N.M. Admin. Code § 19.25.14.11
Consistent with its prioritizations, the interstate stream commission shall acquire water or water rights from willing sellers or lessors. The commission shall acquire water or water rights at a price no higher than appraised market value, based upon the best available information and considering the seniority and the consistent historic beneficial use of the water or water rights. The interstate stream commission may acquire water or water rights by donation at any time. Acquisitions shall be contingent upon a successful transfer of the water rights to the interstate stream commission pursuant to the procedures for transfer of water rights established by the state engineer. The interstate stream commission shall not purchase or lease water or water rights that will result in an increase in net depletions in the affected river reach or that will create cumulative adverse impacts on existing water users or delivery systems or the ability of the state of New Mexico to properly manage its waters or meet interstate obligations. The commission shall not acquire water or water rights that are served by or owned by an acequia or community ditch established pursuant to Articles 2 and 3 of Chapter 73 NMSA 1978 for inclusion in the strategic water reserve. The interstate stream commission shall not acquire water or water rights that are served by an irrigation district established pursuant to Article 10 of Chapter 73 NMSA 1978 except through a contractual arrangement with the district board of directors or the interstate stream commission may establish a special water users association pursuant to 73-10-48 NMSA 1978. The interstate stream commission acquires water or water rights from a member of an irrigation or conservancy district established pursuant to Chapter 73 NMSA 1978, the interstate stream commission shall utilize funds from the strategic water reserve to pay the annual assessment to the district that would accrue to the district absent the transaction.
N.M. Admin. Code § 19.25.14.11