Section 297.104 - Special Requirements for Upstream Sales of Water from StorageIf a contract provides that a purchaser may divert water upstream of a supplier's storage reservoir in a manner which impairs the supplier's water right:
(1) the purchaser shall obtain a permit to the extent of the person's maximum annual diversions of water for the term of the contract; or(2) the supplier shall obtain a permit or an amendment to the extent of the purchaser's maximum annual diversions of water for the term of the contract; provided that the contract specifies that the supplier shall apply for such permit or amendment and that the purchaser shall divert water only under such permit or amendment.30 Tex. Admin. Code § 297.104
The provisions of this §297.104 adopted to be effective May 29, 1986, 11 TexReg 2331; amended to be effective August 19, 2002, 27 TexReg 7152