Assigned to NR AS PASSED BY COW
ARIZONA STATE SENATE
Fifty-Seventh Legislature, First Regular Session
AMENDED
FACT SHEET FOR H.B. 2203
historical water use; subsequent AMA
Purpose
Retroactive to August 30, 2022, modifies the time frames, from 5 years to 10 years, prior
to a designation of a subsequent active management area (AMA) or an AMA, that are used to
determine the amount of groundwater a person has the right to withdraw for irrigation and non-
irrigation groundwater rights.
Background
Irrigation Grandfathered Rights
In an initial AMA, only acres of land that were legally irrigated at any time from January
1, 1975, through January 1, 1980, that are capable of being irrigated, that have not been retired
from irrigation for a non-irrigation use and for which the irrigation grandfathered right (IFGR) has
not been conveyed for a non-irrigation use may be irrigated with any groundwater, effluent,
diffused water on the surface or surface water. In a subsequent AMA, only acres of land that were
legally irrigated at any time during the five years preceding the date of the notice of the initiation
of designation procedures or the call for the election, that are capable of being irrigated, that have
not been retired from irrigation for a non-irrigation use and for which the IGFR has not been
conveyed for a non-irrigation use may be irrigated with groundwater, effluent, diffused water on
the surface or surface water (A.R.S. § 45-452).
Type 1 Non-Irrigation Grandfathered Rights
In a subsequent AMA, a person who owns land that was legally entitled to be irrigated with
groundwater and retires such land from irrigation before the date of the designation of the AMA
in anticipation of a non-irrigation use has the right to withdraw from or receive for such land the
lesser of three acre-feet of groundwater per acre per year or the average annual amount of
groundwater that was used per acre during the five years preceding the time the land was retired
on showing that: 1) the land has been held under the same ownership since it was retired; and 2) a
development plan for the proposed non-irrigation use existed at the time the land was retired
(A.R.S. § 45-463).
There is no anticipated fiscal impact to the state General Fund associated with this
legislation. FACT SHEET – Amended
S.B. 2203
Page 2
Provisions
IGFRs
1. Allows an irrigation user to irrigate within the proposed AMA only acres of land that were
legally irrigated at any time during the 10 years, rather than 5 years, preceding the date of the
notice of the initiation of designation procedures or the call for the election.
2. Stipulates that in a subsequent AMA, only acres of land that were legally irrigated at any time
during the 10 years, rather than 5 years, preceding the date of the notice of the initiation
procedures or call for the election, that are capable of being irrigated, that have not been retired
from irrigation for a non-irrigation use and for which the irrigation grandfathered right has not
been conveyed for a non-irrigation use, may be irrigated with groundwater, effluent, diffused
water on the surface or surface water.
3. Deems that a person who owned land in an AMA that was legally irrigated in whole or in part
with groundwater at any time during the 10 years preceding the date of the notice of the
initiation of designation procedures or the call for the election for subsequent AMAs, that is
capable of being irrigated and which has not been retired from irrigation for a non-irrigation
use, has the right to use groundwater for irrigation of such land.
4. Modifies the method to calculate the maximum amount of groundwater that may be used to
irrigate land within a subsequent AMA by determining that:
a) the water duty acres used in the calculation are the highest number of acres in the farm,
taking land rotation into account, that were legally irrigated during the 10 years preceding
the date of the notice of initiation of designation procedures or the call for the election for
subsequent AMAs; and
b) the irrigation acres used in the calculation are the acres in the farm that were legally
irrigated at any time during the 10 years preceding the date of the notice of initiation of
designation procedures or the call for the election for subsequent AMAs.
Non-Irrigation Grandfathered Rights
5. Grants, in a subsequent AMA, a person who owns land that was legally entitled to be irrigated
with groundwater and retires such land from irrigation before the date of the designation of the
AMA in anticipation of non-irrigation use, the right to withdraw from or receive for such land
the average annual amount of groundwater that was used per acre during the 10 years, rather
than 5 years, preceding the time the land was retired on meeting outlined conditions.
6. Grants a person who holds a certificate of exemption and who owns land in an AMA from
which groundwater was being legally withdrawn and used for a non-irrigation purpose as of
the date of the designation of the AMA, the right to annually withdraw the maximum amount
of water legally withdrawn from such land in any one of the 10 years, rather than 5 years,
preceding the date of the designation of the AMA, if the amount is greater than the amount of
groundwater established in proceedings on the application for the certificate of exemption.
7. Grants a person who does not hold a certificate of exemption and who owns land in an AMA
from which groundwater was being legally withdrawn and used for a non-irrigation purpose FACT SHEET – Amended
S.B. 2203
Page 3
as of the date of the designation of the AMA, the right to annually withdraw the maximum
amount of water legally withdrawn from such land in any one of the 10 years, rather than 5
years, preceding the date of the designation of the AMA.
Miscellaneous
8. Modifies the definition of service area of an irrigation district.
9. Makes technical and conforming changes.
10. Becomes effective on the general effective date, retroactive to August 30, 2022.
Amendments Adopted by Committee of the Whole
1. Deems that a person who owned land in an active management area (AMA) that was legally
irrigated in whole or in part with groundwater at any time during the 10 years preceding the
date of the notice of the initiation of designation procedures or the call for the election for
subsequent AMAs, that is capable of being irrigated and which has not been retired from
irrigation for a non-irrigation use, has the right to use groundwater for irrigation of such land.
2. Modifies the method to calculate the maximum amount of groundwater that may be used to
irrigate land within a subsequent AMA by determining that:
a) the water duty acres used in the calculation are the highest number of acres in the farm,
taking land rotation into account, that were legally irrigated during the 10 years preceding
the date of the notice of initiation of designation procedures or the call for the election for
subsequent AMAs; and
b) the irrigation acres used in the calculation are the acres in the farm that were legally
irrigated at any time during the 10 years preceding the date of the notice of initiation of
designation procedures or the call for the election for subsequent AMAs.
3. Makes technical changes.
House Action Senate Action
NREW 1/28/25 DP 5-4-0-1 NR 3/4/25 DP 5-2-1
3
rd
Read 2/12/25 32-27-1
Prepared by Senate Research
April 9, 2025
SB/ci