Lesson 8 of 9 · about 17 minutes
New Claims on Old Water: Data Centers, Energy and Farmland
You'll be able to
- Explain the three main ways a new industrial user gets water in Idaho and the risks of each
- Convert million gallons per day into acre-feet per year and peak cfs
- Estimate how much irrigated land a transfer of consumptive use would dry up
- List the land use and water records to pull when a large project is proposed
Every few months a company announces a project in the rural West and says it will use "less water than a golf course" or "the same as 300 homes." Sometimes that is true. The claim still tells you nothing about where the water comes from, whose water it was before, or what happens in a dry August. In a basin where every drop is already claimed, a new user's water has to come out of somebody's existing right.
This lesson connects this module to the data center and energy courses. For how cooling systems use water and what real campuses have reported, see the lesson "Water: Cooling, Aquifers and Reclaimed Supply" in Data Centers in Your Community. For power plants and their own water and land use, see the modules How the Power Grid Works and Alternative Energy: Hydro, Wind, Solar, Geothermal and Storage.
Three ways to get water
| Route | How it works | Main risk | Records to pull |
|---|---|---|---|
| New appropriation | Apply to IDWR for a permit for a new right | The right gets today's priority date, junior to everything. In a stressed basin, first to be cut. May be denied where the source is fully claimed or under a moratorium. | The application, protests, the hearing record |
| Buy and transfer existing rights | Buy senior farm rights and apply to change their nature, place and point of use under 42-222 | Approval limited to what the old right actually used; protests over injury and local public interest; dries up the farmland | Transfer application, the original right's history, protests |
| Municipal service | Connect to a city system that holds municipal rights | The city may need to acquire more rights itself; peak demand can strain wells and treatment | Service agreement, city water master plan, council minutes |
Each route also has a wastewater side. Cooling water discharged to a stream or sewer needs a permit or an agreement with the city's treatment plant, which brings in DEQ.
Why the old rights are worth so much
Priority. In the Eastern Snake Plain, the 2026 curtailment order applied to unmitigated ground water rights junior to October 11, 1900. A right applied for in 2026 is junior to every one of those. A company that needs water every day of every year cannot build on a right that may be shut off in a dry spring. So it buys old rights, or a mitigation arrangement, or service from a city that has them.
Then 42-222 applies. The director can approve the change only if it does not injure other rights, does not enlarge the original use, and is consistent with the state's conservation policy and the local public interest. Enlargement is the key test for a farm-to-factory move. A farm right that used water five months a year and let much of it return to the aquifer cannot simply become a year-round right that evaporates most of what it takes. Reviewers look closely at what the old right really consumed.
Worked example: from gallons per day to acres of farmland
An invented data center, Project Kestrel, proposes a campus outside the invented town of Sagebrook. Its filings say average use of 1.5 million gallons per day, with evaporative cooling.
Step 1: annual volume. USGS gives 1 MGD = 3.0689 acre-feet per day. 1.5 times 3.0689 = 4.60 acre-feet a day. Times 365 = 1,680 acre-feet a year.
Step 2: consumption. Evaporative cooling consumes much of what it withdraws. Suppose the company's engineers say 75 percent evaporates and 25 percent goes to the sewer (an invented split; ask for theirs). Consumptive use = 0.75 times 1,680 = 1,260 acre-feet a year.
Step 3: farmland equivalent. Suppose IDWR finds the farm rights being bought historically consumed 2.0 acre-feet per acre per year (invented; the real figure comes from the transfer record). 1,260 divided by 2.0 = 630 acres of irrigated land taken out of production.
Step 4: the land value swing. Using USDA's 2026 Idaho averages, irrigated cropland at $9,500 and dry cropland at $2,550, drying up 630 acres moves them from 630 times $9,500 = $5,985,000 to 630 times $2,550 = $1,606,500. Difference: about $4.4 million, which is roughly what the water is worth on that land.
Step 5: peak day. If summer peaks run twice the average, peak use is 3,000,000 gallons a day. One cfs for a day is 646,272 gallons, so 3,000,000 divided by 646,272 = 4.6 cfs. That is the number a city's wells and pipes must meet.
Now compare to the company's line, "the same as 300 homes." 1.5 MGD divided by 300 homes = 5,000 gallons a day per home. Few homes use anything close to that. Ask what household figure they used.
Land: zoning, permits and the plan
Large projects usually need a rezone to industrial, a conditional use permit, or both. Idaho Code 67-6512 lets a board attach conditions, including off-site public facilities, stricter standards and studies of environmental effects before a permit is granted. The comp plan's groundwater consideration under 67-6508(r) applies when a plan amendment is part of the package. The Land Use lesson in this module covers hearings, written decisions and appeal deadlines.
Energy projects on farmland
Solar fields, wind turbines, battery yards and transmission lines all compete for rural land. For many farm families a long-term lease is steadier income than crops, which is why some owners welcome it. Neighbors and farm groups worry about losing productive ground, about land that may not return to farming, and about water rights left unused (remember the five-year forfeiture clock in lesson 1, and ask whether the right will be leased, transferred or protected). Transmission is its own fight: comp plans must address national interest transmission corridors for lines of 115,000 volts or more once the PUC signals one is likely.
