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HB2 Leaves New Mexico’s Water Obligations Unfunded—The Senate Must Fix It

The Senate Must Act—Now—to Prevent a Deepening Water Crisis

New Mexico’s water future now rests with the Senate Finance Committee.

HB2, as sent from the House, funds less than half of the State Engineer’s urgently needed requests to carry out existing statutory duties. These are not new programs. They are the core responsibilities the Legislature has already assigned to the Office of the State Engineer and the Interstate Stream Commission—responsibilities tied directly to interstate obligations, Indian water-rights settlements, and protection of the public welfare. The Senate is now the last line of defense against compounding legal, financial, and operational risk.

These Are Legal Obligations—Not Optional Spending

New Mexico is legally bound to comply with the Rio Grande Compact, implement federally approved Indian water-rights settlements, enforce existing water rights, and carry out laws the Legislature has already enacted. Underfunding does not make those obligations disappear. It postpones action, raises exposure to litigation, and dramatically increases long-term costs.

The Senate Finance Committee must confront this reality directly.

Where HB2 Falls Critically Short

Rio Grande Compact Compliance
The State Engineer requested $50 million to implement the Lower Rio Grande settlement, reduce ongoing Middle and Lower Rio Grande depletions, and ensure water reaches Elephant Butte Reservoir and the new El Paso compact gage. HB2 provides less than half that amount. Partial funding delays corrective action and sharply increases the risk of Compact violation—now projected within two to three years in the Middle Rio Grande.

Indian Water-Rights Settlements
The State’s cost share unlocks several billion dollars in federal settlement funding and implements agreed-upon projects that benefit both Tribal and non-Tribal water users. HB2 provides only $10 million of the $35 million request, despite this being an ongoing, binding obligation.

Water Security Planning and Modernization
The Legislature unanimously enacted the Water Security Planning Act in 2023. HB2 cuts the funding needed to implement that law and denies FY27 funding to continue replacement of a fragile, 30-year-old water-rights database that is at risk of failure.

River Conveyance and Core Staffing
HB2 eliminates funding for extraordinary Middle Rio Grande channel improvements—even though 2025 demonstrated that preventable conveyance losses directly undermine Compact deliveries. It also zeroes out critical field and settlement staff needed for enforcement, wet-water administration, and compliance—functions no other entity can perform.

The Cost of Delay Is Not Abstract

Failure to act now threatens communities, agriculture, Tribal settlements, interstate relations, and New Mexico’s economy. Deferring action guarantees higher costs later—financially, legally, and operationally.

Call to Action

The Senate Finance Committee must provide full funding for the State Engineer’s requested water resources management special appropriations and expansions that the House left out of HB2.

If you care about New Mexico’s future, contact Committee members today and demand the Senate fully fund these core State water management responsibilities. Only the State has the authority and resources to comply with the law by carrying them out. Committee members are listed here.

The urgency is extreme. The time is now.

1 Comment

  1. Donna Detweiler
    February 9, 2026 @ 7:36 pm

    I’ve been watching all the advocacy for lowering greenhouse gas emissions (a good thing!) AND I wish for water issues to be equally salient in the minds of legislators. Without fully funding our state water agencies, we risk drying up our children’s future.

    Reply

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