Anticipating 2026 at the Arizona Legislature

Another year, another legislative session ahead of us. The Arizona Legislature reconvened on January 12, 2026, and Governor Hobbs delivered her fourth State of the State address. 

Looking forward to the new state legislative session, Audubon’s policy priorities to protect Arizona’s land and waters include the following: 

• Encouraging groundwater recharge in rivers: Current laws incentivize building groundwater recharge sites in riverbeds and streams by offering “Long-Term Storage Credits.” But they do not incentivize all types of water the same—and they should. A Long-Term Storage Credit is a credit to the aquifer, which can be used to show a community has sufficient water for future growth or can be used if other water supplies run low. Right now, in Active Management Areas (AMAs), Colorado River water can earn a 95 percent Long-Term Storage Credit when placed in an in-stream groundwater recharge facility. The same in-stream groundwater recharge facility, if using purified reclaimed water, can only earn 50 percent Long-Term Storage Credits. With the establishment of new AMAs such as the Douglas AMA and the Willcox AMA, coupled with the need to build new wastewater treatment plants (thus generating more reclaimed water), communities throughout Arizona should have the same opportunity and benefits to recharge groundwater in streams and rivers with reclaimed water as is available for Colorado River water.
  • ​​​In addition to replenishing groundwater, storing purified reclaimed water in streams and riverbeds also provides a fantastic opportunity to restore and sustain the habitats needed by birds like Vermilion Flycatchers, Gray Hawks, and Canyon Towhees. 
• Passing new Colorado River sharing agreements (if there is a deal): If the seven Colorado River Basin states (AZ, CA, CO, NM, NV, UT, and WY) can agree to a consensus deal on how to share the Colorado River after the year 2026 by the February 14 deadline, then the Arizona Legislature will need to pass legislation enabling the Arizona Department of Water Resources Director to sign on to that deal. We are hopeful the states can find a path to agreement and stay out of the courtroom, where collaboration and creativity will be diminished in favor of sharpening the best legal arguments.  
   
• Investing in water security: To continue to adapt to our drier future, we must protect and stretch our water supplies in the quickest and most cost-effective ways—by investing in conservation, efficiency, reuse, groundwater recharge, and forest and watershed health.  
  • This means strengthening investment in existing successful state programs like the Water Infrastructure Finance Authority’s Water Conservation Grant Fund and Water Supply Development Revolving Fund; as well as the Arizona Water Protection Fund; Water Quality Assurance Revolving Fund; Invasive Plant (removal) Grants; Healthy Forest Initiative Grants; and the Water Irrigation Efficiency Program (also known as the On-Farm Efficiency Fund).  
  • Another important grant opportunity Audubon supports is the Arizona State Parks Heritage Fund which protects and promotes our state’s historic, cultural, and natural treasures.    
  • We should also consider new and creative ways to fund these water security investments. 
  • Finally, we must adequately fund the state agencies tasked with protecting the state’s water quality and quantity, namely the Arizona Department of Environmental Quality and the Arizona Department of Water Resources.  
• Managing groundwater throughout Arizona: Though a new groundwater management framework for rural Arizona has not passed the Arizona Legislature, this issue remains important for communities across the state and is likely to resurface this legislative session.   
   
• Defending existing protections: The groundwater laws we do have are critical to maintain consumer protections for homes and businesses (think: the 100-year Assured Water Supply rules which require water providers to prove they have sufficient water to meet demand for 100 years). We will watch for any attempts to weaken or eliminate existing groundwater protections. 

While our water challenges persist in the face of ongoing drought, an overallocated Colorado River, unprotected groundwater in a large portion of Arizona, and higher demand for water security investments than currently available funding, we have been making progress as a state.  

Thanks to lawmakers, your advocacy, along with the efforts of our partners, we have seen a $214 million investment in water conservation across Arizona (projected to save between 3.6 and 6.1 million acre-feet); increased groundwater management throughout the state (the Ranegras Plain AMA in La Paz County was recently designated); smart policy adjustments to facilitate responsible and water-wise housing while saving groundwater; Tribal water rights settlements advanced from parties within Arizona; and other innovative investments in our water security. 

Yet, there is more to do. We will be sure to alert you when there are opportunities to use your voice to help improve and protect Arizona’s lands and waters this legislative session. Make sure you are signed up for our Western Water Action Network to stay engaged.  

We will also keep our 2026 Arizona Bill Tracker updated so you can see where we stand on proposed legislation.