Well Sharing in Arizona Archives | Dunaway Law Group, PLC

Glossary Well Share Agreements

Arizona Association of Realtors (AAR). Arizona Association of Realtors is the largest trade Association in Arizona, representing more than 40,000 Arizona Realtors subscribing to the strict code of ethics outlined by the National Association of Realtors. In addition to providing a number of benefits and services, AAR is dedicated to the protection of private property rights and the best interests of Arizona realtors in legislation and strives to provide the best and most current legal information and education available.

Abandoned Well. An “abandoned well” is one that has been properly plugged by an Arizona licensed well driller after a Notice of Intent to Abandon (NOIA) a well has been filed with ADWR, and an abandonment authorization has been issued to the driller. This legal authorization from ADWR is required prior to well abandonment, and the landowner may be liable for any groundwater contamination or injury that results from lack of proper abandonment.

Active Management Areas (AMA). Five geographic areas designated by the Arizona Groundwater Code (1980) requiring active management of groundwater. Each AMA has a management goal, a management plan, a groundwater-rights system, restrictions on agricultural land expansion, and other requirements designed to preserve groundwater resources.

Acre-feet. A water volume unit equal to one acre with one foot of standing; or 43,560 cubic feet; or 325,853 gallons. One acre-foot/year is approximately 893 gallons per day.

Adequate Water Supply Program. The adequate water supply program operates outside of the Active Management Areas (AMAs). It ensures that the water adequacy or inadequacy is disclosed in the public report provided to potential first purchasers and that any water supply limitations are described in promotional or advertising material. However, in a mandatory adequacy jurisdiction, adequacy of water supplies must be demonstrated prior to plat approval and issuance of a public report.

Anthropogenic Contaminants. Anthropogenic contaminants are found in water as a result of human activities that release industrial and agricultural chemicals into the environment, and those derived from land use activities such as oils and grease flushed off of roadways. The volumes released vary widely and their fate and transport within the environment depend on their chemical and physical properties, and how each medium responds to their presence. Some contaminants are harmless or are not known to be toxic; others degrade, decomposing into harmless chemicals. Other contaminants can accumulate in our tissue and organs and be a potential danger to our health.

Aquifer. An underground geologic formation that contains and transmits groundwater.

Arizona Department of Water Resources (ADWR). A state agency established by the Arizona Groundwater Code of 1980 to administer and enforce the code provisions. Its primary mission is to ensure a long-term water supply for Arizona.

Assessor’s Parcel Number (APN). An Assessor’s Parcel Number, abbreviated as APN, is a unique descriptor used to identify assessed property within Arizona. It includes information about the ownership, characteristics, and valuation of each piece of land that is reordered and tracked by parcel number.

Assured Water Supply Program. The Arizona assured water supply program operates within Arizona’s five Active Management Areas (AMAs). It is designed to sustain the state’s economic health by preserving groundwater resources and promoting long-term water supply planning. AMAs are those areas of Arizona where significant groundwater depletion has occurred and include portions of Maricopa, Pinal, Pima, Santa Cruz and Yavapai counties.

Assured Water Supply compared to the Adequate Water Supply Program. The assured water supply program covers subdivisions within Active Management Areas (AMAs), while the adequate water supply program covers developments outside of the AMAs. Four types of applications are processed in each of these roughly parallel programs: physical availability demonstration (PAD), designation of assured or adequate water supply, analysis of assured (or adequate) water supply, and either a certificate of assured water supply or a water adequacy report. Both programs are driven by the definition of a subdivision from the Arizona Department of Real Estate (ADRE) as six or more Parcels with at least one parcel having an area less than 36 Acres. Applicants are required to demonstrate an assured water supply that will be physically, legally, and Continuously available for the next hundred years before the developer can record plats or sell parcels.

Bladder Tank (Hydropneumatic Tanks). Bladder and hydropneumatic tanks are vessels that hold water and are under pressure in order to provide an efficient water supply. Compressed air creates a cushion that can absorb or apply pressure if needed. Air is held between the tank wall on the outside of a bladder, while the water is contained inside of the bladder. The air compressors as the bladder expands when the pump is running. Hydropneumatic tanks hold the air and water in direct contact and therefore require a constant replenishment of air in order to maintain a proper ratio of air and water.

