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2023 Arizona Revised Statutes › Title 45 - Waters › § 45-875.01 - Annual reports; penalty

45-875.01.
Annual reports;  penalty
A. Each person who holds a storage facility permit shall file an annual report with the director that includes the following information:
1. The total quantity of water stored at the facility during the year.
2. The name,  address and water storage permit number of each person storing water at the storage facility during the year.
3. Such other information as the director may reasonably require.
B. Each person who holds a water storage permit shall file an annual report with the director that includes the following information:
1. The quantity of water from each source stored under the permit during the year.
2. The quantity of stored water recovered on an annual basis.
3. The quantity of stored water to be credited to a long-term storage account.
4. Other information as the director may reasonably require.
C. In addition to the requirements of subsections A and B of this section,  each person who holds a groundwater savings facility permit or who holds a water storage permit for water storage at a groundwater savings facility shall include with the annual report all evidence required to be submitted by that person pursuant to the plan by which the quantity of groundwater saved at the storage facility will be proved.
D. Each person who holds a recovery well permit shall file an annual report with the director that includes the following information:
1. The registration number and location of each well used to recover stored water.
2. The quantity of fuel or electricity consumed by the pump for each well during the year.
3. The total quantity and source of stored water recovered by each well during the year.
4. The quantity and source of stored water recovered on an annual basis during the year.
5. The quantity and source of stored water recovered from a long-term storage account during the year.
6. Other information as the director may reasonably require.
E. The annual reports shall be maintained on a calendar year basis and shall be filed with the director no later than March 31 of each year for the preceding calendar year. If a person who is required to file an annual report under this section fails to file a report when due,  the director may assess and collect a penalty of twenty-five dollars for each month or portion of a month that the annual report is delinquent. The total penalty assessed under this subsection shall not exceed one hundred fifty dollars. The director shall deposit,  pursuant to sections 35-146 and 35-147,  all penalties collected under this subsection in the state general fund.
2023 Arizona Revised Statutes › Title 45 - Waters › § 45-876.01 - Annual report; groundwater replenishment district and replenishment district members; penalties

45-876.01.
Annual report;  groundwater replenishment district and replenishment district members;  penalties
A. Each groundwater replenishment district shall file an annual report with the director that includes:
1. The total amount of water that was stored by the district during the reporting year pursuant to each water storage permit issued to it under this chapter.
2. The amount of water stored by the district during the reporting year to be credited to the master replenishment account.
3. The amount of water stored by the district during the reporting year to be credited to the district's long-term storage account.
4. The amount of long-term storage credits the district has transferred and credited to its master replenishment account during the reporting year.
5. If the reporting year was a drought year,  as defined in section 48-4401,  for any district member:
(a) The amount of any debit that was registered to the district's drought relief account for the reporting year,  as provided in section 48-4467.
(b) Each district member's share of the debit.
(c) The ending balance of the account.
(d) The historic annual per acre surface water deliveries,  as defined in section 48-4401,  for the reporting year of each irrigation district and water users' association that delivered surface water for non-irrigation use on land in the district during the reporting year.
6. Each district member's replenishment obligation determined pursuant to section 48-4463.
7. Other information as the director may require.
B. The annual report shall be maintained on a calendar year basis and shall be filed no later than May 15 of each year for the preceding year,  which is the reporting year.
C. In addition to the annual report required by this section and section 45-632,  each groundwater replenishment district member shall file an annual report with the director that includes the information prescribed by section 48-4463,  subsection A. The annual report required by this subsection shall be maintained on a calendar year basis and shall be filed with the director no later than March 31 of each year for the preceding calendar year which is the reporting year.
D. The director may assess and collect a penalty of up to one thousand dollars for each day that a report is delinquent for a groundwater replenishment district or one of its members that is required to file an annual report and that fails to file the report when due. The director shall deposit,  pursuant to sections 35-146 and 35-147,  all penalties collected pursuant to this section in the state general fund.
2023 Arizona Revised Statutes › Title 45 - Waters › § 45-877.01 - Annual reports by conservation districts; penalties

