The Idaho Legislature adopted the Groundwater District Act in 1995 which enables landowners holding groundwater irrigation rights to organize their own groundwater district pursuant to a local election authorized by a county commission.

The creation and organization of a groundwater district is like that of an irrigation organization, and it has broader authorities than a water measurement district. The groundwater district can perform the measurement and reporting functions required by law and levy assessments. Additionally, the groundwater district may represent its members in various water use issues and related legal matters, develop, and operate mitigation and recharge plans, and perform other duties as described under Idaho Code § 42-5224.