Drawdown. The difference in elevation between the static water level and the pumping water level in a well.

Exempt Well. In Arizona, an exempt well (a.k.a. Domestic Well) has a maximum pump capacity of not more than 35 gallons per minute and water is not used for irrigation purposes inside an Active Management Area. Typical uses include non-irrigation purposes, non-commercial irrigation of less than 2 acres of land, and watering stock. Most exempt Wells are used for residences and are more than adequate for household use, but because they are exempt from reporting water quality, the well owner is responsible for ensuring the water is safe to drink.

Gallons Per Minute. Gallons per minute is an instantaneous measurement (GPM) of the flow rate of water from a well. It may or may not be the true value of the long-term sustainable pumping rate of the well. A measurement of gallons per day (GPD) that the well can produce would be a better method to compare and classify the productivity of a given well.

Hydraulic Fracturing. The process in which water or other fluid is pumped with sand under high pressure into a well to fracture and clean-out the rock surrounding the well bore thus increasing the flow to the well.

Irrigation Well. Irrigation Wells are not exempt from regulation, and the Arizona Department of Water Resources requires reporting extracted volumes of water used in commercial agriculture. Irrigation wells typically have a capacity greater than 35 gallons per minute and irrigate more than two acres. Under the Arizona groundwater code, there are several locations in Arizona or expansion of irrigated land is prohibited, and within the AMAs, operation of irrigation Wells total annual pumpage may be restricted.

Land Subsidence. The pressure exerted by liquid. Hydrostatic pressure increases with depth because of the increasing weight of fluid.

Non-exempt Wells. In Arizona, a non-exempt well must report the volume pumped (irrigation, industrial, and Municipal Wells) and monitor and Report water quality for water used for drinking water purposes (Municipal well and some industrial Wells). Wells exempt from these reporting requirements are limited to less than a maximum capacity of 35 gallons per minute and include non-irrigation purposes, non-commercial irrigation of less than 2 acres of land, and watering stock (livestock well).

Notice of Intent (NOI). The name of four different forms prescribed by the ADWR to be completed and filed prior to drilling a water well, an exploration borehole, or a monitoring well, or prior to abandoning any well.

Pitless Adapter. A special fitting installed in the side of the well casing that allows the water from the pump to exit the well groundwater and below the freeze line.

Potable Water. Water which is satisfactory for drinking, culinary, and domestic purposes.

Pressure Switch. An electrical device that turns a well or booster pump on and off at specified pressure settings measured in pounds per square inch (PSI).

Recharge. The means by which the aquifer is filled with water, usually by rainfall or snowmelt infiltrating into the ground.

Reclaimed Water. Or recycled water, is former wastewater that is treated to remove solids, reduce organic matter, and disinfected enough to meet reuse standards. In Arizona parks and gold courses must use reclaimed water for sustainable landscaping irrigation. It is also used to recharge groundwater aquifers; to sustain some riparian habitats; to meet commercial and industrial water needs; and, with additional treatment, for drinking.

Registrar of Contractors (ROC). The Arizona Registrar of Contractors issues licenses for commercial and residential work and dual licenses that covers both commercial and residential for each particular trade or field of the construction profession.

Shock Chlorination. A procedure whereby a strong oxidizing agent (typically chlorine) is mixed into the water of a well or a storage tank to inactivate or kill microorganisms that might be harmful to humans.

Static level. Stabilized water level in a non-pumped well beyond the area of influence of any pumping well.

Sustained Yield. Attempts to limit groundwater pumping have been commonly based on the concept of say field, defined as the attainment and maintenance of a long-term groundwater Supply, typically by limiting the rate of extraction to the rate of recharge. Sustainable development of groundwater resources must meet the needs of the present without compromising the ability of future generations to develop and use groundwater in a manner that can be maintained for an indefinite time without causing unacceptable environmental, economic, or social consequences.

Water Well Logs. Also known as borehole logging, is the practice of making a detailed record (a well log) of the geologic formations penetrated by a borehole. Many logs will include the ‘as-built’ diagram of the well dept, screen length, and pump placement.

