An Economic Development Strategy for the Sustainable Use of Water in the Paso del Norte Region
Executive Summary

        In April of 1996, the University of Texas at El Paso’s Center for Environmental Resource Management undertook a process to create an economic development strategy for the Paso del Norte region based on the sustainable use of the region’s water resources. The study was underwritten by the Economic Development Administration with support from the Ford Foundation and participating universities. A series of technical studies were commissioned as part of this study, and a year-long public participation process was undertaken in 1997. The result of this effort is a detailed strategy statement that constitutes the study’s principal product.

        The Paso del Norte region, as defined for the purpose of the project, consists of the five westernmost counties in Texas, two counties in southern New Mexico that lie along the Rio Grande, and four municipios in Chihuahua that border the Rio Grande down to its confluence with the Rio Conchos. The region falls within the arid Chihuahuan desert. While most of the region is sparsely populated, the Rio Grande floodplain is intensively irrigated and the El Paso / Cd. Juárez / Las Cruces area is becoming a major urban agglomeration. Coordinated resource management planning is made difficult by differences in the laws of the three states and two nations.

        Historically, the urban areas have exploited high quality ground water while the region’s farmers have relied on the surface waters of the Rio Grande, managed downstream of Elephant Butte Dam by a complex system of international treaties and interstate compacts. Over time, overdrafting has lowered the water tables of the region’s aquifers, yet overall municipal and industrial water consumption is increasing in lock-step with the region’s rapid population growth. As ground water supplies diminish, the region’s cities are planning to shift, or already have begun to shift, to using surface water. Increased municipal use of surface water will come at the expense of agricultural use. This shift will disrupt that element of the region’s economy and alter the physical environment. Furthermore, a transition from agricultural to municipal use of water will require modifications to the legal system that controls water allocation. If existing water rights holders are not fairly compensated, a legal conflict may ensue that could forestall the transition to municipal use of surface water use and hasten the depletion of the region’s aquifers. Inevitably, as municipalities shift to using surface water and lesser quality ground water, water rates will rise and this will have economic consequences.

        A series of technical studies were completed as part of the project. The pattern of existing water use was documented both for agricultural and municipal use, and municipal use was further broken down into residential and non-residential categories. The relationship of water use to the regional economy was documented in terms of both employment and payroll by economic sector. The overall population within the region was projected to the year 2050 based on the separate projections of the different jurisdictions in the region. An analysis was made of the types of water treatment technologies that may be necessary as the region becomes reliant on lower-quality water resources. A water exchange system was postulated to determine the benefits and potential negative impacts from a market-driven reallocation of surface water. Together with funding from other sources, a computer streamflow simulation model was created to facilitate an analysis of the environmental impact of altered stream flow regimes proposed to supply a year-round source of surface water to the region’s municipalities. And finally, a report was prepared to document the legal mechanisms controlling the allocation and use of both surface and ground water, together with an assessment of how the existing legal mechanisms may or may not allow for development of a long term strategy for sustainable use.

        Using the technical material to develop a statement of a regional economic development strategy was accomplished via a process that allowed for an open dialogue among individuals that collectively included a broad range of expertise and that represented the diverse interests of the region. To accomplish this, a committee was created and subsequently named the Stakeholder Taskforce. The Taskforce included participating researchers and individuals that were invited to represent of cross-section of interests; this latter category dominated the Taskforce membership. The Taskforce chose to further divide itself into five committees to assess different aspects of regional water use and economic policy as follows:

        The Stakeholder Taskforce committees met numerous times during which time a draft version of the strategy statement was created. The draft statement was published in an internet web site and presented and discussed in two broadly-publicized public gatherings that were dubbed Water Congress meetings. The meetings were used to refine the statements of proposed actions and to determine those actions that had the most importance. The full text of the strategy statement has forty-two different proposed policies and one hundred twenty-one different proposed actions. The highest priority actions, as identified by the Stakeholder Taskforce, are as follows:

Inventory the Extent of Regional Aquifers: Some of the ground water resources in the Paso del Norte region are very well documented, but others are only approximately known. This is particularly true for aquifers that overlap political jurisdictions and for the brackish and saline fractions of aquifers. Determining the quantity and quality of all ground water resources in the region was deemed the single most important action required to guide economic planning decisions.

