In some ways, a land-value tax is kind of like that. A LVT of x% is equivalent to the government taking x% of your land and making you buy it back from them at

In some ways, a land-value tax is kind of like that. A LVT of x% is equivalent to the government taking x% of your land and making you buy it back from them at market value. Perhaps that indicates that the more palatable solution would be a tax on the exercise of water rights.