Utah has a population set to double by 2065, a growing economy and strong desire to preserve its natural environment. This change creates various market “drivers” that shift demand for water. Many water users are curious about using “water marketing” as a means to maintain local control over these changes. They want to understand what water marketing is, how it works and whether it will benefit them. This can be a daunting task.
To streamline the effort, the state of Utah has developed water marketing strategies and dynamic tools to help water users exploring water marketing. Based on Utah stakeholder experiences, the materials below summarize key water marketing concepts, give practical guidance and provide usable forms and documents. These are interactive materials meant to be printed, digested and applied.
Marketing milestones
To organize the water marketing discussion, Utah has identified 5 Water Marketing Milestones that break down the key elements, questions, and considerations of water marketing.
- PEOPLE: Engage participants and ask the right questions.
- MARKETS: Assess local water supply and demand needs.
- LOGISTICS: Analyze feasible water delivery options, physical water distribution and legal considerations.
- TRANSACTIONS: Negotiate water leasing arrangements.
- APPROVALS: Identify and prepare approvals
By applying these milestones in order, water users can identify what they know, what they don’t know and what additional information they need to move forward with a water transaction.
The Marketing Milestones Foundational Questions document is a step-by-step guide for water users interested in exploring water marketing. Using a series of strategically crafted questions, water users can assess interest and design a water transaction that fits the local area.
Print and use this document to start your water marketing discussion!
Statewide water marketing strategies
During the development of Utah’s Water Marketing Strategies, many water users had questions about how to accomplish Milestone 3 – Transactions. Once they had determined there was interest in a water transaction, there was supply/demand match and that the transfer of water was feasible—water users wanted to know how to formalize their arrangement.
To help water users, Utah developed two sets of water marketing strategies: Water Marketing Methods and Water Marketing Transaction Types. Having identified their local conditions through the Foundational Questions Document, water users can then use these strategy materials to determine which Marketing Method and Transaction Type best fits their needs.
Water Marketing Transaction Types
The terms and conditions the parties agree to satisfy and execute a transfer of water between the parties. Click for information on and examples of methods like water auctions, rental pools, Utah Water Banks, bulletin boards and negotiated agreements.
Water Marketing Methods
The platform or structure used to bring together willing lessors/buyers and willing lessees/sellers. Click for information on various sales options and forms of leases. Contact examples and key terms are also provided below.
Contract examples and Water Valuation Guide
In addition to the Marketing Transaction Types and Marketing Methods, the state has also prepared a Water Valuation Guide as well as several sample contracts (coming soon!) and a sample contract term sheet (coming soon!).
More information on Utah water marketing can be found from our Water Marketing main page.
If you have questions or need further information, please email WaterMarketing@utah.gov.