the building and components as needed. The proposed project consists of
reimbursement for replacing the building that houses the booster pump, installing a liquid
chlorination system, repairing/replacing the existing pump and electrical components as needed,
and all related construction and appurtenances. The total project cost is $154,309.78 with
funding provided by $55,573.27 in local funds and the requested OWRB Emergency Grant of
$98,736.51.
Conditions:
1.     The amount of the grant will be based on 63.99% of the actual total eligible cost of the
       project. The amount of the grant shall not exceed $98,736.51.

2.     Grant funds shall be deposited in a separate account with a federally insured financial
       institution.

3.     Applicants who have raised water and/or sewer rates resulting in an advancement in
       position of priority for assistance shall not modify those rates after receipt of the grant
       without the prior written consent of the Board, unless such modification would not result
       in a change in position of priority.

4.     The applicant shall fully document disbursement of grant funds as required by the Board.
       Further, applicant shall maintain proper books, records, and supporting documentation,
       and make the same available for inspection by the Board. Disbursement of grant funds
       without supporting documentation shall be considered unauthorized expenditure of grant
       funds.

5.     The applicant shall return any unexpended grant funds to the Board within thirty (30)
       days of completion of the project or within thirty (30) days from the applicant's receipt of
       all invoices, whichever is later.


                                                                                                      2004
Town of Beaver, Beaver County
OWRB Emergency Grant No. FAP-09-0005-G

6.    The applicant shall return or otherwise pay to the Board, any grant funds expended for
      unauthorized or unallowable purposes. Authorized purposes are those which are
      necessary for the completion of the project described in the grant application, which
      application is incorporated by reference herein, or which are necessary for the project as
      approved, if the project is different from that described in the application. Any funds
      returned by the applicant under this paragraph shall bear interest at the maximum rate
      allowed by law. The applicant shall direct to the Board any and all questions regarding
      whether an expenditure is authorized.

7.    Furthermore, prior to and during the construction period, Town of Beaver is required to
      comply with the requirements of all applicable federal and state statutory provisions and
      all Oklahoma Water Resources Board rules, regulations and grant policies.

      SO ORDERED this 14th day of July 2009, in regular and open meeting of the Oklahoma
Water Resources Board.

                                           OKLAHOMA WATER RESOURCES BOARD



                                           _______________________________________
                                           Jess Mark Nichols, Vice Chairman

ATTEST:


_______________________________
Linda P. Lambert, Secretary

(SEAL)

Reviewed by:


_______________________________
                /s/
Joe Freeman, Chief
Financial Assistance Division




                                                                                                   2005
   Financial Assistance Division                                                  Agenda Item 2.B.
   July 14, 2009

                                 LOAN APPLICATION
                             RECOMMENDED FOR APPROVAL

Applicant:                 Rural Water, Sewer, & Solid Waste Management District #2, Bryan
                           County

Application No.:           ORF-09-0020-DW
                           Drinking Water State Revolving Fund Loan (“DWSRF Loan”) and American
                           Recovery and Reinvestment Act (“ARRA Funds”)

Funding Requested:         $382,000.00 DWSRF Loan and ARRA Funds

Loan Interest Rate:        The DWSRF Loan shall bear a fixed interest rate to be determined prior
                           to loan closing plus an administrative fee of 0.5% per annum, all on the
                           outstanding principal balance of the loan.

Loan Payment Term:         Interest, administrative fee, and principal payments shall be made on a
                           semi-annual basis. The Applicant shall commence principal repayment
                           no later than one (1) year following Project completion, and the maturity
                           of the loan shall be no later than thirty (30) years following the date the
                           Project is completed.

Loan Security Position:    The DWSRF loan shall be secured with a lien on the revenues of the
                           Applicant's water system and may include a mortgage on the Applicant's
                           water system and other real property.

Allocation of Funds:       The loan funds shall be provided from the DWSRF and other funds, if any,
                           shall be provided from the ARRA.

Purpose:                   The applicant will utilize the funding proceeds to: (i) install an
                           emergency generator at the water plant, a portable generator at the
                           booster pump station, 2-50 horsepower clearwell pumps, and fencing
                           around the perimeter of the water treatment plant and the backwash
                           lagoons; and (ii) pay related costs of issuance.

               Sources of Funds                                               Uses of Funds
   DWSRF Loan and ARRA Funds            $382,000.00                 Project               $370,000.00
                                                                    Local Counsel            6,000.00
                                                                    Bond Counsel             6,000.00
   Total                                $382,000.00                 Total                 $382,000.00




                                                                                                         2006
               BEFORE THE OKLAHOMA WATER RESOURCES BOARD
                            STATE OF OKLAHOMA

IN THE MATTER OF FUNDING APPLICATION                    )
NO. ORF-09-0020-DW IN THE NAME OF                        )
RURAL WATER, SEWER, & SOLID WASTE                        )
MANAGEMENT DISTRICT #2, BRYAN                            )
COUNTY, OKLAHOMA                                         )

                                   PROPOSED
                      ORDER APPROVING FUNDING APPLICATION

      This matter came on for consideration before the Oklahoma Water Resources Board (the
"Board") on the 14th day of July 2009.
        WHEREAS, Rural Water, Sewer, & Solid Waste Management District #2, Bryan County
(the "Applicant") has made its Application for Funding No. ORF-09-0020-DW (the “Application”)
to the Board and to the Oklahoma Department of Environmental Quality (the “DEQ”) for financial
assistance from the Drinking Water Treatment Revolving Loan Account (the “DWSRF”), pursuant
to Title 82 Oklahoma Statutes 2001, Sections 1085.71 et seq, as amended; and
        WHEREAS, the Applicant intends to use the funds for drinking water system improvements
to further compliance with State and Federal standards; and
        WHEREAS, the DEQ has certified the Application with regards to compliance with
applicable technical program requirements and forwarded it to the Board with a recommendation
that the Application be considered and approved for a DWSRF Loan; and
       WHEREAS, the Board has completed its review of the Application and related information,
and finds that the Application should be approved according to the terms and conditions set forth
below.
    NOW, THEREFORE, LET IT BE RESOLVED AND ORDERED BY THE OKLAHOMA
WATER RESOURCES BOARD:
         Application for Funding No. ORF-09-0020-DW in the name of the Rural Water, Sewer, &
Solid Waste Management District #2, Bryan County be and the same is hereby approved. Subject to
and contingent upon the Board’s receipt of sufficient funds, financial assistance consisting of either
(i) a loan or (ii) a loan and other funds, at the option of the Applicant (the “Funding”), shall be made
to the Applicant for the following purpose and subject to the following terms and conditions:
Purpose
         The Funding proceeds, along with other funds of the Applicant, if any, will be used to (i)
install an emergency generator at the water plant, a portable generator at the booster pump station, 2-
50 horsepower clearwell pumps, and fencing around the perimeter of the water treatment plant and
the backwash lagoons (the “Project”) and (ii) pay related costs of issuance, all as more specifically
set forth in the Application.




                                                                                                           2007
ORDER APPROVING FUNDING APPLICATION
Bryan County RW, S, & SWMD #2
ORF-09-0020-DW

Terms and Conditions
        1.      A loan shall be made to the Applicant to provide funds for the Project described in
the Loan Application in an aggregate principal amount not to exceed $382,000.00. The Applicant
shall pay interest on the loan at a fixed rate to be determined prior to closing plus an administrative
fee at the rate of 0.5% per annum, all on the outstanding balance of disbursed loan proceeds.
Interest, administrative fee, and any principal payments shall be made on a semi-annual basis. The
Applicant shall commence principal repayment no later than one (1) year following Project
completion, and the maturity of the loan shall be no later than thirty (30) years following the date the
Project is completed.
      2.      The loan shall be secured with a lien on the revenues of the Applicant's water system
and may include a mortgage on the Applicant's water system and other real property.
       3.      In accordance with applicable authority and United States Environmental Protection
Agency (“EPA”) guidelines for implementation of the American Recovery and Reinvestment Act of
2009 (“ARRA”), other funds available through ARRA (“ARRA Funds”) may be provided to
Applicant. The ARRA Funds, if any, shall be used to pay a portion of the costs of the Project
described in the Application or for other purposes authorized by applicable authority and EPA
guidelines. In conjunction with the loan, ARRA Funds may be provided in an amount not less than
20% of the cost of the Project. If additional ARRA Funds become available for the Applicant,
supplementary ARRA Funds may be provided to the Applicant in an amount to be determined by
Board staff, provided the total amount of all ARRA Funds provided to the Applicant shall not
exceed $2,000,000.00.
        4.       Upon the Applicant's acceptance of the DEQ's Letter of Binding Commitment, the
funds shall be reserved for the Applicant until November 30, 2009. In the event the Funding is not
closed on or before such date, the Board reserves the right to (i) approve, at the Applicant’s request,
a reasonable extension of time to close the loan, or (ii) de-obligate all or a portion of the loan funds
in order to be used by the Board to make other DWSRF loans, as the Board determines shall permit
the best use of the funds. Funds shall be provided to the Applicant in accordance with the DWSRF
program regulations and applicable regulations and/or guidance for implementation of the ARRA as
approved by the EPA.
        5.     The Board's Staff is authorized to determine what additional conditions or
requirements shall be necessary in order to assure the soundness of the Funding transaction and
compliance with applicable financial, legal, and DWSRF requirements. The Board’s Staff is further
authorized to approve future modifications or additions to the project purposes and uses of funds
approved herein, provided such modifications or additions will not materially and adversely affect
the loan.
        6.      The Funding shall be subject in all respects to the provisions of the Applicant’s
promissory note(s), loan agreement(s), and other loan documents which shall be executed by proper
officials of the Applicant and a Board Member at or prior to Funding transaction closing as
appropriate.
       7.       Additional financial assistance may be made at such times, for such projects of the
Applicant, at such repayment periods and interest rates, and upon such other terms and conditions as
may be agreed to and approved by the Board and the Applicant.


                                                   2

                                                                                                           2008
ORDER APPROVING FUNDING APPLICATION
Bryan County RW, S, & SWMD #2
ORF-09-0020-DW

       8.     The ARRA Funds portion of this transaction, if any, is contingent upon receipt by the
Board of the monies to fund the ARRA from the United State Environmental Protection Agency.
      So ordered this 14th day of July 2009 in regular and open meeting of the Oklahoma Water
Resources Board.

                                             OKLAHOMA WATER RESOURCES BOARD



                                             Jess Mark Nichols, Vice Chairman

ATTEST:



Linda P. Lambert, Secretary

(SEAL)



Reviewed By:


               /s/
Joe Freeman, Chief
Financial Assistance Division




                                                3

                                                                                                      2009
   Financial Assistance Division                                                 Agenda Item 2.C.
   July 14, 2009

                                 LOAN APPLICATION
                             RECOMMENDED FOR APPROVAL

Applicant:                 Collinsville Municipal Authority, Tulsa County

Application No.:           ORF-09-0009-CW
                           Clean Water State Revolving Fund Loan (“CWSRF Loan”) and American
                           Recovery and Reinvestment Act (“ARRA Funds”)

Funding Requested:         $683,040.00 CWSRF Loan and ARRA Funds

Loan Interest Rate:        The CWSRF Loan shall bear a fixed interest rate to be determined prior to
                           loan closing plus an administrative fee of 0.5% per annum, all on the
                           outstanding principal balance of the loan.

Loan Payment Term:         Interest, administrative fee, and principal payments shall be made on a semi-
                           annual basis. The Applicant shall commence principal repayment no later
                           than one (1) year following Project completion, and the maturity of the loan
                           shall be no later than twenty (20) years following the date the Project is
                           completed.

Loan Security Position:    The CWSRF loan shall be secured with a lien on the revenues of the
                           Applicant's water, sewer, and electric systems, the proceeds of a 1 cent sales
                           tax, and may include a mortgage on the Applicant's water and sewer systems
                           and other real property.

Allocation of Funds:       The loan funds shall be provided from the CWSRF and other funds, if any,
                           shall be provided from the ARRA.

Purpose:                   The applicant will utilize the funding proceeds to: (i) upgrade the wastewater
                           treatment plant to comply with the new OPDES permit issued by Oklahoma
                           Department of Environmental Quality by installing ultra violet (“UV”)
                           disinfection equipment and 16” pipe and pipe fittings; constructing a UV
                           channel and other related components; and (ii) pay related costs of issuance.

   CWSRF Loan and ARRA Funds                $683,040.00         Project                        $670,000.00
                                                                Local Counsel                     2,680.00
                                                                Bond Counsel                      7,860.00
                                                                Admin & Misc                      2,500.00
   Total                                    $683,040.00         Total                          $683,040.00




                                                                                                       2010
                BEFORE THE OKLAHOMA WATER RESOURCES BOARD
                             STATE OF OKLAHOMA

IN THE MATTER OF FUNDING APPLICATION                    )
NO. ORF-09-0009-CW IN THE NAME OF                        )
COLLINSVILLE MUNICIPAL AUTHORITY                         )
TULSA COUNTY, OKLAHOMA                                   )

                                   PROPOSED
                      ORDER APPROVING FUNDING APPLICATION

      This matter came on for consideration before the Oklahoma Water Resources Board (the
"Board") on the 14th day of July 2009.
       WHEREAS, Collinsville Municipal Authority (the "Applicant") has made its Application for
Funding No. ORF-09-0009-CW (the “Application”) to the Board for financial assistance from the
Clean Water State Revolving Fund (the “CWSRF”) program, pursuant to Title 82 Oklahoma Statutes
Supp. 2002, Sections 1085.51 et seq, as amended; and
        WHEREAS, the Applicant intends to use the funds for wastewater system improvements to
further compliance with State and Federal standards; and
       WHEREAS, the Board has completed its review of the Application and related information,
and finds that the Application should be approved according to the terms and conditions set forth
below.
    NOW, THEREFORE, LET IT BE RESOLVED AND ORDERED BY THE OKLAHOMA
WATER RESOURCES BOARD:
        Application for Funding No. ORF-09-009-CW in the name of the Collinsville Municipal
Authority be and the same is hereby approved. Subject to and contingent upon the Board’s receipt
of sufficient funds, financial assistance consisting of either (i) a loan or (ii) a loan and other funds,
at the option of the Applicant (the “Funding”), shall be made to the Applicant for the following
purpose and subject to the following terms and conditions:
Purpose
        The Funding proceeds, along with other funds of the Applicant, if any, will be used to (i)
upgrade the wastewater treatment plant to comply with the new OPDES permit issued by Oklahoma
Department of Environmental Quality by installing ultra violet (“UV”) disinfection equipment and
16” pipe and pipe fittings; constructing a UV channel and other related components (the “Project”)
and (ii) pay related costs of issuance, all as more specifically set forth in the Loan Application.
Terms and Conditions
        1.      A loan shall be made to the Applicant to provide funds for the Project described in
the Application in an aggregate principal amount not to exceed $683,040.00. The Applicant shall
pay interest on the loan at a fixed rate to be determined prior to closing plus an administrative fee at
the rate of 0.5% per annum, all on the outstanding balance of disbursed loan proceeds. Interest,
administrative fee, and any principal payments shall be made on a semi-annual basis. The Applicant




                                                                                                            2011
ORDER APPROVING FUNDING APPLICATION
Collinsvile Municipal Authority
ORF-09-009-CW

shall commence principal repayment no later than one (1) year following Project completion, and the
maturity of the loan shall be no later than twenty (20) years following the date the Project is
completed.
       2.      The loan shall be secured with a lien on the revenues of the Applicant's water, sewer
and electric systems, the proceeds of a 1 cent sales tax, and may include a mortgage on the
Applicant's water and sewer systems and other real property.
       3.      In accordance with applicable authority and United States Environmental Protection
Agency (“EPA”) guidelines for implementation of the American Recovery and Reinvestment Act of
2009 (“ARRA”), other funds available through ARRA (“ARRA Funds”) may be provided to
Applicant. The ARRA Funds, if any, shall be used to pay a portion of the costs of the Project
described in the Application or for other purposes authorized by applicable authority and EPA
guidelines. In conjunction with the loan, ARRA Funds may be provided in an amount not less than
20% of the cost of the Project. If additional ARRA Funds become available for the Applicant,
supplementary ARRA Funds may be provided to the Applicant in an amount to be determined by
Board staff, provided the total amount of all ARRA Funds provided to the Applicant shall not
exceed $2,000,000.00.
        4.      Upon the Applicant's acceptance of the Board's Letter of Binding Commitment, the
funds shall be reserved for the Applicant until November 30, 2009. In the event the Funding is not
closed on or before such date, the Board reserves the right to (i) approve, at the Applicant’s request,
a reasonable extension of time to close the loan, or (ii) de-obligate all or a portion of the loan funds
in order to be used by the Board to make other financial assistance, as the Board determines shall
permit the best use of the funds. Funds shall be provided to the Applicant in accordance with the
CWSRF program regulations and applicable regulations and/or guidance for implementation of the
ARRA as approved by the EPA.
        5.     The Board's Staff is authorized to determine what additional conditions or
requirements shall be necessary in order to assure the soundness of the Funding transaction and
compliance with applicable financial, legal, and CWSRF requirements. The Board’s Staff is further
authorized to approve future modifications or additions to the project purposes and uses of funds
approved herein, provided such modifications or additions will not materially and adversely affect
the loan.
        6.      The Funding shall be subject in all respects to the provisions of the Applicant’s
promissory note(s), loan agreement(s), and other loan documents which shall be executed by proper
officials of the Applicant and a Board Member at or prior to Funding transaction closing as
appropriate.
       7.       Additional financial assistance may be made at such times, for such projects of the
Applicant, at such repayment periods and interest rates, and upon such other terms and conditions as
may be agreed to and approved by the Board and the Applicant.
       8.     The ARRA Funds portion of this transaction, if any, is contingent upon receipt by the
Board of the monies to fund the ARRA from the United State Environmental Protection Agency.




                                                   2

                                                                                                           2012
ORDER APPROVING FUNDING APPLICATION
Collinsvile Municipal Authority
ORF-09-009-CW

      So ordered this 14th day of July 2009, in regular and open meeting of the Oklahoma Water
Resources Board.

                                           OKLAHOMA WATER RESOURCES BOARD



                                           Jess Mark Nichols, Vice Chairman

ATTEST:



Linda P. Lambert, Secretary

(SEAL)



Reviewed By:


               /s/
Joe Freeman, Chief
Financial Assistance Division




                                              3

                                                                                                 2013
   Financial Assistance Division                                                  Agenda Item 2.D.
   July 14, 2009

                                 LOAN APPLICATION
                             RECOMMENDED FOR APPROVAL

Applicant:                 Ponca City Utility Authority, Kay County

Application No.:           ORF-09-0011-CW
                           Clean Water State Revolving Fund Loan (“CWSRF Loan”) and American
                           Recovery and Reinvestment Act (“ARRA Funds”)

Funding Requested:         $890,000.00 CWSRF Loan and ARRA Funds

Loan Interest Rate:        The CWSRF Loan shall bear a fixed interest rate to be determined prior to
                           loan closing plus an administrative fee of 0.5% per annum, all on the
                           outstanding principal balance of the loan.

Loan Payment Term:         Interest, administrative fee, and principal payments shall be made on a semi-
                           annual basis. The Applicant shall commence principal repayment no later
                           than one (1) year following Project completion, and the maturity of the loan
                           shall be no later than twenty (20) years following the date the Project is
                           completed.

Loan Security Position:    The CWSRF loan shall be secured with a lien on the revenues of the
                           Applicant's water, sewer, solid waste and electric systems, and may include a
                           mortgage on the Applicant's water, sewer, solid waste and electric systems
                           and other real property.
Allocation of Funds:       The loan funds shall be provided from the CWSRF and other funds, if any,
                           shall be provided from the ARRA.

Purpose:                   The applicant will utilize the funding proceeds to: (i) install an emergency
                           generator at the main lift station and make improvements at the Brentwood
                           lift station; and (ii) pay related costs of issuance. The Brentwood lift station
                           improvements include installing larger pumps, new SCADA controls,
                           connections for a portable pump and generator; and constructing a four hour
                           emergency holding basin and all necessary appurtenances.