45-877.01.
Annual reports by conservation districts;  penalties
A. Each conservation district shall file an annual report with the director that includes for each active management area in which a member land or member service area is or may be located:
1. The total amount of water that was stored by the conservation district during the reporting year pursuant to each water storage permit issued to it under this chapter.
2. The amount of water stored by the conservation district during the reporting year to be credited to the conservation district's conservation district account.
3. The amount of water stored by the conservation district during the reporting year to be credited to the conservation district's long-term storage account.
4. The amount of water stored by the conservation district during the reporting year to be credited to the conservation district's replenishment reserve subaccount.
5. The amount of long-term storage credits the conservation district has transferred and credited to its conservation district account during the reporting year.
6. The groundwater replenishment obligation as defined in section 48-3701 for the reporting year.
7. The contract replenishment obligation as defined in section 48-3701 for the reporting year.
8. The information required under section 48-3775.
9. Other information as the director may require.
B. The annual report required under subsection A of this section shall be maintained on a calendar year basis and shall be filed with the director no later than August 31 of each year for the preceding calendar year,  which is the reporting year.
C. If the conservation district fails to file the report when due,  the director may assess and collect a penalty of up to one hundred dollars for each day the annual report is delinquent. The director shall deposit,  pursuant to sections 35-146 and 35-147,  all penalties collected pursuant to this subsection in the state general fund.
D. If a municipal provider as defined in section 48-3701 does not timely file the annual report required by section 48-3775,  the director may assess and collect a penalty of up to one thousand dollars for each day the annual report is delinquent. The director shall deposit,  pursuant to sections 35-146 and 35-147,  all penalties collected pursuant to this subsection in the state general fund.
2023 Arizona Revised Statutes › Title 45 - Waters › § 45-878.01 - Annual reports by water districts; penalties

45-878.01.
Annual reports by water districts;  penalties
A. Each water district shall file an annual report with the director that includes for the active management area in which a water district member land or water district member service area is or may be located:
1. The total amount of water that was stored by the water district during the reporting year pursuant to each water storage permit issued to it under this chapter.
2. The amount of water stored by the water district during the reporting year to be credited to the water district's water district account.
3. The amount of water stored by the water district during the reporting year to be credited to the water district's long-term storage account.
4. The amount of long-term storage credits the water district has transferred and credited to its water district account during the reporting year.
5. The water district groundwater replenishment obligation as defined in section 48-4801 for the reporting year.
6. The contract replenishment obligation as defined in section 48-4801 for the reporting year.
7. The information required under section 48-4976.
8. Other information as the director may require.
B. The annual report required under subsection A of this section shall be maintained on a calendar year basis and shall be filed with the director no later than August 31 of each year for the preceding calendar year,  which is the reporting year.
C. If the water district fails to file the report when due,  the director may assess and collect a penalty of up to one hundred dollars for each day the annual report is delinquent. The director shall deposit,  pursuant to sections 35-146 and 35-147,  all penalties collected pursuant to this subsection in the state general fund.
D. If a municipal provider as defined in section 48-3701 does not timely file the annual report required by section 48-4876,  the director may assess and collect a penalty of up to one thousand dollars for each day the annual report is delinquent. The director shall deposit,  pursuant to sections 35-146 and 35-147,  all penalties collected pursuant to this subsection in the state general fund.
2023 Arizona Revised Statutes › Title 45 - Waters › § 45-879.01 - Annual reports certification; records

45-879.01.
Annual reports certification;  records
A. Each annual report required by this article shall contain either a sworn statement or a certification under penalty of perjury that the information contained in the report is true and correct according to the best belief and knowledge of the person filing the report.
B. Each person who is required to file an annual report under this article shall maintain current,  accurate records of the information required to be included in the annual report.
C. The records and reports required to be kept and filed under this article shall be in a form prescribed by the director. The director shall prepare blank forms and furnish them on request. Failure to receive or obtain the forms does not relieve any person from the obligation to keep required records or make any required report.
2023 Arizona Revised Statutes › Title 45 - Waters › § 45-880.01 - Inspections, investigations and audits

45-880.01.
Inspections,  investigations and audits
A. The director or the director's authorized representative may enter at reasonable times on private or public property where any facilities used for the purposes of water storage,  stored water recovery or stored water use are located and the owner,  manager or occupant of the property shall permit such entry to:
1. Inspect any facility that is used for the purposes of water storage,  stored water recovery or stored water use and that is subject to this chapter.
2. Obtain factual data or access to records required to be kept by this article.
3. Ascertain compliance with this chapter.
B. Inspections and investigations under this section shall be on reasonable notice to the owner,  manager or occupant of the property unless reasonable grounds exist to believe that this notice would frustrate the enforcement of this chapter or if entry is sought for the sole purpose of inspecting water measuring devices required pursuant to section 45-872.01. The director shall adopt rules for conducting inspections,  examining records and obtaining warrants pursuant to this section. The director may,  and if required by law,  shall,  apply for and obtain warrants for entry and inspection to carry out the administrative and enforcement purposes of this chapter.
C. The director may require a person who is required to keep records under this article to appear,  at reasonable times and on reasonable notice,  at the director's office and produce the records and information that are specified in the notice to determine whether the records and annual reports required by this article are complete,  true and correct.
D. The director shall provide a written report of each inspection,  investigation and audit under this section to the person who is subject to such action.
2023 Arizona Revised Statutes › Title 45 - Waters › § 45-881.01 - Cease and desist order; temporary cease and desist order; hearing; injunctive relief

