I need strong convincing before I support water markets, but it strikes me that internal cap-and-trade systems might work well for the new Groundwater Sustainability Agencies. The State should develop a manual or guidebook for creating a cap-and-trade system for GSAs that must allocate newly limited annual groundwater withdrawals. It should make that guidebook publically available for free.
Unbundling Water Rights listed a simple groundwater basin conversion to a market system as its first example. I am sure the State has other expertise from its carbon trading system. This would be real concrete assistance to locals and could be done by the time they finish getting their governance set up in a couple years.