How to Abandon a Well in Arizona

How to legally abandon a water well in Arizona. The Arizona Department of Water Resources (“ADWR”) regulates the abandonment of water wells in Arizona. ADWR’s well abandonment rules require that well abandonment be accomplished “through filling or sealing the well so as to prevent the well, including the annular space outside the casing, from being a channel allowing the vertical movement of water.”

Overview of the Well Abandonment Process

The first step to properly abandoning a water well is to file a pre-abandonment notice with the ADWR. A.A.C. R12-15-816(B), (E) and (F).

standard METHOD OF WELL abandonment

There are two overarching ways in which a well can be abandoned. First, through the standard abandonment and second is the “alternative method”.

A standard abandonment method may be used for any water well, regardless of the aquifer and vadose zone conditions applicable to the well.

“Alternative” abandonments methods

Step 1- Alternative Method of Abandoning a Water Well

There are five alternative abandonment methods that describe different vadose zone and aquifer conditions. In most cases, the alternative abandonment method will be less expensive than the standard method. However, a well owner may need to demonstrate to ADWR that the well to be abandoned falls within the condition to which the alternative method applies before that method may be used. For that reason, the abandonment process may take longer if an alternative abandonment method is proposed. before proceeding with an alternative abandonment method, it is advised that you contact the ADWR Hydrology Division by phone at 602-771-8500.

Step 2- Alternative Method of Well Abandonment

The well abandonment rules are set forth in Arizona Administrative Code (“A.A.C.”) R12-15-816. Under A.A.C. R12-15-816(G), the Department’s well abandonment rules requires that the abandonment of a well be accomplished “through filling or sealing the well so as to prevent the well, including the annular space outside the casing, from being a channel allowing the vertical movement of water.”

Step 3- to Alternative Method of Abandoning an Arizona Well

The third step to abandoning a well is…

Step 4- Alternative Method of Abandoning a Well in Arizona

The fourth step to abandoning a well is…

Step 5- Alternative Method of Abandoning a Water Well

Step five, the last step to abandoning a well is to file a notice of completion with the ADWR.

why you should properly abandon a well

Unused or abandoned wells in Arizona can be a safety hazard and can contaminate groundwater. A sealed well will prevent the well from being a channel, allowing the vertical movement of water under various aquifer and vadose zone conditions. An abandoned well is a direct conduit from the surface to the groundwater below. Contaminants that enter the abandon well can flow directly down into the groundwater without the natural filtration of soils.

Properly abandoning an Arizona water well helps keep your water supply safe, removes a potential threat to your family’s health, reduces your liability and protects the value of your property.

once the abandonment forms are complete

Completed forms may be mailed to ADWR at the following address:
Arizona Department of Water Resources
Groundwater Permitting and Wells Section
1802 W Jackson St. Box 79
Phoenix, Arizona 85007.

Completed forms may also be submitted to ADWR’s main office in Phoenix at:
1110 W. Washington St., Suite 310
Phoenix, AZ 85007

The completed form must be legible and of good quality when received by ADWR so that it can be scanned into ADWR’s permanent records.

Also, if a fee is required, ADWR will not accept the form without the proper fee.

Time Frame for Processing an NOIA
ADWR has an overall time frame of 30 days to accept or reject an NOIA and approve or deny an abandonment authority. This overall time frame is divided into an administrative completeness review time frame and a substantive review time frame. Within 15 days after receiving an NOIA, ADWR will perform an administrative completeness review to determine whether the NOIA is complete and correct.

If ADWR determines the NOIA to be incomplete or incorrect, it will notify the applicant in writing and specify what information is necessary to make the NOIA complete and correct. Until the information is received, the administrative completeness review time frame is suspended. If the information is not submitted within 60 days, ADWR may deny the abandonment authority. Within 15 days after the administrative completeness review, ADWR will perform a substantive review to determine if the NOIA meets the substantive criteria required by statute or rule. By mutual agreement, the substantive review time frame may be extended by up to seven days.

