Arizona Gov. Doug Ducey spoke Friday at Valley Partnership’s February Morning Breakfast for the first time since the Covid-19 pandemic began.

Ducey and Valley Partnership President and CEO Cheryl Lombard discussed his priorities for this legislative session – the last of his final term as governor – including investments in Arizona water infrastructure and security, the state’s relationship with Mexico and continued development and economic growth.

Arizona Water Authority

Ducey announced that he supports the creation of an Arizona Water Authority, which will be tasked with developing new water sources for the state as western states experience a nearly two-decade drought. He aims for the state to invest $1 billion in the authority, which he describes as a “once-in-a-generation investment.”

As Arizona’s traditional water sources provide less water each year while the state’s population continues to grow, the state will either need to reduce water use or supplement existing water sources.

Ducey has made it apparent that Arizona will continue to seek innovative water solutions rather than implement water cuts and restrictions. “We use less water today than we did in 1957,” Ducey said. Arizona’s current population is nearly seven times larger than it was in 1957.

The Arizona Water Authority will have the power to construct and own water infrastructure, store water, own and sell water, provide loans and grants, engage in public-private partnerships and negotiate agreements. The authority will not directly operate any water infrastructure.

The authority will have a nine-member board comprised of the director of Environmental Quality, director of Administration, director of Water Resources and six members appointed by the governor to serve staggered five-year terms. Only half of the appointed members can be from the same political party.

“Whomever my successor is will have ample opportunity to ensure water remains abundant in this state,” Ducey said.

Lombard of Valley Partnership says her organization supports Ducey’s efforts to shore up the state’s water supplies. 

“Water is the number one issue discussed by the real estate development community in Arizona – from the assured water supply regulations to the Colorado River shortage,” Lombard said. “Our top priority is to enact policies that will promote responsible economic development and maintain our state’s precious resources.” 

Relationship with Sonora

One such opportunity which has garnered lots of attention is desalination. Desalination has successfully been used in the Middle East by Israel and Persian Gulf states, who pioneered the technology. 

Desalination has traditionally been prohibitively expensive, however improvements in the technology have made the proposal more feasible. The proposal would see desalination plants built in Mexico along with either infrastructure to transport water to Arizona or a cross-border water-sharing agreement.

Relations with Sonora remain strong, despite Sonora Gov. Claudia Pavlovich leaving office. 

Ducey and Pavlovich maintained a strong relationship, improving ties between Arizona and Sonora. 

“That relationship [with Mexico] is at an all-time high,” Ducey said. “We wouldn’t be having the discussions that we’re having now on what’s possible with Mexico on desalination, otherwise.”

In November, Â鶹´«Ă˝Ół»­ spoke with Cheryl Lombard about how real estate developers can play a role in Arizona’s long-term water security.

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For the first time in history, the federal government has declared a water shortage on the Colorado River, which serves as a lifeline to more than in western states like Arizona and California. 

States that are used to receiving substantial amounts of water from the river are going to be receiving considerable cuts in water availability. The river has served as a source of affordable hydraulic power and provides water for irrigation systems to countless farms in the region. 

The Declaration came as no surprise to regular water watchers, as the U.S. Bureau of Reclamation has been consistently monitoring the levels in Lake Mead as it continues to fall. Currently, the reservoir sits at and is dropping. Levels this low have not been seen on Lake Mead since the Hoover Dam was built in . 

The largest cuts to date are set to shrink the flow of water in the 336-mile long Central Arizona Project Canal that has provided water to farmers in the desert cities and farmland stretches for over . 

The reductions are following the course of action outlined in the Drought Contingency Plan, signed in 2019. The agreement provided a backstop provision that called for the members of the original agreement to reconvene if the levels in Lake Mead reached below the elevation of 1,020 feet. 

The voluntary and mandatory Tier 1 cuts that the DCP outlined means that Arizona will lose supply, which amounts to 30% of the water that goes into the Central Arizona Project and 8% of Arizona’s overall water supply.  

Farmers in Pinal County, in preparation for the shortage, have turned their focus on improving other methods to access water sources such as groundwater. Improved well pumps will allow more and better access to groundwater, but there are still going to be massive impacts to the farming community. 

