Assigned to NREW                                                                                                                           AS VETOED






Fifty-Sixth Legislature, Second Regular Session





water improvements program; nonprofit corporations


Allows a nonprofit corporation or a county board of supervisors (county BOS), rather than exclusively the county BOS, to establish and administer a water improvement program (program).


A county BOS may establish a program to provide financial assistance to owners of a residential property to aid in: 1) making improvements to an existing drinking water well; or
2) providing for a water delivery system for the residence. The program may accept gifts, grants or donations and must limit grant recipients to persons who are low-income or fixed income owners of residential property (A.R.S. § 11-254.09).

A nonprofit corporation may be created and organized by one or more individuals or entities by filing articles of incorporation with the Arizona Corporation Commission. Such a corporation must have the purpose of engaging in and may engage in any lawful activity (A.R.S. §§ 10-3201 and 10-3301). The county BOS may adopt provisions necessary to preserve the health of the county and provide for the expenses thereof. The county BOS may examine and exhibit the accounts and performance of all officers having the care, management, collection or disbursement of monies belonging to the county or appropriated by law or otherwise for the use and benefit of the county (A.R.S. § 11-251).

There is no anticipated fiscal impact to the state General Fund associated with this legislation.


1.   Allows a nonprofit corporation to establish a program to allow persons to make gifts, grants or donations for the purpose of providing financial assistance to qualified owners of residential real property for making improvements to an existing drinking water well or providing for a water delivery system for the residence.

2.   Requires the nonprofit corporation to designate an entity to operate the program, establish criteria for grants and award grants.

3.   Requires the entity that operates the program to make and submit, to either the county BOS or the nonprofit corporation, an annual report containing a description of program operations of the preceding year.

4.   Becomes effective on the general effective date.

Governor's Veto Message

The Governor indicates in her veto message that H.B. 2013 is unproductive towards groundwater management and does not provide the reforms that are needed by rural communities who are facing depletion of their aquifers.

House Action                                                              Senate Action

NREW            1/23/24      DP     6-3-0-0                    NREW         2/29/24      DP          5-1-1

3rd Read          2/1/24                   34-21-1-0-4             3rd Read       3/27/24                     22-6-2

Vetoed by the Governor 4/2/24

Prepared by Senate Research

April 4, 2024