Arizona 2023 2023 Regular Session

Arizona House Bill HB2535 Comm Sub / Analysis

Filed 02/03/2023

                      	HB 2535 
Initials PAB 	Page 1 Natural Resources, Energy & Water 
 
ARIZONA HOUSE OF REPRESENTATIVES 
Fifty-sixth Legislature 
First Regular Session 
 
 
HB 2535: private property; wells; regulation; prohibition 
Sponsor: Representative Smith, LD 29 
Committee on Natural Resources, Energy & Water 
Overview 
Prohibits a well in an unincorporated area and any buildings or structures supplied by that well 
from being subject to municipal regulation if a municipality annexes the area containing the well. 
History 
Annexation Process 
To annex adjoining lands, a municipality must file a blank petition with the appropriate county 
recorder that contains a description and map of the proposed annexation. After this petition is 
filed, a municipal governing body will hold a public hearing to discuss the proposed annexation. 
Within a year, a completed petition signed by both of the following groups who would be subject 
to the annexation must be filed with the county recorder: 
1) Owners of at least 50% of the value of real and personal property; and 
2) At least 50% of those owning real and personal property.  
The annexation becomes final 30 days after the municipal governing body adopts an ordinance 
annexing the land (A.R.S. § 9-471). Once annexed, the lands become subject to the municipality's 
ordinances, which may include building requirements, fire codes, or requirements for a subdivider 
to install certain water facilities when a public water main is accessible (A.R.S. §§ 9-276, 9-463.01 
and 9-808). 
Additionally, an exempt well (one with a pumping capacity of less than 35 gallons per minute for 
a non-irrigation use) may not be drilled in an active management area if it is within 100 feet of the 
water distribution system for a municipal water provider with a designation of assured water 
supply. However, a landowner may apply for an exemption to this requirement if one of the 
following criteria apply: 
1) The applicant requested water service from the municipal provider and received no reply; 
2) The cost of connecting to the distribution system exceeds the cost of drilling an exempt 
well; 
3) The applicant received no reply from a landowner if the applicant needed to obtain an 
easement across other land to connect to the distribution system; or 
4) None of the above criteria apply and the municipal provider confirms that the landowner 
will not receive water service while the well is operational (A.R.S. §§ 45-402 and 45-454).  
Provisions 
1. States, notwithstanding any other law, that:  
a) A well drilled on private property in an unincorporated area is not subject to municipal 
regulation if the area containing the well is annexed by a municipality after the well has 
been drilled; and 
☐ Prop 105 (45 votes)     ☐ Prop 108 (40 votes)      ☐ Emergency (40 votes) ☐ Fiscal Note    	HB 2535 
Initials PAB 	Page 2 Natural Resources, Energy & Water 
b) Any building or structure that requires water from this well is not subject to municipal 
regulation if the unincorporated area containing the well is annexed by a municipality after 
the well has been drilled. (Sec. 1)