“The Biden administration took action Wednesday for a historic agreement among Western states to conserve vital water supplies… The May agreement would ensure that at least 3 million acre-feet, or 978 billion gallons, of Colorado River water supplies — which feed the massive California agriculture industry and major jurisdictions like Phoenix — are conserved by 2027. Under that plan, at least half of that amount will be conserved by 2025.”

Analyst Comment: Water is becoming a huge problem for western states. While California has already been restricting water use for years, we expect Arizona and Nevada to follow suit do to declining seasonal rains and increasing populations.