Water is one of the most vital resources that businesses need to thrive. However, in arid states like New Mexico, water scarcity can pose a significant threat to businesses. In particular, those that rely on water-intensive operations such as agriculture, mining, and manufacturing. To address this challenge, Santa Fe recently passed the Regional Water System Resiliency Act, which comes into effect July 1st of 2023. This act aims to improve water infrastructure resiliency and sustainability across New Mexico. In this blog post, we will discuss the key provisions of this act and its potential impact on businesses, especially those based in rural areas.
What is The Water System Resiliency Act?
The Regional Water System Resiliency Act authorizes the creation of regional utility authorities, also known as RWUAs, to manage and oversee water systems across regions. These RWUAs will have the power to set water rates, enter contracts, levy taxes, and issue bonds to finance water-related projects.
This act also provides for the transfer of water assets, liabilities, and rights from existing water systems to the new RWUAs. This provision aims to promote consolidation and collaboration among various water systems. Ideally leading to increased efficiency, cost-effectiveness, and better water management. This act gives each RWUA’s board of directors various powers and duties. These include promoting water efficiency and conservation, reducing water use, and preventing water waste and pollution.
The Regional Water System Resiliency Act also authorizes the issuance of bonds to finance water infrastructure projects. This provision offers new opportunities for businesses to invest in the water system and secure their water needs. Moreover, the act prioritizes the use of funds for infrastructure projects that promote water sustainability. Primarily those that improve efficiency, reduce water waste, and expand the use of alternative water sources. This focus on sustainability will ensure that the water system investments provide long-term benefits to communities.
What Does This Mean for Businesses?
As a business owner, it’s essential to be aware of the responsibilities laid out by an RWUA. Understanding how to comply with their ordinances could save you valuable time and money in your operations. Such compliance can be achieved by adopting relevant practices, implementing water-saving technologies, and reducing pollution in your operations.
If you’re a business owner who relies on water, there is increased importance of your regional utility authority. They are necessary to work with to secure your water needs for your operations. Should any conflict arise in these interactions, it is always advised to contact legal counsel.
The Regional Water System Resiliency Act will have a significant impact on New Mexico business owners, particularly those operating in rural areas. The act provides a new avenue for collaboration between businesses and regional utility authorities for balancing water needs with sustainable use. Moreover, consolidation and collaboration among water systems could improve water system resilience and sustainability, benefiting businesses in the long run. As a business owner, it’s crucial to be aware of the provisions of the act, understand your responsibilities, and take advantage of the opportunities presented.
Law 4 Small Business (L4SB). A little law now can save a lot later. A Slingshot company.
