The objective of this report is to provide recommendations for how new development can reduce water demands and better utilize urban enhanced runoff to shift towards a water positive future to enable groundwater aquifer stabilization and recovery and support sustained flow in the San Pedro River. An example case study is presented below to describe the range of development scenarios possible and accompanying policy options to promote appropriate development from a water resources perspective. This analysis is meant to compliment ongoing efforts to develop a holistic strategy that can provide near-term protection of San Pedro River flows and a secure long-term water supply from the regional aquifer.