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Category: Well Sharing in Arizona

Well Share Agreements in Arizona

Arizona Well Registry Numbers

The Arizona Groundwater Management Act of 1980, mandates that all property owners register their water wells with the ADWR. Additionally, it requires well property owners to maintain accurate ownership information with the ADWR.

However, many properties are sold and transferred without informing the ADWR that there was a change in ownership.

The Arizona Department of Water Resources (ADWR) applies a Well Registry Number to each well in Arizona. The Well Registry Number is similar to a Vehicle Identification Number (“VIN”) in that a unique number is assigned to each well. The Well Registry Number’s “55-” and then are followed by six numerical digits. Well Registry Numbers do not change even if well changes ownership.

Arizonians must register their water wells with the Arizona Department of Water Resources (ADWR). Registering a water well with the ADWR is a fairly straightforward process as described below.

WELLs must be REGISTered with the adwr

Many well properties are sold or transferred without providing the ADWR with the new owners information.

Recording a deed of title with the county recorder not notify the ADWR that the well property’s ownership has changed. As such, many original property owners are still listed with the ADWR as the current owner.

how to verify well ownership with the adwr

The well ownership as currently documented by the ADWR can be verified by visiting their website. Click HERE. You can search by using the Well Registry Number, Property Owner Name or Search of Location (Township/Range, Parcel, Cadastral, Basin or Sub-basin).

REGISTERING a WATER WELL

If your water well is not registered in your name, you may not have a known or definable source of water for your home. Arizona does not consider groundwater to be private property belonging to the landowner. Exempt well water rights are more like an operating permit to withdraw a state managed natural resource.

Additionally, if a well is not registered in the owner’s name then the Arizona Department of Water Resources cannot notify you of pending changes in groundwater law that may affect you water rights.

Arizona private water well owners are left to manage and protect their own wells. There are no standards for the performance of private or shared water wells during the sale and transfer of the real estate upon which the well is constructed.

VERIFYING THE REGISTRATION OF A WATER WELL

The first thing that any private well owner should do is check with the Arizona Department of Water Resources to see if the well is registered in their name. You can do this by logging on to the ADWR web site and searching its “Imaged Records“.

ADWR Forms Mandated by A.R.S § Title 45

Form DWR 55-71A can be used to update the ADWR of the new owner. That same form can also be used to correct or change well location information, the name of the well drilling company to be used to drill or deepen the well, or any other pertinent information about the well.

Escrow officers will often use this form to record a transfer of well ownership with the Arizona Department of Water Resources at the time of escrow closing.

LOCATING WELL RECORDS

There are three basic ways to locate Arizona water well records. You can access well file data in the ADWR Imaged Records database the following ways;

1. Using the well registration number (55-000000), 2) by entering the file or cadastral (registry of real state property) designation of your well, or 3) by finding and clicking on a red dot a topographic map of the state of Arizona where your well is located. After locating your well records, you can download them in a pdf file format.

The first step is logging on to the ADWR web site as explained below. Log on to the ADWR Home Page and scroll down to Quick Links: and click on the Imaged Records logo, which will direct you to a page with a box named Search ADWR’s Imaged Records. Change the Imaged Record: field from “Groundwater Document” to “Well Record Document” using the scroll down menu on the right.

steps to registering a well

  1. First Step to Register a Water Well– The first step to registering a water well is to visit Change of Well Ownership (azwater.gov) and enter the well’s 55- number.
  2. Second Step to Register a Water Well– The second step to changing well ownership is to provide the new owner’s name and contact information.
  3. Third Step to Register a Water Well– The third step to registering a water well is to provide proof of ownership. Lastly, you must pay a $30 fee.

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

* 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 states of Arizona and New York.

Author Clint DunawayPosted on June 19, 2023September 26, 2023Categories Arizona Water, Well Sharing in ArizonaTags Water Wells, Well Share Agreements

Benefits of Shared Well Agreements

An expertly crafted shared well agreement is custom tailored to fit each unique situation. By clearly defining the rights and responsibilities of each household there is a reduction in disputes and an increase in peace of mind. Boilerplate well share agreements found online cannot provide the accuracy needed to make sure things go smoothly. In fact, generic agreements can create major problems. Over the years, I have spoken to literally hundreds of Arizonians in some type of dispute regarding a shared well. One common variable in these situations is a poorly written shared well agreement.