During the substantive review, ADWR may make one written request for additional information. If additional information is requested, the substantive review time frame is suspended until the information is received. If the information is not submitted within 60 days, ADWR may deny the abandonment authority.

At the end of the substantive review, ADWR will send written notice either granting or denying the abandonment request. If the abandonment request is granted, the abandonment card will be mailed directly to the drilling firm. If denied, ADWR’s notice will state the reasons for the denial and provide an explanation of the applicant’s right to appeal. Forms to File after the Project is Completed.

Within 30 days of completion of abandonment, the well owner must file a Well Owner’s Notification of Abandonment (Form DWR 55-36) and the well driller must file a Well Abandonment Completion Report (Form DWR 55-58).

To learn more about abandoning an Arizona water well then contact the Dunaway Law Firm at 480-702-1608 or message us HERE.

* The information provided is informational only, does not constitute legal advice, and will not create an attorney-client or attorney-prospective client relationship. Additionally, the Dunaway Law Group, PLC limits its practice to the State of Arizona.

Community Water Systems in AZ

The term Community Water System refers to any water system that serves 15 or more service connections (a.k.a. “hook-ups”) or that serves 25 or more residents. They are subject to water quality standards and more stringent reporting requirements. (See A.R.S. §§ 45-341 to 343). Community water systems are also regulated by the Arizona Department of Environmental Quality whereas a typical residential well is not.

two categories of community water systems

In Arizona, Community Water Systems are divided into two distinct categories: large and small water systems. A small Community Water System serves 15 to 1,849 residents and a large water system is defined as one that serves more than 1,850 residents.

annual use water reports

In Arizona, the users of a Community Water Systems are required to prepare and submit annual water-use reports and system water plans. These reports and plans are intended to reduce Community Water Systems’ vulnerability to drought and ensure that residents are prepared to respond to drought or water shortages.

The information submitted to the Arizona Department of Water Resources also allows the State to provide regional assistance for drought planning, mitigation and response. That information submitted to the ADWR includes:

Information on water pumped or diverted, water received, water delivered to customers, and effluent used or received.

community system water plan

The system water plan, which should be updated and submitted every five years and should consist of three sub-plans:

Water Supply Plan– This plan describes the service area, transmission facilities, monthly system production data, historical demand for the past five years, and projected demands for the next five, 10 and 20 years.

Drought Preparedness Plan– This plan includes drought and emergency response strategies, a plan of action to respond to water shortage conditions, and provisions to educate and inform the public.

Water Conservation Plan– This plan addresses measures to control lost and unaccounted for water, considers water rate structures that encourage efficient use of water, and plans for public information and education programs on water conservation.

non-compliance with the annual reports

Under Arizona statutes, the Arizona Department of Water Resources is required to provide notification of Community Water System non-compliance to local governing bodies within the service area of the systems.

“Non-compliance” means that these water systems are not in compliance with the system water plan, and/or the annual water use reporting requirements. The county boards of supervisors and city officials have a list of all Community Water Systems that are not in compliance with these requirements.

For assistance with your shared water well then contact the Dunaway Law Group at 480-702-1608 or message us HERE.

How To Cancel Well Share Agreement

Is it Possible to Cancel a Shared Well Agreement?

Frequently clients ask how to cancel a shared well agreement. In order to understand how well share agreement can be terminated it’s best to understand how they are created.

A shared well agreement is a contract regarding the drilling, maintenance, and use of a water well between multiple users. The agreement identifies Parties, properties, well location and water distribution system, maintenance liabilities, and easements.

Parties are identified by their full legal names. The properties, well, and easement locations subject to the agreement must be identified using valid legal descriptions and a diagram showing the locations of the well and distribution system attached as exhibits. Failure to properly the terms of use and maintenance liabilities can lead to future misunderstandings and disputes. Additionally, a shared well agreement should be both notarized and recorded with the county recorder’s office.

Shared well agreements are simply contracts entered into by people sharing water from the same well. Like most contracts, these well share agreements can be modified, amended, or terminated once corresponding rules are met.