Worked example: lease versus crop
An invented owner of 200 dryland acres is offered a solar lease of $800 an acre a year (lease rates vary widely; get the real contract terms). 200 times $800 = $160,000 a year. If dryland wheat nets her $60 an acre in a decent year (invented), that is 200 times $60 = $12,000. The gap explains the signature. Whether the county should allow it depends on its plan and zoning standards, which is where the public argument belongs.
The case each side makes
| Supporters argue | Opponents argue |
|---|---|
| Large tax base on a small footprint; see the module Data Centers in Your Community for incentive math | Few permanent jobs per dollar of incentive; tax breaks shift costs |
| Water bought through transfers is retired from farming under state review, so total use does not rise | Retiring farms changes communities, and evaporative cooling consumes water that irrigation partly returned |
| Closed-loop or air cooling can cut water use to very little | Low-water cooling uses more electricity, which has its own water and grid costs |
| Owners have a right to sell water and lease land | Nondisclosure agreements and code names keep the public from weighing in early |
Common mix-ups
- Claim: The company "bought enough water for 5,000 homes." What the evidence shows: What matters is what IDWR approves in the transfer, which can be far less than the paper right.
- Claim: A data center uses less water than the farm it replaces, so there is no impact. What the evidence shows: Compare consumption, timing and peaks, not just withdrawals. A farm's return flows and recharge may disappear.
- Claim: City water means no water rights issue. What the evidence shows: The city's rights have priorities and limits too. Ask whether it must acquire new rights or mitigation to serve the project.
Reporting angle
- Ask the company and the city one question first: which water right numbers will supply this project?
- Search IDWR's new applications and new transfers lists for the buyer's name, its LLC, and its consultants.
- Get average and peak day demand, withdrawal and consumption, in writing. Convert everything to acre-feet a year and cfs.
- Pull the original farm right's history: priority, place of use, and any forfeiture questions.
- Check the planning file for conditions on water, wastewater and studies.
- Use the Idaho FOIA / Public Records Letter Generator to request the city's service agreement and any NDA.
Research angle
- IDWR water rights: applications, permits and transfers.
- Idaho Code 42-222: changes in point of diversion or place of use, and forfeiture.
- Idaho Code 42-111: the domestic exemption.
- Idaho Code 67-6508: comprehensive plan contents.
- Idaho Code 67-6512: special use permits, conditions and procedures.
- USDA land values release: farmland value context.
Check yourself
1. A campus will use 1.5 million gallons per day on average. About how many acre-feet is that per year?
1 MGD is 3.069 acre-feet per day. 1.5 times 3.069 times 365 is about 1,680 acre-feet a year.
2. Why do many new industrial users in southern Idaho buy existing farm water rights instead of applying for new ones?
A new appropriation is the most junior right on the source. In a stressed basin, junior rights get cut first, so older rights are worth buying and transferring.
3. Which test does Idaho Code 42-222 apply when someone changes a farm right to industrial use?
The director may approve only if there is no injury to other rights, no enlargement of the original use, and consistency with conservation policy and the local public interest.
4. A facility averages 1.5 MGD but peaks at twice that on hot days. What is the peak flow in cfs?
3,000,000 gallons a day divided by 646,272 gallons per cfs-day is about 4.6 cfs.
5. Can a developer drill several domestic-exempt wells to supply one large commercial use?
The statute bars stacking domestic rights to avoid the mandatory application and permit process.
6. Which comp plan component in Idaho Code 67-6508 deals with high-voltage transmission corridors?
Component (p) covers lines of 115,000 volts or more once the PUC signals a likely federally designated corridor.
Terms in this lesson
- Fully appropriated
- A source where existing rights already claim all reliably available water, so new rights would rarely be satisfied.
- Transfer (change of use)
- An IDWR-approved change to an existing right's point of diversion, place, period or nature of use.
- Historical consumptive use
- The water a right actually removed from the system through crop use or evaporation in the past, often the key number in a transfer.
- Million gallons per day (MGD)
- A common unit for municipal and industrial use. 1 MGD equals about 3.069 acre-feet per day.
- Peak day demand
- Water use on the highest-use day, which sizes wells, pipes and treatment plants.
Sources
- Idaho Code 42-222, Change in point of diversion, place of use; forfeiture checked 2026-10
- Idaho Code 42-111, Domestic purposes defined checked 2026-10
- Idaho Code 67-6508, Planning duties checked 2026-10
- Idaho Code 67-6512, Special use permits checked 2026-10
- USGS Water Science School glossary (acre-foot, cfs, Mgal/d, consumptive use) checked 2026-10
- IDWR, Surface Water Coalition Delivery Call overview checked 2026-10
- USDA NASS, Land Values 2026 Summary checked 2026-10
- IDWR, Water Rights tools (transfers and applications search) checked 2026-10