REQUESTING THE NEW MEXICO LEGISLATIVE COUNCIL TO DIRECT THE APPROPRIATE COMMITTEE TO STUDY THE POTENTIAL TO ESTABLISH A STATE WATER TRUST OR OTHER MECHANISM.

WHEREAS, New Mexico is an arid state with extensive claims attached to its limited water resources; and

WHEREAS, agricultural water use is a critical element of the state's economy and a continuing healthy economy depends upon rational water policy and water transfers; and

WHEREAS, water rights holders depend on their beneficial use of water for economic survival and, therefore, view the water right as a property right; and

WHEREAS, the growth of urban communities in the state and competition between water users has escalated; and

WHEREAS, the free market exchange of water rights is legal in New Mexico, but pricing mechanisms can cause significant harm to traditional communities and cultures that have their value to the state; and

WHEREAS, institutional support to facilitate equitable and rational exchange of water for beneficial use while fostering conservation and efficient use is needed;

NOW, THEREFORE, BE IT RESOLVED BY THE HOUSE OF REPRESENTATIVES OF THE STATE OF NEW MEXICO that the New Mexico legislative council be requested to direct the appropriate committee, with the cooperation of the state engineer and the interstate stream commission, to study the potential establishment of a state water trust or other mechanism to act as a banking system for water beneficial use, fostering equitable free market exchanges of water rights under terms and conditions that minimize negative social, cultural, economic or other impacts on water rights areas of origin, conservation, efficient use and retention of New Mexico's full share of water rights; and

BE IT FURTHER RESOLVED that copies of this memorial be transmitted to the members of the New Mexico legislative council, the state engineer and the director of the interstate stream commission.