REFERENCE TITLE: water bank; storage credits; exchanges

State of Arizona House of Representatives Fifty-fourth Legislature First Regular Session 2019

HB 2543

Introduced by Representatives Bowers: Griffin

 

AN ACT

 

Providing for the exchange of long-term storage credits by the Arizona water banking authority.

 

 

(TEXT OF BILL BEGINS ON NEXT PAGE)

 

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

Section 1.  Arizona water banking authority; long-term storage credits; exchanges; limitations; fees; delayed repeal

A.  On or before December 31, 2019, the Arizona water banking authority may enter into agreements to exchange long-term storage credits accrued or purchased in one active management area with monies collected pursuant to section 45-611, subsection C, paragraph 3, Arizona Revised Statutes, for long-term storage credits held by other persons in another active management area, on request of the director, if the director determines both of the following:

1.  The exchange is beneficial to water management in this state.

2.  The exchange will not substantially impair the authority’s ability to meet its firming obligation under section 45-2491, Arizona Revised Statutes.

B.  The term of any agreement entered into pursuant to subsection A of this section shall not extend beyond December 31, 2026.

C.  Notwithstanding section 45-2457, subsection B, paragraph 6, Arizona Revised Statutes, the authority may distribute or extinguish long‑term storage credits obtained by exchange pursuant to subsection A of this section for any purpose otherwise authorized under section 45-2457, subsection B, paragraph 6, Arizona Revised Statutes, for the benefit of any active management area.

D.  An exchange of long-term storage credits pursuant to subsection A of this section is exempt from any fee established by the department of water resources for an assignment of long-term storage credits pursuant to section 45-854.01, Arizona Revised Statutes.

E.  This section is repealed from and after December 31, 2030.

Sec. 2.  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.