March 2009

U.S. Water News Online

PHOENIX — The Arizona Supreme Court has ruled groundwater rights can't be withheld when property is sold in rural areas not subject to state groundwater regulations.

The justices unanimously overturned a January 2008 decision in which the state Court of Appeals ruled that state law permits a property owner to keep commercial groundwater rights for property when it is being sold.

The Supreme Court said its holding applies to property outside of "active management areas" regulated by the Department of Water Resources.

The case is from Yavapai County and stemmed proposals to sell groundwater rights associated with a Chino Valley ranch.

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