Pinal County Water Certificate Delays Stifle Development Progress

Pinal County’s residential development has faced significant delays due to the lack of assured water supply certificates, an issue that has persisted since 2013. Despite similar restrictions affecting nearby regions, such as West Phoenix, which saw a swift resolution within a year, Pinal County remains in limbo. The Arizona Department of Water Resources (ADWR) has designated all pending water certificate applications as “incomplete” without providing specific reasons, effectively halting new residential projects.

Impact of Incomplete Designations on Development

According to Stephen Miller, District 3 Supervisor for Pinal County, the ADWR’s actions have created a de facto moratorium on development. While no formal ban exists, the declaration of applications as incomplete has drastically limited progress. “They deemed all the applications that had been submitted incomplete. But trying to understand what was not complete about my application was the difficult challenge,” Miller states. This lack of clarity has left developers unable to proceed with projects or appeal denials, leading to years of financial burden for landowners who had already secured residential zoning.

In response to these challenges, Pinal County commissioned independent modeling on aquifer depletion, which suggested that the situation may not be as dire as the ADWR has projected. Miller argues that the current restrictions are not solely based on hydrological data, stating, “We spent a lot of money proving that wrong.”

Comparative Recovery of West Phoenix

West Phoenix faced similar water certificate restrictions approximately three and a half years ago but managed to lift these barriers within a year. “Within a year, West Phoenix has already resolved their issues and can move forward,” Miller notes. The swift recovery in West Phoenix contrasts sharply with Pinal County’s prolonged delays, raising questions about the role of political influence and regional priorities. Pinal County, despite its rapid growth, lacks the political clout of areas closer to the Phoenix metropolitan center.

Miller acknowledges that politics play a significant role in this discrepancy. “There’s always in all of this stuff a political component at some level,” he says. For local developers, the experience in West Phoenix serves as both a beacon of hope and a source of frustration, demonstrating that the state can act quickly when it chooses.

The ongoing freeze on water certificates has prompted developers to shift their focus toward rental housing, which does not require a water certificate. This workaround allows the county to accommodate some population growth but alters the housing market and limits options for prospective homebuyers. Miller highlights the inventory concern, stating, “There were close to 20,000 lots with certificates,” and notes that without new developments, construction will come to a halt once that inventory is exhausted.

Exploring Solutions for Water Supply and Development

Miller advocates for expanding wastewater processing and aquifer recharge as potential solutions to the water supply issues facing Pinal County. “The supply of water and the processing of wastewater are sometimes the controlling factors to be able to move forward with a project,” he explains. While wastewater recharge has proven effective in replenishing aquifers, Arizona’s regulations currently hinder most counties from operating sanitation districts, with Pima County being the only exception.

Recent legislation allows for the conversion of agricultural water rights to urban development, which could provide some relief. However, Miller emphasizes that the impact of this law will be gradual, requiring the Arizona Water Company to achieve specific designations before any conversions can commence in Pinal County. While this legislation may unlock some projects, it does not restore the streamlined certificate process that existed prior to 2013.

Despite the recent legislative progress, Pinal County faces ongoing uncertainty. Developers will continue to encounter higher costs and longer timelines compared to regions where water certificates are readily available. Without a significant change in state policy or increased local authority over water infrastructure, Pinal County is likely to remain at a disadvantage relative to its neighbors.

The current freeze underscores the consequences of regulatory uncertainty and the need for clearer, more consistent state policies regarding water certificates. Until these issues are addressed, residential development in Pinal County will likely continue to lag, impacting housing supply, affordability, and regional growth.