                 Sources of Funds                                               Uses of Funds
   CWSRF Loan and ARRA Funds                 $890,000.00         Project                         $877,750.00
                                                                 Bond Counsel                      10,900.00
                                                                 Admin. & Misc.                     1,350.00
   Total                                     $890,000.00         Total                           $890,000.00




                                                                                                         2014
                BEFORE THE OKLAHOMA WATER RESOURCES BOARD
                             STATE OF OKLAHOMA

IN THE MATTER OF FUNDING APPLICATION                    )
NO. ORF-09-0011-CW IN THE NAME OF                        )
PONCA CITY UTILITY AUTHORITY                             )
KAY COUNTY, OKLAHOMA                                     )

                                   PROPOSED
                      ORDER APPROVING FUNDING APPLICATION

      This matter came on for consideration before the Oklahoma Water Resources Board (the
"Board") on the 14th day of July.
       WHEREAS, Ponca City Utility Authority (the "Applicant") has made its Application for
Funding No. ORF-09-0011-CW (the “Application”) to the Board for financial assistance from the
Clean Water State Revolving Fund (the “CWSRF”) program, pursuant to Title 82 Oklahoma Statutes
Supp. 2002, Sections 1085.51 et seq, as amended; and
        WHEREAS, the Applicant intends to use the funds for wastewater system improvements to
further compliance with State and Federal standards; and
       WHEREAS, the Board has completed its review of the Application and related information,
and finds that the Application should be approved according to the terms and conditions set forth
below.
    NOW, THEREFORE, LET IT BE RESOLVED AND ORDERED BY THE OKLAHOMA
WATER RESOURCES BOARD:
        Application for Funding No. ORF-09-0011-CW in the name of the Ponca City Utility
Authority be and the same is hereby approved. Subject to and contingent upon the Board’s receipt
of sufficient funds and certification with regards to compliance with applicable technical and
environmental program requirements, financial assistance consisting of either (i) a loan or (ii) a loan
and other funds, at the option of the Applicant (the “Funding”), shall be made to the Applicant for
the following purpose and subject to the following terms and conditions:
Purpose
         The Funding proceeds, along with other funds of the Applicant, if any, will be used to (i)
install an emergency generator at the main lift station and make improvements to the Brentwood lift
station (the “Project”) and (ii) pay related costs of issuance, all as more specifically set forth in the
Loan Application. The improvements at the Brentwood lift station include installation of larger
pumps, new SCADA controls, connections for a portable pump and generator; and construction of a four
hour emergency holding basin and all necessary appurtenances
Terms and Conditions
        1.      A loan shall be made to the Applicant to provide funds for the Project described in
the Application in an aggregate principal amount not to exceed $890,000.00. The Applicant shall
pay interest on the loan at a fixed rate to be determined prior to closing plus an administrative fee at




                                                                                                            2015
ORDER APPROVING FUNDING APPLICATION
Ponca City Utility Authority
ORF-09-0011-CW

the rate of 0.5% per annum, all on the outstanding balance of disbursed loan proceeds. Interest,
administrative fee, and any principal payments shall be made on a semi-annual basis. The Applicant
shall commence principal repayment no later than one (1) year following Project completion, and the
maturity of the loan shall be no later than twenty (20) years following the date the Project is
completed.
       2.      The loan shall be secured with a lien on the revenues of the Applicant's water, sewer,
solid waste and electric systems, and may include a mortgage on the Applicant's water, sewer, solid
waste and electric systems and other real property.
       3.      In accordance with applicable authority and United States Environmental Protection
Agency (“EPA”) guidelines for implementation of the American Recovery and Reinvestment Act of
2009 (“ARRA”), other funds available through ARRA (“ARRA Funds”) may be provided to
Applicant. The ARRA Funds, if any, shall be used to pay a portion of the costs of the Project
described in the Application or for other purposes authorized by applicable authority and EPA
guidelines. In conjunction with the loan, ARRA Funds may be provided in an amount not less than
20% of the cost of the Project. If additional ARRA Funds become available for the Applicant,
supplementary ARRA Funds may be provided to the Applicant in an amount to be determined by
Board staff, provided the total amount of all ARRA Funds provided to the Applicant shall not
exceed $2,000,000.00.
        4.      Upon the Applicant's acceptance of the Board's Letter of Binding Commitment, the
funds shall be reserved for the Applicant until November 30, 2009. In the event the Funding is not
closed on or before such date, the Board reserves the right to (i) approve, at the Applicant’s request,
a reasonable extension of time to close the loan, or (ii) de-obligate all or a portion of the loan funds
in order to be used by the Board to make other financial assistance, as the Board determines shall
permit the best use of the funds. Funds shall be provided to the Applicant in accordance with the
CWSRF program regulations and applicable regulations and/or guidance for implementation of the
ARRA as approved by the EPA.
        5.     The Board's Staff is authorized to determine what additional conditions or
requirements shall be necessary in order to assure the soundness of the Funding transaction and
compliance with applicable financial, legal, and CWSRF requirements. The Board’s Staff is further
authorized to approve future modifications or additions to the project purposes and uses of funds
approved herein, provided such modifications or additions will not materially and adversely affect
the loan.
        6.      The Funding shall be subject in all respects to the provisions of the Applicant’s
promissory note(s), loan agreement(s), and other loan documents which shall be executed by proper
officials of the Applicant and a Board Member at or prior to Funding transaction closing as
appropriate.
       7.       Additional financial assistance may be made at such times, for such projects of the
Applicant, at such repayment periods and interest rates, and upon such other terms and conditions as
may be agreed to and approved by the Board and the Applicant.
       8.     The ARRA Funds portion of this transaction, if any, is contingent upon receipt by the
Board of the monies to fund the ARRA from the United State Environmental Protection Agency.



                                                   2

                                                                                                           2016
ORDER APPROVING FUNDING APPLICATION
Ponca City Utility Authority
ORF-09-0011-CW

      So ordered this 14th day of July, in regular and open meeting of the Oklahoma Water
Resources Board.

                                         OKLAHOMA WATER RESOURCES BOARD



                                         Jess Mark Nichols, Vice Chairman

ATTEST:



Linda P. Lambert, Secretary

(SEAL)



Reviewed By:


              /s/
Joe Freeman, Chief
Financial Assistance Division




                                           3

                                                                                            2017
Financial Assistance Division                                                           Agenda Item 2.E.
July 14, 2009
                                   FUNDING APPLICATION
                                RECOMMENDED FOR APPROVAL

Applicant:                Grove Municipal Services Authority, Delaware County

Application No.:          ORF-07-0008-CW
                          Clean Water State Revolving Fund Loan (“CWSRF Loan”) and American
                          Recovery and Reinvestment Act (“ARRA Funds”)

Funding Requested:        $1,900,000.00 CWSRF Loan and ARRA Funds


Loan Interest Rate:       The CWSRF Loan shall bear a fixed interest rate to be determined prior to loan
                          closing plus an administrative fee of 0.5% per annum, all on the outstanding
                          principal balance of the loan.

Loan Payment Term:        Interest, administrative fee, and principal payments shall be made on a semi-
                          annual basis. The Applicant shall commence principal repayment no later than
                          one (1) year following Project completion, and the maturity of the loan shall be
                          no later than twenty (20) years following the date the Project is completed.

Loan Security Position: The CWSRF loan shall be secured with a lien on the revenues of the Applicant’s
                        water, sewer, and gas systems and the proceeds of a 4/10ths of one cent sales tax,
                        and may include a mortgage on the Applicant's water and sewer systems and
                        other real property.

Allocation of Funds:      The loan funds shall be provided from the CWSRF and other funds, if any, shall
                          be provided from the ARRA.

Purpose:                  The Applicant will utilize the funding proceeds to: (i) make improvements to
                          their wastewater treatment facility by adding a third cell to the sequential batch
                          reactors, installing a new belt filter press, and constructing a new compost
                          facility for effective sludge handling and (ii) pay related costs of issuance.

                Sources of Funds                                             Uses of Funds
   CWSRF Loan and ARRA Funds     $1,900,000.00                   Project                 $2,176,581.00
   Local Funds                     $327,946.00                   Financial Advisor          $19,000.00
                                                                 Bond Counsel                19,000.00
                                                                 Local Counsel               10,000.00
                                                                 Admin. & Misc.               3,365.00
   Total                              $2,227,946.00              Total                   $2,227,946.00




                                                                                                          2018
                BEFORE THE OKLAHOMA WATER RESOURCES BOARD
                             STATE OF OKLAHOMA

IN THE MATTER OF APPLICATION                            )
NO. ORF-07-0008-CW IN THE NAME OF                       )
GROVE MUNICIPAL SERVICES AUTHORITY,                     )
DELAWARE COUNTY, OKLAHOMA                               )

                                   PROPOSED
                      ORDER APPROVING FUNDING APPLICATION

      This matter came on for consideration before the Oklahoma Water Resources Board (the
"Board") on the 14th day of July 2009.
        WHEREAS, Grove Municipal Services Authority (the "Applicant") has made its Application
for Funding No. ORF-07-0008-CW (the “Application”) to the Board for financial assistance through
the Clean Water State Revolving Fund (“CWSRF”) program, pursuant to Title 82 Oklahoma
Statutes, Sections 1085.51 et seq. ; and
        WHEREAS, the Applicant intends to use the funds for wastewater system improvements to
further compliance with State and Federal standards; and
       WHEREAS, the Board has completed its review of the Application and related information,
and finds that the Application should be approved according to the terms and conditions set forth
below.
    NOW, THEREFORE, LET IT BE RESOLVED AND ORDERED BY THE OKLAHOMA
WATER RESOURCES BOARD:
        Application for Funding No. ORF-07-0008-CW in the name of Grove Municipal Services
Authority be and the same is hereby approved. Subject to and contingent upon the Board’s receipt
of sufficient funds, financial assistance consisting of either (i) a loan or (ii) a loan and other funds,
at the option of the Applicant (the “Funding”), shall be made to the Applicant for the following
purpose and subject to the following terms and conditions:
Purpose
The funding proceeds, along with other funds of the Applicant, if any, will be used to (i) make
improvements to their wastewater treatment facility by adding a third cell to the sequential batch
reactors, installing a new belt filter press, and constructing a new compost facility for effective
sludge handling (the “Project”) and (ii) pay related costs of issuance of the loan, all as more
specifically set forth in the Application.

Terms and Conditions
        1.      A loan shall be made to the Applicant to provide funds for the Project described in
the Application in an aggregate principal amount not to exceed $1,900,000.00. The Applicant shall
pay interest on the loan at a fixed rate to be determined prior to closing plus an administrative fee at
the rate of 0.5% per annum, all on the outstanding balance of disbursed loan proceeds. Interest,




                                                                                                            2019
ORDER APPROVING FUNDING APPLICATION
Grove Municipal Services Authority
ORF-07-0008-CW

administrative fee, and any principal payments shall be made on a semi-annual basis. The Applicant
shall commence principal repayment no later than one (1) year following Project completion, and the
maturity of the loan shall be no later than twenty (20) years following the date the Project is
completed.
       2.      The loan shall be secured with a lien on the revenues of the Applicant’s water, sewer,
and gas systems and the proceeds of a 4/10ths of one cent sales tax, and may include a mortgage on
the Applicant's water and sewer systems and other real property.
        3.     In accordance with applicable authority and United States Environmental Protection
Agency (“EPA”) guidelines for implementation of the American Recovery and Reinvestment Act of
2009 (“ARRA”), other funds available through ARRA (“ARRA Funds”) may be provided to
Applicant. The ARRA Funds, if any, shall be used to pay a portion of the costs of the Project
described in the Application or for other purposes authorized by applicable authority and EPA
guidelines. In conjunction with the loan, ARRA Funds may be provided in an amount not less than
20% of the cost of the Project. If additional ARRA Funds become available for Applicant, then
supplementary ARRA Funds may be provided to Applicant in an amount to be determined by Board
staff, provided the total amount of all ARRA Funds provided to Applicant shall not exceed
$2,000,000.00.
        4.      Upon the Applicant's acceptance of the Board's Letter of Binding Commitment, the
funds shall be reserved for the Applicant until November 30, 2009. In the event the Funding
transaction is not closed on or before such date, the Board reserves the right to (i) approve, at the
Applicant’s request, a reasonable extension of time to close the transaction, or (ii) de-obligate all or
a portion of the funds in order to be used by the Board to make other financial assistance, either as
the Board determines shall permit the best use of the funds. Funds shall be provided to the Applicant
in accordance with the CWSRF program regulations and applicable regulations and/or guidance for
implementation of the ARRA as approved by the EPA.
        5.     The Board's Staff is authorized to determine what additional conditions or
requirements shall be necessary in order to assure the soundness of the Funding transaction and
compliance with applicable financial, legal, and CWSRF requirements. The Board’s Staff is further
authorized to approve future modifications or additions to the project purposes and uses of funds
approved herein, provided such modifications or additions will not materially and adversely affect
the loan.
        6.      The Funding shall be subject in all respects to the provisions of the Applicant’s
promissory note(s), loan agreement(s), and other documents which shall be executed by proper
officials of the Applicant and a Board Member at or prior to Funding transaction closing as
appropriate.
       7.       Additional financial assistance may be made at such times, for such projects of the
Applicant, at such repayment periods and interest rates, and upon such other terms and conditions as
may be agreed to and approved by the Board and the Applicant.
       8.     The ARRA Funds portion of this transaction, if any, is contingent upon receipt by the
Board of the monies to fund the ARRA from the United States Environmental Protection Agency.




                                                   2

                                                                                                           2020
ORDER APPROVING FUNDING APPLICATION
Grove Municipal Services Authority
ORF-07-0008-CW



      So ordered this 14th day of July 2009, in regular and open meeting of the Oklahoma Water
Resources Board.

                                           OKLAHOMA WATER RESOURCES BOARD



                                           Jess Mark Nichols, Vice Chairman

ATTEST:



Linda P. Lambert, Secretary

(SEAL)



Reviewed By:


               /s/
Joe Freeman, Chief
Financial Assistance Division




                                              3

                                                                                                 2021
   Financial Assistance Division                                                  Agenda Item 2.F.
   July 14, 2009

                                 LOAN APPLICATION
                             RECOMMENDED FOR APPROVAL

Applicant:                 Rural Water District #8, McCurtain County

Application No.:           ORF-09-0019-DW
                           Drinking Water State Revolving Fund Loan (“DWSRF Loan”) and American
                           Recovery and Reinvestment Act (“ARRA Funds”)

Funding Requested:         $7,038,410.00 DWSRF Loan and ARRA Funds

Loan Interest Rate:        The DWSRF Loan shall bear a fixed interest rate to be determined prior
                           to loan closing plus an administrative fee of 0.5% per annum, all on the
                           outstanding principal balance of the loan.

Loan Payment Term:         Interest, administrative fee, and principal payments shall be made on a
                           semi-annual basis. The Applicant shall commence principal repayment
                           no later than one (1) year following Project completion, and the maturity
                           of the loan shall be no later than thirty (30) years following the date the
                           Project is completed.

Loan Security Position:    The DWSRF loan shall be secured with a lien on the revenues of the
                           Applicant's water system, and may include a mortgage on the Applicant's
                           water system and other real property.

Allocation of Funds:       The loan funds shall be provided from the DWSRF and other funds, if
                           any, shall be provided from the ARRA.

Purpose:                   The applicant will utilize the funding proceeds to: (i) construct a 700-
                           gpm membrane filtration water treatment plant and building; and (ii) pay
                           related costs of issuance. The project consists of construction of a 1,440-
                           gpm raw water pump station, a sedimentation basin, membrane units,
                           back wash pumps, chemical feed systems, a 800-gpm high service pump
                           station to serve the West side distribution system, a 200-gpm high service
                           pump to serve the East side distribution system; a one million gallon
                           clearwell, and one 550-gpm booster pump station and appurtenances.

               Sources of Funds                                            Uses of Funds
   DWSRF Loan and ARRA Funds    $7,038,410.00                   Project                $6,940,000.00
                                                                Local Counsel              48,830.00
                                                                Bond Counsel               48,830.00
                                                                Admin. & Misc.                750.00
   Total                            $7,038,410.00               Total                  $7,038,410.00




                                                                                                         2022
                BEFORE THE OKLAHOMA WATER RESOURCES BOARD
                             STATE OF OKLAHOMA

IN THE MATTER OF FUNDING APPLICATION                     )
NO. ORF-09-0019-DW IN THE NAME OF                         )
RURAL WATER DISTRICT #8                                  )
MCCURTAIN COUNTY, OKLAHOMA                                )

                                    PROPOSED
                       ORDER APPROVING FUNDING APPLICATION

      This matter came on for consideration before the Oklahoma Water Resources Board (the
"Board") on the 14th day of July 2009.
       WHEREAS, Rural Water District #8, McCurtain County (the "Applicant") has made its
Application for Funding No. ORF-09-0019-DW (the “Application”) to the Board and to the
Oklahoma Department of Environmental Quality (the “DEQ”) for financial assistance from the
Drinking Water Treatment Revolving Loan Account (the “DWSRF”), pursuant to Title 82
Oklahoma Statutes 2001, Sections 1085.71 et seq, as amended; and
        WHEREAS, the Applicant intends to use the funds for drinking water system improvements
to further compliance with State and Federal standards; and
        WHEREAS, the DEQ has certified the Application with regards to compliance with
applicable technical program requirements and forwarded it to the Board with a recommendation
that the Application be considered and approved for a DWSRF Loan; and
       WHEREAS, the Board has completed its review of the Application and related information,
and finds that the Application should be approved according to the terms and conditions set forth
below.
    NOW, THEREFORE, LET IT BE RESOLVED AND ORDERED BY THE OKLAHOMA
WATER RESOURCES BOARD:
        Application for Funding No. ORF-09-0019-DW in the name of the Rural Water District #8,
McCurtain County be and the same is hereby approved. Subject to and contingent upon the Board’s
receipt of sufficient funds, financial assistance consisting of either (i) a loan or (ii) a loan and other
funds, at the option of the Applicant (the “Funding”), shall be made to the Applicant for the
following purpose and subject to the following terms and conditions:
Purpose
        The Funding proceeds, along with other funds of the Applicant, if any, will be used to (i)
construct a 700-gpm membrane filtration water treatment plant and building (the “Project”) and (ii)
pay related costs of issuance, all as more specifically set forth in the Loan Application. The project
includes construction of a 1,440-gpm raw water pump station, a sedimentation basin, membrane
units, back wash pumps, chemical feed systems, a 800-gpm high service pump station to serve the
West side distribution system, a 200-gpm high service pump to serve the East side distribution




                                                                                                             2023
ORDER APPROVING FUNDING APPLICATION
Rural Water District #8, McCurtain County
ORF-09-0019-DW

system; a one million gallon clearwell, and one 550-gpm booster pump station and all
appurtenances.
Terms and Conditions
        1.      A loan shall be made to the Applicant to provide funds for the Project described in
the Loan Application in an aggregate principal amount not to exceed $7,038,410.00. The Applicant
shall pay interest on the loan at a fixed rate to be determined prior to closing plus an administrative
fee at the rate of 0.5% per annum, all on the outstanding balance of disbursed loan proceeds.
Interest, administrative fee, and any principal payments shall be made on a semi-annual basis. The
Applicant shall commence principal repayment no later than one (1) year following Project
completion, and the maturity of the loan shall be no later than thirty (30) years following the date the
Project is completed.
      2.      The loan shall be secured with a lien on the revenues of the Applicant's water system,
and may include a mortgage on the Applicant's water system and other real property.
       3.      In accordance with applicable authority and United States Environmental Protection
Agency (“EPA”) guidelines for implementation of the American Recovery and Reinvestment Act of
2009 (“ARRA”), other funds available through ARRA (“ARRA Funds”) may be provided to
Applicant. The ARRA Funds, if any, shall be used to pay a portion of the costs of the Project
described in the Application or for other purposes authorized by applicable authority and EPA
guidelines. In conjunction with the loan, ARRA Funds may be provided in an amount not less than
20% of the cost of the Project. If additional ARRA Funds become available for the Applicant,
supplementary ARRA Funds may be provided to the Applicant in an amount to be determined by
Board staff, provided the total amount of all ARRA Funds provided to the Applicant shall not
exceed $2,000,000.00.
        4.       Upon the Applicant's acceptance of the DEQ's Letter of Binding Commitment, the
funds shall be reserved for the Applicant until November 30, 2009. In the event the Funding is not
closed on or before such date, the Board reserves the right to (i) approve, at the Applicant’s request,
a reasonable extension of time to close the loan, or (ii) de-obligate all or a portion of the loan funds
in order to be used by the Board to make other DWSRF loans, as the Board determines shall permit
the best use of the funds. Funds shall be provided to the Applicant in accordance with the DWSRF
program regulations and applicable regulations and/or guidance for implementation of the ARRA as
approved by the EPA.
        5.     The Board's Staff is authorized to determine what additional conditions or
requirements shall be necessary in order to assure the soundness of the Funding transaction and
compliance with applicable financial, legal, and DWSRF requirements. The Board’s Staff is further
authorized to approve future modifications or additions to the project purposes and uses of funds
approved herein, provided such modifications or additions will not materially and adversely affect
the loan.
        6.      The Funding shall be subject in all respects to the provisions of the Applicant’s
promissory note(s), loan agreement(s), and other loan documents which shall be executed by proper
officials of the Applicant and a Board Member at or prior to Funding transaction closing as
appropriate.



