… The concept is known as “ag-to-urban.” It’s a pathway to convert farmland to residential use, a process that is currently restricted because of groundwater shortages in Active Management Areas — parts of Arizona, including the metro Phoenix region, that are subject to regulation under the state’s groundwater code. Certain housing projects in areas like the Phoenix AMA must prove they have at least 100 years of assured water supply before building. When Democratic Gov. Katie Hobbs took office in 2023, she announced groundwater levels in the West Valley were too low to meet that requirement. As a result, developers are not currently allowed to build new subdivisions there. Building homes on agricultural land provides developers an opportunity to meet the 100-year requirement in a different way — by retiring the agricultural water rights on that land.

Other Arizona water news:

• The Arizona Republic (Phoenix): Environmental experts: Santa Cruz River revives, but Indigenous voices are missing