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Intel Water Rights Deal Draws Critics

Former state engineer says deal is far reaching and would set precedents in state water rights management that should be thoroughly deliberated.

ALBUQUERQUE, N.M. (AP) -- The Middle Rio Grande Conservancy District is asking the New Mexico Interstate Stream Commission to delay action on a proposed water rights agreement with computer chip manufacturer Intel Corp.

The conservancy district board voted Monday to ask the stream commission to hold off on making any decisions. The commission is set to consider the water rights deal at a meeting Wednesday.

Under the agreement, Intel would pay $10 million and transfer its water rights to the commission. In exchange, the commission would relieve Intel of certain obligations the company has to make up for the impact its groundwater pumping has on the Rio Grande.

Interstate Stream Commission chief Estevan Lopez has described the deal as a "good and solid agreement" that would improve the company's competitive position while ensuring that New Mexico keeps enough water in the Rio Grande for downstream users and endangered species.

However, former state engineer Eluid Martinez said the deal is far reaching and would set precedents in state water rights management that should be thoroughly deliberated.

"Let's take our time to make sure that what's being done is in the interests of the state," Martinez told members of the conservancy district board during Monday's meeting.

The conservancy district, which represents irrigators from Cochiti Dam to Socorro County, has raised questions about whether the Intel proposal could deprive farmers of water rights that should rightfully be theirs. The district's chief engineer sent a letter to Lopez last month that spelled out some of the concerns and made the initial plea for the commission to delay consideration of the deal.

A group of state lawmakers led by Rep. Joe Cervantes, D-Las Cruces, has also raised concerned about the agreement.

The agreement calls for Intel to transfer to the state water rights it has been buying up to offset the effects of its groundwater pumping. The state would use excess water in the Rio Grande's water accounting system to make up for the rest of Intel's long-term water obligations.

Some critics wonder why other groundwater pumpers might not in the future expect the same treatment if the Intel agreement is approved.

Lopez said at Monday's meeting that by transferring Intel's water rights, the state would be better able to manage flow in the Rio Grande.

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