                                                   2

                                                                                                           2024
ORDER APPROVING FUNDING APPLICATION
Rural Water District #8, McCurtain County
ORF-09-0019-DW

       7.       Additional financial assistance may be made at such times, for such projects of the
Applicant, at such repayment periods and interest rates, and upon such other terms and conditions as
may be agreed to and approved by the Board and the Applicant.
       8.     The ARRA Funds portion of this transaction, if any, is contingent upon receipt by the
Board of the monies to fund the ARRA from the United State Environmental Protection Agency.
      So ordered this 14th day of July 2009, in regular and open meeting of the Oklahoma Water
Resources Board.

                                              OKLAHOMA WATER RESOURCES BOARD



                                              Jess Mark Nichols, Vice Chairman

ATTEST:



Linda P. Lambert, Secretary

(SEAL)



Reviewed By:


               /s/
Joe Freeman, Chief
Financial Assistance Division




                                                 3

                                                                                                       2025
   Financial Assistance Division                                                   Agenda Item 2.G.
   July 14, 2009

                                 LOAN APPLICATION
                             RECOMMENDED FOR APPROVAL

Applicant:                 Bartlesville Municipal Authority, Washington County

Application No.:           ORF-09-0003-DW
                           Drinking Water State Revolving Fund Loan (“DWSRF Loan”) and American
                           Recovery and Reinvestment Act (“ARRA Funds”)

Funding Requested:         $9,820,000.00 DWSRF Loan and ARRA Funds

Loan Interest Rate:        The DWSRF Loan shall bear a fixed interest rate to be determined prior
                           to loan closing plus an administrative fee of 0.5% per annum, all on the
                           outstanding principal balance of the loan.

Loan Payment Term:         Interest, administrative fee, and principal payments shall be made on a
                           semi-annual basis. The Applicant shall commence principal repayment
                           no later than one (1) year following Project completion, and the maturity
                           of the loan shall be no later than thirty (30) years following the date the
                           Project is completed.

Loan Security Position:    The DWSRF loan shall be secured with a lien on the revenues of the
                           Applicant's water system, and may include a mortgage on the Applicant's
                           water system and other real property.

Allocation of Funds:       The loan funds shall be provided from the DWSRF and other funds, if any,
                           shall be provided from the ARRA.

Purpose:                   The applicant will utilize the funding proceeds to: (i) demolish two
                           existing water storage tanks and an old water treatment plant; construct a
                           new 4 MG water storage tank, 4,550 feet of 36 inch water line, a new 1
                           MG elevated water storage tank, and a 20 inch supply line; renovate a
                           pump station; install onsite power generation for three booster pump
                           stations; clean old residual lagoons; and (ii) pay related costs of issuance.

                Sources of Funds                                      Uses of Funds
    DWSRF Loan and ARRA Funds $9,820,000.00               Project                 $9,664,000.00
                                                          Bond Counsel                75,500.00
                                                          Financial Advisor           75,500.00
                                                          Admin. & Misc.               5,000.00
    Total                             $9,820,000.00       Total                   $9,820,000.00




                                                                                                           2026
                BEFORE THE OKLAHOMA WATER RESOURCES BOARD
                             STATE OF OKLAHOMA

IN THE MATTER OF FUNDING APPLICATION                      )
NO. ORF-09-0003-DW IN THE NAME OF                         )
BARTLESVILLE MUNICIPAL AUTHORITY                          )
WASHINGTON COUNTY, OKLAHOMA                               )

                                    PROPOSED
                       ORDER APPROVING FUNDING APPLICATION

      This matter came on for consideration before the Oklahoma Water Resources Board (the
"Board") on the 14th day of July 2009.
       WHEREAS, Bartlesville Municipal Authority (the "Applicant") has made its Application for
Funding No. ORF-09-0003-DW (the “Application”) to the Board and to the Oklahoma Department
of Environmental Quality (the “DEQ”) for financial assistance from the Drinking Water Treatment
Revolving Loan Account (the “DWSRF”), pursuant to Title 82 Oklahoma Statutes 2001, Sections
1085.71 et seq, as amended; and
        WHEREAS, the Applicant intends to use the funds for drinking water system improvements
to further compliance with State and Federal standards; and
        WHEREAS, the DEQ has certified the Application with regards to compliance with
applicable technical program requirements and forwarded it to the Board with a recommendation
that the Application be considered and approved for a DWSRF Loan; and
       WHEREAS, the Board has completed its review of the Application and related information,
and finds that the Application should be approved according to the terms and conditions set forth
below.
    NOW, THEREFORE, LET IT BE RESOLVED AND ORDERED BY THE OKLAHOMA
WATER RESOURCES BOARD:
        Application for Funding No. ORF-09-0003-DW in the name of the Bartlesville Municipal
Authority be and the same is hereby approved. Subject to and contingent upon the Board’s receipt
of sufficient funds, financial assistance consisting of either (i) a loan or (ii) a loan and other funds, at
the option of the Applicant (the “Funding”), shall be made to the Applicant for the following
purpose and subject to the following terms and conditions:
Purpose
        The Funding proceeds, along with other funds of the Applicant, if any, will be used to (i)
demolish two existing water storage tanks and an old water treatment plant; construct a new 4 MG
water storage tank, 4,550 feet of 36 inch water line, a new 1 MG elevated water storage tank, and a
20 inch supply line; renovate a pump station; install onsite power generation for three booster pump
stations; clean old residual lagoons (the “Project”) and (ii) pay related costs of issuance, all as more
specifically set forth in the Application.




                                                                                                               2027
ORDER APPROVING FUNDING APPLICATION
Bartlesville Municipal Authority
ORF-09-0003-DW

Terms and Conditions
        1.      A loan shall be made to the Applicant to provide funds for the Project described in
the Loan Application in an aggregate principal amount not to exceed $9,820,000.00. The Applicant
shall pay interest on the loan at a fixed rate to be determined prior to closing plus an administrative
fee at the rate of 0.5% per annum, all on the outstanding balance of disbursed loan proceeds.
Interest, administrative fee, and any principal payments shall be made on a semi-annual basis. The
Applicant shall commence principal repayment no later than one (1) year following Project
completion, and the maturity of the loan shall be no later than thirty (30) years following the date the
Project is completed.
      2.      The loan shall be secured with a lien on the revenues of the Applicant's water system,
and may include a mortgage on the Applicant's water system and other real property.
       3.      In accordance with applicable authority and United States Environmental Protection
Agency (“EPA”) guidelines for implementation of the American Recovery and Reinvestment Act of
2009 (“ARRA”), other funds available through ARRA (“ARRA Funds”) may be provided to
Applicant. The ARRA Funds, if any, shall be used to pay a portion of the costs of the Project
described in the Application or for other purposes authorized by applicable authority and EPA
guidelines. In conjunction with the loan, ARRA Funds may be provided in an amount not less than
20% of the cost of the Project. If additional ARRA Funds become available for the Applicant,
supplementary ARRA Funds may be provided to the Applicant in an amount to be determined by
Board staff, provided the total amount of all ARRA Funds provided to the Applicant shall not
exceed $2,000,000.00.
        4.       Upon the Applicant's acceptance of the DEQ's Letter of Binding Commitment, the
funds shall be reserved for the Applicant until November 30, 2009. In the event the Funding is not
closed on or before such date, the Board reserves the right to (i) approve, at the Applicant’s request,
a reasonable extension of time to close the loan, or (ii) de-obligate all or a portion of the loan funds
in order to be used by the Board to make other DWSRF loans, as the Board determines shall permit
the best use of the funds. Funds shall be provided to the Applicant in accordance with the DWSRF
program regulations and applicable regulations and/or guidance for implementation of the ARRA as
approved by the EPA.
        5.     The Board's Staff is authorized to determine what additional conditions or
requirements shall be necessary in order to assure the soundness of the Funding transaction and
compliance with applicable financial, legal, and DWSRF requirements. The Board’s Staff is further
authorized to approve future modifications or additions to the project purposes and uses of funds
approved herein, provided such modifications or additions will not materially and adversely affect
the loan.
        6.      The Funding shall be subject in all respects to the provisions of the Applicant’s
promissory note(s), loan agreement(s), and other loan documents which shall be executed by proper
officials of the Applicant and a Board Member at or prior to Funding transaction closing as
appropriate.
       7.       Additional financial assistance may be made at such times, for such projects of the
Applicant, at such repayment periods and interest rates, and upon such other terms and conditions as
may be agreed to and approved by the Board and the Applicant.


                                                   2

                                                                                                           2028
ORDER APPROVING FUNDING APPLICATION
Bartlesville Municipal Authority
ORF-09-0003-DW

       8.     The ARRA Funds portion of this transaction, if any, is contingent upon receipt by the
Board of the monies to fund the ARRA from the United State Environmental Protection Agency.
      So ordered this 14th day of July 2009, in regular and open meeting of the Oklahoma Water
Resources Board.

                                             OKLAHOMA WATER RESOURCES BOARD



                                             Jess Mark Nichols, Vice Chairman

ATTEST:



Linda P. Lambert, Secretary

(SEAL)



Reviewed By:


                /s/
Joe Freeman, Chief
Financial Assistance Division




                                                3

                                                                                                      2029
   Financial Assistance Division                                                Agenda Item 2.H.
   July 14, 2009

                                 LOAN APPLICATION
                             RECOMMENDED FOR APPROVAL

Applicant:                 Oklahoma City Water Utilities Trust, Oklahoma County

Application No.:           ORF-09-0021-CW
                           Clean Water State Revolving Fund Loan (“CWSRF Loan”) and American
                           Recovery and Reinvestment Act (“ARRA Funds”)

Funding Requested:         $10,000,000.00 CWSRF Loan and ARRA Funds

Loan Interest Rate:        The CWSRF Loan shall bear a fixed interest rate to be determined prior to
                           loan closing plus an administrative fee of 0.5% per annum, all on the
                           outstanding principal balance of the loan.

Loan Payment Term:         Interest, administrative fee, and principal payments shall be made on a semi-
                           annual basis. The Applicant shall commence principal repayment no later
                           than one (1) year following Project completion, and the maturity of the loan
                           shall be no later than twenty (20) years following the date the Project is
                           completed.

Loan Security Position:    The CWSRF loan shall be secured with a lien on the revenues of the
                           Applicant's water and sewer systems and may include a mortgage on the
                           Applicant's water and sewer systems and other real property.

Allocation of Funds:       The loan funds shall be provided from the CWSRF and other funds, if any,
                           shall be provided from the ARRA.

Purpose:                   The Applicant will utilize the funding proceeds to rehabilitate and replace
                           sanitary sewer lines and mains in various locations throughout the City.

                 Sources of Funds                                             Uses of Funds
   CWSRF Loan and ARRA Funds             $10,000,000.00         Project                  $10,000,000.00
   Total                                 $10,000,000.00         Total                    $10,000,000.00




                                                                                                      2030
                BEFORE THE OKLAHOMA WATER RESOURCES BOARD
                             STATE OF OKLAHOMA

IN THE MATTER OF FUNDING APPLICATION                     )
NO. ORF-09-0021-CW IN THE NAME OF                         )
OKLAHOMA CITY WATER UTILITIES TRUST                       )
OKLAHOMA COUNTY, OKLAHOMA                                 )

                                    PROPOSED
                       ORDER APPROVING FUNDING APPLICATION

      This matter came on for consideration before the Oklahoma Water Resources Board (the
"Board") on the 14th day of July.
        WHEREAS, Oklahoma City Water Utilities Trust (the "Applicant") has made its Application
for Funding No. ORF-09-0021-CW (the “Application”) to the Board for financial assistance from
the Clean Water State Revolving Fund (the “CWSRF”) program, pursuant to Title 82 Oklahoma
Statutes Supp. 2002, Sections 1085.51 et seq, as amended; and
        WHEREAS, the Applicant intends to use the funds for wastewater system improvements to
further compliance with State and Federal standards; and
       WHEREAS, the Board has completed its review of the Application and related information,
and finds that the Application should be approved according to the terms and conditions set forth
below.
    NOW, THEREFORE, LET IT BE RESOLVED AND ORDERED BY THE OKLAHOMA
WATER RESOURCES BOARD:
        Application for Funding No. ORF-09-0021-CW in the name of the Oklahoma City Water
Utilities Trust be and the same is hereby approved. Subject to and contingent upon the Board’s
receipt of sufficient funds, financial assistance consisting of either (i) a loan or (ii) a loan and other
funds, at the option of the Applicant (the “Funding”), shall be made to the Applicant for the
following purpose and subject to the following terms and conditions:
Purpose
        The Funding proceeds, along with other funds of the Applicant, if any, will be used to
rehabilitate and replace sanitary sewer lines and mains in various locations throughout the City (the
“Project”) all as more specifically set forth in the Loan Application.
Terms and Conditions
        1.      A loan shall be made to the Applicant to provide funds for the Project described in
the Application in an aggregate principal amount not to exceed $10,000,000.00. The Applicant shall
pay interest on the loan at a fixed rate to be determined prior to closing plus an administrative fee at
the rate of 0.5% per annum, all on the outstanding balance of disbursed loan proceeds. Interest,
administrative fee, and any principal payments shall be made on a semi-annual basis. The Applicant
shall commence principal repayment no later than one (1) year following Project completion, and the




                                                                                                             2031
ORDER APPROVING FUNDING APPLICATION
Oklahoma City Water Utilities Trust
ORF-09-0021-CW

maturity of the loan shall be no later than twenty (20) years following the date the Project is
completed.
        2.     The loan shall be secured with a lien on the revenues of the Applicant's water and
sewer systems and may include a mortgage on the Applicant's water and sewer systems and other
real property.
       3.      In accordance with applicable authority and United States Environmental Protection
Agency (“EPA”) guidelines for implementation of the American Recovery and Reinvestment Act of
2009 (“ARRA”), other funds available through ARRA (“ARRA Funds”) may be provided to
Applicant. The ARRA Funds, if any, shall be used to pay a portion of the costs of the Project
described in the Application or for other purposes authorized by applicable authority and EPA
guidelines. In conjunction with the loan, ARRA Funds may be provided in an amount not less than
20% of the cost of the Project. If additional ARRA Funds become available for the Applicant,
supplementary ARRA Funds may be provided to the Applicant in an amount to be determined by
Board staff, provided the total amount of all ARRA Funds provided to the Applicant shall not
exceed $2,000,000.00.
        4.      Upon the Applicant's acceptance of the Board's Letter of Binding Commitment, the
funds shall be reserved for the Applicant until November 30, 2009. In the event the Funding is not
closed on or before such date, the Board reserves the right to (i) approve, at the Applicant’s request,
a reasonable extension of time to close the loan, or (ii) de-obligate all or a portion of the loan funds
in order to be used by the Board to make other financial assistance, as the Board determines shall
permit the best use of the funds. Funds shall be provided to the Applicant in accordance with the
CWSRF program regulations and applicable regulations and/or guidance for implementation of the
ARRA as approved by the EPA.
        5.     The Board's Staff is authorized to determine what additional conditions or
requirements shall be necessary in order to assure the soundness of the Funding transaction and
compliance with applicable financial, legal, and CWSRF requirements. The Board’s Staff is further
authorized to approve future modifications or additions to the project purposes and uses of funds
approved herein, provided such modifications or additions will not materially and adversely affect
the loan.
        6.      The Funding shall be subject in all respects to the provisions of the Applicant’s
promissory note(s), loan agreement(s), and other loan documents which shall be executed by proper
officials of the Applicant and a Board Member at or prior to Funding transaction closing as
appropriate.
       7.       Additional financial assistance may be made at such times, for such projects of the
Applicant, at such repayment periods and interest rates, and upon such other terms and conditions as
may be agreed to and approved by the Board and the Applicant.
       8.     The ARRA Funds portion of this transaction, if any, is contingent upon receipt by the
Board of the monies to fund the ARRA from the United State Environmental Protection Agency.




                                                   2

                                                                                                           2032
ORDER APPROVING FUNDING APPLICATION
Oklahoma City Water Utilities Trust
ORF-09-0021-CW



      So ordered this 14th day of July, in regular and open meeting of the Oklahoma Water
Resources Board.

                                         OKLAHOMA WATER RESOURCES BOARD



                                         Jess Mark Nichols, Vice Chairman

ATTEST:



Linda P. Lambert, Secretary

(SEAL)



Reviewed By:


               /s/
Joe Freeman, Chief
Financial Assistance Division




                                           3

                                                                                            2033
   Financial Assistance Division                                                   Agenda Item 2.I.
   July 14, 2009

                                 LOAN APPLICATION
                             RECOMMENDED FOR APPROVAL

Applicant:                 Norman Utilities Authority, Cleveland County

Application No.:           ORF-09-0021-DW
                           Drinking Water State Revolving Fund Loan (“DWSRF Loan”) and American
                           Recovery and Reinvestment Act (“ARRA Funds”)

Funding Requested:         $14,000,000.00 DWSRF Loan and ARRA Funds

Loan Interest Rate:        The DWSRF Loan shall bear a fixed interest rate to be determined prior
                           to loan closing plus an administrative fee of 0.5% per annum, all on the
                           outstanding principal balance of the loan.

Loan Payment Term:         Interest, administrative fee, and principal payments shall be made on a
                           semi-annual basis. The Applicant shall commence principal repayment
                           no later than one (1) year following Project completion, and the maturity
                           of the loan shall be no later than thirty (30) years following the date the
                           Project is completed.

Loan Security Position:    The DWSRF loan shall be secured with a lien on the revenues of the
                           Applicant's water and sewer systems and may include a mortgage on the
                           Applicant's water and sewer systems and other real property.

Allocation of Funds:       The loan funds shall be provided from the DWSRF and other funds, if any,
                           shall be provided from the ARRA.

Purpose:                   The applicant will utilize the funding proceeds to: (i) make improvements
                           to the water treatment plant by installing a new clarifier, new chemical
                           feed systems, an emergency generator, SCADA and process control
                           equipment, and yard piping; constructing an electrical building and a
                           chemical building; and replacing the filter media; and (ii) pay related
                           costs of issuance.

