AZ SB1637

Amends Arizona water law to extend spacing rule requirements for new wells to groundwater basins experiencing declining groundwater levels, not just active management areas.

Requires permits from the Director for new wells or replacement wells in new locations in declining groundwater basins with pumps capable of more than 35 gallons per minute, using the same criteria as active management areas or alternative criteria the Director may adopt.

Applies spacing rules to new wells in declining basins regardless of whether the groundwater withdrawal use falls under article 5, 6, or 7 of the Arizona Revised Statutes.

Allows the Director to use existing active management area withdrawal criteria as an alternative to adopting new rules for declining basins.