Nevada Program Tests Farmers' Willingness To Sell Groundwater Rights, And The Results Have Been Startling

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As the only state in the Great Basin that doesn’t use Colorado River water for agriculture, Nevada’s farmers rely on groundwater wells. Yet many of the state’s aquifers are shrinking, threatening its cattle ranches and its cash crop, alfalfa hay, which helps feed California’s dairy cows. Groundwater is vanishing all over the country — the result of decades of excessive use and climate change-fueled drought. In some states facing severe groundwater decline, officials are beginning to penalize over-pumping or ordering farmers to stop irrigating because conservation alone won’t be enough.

Nevada’s approach is more carrot than stick. With $25 million in federal pandemic aid, state officials decided to run a one-time test of whether farmers would be interested in selling all or a portion of their legal rights to draw groundwater. They focused on Nevada’s most depleted basins, where over-pumping is emptying rivers and threatening future crops. By this spring, they had their answer: There were more applicants than money to pay them. Farmers and ranchers offered to sell $65.5 million worth of water rights, more than two-and-a-half times the available funding.

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“Folks here see the writing on the wall,” said Jake Tibbitts, natural resources manager for Eureka County, which encompasses Diamond Valley. “We know there’s no math equation that will work unless some lands come out of production.” Tibbitts said many applicants plan to continue farming. They didn’t put all of their water up for sale, choosing instead to hold back their most senior rights or their most productive wells. Those farmers have options: they can fallow some fields, turn them into dryland pasture for cows, horses and sheep, or experiment with crops that thrive on less water. Those planning to sell most of their holdings are typically older, Tibbitts said, without children or grandchildren who want to take over the family farm.

Solar developers are also sniffing around the valley, offering to lease farmland in anticipation of major transmission lines being built some day. Billy Norton, 64, said the state’s offer would equal as much as nine years’ worth of savings — a deal too good for someone nearing retirement to let pass. He is holding back enough water to graze cows on his property; the rest of his water rights will be permanently retired. “Was I totally excited about it? No. And even today I’m not. But I do feel it’s the right decision,” Norton said. “It’s a wonder that we’ve been able to go this long with over-pumping like we have in this valley.”

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https://www.washingtonpost.com/climate-solutions/2024/07/19/water-rights-nevada-pilot-program/