El Paso, Texas, faced an urban water shortage due to its limited groun
dwater, rapid population growth, and legal barriers to seemingly acces
sible water supplies. The cheapest new supplies were Rio Grande surfac
e water or groundwater from New Mexico. Federal reclamation law and Ne
w Mexico law that effectively prevents water export led to a bitter co
nfrontation that pitted New Mexico's use of the police power against t
he federal commerce clause. After an eleven-year legal battle, in 1991
, El Paso opted for a compromise resolution with most new water supply
(85,000 AF/year) provided by a reduction of transmission losses. Addi
tional supply will be provided by managing upstream reservoir levels t
o reduce evaporation, reducing per capita use to 160 gpd, increasing u
se of treated sewage effluent, and purchasing and leasing small parcel
water rights. Since making this decision, El Paso has actively pursue
d this alternative strategy and has a modest, but secure, future water
supply.