HB 2586 Summary

• Extends initial analysis of assured water supply terms in the Pinal Active Management Area from unspecified periods to 10 years, with provisions for 5-year or 15-year renewals based on demonstrated material progress in land development.

• Modifies groundwater replenishment obligation calculations for conservation districts during Colorado River shortage years by establishing shortage percentages and allowing AMA-specific and general shortage reductions based on Colorado River entitlements held by the district.

• Authorizes cities, towns, and private water companies to transport stored water through their delivery facilities to subdivisions or customers, allowing commingling with other water supplies while treating such deliveries as exclusively for the intended recipient.

• Allows conservation districts to transfer replenishment reserve account credits to conservation district accounts before January 1, 2030 under specified conditions, and permits early transfers with director approval based on demonstrated good cause.

• Establishes policy declaring that the Central Arizona Groundwater Replenishment District is critical for state economic development and authorizes the district to enter into intergovernmental agreements with counties regarding contributions in lieu of taxes on acquired property.