ARIZONA HOUSE OF REPRESENTATIVES

Fifty-sixth Legislature

Second Regular Session

HB 2056: appropriation; on-farm efficiency fund

Sponsor: Representative Dunn, LD 25

Committee on Natural Resources, Energy & Water

Overview

Appropriates $30,000,000 from the state General Fund (GF) in Fiscal Year (FY) 2025 to the On-Farm Irrigation Efficiency Fund (Fund).

History

Laws 2022, Chapter 332 established the On-Farm Irrigation Efficiency Pilot Program (Pilot Program) to provide grants and collect data for on-farm irrigation efficiency systems to reduce on-farm use of groundwater, surface water, mainstream Colorado River water or water delivered through the Central Arizona Project while minimizing or eliminating the use of on-farm flood irrigation or fallowing.

The Fund consists of legislative appropriations, grants from federal agencies and monies from any other lawful source. The Fund is administered by the University of Arizona (U of A) Cooperative Extension and provides grants to farmers to buy and install approved water efficient irrigation systems that replace flood irrigation if:

1) the approved system has demonstrated at least 20% in savings in water used as compared to flood irrigation systems;

2) projected water savings from the approved on-farm irrigation system, the crop type and estimated water usage based on water frequency and durations, is likely to result in a water savings of 20% or more, as compared to normal flood irrigation practices;

3) the applicant provides record of active farming for three of the previous five years for the proposed acreage at the time of application; and

4) the crop to be irrigated with the installed system has been grown in the agricultural region for at least five years to allow for an appropriate comparison of water savings.

A grant cannot exceed $1,000,000 per applicant or $1,500 per acre of irrigable land that is served by the on-farm irrigation efficiency system.

As a condition of the grant, the U of A Cooperative Extension must require an applicant to certify installation of the new on-farm irrigation efficiency system, agree to use the new system for three years and report on the individual fields that receive the benefit of the monies.

This Fund was allocated $30,000,000 in American Rescue Plan Act monies. The U of A Agriculture Extension may use up to $1,000,000 of those funds for demonstration projects, research and education.

Provisions

1. Appropriates $30,000,000 from the state GF in FY 2025 to the Fund.

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