According to the president of the Arizona Farm Bureau Federation, Stefanie Smallhouse, up to that relies on the Colorado River as the main source of water has the potential to be fallowed over the next few years. 

“I can’t think of many other businesses that can take a 40% cut in their income within a few months and still be sustainable. When you farm, it’s not only your business, it’s your livelihood,” Smallhouse the Associated Press last spring. 

However, Arizona farmers are not projected to be the only ones affected by the water shortages that are being implemented. 

Rhett Larson, an associate professor of water law and policy at Arizona State University , “The fact that you’re not feeling it at your tap doesn’t mean you won’t feel it at your grocery store because Pinal County farmers are growing a lot of the things that you eat and use.”

Even in the face of future hardships, there is hope for the state with a strong history on water policy and management. Leaders throughout the state have a positive outlook on the prospective turnaround for Arizona land and water management by working with other state leaders. 

“This is a serious turn of events, but not a crisis,” Arizona Department of Water Resources Director Tom Buschatzke . “We can and will address these issues and be successful together in partnership.” 

While Arizonans need to be observant and vigilant about their water usage, there is no reason to initiate panic protocol.

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Arizona is gearing up for the first-ever “Tier 1” shortage on the Colorado River in 2022, which will trigger significant cuts to the state’s annual allocation from its most important water resource.  

As daunting as it sounds, the vast majority of citizens and businesses will not be affected, state water leaders said during a Colorado River Preparedness briefing last week.

Arizona is also well prepared to weather expected shortages the next few years, and is in the process of developing the next steps to protect and augment the river’s supplies as the drought persists, said the state’s top two water leaders. They held the briefing to update the public about what to expect, what the current conditions are and plans for the future. 

“This is a day we knew would come at some point and we’ve been preparing for this moment for at least a couple of decades,” said Ted Cooke, general manager of the , the entity that delivers the river water to the populous dry inland deserts including metro Phoenix, metro Tucson and Pinal County. 

“We have a plan. It’s called the Drought Contingency Plan, and we’re implementing that plan,” said Cooke, who held the briefing with Tom Buschatzke, the director of the .

One of longest droughts on record

The two seasoned water leaders have been shepherding Arizona through one of the longest, driest droughts on record.

Now, in its 21st year, the drought is causing levels to drop at the Colorado River’s two “storage tanks” — Lake Powell for the upper states and Lake Mead for the lower states and Mexico. The Colorado River basin states that feed off the river are Arizona, California, Colorado, Nevada, New Mexico, Utah, and Wyoming.  

Over the past two to three years, the drought has “intensified significantly,” said Daniel Bunk, chief of the Boulder Canyon Operations Office for the U.S. , who detailed the current conditions at the briefing. 

As of April 26, Lake Powell was down to 35 percent full and Lake Mead, 38 percent. When combined with water storage in other facilities, the system storage is at 43 percent, almost 10 percent lower than last year, Bunk said. 

Based on the hydrology, it is “highly likely” that the BOR will announce a Tier 1 shortage for 2022. This would require Arizona to reduce its use by 18 percent, or a total of 512,000 acre-feet, borne almost entirely by the CAP system. 

The results show a high likelihood of Tier 1 reductions in 2023 as well as an increasing risk of more drastic cuts with Tier 2 conditions in the near future. 

Most severe cuts on central Arizona farmers and ranchers

Reductions will fall largely to central Arizona agricultural users, which have low priority rights when it comes to river supplies. Cities and tribes have high priority rights and will not be affected by a Tier 1 reduction. Tier 2 cuts would be more widespread among users in order to shore up levels at Lake Mead.

While cuts next year will be “painful,” mitigation efforts, including funding from public agencies, large corporations and nonprofits are lessening the blow, Buschatzke said. 

Hardest hit, the agriculture industry in Pinal County received funding to install new groundwater infrastructure to help augment the loss of river water. 

Agreement to leave water in storage lakes is working 

The efforts came out of the historic passed by an act of U.S. Congress in 2019 to protect water levels in the two lakes. Arizona, the six other states, Mexico and the U.S. entered into the DCP, which mandates how water cuts will take place when the lakes drop to certain levels, or tiers. 

Included in the DCP is a new water level, “Tier Zero,” for extra protection. Under Tier Zero, if the water level dips below 1090 feet above sea level, reductions are triggered to leave water in the lake. In 2020 and currently, Lake Mead has been in Tier Zero. A Tier 1 shortage occurs when Mead drops to 1075 feet above sea level. 