45-881.01.
Cease and desist order;  temporary cease and desist order;  hearing;  injunctive relief
A. Except as provided by subsection B of this section,  if the director has reason to believe that a person is violating or has violated a provision of this chapter or a permit,  rule or order issued or adopted pursuant to this chapter,  the director may give the person written notice that the person may appear and show cause at an administrative hearing at least thirty days from the date of service of the notice why the person should not be ordered to cease and desist from the violation. The notice shall inform the person of the date,  time and place of the hearing and the consequences of failure to appear.
B. If the director finds that a person is constructing a storage facility or storing water in violation of this chapter,  the director may issue a temporary order for the person to cease and desist the construction or storage pending final action by the director pursuant to subsection C of this section. The order shall include written notice to the person of the date,  time and place where the person may appear at an administrative hearing before the department to show cause why the temporary order should be vacated. The hearing shall be held within fifteen days of the date of the order unless the person consents to a longer period.
C. The decision and order of the director under subsections A and B of this section may be in a form that the director determines to be reasonable and appropriate and may include a determination of violation,  a cease and desist order,  the recommendation of a civil penalty and an order directing that positive steps be taken to abate or ameliorate any harm or damage arising from the violation. The person affected may seek judicial review of the final decision of the director as provided in section 45-114,  subsection B in the superior court in the county in which the violation is alleged to have occurred.
D. If the person continues the violation after the director has issued a final decision and order pursuant to subsection C of this section or a temporary order pursuant to subsection B of this section,  the director may apply for a temporary restraining order or preliminary or permanent injunction from the superior court pursuant to the rules of civil procedure. Filing for injunctive relief does not preclude other forms of relief or enforcement against the violator.
E. Section 45-114,  subsections A and B govern administrative proceedings,  rehearing or review and judicial review of final decisions of the director under this section.
2023 Arizona Revised Statutes › Title 45 - Waters › § 45-882.01 - Violation; civil penalties

45-882.01.
Violation;  civil penalties
A. A person who is determined pursuant to section 45-881.01 to be in violation of this chapter or a permit,  rule or order issued or adopted pursuant to this chapter may be assessed a civil penalty in an amount not exceeding:
1. One hundred dollars per day of violation that is not directly related to illegal storage,  recovery or use of stored water.
2. Ten thousand dollars per day of violation that is directly related to illegal storage,  recovery or use of stored water.
B. An action to recover penalties under this section shall be brought by the director in the superior court in the county in which the violation occurred.
C. In determining the amount of the penalty,  the court shall consider the degree of harm to the public,  whether the violation was knowing or wilful,  the past conduct of the defendant,  whether the defendant should have been on notice of the violation,  whether the defendant has taken steps to cease,  remove or mitigate the violation and any other relevant information.
D. The director shall deposit,  pursuant to sections 35-146 and 35-147,  all civil penalties assessed under this section in the state general fund.
2023 Arizona Revised Statutes › Title 45 - Waters › § 45-891.01 - Purposes

45-891.01.
Purposes
It is declared that the public policy of this state and the general purposes of this article are:
1. To protect the general economy and welfare of this state and its citizens by wise resource management of the water of the central Arizona project.
2. To store for future needs or use for replenishment purposes the central Arizona project water not now utilized by central Arizona project subcontractors.
3. To provide an additional source of water for times of serious water shortage due to a substantial reduction in the supply of central Arizona project water available for delivery to central Arizona project subcontractors or a prolonged interruption of deliveries of central Arizona project water.
2023 Arizona Revised Statutes › Title 45 - Waters › § 45-892.01 - Definitions

