In the Western United States, environmental water right transfers have become an important tool to protect critical water resources. A new study conducted by Stanford University has assessed the use and efficacy of water right transfers among seven states in the Colorado River Basin. The study highlights progress made by select states and significant areas of improvement required by others.
Water rights transfers provide a method for water rights holders to change the point of diversion, place of use, and withdrawal of a body of water from its original purpose. When transferring a water right to the environment, the transaction can be used to enhance stream flow, protect water bodies, and preserve aquatic ecosystems. Environmental transfers have generally come from farmers and ranchers, who sell or donate their rights after freeing up water through a variety of conservation measures.[1][2]
In a recent press release, Leon Szeptycki – one of the lead authors and Executive Director of Water in the West describes water rights transfers as “a market-based, voluntary option for allocating water to the environment.” “These transfers can help fish and other aquatic species, and provide an alternative revenue source for water rights holders and play a role in broader water markets.”[3]
For most states, Environmental water transfers have been notoriously difficult to navigate and complete. Many state laws require water rights be put to a “beneficial use” or be lost, and historically, most state laws did not view environmental functions on the list of beneficial uses. Moreover, nearly every transfers typically requires a review by a state agency, a process that depending on the state, can be time consuming and burdensome to undertake.[4]
As a way of increasing the use of these transfers, the Stanford report scores and ranks each state in terms of existing laws and policies designed to promote transfers. Researchers analyzed factors such as legal authorization, the process for creating transfers, and the level of protection afforded to the transfers.
According to the study, Arizona scored the lowest of all six states, with the report citing unclear and untested regulations necessary to execute transfers. Colordao scored the highest because of robust and incentivizing legislation promoting water rights transfers. In the report, each state is given specific recommendations on how to improve.[5]
“All seven states in this report are at different stages in their evolution toward promoting more environmental water transfers and we hope this work can help each state highlight some of the most effective next steps they might take,” said David Pilz, Director of AMP Insights and a lead author of the report.[6]
To download the full report, please click here.
[1] Weiser, Marr. Water Transfers: Crucial to Western Rivers, by State Programs Lacking. News Deeply, April 17, 2017. Web. https://www.newsdeeply.com/water/community/2017/04/17/water-transfers-crucial-to-western-rivers-but-state-programs-lacking
[2] Oregon.Gov. Water Right Transfers. Water Resources Department. Web. http://www.oregon.gov/owrd/Pages/mgmt_transfers.aspx
[3] Ryan, Devon. Stanford Ranks States in the Colorado River Basin on Water Rights Transfers. Stanford News, March 28, 207. Web. http://news.stanford.edu/2017/03/28/states-rank-water-rights-transfers/
[4] Weiser, Marr. Water Transfers: Crucial to Western Rivers, by State Programs Lacking. News Deeply, April 17, 2017. Web. https://www.newsdeeply.com/water/community/2017/04/17/water-transfers-crucial-to-western-rivers-but-state-programs-lacking
[5] Ryan. Stanford Ranks States in the Colorado River Basin on Water Rights Transfers. http://news.stanford.edu/2017/03/28/states-rank-water-rights-transfers/
[6] Ryan. Stanford Ranks States in the Colorado River Basin on Water Rights Transfers. http://news.stanford.edu/2017/03/28/states-rank-water-rights-transfers/