“Water-wise” actually means using plants appropriate for the type of habitat. Not all locations are suitable for “xeric” plants. One size does not fit all. Yet this also doesn’t mean that those habitats should be covered with lawn grass.
Consider the environmental benefits of a pond (or a “wet strip” or just an area that is often moist) which can actually help to conserve water, requires less mowing and produces fewer pollutants including fewer pesticides and fertilizers, supports local wildlife and overall creates environmental awareness.