WATER MARKETING AND WATER RIGHTS TRANSFERS IN THE LOWER RIO GRANDE VALLEY,TEXAS*

Water marketing, which involves the purchase or transfer of water supplies or rights between a willing buyer and seller, represents on strategy for redistributing water resources among competing users. Most frequently, municipalities purchase agricultural water rights to augment their existing supply and help meet projected water demand. In Texas, the most active water market is in the lower Rio Grande Valley where the cities of Brownsville, Harlingen, and McAllen have acquired surface water rights for converting water from agricultural to municipal and industrial uses. The existence of the Rio Grande Watermaster simplifies the procedure for transferring surface water rights, helps address problems such as the maintenance of instream flow and protection of senior water rights holders, and serves as an administrative model for water resource management.