SB1300 - 571R

Be it enacted by the Legislature of the State of Arizona:

Section 1. Section 45-437, Arizona Revised Statutes, is amended to read:

START_STATUTE45-437. Irrigated acreage; water measuring device; annual report of groundwater pumping; limitation on groundwater use; penalty; transportation; exemption

A. In an initial irrigation non-expansion area established pursuant to section 45-431, except as provided in subsection E F of this section and section 45-437.04, only acres of land which that were legally irrigated at any time between January 1, 1975 and January 1, 1980 may be irrigated with groundwater, effluent, diffused water on the surface or surface water, except as provided in sections 45-172, 45-437.01, 45-437.02 and 45-437.03, and except that this does not prohibit irrigation with surface water used pursuant to decreed or appropriative rights established before June 12, 1980. Land which that was not irrigated at any time from January 1, 1975 through January 1, 1980 is deemed to have been in irrigation if the director finds that substantial capital investment has been made in the twelve months before June 12, 1980 for the improvement of the land and on-site irrigation distribution facilities, including the drilling of wells, for an irrigation use. This subsection does not allow irrigation of land which that could not have been legally irrigated under prior statutory law.

B. In a subsequent irrigation non-expansion area established pursuant to section 45-432, except as provided in subsection E F of this section, only acres of land which that were irrigated with groundwater at any time during the five years preceding the date of the notice of the initiation of designation procedures may be irrigated with groundwater, effluent, diffused water on the surface or surface water, except as provided in sections 45-172, 45-437.01, 45-437.02 and 45-437.03, and except that this does not prohibit irrigation with surface water used pursuant to decreed or appropriative rights established before the date of the notice. Land which that was not irrigated at any time during this five year five-year period is deemed to have been in irrigation if the director finds that substantial capital investment has been made for the subjugation of such land for an irrigation use including on-site irrigation distribution facilities and a well or wells the drilling and construction of which were substantially commenced before the date of the notice of the initiation of designation procedures.

C. Except as provided in subsection F G of this section, in an initial irrigation non-expansion area:

1. Each person withdrawing groundwater from a non-exempt well for an irrigation use and each person withdrawing more than ten acre-feet of groundwater per year from a non-exempt well for a non-irrigation use shall use a water measuring device approved by the director. Each person withdrawing groundwater from a non-exempt well shall file a report on a calendar year basis with the director on a form provided by the director no not later than March 31 of the following year. In filing a report, each person withdrawing ten or fewer acre-feet of groundwater per year from a non-exempt well for a non-irrigation use shall estimate the quantity of groundwater withdrawn.

2. Transportations of groundwater are subject to the provisions of articles 8 and 8.1 of this chapter.

D. except as provided in subsection h of this section, in a subsequent irrigation non-expansion area:

1. Each person withdrawing groundwater from a non-exempt well for an irrigation use and each person withdrawing more than ten acre-feet of groundwater per year from a non-exempt well for a non-irrigation use shall use a water measuring device approved by the director. Each person withdrawing groundwater from a non-exempt well shall file a report on a calendar year basis with the director on a form provided by the director not later than March 31 of the following year. In filing a report, if a person withdraws ten or fewer acre-feet of groundwater per year from a non-exempt well, the person may provide an estimate of the person's withdrawals.

2. A person withdrawing groundwater from a non-exempt well for an irrigation use may not withdraw more than five acre-feet of groundwater per acre of land that the person irrigates per year.

D. e. If a person, who is required under subsection C, paragraph 1 or subsection d, paragraph 1 of this section to file an annual report for calendar year 1986 or any subsequent calendar year, fails to file a report for the calendar year in question on or before March 31 of the following year, the director may assess and collect a penalty of twenty-five dollars $25 for each month or portion of a month that the annual report is delinquent. In a subsequent irrigation non-expansion area, if a person that withdraws groundwater from a non-exempt well for an irrigation use withdraws more than five acre-feet of groundwater per acre of land that the person irrigated in the calendar year, the director may assess and collect a penalty of $150. The total penalty assessed under this subsection shall not exceed one hundred fifty dollars $150. The director shall deposit, pursuant to sections 35-146 and 35-147, all penalties collected under this subsection in the state general fund.

