The proposed bill would significantly update current groundwater management statutes in Arizona by introducing new provisions for the relinquishment of irrigation grandfathered rights (IGFR) in exchange for groundwater savings credits. Specifically, it would allow landowners in the Phoenix and Pinal active management areas to apply to the Director of the Arizona Department of Water Resources (ADWR) for permanent relinquishment of their IGFR, contingent upon meeting certain conditions such as compliance with management plans and maintaining positive balances in flexibility accounts. The bill also establishes a method for quantifying groundwater savings credits based on relinquished acreage and sets limits on the volume of credits issued. Additionally, it requires the Director to notify IGFR holders of preliminary recommendations before issuing credits and mandates written confirmation from them to proceed with relinquishment.

Moreover, the bill proposes to repeal the existing groundwater savings program and prohibits the issuance of new groundwater savings credits after January 1, 2036. It introduces new criteria for assessing the necessity of a groundwater savings program in the Tucson Active Management Area and imposes restrictions on municipalities regarding the use of groundwater and conditions for land reservations in subdivisions with pledged credits. The bill also clarifies that municipalities cannot impose certain requirements on subdivisions related to groundwater savings credits and emphasizes efficient water use as a statewide concern. Overall, these updates aim to enhance the management and conservation of groundwater resources in Arizona while providing a structured framework for transitioning to more sustainable practices.

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