                Sources of Funds                                           Uses of Funds
   DWSRF Loan and ARRA Funds     $14,000,000.00                Project                $13,844,993.20
                                                               Bond Counsel               102,600.00
                                                               Financial Advisor           49,000.00
                                                               Admin. & Misc.               3,406.80
   Total                               $14,000,000.00          Total                  $14,000,000.00




                                                                                                         2034
                BEFORE THE OKLAHOMA WATER RESOURCES BOARD
                             STATE OF OKLAHOMA

IN THE MATTER OF FUNDING APPLICATION                      )
NO. ORF-09-0021-DW IN THE NAME OF                          )
NORMAN UTILITIES AUTHORITY                                 )
CLEVELAND COUNTY, OKLAHOMA                                 )

                                    PROPOSED
                       ORDER APPROVING FUNDING APPLICATION

      This matter came on for consideration before the Oklahoma Water Resources Board (the
"Board") on the 14th day of July, 2009
       WHEREAS, Norman Utilities Authority (the "Applicant") has made its Application for
Funding No. ORF-09-0021-DW(the “Application”) to the Board and to the Oklahoma Department
of Environmental Quality (the “DEQ”) for financial assistance from the Drinking Water Treatment
Revolving Loan Account (the “DWSRF”), pursuant to Title 82 Oklahoma Statutes 2001, Sections
1085.71 et seq, as amended; and
        WHEREAS, the Applicant intends to use the funds for drinking water system improvements
to further compliance with State and Federal standards; and
        WHEREAS, the DEQ has certified the Application with regards to compliance with
applicable technical program requirements and forwarded it to the Board with a recommendation
that the Application be considered and approved for a DWSRF Loan; and
       WHEREAS, the Board has completed its review of the Application and related information,
and finds that the Application should be approved according to the terms and conditions set forth
below.
    NOW, THEREFORE, LET IT BE RESOLVED AND ORDERED BY THE OKLAHOMA
WATER RESOURCES BOARD:
        Application for Funding No. ORF-09-0021-DW in the name of the Norman Utilities
Authority be and the same is hereby approved. Subject to and contingent upon the Board’s receipt
of sufficient funds, financial assistance consisting of either (i) a loan or (ii) a loan and other funds, at
the option of the Applicant (the “Funding”), shall be made to the Applicant for the following
purpose and subject to the following terms and conditions:
Purpose
       The Funding proceeds, along with other funds of the Applicant, if any, will be used to (i)
make improvements to the water treatment plant by installing a new clarifier, new chemical feed
systems, an emergency generator, SCADA and process control equipment, and yard piping;
constructing an electrical building and a chemical building; and replacing the filter media (the
“Project”); and (ii) pay related costs of issuance, all as more specifically set forth in the Application.




                                                                                                               2035
ORDER APPROVING FUNDING APPLICATION
NORMAN UTILITIES AUTHORITY
ORF-09-0021-DW

Terms and Conditions
        1.     A loan shall be made to the Applicant to provide funds for the Project described in
the Loan Application in an aggregate principal amount not to exceed $14,000,000.00. The
Applicant shall pay interest on the loan at a fixed rate to be determined prior to closing plus an
administrative fee at the rate of 0.5% per annum, all on the outstanding balance of disbursed loan
proceeds. Interest, administrative fee, and any principal payments shall be made on a semi-annual
basis. The Applicant shall commence principal repayment no later than one (1) year following
Project completion, and the maturity of the loan shall be no later than thirty (30) years following the
date the Project is completed.
        2.     The loan shall be secured with a lien on the revenues of the Applicant's water and
sewer systems and may include a mortgage on the Applicant's water and sewer systems and other
real property.
       3.      In accordance with applicable authority and United States Environmental Protection
Agency (“EPA”) guidelines for implementation of the American Recovery and Reinvestment Act of
2009 (“ARRA”), other funds available through ARRA (“ARRA Funds”) may be provided to
Applicant. The ARRA Funds, if any, shall be used to pay a portion of the costs of the Project
described in the Application or for other purposes authorized by applicable authority and EPA
guidelines. In conjunction with the loan, ARRA Funds may be provided in an amount not less than
20% of the cost of the Project. If additional ARRA Funds become available for the Applicant,
supplementary ARRA Funds may be provided to the Applicant in an amount to be determined by
Board staff, provided the total amount of all ARRA Funds provided to the Applicant shall not
exceed $2,000,000.00.
        4.       Upon the Applicant's acceptance of the DEQ's Letter of Binding Commitment, the
funds shall be reserved for the Applicant until November 30, 2009. In the event the Funding is not
closed on or before such date, the Board reserves the right to (i) approve, at the Applicant’s request,
a reasonable extension of time to close the loan, or (ii) de-obligate all or a portion of the loan funds
in order to be used by the Board to make other DWSRF loans, as the Board determines shall permit
the best use of the funds. Funds shall be provided to the Applicant in accordance with the DWSRF
program regulations and applicable regulations and/or guidance for implementation of the ARRA as
approved by the EPA.
        5.     The Board's Staff is authorized to determine what additional conditions or
requirements shall be necessary in order to assure the soundness of the Funding transaction and
compliance with applicable financial, legal, and DWSRF requirements. The Board’s Staff is further
authorized to approve future modifications or additions to the project purposes and uses of funds
approved herein, provided such modifications or additions will not materially and adversely affect
the loan.
        6.      The Funding shall be subject in all respects to the provisions of the Applicant’s
promissory note(s), loan agreement(s), and other loan documents which shall be executed by proper
officials of the Applicant and a Board Member at or prior to Funding transaction closing as
appropriate.




                                                   2

                                                                                                           2036
ORDER APPROVING FUNDING APPLICATION
NORMAN UTILITIES AUTHORITY
ORF-09-0021-DW

       7.       Additional financial assistance may be made at such times, for such projects of the
Applicant, at such repayment periods and interest rates, and upon such other terms and conditions as
may be agreed to and approved by the Board and the Applicant.
       8.     The ARRA Funds portion of this transaction, if any, is contingent upon receipt by the
Board of the monies to fund the ARRA from the United State Environmental Protection Agency.
      So ordered this 14th day of July 2009 in regular and open meeting of the Oklahoma Water
Resources Board.

                                              OKLAHOMA WATER RESOURCES BOARD



                                              Jess Mark Nichols, Vice Chairman

ATTEST:



Linda P. Lambert, Secretary

(SEAL)



Reviewed By:


               /s/
Joe Freeman, Chief
Financial Assistance Division




                                                 3

                                                                                                       2037
   Financial Assistance Division                                                  Agenda Item 2.J.
   July 14, 2009

                                 LOAN APPLICATION
                             RECOMMENDED FOR APPROVAL

Applicant:                 Rural Water District No. 3, Washington County

Application No.:           ORF-07-0001-DW
                           Drinking Water State Revolving Fund Loan (“DWSRF Loan”) and American
                           Recovery and Reinvestment Act (“ARRA Funds”)

Funding Requested:         $17,394,645.00 DWSRF Loan and ARRA Funds

Loan Interest Rate:        The DWSRF Loan shall bear a fixed interest rate to be determined prior
                           to loan closing plus an administrative fee of 0.5% per annum, all on the
                           outstanding principal balance of the loan.

Loan Payment Term:         Interest, administrative fee, and principal payments shall be made on a
                           semi-annual basis. The Applicant shall commence principal repayment
                           no later than one (1) year following Project completion, and the maturity
                           of the loan shall be no later than thirty (30) years following the date the
                           Project is completed.

Loan Security Position:    The DWSRF loan shall be secured with a lien on the revenues of the
                           Applicant's water system, and may include a mortgage on the Applicant's
                           water system and other real property.

Allocation of Funds:       The loan funds shall be provided from the DWSRF and other funds, if
                           any, shall be provided from the ARRA.

Purpose:                   The applicant will utilize the funding proceeds to: (i) expand the
                           treatment capacity of the North water treatment plant to a new design
                           capacity of 10.7 MGD and (ii) pay related costs of issuance. The
                           expansion will include the construction of two (2) clarifiers, six (6)
                           filters, pump stations, ultra violet disinfection system, filter building
                           expansion, one (1) million gallon above ground clearwell, four (4) high
                           service pumps, chemical storage building, and other related components.

                Sources of Funds                                       Uses of Funds
   DWSRF Loan and ARRA Funds     $17,394,645.00              Project             $17,146,222.00
                                                             Local Counsel           124,211.00
                                                             Bond Counsel            124,212.00
   Total                               $17,394,645.00        Total               $17,394,645.00




                                                                                                         2038
               BEFORE THE OKLAHOMA WATER RESOURCES BOARD
                            STATE OF OKLAHOMA

IN THE MATTER OF FUNDING APPLICATION                     )
NO. ORF-07-0001-DW IN THE NAME OF                        )
RURAL WATER DISTRICT NO. 3,                              )
WASHINGTON COUNTY, OKLAHOMA                              )

                                   PROPOSED
                      ORDER APPROVING FUNDING APPLICATION

      This matter came on for consideration before the Oklahoma Water Resources Board (the
"Board") on the 14th day of July 2009.
       WHEREAS, Rural Water District No. 3, Washington County (the "Applicant") has made its
Application for Funding No. ORF-07-0001-DW (the “Application”) to the Board and to the
Oklahoma Department of Environmental Quality (the “DEQ”) for financial assistance from the
Drinking Water Treatment Revolving Loan Account (the “DWSRF”), pursuant to Title 82
Oklahoma Statutes 2001, Sections 1085.71 et seq, as amended; and
        WHEREAS, the Applicant intends to use the funds for drinking water system improvements
to further compliance with State and Federal standards; and
        WHEREAS, the DEQ has certified the Application with regards to compliance with
applicable technical program requirements and forwarded it to the Board with a recommendation
that the Application be considered and approved for a DWSRF Loan; and
       WHEREAS, the Board has completed its review of the Application and related information,
and finds that the Application should be approved according to the terms and conditions set forth
below.
    NOW, THEREFORE, LET IT BE RESOLVED AND ORDERED BY THE OKLAHOMA
WATER RESOURCES BOARD:
        Application for Funding No. ORF-07-0001-DW in the name of the Rural Water District No.
3, Washington County be and the same is hereby approved. Subject to and contingent upon the
Board’s receipt of sufficient funds, financial assistance consisting of either (i) a loan or (ii) a loan
and other funds, at the option of the Applicant (the “Funding”), shall be made to the Applicant for
the following purpose and subject to the following terms and conditions:
Purpose
        The Funding proceeds, along with other funds of the Applicant, if any, will be used to (i)
expand the treatment capacity of the North water treatment plant to a new design capacity of 10.7
MGD (the “Project”) and (ii) pay related costs of issuance, all as more specifically set forth in the
Application. The expansion will include the construction of two (2) clarifiers, six (6) filters, pump
stations, ultra violet disinfection system, filter building expansion, one (1) million gallon above
ground clearwell, four (4) high service pumps, chemical storage building, and other related
components.




                                                                                                           2039
ORDER APPROVING FUNDING APPLICATION
Washington Co. RWD No. 3
ORF-07-0001-DW

Terms and Conditions
        1.      A loan shall be made to the Applicant to provide funds for the Project described in
the Loan Application in an aggregate principal amount not to exceed $17,394,645.00. The Applicant
shall pay interest on the loan at a fixed rate to be determined prior to closing plus an administrative
fee at the rate of 0.5% per annum, all on the outstanding balance of disbursed loan proceeds.
Interest, administrative fee, and any principal payments shall be made on a semi-annual basis. The
Applicant shall commence principal repayment no later than one (1) year following Project
completion, and the maturity of the loan shall be no later than thirty (30) years following the date the
Project is completed.
      2.      The loan shall be secured with a lien on the revenues of the Applicant's water system,
and may include a mortgage on the Applicant's water system and other real property.
       3.      In accordance with applicable authority and United States Environmental Protection
Agency (“EPA”) guidelines for implementation of the American Recovery and Reinvestment Act of
2009 (“ARRA”), other funds available through ARRA (“ARRA Funds”) may be provided to
Applicant. The ARRA Funds, if any, shall be used to pay a portion of the costs of the Project
described in the Application or for other purposes authorized by applicable authority and EPA
guidelines. In conjunction with the loan, ARRA Funds may be provided in an amount not less than
20% of the cost of the Project. If additional ARRA Funds become available for the Applicant,
supplementary ARRA Funds may be provided to the Applicant in an amount to be determined by
Board staff, provided the total amount of all ARRA Funds provided to the Applicant shall not
exceed $2,000,000.00.
        4.       Upon the Applicant's acceptance of the DEQ's Letter of Binding Commitment, the
funds shall be reserved for the Applicant until November 30, 2009. In the event the Funding is not
closed on or before such date, the Board reserves the right to (i) approve, at the Applicant’s request,
a reasonable extension of time to close the loan, or (ii) de-obligate all or a portion of the loan funds
in order to be used by the Board to make other DWSRF loans, as the Board determines shall permit
the best use of the funds. Funds shall be provided to the Applicant in accordance with the DWSRF
program regulations and applicable regulations and/or guidance for implementation of the ARRA as
approved by the EPA.
        5.     The Board's Staff is authorized to determine what additional conditions or
requirements shall be necessary in order to assure the soundness of the Funding transaction and
compliance with applicable financial, legal, and DWSRF requirements. The Board’s Staff is further
authorized to approve future modifications or additions to the project purposes and uses of funds
approved herein, provided such modifications or additions will not materially and adversely affect
the loan.
        6.      The Funding shall be subject in all respects to the provisions of the Applicant’s
promissory note(s), loan agreement(s), and other loan documents which shall be executed by proper
officials of the Applicant and a Board Member at or prior to Funding transaction closing as
appropriate.
       7.       Additional financial assistance may be made at such times, for such projects of the
Applicant, at such repayment periods and interest rates, and upon such other terms and conditions as
may be agreed to and approved by the Board and the Applicant.



                                                   2

                                                                                                           2040
ORDER APPROVING FUNDING APPLICATION
Washington Co. RWD No. 3
ORF-07-0001-DW

       8.     The ARRA Funds portion of this transaction, if any, is contingent upon receipt by the
Board of the monies to fund the ARRA from the United State Environmental Protection Agency.
      So ordered this 14th day of July 2009, in regular and open meeting of the Oklahoma Water
Resources Board.

                                             OKLAHOMA WATER RESOURCES BOARD



                                             Jess Mark Nichols, Vice Chairman

ATTEST:



Linda P. Lambert, Secretary

(SEAL)



Reviewed By:


               /s/
Joe Freeman, Chief
Financial Assistance Division




                                                3

                                                                                                      2041
2042
3.C. SUMMARY DISPOSITION AGENDA ITEMS

    FINANCIAL ASSISTANCE DIVISION

              July 14, 2009




                                        3000
   Financial Assistance Division                                                             Agenda Item 3.C.1.
   July 14, 2009                                                                                       ASCOG

                                REAP GRANT APPLICATION
                                     RECOMMENDED FOR APPROVAL

APPLICANT: Town of Temple                                                      DATE RECEIVED: 9/2/2008
COUNTY:    Cotton                                                    APPLICATION NUMBER: FAP-08-0032-R

Amount Requested: $99,999.00                                                  Amount Recommended: $97,000.00

PROJECT DESCRIPTION: The Temple Utilities Authority provides water service to the residents of the
Town of Temple. The Authority maintains a water treatment plant which draws raw water from either
Waurika Lake or Temple Lake. The Oklahoma Department of Environmental Quality has issued a Consent
Order to the Authority for exceeding the maximum contaminant level (MCL) of the disinfection byproduct
TTHM. The Authority has proposed to resolve this problem by making modifications to the distribution
system, including improvements to the existing storage facilities, to reduce turn over time. The proposed
project consists of rehabilitating the existing standpipe, modifying the existing clear well, installing blow-off
hydrants, purchasing monitoring equipment, chemical feed pumps, as well as related construction and
appurtenances. The total estimated project cost is $104,292.34, with funding provided by local funds of
$7,292.34, and a request for $97,000.00 of the remaining available OWRB REAP Grant funds.


                                                                                                        Priority
                                                Priority Ranking
                                                                                                         Points
   Population 1148 (Maximum: 55 points)                                                                       55
   WATER AND SEWER RATE STRUCTURE (Maximum: 13 points)

   Water rate per 5,000 gal/month:          $      34.22            (_)   Flat rate           -3
   Sewer rate per 5,000 gal/month:                  8.00            (_)   Decreasing Block    -2
                             Total          $      42.22            (_)   Uniform              0              12
                                                                    (x)   Increasing Block    +2
                                                        10 points   (_)   Sales tax (W/S)     +1

   INDEBTEDNESS PER CUSTOMER (Maximum: 10 points)
   Total Indebtedness:           $ 61,525.00
   Monthly Debt Payment:         $  3,185.00                                                                   3
   Number of Customers:                 524
   Monthly Payment Per Customer: $      6.08

   MEDIAN HOUSEHOLD INCOME $                        18,864.00                    (Maximum: 10 points)          7
   ABILITY TO FINANCE PROJECT (Maximum: 12 points)
                                                                                                               4
           FP       =($97,000.00)(0.1102) =   $ 1.69
                            (524)(12)
   AMOUNT OF GRANT REQUESTED (Maximum: 5 points)
                                                                                                               1
        AR    =     $97,000.00
   REQUEST NUMBER                     3                                                                        -8

   ENFORCMENT ORDER                   Yes                       (Maximum: 5 points)                            5

   BENEFIT OF PROJECT TO OTHER SYSTEMS                              No                                         0

                                                                            TOTAL PRIORITY POINTS             79



                                                                                                                    3001
                BEFORE THE OKLAHOMA WATER RESOURCES BOARD
                             STATE OF OKLAHOMA

IN THE MATTER OF REAP GRANT APPLICATION                     )
NO. FAP-08-0032-R IN THE NAME OF THE                        )
TOWN OF TEMPLE, COTTON COUNTY,                              )
OKLAHOMA.                                                   )


                                         PROPOSED
                    ORDER APPROVING REAP GRANT APPLICATION

        This matter came on for consideration before the Oklahoma Water Resources Board on
the 14th day of July 2009. The Board finds that since the application for this grant has received a
priority ranking of 79 points under Chapter 50 of the Board's Rules and that since sufficient
funds are available in the REAP Grant Account of the Water Resources Fund, the grant
application for an amount not to exceed $97,000.00 should be approved to be advanced for the
following purpose and subject to the following conditions:

Conditions:
1.     The amount of the REAP grant shall not exceed $97,000.00.

2.     REAP Grant funds shall be deposited in a separate account with a federally insured
       financial institution.

3.     Applicants who have raised water and/or sewer rates resulting in an advancement in
       position of priority for assistance shall not modify those rates after receipt of the REAP
       grant without the prior written consent of the Board, unless such modification would not
       result in a change in position of priority.

4.     The applicant shall fully document disbursement of REAP grant funds as required by the
       Board or its staff. Further, applicant shall maintain proper books, records, and supporting
       documentation, and make the same available for inspection by the Board or its staff.
       Disbursement of grant funds without supporting documentation shall be considered and
       deemed unauthorized expenditure of grant funds.

5.     The applicant shall return any unexpended REAP grant funds to the Board within thirty
       (30) days of completion of the project or within thirty (30) days from the applicant's
       receipt of all invoices, whichever is later.




                                                                                                      3002
Town of Temple
OWRB REAP Grant No. FAP-08-0032-R



6.    The project shall consist of rehabilitating the existing standpipe, modifying the existing
      clear well, installing blow-off hydrants, purchasing monitoring equipment, chemical feed
      pumps, as well as other related construction and necessary appurtenances, as more fully
      described in the engineering report included in applicant’s grant application. Applicant is
      authorized to expend the REAP grant funds only for purposes of completing such project.
      The applicant shall return or otherwise pay to the Board, any REAP grant funds expended
      for unauthorized or unallowable purposes. Any funds due to be returned by the applicant
      under this paragraph shall additionally bear interest at the maximum rate allowed by law
      until repaid in full. Whenever there is any doubt as to whether an expenditure is
      authorized, the applicant shall consult with Board staff and obtain staff's answer before
      making the expenditure.

7.    Furthermore, prior to and during the construction period, Town of Temple is required to
      comply with the requirements of all applicable federal and state statutory provisions and
      all Oklahoma Water Resources Board rules, regulations and grant policies.

      SO ORDERED this 14th day of July 2009, in regular and open meeting of the Oklahoma
Water Resources Board.

                                                   OKLAHOMA          WATER        RESOURCES
                                                   BOARD


                                                   ____________________________________
                                                   Jess Mark Nichols, Vice Chairman

ATTEST:


___________________________________
Linda P. Lambert, Secretary

(SEAL)

Reviewed by:


___________________________________
                  /s/
Joe Freeman, Chief
Financial Assistance Division




                                                                                                    3003
   Financial Assistance Division                                                               Agenda Item 3.C.2.
   July 14, 2009                                                                                         INCOG

                                REAP GRANT APPLICATION
                                     RECOMMENDED FOR APPROVAL

APPLICANT: Kellyville Public Works Authority                                    DATE RECEIVED: 8/29/2008
COUNTY:    Creek                                                       APPLICATION NUMBER: FAP-08-0023-R

Amount Requested: $99,990.00                                                    Amount Recommended: $99,990.00

PROJECT DESCRIPTION: The Kellyville Public Works Authority provides sanitary sewer service to the
Town of Kellyville. The system experiences chronic overflows which have resulted in the Authority
entering into a Consent Order with the Oklahoma Department of Environmental Quality. As a condition of
the Consent Order, the Authority conducted a Sanitary Sewer Evaluation Study (SSES) to provide a
recommended solution for the bypasses. The Authority has proposed to resolve the problem by completing
the repairs identified in the SSES. The proposed project consists of constructing approximately 1,000 LF of
10-inch sanitary sewer line and all related construction and appurtenances. The total estimated project cost is
$99,990.00 which is the amount of the requested OWRB REAP grant.


