New Mexico Administrative Code
Title 3 - TAXATION
Chapter 29 - MISCELLANEOUS STATE TAXES AND FEES
Part 13 - ENVIRONMENTAL IMPROVEMENT ACT
Section 3.29.13.9 - WATER PRODUCED
Current through Register Vol. 35, No. 18, September 24, 2024
A. When water is extracted from any surface or subsurface source by or for a public water supply system, that water is produced for purposes of the water conservation fee. A public water supply system produces water when another person, not a public water supply system, extracts water under contract with or as agent for the public water supply system. Water is produced only once.
B. Example 1: M, a New Mexico municipality, produces water from its own wells. M's sewerage system collects waste water and transports it to a treatment plant. After solid wastes have been removed, some of the water is withdrawn for use in watering a golf course. The water used to water the golf course is not produced for the purposes of Section 74-1-13 NMSA 1978.
C. Example 2: A, a New Mexico municipality, operates a public water supply system. The system's main reservoir is a lake. M also produces water from wells and produces water by diversion from streams in other watersheds. Some of the water produced from the wells and streams is pumped to the lake for storage. M does not produce water a second time when M withdraws from the lake the well and stream water stored in the lake.
D. Water used in the production of water, such as in priming pumps, and returned directly to the surface or subsurface source from which it was extracted is not produced for the purposes of the water conservation fee. Water used in the production of water but not returned directly to the source from which it was extracted is produced for the purposes of the water conservation fee.
E. Example 3: D, the water department of a municipality, extracts water from wells. Periodically D uses some of the water from the wells to flush the pipes and tanks of its well pumping plant. The flushed water and sediment is discharged into an arroyo. The water is not returned to the source from which it was extracted. It is produced for the purposes of the water conservation fee.
