WWRC 89-31
Water Market in Wyoming
Introduction
Like most states west of the 100th meridian, Wyoming has from its
earliest history followed the prior appropriation doctrine to allocate water
rights. Wyoming was the first state to adopt a wholly administrative scheme
for allocating water rights—a scheme that proved so successful it was emulated
by other states. Unlike many of its sister states, however, Wyoming
has traditionally adhered to a conservative policy regarding water transfers.
Fear that water rights applicants might engage in speculative acquisitions
led to a 1909 statute that appeared to ban transfers entirely. Over time,
Wyoming's water transfers law evolved to accommodate some changes in
use, place of use and point of diversion. But a conservative philosophy continues
to permeate water transfer decisions. This article attempts to explain
the reasons for that philosophy and to offer suggestions for change. It begins
with a brief review of Wyoming water law with an emphasis on those aspects
of the law relating to water transfers. It then considers the particular provisions
relating to water transfers, and reviews their interpretation by the
agencies and the courts. The article concludes with suggestions for changing
Wyoming's water transfer laws to encourage more efficient use, while at the
same time protecting environmental values and other water users. Many of
these suggestions apply equally well to other prior appropriation states.
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