The proposed bill would update current groundwater management statutes by introducing a new program that allows landowners in the Phoenix and Pinal active management areas (AMAs) to apply for groundwater savings credits in exchange for permanently relinquishing their irrigation grandfathered rights (IGFR). It would require the Director of the Arizona Department of Water Resources (ADWR) to approve applications for relinquishment based on compliance with management plans and historical irrigation practices, and establish a method for quantifying groundwater savings credits based on the acreage relinquished. The bill would also repeal the existing groundwater savings program and create a new program for administering groundwater savings credits by December 31, 2035, while prohibiting the issuance of new credits after January 1, 2036. Additionally, the bill would allow holders of groundwater savings credits to assign or pledge their credits to subsequent owners or applications for assured water supply, and mandate that the Director adopt rules by June 30, 2026, to streamline the issuance of these credits. It would also require the Director to restore relinquished groundwater savings credits under certain conditions and prohibit municipalities from enforcing certain regulations in subdivisions where credits have been pledged. Overall, these updates aim to enhance water conservation efforts and improve the management and efficiency of groundwater resources in Arizona.

Statutes affected:
Introduced Version: 45-562
House Engrossed Version: 45-465.05, 45-576, 45-576.08, 45-576.01, 41-1075, 45-114, 45-411.01, 45-561, 45-597, 45-598, 32-2101, 32-2181, 48-3772, 48-3774.01, 45-514, 45-515, 49-201, 45-497, 45-579, 45-576.02, 9-463.01, 11-823, 11-822