Nevada Water Rights Retirement Program

A program for willing sellers in the Humboldt River and Central Region groundwater basins

Information and background

The Central Nevada Regional Water Authority (CNRWA) and Humboldt River Basin Water Authority (HRBWA) were recently granted $15 million in funding from the Nevada Legislature to purchase groundwater rights from willing sellers in central Nevada. The voluntary program, the Nevada Water Conservation and Infrastructure Initiative, aims to buy and permanently retire groundwater rights from willing sellers in groundwater basins with insufficient water supply to serve all water rights and domestic wells. Water right holders in the portions of the Humbolt River Basin and Central Hydrographic Region located in CNRWA and HRBWA member counties may be eligible. Counties include Churchill, Elko, Esmeralda, Eureka, Humboldt, Lander, Nye, Pershing, and White Pine.

This program is meant to alleviate water right conflicts and mitigate over-pumped and over-appropriated basins. Retiring groundwater rights will help stabilize groundwater levels, and the priority is for retiring irrigation rights in over-pumped basins subject to curtailment. Purchasing groundwater rights in other over-appropriated basins will also be considered if such purchases mitigate conflicts with existing rights or if there are detriments to natural resources.

​Over-pumped basins are allocated $900 per acre-foot, and over-appropriated basins that are not over-pumped are valued at $350 per acre-foot. Water rights in the Diamond Valley Basin are valued at $800 per acre-foot. Up to an additional $50 per acre-foot is available for mitigation activities, such as plugging wells. The prices were established by an independent economist using valuations based on the current value of farming with irrigation groundwater rights. The value depends on the number of years operations can continue, a farmer’s financial obligations, and personal ties to the land.

​Funding is available for only a limited time. Applications will be available the week of November 27, 2023, and are due January 22, 2024. A list of prospective sellers must be submitted to the state Division of Water Resources by February 1, 2024.

Priority will be given to purchasing water rights in over-pumped basins and water rights that address conflicts with existing rights, including surface water capture or detriments to the public interest and natural resources, water rights that are in regular use and that result in a reduction of consumptive use. All things being equal, applications will be approved based on when they were submitted.

The Central Hydrographic Region is the largest of Nevada’s hydrographic regions and includes 23 over-appropriated groundwater basins. Nine of the over-appropriated basins located in CNRWA member counties are also over-pumped. More than 90% of the groundwater pumped in the Central Hydrographic Region is for irrigation.

Similarly, some groundwater pumping in the Humboldt River Basin has created water shortages for some senior decreed surface water rights, and 19 of the 34 groundwater basins are over-appropriated, including nine that are over-pumped. About 70% of the groundwater pumped in the over-pumped basins in the Humboldt Basin is for irrigation.

A general reclamation and mitigation plan will be developed with eligible applications. Plans will guide the transition from cultivated agriculture to a stable, nonirrigated state – or another use to establish native vegetation or cover crops such as crested wheat. Future uses of the land, including but not limited to solar, industrial, hay stack yards, and laydown areas that will mitigate impacts associated with the removal of irrigation, will be considered on a case-by-case basis.

Once applications are approved, program contractors will conduct title searches and perform due diligence to assure that water rights are in good standing and that the rightful owner can sell the water rights free and clear. Payment will be when the Division of Water Resources approves the contracts, conveyances, and other documentation.

The Nevada Department of Conservation and Natural Resources manages the program, supported by funding from the American Rescue Plan Act.

Apply

Applications are expected to be available by the week of November 27, 2023. Applications will be available at https://cnrwa.com/ and https://hrbwa.com/ for completion online or download for mailing. Applications will also be available at various locations in the Humboldt and Central Region.


Contact: Jeff Fontaine | ccjfontaine@gmail.com or 775-443-7667.