Over the years, I have spoken to literally hundreds of Arizonians with some type of dispute regarding a shared well. A common variable in these situations is a poorly written shared well agreement or none at all.

Our well share agreements add details about things like how water can be used and how much. For example, it will state, “The Well water shall only be used for bona fide domestic purposes. The water shall not be used for watering crops, orchards, livestock, or extensive gardening. Additionally, the water cannot be sold or used for any commercial activities.”

Because wells do not produce an infinite supply of water, overuse by one family can leave the other homeowners without sufficient water. Many wells simply cannot produce enough water for all homeowners to have extensive gardens, pools and water horses. This will put additional strain on the well system and the other users will be stuck with a higher electricity bill and low water pressure. As such, we write provisions into the agreement to prevent this type of behavior as much as possible.

Every situation is different, every property is different, every well is different, and this is why we create custom agreements for each client. In addition to providing advice on the general issues we also provide advice on more nuanced issues. For instance;

  • Must each property have its own water flow meter?
  • Should property owners not using the well, (their parcel is vacant land), still pay for costs and repairs even when not drawing water from the well?
  • What if a homeowner no longer wants to draw water from the well? Must they continue to pay for maintenance and repairs?
  • What about swimming pools? Horses? Orchards? Gardens?
  • Is there a buy-in for ‘late comers’?

benefits to the well owner- “grantor”

A well share agreement benefits a well owner by giving them enforceable rights against the water recipients. For example, if the Grantees to the agreement do not pay their share of well maintenance, repairs, electricity, etc. they can simply turn off their water.

benefits to the water recipients- “grantees”

Shared well agreements provide Grantees–those receiving the water–a legal right to draw water from the well. The Agreement is the only assurance Grantees have with a legal right provided in the agreement. Without a written shared well agreement, a well owner (Grantor) could deny access to a Grantee. If your water comes from a shared well that is not located on your property, then you must take steps to protect your legal right to the water.

A Grantee might think, “I don’t need a formal shared well agreement because I’m friendly with my neighbors and we all get along.” But what if those friendly neighbors move? Will you still have a legal right to the water? Because without a shared well agreement, the well owner has no legal obligation to share the well water with you!

All groundwater withdraws in Arizona must come from a water well that was permitted by the Arizona Department of Water Resources. Owning the land free and clear, or owning an undivided interest in the land or having an easement right does not give a land owner the right to extract groundwater. The right to extract groundwater only from a permitted well.

Gather & verify the information

The first step to drafting an excellent shared well agreement is to verify that the information used is accurate and complete. Using outdated or inaccurate information is like a great chef trying to make a crème brulée with the wrong or expired ingredients. No matter how great the recipe, if the right ingredients are not used then it doesn’t matter, it still won’t taste good.

An assessor’s parcel number is one example of where we need to closely check our information for accuracy. A parcel number—sometimes abbreviated APN—is a unique descriptor used by each county in Arizona to identify and assess real property. The parcel number includes information about the ownership, characteristics, and valuation of each piece of land. While each parcel can only have one parcel number at a time, the parcel numbers can change. New parcel numbers are assigned each time a property is split, merged, or subdivided. Verifying the correct parcel number is just one example of how we thoroughly check the information used in our well share agreements.

Verify Ownership Records With the ADWR

Even though the Arizona Department of Water Resources (ADWR) does not oversee Shared Well Agreements, they still require that the Well ownership information to be accurate. Well ownership information can become outdated if a well property is sold but the ownership information is not updated.

Simply purchasing a property and recording the deed with the county recorder does not notify ADWR that the Well ownership has been transferred. A new owner must take the overt steps of updating the Well in their name. The records are updated by submitting the necessary information and paying a small fee.

A PERSON TO WHOM A WELL IS REGISTERED MUST NOTIFY THE ARIZONA DEPARTMENT OF WATER RESOURCES (ADWR) OF A CHANGE IN OWNERSHIP OF THE WELL AND THE NEW OWNER MUST FURNISH INFORMATION AS REQUIRED BY ADWR TO KEEP WELL REGISTRATION RECORDS CURRENT AND ACCURATE.

A.R.S. 45-593(C)

record THE AGREEMENT

Once the Agreement has been approved and signed by all Parties, it is recorded with the county. In large part it is recorded so that someone cannot later challenge the veracity or accuracy of the Agreement.