                                                                                                          Priority
                                                Priority Ranking
                                                                                                           Points
   Population 890 (Maximum: 55 points)                                                                          55
   WATER AND SEWER RATE STRUCTURE (Maximum: 13 points)

   Water rate per 5,000 gal/month:          $        n/a              (_)   Flat rate           -3
   Sewer rate per 5,000 gal/month:                 16.00              (_)   Decreasing Block    -2
                             Total          $      16.00              (_)   Uniform              0               7
                                                                      (_)   Increasing Block    +2
                                                           6 points   (x)   Sales tax (W/S)     +1

   INDEBTEDNESS PER CUSTOMER (Maximum: 10 points)
   Total Indebtedness:           $    0.00
   Monthly Debt Payment:         $    0.00                                                                       0
   Number of Customers:                333
   Monthly Payment Per Customer: $    0.00

   MEDIAN HOUSEHOLD INCOME $                        30,688.00                      (Maximum: 10 points)          4
   ABILITY TO FINANCE PROJECT (Maximum: 12 points)
                                                                                                                 6
           FP       =($99,990.00)(0.1102) =   $ 2.76
                            (333)(12)
   AMOUNT OF GRANT REQUESTED (Maximum: 5 points)
                                                                                                                 1
        AR    =     $99,990.00
   REQUEST NUMBER                     1                                                                          0

   ENFORCMENT ORDER                   Yes                       (Maximum: 5 points)                              5

   BENEFIT OF PROJECT TO OTHER SYSTEMS                                No                                         0

                                                                              TOTAL PRIORITY POINTS             78




                                                                                                                 3004
                BEFORE THE OKLAHOMA WATER RESOURCES BOARD
                             STATE OF OKLAHOMA

IN THE MATTER OF REAP GRANT APPLICATION                     )
NO. FAP-08-0023-R IN THE NAME OF THE                        )
KELLYVILLE PUBLIC WORKS AUTHORITY,                          )
CREEK COUNTY, OKLAHOMA.                                     )


                                         PROPOSED
                    ORDER APPROVING REAP GRANT APPLICATION

        This matter came on for consideration before the Oklahoma Water Resources Board on
the 14th day of July 2009. The Board finds that since the application for this grant has received a
priority ranking of 78 points under Chapter 50 of the Board's Rules and that since sufficient
funds are available in the REAP Grant Account of the Water Resources Fund, the grant
application for an amount not to exceed $99,990.00 should be approved to be advanced for the
following purpose and subject to the following conditions:

Conditions:
1.     The amount of the REAP grant shall not exceed $99,990.00.

2.     REAP Grant funds shall be deposited in a separate account with a federally insured
       financial institution.

3.     Applicants who have raised water and/or sewer rates resulting in an advancement in
       position of priority for assistance shall not modify those rates after receipt of the REAP
       grant without the prior written consent of the Board, unless such modification would not
       result in a change in position of priority.

4.     The applicant shall fully document disbursement of REAP grant funds as required by the
       Board or its staff. Further, applicant shall maintain proper books, records, and supporting
       documentation, and make the same available for inspection by the Board or its staff.
       Disbursement of grant funds without supporting documentation shall be considered and
       deemed unauthorized expenditure of grant funds.

5.     The applicant shall return any unexpended REAP grant funds to the Board within thirty
       (30) days of completion of the project or within thirty (30) days from the applicant's
       receipt of all invoices, whichever is later.




                                                                                                      3005
Kellyville PWA
OWRB REAP Grant No. FAP-08-0023-R



6.    The project shall consist of constructing approximately 1,000 LF of 10-inch sanitary
      sewer line as well as other related construction and necessary appurtenances, as more
      fully described in the engineering report included in applicant’s grant application.
      Applicant is authorized to expend the REAP grant funds only for purposes of completing
      such project. The applicant shall return or otherwise pay to the Board, any REAP grant
      funds expended for unauthorized or unallowable purposes. Any funds due to be returned
      by the applicant under this paragraph shall additionally bear interest at the maximum rate
      allowed by law until repaid in full. Whenever there is any doubt as to whether an
      expenditure is authorized, the applicant shall consult with Board staff and obtain staff's
      answer before making the expenditure.

7.    Furthermore, prior to and during the construction period, Kellyville PWA is required to
      comply with the requirements of all applicable federal and state statutory provisions and
      all Oklahoma Water Resources Board rules, regulations and grant policies.

      SO ORDERED this 14th day of July 2009, in regular and open meeting of the Oklahoma
Water Resources Board.

                                                  OKLAHOMA           WATER       RESOURCES
BOARD


                                                  ____________________________________
                                                  Jess Mark Nichols, Vice Chairman

ATTEST:


___________________________________
Linda P. Lambert, Secretary

(SEAL)

Reviewed by:


___________________________________
                 /s/
Joe Freeman, Chief
Financial Assistance Division




                                                                                                   3006
   Financial Assistance Division                                                            Agenda Item 3.C.3.
   July 14, 2009                                                                                       OEDA

                                  REAP GRANT APPLICATION
                                      RECOMMENDED FOR APPROVAL

APPLICANT:        Felt Public Schools                                        DATE RECEIVED: 7/30/2008
COUNTY:           Cimarron                                         APPLICATION NUMBER: FAP-08-0006-R

Amount Requested: $99,999.00                                              Amount Recommended: $77,400.00

PROJECT DESCRIPTION: The Felt Public School serves Pre-K through 12th grade with an enrollment of
86 students, teachers, and staff. The school provides water service to the school buildings and to nine single
family residences owned by the school. Water is supplied from a single well that is more than 40 years old
and pumps sand. Pressure is not dependable and the system experiences excessive sand in the distribution
system. Also, Felt is the only collection of residences between Boise City, OK and Clayton, NM, and there
is no facility to provide water for firefighting equipment in the area. The School proposes to solve their
problem by making improvements to the well and distribution system. The proposed project consists of a
new pressure tank, a new ground storage tank (which will also provide water for firefighting equipment), a
pump station, a new disinfection system, a new pump for the well, reworking the well to minimize sand
production, and installing a new automation system. The total estimated project cost is $149,500.00, with
funding provided by local funds of $72,100.00 and a request for $77,400.00 of the remaining available
OWRB REAP Grant funds.

                                            Priority Ranking                                            Priority
                                                                                                         Points
 Average Daily Membership             71               (Maximum: 50 points)                                  55
 LOCAL TAX LEVIES (MILLS) (Maximum: 13 points)
              56.5% Mills                                                                                        2
 PERCENT OF EXISTING BOND INDEBTEDNESS (Maximum: 11 points)

          69.61 %                                                                                                4
 MEDIAN HOUSEHOLD INCOME                       $ 30,663.00           (Maximum: 10 points)                        4

 ABILITY TO FINANCE PROJECT                   (Maximum: 12 points)

    FP   =     ($77,400.00)(0.1102)        = $ 10.01                                                         12
                   (71)(12)
 AMOUNT OF GRANT REQUESTED (Maximum: 10 points)
                                                                                                                 1
    AR    =     $77,400.00   ; OWRB Loan:          No
 REQUEST NUMBER                       1                                                                          0
 ENFORCEMENT ORDER                No                                                                             0
 BENEFIT OF PROJECT TO OTHER SYSTEMS                          No                                                 0

                                                                        TOTAL PRIORITY POINTS                78




                                                                                                                 3007
                BEFORE THE OKLAHOMA WATER RESOURCES BOARD
                             STATE OF OKLAHOMA

IN THE MATTER OF REAP GRANT APPLICATION                     )
NO. FAP-08-0006-R IN THE NAME OF THE                        )
FELT PUBLIC SCHOOLS, CIMARRON COUNTY,                       )
OKLAHOMA.                                                   )


                                         PROPOSED
                    ORDER APPROVING REAP GRANT APPLICATION

        This matter came on for consideration before the Oklahoma Water Resources Board on
the 14th day of July 2009. The Board finds that since the application for this grant has received a
priority ranking of 78 points under Chapter 50 of the Board's Rules and that since sufficient
funds are available in the REAP Grant Account of the Water Resources Fund, the grant
application for an amount not to exceed $77,400.00 should be approved to be advanced for the
following purpose and subject to the following conditions:

Conditions:
1.     The amount of the REAP grant shall not exceed $77,400.00.

2.     REAP Grant funds shall be deposited in a separate account with a federally insured
       financial institution.

3.     Applicants who have raised water and/or sewer rates resulting in an advancement in
       position of priority for assistance shall not modify those rates after receipt of the REAP
       grant without the prior written consent of the Board, unless such modification would not
       result in a change in position of priority.

4.     The applicant shall fully document disbursement of REAP grant funds as required by the
       Board or its staff. Further, applicant shall maintain proper books, records, and supporting
       documentation, and make the same available for inspection by the Board or its staff.
       Disbursement of grant funds without supporting documentation shall be considered and
       deemed unauthorized expenditure of grant funds.

5.     The applicant shall return any unexpended REAP grant funds to the Board within thirty
       (30) days of completion of the project or within thirty (30) days from the applicant's
       receipt of all invoices, whichever is later.




                                                                                                  3008
Felt Public Schools
OWRB REAP Grant No. FAP-08-0006-R



6.    The project shall consist of a new pressure tank, a new ground storage tank (which will
      also provide water for firefighting equipment), a pump station, a new disinfection system,
      a new pump for the well, reworking the well to minimize sand production, and installing
      a new automation system as well as other related construction and necessary
      appurtenances, as more fully described in the engineering report included in applicant’s
      grant application. Applicant is authorized to expend the REAP grant funds only for
      purposes of completing such project. The applicant shall return or otherwise pay to the
      Board, any REAP grant funds expended for unauthorized or unallowable purposes. Any
      funds due to be returned by the applicant under this paragraph shall additionally bear
      interest at the maximum rate allowed by law until repaid in full. Whenever there is any
      doubt as to whether an expenditure is authorized, the applicant shall consult with Board
      staff and obtain staff's answer before making the expenditure.

7.    Furthermore, prior to and during the construction period, Felt Public Schools is required
      to comply with the requirements of all applicable federal and state statutory provisions
      and all Oklahoma Water Resources Board rules, regulations and grant policies.

      SO ORDERED this 14th day of July 2009, in regular and open meeting of the Oklahoma
Water Resources Board.

                                                  OKLAHOMA           WATER       RESOURCES
BOARD


                                                  ____________________________________
                                                  Jess Mark Nichols, Vice Chairman

ATTEST:


___________________________________
Linda P. Lambert, Secretary

(SEAL)

Reviewed by:


___________________________________
                /s/
Joe Freeman, Chief
Financial Assistance Division




                                                                                               3009
3100
3101
3102
3103
3104
3105
3106
3107
3108
3109
3110
3111
3112
3113
3114
3115
3116
3117
3118
3119
3120
3121
3122
3123
3124
3125
3126
3127
3128
3129
3130
3131
3132
3133
3134
3135
3136
3137
3138
3139
3140
3141
3142
3143
3144
3145
3146
3147
3148
3149
3150
3151
3152
3153
3154
3155
3156
3157
3158
3159
3160
3161
3162
3163
3164
3165
3166
3167
3168
3169
3170
3171
3172
3173
3174
3175
3176
3177
3178
3179
3180
3181
3182
3183
3184
3. SUMMARY DISPOSITION AGENDA ITEMS



PLANNING AND MANAGEMENT DIVISION


            July 14, 2009




                                      3200
                                                                                              3.E.




                      PLANNING AND MANAGEMENT DIVISION
                  Applications for Temporary Permits to Use Groundwater

                                        July 14, 2009


APP. NO.                      NUMBER                                                 PURPOSE &
& DATE        NAME OF           OF           COUNTY               LAND                AMOUNT
FILED        APPLICANT         WELLS         & BASIN            DEDICATED          RECOMMENDED


2009-506    Charles R.          2      Kiowa County             558.2 acres      Agriculture use – cattle
2/13/2009   Freeman, II &              Hennessey Group and/or   Secs. 25 & 26    feedlot
            Carrie Freeman             Alluvium & Terrace       T7N, R19WIM      1,116.4 a.f.
                                       Deposits of Elk Creek


2009-513    Edwin L. &          1      Kingfisher County        145 acres        Irrigation of 145 acres
3/18/2009   Mary Evelyn                Alluvium & Terrace       Sec. 25, T19N,   290 a.f.
            Vadder                     Deposits of the          R8WIM
                                       Cimarron River


2009-515    Robert Stutzman     1      Custer County            160 acres        Irrigation of 160 acres
3/24/2009                              Rush Springs Sandstone   Sec. 24, T13N,   307 a.f.
                                                                R14WIM


2009-516    Robert Stutzman     1      Custer County            160 acres        Irrigation of 160 acres
3/24/2009                              Rush Springs Sandstone   Sec. 24, T13N,   273 a.f.
                                                                R14WIM


2009-518    Janet Dalton        1      Pittsburg County         205.4 acres      Mining use
4/14/2009                              Boggy Formation and/or   Sec. 13, T6N,    (drilling oil & gas wells
                                       Thurman Sandstone        R14EIM           and primary completion)
                                                                                 200 a.f.
                                                                                 Municipal and/or rural
                                                                                 water district uses
                                                                                 210.9 a.f.
                                                                                 TOTAL: 410.9 a.f.




                                                                                             3201
                                                                                           3.G.




                     PLANNING AND MANAGEMENT DIVISION
                   Applications for Regular Permits to Use Groundwater

                                      July 14, 2009


APP. NO.                    NUMBER                                                PURPOSE &
& DATE       NAME OF          OF           COUNTY               LAND               AMOUNT
FILED       APPLICANT        WELLS         & BASIN            DEDICATED         RECOMMENDED


2009-509    The Danny Ray     2      Canadian County          160 acres        Irrigation of 160 acres
3/12/2009   Leck & Marsha            Alluvium & Terrace       Sec. 11, T13N,   160 a.f.
            Hope Leck                Deposits of the North    R9WIM
            Revocable                Canadian River – Phase
            Trusts                   2




                                                                                           3202
                                                                                                       3.H.




                         PLANNING AND MANAGEMENT DIVISION
                   Applications to Amend Regular Permits to Use Groundwater

                                                  July 14, 2009


APP. NO.                                                                                         PURPOSE
& DATE           NAME OF             NUMBER              COUNTY              LAND               & AMOUNT
 FILED          APPLICANT            OF WELLS            & BASIN           DEDICATED          RECOMMENDED

1998-525    Woodward County               2*        Woodward County        320 acres*      Rural water district
2/19/2009   Rural Water District                    Alluvium &             Sec.22, T23N,   purposes
            No. 1                                   Terrace Deposits of    R19WIM          320 a.f.*
                                                    the North Canadian
                                                    River – Phase 1



        *The applicant requests to amend their regular groundwater permit by adding 240 acre-feet of
        groundwater per year (for a total of 320 acre-feet authorized), by adding 160 acres to lands
        dedicated (for a total of 320 acres) and by adding one well (for a total of two wells authorized).
        All other aspects of the permit will remain the same.



2002-538B   Dusty R. & Chelsea N.          2*        Beckham County        261.9 acres      Irrigation of 261.9 acres
8/20/2008   Embery and Jonathan R.                   Alluvium &            Sec. 20, T9N,    261.9 acre-feet
            Keahey                                   Terrace Deposits of   R24WIM
                                                     the North Fork of
                                                     the Red River


        *The applicant requests to amend their regular groundwater permit by adding two wells and
        deleting one well location (for a total of two wells authorized). All other aspects of the permit
        will remain the same.




                                                                                                       3203
                                                                                                 3.J.




                   PLANNING AND MANAGEMENT DIVISION
                 Applications for Regular Permits to Use Stream Water

                                            July 14, 2009


 APP. NO.                                                          COUNTY &             PURPOSE &
 & DATE          NAME OF                  POINTS OF                 STREAM               AMOUNT
  FILED         APPLICANT                 DIVERSION                 SYSTEM            RECOMMENDED


2009-005    Mark & Pam Harbin        One point of diversion on   Hughes County     Agriculture use (fish farm)
3/11/2009                            Wewoka Creek                SS 2-5-1          1,017 a.f.
                                     Sec. 19, T9N, R11EIM



2009-011    Eugene Meeks             One point of diversion on   Muskogee County   Irrigation of 805 acres
4/21/2009                            the Grand River             SS 2-16           1,073 a.f.
                                     Sec. 10, T15N, R19EIM



2009-013    Oklahoma State Parks –   One point of diversion on   McIntosh County   Irrigation of 150 acres
4/28/2009   Fountainhead Golf        Lake Eufaula                SS 2-3            (golf course)
            Course                   Sec. 34, T11N, R16EIM                         98 a.f.




                                                                                                3204
                                                                        3.K.




              PLANNING & MANAGEMENT DIVISION
            Forfeiture of Stream Water Rights Due to Nonuse


                              July 14, 2009


                         STREAM SYSTEM AND
WATER RIGHT FILE NO.          COUNTY                CLAIMANT’S NAME

     1955-1179A        Custer County                  Stewart Barrick
                       SS 1-8-3




                                                                        3205
                BEFORE THE OKLAHOMA WATER RESOURCES BOARD
                             STATE OF OKLAHOMA

In the Matter of the Stream Water Right               )
in the Name of Steward Barrick, OWRB                  )
File No. 1955-1179A, Stream System 1-8-3,             )
Custer County, Oklahoma                               )


                            ORDER FOR INFORMAL DISPOSITION
                             BASED ON AGREED SETTLEMENT

        This matter arose upon the Oklahoma Water Resources Board ("Board") staff's review of
the reported stream water use for the above referenced stream water right of Steward Barrick
(“Claimant”). Board staff found reasonable cause to believe that Claimant’s stream water right
should be administratively cancelled for failure to use any water during at least one year out of a
consecutive seven-year period. Board staff scheduled a hearing in order to give Claimant an
opportunity to show cause why the stream water right should not be cancelled due to nonuse. In
response, Claimant submitted evidence for excusing his nonuse, but did not appear at the hearing.
Upon consideration of the information and documentation presented, the Board dismisses the
forfeiture proceeding and makes the following determinations:

       1.      On May 2, 1955, Fannie L. Cox and Steward Barrick filed an application with the
Oklahoma Planning and Resources Board (predecessor agency to the Oklahoma Water
Resources Board) to use stream water from the Washita River for irrigation purposes based on
use beginning in 1953. The Oklahoma Water Resources Board recognized vested right number
1955-1179 in the name of Fannie Cox, landowner, and Steward Barrick, operator, on August 12,
1969. Claimant diverted up to 400 acre-feet annually to irrigate 200 acres of land in the NW ¼
of Sec. 30 and the SE ¼ of Sec. 24, T12N, R18W, IM, Custer County, Oklahoma. The stream
water was diverted from two points on the Washita River; one in the S ½ of the SE ¼ of Sec. 24,
and one in the NW ¼ of Sec. 30.

        2.      In 1976, Claimant notified the Board that he had purchased the irrigated land from
Fannie Cox and requested the Board to transfer the vested right to his name and address.
Periodic reviews of reported irrigation use led to the reduction of the amount recognized in 1982
and 1992. The original amount of 400 acre-feet per year was reduced to 350 acre-feet and then to
251 acre-feet, the maximum amounts used during consecutive seven-year periods. In 1992,
Claimant sold 146 acres of irrigated land in the NW ¼ of Sec. 30 and retained 54 acres of the
irrigated land in SE ¼ of Sec. 24. The vested right was divided proportionately between the two
landowners based on the acreage transferred. Currently, Claimant Barrick holds vested right no.
1955-1179A in the amount of 81 acre-feet per year to irrigate 54 acres of land in the S ½ of the
SE ¼ of Section 24, T12N, R18W, IM, Custer County.

