Arizona 2024 2024 Regular Session

Arizona House Bill HB2127 Comm Sub / Analysis

Filed 02/16/2024

                      	HB 2127 
Initials EB/KK 	Page 1 	Caucus & COW 
 
ARIZONA HOUSE OF REPRESENTATIVES 
Fifty-sixth Legislature 
Second Regular Session 
House: NREW DPA 5-4-0-1  
 
HB 2127: assured water supply certificate; effluent 
Sponsor: Representative Griffin, LD 19 
Caucus & COW 
Overview 
Allows an application for a certificate of assured water supply for a proposed subdivision in  
the Tucson, Phoenix, Prescott or Santa Cruz active management areas (AMAs) to include 
effluent generated by a proposed subdivision.  
History 
The Groundwater Management Code (Code) was enacted in 1980 and established the 
statutory framework to regulate and control the use of groundwater. As part of the 
management framework, the Code designated five AMAs: Phoenix, Pinal, Prescott, Tucson 
and Santa Cruz (A.R.S. §§ 45-411, 45-411.03, 45-431 and 45-554). 
The Code’s Assured and Adequate Water Supply Program requires a developer who plans to 
sell or lease subdivided lands in an AMA to obtain a certificate of  assured water supply from 
the Arizona Department of Water Resources (ADWR) or obtain a commitment for water 
service from a municipality or private water company with an assured water supply 
designation. Without a certificate, a municipality or county cannot approve the subdivision 
plat and the State Real Estate Commissioner will not issue a public report authorizing the 
sale or lease of the subdivided lands (ADWR). 
An assured water supply means:  
1) sufficient groundwater, surface water or effluent of adequate quality that will be 
legally, physically and continuously available to meet proposed water needs for at 
least 100 years;  
2) any projected groundwater use is consistent with the AMA's management plan and 
goal; and  
3) the applicant has demonstrated the financial capability to build the infrastructure 
necessary to make water available for the proposed use (A.R.S. § 45-576).  
The Central Arizona Groundwater Replenishment District (CAGRD ) is a function of the 
Central Arizona Project that replenishes groundwater pumped by its members and provides 
a way to comply with requirements of the assured water supply program (CAGRD). 
Effluent is water that has been collected in a sanitary sewer for subsequent treatment in a 
facility regulated by the Arizona Department of Environmental Quality. Such water remains 
effluent until it acquires the characteristics of groundwater or surface water (A.R.S. § 45-
101). 
 
 
    	HB 2127 
Initials EB/KK 	Page 2 	Caucus & COW 
Provisions 
1. Allows an applicant for a certificate of assured water supply for proposed subdivisions in 
the Tucson, Phoenix, Prescott or Santa Cruz AMAs to use any projected effluent, as 
follows: 
a) if the application states the subdivision will use all the effluent it produces, the 
applicant can use this to demonstrate physical availability of water and consistency 
with the management plan and the ADWR Director must deem the applicant to be 
consistent with the AMA's management plan and goal; and 
b) if the applicant enrolls with CAGRD as a member land, and all projected effluent 
produced by the subdivision will be recharged in the subbasin in which the proposed  
subdivision is located, the ADWR Director is required to grant a certificate of assured 
water supply to the applicant. (Sec. 1) 
2. Contains technical and conforming changes. (Sec. 1) 
Amendments 
Committee on Natural Resources, Energy & Water 
1. Adds that an application for a certificate of assured water supply for a proposed 
subdivision in the Pinal AMA can include projected effluent and removes references to 
the Prescott and Santa Cruz AMAs. 
2. Allows an applicant for an assured water supply certificate to include effluent projections 
for the proposed subdivision as evidence of legal and physical availability if:  
a) the effluent will be used directly to meet water demand of the subdivision; or  
b) the effluent will be recharged in the same subbasin where the subdivision will be 
located. 
 
 
 
 
 
☐ Prop 105 (45 votes)     ☐ Prop 108 (40 votes)      ☐ Emergency (40 votes) ☐ Fiscal Note