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Utah water law follows a "first in time, first in right" system, where older water rights get priority access during shortages, but water rights holders can voluntarily enter into "subordination agreements" that let a senior right temporarily yield to a junior right, which is a useful tool for managing water resources flexibly. A long-standing legal doctrine called the rule against perpetuities limits how long certain property interests can remain unresolved, and there has been legal uncertainty about whether these subordination agreements might be affected by that rule. This bill would clarify in state law that water right subordination agreements do not create the kind of unresolved property interest governed by the rule against perpetuities, and this clarification would apply retroactively to agreements already in place, not just new ones made after the bill takes effect.