KLAMATH FALLS, Ore.—One of the most bitter water wars in the West is erupting again.

This past week, the Klamath County Commission in southeastern Oregon and Gov. John Kitzhaber both declared a drought emergency to help make farmers eligible for federal subsidies to alleviate any losses. The agricultural county of 70,000 has been dealing with unusually dry conditions for the past four months, with farmers and ranchers saying they face potentially crippling water cutbacks by federal agencies.

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