In order to get the massive agreement sealed, public agencies, private corporations and NGOs contributed tens of millions of dollars to leave water in the lake for conservation projects and to provide aid to Pinal County farmers. Water users agreed to share some of the pain by either leaving water supplies in the lake or sharing excess water with others with lower water rights. 

Because of the DCP, water supplies are now secure for the next few years, Buschatzke said. 

“Together these efforts reduce the pain of the near-term reductions while addressing risks of future shortages,” he said. 

Next challenge: finding new water supplies 

Now, Buschatzke and Cooke are back co-leading the next drought plan negotiations. 

They are co-chairing a statewide committee, the , to start hammering out Arizona’s part of new DCP guidelines in 2026. 

More substantial cuts could be on the horizon. Pressure is on to build new infrastructure to conserve water and find other supplies beyond the river to relieve the burden on “America’s Nile.”

For additional information and updates about Arizona water efforts, visit: or .  

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Arizona’s top water officials spoke to the manufacturing community Wednesday about what’s being done to protect the state’s water supplies for future growth in this new era of climate change. 

In fact, there is the potential for the state to experience its first-ever water shortage next year, they said. A 20-year drought with no end in sight is shrinking the Southwest’s most important water resource, the mighty Colorado River. 

For now, there’s enough water to support the state’s blooming industry base, said Tom Buschatzke, the director of the Arizona Department of Water Resources (ADWR), and Ted Cooke, general manager of the Central Arizona Project (CAP), during a virtual “breakfast” meeting of the (AMC), the voice of the manufacturing sector. 

Proactive conservation efforts over the past seven years including a seven-state-plus-Mexico drought plan to conserve and share resources have resulted in an extra 40 feet of water in Lake Mead, the “storage tank” for Colorado River supplies, they said. 

“In the near term, our residents can be assured that their water supplies are more reliable and secure and the economies and the state supported by this Colorado River can thrive and are more secure,” Bushatzke said.

Potential for state’s first-ever shortage in 2022 

That doesn’t mean big challenges don’t lie ahead. But they are nothing new for Arizona, which uses less water today than it did in the 1950s because of new technologies and methods that “get more use out of every drop,” Buschatzke said. 

As the Colorado diminishes, Â鶹´«Ă˝Ół»­ust invest in new technology and innovation and find new resources for water other than the river, they said. 

Next year, Arizona is anticipating its first-ever shortage declaration on the Colorado River. The shortage will result in a substantial cut to Arizona’s share of the river, with reductions falling largely to central Arizona agricultural users.

Currently, the river is operating in a “Tier Zero” status, requiring the state to contribute 192,000 acre-feet of Arizona’s 2.8 million acre-foot annual entitlement to Lake Mead. This contribution is coming entirely from the CAP system. 

Based on the current hydrology, it is likely that the U.S. Bureau of Reclamation will elevate the shortage level to a “Tier 1” in 2022. This would require Arizona to reduce uses by a total of 512,000 acre-feet, again, borne almost entirely by the CAP system. 

Cities and tribes, which are considered “high priority” users when it comes to Colorado River water, will not be affected by the cuts during a Tier 1 shortage. If the state dips into the next lower level, “Tier 2,” cuts to water allocations would be more widespread among users in order to leave water in Lake Mead. 

River will continue to be resource for generations to come 

While there are “big challenges” ahead and less water coming to Arizona from the Colorado River, it will continue to be a vital source of water for generations to come, said Cooke, of the CAP, which delivers Colorado River water to the populous desert regions in the center of the state including the the Sun Corridor mega region that stretches from metro Phoenix to metro Tucson.

Clock ticking on new drought plan for 2026

With the updated DCP doing its job, Buschatzke and Cooke are once again embarking on the years-long process to renegotiate a new DCP in 2026. They will be working with not only stakeholders within Arizona, but officials in Mexico and the six other Colorado Basin states: California, Colorado, Nevada, New Mexico, Utah, and Wyoming. 

As they did in 2019, Buschatzke and Cooke are leading a statewide committee, the new , to negotiate the new plan. The committee is nearly a carbon copy of the previous 40-member DCP committee. include municipal and other water officials, tribes, agricultural groups, homebuilder associations, lawmakers, and the Governor’s Office. 