A professionally drafted shared well agreement will explain the process of amending or cancelling an existing agreement. They will often say something like, “This agreement can only be modified in writing and with the approval of a majority of the parties.” Or, the contract might require unanimous consent by all of the Parties.

shared well agreements “run with the land”

“Running with the land” refers to the rights and obligations in real estate that remain with the property regardless of who owns it. These rights and obligations are tied to the property and not to the owner and so they stay in place as the land is transferred from one owner to another and so a property owner cannot simply say, “I’m going to cancel the agreement”.

The importance of this means that an Arizona property owner who purchases a home with a shared well is obligated to abide by the well share agreement even if they did not sign it!

Lastly, remember that the Arizona Department of Water Resources does not regulate shared well agreements. Therefore, it will not become involved in interpreting or enforcing the agreements. So make sure that your shared well agreement is professionally written because if there are errors, if some topics are vague or ignored, it can create a lot of problems in the future.

The Dunaway Law Group drafts and amends shared well agreements. If you are looking to draft a new agreement or make modifications to an existing shared well agreement then contact us at 480-702-1608 or [email protected]

* These blog posts are not intended, nor shall they be deemed to render legal advice. Reading these blog post does not create an attorney-client relationship, nor shall it impose an obligation on the part of the law firm to respond to further inquiry. The Dunaway Law Group limits its practice to the State of Arizona.

Buying a House with a Shared Well

When buying an Arizona home with a shared water well, there are certain considerations to keep in mind. Many homebuyers have questions and concerns about shared wells when they’ve never lived in a house that shares a water well. By definition, a shared well is a water well that services two or more homes for residential purposes.

If you are consider buying a home that has a shared well, there are a few important things to keep in mind:

Is there an existing shared well agreement? Is it up to date? Accurate?
What are the monthly operating costs?
Are there any built-in contingencies for remediation, repairs, maintenance, and quality testing?
Are there any restrictions placed on your system? For instance, does the shared well agreement prohibit the use of swimming pools? Or does it prohibit
Are there records of periodic inspections and repairs?

inspect the well prior to the purchase

A well inspection is not a legal requirement to purchase a home but

It is important to note, that Arizona home inspectors do not conduct inspections of water wells. They inspect every square inch of the home but not the well. Therefore, the well could have serious problems and you would never know!

It is imperative that a shared well is functionig properly, otherwise dozens of people may be without water!

Here are a couple of things you should find in your shared well agreement:

Specification of the cost involved to share your pump in regards to power, repairing, testing and inspecting.
Requirement for corrective courses of action if testing reveals a deficiency.
Prohibit the use of the well water by any party for any reasons other than for bona fide domestic usage.
No additional residences may connect and use of the water.

disclosure forms provided by AZ realtors

The Arizona Association of Realtors as a trade association has enacted standards for the management of all exempt wells in the state of Arizona during sales and transfer of real estate. This fantastic idea is being done by the Realtors association without authorization by the Arizona Legislature or ADWR.

The Arizona Realtors group has authorized and put into place two forms that all Realtors must use to inform buyers of real estate served by private water wells. They must be used for each transaction involving private or shared water wells. They are the Domestic Water Well Addendum and the Domestic Water Well Water Use Addendum Seller’s Property Disclosure Statement. They promulgated these forms because it is essential information necessary for the protection of the health, safety, and welfare of home buyers relying on exempt wells.

The first, the addendum, must be signed by both the seller and the buyer. This informs the buyer that the Arizona home is supplied with water from a residential water well. The second form, the disclosure statement, provides the buyer with the best detailed information about the well that the seller can provide. Most well owners are not familiar with the information requested on the form. The “best information that the seller can provide” is what a buyer gets from this form.

prepare early to avoid delays in closing

A proper shared well agreement requires the signatures from the owners of each property that will be receiving water from the well. Hammering out the details of the agreement can be an incredible hassle. Sometimes a homeowner will dig in their heels over a certain provision. The back and forth can cause the sale to be delayed if the parties do not plan accordingly.

the importance of maintaining proper shared well records

Shared well agreements and their records can often become more and more innacurate. New owners will began accessing the well without written record or the parcel size / shape is changed because it has been split.

If you are looking to draft a new shared well agreement or make amendments to an existing shared well agreement, then contact us at 480-702-1608 or message us HERE.