45-892.01.
Definitions
In this article,  unless the context otherwise requires:
1. " Excess central Arizona project water"  means central Arizona project water that in any year would otherwise not be delivered to central Arizona project subcontractors or their designees.
2. " Project permits"  means permits obtained under articles 2 and 3 of this chapter for the purposes of operating a state demonstration project.
3. " State demonstration project"  means a project for the storage of excess central Arizona project water at an underground storage facility pursuant to permits issued under this chapter and in accordance with this article.
2023 Arizona Revised Statutes › Title 45 - Waters › § 45-893.01 - Application for project permits; application requirement; permit specifications

45-893.01.
Application for project permits;  application requirement;  permit specifications
A. A conservation district may apply to the director pursuant to articles 2 and 3 of this chapter for project permits for one or more state demonstration projects to be funded by account A of the state water storage fund established by section 45-897.01 and one or more projects to be funded by account B of the fund. Each project shall be located in either of the following:
1. A county for the benefit of which the account that funds the project was established.
2. A county that is adjacent to the county for the benefit of which the account that funds the project was established if both of the following apply:
(a) The project is within the same active management area as the county for which the account that funds the project was established.
(b) Water stored at the project will provide hydrologic benefit to the county for which the account was established.
B. In addition to the information required by articles 2 and 3 of this chapter,  the conservation district's permit application shall contain plans for the state demonstration project and projections of the capital,  operation and maintenance costs of the project,  exclusive of water recovery costs. The plans and projections shall contain information adequate to permit the director to determine whether sufficient monies will be available from the state water storage fund to cover the projected costs of the proposed state demonstration project,  considering all other obligations of the fund.
C. If the director approves the conservation district's project permit applications,  the director shall specify in the permit or in a written memorandum of understanding between the director,  the conservation district and the state treasurer the conditions under which and the timing pursuant to which monies shall be disbursed by the state treasurer to the conservation district from the state water storage fund. The permit or the memorandum of understanding:
1. Shall provide for the advancement to the conservation district of the capital,  operation and maintenance costs of the project,  exclusive of water recovery costs,  and the advancement of additional necessary monies to the conservation district,  if the monies initially advanced are insufficient to cover those costs.
2. Shall provide for the continuing disbursement from the fund of monies for the purchase of excess central Arizona project water.
3. May provide for the use of monies in the fund to cover the conservation district's costs of recovering,  transporting and delivering the stored water and the costs of dismantling the project.
D. If the director approves the conservation district's application for the project permits,  the conservation district may contract for excess central Arizona project water for storage in the state demonstration project and may enter into agreements with the director for the disposition of such water as provided in section 45-895.01.
2023 Arizona Revised Statutes › Title 45 - Waters › § 45-894.01 - Use for replenishment purposes

45-894.01.
Use for replenishment purposes
A. After the qualification of any real property as member land pursuant to section 48-3774 or the qualification of any service area as a member service area pursuant to section 48-3780,  a conservation district may use the facilities and excess storage capacity of any state demonstration project located in the active management area in which the member land or a member service area is located for replenishment purposes. The groundwater replenished by the conservation district using the facilities and excess storage capacity of a state demonstration project shall not be water stored in the state demonstration project.
B. A conservation district may operate and maintain a state demonstration project and may simultaneously store water for other purposes,  including replenishment,  at the same storage facility.
2023 Arizona Revised Statutes › Title 45 - Waters › § 45-895.01 - Storage of water; availability and disposition of stored water

45-895.01.
Storage of water;  availability and disposition of stored water
A. Water that is stored in a state demonstration project,  that is purchased with monies from the state water storage fund established by section 45-897.01 and that is eligible for credits in a long-term storage account pursuant to section 45-852.01 shall be credited to a state demonstration subaccount of the conservation district's long-term storage account. The credits in this subaccount shall be used only for municipal and industrial purposes and shall be used only in the county for the benefit of which the state demonstration project was constructed by the conservation district.
B. Water stored in a state demonstration subaccount shall be available for disposition by the director during any time when the director determines either of the following applies:
1. The amount of central Arizona project water available for delivery to central Arizona project municipal and industrial subcontractors is insufficient to meet the contractual entitlements of the subcontractors.
2. There is a significant interruption of the conservation district's ability to make deliveries of central Arizona project water in the county for the benefit of which the state demonstration project was constructed.
C. The director may dispose of water stored pursuant to this article only when one of the conditions described in subsection B of this section exists. The director may dispose of the water to a person,  including a person who is not an existing central Arizona project municipal and industrial subcontractor,  who has filed a request for the water. In disposing of the water,  the director shall take into account the reasonable water needs of persons who have filed requests for the water and the applicable provisions of the state water plan,  if any,  in effect at the time of the request. The director shall require as a condition of the disposition of water that:
1. The person who receives the water shall pay the conservation district's costs,  if any,  of recovering,  transporting and delivering the water to the person,  but the person is not required to pay any other costs of construction,  operation or maintenance of the state demonstration project. If monies from the state water storage fund established by section 45-897.01 are used to cover the conservation district's cost of recovering,  transporting or delivering the water stored,  the person who receives the water shall reimburse the fund for those costs.
2. The person who receives the water shall agree to be bound by the relevant terms and conditions of any applicable contract between the conservation district and the United States.
3. The water disposed of to a person pursuant to this section shall be used only by the person for municipal and industrial purposes in the county for the benefit of which the state demonstration project was constructed.
2023 Arizona Revised Statutes › Title 45 - Waters › § 45-897.01 - State water storage fund; disbursement of monies

