SB 1176 Arizona Senate · 57th Legislature - Second Regular Session

stormwater storage; replenishment credits

SB 1176 creates a system for earning "replenishment credits" by storing stormwater in specially permitted underground facilities within the Phoenix Active Management Area. It allows entities (referred to as "storer") to recharge stormwater, with the director crediting 95% of the volume stored annually toward offsetting future groundwater use obligations. These credits can be used within two miles of the storage site to offset groundwater withdrawals or transferred to eligible entities within the same groundwater subbasin. The bill formalizes this credit mechanism under Arizona Revised Statutes sections 45-837.01 and 45-831.01, directly affecting water users and developers managing stormwater in Phoenix-area aquifers.

Issues: ✓ Environment

Bill status passed 3 of 5 stages cleared

Introduction

Jan 2026

Committee Review

Feb 2026

Senate Passage

Feb 2026

House Passage

Governor

Introduced Jan 20, 2026 Last action Mar 26, 2026

Maddy AI version diff · 1 comparison

What changed between versions

Introduced Version → Senate Engrossed Version (02/26/2026) · 5 edits · Feb 26, 2026

MODERATE

This bill was updated to clarify that stormwater can be stored and used for aquifer replenishment without requiring the applicant to have a traditional water right. It also added a new section defining 'stormwater' and establishing a system where storage facilities can earn 'replenishment credits' to offset groundwater withdrawal obligations within specific geographic areas.

Scope change

The bill's scope expanded to explicitly include stormwater as an eligible water source for storage permits and introduced a new mechanism for trading replenishment credits between entities.

DEFINITION

Added a new definition for 'stormwater' to clarify it includes runoff from impervious surfaces like streets and sidewalks but excludes surface water and wastewater.

ELIGIBILITY

Modified permit requirements to allow applicants to store stormwater even if they do not hold a traditional water right, provided the water is intended for aquifer replenishment.

Updated the list of information required on water storage permits to include the duration of the permit.

REQUIREMENT

Created a new section establishing 'replenishment credits' that allow storage facilities to offset groundwater withdrawal obligations within two miles of the facility.

Added new requirements for water storage permits to include the permit duration and other conditions consistent with the chapter.

Floor votes

How they voted

This bill passed the Senate by voice vote (no roll call recorded).

Full legislative history

Actions timeline

Total actions

Key actions

Committee

Feb 26, 2026

Upper · Passed

PASSED

upper

Feb 18, 2026

Upper · Passed

upper

1 primary · 0 co-sponsors