Natural Lakes vs. Artificial Flowages — The Legal Distinction

Natural Lakes and the Public Trust Doctrine

On Wisconsin's natural lakes — the majority of the state's 15,000+ lakes — the lakebed is held by the state in public trust under the Wisconsin Constitution. This public trust doctrine establishes that the state has a duty to maintain navigable waters for the public benefit. Riparian owners on natural lakes have well-established rights including the right to reasonable use of the water, the right to wharf out to navigable water, and the right to access the water from their shoreline.

Artificial Flowages — Privately-Owned Bed

Petenwell and Castle Rock are artificial lakes created when the Wisconsin River was dammed — Petenwell in 1948 by what is now Wisconsin Public Service (WPS), Castle Rock in 1951 by Wisconsin River Power Company (WRPC). The land that was flooded to create these lakes was acquired through flowage easements, not through purchase of fee title in all cases. As artificial flowages, the waterbed underneath is privately owned — by WPS on Petenwell and WRPC on Castle Rock — not held in state public trust. This is the foundational legal distinction that separates these lakes from natural Wisconsin lakes for property rights purposes.

The Movrich v. Lobermeier Decision and 2021 Act 47

The Supreme Court Decision

In 2018, the Wisconsin Supreme Court ruled 4-3 in Movrich v. Lobermeier that shoreline property owners on an artificial flowage (Sailor Creek Flowage) did not have an inherent right to install a pier anchored to the privately-owned waterbed, because that right derives from ownership of or easement rights to the lakebed — which flowage shoreline owners do not have. The court held that any rights these owners had to use the water surface must be consistent with the waterbed owner's property rights and the flowage easement's terms.

2021 Wisconsin Act 47

The Wisconsin Legislature responded to the Movrich decision with 2021 Wisconsin Act 47, signed by Governor Evers on June 18, 2021. This legislation restored and clarified riparian rights for property owners adjoining flowages created under hydroelectric or water storage easements. Under Act 47, owners of property abutting a navigable waterway where the bed is owned by a hydroelectric operator are afforded the rights of a riparian owner — including the right to install piers — consistent with Wisconsin statutes. However, under Wis. Stat. § 30.132, owners of property abutting a navigable waterway whose bed is owned by a hydroelectric operator may be required to obtain permission from the operator to place a structure on the bed. Verify current permit requirements with WPS and WRPC directly.

What Petenwell and Castle Rock Shoreline Owners Have Today

The Right to Access

Shoreline property owners on both lakes have the right to access the water from their property — to walk to the water's edge, enter the water, and use the lake surface for recreation. This right was not affected by the Movrich decision.

The Right to Install Piers — With Permission

Under 2021 Act 47 and Wis. Stat. § 30.132, shoreline owners on Petenwell and Castle Rock have riparian rights including pier installation — but may be required to obtain permission from WPS or WRPC respectively before placing a structure on the lakebed. Additionally, Wisconsin DNR Chapter 30 permits are required for most dock and pier installations. See our dock permit guide for the full permitting framework.

What Remains Complex

The exact scope of riparian rights on specific Petenwell and Castle Rock parcels depends on: the language of the specific flowage easement recorded against the parcel, whether the parcel was conveyed with specific riparian rights or limitations, and the applicable WPS or WRPC permit terms. Buyers should have their title company review the specific easement language on any parcel they are purchasing and consult a Wisconsin real estate attorney if the easement language raises questions about permitted uses.

Practical Implications for Buyers and Owners

For buyers: verify the specific WPS or WRPC easement terms on any parcel before purchasing and confirm that any existing dock or boathouse is properly permitted. For owners contemplating new or replacement structures: contact WPS or WRPC before starting work to understand what permission is required. For sellers: unpermitted shoreline structures are a transaction complication — address permit status before listing. Castle Rock Realty guides buyers and sellers through this verification as standard practice in every waterfront transaction.

Frequently Asked Questions