The state's population growth, agricultural demands, four years of drought, environmental lawsuits regarding the endangered Rio Grande silvery minnow and a host of other problems make it a "hot spot" of water problems that, individually, already plague many other states, he said.

Keys spoke about New Mexico's situation at "Water 2025: Preventing Crises and Conflict in the West" on Tuesday.

The conference brought major water decision-makers from around the state to discuss how to keep the hot spot from turning into an inferno. It was the eighth of nine conferences the bureau has held to help find out just how severe water problems in the West are and to start looking for solutions, he said.

"We've heard a lot of common things during these meetings, but what's unique about New Mexico is just how desperate it is here," Keys said. "I don't know that the public understands how serious the problem is."

New Mexico's population has grown 20 percent in the past decade, reaching about 1.8 million. It is projected to reach 2.6 million by 2025. The growing population increases demand on an already overallocated water supply, which has been severely strained by drought, said John D'Antonio, the state engineer.

"We're in a period of drought and have been for about four years," D'Antonio said. "Climatologists have been telling us that could be projected to continue for a long period of time. If you look at the past 2,000 years, the big drought of the 1950s actually looks to be more of the norm than the low end."

Added to the mix are old water delivery systems for farmers and unlined ditches that let scarce water resources seep into the ground.

"In some cases the Middle Rio Grande Conservancy District uses 10 acres of water to irrigate 1 acre of land," said Myron Armijo, governor of Santa Ana Pueblo, a user of district water. "The MRGCD irrigation systems need to be upgraded to be more efficient. There's been a lack of funding and an unwillingness of people to participate. We need to work together with other sectors to support it."

Environmental issues also play a key role. The 10th Circuit Court of Appeals has mandated water releases in an already strained system to protect the minnow. And on the other end of the spectrum, invasive species, such as salt cedar trees, suck up as much as a hundred gallons of water per plant per day and must be destroyed, speakers said.

"My own personal opinion is that salt cedar and other invasives really need to be public enemy No. 1," said Gordon Herkenhoff of the New Mexico Farm Bureau. "This isn't a problem you can attack (easily)."

The problems could create a disaster if something isn't done soon to solve them, Keys said.

"Unless the right plans are made, the potential for conflicts over water is extremely high," he said. "The federal government is not coming to the rescue with a big check. We don't have all the answers. We do know that collaboration is necessary in solving these water shortages."

In fact, the government is coming with a very small check. The House of Representatives approved an $11 million appropriation to fund community-based water conservation pilot projects, which the Senate reduced to $7.4 million - throughout the entire Southwest.

Considering the Middle Rio Grande Conservancy District is planning $76 million in improvements to line ditches, install more automated gates and monitoring systems, the federal funding is minuscule, said Letty Belen, lead attorney for the Land and Water Fund of the Rockies.

"That really is a tiny amount of money," she said. "Really a lot more investment is called for if the MRGCD alone needs $76 million to upgrade its systems. That's just a small part of New Mexico, compared with the entire Southwest."

While no conclusions were reached at the conference, Keys said it is helpful for the bureau to hear from stakeholders so it can create a more precise map of problems in the area.

"You can't implement a plan to fix the problems in isolation," said John Stomp, water resources manager for the city of Albuquerque. "You have to implement it with everyone else. For that reason, I think this meeting was great."