(a) If the sale of water is for a purpose of use other than that authorized in the seller's water right, then the supplier must file an application to amend that right and have the right amended before any sale may be approved.
(b) If the use of water under the contract involves a change in the place of use, diversion point, or diversion rate, an amendment to sellers or buyers water right is not required. Seller or buyer shall file a copy of the executed contract with the executive director for approval. Water diverted pursuant to this section shall be diverted from a diversion point and used on a tract of land identified in commission records in accordance with §303.53(b) of this title (relating to Documents Needed to File).
(c) The seller must be a verified owner of a water right. If the commission does not have adequate ownership records of the seller, then no sale may be approved by the executive director.
(d) All contracts must be filed with and approved by the executive director as complying with all the sections relating to contractual sales. No deliveries of sold water will be made by the watermaster until all requirements are met.
(e) The executive director will file the original approved contracts in the seller's permanent water right record and will send a copy of approved contracts to the watermaster.
(f) No contract approval is required for sales of water by a district when the district's distribution facilities are used to deliver the water to the buyer for purposes authorized by the district's water right.
(g) Seller can not use and/or sell in excess of his water right's annual authorized amount of use in any calendar year.

Source Note: The provisions of this §303.52 adopted to be effective July 2, 1986, 11 TexReg 2890.