45-897.01.
State water storage fund;  disbursement of monies
A. A state water storage fund is established to be administered by the director as provided in this article. The fund shall be divided into two accounts,  one account for the benefit of counties having a population of more than five hundred thousand persons but less than one million five hundred thousand persons and one account for the benefit of counties having a population of one million five hundred thousand persons or more,  according to the most recent United States decennial census. The accounts shall be referred to respectively as account A and account B. The fund and the accounts within the fund consist of monies appropriated by the legislature and taxes levied by a conservation district pursuant to section 48-3715.02. Monies appropriated by the legislature shall be credited to the separate accounts as provided by the legislature. Taxes levied by the conservation district shall be credited to the separate accounts as provided in section 48-3715.02. Monies in the fund are exempt from lapsing under section 35-190. Interest earned on monies in the fund shall be credited to the fund and to the separate accounts in proportion to the balance of each account.
B. The fund shall be used to pay the capital,  operation,  maintenance and other costs,  including the costs of excess central Arizona project water,  of state demonstration projects constructed by the conservation district pursuant to this article. Monies shall be distributed from the fund to the conservation district on the direction of the director,  in the manner provided for in section 45-893.01.
2023 Arizona Revised Statutes › Title 45 - Waters › § 45-898.01 - Indemnification and insurance

45-898.01.
Indemnification and insurance
For purposes of this article only,  when proposing,  obtaining permits for,  acquiring property for or constructing,  operating,  maintaining,  terminating or dismantling a state demonstration project,  a conservation district is an agent of the state,  and the state shall indemnify and insure against all liability for acts or omissions of any nature under section 41-621,  subsection A,  paragraph 3. The state shall be named as an additional insured on any contracts entered into under this article between the conservation district and outside consultants or contractors,  and the conservation district shall consult with the department of administration as to appropriate insurance to be specified in any contracts.
2023 Arizona Revised Statutes › Title 45 - Waters › § 45-1001 - Definitions

45-1001.
Definitions
Unless the context otherwise requires,  the terms defined in section 45-402 have the same meaning in this chapter and:
1. " Applicant"  means a person who applies for a water exchange permit pursuant to section 45-1041.
2. " Holder"  means a person to whom a water exchange permit is issued under section 45-1041 or a person to whom the permit is conveyed.
3. " Indian community"  means an Indian community organized under section 16 or 17 of the Indian reorganization act (48 Stat. 984;  25 United States Code section 461 et seq.).
4. " Participant"  means a person who participates in a water exchange subject to the water exchange notice provisions of article 4 of this chapter.
5. " Party"  means a person or Indian community that has entered into a water exchange contract or that is a successor in interest to such a person or Indian community.
6. " Water exchange"  means a trade between one or more persons,  or between one or more persons and one or more Indian communities,  of any water for any other water,  if each party has a right or claim to use the water it gives in trade. This definition applies whether or not water is traded in equal amounts or other consideration is included in the trade.
7. " Water exchange contract"  means a valid written or oral contract for a water exchange.
2023 Arizona Revised Statutes › Title 45 - Waters › § 45-1003 - Use of water pursuant to a water exchange

