HB 2297
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ARIZONA HOUSE OF REPRESENTATIVES
Fifty-seventh Legislature
First Regular Session
House: NREW DP 6-3-0-1
HB 2297: designation; assured water supply; offset
Sponsor: Representative Griffin, LD 19
Caucus & COW
Overview
Creates an alternative designation of assured water supply (AWS) for persons withdrawing
groundwater and storing water recovered from outside the area of impact.
History
Groundwater Management Act and Assured Water Supply Requirements
Under the Groundwater Management Act, someone who plans to sell or lease subdivided
lands in an active management area (AMA) must obtain an AWS certificate from the Arizona
Department of Water Resources (ADWR) or obtain a commitment for water service from a
city, town or private water company that has an AWS designation. Otherwise, a municipality
or county cannot approve that subdivision plat, and the State Real Estate Commissioner will
not authorize the sale or lease of the subdivided lands. An AWS 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) projected groundwater use is consistent with the management plan and achieving the
AMA's management goal; and
3) demonstrating the financial capability to build the facilities necessary to make water
available for the proposed use (A.R.S. § 45-576). Arizona Administrative Code
establishes specific requirements for satisfying each of these criteria (R12-15-704 and
R12-15-710), such as determining whether enough water is physically available to
meet proposed uses (R12-15-716).
Reviewing Designations of Assured Water Supply
A city, town or private water company in an AMA can be designated as having an AWS by
the ADWR Director if it meets specific criteria established in statute and rule (A.R.S. §§ 45-
576(D), 45-576(E), and R12- 15-710). ADWR must review this designation at least every 15
years to determine whether it should be modified or revoked (R12-15-711(C)). As part of this
review, a city, town or private water company must demonstrate that it continues to meet
the AWS criteria, which includes demonstrating that enough water will be physically
available for at least 100 years (R12-15-716).
Underground Water Storage and Credits
Statute allows someone to store and save water underground if they have obtained the
appropriate permit (A.R.S. § 45-802.01). Those who store water underground for over a year
and meet additional statutory requirements can earn long-term storage credits (LTSCs) that
☐ Prop 105 (45 votes) ☒ Prop 108 (40 votes) ☒ Emergency (40 votes) ☐ Fiscal Note HB 2297
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are credited to a long-term storage account (A.R.S. § 45-852.01). LTSCs can be recovered in
the future for various uses, including demonstrating an AWS (A.R.S. § 45-855.01).
Provisions
1. Requires the Director of ADWR to deem groundwater and stored water as physically
available if certain conditions are met relating to a new applicant for an AWS. (Sec. 1)
2. Provides a formula to determine a volume of groundwater and stored water when
granting a designation of assured water supply. (Sec. 1)
3. Outlines additional requirements for an applicant seeking to modify a designation of
assured water supply to include stored water. (Sec. 1)
4. Prohibits the Director of ADWR from including additional sources of groundwater
withdrawn from an AMA in a designation of assured water supply that includes
groundwater and stored water. (Sec. 1)
5. Sets the designation for an initial term of up to 15 years. (Sec. 1)
6. Permits a designated provider to request an expedited modification of the designation
and outlines required items to review. (Sec. 1)
7. Requires the Director of ADWR to determine an applicant has the financial capability to
construct adequate delivery, storage and treatment works if the applicant demonstrates
listed requirements. (Sec. 1)
8. Prescribes that an applicant can only apply extinguishment credits delivered to the
subdivision subject to the application. (Sec. 1)
9. Provides a formula to calculate the groundwater allowance if the application includes
groundwater or stored water recovered outside of the area of impact. (Sec. 1)
10. Defines:
a) area of impact;
b) assured water supply;
c) designation;
d) new alternative water supply; and
e) stored water. (Sec. 1)
11. Contains a Proposition 108 clause. (Sec. 2)
12. Contains an emergency clause. (Sec. 3)