Once the Shared Well Agreement is recorded with the county, a copy is provided to the ADWR. They will scan the recorded agreement and save it in the Well’s permanent file.

Even though the ADWR does not get involved in Shared Well Agreements it is still a best practice to send them a copy of the recorded agreements.

If you need help from an experienced shared well attorney, then contact the Dunaway Law Group 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, limits its practice to the states of Arizona and New York.

Author Clint DunawayPosted on June 1, 2023September 26, 2023Categories Arizona Water, Well Sharing in ArizonaTags Book- Shared Well Management, Well Share Agreements

Glossary Well Share Agreements

100-year Assured Water Supply. Water of sufficient quantity and quality is available to sustain a proposed development for 100 years and will be consistent with the management goal and management plan of the active management area.

Acre-foot: The volume of water required to cover 1 acre to a depth of 1 foot and is equal to 43,560 cubic feet or 325,851 gallons. In Arizona, 1 acre-foot is typically enough water to serve 3 single-family homes for a year.

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.

Arizona Water Settlement Act (AWSA). The AWSA represents a significant accomplishment and settles numerous water rights issues in Arizona. The settlement provides funding that will enable the Gila River Indian Community and Tohono O’odham Nation to rehabilitate and expand water infrastructure to meet the needs of their reservations. The AWSA also provides funds to pay the fixed operation and maintenance charges associated with delivery of CAP water to Arizona Indian tribes. The Act allows tribes to make use of water rights that previously existed only on paper. In addition, it brings long-sought certainty to cities and communities as they plan their growth and development and is a major component of a long-term water plan for Arizona.

Abandoned Well. Abandoned wells must be properly plugged by an Arizona licensed well driller after a Notice of Intent to Abandon (NOIA) the well has been filed with ADWR, and an abandonment authorization has been issued to the driller. This 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.

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 geological formation of sand, soil, gravel, and rock that is able to store, transmit, and yield water.

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.

Certificate of Assured Water Supply: A developer of a proposed subdivision must have a 100-year Assured Water Supply to obtain plat approval and offer lots for sale. They can demonstrate that supply one of two ways: 1) By obtaining a commitment of water service from a water provider that has been designated by ADWR as having an AWS, or 2) by obtaining a Certificate of AWS from ADWR. To obtain a Certificate of AWS, the applicant must demonstrate that the water will be physically, continuously, and legally available for 100 years.

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.

Index Wells. A subset of all wells in Arizona, these consist of approximately 1,800 wells that the Department designated to create a long-term record of groundwater level fluctuations by measuring depth to groundwater at least once per year.

Irrigation non-expansion Areas (INAs). Areas designated as having insufficient groundwater to provide a reasonably safe supply for irrigation at the current rate of withdrawal. Once an INA is established, additional land may not be irrigated to preserve the existing irrigation of cultivated lands. There are three INAs in Arizona: Douglas, Harquahala, and Joseph City.

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. Water added to a groundwater aquifer. For example, when rainwater seeps into the ground. Recharge may occur naturally through precipitation or surface water or artificially through injection wells or by spreading water over groundwater reservoirs.

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. Water well drillers must be licensed by the Arizona Registrar of Contractors.

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 or outside 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 depth, screen length, and pump placement.

Xeriscaping: An environmentally-friendly form of landscaping that uses a variety of indigenous and drought-tolerant plants, shrubs, and ground cover.

The Dunaway Law Group provides this information as a service to clients and other friends for educational purposes only. It should not be construed or relied on as legal advice or to create a lawyer-client relationship. Readers should not act upon this information without seeking advice from professional advisers. The Firm limits its practice to the states of Arizona and New York.

Author Clint DunawayPosted on May 15, 2023September 22, 2023Categories Arizona Water, Well Sharing in ArizonaTags Book- Shared Well Management

Recording Shared Well Agreement

A completed well share agreement is to be recorded with the relevant Arizona county recorder’s office. Once recorded, a copy of the agreement should be delivered to the Arizona Department of Water Resources.

Understanding the importance of recording a well share agreement, starts with an understanding of the difference between “real property” and “personal property”.