45-1003.
Use of water pursuant to a water exchange
A. A person who receives water pursuant to a water exchange or water exchange contract:
1. May withdraw,  or divert,  and use the water without holding a right to that water other than the authority granted by the water exchange or water exchange contract.
2. May use the water only in the same manner in which the person had the right to use the water that person gave in trade.
3. Shall comply with all orders of the director and all laws and rules relating to the water that the person gives in the exchange,  including the restrictions on transportation of groundwater in chapter 2,  articles 8 and 8.1 of this title.
B. A person who gives groundwater in an exchange is subject to the restrictions on transportation of groundwater and the provisions regarding payment of damages in chapter 2,  articles 8 and 8.1 of this title as though:
1. The person who gave the groundwater withdrew the groundwater at the location where it was actually withdrawn by or for another party.
2. The person who gave the groundwater used the groundwater at the location where the person who gave the groundwater actually used the water it received in the exchange.
C. If groundwater is withdrawn in an active management area or irrigation non-expansion area,  the person who actually withdraws the groundwater shall comply with section 45-604.
2023 Arizona Revised Statutes › Title 45 - Waters › § 45-1004 - Annual report of water exchange; record keeping; penalties

45-1004.
Annual report of water exchange;  record keeping;  penalties
A. Each person who is authorized to give or receive any water pursuant to a water exchange contract enrolled under section 45-1021,  a water exchange permit issued under section 45-1041,  or a notice of water exchange filed with the director under section 45-1051 shall file an annual report with the director,  whether or not any water was actually given or received. The report shall contain:
1. The name and address of the person filing the report.
2. The source and quantity of water received pursuant to the water exchange in the preceding calendar year on a month by month basis.
3. The source and quantity of water given pursuant to the water exchange in the preceding calendar year on a month by month basis.
4. Such other information as the director may require to carry out the purposes of this chapter.
B. Each report shall contain either a sworn statement or a certification,  under penalty of perjury,  that the information contained in the report is true and correct according to the best belief and knowledge of the person filing the report.
C. The annual report shall be maintained on a calendar year basis unless a different accounting period is authorized by the director and is specified in the water exchange contract,  permit or notice. The report shall be filed with the director no later than March 31 of each year for the preceding calendar year unless the director has authorized a different accounting period,  in which case the report shall be filed no later than the end of the third month after the closing date of the accounting period. If a person who is required under this section to file an annual report fails to file a report for a calendar year on or before March 31 of the following year or a later date authorized by the director,  the director may assess and collect a penalty of twenty-five dollars for each month or portion of a month that the annual report is delinquent. The total penalty assessed under this subsection shall not exceed one hundred fifty dollars. All penalties collected under this subsection shall be deposited,  pursuant to sections 35-146 and 35-147,  in the state general fund.
D. Each person required to file an annual report under this section shall maintain current accurate records of the withdrawals,  diversions and use of any water given or received in a water exchange.
E. The records and reports required to be kept and filed under this section shall be in such form as the director prescribes. The director shall prepare blank forms and furnish them on request. Failure to receive or obtain the forms does not relieve any person of responsibility for keeping the required records or making any required report.
2023 Arizona Revised Statutes › Title 45 - Waters › § 45-1005 - Registry of water exchanges

45-1005.
Registry of water exchanges
A. The director shall establish and maintain a registry of water exchange contracts enrolled under section 45-1021,  water exchange permits issued under section 45-1041,  and notices of water exchange filed with the director under section 45-1051.
B. Each person who is a party to an enrolled water exchange contract,  a holder of a water exchange permit or a participant in a water exchange conducted pursuant to a notice of water exchange filed with the director under section 45-1051 shall notify the director within sixty days of a change in name or mailing address,  a conveyance of the water exchange contract or permit or a valid change in point of withdrawal or diversion.
C. The director may require a person who is a party to an enrolled water exchange contract,  a holder of a water exchange permit or a participant in a water exchange conducted pursuant to a notice of water exchange filed with the director under section 45-1051 to file additional information as necessary to keep the registry current and accurate.
2023 Arizona Revised Statutes › Title 45 - Waters › § 45-1006 - Effect on water rights

45-1006.
Effect on water rights
A. This chapter shall not be construed to affect vested water rights.
B. Any determination made by the director for purposes of this chapter regarding the validity,  nature,  extent or relative priority of a water right claimed by a party or another person is not binding in any other administrative proceeding or in any judicial proceeding.
2023 Arizona Revised Statutes › Title 45 - Waters › § 45-1021 - Enrollment of water exchange contracts; fee