         3. In February 2009, Board staff completed its periodic review of the reported water use
for vested right no. 1955-1179A and found reasonable cause to believe the right had been
forfeited by operation of law due to nonuse. Board records indicated that no water had been used
for irrigation purposes since 1996.


                                                                                               3206
        4.      Board staff sent a notice of the proposed cancellation hearing by certified mail
addressed to Claimant at his last known address of record more than 30 days before the hearing date
of March 18, 2009. Claimant received the notice on February 13, 2009, and sent a reply to the
Board on March 9, 2009. Claimant did not attend the hearing, but relied on his March 9th statement
to present his position.

        5.       Claimant is a World War II veteran who is totally disabled and has not been
physically able to irrigate. Claimant has lived on this land since 1955 and his son intends to take
over the farming operations. Claimant has sold some of his irrigation piping, but retains some pipe
and his irrigation pump. While others have farmed and irrigated the land for Claimant in the past,
this has not been the case since 1996. Although Claimant desires to irrigate his land, he cannot due
to circumstances beyond his control. Injuries sustained while on active duty and in service to his
country have resulted in Claimant’s inability to irrigate. It is Claimant’s position that being a
disabled veteran, injured while on active duty, should excuse his nonuse and allow him to retain his
vested stream water right.

        6.       Title 82 O.S. §105.17 provides that to the extent that the water authorized is not put
to beneficial use as provided by the stream water right, that amount not used shall be forfeited by
the right holder and shall become public water available for appropriation. Section 105.17 also
provides that when a water right holder fails to use all or any part of the water claimed for a period
of seven continuous years, such unused water shall revert to the public and be regarded as
unappropriated public water. Section 105.18 states that whenever the Board has reasonable cause
to believe that the water right has been lost in whole or in part due to nonuse, the Board may cancel
administratively the lost water right following notice and hearing. Section 105.18 allows a water
right claimant to show cause at the hearing regarding why his water right should not be declared to
have been lost through nonuse.

        7.      The Board finds that no water was used under vested stream water no. 1955-1179A
from 1997 through 2007. However, the Board accepts Claimant’s excuse for nonuse and finds that
the vested right should remain in effect in the annual amount of 81 acre-feet. The right may be
transferred to Claimant’s son who will have seven years to place stream water to beneficial use.

       8.      The water use records should be revised in accordance with the information
submitted to the Board by the Claimant on March 9, 2009. The reason for the excused nonuse
will be accepted for filing and the Board’s records will be amended in accordance with
Claimant’s information. Based on the revisions, the Board no longer has reasonable cause to
believe this stream water right should be cancelled due to nonuse and the cancellation
proceedings must be dismissed. It is agreed that the stream water right will remain valid in the
amount of 81 acre-feet per year for the irrigation of 54 acres. See 82 O.S. 2001, Section 105.18.

        9. The Board has subject matter jurisdiction to adjudicate this matter pursuant to its
authority to cancel rights to use stream water in whole or in part due to nonuse. See the Stream
Water Use Act, 82 O.S. §§ 105.1 et seq., particularly § 105.18. In addition, the Board has
personal jurisdiction over Claimant in this matter. Due and proper notice of the hearing was
given as required by 82 O.S. § 105.18. Mr. Barrick has been afforded due process of law and an
adequate opportunity to be heard with respect to why this stream water right should not be
declared to have been lost due to nonuse. Because the Board agrees with Claimant and this order
is not adverse to the Claimant, this matter may be disposed of informally pursuant to 75 O.S. §
309(E).


                                                                                                3207
       IT IS THEREFORE DETERMINED that: (1) the cause for nonuse submitted by
Claimant be received and filed herein, (2) the Board’s records be revised to show excused
nonuse for the years 1997 through 2008, and (3) that this matter be dismissed.

      DATED this 14th day of July 2009.



                                          OKLAHOMA WATER RESOURCES BOARD



                                          _________________________________
                                          Jess Mark Nichols, Vice Chairman

ATTEST:




_________________________________
Linda P. Lambert, Secretary


(SEAL)




                                                                                   3208
                                                                                                   3.L.




                         PLANNING AND MANAGEMENT DIVISION
                           Well Driller and Pump Installer Licensing

                                              July 14, 2009


DPC NUMBER           NAME OF FIRM                       CERTIFIED ACTIVITIES                       OPERATORS

New Licenses, Accompanying Operator Certificates and Activities:

DPC-0771          Wait Pump Service         Pump installation                                     Craig Wait
                                                                                                  OP-1699
DPC-0775          Harper Drilling Company   Groundwater wells, test holes and observation wells   Andrew C. Harper
                                            Pump installation                                     OP-1701
DPC-0779          Sunbelt Environmental     Groundwater wells, test holes and observation wells   Brian K. Bauer
                  Services                  Monitoring wells and geotechnical borings             OP-1704
                                            Heat exchange wells




                                                                                                   3209
                                                                                               3.M.




                     PLANNING AND MANAGEMENT DIVISION
                          Dam and Reservoir Construction

                                           July 14, 2009


NID. NO. &      NAME OF APPLICANT          PLANS & SPECS        HAZARD                  LEGAL
COUNTY          & NAME OF PROJECT          PREPARED BY          CLASSIFICATION          DESCRIPTION

DS-09-07        Daniel L. Hamilton         Cecil Bearden,       Low                     Sec. 5, T4S,
Johnston        Hamilton East Dam          P.E.                                         R9EIM
County

   This application requests approval for the construction of a new small low hazard dam on Sandy
   Creek, tributary to the Blue River, 25 feet in height, 500 feet in length with a maximum storage
   capacity of 98 acre-feet. This proposed dam will be a small earthen structure for the purposes of
   livestock, agriculture, recreation, fish & wildlife.



DS-09-08        Daniel L. Hamilton         Cecil Bearden,       Low                     Sec. 5, T4S,
Johnston        Hamilton West Dam          P.E.                                         R9EIM
County

   This application requests approval for the construction of a new small low hazard dam on Sandy
   Creek, tributary to the Blue River, 25 feet in height, 725 feet in length with a maximum storage
   capacity of 161 acre-feet. This proposed dam will be a small earthen structure for the purposes of
   livestock, agriculture, recreation, fish & wildlife.




                                                                                               3210
                                                                                           3.N.




                    PLANNING AND MANAGEMENT DIVISION
                   Permit Applications for Proposed Development on
               State Owned or Operated Property with Floodplain Areas

                                      July 14, 2009

APPLICATION
   NO. &               NAME OF
  COUNTY              APPLICANT              LOCATION                   PROJECT NARRATIVE

FP-09-11           Oklahoma         Interstate 35 East - Sec. 11,    Extend RCB
Cleveland          Department of    T9N, R3WIM                       BFE 1154.30
County             Transportation   Tributary to Little River



FP-09-12           Oklahoma         SH 270 west of McAlester at      Bridge replacement
Pittsburg County   Department of    Coal Creek
                   Transportation   Sec. 31, T5N, R14EIM



FP-09-14           Oklahoma         SH 177 south of Perkins at the   New bridge construction
Payne County       Department of    Cimarron River
                   Transportation   Secs. 7 & 18, T17N, R3EIM




                                                                                           3211
                                                                  3.O.




      PLANNING AND MANAGEMENT DIVISION
   Floodplain Administrator Accreditation Applications

                      July 14, 2009

NUMBER          NAME OF COMMUNITY            FLOODPLAIN
                                            ADMINISTRATOR

FPA-373       Blaine County               Clark Emmet Wray

FPA-374       Greer County                Glynadee Anne Edwards

FPA-375       Nash, Town of               Heather Dionne Thomas




                                                                  3212
   5. SPECIAL CONSIDERATION



PLANNING AND MANAGEMENT DIVISION


            July 14, 2009




                                   5000
                                                                                                          5.A.




                      PLANNING AND MANAGEMENT DIVISION
                    Cancellation of Existing Permit to Use Stream Water

                                                July 14, 2009

                      COUNTY
                     & STREAM                  NAME OF
  NUMBER              SYSTEM                  APPLICANT                         RECOMMENDATION

1970-080             Caddo           Freddie Reinking                    Approval of Proposed Findings of
                     SS 1-8-3                                            Fact, Conclusions of Law and Board
                                                                         Order

   On June 11, 1972, the Board issued permit number 1970-080 to use 140 acre-feet of stream water per year
   to irrigate 70 acres of land in Caddo County from the Washita River at a rate not to exceed 500 gallons
   per minute. Periodic reviews of reported use led to the reduction of the permitted amount in 1982 and 1985.
   The permit currently authorizes the use of 40 acre-feet each year. In addition, the permit was transferred
   from Freddie Reinking to the Reinking Estate, and in 1995, Mr. Bob Dyer noted on the annual water use
   report that he was the new owner of the irrigated land.

   Based on a recent review of the Board’s water use records, it appeared that stream water had not been used
   during at least one year out of a continuous seven-year period. In fact, the Board’s records indicated that
   Claimant had not filed water use reports since 1995.

   Claimant’s successor in interest, Bob Dyer, and Claimant’s grandson, Edward Repp, appeared at the hearing
   as scheduled on March 19, 2009. Testimony was presented that Bob Dyer was the owner of the land and
   water right. Edward Repp, Claimant’s grandson and Bob Dyer’s nephew, farmed the land and had completed
   and signed previous water use reports. Mr. Dyer indicated that he had not received the annual reporting
   forms. The land had been irrigated, but neither Mr. Dyer nor Mr. Repp could remember when or how much
   stream water was used before 2004. Mr. Repp indicated that he had records regarding past irrigation and that
   his wife would be able to help him locate the information. The hearing was adjourned, but the record was left
   open until April 10, 2009, for the submittal of documentation regarding past water usage. However, no
   additional documentation was filed. Therefore, Claimant’s successor in interest has not shown evidence of
   use, or otherwise shown cause, why the permit should not be administratively cancelled due to nonuse. See
   Finding of Fact nos. 5 and 6 and Conclusion of Law nos. 4 and 5.

   A loss or reduction of water rights due to nonuse is no bar to filing an application for additional water
   rights based on further need in accordance with the regular procedure for obtaining a stream water permit.




                                                                                                       5001
                                          STREAM WATER CANCELLATION
                                       OKLAHOMA WATER RESOURCES BOARD
                                                 JULY 14, 2009

CIMARRON
           TEXAS
   2-9-4                      BEAVER        HARPER
                                                      2-9-3                          ALFALFA GRANT                      KAY                                OSAGE                                                 CRAIG   OTTAWA




                                                                                                                                                                                        WASHINGTON
            2-5-4                                              WOODS                                                                                                                                 NOWATA
                                                                                                                         2-10-1                                                2-14
                                                                                                                                                                                                       2-15-2
                                                                                                   2-10-2
                                                                                                                                                    2-12
                                             ELLIS                                                     GARFIELD                                                                                       ROGERS
                                                                                                                        NOBLE
                                                           WOODWARD                                                                                                       2-13                                   MAYES      2-16
                                                   2-5-3                                 2-9-2                                                  PAWNEE

            Arkansas River Basin                                                 MAJOR                       2-9-1                                  2-11                                                                 DELAWARE
                                                              DEWEY               BLAINE
                                                                                                                                                                                                       2-15-1
                                                                                                  KINGFISHER LOGAN            PAYNE                                   CREEK       TULSA
            Red River Basin                                                                                                                                                                            WAGONER                  2-17
                                                               2-6-3                                                                                                                                                CHEROKEE
            Streams                                                                                                             LINCOLN
                                                              CUSTER                2-5-2                                                                                                            2-4
                                                  1-8-4                                                                                                                 2-7
            Lakes (Major)                                                                   CANADIAN            OKLAHOMA
                                                                                                                                                                                                           MUSKOGEE                  ADAIR
                                            ROGER MILLS                                                                                                                          OKMULGEE
                                                                                                                                                                      OKFUSKEE                                           SEQUOYAH
            Rivers                                                                                                                                                                                                              2-2
                                                              WASHITA                                                                                                                                MCINTOSH




                                                                                                                                     POTTAWATOMIE
                                            BECKHAM
            State Boundary                                                                                                                                        2-5-1
                                            1-15-2                                                                  CLEVELAND




                                                                                                                                                           SEMINOLE
                                                                                                            2-6-2
                                                                                    CADDO                                                                                                                          HASKELL
            Counties                        1-18 GREER                                              1-8-2                      2-8                                        HUGHES                                               LE FLORE
                                                              KIOWA       1-8-3                                                                                                        2-3
                                                                                                    GRADY
                                                                                                                                                                                                                  LATIMER      2-1
                                                              1-15-1              1-13-1                        MCCLAIN
                                                                                                                                               2-6-1                                   PITTSBURG
                                                   1-16                   COMANCHE                              GARVIN
                                          HARMON
                                                     JACKSON                                                                                                               COAL
                                                                                                  STEPHENS            1-8-1                         PONTOTOC                   1-4-1
                                                                        1-13-2                                                                                                                               PUSHMATAHA
                                               1-17
                                                               TILLMAN                                                                                                             ATOKA
                                                                                             1-12                             MURRAY                                                                                      MCCURTAIN
                                                                                  COTTON                                                                                                                   1-3
                                                               1-14                                                                                                                                                      1-2
                                                                                                                       CARTER                        JOHNSTON
                                                                                                                                                                          1-4-2
                                                                                                   JEFFERSON
                                                                                           1-14
                                                                                                        1-11
                              #1970-080                                                                               1-10
                                                                                                                                        MARSHALL
                                                                                                                                                                          BRYAN                      CHOCTAW
                                                                                                      1-9            LOVE
                        Freddie Reinking Estate                                                                                1-9                                       1-6

                                                                                                                                                                         1-7                           1-5                            1-1




                                                                                                                                                                                                                                             5002
               BEFORE THE OKLAHOMA WATER RESOURCES BOARD
                            STATE OF OKLAHOMA

In the Matter of the Stream Water Right in the Name of       )
Freddie Reinking Estate, OWRB File No. P70-80,               )
Stream System 1-8-3, Caddo County, Oklahoma                  )


                                PROPOSED
          FINDINGS OF FACT, CONCLUSIONS OF LAW AND BOARD ORDER

        This matter arose upon the Oklahoma Water Resources Board ("Board") staff's review of
the water use reports of record under the above referenced stream water right. Board staff found
reasonable cause to believe that this stream water right should be administratively cancelled for
failure to use the full authorized amount of 40 acre-feet in any one year during the continuous
seven-year period from 1996 through 2002.

       Board staff gave notice of the proposed water right cancellation hearing by certified mail to
the Claimant’s successor in interest, Bob Dyer. Mr. Dyer and Mr. Edward Repp attended the
hearing as scheduled on March 19, 2009. After testimony was presented, the Hearing Examiner
agreed to leave the record open until April 10, 2009, for Mr. Dyer and Mr. Repp to file
documentation, if any there might be, of any use of the water during the years in question.
Additional evidence was not received from Mr. Dyer or Mr. Repp. Thereafter, the matter was taken
under advisement for preparation of a proposed order.

       Based upon the findings of fact and conclusions of law separately stated below, the Board
now determines that the Reinking Estate stream water right should be administratively cancelled.



                                      FINDINGS OF FACT

        Based upon substantial evidence in the record, the Board makes the following Findings of
Fact:

        1.      On March 5, 1970, the Board received the stream water application filed by Freddie
Reinking for the use of 140 acre-feet each year to irrigate 70 acres of land. The permit was issued
on July 11, 1972, in the amount requested to be diverted from the Washita River in the SE ¼ of Sec.
26, T8N, R12WIM, Caddo County, Oklahoma, approximately two miles downstream from Fort
Cobb dam. Stream water was authorized to be diverted at a rate not to exceed 500 gallons per
minute, and only when the downstream gage on the Washita River exceeded 50 cubic feet per
second (conditions specifically described in Exhibit No. 1, copy of the stream water permit). The
irrigated land is located in the N ½ of the SE ¼ and the SE ¼ of the SE ¼ of Sec. 26, T8N,
R12WIM, Caddo County.
         2.      Periodic reviews of reported irrigation use led to the reduction of the permitted
amount in 1982 and 1985. The permit currently authorizes the use of 40 acre-feet each year to
irrigate the 70 acres. In addition, the permit was transferred from Freddie Reinking to the Reinking
Estate, and in 1995, Mr. Bob Dyer noted on the annual water use report that he was the new owner
of the irrigated land.

       3.      The Board’s records show that for many years after the permit was issued, Freddie
Reinking reported varying amounts of stream water used annually for the irrigation of a maximum
of 40 acres of alfalfa, wheat, corn, and other small grain crops. However after 1995, no annual
water use reports were filed. In 2009, upon reviewing the file and reported usage, Board staff
determined that it had reasonable cause to believe the water right had been lost due to nonuse for the
continuous seven-year period 1996 through 2002.

        4.     On February 17, 2009, Board staff sent a notice of the proposed cancellation hearing
by certified mail addressed to Bob Dyer at the last known address of record for this water permit.
The notice explained the proposed cancellation and scheduled an administrative hearing for March
19, 2009. The notice was received by Lisa Harrison on behalf of Bob Dyer on February 19, 2009.

         5.     Claimant’s successor in interest, Bob Dyer, and Claimant’s grandson, Edward Repp,
appeared at the hearing as scheduled on March 19, 2009. Testimony was presented that Bob Dyer
was the owner of the land and water right. Edward Repp, Claimant’s grandson and Bob Dyer’s
nephew, farmed the land and had completed and signed previous water use reports. Mr. Dyer
indicated that he had not received the annual reporting forms. The land had been irrigated, but
neither Mr. Dyer nor Mr. Repp could remember when or how much stream water was used before
2004. In 2004, a cotton stripper had been purchased and cotton had been irrigated in 2005. In
addition, polyurethane pipe had been purchased and installed for irrigation purposes. In 2005 and
2006, wheat and beans had been irrigated in addition to cotton, but in 2007 and 2008, the river
flooded and the land was too wet to irrigate. Mr. Repp indicated that he had records regarding past
irrigation and that his wife would be able to help him locate the information. The hearing was
adjourned, but the record was left open until April 10, 2009, for the submittal of documentation
regarding past water usage. However, no additional documentation was filed.

       6.      The Board finds that no water was used under permit P70-80 during the continuous
seven-year period from January 1, 1996 through December 31, 2002. The Board acknowledges the
explanation and requests put forward by Claimant’s successor in interest, but the Board finds that he
has not shown evidence of use, or otherwise shown cause, why the Board should not
administratively cancel this permit due to nonuse for this seven year period.




                                                                                              5004
                                    CONCLUSIONS OF LAW

       Based upon applicable law, and as applied to the evidence in the record and the above
Findings of Fact, the Board draws the following Conclusions of Law:

        1.     The Board has subject matter jurisdiction to adjudicate this matter pursuant to its
authority to cancel rights to use stream water in whole or in part due to nonuse. See the Stream
Water Use Act, 82 O.S. §§105.1 et seq., particularly §105.18.

        2.      The Board has personal jurisdiction over Bob Dyer, the successor in interest to the
original permittee, in this matter. Due and proper notice of the hearing was given as required by 82
O.S. §105.18. Mr. Dyer appeared at the hearing, and has been afforded due process of law and an
adequate opportunity to be heard with respect to why this stream water right should not be declared
to have been lost due to nonuse.

         3.     Title 82 O.S. §105.17 provides that to the extent that the water authorized is not put
to beneficial use as provided by the stream water right, that amount not used shall be forfeited by
the right holder and shall become public water available for appropriation. Section 105.17 also
provides that when a permittee fails to use all or any part of the water claimed for a period of seven
continuous years, such unused water shall revert to the public and be regarded as unappropriated
public water. Section 105.18 expressly provides that the failure of the Board to make this
administrative determination shall not in any way revive or continue the lost right. Section 105.18
states that whenever the Board has reasonable cause to believe that the water right has been lost in
whole or in part due to nonuse, the Board may cancel administratively the lost water right following
notice and hearing. Section 105.18 allows a water right claimant to show cause why his water right
should not be declared to have been lost through nonuse.