Augmentation council working to find new water supplies

Another committee,the , is charged with finding new water resources beyond the Colorado River and targeting conservation projects.  

“There’s no silver bullet” but manufacturers can feel confident that Arizona is well prepared for the coming years, Cooke said. 

“The important thing to remember is, we have a plan. It’s called the Drought Contingency Plan. Lots of people were involved to make this work and while this plan is being implemented, we’re working on the next plan,” he said. 

Follow what’s happening with drought on new website  

All of the basin states are struggling with drought. Arizona has seen some level of drought at least since 2002. Last year was the calendar year on record for the state and the driest since 1956. 

To better serve stakeholders, decision makers and the public, the National Oceanic and Atmospheric Administration’s National Integrated Drought Information System recently launched a major redesign of . 

This one-stop resource has several features including:

• Drought conditions down to the and level, including current conditions, key indicators of drought, outlooks and forecasts, water supply impacts, historical drought conditions, and more. You can also access curated lists of drought early warning resources for and the entire .
• Historical data and maps, including an where viewers can compare three historical drought datasets side by side down to the county level: U.S. Drought Monitor data going back to 2000, Standardized Precipitation Index (SPI) data going back to 1895, and paleoclimate data from tree-ring analysis going back to the year 0 for some regions of the U.S.

By Sector section, which shows drought impacts on different economic sectors, such as agriculture, energy, water utilities, and tourism and recreation.

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Eight major corporations have contributed more than $1.5 million to shore up Arizona’s dwindling water supplies in a conservation project with the Colorado River Indian Tribes (CRIT) in western Arizona. 

Intel Corp., Microsoft, Cox, The Coca-Cola Foundation, Procter & Gamble, Reformation, Silk, and Swire Coca-Cola, USA are providing the funding as part of the project that was developed through the Colorado River Drought Contingency Plan (DCP) negotiations in Arizona. 

The funding builds on prior commitments that now bring the total private and philanthropic funding to over $6 million, or 75 percent, of an $8 million goal to help support the DCP.

The money will help increase water supply reliability in the state that has watched the Colorado River shrink under a decades-long drought, said Todd Reeve, director of Business for Water Stewardship (BWS), who announced the transfer of the funding last week. 

“It’s remarkable to see the business community come together like this—with some of the world’s most successful companies working to ensure that Arizona’s long-term water security remains a priority, ” Reeve said. 

Tribe working to protect environment, economy 

As an original user along the river with senior priority rights, CRIT is a large holder of Colorado River supplies. The tribe has been actively involved in the DCP negotiations to find solutions to reduce future water shortages. 

With funding from the state and the corporate and nonprofit community, the tribe has agreed to conserve up to 150,000 acre-feet of its Colorado River water allocation, which will directly shore up Lake Mead, Arizona’s holding “tank” for Colorado River water.

Keith Moses, vice chairman of the CRIT, said the tribe looks forward to working with the private and public partners to “maximize the environmental and economic value of our federally reserved water rights.”

The funding also supports longer-term CRIT efforts to modernize irrigation systems and conserve water. 

“Our contribution to the DCP was just the beginning of our plan to actively manage our water rights to both provide for our people and to protect and preserve the river,” Moses said. “This is a team effort, and we know we can build upon our successes in the years to come.” 

Nonprofits match funds for water shortage prevention

This newest round of corporate funding is being matched by private philanthropic funds from the Water Funder and the Arizona Community to total over $1.5 million. 

New era of business involvement

The collective funding agreement from corporations and foundations to conserve water is the single largest collaborative effort of its kind in Arizona, Reeve said.

He said this showing of business commitment highlights a new era of water policy, where the business community “not only understands what is at stake, but also chooses to directly drive water solutions that make Arizona a great place to invest, hire, and grow.” 

About Business for Water Stewardship 

Business for Water Stewardship is a program of the Bonneville Environmental Foundation that helps businesses advance solutions to ensure that local communities, economies and ecosystems have enough clean water to flourish. BSW provides ways for businesses to actively help sustain rivers and replenish aquifers, promote forward-looking water policies, and boost their reputations as environmental stewards.

Learn more at  

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