45-1021.
Enrollment of water exchange contracts;  fee
A. A water exchange contract may be enrolled by any party to the contract by filing a statement of water exchange contract with the director and complying with all of the following requirements:
1. The water exchange contract was in effect before January 1,  1992 and,  if originally oral,  is reduced to writing before December 31,  1994.
2. A water exchange actually was made after January 1,  1982 pursuant to the contract unless the water to be exchanged by one of the parties is central Arizona project water for which a subcontract was not offered by the secretary of the interior by January 1,  1992.
3. Each statement of water exchange contract is filed on a separate prescribed form not later than December 31,  1994.
4. Each statement of water exchange contract includes a description of the legal basis for acquiring and using the water subject to the water exchange.
5. If the water exchange involves water pumped from wells,  each statement of water exchange contract includes the well registration numbers of the wells pumping water pursuant to the exchange.
6. A copy of the water exchange contract is attached to the statement of water exchange contract.
7. Each blank in the prescribed form is completed legibly with the required information pursuant to instructions furnished by the director.
8. The statement of water exchange contract is certified as true under penalty of perjury.
9. The prescribed form is accompanied by a filing fee in an amount to be determined by rule by the director to cover the cost of administering this article.
B. The director shall not accept a statement of water exchange contract that does not meet all of the requirements of subsection A of this section. If the director determines that a statement of water exchange contract fails to meet these requirements,  the director shall return it to the sender within ninety days specifying the deficiencies in the statement and providing the sender with sixty days within which to revise or supplement the statement in order to meet the requirements. The director may reject a revised or supplemented statement if,  on resubmittal,  it is still deficient. In such case,  the director shall provide the sender an additional sixty days in which to further revise or supplement the statement. The director shall not accept a revised or supplemented statement of water exchange contract after June 30,  1995.
C. The director shall deposit,  pursuant to sections 35-146 and 35-147,  all fees received under this section in the water resources fund established by section 45-117.
2023 Arizona Revised Statutes › Title 45 - Waters › § 45-1043 - Contents of permit

45-1043.
Contents of permit
A. A specific use permit issued by the director pursuant to section 45-1041 shall contain the following information:
1. The names and mailing addresses of the persons to whom the permit is issued.
2. The name of any active management area or irrigation non-expansion area from which groundwater may be withdrawn pursuant to the permit.
3. The point or points of withdrawal,  including well registration number,  of any groundwater or stored water and the point or points of diversion of any surface water or other water to be exchanged pursuant to the permit.
4. The legal descriptions of the lands on which the water may be used pursuant to the permit.
5. The total annual amount of water that may be used pursuant to the permit.
6. The duration of the permit,  up to a maximum of fifty years.
7. Conditions on the permit authorized by this chapter or rules adopted pursuant to this chapter.
8. Such other information as the director deems appropriate.
B. A general use permit issued by the director pursuant to section 45-1041 shall contain the following information:
1. The names and mailing addresses of the political subdivisions,  or political subdivisions and private water companies,  to which the permit is issued.
2. The name of any active management area or irrigation non-expansion area from which groundwater may be withdrawn pursuant to the permit.
3. The geographic areas within which the parties may withdraw groundwater or divert surface water,  as applicable.
4. The uses to which any exchanged water may be applied during the term of the permit.
5. The maximum amount of water that may be exchanged by each party during any twelve month period.
6. The duration of the permit,  up to a maximum of fifty years.
7. Conditions on the permit authorized by this chapter or rules adopted pursuant to this chapter.
8. Such other information as the director deems appropriate.
2023 Arizona Revised Statutes › Title 45 - Waters › § 45-1045 - Modification of water exchange permit

45-1045.
Modification of water exchange permit
Holders of a water exchange permit may seek renewal of a permit within six months before the date the permit expires or may seek modification of an unexpired water exchange permit. All applications to renew or modify a permit shall be treated in the same manner as provided in section 45-1042 for the initial permit application and are subject to the criteria prescribed by section 45-1041.
2023 Arizona Revised Statutes › Title 45 - Waters › § 45-1046 - Revocation of water exchange permits

45-1046.
Revocation of water exchange permits
A. After an administrative hearing the director may permanently or temporarily revoke all or part of a water exchange permit for any of the following reasons:
1. A false statement in regard to a material issue in an application to initiate,  modify or renew a permit,  or a false statement in regard to a material issue in any report required to be filed by a person using water pursuant to the provisions of the permit.
2. A material violation of the terms of the permit.
3. Failure to exchange water pursuant to a permit for five or more consecutive years except for reasons beyond the control of the permit holders. During the first five years a permit is in effect,  the parties may request,  and the director may approve,  an extension of this period for not more than an additional five years,  if necessary to complete construction of facilities or other works to be used to effectuate a permitted exchange.
B. The director may revoke a water exchange permit with the written consent of the holders,  and in such a case a hearing is not required.
C. Section 45-114,  subsections A and B govern administrative proceedings,  rehearing or review and judicial review of final decisions of the director under this section.
2023 Arizona Revised Statutes › Title 45 - Waters › § 45-1051 - Notice of water exchange; contents forms; review by director

