By Matthew Holloway |
Governor Katie Hobbs is now facing a serious legal challenge from the Goldwater Institute, acting on behalf of the Home Builders Association of Central Arizona, to put a stop to what Goldwater described as “one of the most significant bureaucratic overreaches in Arizona’s history.”
On Wednesday, Goldwater announced the lawsuit against Arizona’s Democrat Governor stating that Hobbs is “taking illegal actions” that would worsen the state’s ongoing housing crisis by imposing a certification requirement in parts of Maricopa County that, in addition to showing a 100-year groundwater supply, must also meet the dubious standard of “unmet demand.”
Writing for Goldwater, Stacy Skankey explained, “Although the phrase ‘unmet demand’ does not exist in Arizona law, this new rule now requires homebuilders to show a 100-year groundwater supply across the entire water management area (a specially designated area with a reliance on groundwater) rather than at the site of the proposed development. In other words, if a groundwater shortage is projected anywhere within a management area, the Department of Water Resources now claims that there is insufficient groundwater elsewhere in the Valley.”
As reported by AZ Free News in December, Goldwater penned a letter to the Arizona Department of Water Resources (ADWR) urging the agency under Hobbs to reconsider its “AMA Wide Unmet Demand Rule,” noting that the new rule was in violation of the law having been imposed without legislative approval or via the required rulemaking process.
According to ADWR, “Unmet demand occurs when the model cannot simulate pumping of all demands included, thereby creating a pumping shortfall or deficit. This pumping shortfall or deficit occurs when there is insufficient saturated aquifer to satisfy the pumping demand (i.e., the depth-to-water level reaches bedrock) or when the depth to water exceeds 1,100 feet after 100 years of simulated pumping.”
Essentially, unmet demand occurs when the state’s modeling is insufficient to predict demand. In other words, the basis for shutting down Arizona housing development is that the Hobbs administration’s simulation doesn’t work.
As noted in an op-ed for the AZ Capitol Times by CEO of the Home Builders Association of Central Arizona Jackson Moll and Goldwater Institute Vice President for Litigation Jon Riches, the Phoenix Active Management Area (AMA) Groundwater Model being used by the Hobbs administration, coupled with the ‘unmet demand’ standard, moves the goalposts on developers who have mitigated impact on the state’s water needs for nearly 30 years by replenishing pumped groundwater back into the water table.
Riches said in a statement, “Decisions on vital statewide concerns like the availability of affordable housing and the responsible stewardship of our natural resources should be made through a transparent, democratic process—not imposed by executive fiat.”
Moll added, “Gov. Hobbs’ deeply inaccurate and flawed claim that Arizona is running out of groundwater is having devastating effects on housing affordability in the state, which already ranks among the worst in the country.”
Matthew Holloway is a senior reporter for AZ Free News. Follow him on X for his latest stories, or email tips to Matthew@azfreenews.com.