E. F. In an irrigation non-expansion area, a correctional facility under the jurisdiction of the state department of corrections may irrigate with groundwater, effluent, diffused water on the surface or surface water up to a total of ten acres of land that otherwise may not be irrigated pursuant to subsection A or B of this section if the irrigation is for the purpose of producing plants or parts of plants for consumption by inmates at the correctional facility as part of a prisoner work program and if the correctional facility notifies the director of water resources in writing of the location of the acres of land to be irrigated prior to before their irrigation. The actual number of acres of land that a correctional facility may irrigate pursuant to this subsection shall be calculated by subtracting the number of acres of land the correctional facility may already irrigate under subsection A or B of this section from ten.

F. G. in an initial irrigation non-expansion area, a person who withdraws withdrawing groundwater from a non-exempt well for an irrigation use is exempt from subsection C, paragraph 1 of this section for those withdrawals if both of the following apply:

1. Groundwater withdrawn from the well for an irrigation use is used only on land that is owned by a person who has the right under subsection A or B of this section to irrigate ten or fewer contiguous acres of land at the place of the use.

2. Groundwater withdrawn from the well is not used on land that is part of an integrated farming operation.

H. In a subsequent irrigation non-expansion area, a person withdrawing groundwater from a non-exempt well for an irrigation use is exempt from the measuring and reporting requirements prescribed in subsection D, paragraph 1 of this section for those withdrawals if all of the following apply:

1. groundwater withdrawn from the well for an irrigation use is used only on land that is owned by a person that has the right under subsection a or b of this section to irrigate ten or fewer contiguous acres of land at the place of the use.

2. groundwater withdrawn from the well is not used on land that is part of an integrated farming operation.

3. the person withdraws two and one-half or fewer acre-feet of groundwater per acre of land that the person irrigates in the calendar year.

4. not later than March 31, the person provides an estimate of the quantity of groundwater withdrawn in the previous calendar year and files a report on a form provided by the director.END_STATUTE

Sec. 2. Title 45, chapter 2, article 3, Arizona Revised Statutes, is amended by adding section 45-437.04, to read:

START_STATUTE45-437.04. Substitution of acres; new wells and replacement wells in new locations; net increase in withdrawals disallowed

A. in a subsequent irrigation non-expansion area, a person that owns acres of land that may be legally irrigated pursuant to section 45-437 may:

1. permanently retire those acres from irrigation and substitute for those acres the same number of acres in the same irrigation non-expansion area if the person demonstrates to the director's satisfaction that the substitution of acres will not lead to a net increase in groundwater withdrawals in the irrigation non-expansion area.

2. construct a new non-exempt well for an irrigation use or a replacement non-exempt well in a new location for an irrigation use in the same irrigation non-expansion area if both of the following apply:

(a) the location of the new non-exempt well or the replacement non-exempt well complies with the rules adopted by the director pursuant to section 45-598.

(b) the construction of the new non-exempt well or replacement non-exempt well in a new location will not lead to a net increase in groundwater withdrawals in the irrigation non-expansion area.

b. to prevent unreasonably increasing damage to surrounding land or other water users from the concentration of non-exempt wells in subsequent irrigation non-expansion areas, the rules the director adopts pursuant to section 45-598 governing the location of new wells and replacement wells in new locations in active management areas shall apply to new non-exempt wells and replacement non-exempt wells in new locations in subsequent irrigation non-expansion areas if the new non-exempt well or the replacement non-exempt well in a new location is for an irrigation use. END_STATUTE

Sec. 3. San Simon Valley groundwater subbasin; Cochise county; irrigation non-expansion area; county board of supervisors; election

A. Before July 2, 2026, the Cochise county board of supervisors may vote to place on the 2026 general election ballot for the residents of Cochise county that reside in the San Simon Valley groundwater subbasin a question of whether to designate the portion of the San Simon Valley groundwater subbasin that is located in Cochise county as an irrigation non-expansion area.

B. All qualified electors who reside within the portion of the boundaries of the San Simon Valley groundwater subbasin that is located in Cochise county are eligible to vote on the question prescribed by this section. All election expenses incurred pursuant to this section are the responsibility of the county. The director of the department of water resources shall transmit to the county recorder any factual data concerning the boundaries of the portion of the San Simon Valley groundwater subbasin that is located in Cochise county that may aid the county recorder in determining which registered voters of the county are residents and, for the purposes of this section, are eligible voters of the portion of the San Simon Valley groundwater subbasin that is located in Cochise county. The transmitted data shall include a map of the residences in the portion of the San Simon Valley groundwater subbasin that is located in Cochise county.

