How Water Banking Can Help Refill the Great Salt Lake

Authors

• Avery Truman
• Kendall Becker, Utah State UniversityFollow
• Matthew Behrens, Utah State University
• Sarah Null, Utah State UniversityFollow
• Matt Yost, Utah State UniversityFollow
• Scott Hotaling, Utah State UniversityFollow

Document Type

Factsheet

Publisher

Utah State University Extension

Publication Date

10-13-2026

First Page

1

Last Page

9

Abstract

Concern about low water levels in the Great Salt Lake has contributed to the development of water markets in Utah. Water markets enable the voluntary transfer of water or water rights from right holders to other people or entities in exchange for compensation. In general, these transfers are more likely to occur if a water rights holder can make more money by selling their water (or water rights) to another user rather than using it themselves. Willingness to engage in water transfers also depends on the ease of transactions, confidence in the water market, and confidence in the ability to exit the market. One type of voluntary, market-based water transaction is water banking, where a water rights holder, without forfeiting their water rights, can transfer water to a water bank, reducing transaction costs and streamlining state approvals.

Recommended Citation

Truman, A., Becker, K., Behrens, M., Null, S., Yost, M., & Hotaling, S. (2026). How water banking can help refill the Great Salt Lake [Fact sheet]. Utah State University Extension.