An increase in groundwater salinity in parts of the Padthaway area threatens the sustainability of established irrigation developments. A number of management options to mitigate the groundwater salinity increase are being considered by State Government agencies and the local irrigation community. These options include using alternative groundwater supplies, and recharge of the shallow unconfined aquifer using surface water from the ephemeral Morambro Creek. In order to examine the hydraulic groundwater impacts of such management options, numerical groundwater modelling was undertaken using the USGS software package MODFLOW. The modelling has shown that it is unlikely there will be any significant adverse groundwater level impacts from any of the management options being considered. The longer term salinity impacts of the management options could not be assessed with the MODFLOW package, and such impacts need to be independently assessed.