This paper analyzes the demand for water in case of a multiple-part tariff in Denton, Texas. The model used is developed from Billing & Agthe's model by using the following variables: marginal price, difference variable, tax assessed value, lot size, house size, temperature and rainfall.. The results indicate that temperature has the greatest effect on water demand, since this area is considered to be a very warm area. Also, marginal price seems to have a strong effect on water consumption indicating that customer is well-informed to a change in rate schedule. This test supports the original idea of the previous articles that the coefficient on difference variable and that on income should have the opposite sign. However, this test can not prove that those coefficients should be equal in magnitude, since the proxy of the income variable can not represent the individual monthly income. In addition, this article introduces another variable which can be a proxy of outdoor water use. That is lot size showing the effect on water demand. The last variable used in the model, house size,does not have much effect on water demand and is dropped out in the final model.

Texas is the last remaining state to utilize the rule of capture, a doctrine based on English Common Law, as a means of regulating groundwater resources. Many of the western states originally used the rule of capture to regulate their groundwater resources, but over time, each of these states replaced the rule of capture with other groundwater laws and regulations. The Texas Water Development Board (TWDB) State Water Plan, Water for Texas-2002, warned Texans if current water usage and laws do not change, there will be an unmet need of 7.5 million acre-feet of water annually by 2050. This caused individuals in state and local government to begin asking the question, "How are we going to meet our future water needs?" In the search for a solution to the water shortage problem people have divided themselves into two groups: one wants to consider the implementation of water conservation measures to reduce per capita water use in order to meet future demands; while the other group wants to spend millions of dollars to build reservoirs and dams along with laying thousands of miles of pipeline to move water around the state. The fact that Texas has yet to come up with a definitive answer to their water shortage peaked my curiosity to research what caused the State of Texas to get to a point of having a shortage of fresh water and then look at possible solutions that incorporate water conservation measures. In my thesis I present a historical overview of the rule of capture as Texas's means of groundwater management in order to illustrate the role it played in contributing to the water shortage Texans now face. I also take a historical look at the environmental justice movement, a grass-roots movement by environmentalists and Civil Rights activists working together to guarantee the rights of low-income and minority communities to clean and healthy environments, focusing on several acts and policies enacted by the federal government as a direct result of this movement. I then demonstrate how the rule of capture is in conflict with these acts and policies along with being in violation of both state and federal regulations in an attempt to establish a sound argument as to why we need to replace the rule of capture not only from an environmental standpoint, but from a legal standpoint as well. After considering groundwater legislation in other states, I offer a possible alternative to the rule of capture as part of the solution to the approaching shortage of Texas's fresh water supply. The implementation of new laws, regulations and conservation measures will help conserve water for future Texans, but we must also consider a change in our relationship to water along with the attitudes and ideas that resulted in a water shortage not only in Texas, but on a global scale if we truly want to solve our future water crisis.

Assessing the impact of climate variability on water resources is one of the difficult tasks in planning the future growth of North-Central Texas. This study defined twelve extreme climate scenarios. Data from each scenario was input to a hydrological model (HEC-HMS) to calculate watershed runoff to Lake Ray Roberts. Model parameters are determined using Geographic Information System (GIS). The water balance was calculated for current and future water demand and resulting change in the volume and level of this reservoir. The results indicate certain climate scenarios decrease in volume. Thus, local governments should plan alternative water management strategies during droughts.