45-1051.
Notice of water exchange;  contents forms;  review by director
A. A person who seeks to engage in a water exchange that does not meet the requirements of section 45-1002,  subsection A,  paragraph 1,  2,  3,  4 or 6 shall file a notice of water exchange with the director. The notice shall include the following:
1. The names and mailing addresses of each participant in the water exchange.
2. A copy of the contract pursuant to which the water exchange will be conducted.
3. The name of any active management area or irrigation non-expansion area from which groundwater will be withdrawn pursuant to the notice of water exchange.
4. The point or points of withdrawal,  including well registration number,  of any groundwater or stored water to be exchanged pursuant to the notice of water exchange.
5. The legal descriptions of the lands on which the water will be used pursuant to the notice of water exchange.
6. The total annual amount of water that may be used pursuant to the notice of water exchange.
7. The duration of the water exchange contract.
8. The uses to which any exchanged water may be applied during the term of the water exchange contract.
9. Such other information as the director deems appropriate.
B. The notice of water exchange shall be filed with the director on a form prescribed by the director. Blank forms shall be furnished on request.
C. The director shall not accept a notice of water exchange that does not contain all of the information required by subsection A of this section. If the director determines that a notice of water exchange does not contain all of the required information,  the director shall return it to the sender within sixty days specifying the deficiencies in the notice and provide the sender an opportunity to revise or supplement the notice. The director shall reject a revised or supplemented notice if,  on resubmittal,  it is still deficient.
2023 Arizona Revised Statutes › Title 45 - Waters › § 45-1052 - Water exchanges pursuant to notice; conditions

45-1052.
Water exchanges pursuant to notice;  conditions
After filing a notice of water exchange that conforms with the requirements of section 45-1051,  subsection A,  the exchange may be initiated if it satisfies the following conditions:
1. The water exchange will be made pursuant to a written contract.
2. The water exchange will not affect vested rights to water.
3. Each participant in the water exchange has a right to the water the party will give in the exchange.
4. For each participant that is not a city,  town,  private water company or irrigation district,  any new or increased pumping by that participant from a well within an active management area pursuant to the water exchange will not unreasonably increase damage to surrounding land or other water users.
5. For each participant that is a city,  town,  private water company or irrigation district with a service area located partly or wholly in an active management area,  any new or increased pumping by that participant within that participant's service area pursuant to the water exchange is consistent with the management plan and achievement of the management goal for the active management area.
6. Each participant in the water exchange either:
(a) Receives at least ninety per cent of the quantity of water that the participant gives in the water exchange.
(b) Receives at least fifty per cent of the quantity of water that the participant gives in the water exchange,  unless otherwise authorized by law,  and the director determines the water exchange is beneficial to water management in this state.
2023 Arizona Revised Statutes › Title 45 - Waters › § 45-1061 - Inspections; investigations and audits

45-1061.
Inspections;  investigations and audits
A. The director or the director's authorized representative may enter at reasonable times on private or public property where water is withdrawn,  diverted or used pursuant to a water exchange,  and the owner,  manager or occupant of the property shall permit the entry to:
1. Inspect facilities for withdrawal,  diversion or use of the water.
2. Ascertain compliance with this chapter.
B. Inspections and investigations under this section shall be on reasonable notice to the owner,  manager or occupant of the property unless reasonable grounds exist to believe that the notice would frustrate the enforcement of this chapter. The director shall adopt rules for conducting inspections and obtaining warrants under this section. If warrants are required by law,  the director shall apply for and obtain warrants for entry and inspection to carry out the administrative and enforcement purposes of this chapter.
C. The director may require a person who is required to keep records under section 45-1004 to appear,  at reasonable times and on reasonable notice,  at the director's office and produce such records and information as are specified in the notice to determine whether the records and annual reports required by section 45-1004 are complete,  true and correct. The director shall audit a sufficient number of persons under this subsection to ensure general compliance with this chapter.
D. The director shall provide a written report of each inspection,  investigation and audit under this section to the person who is subject to such action.