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Arizona’s Ag-to-Urban Water Program Boosts Housing Development

The city of Buckeye is set to expand its housing capacity with the introduction of a groundbreaking water management initiative. On Tuesday, the program awarded its inaugural water credits, facilitating the development of 825 new homes in the area.

This initiative, known as the “ag-to-urban” program, was established by state lawmakers earlier this year. It allows agricultural landowners to sell their properties and water rights to housing developers in regions facing groundwater restrictions, such as the West Valley.

Senator T.J. Shope, a Republican from Coolidge, was instrumental in sponsoring the legislation, describing it as a dual benefit for both farmers and developers. “We killed two birds with one stone,” Shope remarked. “We know that we have willing sellers in many cases and those willing sellers currently are members of the ag community, which we know is high water use.”

The state Department of Water Resources has indicated that numerous other applications for the ag-to-urban program are underway.

The initial water credit approval went to the Forestar Group Inc., which projects a conservation of 437 million gallons of water annually. This is primarily because residential developments typically consume less water compared to agricultural operations.

Buckeye Mayor Eric Orsborn emphasized the importance of this program, stating, “The ag-to-urban program is a critical tool that will support sustainable growth, help meet our region’s housing needs, and strengthen the city’s long-term water portfolio.”

Ben Bryce, an advisor with the Arizona Department of Water Resources, expressed satisfaction with the program’s early adoption by developers since its implementation in September. “It’s a voluntary program that allows for willing sellers to partner with willing buyers to save water and to allow for new development, so we think it’s a real win,” Bryce noted.