Section R12-15-704. Certificate of Assured Water Supply

A.      An application for a certificate shall be filed by the current owner of the land that is the subject of the application. Poten- tial purchasers and affiliates may also be included as appli- cants.

B.       An applicant for a certificate shall submit an application on a form prescribed by the Director with the initial fee required by R12-15-103(C), and provide the following:

1.        One of the following forms of proof of ownership for each applicant to be listed on the certificate:

a.         For an applicant that is the current owner, one of the following:

i.         A title report, condition of title report, limited search title report, or recorded deed, dated within 90 days of the date the application is filed, demonstrating that the applicant is the owner of the land that is the subject of the application; or

1.        The estimated water demand of the subdivision;

2.        The amount of the groundwater allowance for the subdi- vision, as provided in R12-15-724 through R12-15-727; and

3.        Whether the applicant has demonstrated all of the requirements in subsection (F) or subsection (G) of this Section.

F.                 Except as  provided in subsection (G) of  this  Section, the Director shall issue a certificate if the applicant demonstrates all of the following:

1.        Sufficient supplies of water are physically available to meet the estimated water demand of the subdivision, according to the criteria in R12-15-716;

2.        Sufficient supplies of water are continuously available to meet the estimated water demand  of the subdivision, according to the criteria in R12-15-717;

3.        Sufficient supplies of water are legally available to meet the estimated water demand of the subdivision, according to the criteria in R12-15-718;

4.        The sources of water are of adequate quality, according to the criteria in R12-15-719;

5.        The applicant has the financial capability to construct adequate delivery, storage, and treatment works for the subdivision, according to the criteria in R12-15-720;

6.        The proposed use of groundwater withdrawn within an AMA is consistent with the management plan in effect at the time of the application, according to the criteria in R12-15-721; and

7.        The proposed use of groundwater withdrawn within an AMA is consistent with the achievement of the manage- ment goal, according to the criteria in R12-15-722.

G.               If the Director previously issued a certificate for the subdivi- sion, the Director shall issue a new certificate to the applicant

if the applicant demonstrates that all of the requirements in subsection (F) are met or that all of the following apply:

1.        Any changes to the plat for which the previous certificate was issued are not material, according to the criteria in R12-15-708;

2.        If groundwater is a proposed source of supply for the sub- division, the proposed groundwater withdrawals satisfied the physical availability requirements in effect at the time the complete and correct application for the previous cer- tificate was submitted;

3.        Any proposed sources of water, other than groundwater, are physically available to satisfy the estimated water demand that will not be satisfied with groundwater, according to the criteria in R12-15-716;

4.        Any proposed sources of water other than groundwater are continuously available to satisfy the estimated water demand that will not be satisfied with groundwater, according to the criteria in R12-15-717;

5.        The proposed uses of groundwater withdrawn within an AMA were consistent with the achievement of the man- agement goal according to the criteria in effect at the time the complete and correct application for the previous cer- tificate was submitted; and

6.        The applicant demonstrates that the requirements in sub- sections (F)(3) through (6) of this Section are met.

H.               Before issuing a certificate, the Director shall classify the cer- tificate for the purposes of R12-15-705 and R12-15-706 as fol- lows:

1.        Type A certificate. The Director shall classify the certifi- cate as a Type A certificate if the applicant meets the cri- teria in R12-15-720(A)(1) and all of the subdivision’s estimated water demand will be met with one or more of the following:

a.         Groundwater served by a proposed municipal pro- vider pursuant to an existing service area right;

b.        Groundwater served by a proposed municipal pro- vider pursuant to a pending service area right, if the proposed municipal provider currently holds or will hold the well permit;

c.         CAP water served by a municipal provider pursuant to the proposed municipal provider’s non-declining, long-term municipal and industrial subcontract;

d.        Surface water served by a proposed municipal pro- vider pursuant to the proposed municipal provider’s surface water right or claim;

e.         Effluent owned and served by a proposed municipal provider; or

f.         A Type 1 grandfathered right appurtenant to the land on which the groundwater will be used and held by a proposed municipal provider.

2.        Type B certificate. The Director shall classify all certifi- cates that do not meet the requirements of subsection (H)(1) of this Section as Type B certificates.

I.                   The Director shall review an application for a certificate pur- suant to the licensing time-frame provisions in R12-15-401.

J.                  An owner of six or more lots is not required to obtain a certifi- cate if all of the following apply:

1.        The lots comprise a subset of a subdivision for which:

a.         A plat was recorded before 1980; or

b.        A certificate was issued before February 7, 1995;

2.        No changes were made to the plat since February 7, 1995; and

3.        Water service is currently available to each lot.

K.               A new owner of all or a portion of a subdivision for which a plat has been recorded is not required to obtain a certificate if all of the following apply:

1.        The Director previously issued a Type A certificate for the subdivision pursuant to subsection (H)(1) of this Sec- tion or R12-15-707;

2.        Water service is currently available to each lot; and

3.        There are no material changes to the plat for which the certificate was issued, according to the criteria in R12-15- 708.

L.                An owner of six or more lots in the Pinal AMA is not required to obtain a certificate if all of the following apply:

1.        A plat for the subdivision was recorded before October 1, 2007;

2.        There have been no material changes to the plat accord- ing to the criteria in R12-15-708, since October 1, 2007;

3.        The proposed municipal provider was designated as hav- ing an assured water supply when the plat was recorded, but is no longer designated as having an assured water supply; and

4.        Water service is currently available to each lot.

M.              A person may request a letter stating that the owner is not required to obtain a certificate pursuant to subsection (J), (K), or (L) of this Section by submitting an application on a form prescribed by the Director and attaching evidence that the cri- teria of subsection (J), (K), or (L) are met. Upon receiving an application pursuant to this subsection, the Director shall:

1.        Review the application pursuant to the licensing time- frame provisions in R12-15-401.

2.        Determine whether the criteria of subsection (J), (K), or

(L) of this Section are met.

3.        If the Director determines that the criteria of subsection

(J)  of this Section are met, issue a letter to the applicant and the Arizona Department of Real Estate stating that the current owner is not required to obtain a certificate.

4.        If the Director determines that the criteria of subsection

(K)   or (L) of this Section are met, issue a letter to the applicant and the Arizona Department of Real Estate stat- ing that the current owner and any future owners are not required to obtain a certificate.

Historical Note

Adopted effective February 7, 1995 (Supp. 95-1). Section repealed; new Section made by final rulemaking at 12

A.A.R. 3475, effective September 12, 2006 (Supp. 06-3). Amended by final rulemaking at 13 A.A.R. 1394, effec- tive October 1, 2007 (Supp. 07-2). Amended by exempt rulemaking at 16 A.A.R. 1205, effective June 15, 2010

(Supp. 10-2). Amended by exempt rulemaking at 16

A.A.R. 1950, effective September 10, 2010 (Supp. 10-3). Amended by final rulemaking at 17 A.A.R. 659, effective

June 4, 2011 (Supp. 11-2).