Promote the Use of Treated Effluent: Treated effluent represents a water resource that can be used for non-potable purposes. Utilities should analyze the potential for reuse of treated wastewater and should use incentives to promote the use of treated wastewater. Land use planning should be mindful of this reuse potential by siting water-using industries, golf courses, urban wetlands and green spaces near wastewater treatment facilities.

Resolve Disputes over Ownership of Water Rights: The ownership of water rights should be unequivocally established so that transfer of water between uses can occur in an orderly manner. Parties involved in the current dispute should strive to reach an equitable, workable resolution, and to develop an on-going process that enables proactive, non-litigious problem-solving for resolving future disputes between the parties.

Mandate Water Conservation: Water conservation measures, clearly explained and consistently enforced, should be made mandatory for all entities. Water conservation should be promoted through an appropriate combination of regulatory and incentive-based approaches.

Drought Management Planning: A region-wide drought management plan should be created incorporating the needs of municipal, industrial, agricultural, and environmental uses. Drought management planning should be undertaken jointly by the region’s utilities, irrigation districts and federal and state entities responsible for water management within the Rio Grande Project region.

Public Education: Educate the public about the importance of water conservation through various means including media campaigns, school curriculum development and native plant sales. The goal of the educational effort is to deepen the public’s understanding for the need for conservation and to highlight actions that individuals can take to be part of the solution.

Borrow” Irrigation Water: In some situations, surface water can be provided for industrial and municipal use by “borrowing” irrigation water for drinking water use, then “paying back” the water in treated wastewater effluent for downstream agricultural users. This concept is particularly relevant to Cd. Juárez as part of future planning for use of surface water for municipal and industrial use.

Regional Bi-national Planning: Enhanced international water planning and management is needed to facilitate the exchange data and address water quality concerns. This could be accomplished through an expansion of the scope of responsibility of the International Boundary and Water Commission / Comisión Internacional de Limites y Aguas (IBWC / CILA), or through the creation of a new bi-national under the auspices of the La Paz Agreement.

Biological Inventory: A comprehensive inventory of the river ecosystem should be prepared to identify existing biological habitats and identify sensitive biological areas along the Rio Grande/Rio Bravo. This assessment can serve as a baseline for the evaluation of future development proposals and for the development of a plan to enhance the river ecosystem.

Sale of Agricultural Water: Legislative changes are needed to enable farmers to sell off unused portions of their water allotment without losing the right to that allotment. This will enable the reallocation of water to municipal use while promoting agriculture based on types of crops and improved irrigation techniques that make efficient use of the remaining water.

Extend Water to Unserved Areas: Water, sufficient in quantity and quality for basic human needs, must be supplied to unserved areas through the extension of municipal water lines, regulation of water-haulers, or other means. Planned, orderly extension of water utility services should be coupled with growth management strategies.

Rate Structures: The “real cost” of water should be reflected in water rate structures by factoring in the costs of exploration, treatment, delivery, future depletion allowances and quality of life and environmental issues. Rate structures should be based on long-term sustainable use.

Regional Planning and Management: A unified region-wide water management and planning mechanism should be developed to coordinate water policy in the region. The New Mexico / Texas Water Commission has begun to assume this role, but its membership should be expanded to include the Juárez Junta Municipal de Agua y Saneamiento. Planning activities should consistently solicit input from interested parties.

Analyze the Impact of New Development: Planning agencies and utilities should collaboratively analyze the impact of regional development and growth patterns on water supply and delivery capabilities. Development control strategies should be formulated to minimize per capita water demand and to ensure an orderly development of water supply infrastructure.

Coordinate Water Service Providers: A formal, permanent dialogue should be established between providers of municipal and industrial water within the region by the creation of a bi-national Water Supply Advisory Council. The Council would facilitate information sharing between regional municipal water providers so that they can develop joint ventures and work cooperatively to solve shared problems.

Promote Xeriscaping: The use of native and desert adapted drought-tolerant plant species in landscaping should be encouraged through tax and monetary incentives. State agricultural extension services could take a lead role by assembling a consortium of entities to develop a marketing and education plan to promote xeriscaping.

        Implementing the priority actions identified in the strategy statement will require an on-going commitment. Participants in the development of the strategy should continue to work cooperatively to realize the strategy statement’s ambitious proposals. One avenue for promoting the continued cooperation of different entities is to maintain the stakeholder process through focused action committees and periodic general meetings of the overall Stakeholder Taskforce.