        4.      Oklahoma Administrative Code Section 785:20-9-5(a)(1) provides in part that
willful failure to complete and return an annual water use report with the appropriate filing fee
may be considered by the Board as nonuse of water under a water right. In this case, there were
no water use reports filed for the years 1996 through 2002 and there is no evidence otherwise to
show that any water was used during this continuous seven- year period. Applying §§105.17 and
105.18 to this case, the Board concludes that the authorized amount under this permit was reduced
by operation of law from 40 acre-feet per year to 0 acre-feet, effective January 1, 2003.

        5.      Based on the Findings of Fact and Conclusions of Law above, the Board concludes
that the Reinking stream water right has been lost due to nonuse, and should be administratively
cancelled to correspond with the forfeiture of the 40 acre-feet that occurred by operation of law.

         6.      The Board further concludes that loss of a stream water right due to nonuse is not a
bar to filing an application for additional water rights based on need, in accordance with the regular
procedure for obtaining a stream water permit.



                                                                                              5005
                                            ORDER

        IT IS THEREFORE ORDERED, ADJUDGED AND DECREED that the water right
evidenced by permit no. P70-80 originally in the name of Freddie Reinking in stream system no. 1-
8-3 shall be and the same is hereby cancelled.

       It is so ordered this 14th day of July, 2009 in regular and open session of the Oklahoma
Water Resources Board.

                                            OKLAHOMA WATER RESOURCES BOARD



                                            _________________________________
                                            Jess Mark Nichols, Vice Chairman

ATTEST:



_________________________________
Linda Lambert, Secretary


(SEAL)




                                                                                         5006
                                                                                                       5.A.


                  PLANNING AND MANAGEMENT DIVISION
               Application for Temporary Permit to Use Groundwater

                                             July 14, 2009
  NUMBER                                   NAME OF
  & DATE          COUNTY                  APPLICANT                          RECOMMENDATION

2008-553            Caddo       Rural Water, Sewer and Solid          Approval of Proposed Findings of
7/3/2008                        Waste Management District No.         Fact, Conclusions of Law and Board
                                6, Grady County                       Order


Applicants request a permit to withdraw a total of 886.38 acre-feet per year for rural water supply. The
water is proposed to be withdrawn from two wells located on 473.19 acres of dedicated land in Caddo
County. The record shows that the Applicant has a valid right to the dedicated land, the land overlies the
Rush Springs Sandstone groundwater basin (for which the maximum annual yields and equal
proportionate shares have not been determined and each landowner is therefore entitled to 2 acre-feet per
acre); rural water supply is a beneficial use; and waste will not occur. The application should be
approved and a temporary permit should be issued.

In addition to the other usual conditions for temporary permits, this permit shall contain the express
condition that the Permittee shall not use any groundwater under this permit until the Permittee first
demonstrates to Board staff that the domestic well on the dedicated land located in the SW ¼ of the SW ¼
of the SW ¼ of Section 8-10-9 has been properly plugged and the report thereof duly filed.

The Protestant opposed the application primarily as follows:

1.       The Caddo Nation contended that it holds land in trust near the proposed wells but did not receive
the notice from the Bureau of Indian Affairs. See Finding of Fact nos. 4 – 5 and Conclusion of Law nos.
3 – 9.

2.      The Protestants contended that Applicant’s notice was incomplete because while the notice
specified the quarter-sections in which Applicant seeks to install wells, the ten-acre-tract locations of the
wells were not provided in the notice or on the Application. See Finding of Fact no. 6 and Conclusions of
Law nos. 10 – 13.

3.       The Protestants expressed concern and objection that Applicant’s proposed wells and withdrawals
will detrimentally affect Protestants’ groundwater supply and existing water uses. Protestants also
objected to Applicant’s use of water from wells in Caddo County for supply in Grady County. See
Finding of Fact nos. 27 – 28 and Conclusion of Law no. 24.


                                                                                                    5007
                                             PROTESTED GROUNDWATER APPLICATION
                                              OKLAHOMA WATER RESOURCES BOARD
                                                        JULY 14, 2009

CIMARRON
              TEXAS
                                    BEAVER          HARPER             WOODS               ALFALFA GRANT                                        OSAGE                                                     OTTAWA




                                                                                                                                                                          WASHINGTON
                                                                                                                  KAY                                                                             CRAIG
                                                                                                                                                                                       NOWATA
                        7


                                                     ELLIS                                            GARFIELD                                                                          ROGERS
                                                                                                                  NOBLE
                                                               WOODWARD                                                                                                                          MAYES       8
                                                                                                                                  PAWNEE
            State Boundary                                                           MAJOR
                                                                                                                                                                                                          DELAWARE
                                                                  DEWEY               BLAINE     KINGFISHER LOGAN
            Counties                                                                                                    PAYNE                              CREEK        TULSA
                                                                                                                                                                                         WAGONER CHEROKEE
       Major Bedrock Aquifers                                                                                                                              10
                                                                                                                          LINCOLN
            1. Antlers Sandstone                                   CUSTER
                                                                                                                                                                                           MUSKOGEE              ADAIR
            2. Arbuckle-Simpson                    ROGER MILLS                   9             CANADIAN     OKLAHOMA
                                                                                                                                                                    OKMULGEE
                                                                                                                                                       OKFUSKEE                                           SEQUOYAH
            3. Arbuckle-Timbered Hills                             WASHITA                                       6                                                                     MCINTOSH




                                                                                                                            POTTAWATOMIE
                                                   BECKHAM
                                                                   5




                                                                                                                                                SEMINOLE
                                                                                                              CLEVELAND
            4. Blaine
                                                                                        CADDO                                                                                                      HASKELL
                                                                                                                                                                HUGHES                                       LE FLORE
            5. Elk City Sandstone                         GREER    KIOWA
                                                                                                    GRADY                                                                PITTSBURG
            6. Garber-Wellington                                                                                                                                                                  LATIMER
                                                                                                            MCCLAIN
            7. Ogallala                                                          COMANCHE                   GARVIN
                                                  HARMON                                                                                   PONTOTOC
                                                             JACKSON                                                                                             COAL
            8. Roubidoux/Boone                        4                                          STEPHENS
                                                                                       3                                                    2                                                PUSHMATAHA
            9. Rush Springs Sandstone                                  TILLMAN                                        MURRAY                                             ATOKA
                                                                                                                                                                                                           MCCURTAIN
                                                                                      COTTON
            10. Vamoosa-Ada                                                                                      CARTER                    JOHNSTON
                                                                                                  JEFFERSON

                                                                                                                                                                BRYAN                  CHOCTAW
                                                                                                                            MARSHALL
                                                                                                               LOVE
                                        #2008-553                                                                                                                  1
                                Rural Water, Sewer and
                               Solid Waste Management
                              District No. 6, Grady County
               BEFORE THE OKLAHOMA WATER RESOURCES BOARD
                            STATE OF OKLAHOMA

In the Matter of the Application of                  )
Rural Water, Sewer and Solid Waste Management        )
District No. 6, Grady County, Oklahoma               )              Application No. 2008-553
for a Permit to Use Groundwater in Caddo and         )
Grady Counties                                       )

                               PROPOSED
         FINDINGS OF FACT, CONCLUSIONS OF LAW AND BOARD ORDER

        This proceeding arose out of the application by Rural Water, Sewer and Solid Waste
Management District No. 6, Grady County, Oklahoma (“Applicant” or the “District”) for a
temporary permit to use 886.38 acre-feet of groundwater each year for rural water supply in
Caddo and Grady Counties. The application was protested by several persons who own land
adjacent to or near Applicant’s dedicated land. The matter was heard on April 6, 2009 in
Oklahoma City, Oklahoma before Emily Hammond Meazell, Hearing Examiner on behalf of the
Oklahoma Water Resources Board (“Board”). At the hearing, the Hearing Examiner granted
leave to the parties to file post-hearing submissions by April 20, 2009 and any responses to those
submissions by April 27, 2009. The matter was taken under advisement. During that time, the
Hearing Examiner requested additional evidence from Applicant by June 5, 2009, and provided
protestants an opportunity to respond by June 19, 2009. Thereafter, this Proposed Order was
prepared, served on the parties, and submitted to the Board for consideration at its July 14, 2009
meeting.

       Upon consideration of the matter, the Board makes the following Findings of Fact and
Conclusions of Law, approves the application, and directs that a temporary permit be issued
according to certain terms specified below.


                                     FINDINGS OF FACT

        Upon its evaluation of the evidence and additional records, and facts officially noticed in
the record, the Board hereby makes the following Findings of Fact:

                            BACKGROUND OF APPLICATION

       1.     On July 3, 2008, the Board received Applicant’s Application for a Permit to Use
Groundwater (“Application”). As subsequently revised pursuant to Applicants’ authorization,
the Application requests authorization to use 886.38 acre-feet per year for rural water supply.
The revised Application dedicates 160 acres owned and 313.19 acres leased in Caddo County,
described more specifically as: 160 acres in the SW ¼ of Section 8, Township 10N, Range
9WIM; 160 acres in the SW ¼ of Section 17, Township 10N, Range 9WIM; and 153.19 acres in
the NE ¼ of Section 21, Township 10N, Range 9WIM. The Application seeks authorization to
use two wells consisting of one well in the SW ¼ of the SE ¼ of the SW ¼ of Section 8,
Township 10N, Range 9WIM; and one well in the NE ¼ of the SW ¼ of the SW ¼ of Section
17, Township 10N, Range 9WIM. The Application contains various other terms.

                         NOTICE OF APPLICATION; PROTESTS

       2.      After the Application was deemed ready for notification to interested persons,
Board staff prepared a notice for Applicant to mail and publish. To determine who to notify,
Applicant retained Caddo County Abstract Company to review the records of the Caddo County
Treasurer and compile a list of landowners of record, their respective lands, and their mailing
addresses. (Hornbuckle Aff. ¶ 3, Attachment 3 to Applicant’s Post-Hearing Submission.)

       3.     As reflected in Applicant’s Affidavit of Notification received by the Board on
August 28, 2008, Applicant gave notice by certified mail to each identifiable surface estate
owner of land listed by the Abstract Company as being within 1320 feet of the outside boundary
of each proposed well location requested in the Application.

        4.      The Abstract Company’s list set forth a landowner with no mailing address,
described as “Alicky; Restricted Indian—See BIA.” Applicant contacted the Bureau of Indian
Affairs, which advised that it could not provide a mailing address for that landowner; instead, the
BIA instructed Applicant to mail its notice to the BIA office so that the BIA could forward the
notice to the landowner. Applicant did so, and the notice was received by the BIA on August 22,
2008. (Id. ¶¶ 5 -7 & Exh. 2.)

        5.      The Caddo Nation contends that it holds land in trust near the proposed wells.
However, it did not receive the notice from the BIA. The Nation therefore contends that notice
was insufficient. For the reasons set forth below, however, the Board concludes that notice was
sufficiently given and the requirements of due process have been met. (See Conclusions of Law
Nos. 3 – 9.)

        6.      Some protestants contend that Applicant’s notice was incomplete because, while
the notice specified the quarter-sections in which Applicant seeks to install wells, the ten-acre-
tract locations of the wells were not provided in the notice or on the Application. For the reasons
set forth below, however, the Board concludes that this contention is without merit; notice was
sufficiently given and the requirements of due process have been met. (See Conclusions of Law
Nos. 10 – 13.)

       7.     As reflected in Applicant’s Affidavit of Publication received by the Board on
September 15, 2008, Applicant also published the notice on September 2 and September 9, 2008
in the Anadarko Daily News, a newspaper of general circulation in Caddo County, the county
where the wells are to be located.

       8.     During the prescribed protest period, written protests against the application were
received from: Mitchell and Sherrie Allen; Steven and Debra Allen; Virgil and Wilma Allen;

                                                                                           5010
Belita Byrd; Floyd and Rita Anthony; Larry and Jeanie Bledsoe; Patsy Lou Clem; Jack W.
Collins; Grant C. Finch; Verta Lea Finch; Dorothy Garrett; Alvin and Vera Lehman; Cassie
Mills; Rex, Joyce, and Monte Moyer; Coe Ann Patton; Keith Wright for the Hinton Water
Department; and W. Talmadge Johnson for the Southwest Oklahoma District Church of the
Nazarene.

       9.      An informal prehearing conference was held on January 15, 2009.

        10.    A hearing on the application was subsequently scheduled for April 6, 2009 and
the parties were so notified.


                                           HEARING

       11.    The hearing was held on April 6, 2009 in the Board’s office in Oklahoma City,
Oklahoma before Emily Hammond Meazell as Hearing Examiner on behalf of the Board. The
Applicant was represented by attorney R. Thomas Lay of Oklahoma City, Oklahoma. Attorney
Jason Aamodt of Tulsa, Oklahoma represented protestants Jeanie and Larry Bledsoe. Protestants
appearing on behalf of themselves were Mitchell and Sherrie Allen; Virgil and Wilma Allen;
Rex, Joyce, and Monte Moyer; Cassie Mills; James and Sarah Stevens; and Joe and Janetta Ray.
Ken Hembree appeared on behalf of the Southwest Oklahoma District Church of the Nazarene.

        12.     Persons who did not file protests within the written protest period also attended;
these included: Larry and Linda Horn on behalf of themselves; and Polly Edwards and Diane
Sparks on behalf of the Caddo Nation. The Hearing Examiner accepted the protests from these
persons to be made part of the record, and they were given the opportunity to speak and/or testify
at the hearing, as well as file any post-hearing submissions.

        13.    The hearing was opened, testimony and argument were heard, and the hearing
was adjourned on April 6, 2009. At the hearing, the Hearing Examiner granted leave to the
parties to file post-hearing submissions by April 20, 2009 and any responses to those
submissions by April 27, 2009. The matter was taken under advisement. During that time, the
Hearing Examiner requested additional evidence from Applicant by June 5, 2009, and provided
protestants an opportunity to respond by June 19, 2009. Thereafter, this Proposed Order was
prepared, served on the parties, and submitted to the Board for consideration at its July 14, 2009
meeting.

                                         OWNERSHIP


        14.    Applicant’s ownership of the dedicated land in Sections 8-10-9 and 21-10-9 was
not disputed. Instruments in the record show, and the Board finds, that Applicant owns the right
to take and use not to exceed 2 acre feet of groundwater per acre of land per year from the tracts
of dedicated land in Sections 8-10-9 and 21-10-9.
                                                                                           5011
       15.      Applicant submitted an instrument labeled “Right to Drill Water Wells, Water
Lease and Easement and Water Purchase Contract” that shows Applicant’s entitlement to take
and use not to exceed 2 acre feet of groundwater per acre of land per year from the tract of
dedicated land in Section 17-10-9. Although Applicant’s entitlement to water from this tract was
disputed, the Board finds that Applicant is entitled to take and use not to exceed 2 acre feet of
groundwater per acre of land per year from the tract of dedicated land in Section 17-10-9 for the
reasons set forth in Conclusion of Law No. 16 below.



                    LAND LOCATED OVER GROUNDWATER BASIN

      16.    The evidence indicates, and the Board finds, that the dedicated land lies over
groundwater-bearing geologic formations that constitute at least one groundwater basin: the
Rush Springs Sandstone Aquifer. A hydrologic survey has not been completed nor has the
maximum annual yield been determined for this groundwater basin.

                                       BENEFICIAL USE

         17.     Applicant proposes to use the water to serve the rapidly growing customer base of
its rural water system in Caddo and Grady Counties. It appears from the record that Applicant
will exercise reasonable intelligence and reasonable diligence in the application of this
groundwater for the lawful purpose of rural water supply, in an amount that is economically
necessary for such purpose. This issue was not contested by the protestants. The Board finds
that this is a beneficial use of fresh groundwater.

                             ISSUE OF WASTE BY DEPLETION

        18.    Applicant represented in the Application that upon completion, the system will be
equipped with radio telemetry which is capable of alerting the operator in case of pressure loss
within the system. In addition, isolation valves will aid in the detection of leaks and help prevent
water loss. Applicant also represented in the Application that any leaks will be detected and
repaired within a reasonable amount of time. No evidence was presented to the contrary.


        19.     At the hearing, Paul Jones, the District Manager of the District, testified, and the
Board finds, that if Applicant is granted the permit, it would not use any unauthorized wells;
cause excessive losses of fresh groundwater to occur; drill a well, take or use fresh groundwater
without a permit; take more fresh groundwater than is authorized by the permit; take or use fresh
groundwater in any manner so that the water is lost for beneficial use; transport the water from
the wells to the place of use in such a manner that there is an excessive loss in transit; use the
water in such an inefficient manner that excessive losses occur; allow any fresh groundwater to
reach a pervious stratum and be lost into cavernous or pervious materials encountered in a well;
                                                                                            5012
or use the water for air conditioning or cooling purposes without providing facilities to aerate
and reuse such water. No evidence was presented to the contrary.



       20. The well spacing rule at Oklahoma Administrative Code (“OAC”) § 785:30-3-6 does
not apply in a case such as this where the maximum annual yield has not been determined.
Consequently, the applicant's proposed well locations will not be contrary to the Board’s well
spacing rule.


        21.    Upon consideration of the record, the Board finds that waste by depletion as
specified in 82 O.S. § 1020.15 will not occur if this Application is approved.


                             ISSUE OF WASTE BY POLLUTION


       22.     Applicant has not drilled the two wells it intends to use should the permit be
granted. However, on the Application and through Mr. Jones’s testimony, Applicant has
represented that it will use a licensed water well driller to drill and complete these wells. The
wells will be constructed to meet the Board’s minimum construction standards for water wells,
including the minimum distances away from possible pollution sources specified in OAC §
785:35-7-1(b).


         23.     The Application shows, and Mr. Jones testified that Applicant drilled three test
holes on the dedicated land prior to filing its Application. Although Applicant had filed a
Construction and Plugging Report with the Board for one of these test holes, it had filed nothing
for the other two test holes. Thus, the Hearing Examiner requested Applicant to file multi-
purpose completion reports (“MPCRs”) for the test holes by June 5, 2009. Applicant filed
MCPRs by this deadline, which show that each test hole has been properly completed as a
domestic well (rather than a water supply production well) in accordance with the Board’s rules.
In its supplemental filing, Applicant also explained that the third test hole (drilled May 12, 2008
and subject of the Construction and Plugging Report) is a test hole that Applicant may complete
as a production well should the Board grant the Application. Applicant represented that the hole
is currently capped but not plugged, and it will comply with all Board rules in completing this
well. No protestants submitted any information to the contrary. The Board finds that waste by
pollution will not occur as a result of failure to plug abandoned water well test holes and failure
to file reports thereof.


       24.      The Application shows, and Mr. Jones testified, that there is one domestic well
located in the SW ¼ of the SW ¼ of the SW ¼ of Section 8-10-9. This well is encased in

                                                                                            5013
concrete, with a 6’x6’x6’ vault around the casing, and it has been capped. Mr. Jones testified
that should Applicant be granted a permit, it will plug the domestic well. The Board finds that
this representation should be expressed as a condition in the permit. Subject to this condition,
the Board finds that waste by pollution will not occur as a result of failure to plug abandoned
wells and failure to file reports thereof.


        25.      Based on the Application and the evidence presented, the Board finds that waste
by pollution will not occur as a result of failure to plug abandoned water well test holes and
failure to file reports thereof.


         26.    Kim Hornbuckle, Project Engineer for Poe & Associates Consulting Engineers,
testified for Applicant at the hearing. Ms. Hornbuckle prepared the “Preliminary Engineering
Report for Alternate Water Supply” for Applicant; this report is located in the record as Exhibit
5. During her cross-examination, Protestants asked Ms. Hornbuckle several questions about the
water quality in Applicant’s test wells, emphasizing that the concentrations of certain chemicals
did not meet drinking water standards. As described in more detail below, however, Applicant’s
proposed use as a public water supply requires that it comply with rules and requirements of the
Department of Environmental Quality (“DEQ”) governing construction and operation of public
water supply systems. Based upon the applicable law (see Conclusion of Law 23 below), the
Board is precluded from determining whether Applicant’s activities regulated by or within the
jurisdiction of the DEQ will allow waste by pollution to occur by permitting or causing the
pollution of a fresh groundwater strata or basin through any act which will permit waste to filter
or otherwise intrude into such a basin.



