N.M. Code R. § 19.25.13.6
The objective of these rules is to establish the framework for the state engineer to carry out his responsibility to supervise the physical distribution of water to protect senior water right owners, to assure compliance with interstate stream compacts and to prevent waste by administration of water rights. These framework rules employ long-standing statutory mechanisms specified at Section 72-3-1 through Section 72-3-5 NMSA, which describe procedures for the creation of water master districts and the appointment of water masters with certain defined duties and authorities. In addition, these rules fulfill the mandates of Section 72-2-9.1 NMSA, requiring the state engineer to adopt rules for priority administration based on appropriate hydrologic models and expedited marketing and leasing within water master districts subject to priority administration.
N.M. Code R. § 19.25.13.6