Real Property. Is also known as “real estate” or “realty,” refers to immovable or fixed property. It comprises land and everything permanently attached to it, such as buildings, houses, and other structures. Additionally, real property can encompass natural resources present on the land, including minerals, water bodies, trees, and crops that are grown on it. The ownership of real property grants the holder not only the land but also the rights to the structures and resources present on it.

Personal Property. Refers to assets that are not attached to land and can be moved from one location to another without altering their fundamental characteristics. Personal property encompasses a wide range of items, including furniture, vehicles, electronics, jewelry, and other tangible belongings.

Arizona Wells Become “Real Property”.

The State of Arizona owns the groundwater beneath real property!

Just Owning Land Does Not Give Rights to the Groundwater Beneath the Land!

  • Groundwater is not real property. Percolating water beneath the earth in Arizona is called “groundwater”.
  • Groundwater is considered “public” property managed by the Arizona Department of Water Resources.
  • Once water is pumped to the surface–from an approved well–and placed into a storage tank, it becomes the personal property of the landowner.

recording it with the county recorder

A shared well agreement must be filed with the county recorder in which the shared well lies. For example, if the shared well is located in Maricopa County, Arizona then it needs to be recorded with the Maricopa County Recorder’s office.

  • Apache County Recorder’s Office:
  • Cochise County Recorder’s Office:
  • Coconino County Recorder’s Office:
  • Gila County Recorder’s Office:
  • Graham County Recorder’s Office:
  • Greenlee County Recorder’s Office:
  • La Paz County Recorder’s Office:
  • Maricopa County Recorder’s Office:
  • Mohave County Recorder’s Office:
  • Navajo County Recorder’s Office:
  • Pima County Recorder’s Office:
  • Pinal County Recorder’s Office:
  • Santa Cruz County Recorder’s Office:
  • Yavapai County Recorder’s Office:
  • Yuma County Recorder’s Office

***NOTE: The Arizona Shared Well Agreement must be recorded with the relevant Arizona county recorder before it can be submitted to the Arizona Department of Water Resources.

recording your well agreement with the arizona department of water resources

Only after the shared well agreement has been recorded with the county recorder can it be sent to the Arizona Department of Water Resources. Click HERE for a detailed blogpost on how to provide the ADWR is a recorded copy of your well share agreement.

If you have questions about your shared well agreement then contact the Dunaway Law Group, PLC at 480-702-1610 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 states of Arizona and New York.

Author Clint DunawayPosted on March 4, 2023September 20, 2023Categories Arizona Water, Well Sharing in Arizona

Designated Bank Account for Well

Shared well bank accounts are used to pay for water well electricity, well repairs, and well maintenance. Traditionally, each property owner pays a flat amount to cover the cost of the electricity and to set aside money for repairs.

purpose of the well share Bank account

A well share bank account can help the parties save a little each month to cover the cost of expensive repairs.

1. Pay the Electricity Costs for the Well

Electric pumps bring water from the well into a storage tank. Traditionally, there is a single electricity meter attached to the pump. As such, it is impossible to tell how much electricity was used to deliver water to a particular household. For this reason, most Parties to a shared well agreement pay an equal amount of money each month for the electricity.

2. Save for Major Repairs to the Water Well

The second major reason homeowners use a joint checking account is to set aside a little money each month for major repairs to the well. With this nest egg, no one is left scrambling to come up with the money.

Major repairs may include replacing a pump, fixing a water leak, or even deepening the well.

  • Open the Bank Account Now– Even if the well share agreement is not finalized it is not too early to open the shared bank account.
  • Specific Purpose– The well share bank account should not be used for any other purpose than maintaining the water well.
  • Equal Access to the Bank Statements– The bank can send monthly statements to each homeowner. This way, every can verify that the electricity bill is being paid and that the accumulated money stays in the account.

contact the dunaway law group, plc

For assistance with your water well contact us by phone at 480-702-1608 or message us HERE.

These blog posts are not intended, nor shall they be deemed to be the rendering of legal advice. Reading these blog posts does not create an attorney-client relationship, nor shall it impose an obligation on the part of the attorney to respond to further inquiry. The Dunaway Law Group limits its practice to the states of Arizona and New York.

Author Clint DunawayPosted on February 16, 2023May 19, 2023Categories Arizona Water, Well Sharing in ArizonaTags Book- Shared Well Management, Well Share Agreements

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