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Couldn't they concrete the bottom of a water-filled driving range with a tilt? Then every ball could drain back into an area where all the balls could be easily collected.
Celebration Golf Club, in Celebration, Florida, has an "aqua range". Here is a tiny picture of it from their web site:I am assured by one of the guys I played with there that the range balls float. I don't remember seeing any balls floating, but I must say that it was a lot of fun hitting range balls into the water.