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(Parenthesis ( ) Indicate Expenditure Decreases)

SOURCES OF INFORMATION

LFC Files

Office of the State Engineer (SEO)

SUMMARY

Synopsis of Bill

A joint memorial resolving that the New Mexico Legislative Council direct the appropriate committee to develop recommendations on water banking and to report its findings to the Legislative Council by January 1, 2002.

Significant Issues

The surface water of nearly all streams in New Mexico are full appropriated and underlying aquifers are being rapidly depleted. New Mexico's population growth has placed greater demands on the limited water supplies; however, current law provides no incentives to reduce consumptive water rights. SEO states that water banking is a tool for providing incentives to reduce consumptive water use and also provide beneficial water uses to be shared, leased or more easily transferred. The 1999, New Mexico Legislative Council Service report, Water in New Mexico, identified barriers to water banking including incomplete adjudication of water rights, the cost of adjudications, the lack of approval of temporary water trades as beneficial uses and the disallowance of water conservation as a beneficial use. SEO states that water banking must not impact the Interstate Stream Commission's ability to meet interstate compact compliance.

DUPLICATION

This joint memorial is the same as SJM-69.

GAC/ar