Arizona 2023 2023 Regular Session

Arizona House Bill HB2026 Comm Sub / Analysis

Filed 02/21/2023

                      	HB 2026 
Initials PAB 	Page 1 	Caucus & COW 
 
ARIZONA HOUSE OF REPRESENTATIVES 
Fifty-sixth Legislature 
First Regular Session 
House: NREW DP 9-0-0-1 | APPROP DP 15-0-0-0 
 
HB 2026: appropriation; on-farm efficiency fund 
Sponsor: Representative Dunn, LD 25 
Caucus & COW 
Overview 
Appropriates $30,000,000 from the state General Fund (GF) to the On-Farm Irrigation Efficiency 
Fund in fiscal year 2024. 
History 
Last session, the Legislature created the On-Farm Irrigation Efficiency Pilot Program which is 
administered by the University of Arizona Agricultural Extension and provides grants to farmers 
to buy and install approved water efficient irrigation systems that modify or replace flood irrigation. 
An approved system must show (in prior research and projected savings based on the crop type 
and water usage) at least a 20% savings in water used compared to flood irrigation. 
Applicants must meet certain criteria, such as actively farming the proposed acreage and using 
the efficient system on crops that have been grown in region for the past five years to enable a 
comparison in water savings. The University of Arizona Agricultural Extension may prioritize 
applications that cost-effectively reduce water use, minimize energy use, maximize benefits to 
irrigable land and crops and allow for data collection. A grant cannot exceed $1,000,000 per 
applicant or $1,500 per acre of irrigable land served by the efficient system.  
As a condition for receiving a grant, applicants must agree to use the efficient system for three 
years and report on individual fields that are watered using these systems. Water savings may 
generally not be used to irrigate additional lands. However, applicants who rely on mainstream 
Colorado River water or Central Arizona Project water that was not delivered due to shortages in 
Lake Mead may use the saved water to farm fallowed acres.  
This program's fund was allocated $30,000,000 in American Rescue Plan Act monies. The 
University of Arizona Agricultural Extension may use up to $1,000,000 of those funds for 
demonstration projects, research and education (Laws 2022, Chapter 332). 
Provisions 
1. Appropriates $30,000,000 from the GF to the On-Farm Irrigation Efficiency Fund in fiscal year 
2024. 
☐ Prop 105 (45 votes)     ☐ Prop 108 (40 votes)      ☐ Emergency (40 votes) ☐ Fiscal Note