C. Any registered voter of the county whose residency in the portion of the San Simon Valley groundwater subbasin that is located in Cochise county is in question shall be allowed to vote. The ballot shall be placed in a separate envelope, the outside of which shall contain the precinct name and number, the signature of the voter, the residence address of the voter and the voter's registration number, if available. The voter receipt card shall be attached to the envelope. The county recorder shall verify the ballot for proper residency of the voter before counting. The verification shall be made within five business days following the election, and the voter receipt card shall be returned to the voter. Verified ballots shall be counted using the procedure outlined for counting early ballots. If residency in the portion of the San Simon Valley groundwater subbasin that is located in Cochise county is not verified, the ballot shall remain unopened and shall be destroyed.

D. The ballot shall state "Should the portion of the San Simon Valley groundwater subbasin that is located in Cochise county be designated as an irrigation non-expansion area?" followed by the words "Yes" and "No".

E. Within thirty days after the general election results are certified, if a majority of eligible voters voted in favor of the designation of the San Simon irrigation non-expansion area, the director shall make and file an order designating the portion of the San Simon Valley groundwater subbasin that is located in Cochise county as an irrigation non-expansion area and file a true map of the irrigation non-expansion area in the Cochise county recorder's office.

F. If the Cochise county board of supervisors votes affirmatively on the question prescribed in subsection A of this section, from and after the date of the vote until the date on which the general election results are certified, an irrigation user in the San Simon groundwater subbasin that is located in Cochise county may only irrigate with groundwater from a non-exempt well if both of the following conditions are met:

1. The acres of land that are irrigated were irrigated with groundwater from a non-exempt well at any time during the five years immediately preceding the date of the vote.

2. The person irrigates with five or fewer acre-feet of groundwater per acre of land the person irrigates per year.

Sec. 4. San Simon Valley groundwater subbasin; Graham county; irrigation non-expansion area; county board of supervisors; election

A. Before July 2, 2026, the Graham county board of supervisors may vote to place on the 2026 general election ballot for the residents of Graham county that reside in the San Simon Valley groundwater subbasin a question of whether to designate the portion of the San Simon Valley groundwater subbasin that is located in Graham county as an irrigation non-expansion area.

B. All qualified electors who reside within the portion of the boundaries of the San Simon Valley groundwater subbasin that is located in Graham county are eligible to vote on the question prescribed by this section. All election expenses incurred pursuant to this section are the responsibility of the county. The director of the department of water resources shall transmit to the county recorder any factual data concerning the boundaries of the portion of the San Simon Valley groundwater subbasin that is located in Graham county that may aid the county recorder in determining which registered voters of the county are residents and, for the purposes of this section, are eligible voters of the portion of the San Simon Valley groundwater subbasin that is located in Graham county. The transmitted data shall include a map of the residences in the portion of the San Simon Valley groundwater subbasin that is located in Graham county.

C. Any registered voter of the county whose residency in the portion of the San Simon Valley groundwater subbasin that is located in Graham county is in question shall be allowed to vote. The ballot shall be placed in a separate envelope, the outside of which shall contain the precinct name and number, the signature of the voter, the residence address of the voter and the voter's registration number, if available. The voter receipt card shall be attached to the envelope. The county recorder shall verify the ballot for proper residency of the voter before counting. The verification shall be made within five business days following the election, and the voter receipt card shall be returned to the voter. Verified ballots shall be counted using the procedure outlined for counting early ballots. If residency in the portion of the San Simon Valley groundwater subbasin that is located in Graham county is not verified, the ballot shall remain unopened and shall be destroyed.

D. The ballot shall state "Should the portion of the San Simon Valley groundwater subbasin that is located in Graham county be designated as an irrigation non-expansion area?" followed by the words "Yes" and "No".

E. Within thirty days after the general election results are certified, if a majority of eligible voters voted in favor of the designation of the San Simon irrigation non-expansion area, the director shall make and file an order designating the portion of the San Simon Valley groundwater subbasin that is located in Graham county as an irrigation non-expansion area and file a true map of the irrigation non-expansion area in the Graham county recorder's office.

F. If the Graham county board of supervisors votes affirmatively on the question prescribed in subsection A of this section, from and after the date of the vote until the date on which the general election results are certified, an irrigation user in the San Simon groundwater subbasin that is located in Graham county may only irrigate with groundwater from a non-exempt well if both of the following conditions are met:

1. The acres of land that are irrigated were irrigated with groundwater from a non-exempt well at any time during the five years immediately preceding the date of the vote.

2. The person irrigates with five or fewer acre-feet of groundwater per acre of land the person irrigates per year.

(ENACTED WITHOUT THE EMERGENCY)

Sec. 5. Emergency

This act is an emergency measure that is necessary to preserve the public peace, health or safety and is operative immediately as provided by law.