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The Democrat said the legislation will preserve the state鈥檚 limited supply of groundwater while allowing growth to continue, create jobs and help lower the price of new 蜜聊直播.

Senate Bill 1611 was in part prompted by a moratorium on issuing new certificates of 100-year assured water supplies builders must obtain from state water regulators that was imposed in 2023 over the Pinal and Phoenix 鈥渁ctive management areas.鈥欌�� It didn鈥檛 bar new building if the area was served by an existing water supplier.

The halt, which triggered screams from homebuilders, was prompted by new analyses from the 蜜聊直播 Department of Water Resources that showed there just wasn鈥檛 enough groundwater to support new housing.

Although the law signed Monday only initially applies to the Phoenix and Pinal AMAs created by the state鈥檚 landmark 1980 Groundwater Management Act, the Tucson AMA could be added to the new 鈥渁g to urban鈥欌�� program if a similar moratorium on development is issued there.

Builders in outlying areas of Maricopa and Pinal counties are increasingly relying on groundwater instead of Colorado River or Salt River Project supplies, and the moratorium halted developments in parts of Buckeye and Queen Creek and other far-flung suburban areas.

The state has faced cutbacks in its Colorado River supply and is fighting to avoid much steeper cuts as federal officials work on new allocations among the Western states that tap into the river. Long-term drought and climate change have lowered the amount of water in the river.

Hobbs was joined by lawmakers from both sides of the aisle in touting the legislation she called 鈥渉istoric.鈥欌��

鈥淭he Ag-to-Urban water conservation legislation shows what we can achieve when state policymakers come together to focus on solving the problems that 蜜聊直播ns care about most,鈥欌�� Hobbs said in a written statement. 鈥溍哿闹辈� has long led the country in water management, and today we have shown that we will continue this legacy of addressing our most pressing challenges.鈥欌��

While there was bipartisan support for the measure, not everyone was happy.

Hobbs faced some criticism for not using the builders鈥� push for the 鈥渁g to urban鈥欌�� law as leverage to secure new groundwater rules in rural areas such as Cochise and Mohave counties not currently in an active management area. But she said in Monday鈥檚 statement that she is not giving up on efforts to stop over-pumping in those areas by large corporate farms that have moved in in recent years.

鈥淚 will continue fighting to protect groundwater in rural 蜜聊直播 so every community throughout our state will know they have the tools they need to secure their water future,鈥欌�� she said.

The legislation passed the Senate on a 26-4 vote and the House by a slimmer but still bipartisan 35-20 margin. Hobbs negotiated with Republican lawmakers led by Sen. T.J. Shope, R-Coolidge, to reach a deal after vetoing a similar measure last year over concerns it would not actually save water.

鈥淭he ag-to-urban plan represents nearly two years of painstaking negotiations between the Legislature, the executive, stakeholders, water experts, water users, and community leaders,鈥欌�� Shope said in a statement included in the governor鈥檚 news release announcing the signing. 鈥淚鈥檓 proud of the end result.鈥欌��

He also touted the law鈥檚 potential impacts on home prices and said it also will allow farmers who are ready to retire to cash out while cutting overall water use.

The law limits pumping from former farms to 1.5 acre-feet per acre a year in the Phoenix AMA and 1 acre-foot a year in the Pinal AMA. Farms in the area currently pump about three times that much water, said Spencer Kamps, a lobbyist for the Home Builders of Southern 蜜聊直播, which pushed for the bill.

An acre-foot is about 326,000 gallons 鈥� enough water to cover an acre of land one foot deep and typically enough to supply three 蜜聊直播.

Homebuilders have been pushing for higher-density developments to lower costs for buyers. Kamps said the small pumping allocation will be a challenge.

鈥淭his is a new program and time will tell about the success of that program,鈥欌�� Kamps said. 鈥淲e鈥檝e done a lot of analysis about projects getting through at 1.5 (acre-feet per year) and we鈥檙e concerned about that because it鈥檚 such a low water amount.鈥欌��

Kamps also noted that many of the areas developers have targeted on the far western fringes of the metro Phoenix area won鈥檛 be helped because they鈥檙e desert areas with no nearby farmland. That鈥檚 because the law requires land initially to be within a mile of the farm it鈥檚 getting its water from.

Despite the wide vote margin, there were critics in the Legislature, including Rep. Chris Mathis, D-Tucson.

Although Mathis said this year鈥檚 version of the bill is much better than the one Hobbs vetoed last year, he opposed it because of new groundwater replenishment rules that ag to urban will trigger.

Farmland owners generally are not required to put water into the ground to make up for what they pump. But new 蜜聊直播 that rely on groundwater do, and that is the job of the Central 蜜聊直播 Groundwater Replenishment District, known as CAGRD.

The district is overseen by the Central 蜜聊直播 Project, which has a massive canal that transports water from the Colorado River to Phoenix and then south to Tucson. The district has relied on that water to recharge aquifers in the region.

The district has seen cutbacks in its river water supplies and doesn鈥檛 have extra water to cover additional areas, Mathis said.

鈥淭here are already structural concerns with the CAGRD system,鈥欌�� Mathis said.

鈥淭here鈥檚 just no way to do this ag-to-urban program without adding a significant amount of new replenishment obligation onto the already fully subscribed CAGRD system,鈥欌�� he said. 鈥淎nd so for that reason, I don鈥檛 think we ought to be doing it.鈥欌��

A Senate Democrat from Tucson, minority leader Priya Sundareshan, had a different take, saying details in the new law assured her it was a good move for all concerned and will lower groundwater use.

鈥淚mportantly, it contains many key guardrails designed to ensure that groundwater savings will be achieved over the next 100 years as a result of this program,鈥欌�� she said. 鈥淚 am pleased that the various parties were able to reach agreement here, and we must continue to strengthen our state groundwater management, including by supporting our replenishment obligations and by protecting rural groundwater.鈥欌��

Whether the measure will actually lead to large tracts of ag lands being converted is an unknown, said Sarah Porter, director of the Kyl Center for Water Policy at 蜜聊直播 State University.

She said the moratorium created the unintended consequence of preventing farmers from retiring their land and cutting water use, and SB1611 would remove that disincentive. Builders have been buying up ag land to use for 蜜聊直播 for decades, and now will be able to again do so.

But it isn鈥檛 clear just how much the new law will come into play in the coming years.

鈥淭he estimations of the acres of land that are available are really significant,鈥欌�� Porter said, with 鈥渉undreds of thousands of acres of land that essentially are available to do it.鈥欌��

But that still leaves the restriction that new 蜜聊直播 must be within a mile of the farm from which the water was retired.

鈥淏ut that may not be land that anyone cares about acquiring to do this kind of development,鈥欌�� Porter said.