                               PROTESTANTS’ OBJECTIONS

        27.    The Protestants are owners of land adjacent to or near the dedicated land and well
locations. The protests expressed concern and objection that Applicant’s proposed wells and
withdrawals will detrimentally affect Protestants’ groundwater supply and existing water uses.
Protestants also objected to Applicant’s use of water from wells in Caddo County for supply in
Grady County. Protestants made several requests, including but not limited to: (a) a complete
study of the Rush Springs Aquifer to ensure that existing wells and uses will not be adversely
affected by Applicant’s proposed withdrawal; and (b) a provision in Applicant’s permit, if
granted, to allow future modification of the permit should Applicant’s withdrawals prove to
adversely impact Protestants’ water use.

        28.    No evidence was presented tending to show that Applicant’s proposed use will
impermissibly or unlawfully deplete the groundwater. Protestants’ contentions are discussed
further in Conclusion of Law No. 24 below.


                                                                                           5014
                                  CONCLUSIONS OF LAW

        Based upon applicable law, and as applied to the above Findings of Fact and evidence in
the record, the Board draws the following Conclusions of Law:


           LAW APPLICABLE TO USE OF GROUNDWATER GENERALLY

       1.     Under 60 O.S. § 60, the owner of the surface of a given tract of land owns the
fresh groundwater beneath the surface of that land. That surface owner may use such
groundwater in accordance with the use regulations imposed by the Oklahoma Groundwater
Law, 82 O.S. § 1020.1 and following.

                           SUBJECT MATTER JURISDICTION

      2.      The Board has subject matter jurisdiction to adjudicate applications for
groundwater permits according to the Oklahoma Groundwater Law and the Board’s rules
promulgated thereunder. See 82 O.S. § 1020.7.

                      PERSONAL JURISDICTION; DUE PROCESS

Caddo Nation and Due Process.
        3.     As described above, the Caddo Nation contends that it was not afforded proper
notice of Applicant’s permit or the hearing and it requests (a) that it be made a party to this
proceeding; and (b) that the permit not be issued due to lack of proper notice. For the reasons
that follow, the Board accepts the Caddo Nation’s protest, but the Board concludes that the
requirements of due process have been met and, therefore, even if there was improper notice, it
does not bar issuance of the permit.

        4.      As provided by OAC § 785:4-5-4(c), a timely protest must be filed before a
person can obtain party status. However, the Hearing Examiner has discretion to receive the
protests of interested persons appearing at the hearing. Id. 4-5-4(d). As noted above in Finding
of Fact No. 12, the Hearing Examiner accepted the protests of those interested persons attending
the hearing, including the Caddo Nation.

        5.     An applicant for a groundwater permit must provide notice by certified mail to
“all surface estate owners of land within one-thousand three hundred twenty feet (1320’) from
actual locations of existing or proposed wells shown on the application plat and from the outside
boundaries of any potential well areas shown on the application plat.” OAC 785:30-3-4(a). In
addition, an applicant must publish notice “in a newspaper of general circulation in the county
where each existing or proposed well is located.” Id. 30-3-4(a). Applicant provided notice by
certified mail to all the surface estate owners identified by the Abstract Company, with the
exception of the “Alicky—see BIA” entry. For that entry, Applicant sent notice by certified mail
to the BIA. Applicant also published notice in a newspaper of general circulation.

                                                                                         5015
        6.     The Caddo Nation contends that land held in trust by the BIA for the Nation falls
within 1320 feet from the proposed well areas and that it was entitled to actual notice as called
for in OAC § 785:30-3-4(a). Although the Nation learned of the Application and the hearing in
time to attend, it contends that had it had proper notice, it would have had the opportunity to
assess the ramifications of the Application and determine what action to take. (See Post-Hearing
Letter from LaRue Parker, Chairperson, Caddo Nation, to the Board (Apr. 10, 2009) (“Post-
Hearing Letter”).)

       7.      As described above, the Hearing Examiner allowed the Nation to submit any
materials in support of its protest within two weeks of the hearing, and to submit responses to
any other parties’ submissions within one week thereafter. In its Post-Hearing Letter, the Nation
submitted that tribal lands are within 697.5 and 1395 meters of the well locations in Section 8-
10-9 currently proposed by the revised application. Thus, by the Nation’s own evidence, it was
not entitled to actual notice of the Application because no tribal land was within the 1320’
distance contemplated by OAC § 785:30-3-4(a).

       8.      Even if the Nation had been entitled to actual notice, the Board concludes that due
process was met. Due process requires “adequate notice and a realistic opportunity to appear at a
hearing in a meaningful time and in a meaningful manner.” First Nat’l Bank v. Okla. Savings &
Loan Bd., 1977 OK 171 ¶ 6; 569 P.2d 993, 996. According to a protest letter, the Chair of the
Caddo Nation, LaRue Parker, was notified on September 29, 2008 of the Application by
Protestant Dorothy Garrett (Letter from Dorothy Garrett to Board at 1 (Sept. 29, 2008). Two
representatives of the Caddo Nation attended the hearing and were given the opportunity to
speak, present evidence, and cross-examine witnesses. Further, at the conclusion of the hearing,
the Hearing Examiner left the record open to allow presentation of any additional material or
information by the Nation and any other parties. See First Nat’l, 1977 OK 171 ¶ 11, 569 P.2d at
997 (actual notice and attendance at hearing were factors in determination that due process
requirements were satisfied). And the Post-Hearing Letter submitted by the Nation does not
suggest that had the Nation been afforded more time, it could have shown evidence from which
the Board would conclude that the requirements for obtaining a groundwater permit have not
been met.

      9.       For these reasons, the Board concludes that the requirements of due process have
been met as to the Caddo Nation.

Well Locations.
        10.     Protestants object that Applicant’s notice was incomplete because, while the
notice specified the quarter-sections in which Applicant seeks to install wells, the ten-acre-tract
locations of the wells were not provided in the notice or on the Application.

        11.    The Groundwater Law does not specify the detail with which a proposed well
location must be described for purposes of notice. See 82 O.S. § 1020.8 (requiring notice to give
“all the essential facts as to the proposed taking, among them, the places of taking”). Board

                                                                                           5016
regulations expressly contemplate that an applicant need not have specific information regarding
the proposed wells’ locations at the time of making the application. For example, OAC 785:30-
3-2(c)(2) & (3) provide that “[i]f specific information is known, the actual locations of proposed
wells may be shown in the application plat,” but:

       If the applicant does not have specific information as to location of existing or
       proposed wells, the potential area or areas where such wells are located or may be
       drilled or completed on the dedicated lands must be indicated on the application
       plat. Unless specified well location information is provided, the potential well
       area information for proposed well location as indicated on the plat will be used to
       determine the certified mail notice that the applicant must provide. To be
       authorized by the permit, specific location information about existing and
       proposed wells must be provided or the wells must be located in the potential well
       area or areas.
Id.

        12.     The Application sets forth the “potential areas” where the proposed wells will be
located and it gave notice according to the terms of the regulation above. Furthermore, at the
time of the hearing, Applicant had determined which ten-acre-tract locations it proposed and that
information was available to all Protestants. The Protestants were afforded the opportunity,
either at the hearing or by filing post-hearing information, to show any actual prejudice arising
from Applicant’s notice of the well locations. No Protestants provided any information on this
issue.

       13.    The Board therefore concludes that Applicant has met the well location
requirements of the applicable notice statute and regulations, and due process has been satisfied.

Personal Jurisdiction and Due Process Generally.
        14.    Due and proper notice of this proceeding was given to all potentially interested
persons as required by law. The Applicant, Protestants and all other potentially interested
persons have been afforded due process of law and an adequate opportunity to be heard. Of
these, only the Applicant and Protestants identified in Finding of Fact Nos. 11 – 12 above have
met the procedural requirements to be recognized as parties in this proceeding. All other
interested persons have defaulted and abandoned their interests for failure to appear at the
hearing or otherwise failing to follow required protest procedures according to OAC Section
785:4-7-3(c).

             GROUNDWATER LAW; ISSUES BOARD MUST DETERMINE

      15.    When a person makes an application for a groundwater permit, 82 O.S. § 1020.9
and OAC Section 785:30-3-5 require the Board to determine several specific issues. These are:




                                                                                          5017
       (a)     whether the applicant owns the surface of the dedicated land or has a valid lease
               or other legal authority for the taking of groundwater from the land;
       (b)     whether the dedicated land overlies a fresh groundwater basin or subbasin;
       (c)     whether the use to which the applicant intends to put the water is a beneficial use;
               and
       (d)     that waste as specified by 82 O.S. §1020.15 (i.e., waste by depletion and waste by
               pollution) will not occur.


If the Board finds for an applicant on all these issues according to § 1020.9 and OAC Section
785:30-3-5, the Board is required to approve the application and issue the appropriate permit.

                                         OWNERSHIP

       16.   The Board concludes that Applicant has the right to take and use groundwater
from the 160 acres owned and 313.19 acres leased described in Finding of Fact No. 14 – 15
above.

        17.     At the hearing, certain Protestants challenged the validity of Applicant’s lease
labeled “Right to Drill Water Wells, Water Lease and Easement and Water Purchase Contract,”
which pertains to the tract of dedicated land in Section 17-10-9, because the document contains
blank lines. However, the Board’s regulations provide “[i]n making the determination of
whether the lands are owned or leased by the applicant, the Board will only consider language on
the face of legal instruments used to support or oppose this element.” OAC 783:30-3-5(b).
Indeed, the Board lacks jurisdiction to resolve title disputes. See City of Stillwater v. Oklahoma
Water Resources Bd., No. 68, 764 ¶ 4 (Okla. Civ. App. Oct. 11, 1988) (unpublished opinion)
(“an administrative agency is without jurisdiction to determine title to property); cf. McDaniel v.
Moyers, 662 P.2d 309, 313 (Okla. 1983) (same with respect to Corporation Commission). Here,
the face of the contested lease agreement shows a lease granted by Shrum Lee to the District for
a specified term for the purpose of installing and using water wells in the SW ¼ of Section 17-
10-9. The Board therefore concludes that Applicant has demonstrated entitlement to take and
use not to exceed 2 acre-feet of groundwater per acre of land per year from the tract of dedicated
land in Section 17-10-9, as well as the tracts in Section 8-10-9 and Section 21-10-9.


                    LAND LOCATED OVER GROUNDWATER BASIN

       18.     Applicant’s dedicated land lies over the groundwater basin known as the Rush
Springs Sandstone aquifer. A hydrologic survey has not been completed nor has the maximum
annual yield been determined for this groundwater basin.




                                                                                            5018
                                      BENEFICIAL USE

       19.    “Beneficial use” is defined in OAC Section 785:30-1-2 as:


       “the use of such quantity of … groundwater when reasonable intelligence and
       reasonable diligence are exercised in its application for a lawful purpose and as is
       economically necessary for that purpose. Beneficial uses include but are not
       limited to municipal, industrial, agricultural, irrigation, recreation, fish and
       wildlife . . . .” (Emphasis added.)


In this case, the proposed use is for “rural water supply” (more specifically, for a rural water
district and its customers). This clearly is an “application” of groundwater “for a lawful
purpose.” Furthermore, “municipal” use of fresh groundwater is expressly provided to be a
beneficial use in 82 O.S. § 1020.2. There is no material distinction between “municipal” use and
“rural water supply” use—both in essence are supplying necessary water service to members of
the public. The Board thus concludes that the proposed use for rural water supply is a beneficial
use under applicable law.

                                NO WASTE BY DEPLETION


General.
       20.    Title 82 O.S. § 1020.9 requires that before the Board takes final action on a
groundwater application, the Board must determine whether waste as specified by 82 O.S. §
1020.15 will occur. Section 1020.15(A) provides:


       A.    The Oklahoma Water Resources Board shall not permit any fresh
       groundwater user to commit waste by:
                      1.     Drilling a well, taking, or using fresh groundwater without
                      a permit, except for domestic use;
                      2.      Taking more fresh groundwater than is authorized by the
                      permit;
                      3.      Taking or using fresh groundwater in a manner so that the
                      water is lost for beneficial use;
                      4.      Transporting fresh groundwater from a well to the place of
                      use in such a manner that there is an excessive loss in transit;
                      5.     Using fresh groundwater in such an inefficient manner that
                      excessive losses occur;


                                                                                              5019
                      6.     Allowing any fresh groundwater to reach a pervious
                      stratum and be lost into cavernous or otherwise pervious materials
                      encountered in a well;
                      7.      Permitting or causing the pollution of a fresh water strata or
                      basin through any act which will permit fresh groundwater
                      polluted by minerals or other waste to filter or otherwise intrude
                      into such a basin or subbasin. The Board shall be precluded from
                      determining whether waste by pollution will occur pursuant to the
                      provisions of this paragraph if the activity for which the applicant
                      or water user intends to or has used the water as specified under
                      Section 1020.9 of [title 82] is required to comply with rules and
                      requirements of or is within the jurisdictional areas of
                      environmental responsibility of the Department of Environmental
                      Quality or the Oklahoma Department of Agriculture, Food and
                      Forestry;
                      8.      Drilling wells and producing fresh groundwater therefrom
                      except in accordance with the well spacing previously determined
                      by the Board;
                      9.      Using fresh groundwater for air conditioning or cooling
                      purposes without providing facilities to aerate and reuse such
                      water; or
                      10.    Failure to properly plug abandoned fresh water wells in
                      accordance with rules of the Board and file reports thereof.


According to OAC 785:30-1-2, paragraphs (1) through (6) and paragraphs (8) and (9) are
interpreted as forms of “waste by depletion.” See generally Okla. Water Resources Bd. v. Texas
County Irrigation and Water Resources Ass’n, 1984 OK 96, 711 P.2d 38. In this case, there was
no basis to find or conclude that the applicant would commit waste by depletion as described in
82 O.S. § 1020.15(A).


Well Spacing.
         21. According to 82 O.S. § 1020.15(A)(8) and OAC 785:30-1-2, well spacing is one
of the “waste by depletion” issues the Board must determine. The Board’s well spacing rule at
OAC 785:30-3-6 provides in pertinent part:


       (a) Spacing. Within groundwater basins where the maximum annual yield has
       been determined, no new or proposed well(s) shall be drilled and completed
       within one thousand three hundred twenty feet (1320’) of an authorized existing


                                                                                               5020
       well or proposed well location on lands of another, provided that the well on lands
       of another is capable of taking water from the same basin.


This rule is not applicable in this case because the maximum annual yield has not been
determined for the groundwater basin under the subject land.

                             ISSUE OF WASTE BY POLLUTION


        22.     The Texas County case also held that in a groundwater application proceeding, the
Board must determine whether waste by pollution will occur. This case law on waste by
pollution has been augmented by the 2001 amendments to 82 OS §§ 1020.9 and 1020.15. Title
82 O.S. § 1020.15(A)(10) requires the Board to consider whether waste by pollution will occur
by “failure to properly plug abandoned fresh water wells in accordance with rules of the Board
and file reports thereof.” For the reasons stated in Finding of Fact Nos. 23 – 24, there will be no
such failure. The Board concludes that waste by pollution by failure to properly plug abandoned
fresh water wells will not occur.

         23.    Title 82 O.S. § 1020.15(A)(7) also provides that the Board shall not permit any
groundwater user to commit waste by permitting or causing the pollution of a fresh water strata
or basin through any act which will permit fresh groundwater polluted by minerals or other waste
to filter or otherwise intrude into such a basin or subbasin. Paragraph (7) further provides, as
does a parallel provision of 82 O.S. § 1020.9, that if the activity for which the applicant intends
to use the water is required to comply with rules and requirements of or is within the
jurisdictional areas of environmental responsibility of the DEQ, then the Board shall be
precluded from making a determination whether waste by pollution pursuant to § 1020.15(A)(7)
will occur as a result of such activity. In this case, the rural water supply activity for which the
applicant intends to use the groundwater is within the DEQ’s jurisdictional area of environmental
responsibility for public water supplies as provided by 27A O.S. §§ 1-3-101(B)(6) and 2-6-301 et
seq. This activity is also subject to the DEQ’s rules governing public water supplies at OAC
Title 252, Chapters 626 and 631. Therefore, the Board is precluded from determining whether
waste will occur by Applicant allowing or causing the pollution of fresh groundwater by
permitting waste to filter or otherwise intrude into such groundwater through the applicant’s
public water supply activities.

                               PROTESTANTS’ OBJECTIONS

        24.   The Protestants asserted multiple objections against the application. (See Finding
of Fact No. 27). Such concerns by landowners who rely on their wells are understandable. But
the Board concludes that the Oklahoma Groundwater Law does not support these objections.
The legislative policy expressed in the Oklahoma Groundwater Law is “to utilize the
groundwater resources of the state.” 82 O.S. § 1020.2. To implement that policy, the Oklahoma
Groundwater Law authorizes the controlled reduction, i.e., mining, of a groundwater basin as
                                                                                             5021
long as that use and reduction is done in an orderly fashion according to the statutory scheme in
the Oklahoma Groundwater Law. The law provides that each surface owner (or his/her lessee)
of land over a groundwater basin may use a certain allocated amount of that basin’s groundwater
per acre of land owned or leased, as long as the use is beneficial and waste does not occur. The
allocated amount is set by statute (e.g., generally 2 acre-feet per acre of land for temporary
permits; see 82 O.S. § 1020.11(B)) or by the Board's order determining the maximum annual
yield of the basin. In cases such as this one where the maximum annual yield of the basin has
not been determined, the law generally provides for applications to be approved (upon
determination of the issues discussed in Conclusion of Law no. 4 above), and temporary permits
to be granted with the allocation of 2 acre-feet of groundwater per acre of land. In this case,
Applicant has satisfactorily passed the tests set forth in Conclusion of Law No. 15. There is no
basis to find Applicant will impermissibly or unlawfully lower the groundwater table. To the extent
an issue raised by the protestants has not been specifically addressed in the Findings of Fact or
Conclusions of Law herein, the Board concludes that such contentions are not material or
necessary to the decision, and therefore need not be addressed by the Board.

                                 ULTIMATE CONCLUSION

       25.    Based on the Findings of Fact and Conclusions of Law above, the Board
concludes that the Application should be approved subject to the terms specified in the Order
below.




                                            ORDER

       IT IS THEREFORE ORDERED, ADJUDGED AND DECREED that the Application
No. 2008-553 in the name of Rural Water, Sewer and Solid Waste Management District No. 6,
Grady County, Oklahoma shall be and the same is hereby approved subject to the terms set forth
herein. A temporary permit may be issued which authorizes use of 886.38 acre-feet of
groundwater per year for rural water supply. The permit shall reflect the dedication of 160 acres
owned and 313.19 acres leased in Caddo County, described more specifically as: 160 acres in
the SW ¼ of Section 8, Township 10N, Range 9WIM; 160 acres in the SW ¼ of Section 17,
Township 10N, Range 9WIM; and 153.19 acres in the NE ¼ of Section 21, Township 10N,
Range 9WIM. The permit shall authorize use from two wells, consisting of one well in the SW
¼ of the SE ¼ of the SW ¼ of Section 8, Township 10N, Range 9WIM; and one well in the NE
¼ of the SW ¼ of the SW ¼ of Section 17, Township 10N, Range 9WIM.

       IT IS FURTHER ORDERED that this permit shall contain the following express
condition:

       "The permittee shall not use any groundwater under this permit until the permittee
       first demonstrates to Board staff that the domestic well on the dedicated land

                                                                                           5022
      located in the SW ¼ of the SW ¼ of the SW ¼ of Section 8-10-9 has been
      properly plugged and the report thereof duly filed."

       IT IS FURTHER ORDERED that the permit shall contain all of the standard express
conditions for temporary permits, including those regarding one-year term, requirement of
annual revalidation, and succession by a regular permit after determination of the maximum
annual yield.

       IT IS SO ORDERED by the Oklahoma Water Resources Board in regular and open
meeting this 9th day of June, 2009.


                                         OKLAHOMA WATER RESOURCES BOARD


                                                ___________________________________
                                                Jess Mark Nichols, Chairman

ATTEST:



_____________________________
Linda Lambert, Secretary

(SEAL)




                                                                                   5023

				
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