Well stated Clayton.

There are regulations involved in the well thing, my understanding is that there is a map or a list someplace.
Some wells are grandfathered in (have been in existence for a long time) but if you want to dig a new one you have to get permission. Its some sort of a control of the ground water thing I think.

Hopefully someone in the know will fill in the gaps in my post with more details.

Here is a photo from 1995 of them digging a well for the homes on Calle Mariposa (above the plaza de toros). The well is not being used now, everyone is on city water, but who knows what the future holds. One thing about wells is you have to use them to keep them flowing.