The proposed bill HB2201 amends Arizona's groundwater management laws, focusing on the relinquishment of irrigation grandfathered rights and the transportation of groundwater. It allows landowners within an active management area (AMA) to permanently relinquish their irrigation rights in exchange for a physical availability exemption credit, contingent on specific conditions, including having exercised those rights in at least one of the last five years. The bill also introduces new requirements for municipalities regarding assured water supply, modifies regulations on land division and subdivision sales, and establishes civil penalties for violations related to subdivided land sales.

Key changes include the requirement for entire parcels within one mile of retired irrigation acres to be included in assessments, and the prohibition of considering groundwater withdrawals that exceed the aquifer's depth during a specified 100-year period. The bill mandates a 90-day timeframe for the Director of the Arizona Department of Water Resources (ADWR) to grant exemption credits and allows public service corporations to transport groundwater from the Harquahala Irrigation Non-Expansion Area if they hold a water service certificate. Overall, the bill aims to enhance water management practices, promote sustainable groundwater use, and improve transparency in property ownership and permitting processes.

Statutes affected:
Introduced Version: 45-554
House Engrossed Version: 45-554
Senate Engrossed Version: 11-321, 11-831, 32-2181, 32-2185.09, 33-422, 45-465.05, 45-554, 45-563.03, 45-576, 45-576.08, 45-576.10, 48-3771, 48-3775, 48-3778, 48-3780, 48-3781, 32-2101, 32-2183, 28-8461, 28-8486, 33-1202, 41-1801, 41-4273, 45-402, 48-3772, 48-3774.01, 44-1844, 44-1845, 44-1846, 11-823, 9-463.01, 45-108, 45-108.02, 45-108.03, 33-406, 44-1522, 32-2181.01, 32-2181.02, 11-480, 28-8482, 9-500.28, 11-818, 6-801, 45-465, 41-1075, 45-114, 45-561, 45-597, 45-598, 45-437, 45-559, 45-2491, 33-1802, 45-514, 45-515, 49-201, 45-497, 45-579, 45-576.02, 11-822, 45-851.01, 45-802.01, 45-411.01, 48-3774, 45-877.01, 35-146, 35-147, 48-3773, 48-3782, 45-576.01