Arizona Advances Water Conservation Efforts as Ag-to-Urban Program Moves Into Implementation
Arizona is continuing to take significant steps to manage its long-term water supply as the state faces ongoing drought, groundwater concerns and continued population growth.
One of the state’s major recent water-management measures is the Ag-to-Urban Groundwater Conservation Program, established through Senate Bill 1611 and signed into law by Governor Katie Hobbs on June 30, 2025. The bipartisan legislation is designed to conserve groundwater while supporting responsible economic and residential development.
What Is the Ag-to-Urban Program?
The program creates a voluntary pathway for eligible agricultural landowners in the Phoenix and Pinal Active Management Areas to permanently relinquish certain irrigation grandfathered rights in exchange for groundwater savings credits.
These credits can be used within Arizona’s water-supply planning framework and are intended to help conserve groundwater that would otherwise be used for agricultural irrigation.
According to the Governor’s Office, the program could conserve nearly 10 million acre-feet of water over its lifetime while supporting the development of tens of thousands of new homes.
Why Does This Matter to Arizona Communities?
Water availability is a major consideration for Arizona’s continued growth.
The Ag-to-Urban program is particularly significant because it attempts to connect two major challenges facing the state: groundwater conservation and future development.
Rather than treating water conservation and economic growth as completely separate issues, the program creates a mechanism through which reductions in agricultural groundwater use can contribute to future water-supply planning.
For homeowners and communities, this means water availability will continue to be an important consideration in Arizona’s long-term development and planning decisions.
Implementation Is Continuing
Although SB 1611 became law in 2025, implementation has continued into 2026.
The Arizona Department of Water Resources initiated an expedited rulemaking process in March 2026 to establish licensing time frames for groundwater savings credits and procedures for applying those credits to assured-water-supply designations.
This means the story is not simply about a bill being passed. It is also about how Arizona is putting the new groundwater-conservation framework into practice.
Arizona’s Broader Water Strategy
The Ag-to-Urban program is only one part of Arizona’s broader approach to water management.
The Arizona Department of Water Resources continues to track and administer legislation involving groundwater, water supply, conservation and infrastructure. The 2026 legislative session included multiple water-related measures, including legislation addressing groundwater savings credits and other water-management issues.
Arizona is also expanding its work in water reuse and advanced water purification. The Arizona Department of Environmental Quality describes advanced water purification as a way to treat used water and produce purified water that meets applicable state and federal standards.
The state also regulates recycled water and recognizes uses such as landscape irrigation as a way to conserve potable water supplies.
What Arizona Residents Can Do
Residents can stay informed by following updates from the Arizona Department of Water Resources, the Arizona Department of Environmental Quality, and their local water provider or municipality.
Homeowners can also contribute to conservation by:
- Choosing water-efficient landscaping where appropriate
- Using water-efficient fixtures and appliances
- Following local watering recommendations
- Learning about available conservation or rebate programs
- Using recycled or reclaimed water where permitted
- Staying informed about local water-supply and drought conditions
Arizona’s water challenges will continue to require cooperation among state agencies, municipalities, agricultural communities, businesses, homeowners and residents.
The Ag-to-Urban program represents one significant piece of that larger effort: finding ways to conserve groundwater while allowing Arizona communities to plan for responsible growth.