Arizona Administrative Code
Title 12 - NATURAL RESOURCES
Chapter 15 - DEPARTMENT OF WATER RESOURCES
Article 7 - ASSURED AND ADEQUATE WATER SUPPLY
Section R12-15-720 - Financial Capability

Universal Citation: AZ Admin Code R 12-15-720

Current through Register Vol. 30, No. 38, September 20, 2024

A. The Director shall determine that an applicant for a certificate or a water report has the financial capability to construct adequate delivery, storage, and treatment works if the applicant demonstrates one or more of the following:

1. The applicant will submit its final plat to a qualified platting authority;

2. The applicant has constructed adequate delivery, storage, and treatment works, and water service is available to each lot; or

3. The applicant has posted a performance bond with the platting authority for the entire cost of adequate delivery, storage, and treatment works.

B. Upon receiving evidence that a platting authority has established standards for proof of financial capability to construct adequate delivery, storage, and treatment works, pursuant to A.R.S. § 9-463.01(C)(8) or A.R.S. § 11-806.01(G), the Director shall classify the platting authority as a qualified platting authority. The Director shall maintain a list of qualified platting authorities.

C. The Director shall determine that an applicant for a designation has the financial capability to construct adequate delivery, storage, and treatment works if the applicant demonstrates one or more of the following for each of those facilities:

1. The applicant has constructed adequate delivery, storage, and treatment works;

2. The applicant has entered into written agreements requiring a potential developer to construct adequate delivery, storage, and treatment works;

3. If the applicant is a city or town, the applicant has:
a. Adopted a five year capital improvement plan that provides for the construction, or the commencement of construction, of adequate delivery, storage, and treatment works in a timely manner, and has submitted a certification by the applicant's chief financial officer that finances are available to implement that portion of the five-year plan; or

b. Submitted evidence demonstrating that financing mechanisms are in place to construct adequate delivery, storage, and treatment works in a timely manner; or

4. If the applicant is a private water company, the applicant has received approval from the Arizona Corporation Commission for financing the construction of adequate delivery, storage, and treatment works.

Disclaimer: These regulations may not be the most recent version. Arizona may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
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